Agenda and minutes

To approve as a correct record and sign the Minutes of the meeting held on 7 April 2015.

The Minutes (copies of which had been circulated) of the meeting held on 7 April 2015 were approved as a correct record and signed by the Chair, subject to the replacement of ‘nil’ with ‘very low’ in the second bullet point in the pre-amble to Minute 5 ‘Scrutiny Review Panel Report: Understanding the Accessibility of Digital Services in Stockport’.

Councillors and officers to declare any interests which they have in any of the items on the agenda for the meeting.

The following interest was declared:-

Personal Interest

RESOLVED – That in order to prevent the disclosure of information that was not for publication, the disclosure of which would not be in the public interest, would not be fair and would be in breach of Data Protection principles, the public be excluded from the meeting during consideration of Appendix One to the following item:

To consider call-in items (if any).

There were no call-in items to consider.

To consider a report of the Corporate Director, Corporate and Support Services.

The document is the Annual Portfolio Performance and Resource Report (PPRR) for the Corporate, Customer and Community Services Portfolio for 2014/15. This provides a summary of progress in delivering the portfolio priorities and budgets over the year and specifically during the fourth quarter of 2014/15. It includes full-year out-turn performance and financial data for the Portfolio, or forecast / provisional data where this is not yet available. The report also includes the final position for the 2014/15 portfolio savings programme.

Scrutiny Committee is asked to:

·         Consider the Annual Portfolio Performance and Resource Report;  

·         Review the progress against priorities, performance, budgets and savings targets for 2014/15;

·         Highlight key areas of and responsibility for taking forward corrective action to address any performance or resource issues;

·         Highlight any significant issues or changes to be fed back to the Executive alongside the Corporate Performance and Resource Report;

·         Identify how areas of strong performance and good practice can be shared in other services.

Officer Contact: Peter Owston on 474 3274 or email: peter.owston@stockport.gov.uk or Susan Wood on 218 1032 or email: susan.wood@stockport.go.uk

The Corporate Director for Corporate and Support Services submitted the Annual Portfolio Performance and Resource Report for the Corporate, Customer and Community Services Portfolio for 2014/15  (copies of which had been circulated) providing a summary of progress in delivering the portfolio priorities and budgets over the year and specifically during the fourth quarter of 2014/15. It included full-year out-turn performance and financial data for the Portfolio, or forecast/provisional data where this was not yet available. The report also included the final position on the 2014/15 portfolio savings programme.

The Deputy Executive Leader and Portfolio holder for Support and Governance (Councillor Iain Roberts) attended the meeting to respond to Members’ questions.

The following comments were made/ issues raised:-

·         The increase in sickness absence compared to the previous year was raised. A report on sickness absence, including a breakdown and trends, would be submitted to the next meeting of the Scrutiny Committee. Members requested that this addressed the reasons for sickness absence and how the monitoring and reporting of sickness absence could be improved, together with comparative information with other local authorities and organisations.

·         The processing of invoices had improved in the last quarter as measures had been taken to tackle the backlog.

·         During Quarter 4, two of the public liability claims had been successfully defended at trial, with both cases based on the credibility of the claims. This had helped to send out a strong deterrent message to future claimants which needed to be better publicised.

·         Whether the target of repudiating 75% of public liability claims was achievable, given the reduction in the volume of claims. The Executive Councillor agreed to examine this issue, pending a detailed report from the Internal Audit and Risk Manager later in the year.

·         The reasons for the delay in the community capacity building within the Cheadle ‘Our Place’ project as a pilot for Locality Working was raised. It was noted that further update reports on Locality Working were due to be presented to the Committee.

·         A Member highlighted the significant cuts in general funding to local authorities as part of the local government finance settlement for 2015/16. These had been largely offset by increases in funding for health and social care integration and increases in incentive payments reducing the net percentage of cuts in spending power, but this meant that local authorities would need to focus on the Government’s priorities if they were to continue operating sustainably.

·         The collection of business rates from empty properties was only slightly behind the target following the adoption of a more robust approach to collection.

·         The Council’s plans for individual electoral registration following the General and Local Elections were discussed.

·         It was confirmed that the Council’s refreshed Corporate Risk Register would include shared risks relating to joint working with partners, along with mitigating actions.

RESOLVED – (1) That the progress against priorities, performance, budgets and savings for 2014/15 be noted.

(2) That the Corporate Director for Corporate and Support Services be requested  to submit a report to the next meeting of this Scrutiny Committee on sickness absence.

To consider a report of the Corporate Director for Place Management & Regeneration.

(NOTE: This item contains background information which is ‘Not for Publication’ and has been circulated to members of the Scrutiny Committee only).

The report outlines the details of Executive’s decision to enter into a Deed of Indemnity in relation to the establishment of the Greater Manchester Housing Investment Fund

The covering report was originally produced for the Adult Care Services & Housing Scrutiny Committee and has been forwarded to this Corporate, Resource Management & Governance Scrutiny Committee for information.

The Scrutiny Committee is recommended to note the report.

Officer contact: Andy Kippax on 0161 474 4319, or email: andy.kippax@stockport.gov.uk

A representative of the Corporate Director for Place Management and Regeneration submitted a report (copies of which had been circulated) outlining the details of the Executive’s decision to enter into a Deed of Indemnity in relation to the establishment of the Greater Manchester Housing Investment Fund.

The Greater Manchester Devolution Agreement provided for a Housing Investment Fund of £300m, to be invested in the form of recoverable loans and equity into property investments to deliver growth ambitions for Greater Manchester. This fund would deliver approximately 15,000 homes across Greater Manchester during the year lifetime.

The Leader of the Council (Councillor Sue Derbyshire) in her capacity as Portfolio Lead for AGMA and Councillor the Executive Councillor (Support and Governance) (Councillor Iain Roberts) attended the meeting in order                          to respond to Members’ questions.

The following comments were made/issues raised:-

·         From this Scrutiny Committee’s perspective, the development of the Fund was still at an early stage for Members to comment fully.

·         The sites currently being brought forward were sites which Officers knew about and were suitable for housing.

·         The scheme was geared to land owners and smaller developers providing new housing and renovations and conversions of existing buildings. The scheme was not yet at the stage where developers were being selected,but when they were, planning policy requirements did include requirements for local labour/training.

·         The success of the scheme would be gauged by the number of new housing units being built.

·         Manchester City Council was leading on the project and the risks to the local authorities would be minimised by checks and balances within the scheme.

·         The powers of the Homes and Communities Agency with regard to compulsory purchase were powers inherited from English Partnerships.

RESOLVED – That the Scrutiny Committee supports those aspects of the scheme which fall within its remit.

To consider a report of the Corporate Director, Corporate and Support Services.

The report provides an overview of complaints, as at the 4th quarter (January - March) 2014/15. The report also compares complaints received in 2014/15 with the previous year’s complaints including:

·         Performance overview

·         Overview of Stage 1 & Stage 2 Corporate Complaints

·         Overview of statutory Adults Social Care Complaints

·         Overview of statutory Children’s Social Care Complaints

·         Overview of complaints about Stockport Homes

·         Overview of complaints referred to the Local Government Ombudsman (LGO)

·         Lessons learnt as a result of complaints

Within each section, complaints information is provided in relation to:

·         Numbers of complaints received

·         Percentage of complaints upheld

·         Percentage of complaints dealt with within agreed timescales

The Scrutiny Committee is requested to:

·         Review performance information contained in this report, and

·         Comment on the performance measures reported and suggest any additional information that might be collected in future.

Officer contact Anwar Majothi on 0161 474 3182, or by email on anwar.majothi@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies if which had been circulated) providing an overview of complaints as at the fourth quarter (January – March) 2014/15. The report also compared complaints received in 2014/15 with the previous year’s complaints.

The Executive Councillor (Support and Governance) (Councillor Iain Roberts) attended the meeting to respond to Members’ questions.

RESOLVED – That the performance information and measures contained in the report be noted.

To consider a report of the Corporate Director, Corporate and Support Services.

The Greater Manchester and Cheshire East Business Rates Pool has been invited to pilot a new scheme for the full retention of business rates growth commencing 1 April 2015.  This builds on the existing pooling arrangements and should enable additional income to be retained for the purposes of the pool without impacting on the financial position of each district participating in the pool.

The purpose of this report is to:

·         Remind Members of the existing district and GM pooling arrangements;

·         Provide an outline of the proposed ‘full retention of growth’ scheme;

·         Make recommendations with regard to the new scheme’s endorsement and continued development.

The Executive at its meeting on 16 June will be  recommended to:

·         Endorse and agree the Business Rates retention scheme as set out in the report of 27 March 2015 to the AGMA Executive and Greater Manchester Combined Authority (attached at Appendix One);

·         Delegate authority to the Corporate Director, Corporate and Support Services in consultation with the Executive Councillor, Corporate, Customer and Community Services to work with the GMCA Treasurer and other district Treasurers to finalise the detailed arrangements for the introduction and operation of the scheme;

·         Request a further report from the GMCA detailing how any additional revenues generated will support the promotion of Greater Manchester’s growth and reform strategies

The Scrutiny Committee is invited to comment on the recommendations to the Executive.

Officer contact Andy Moran on Tel: 0161 474 4086 or by email on andrew.moran@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) in connection with the Greater Manchester and Cheshire East Business Rates Pool having been invited to pilot a new scheme for the full retention of business rates growth commencing on 1 April 2015. This built on existing pooling arrangements and should enable additional income to be retained for the purposes of the pool without impacting on the financial position of each district participating in the pool. The proposed scheme enabled 100% of business rates growth to be retained within the Greater Manchester and Cheshire East Business Rates pool and complemented the goal of achieving fiscal devolution for Greater Manchester.

The new scheme would work alongside the existing district and pooling arrangements. The scheme was designed to capture all business rates growth across the city region without any additional downside risks that would be associated with reduced business rates income. Growth would be measured against an agreed baseline based on district NNDR1 returns which had been submitted to the Department for Communities and Local Government in January 2015.

The Executive Councillor (Support and Governance) (Councillor Iain Roberts) attended the meeting to respond to Members’ questions.

The following comments were made/issues raised:-

·         The effect of the inclusion of Cheshire East Council within the pool on the risk involved in the pool was discussed.

·         Whether responsibility for the scheme lay with the Greater Manchester Combined Authority or the Association of Greater Manchester Authorities.

·         The current pooling arrangements were for a twelve months’ term and there would be the opportunity to revisit the pooling arrangements at the time of the next local government finance settlement.

RESOLVED – That the report be noted.

To consider a report of the Corporate Director, Corporate and Support Services

The report sets out the Executive response to this Scrutiny Committee’s review ‘The use of public buildings in the Borough and their availability for community use’.

The Executive at it’s meeting on 21 April 2015 agreed the response to the recommendations arising from the scrutiny review as set out in the report.

The Scrutiny Committee is invited to note the Executive response.

Officer contact: Murray Carr, 0161 474 3019, murray.carr@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) setting out the Executive’s response to this Scrutiny Committee’s review on ‘The use of public buildings in the Borough and their availability for community use’.

The Executive Councillor (Support and Governance) (Councillor Iain Roberts) attended the meeting to respond to Members’ questions.

RESOLVED – That the Executive’s response to this Scrutiny Committee’s review on ‘The use of public buildings in the Borough and their availability for community use’ be noted.

To consider a report of the Deputy Chief Executive.

The Council’s Code of Practice for carrying out surveillance under the Regulation of Investigatory Powers Act 2000 (RIPA) specifies that quarterly reports will be taken to this Scrutiny Committee to demonstrate that the Council is complying with its own Code of Practice when using RIPA.

The report provides an update in relation to the fourth quarter of the 2014-2015 financial year.

The Scrutiny Committee is asked to note this report.

Officer contact: Joy Morton on joy.morton@stockport.gov.uk or 0161 474 3219.

A representative of the Deputy Chief Executive submitted a report (copies of which had been circulated) providing an update for the fourth quarter of the 2014/15 financial year to demonstrate that the Council’s use of directed surveillance and covert human intelligence sources complied with its own Code of Practice when using the Regulation of Investigatory Powers Act 2000.

The Executive Councillor (Support and Governance) (Councillor Iain Roberts) attended the meeting to respond to Members’ questions.

RESOLVED – That the report be noted.

To consider a report of the Monitoring Officer.

The report sets out a number of proposed changes to the Council’s Constitution under the following headings:

(a)       Contract Procedure Rules (Appendix A)

(b)       Scheme of delegation – Officers and Executive (Appendix B)

The Scrutiny Committee is recommended to consider and comment on the proposals for changes to the Constitution as set out in Appendices A and B inclusive.

Officer contact: Craig Ainsworth on 474 3204 or email: craig.ainsworth@stockport.gov.uk

The Monitoring Officer submitted a report (copies of which had been circulated) setting out a number of proposed changes to the Council’s Constitution with regard to the Contract Procedure Rules and the Scheme of Delegation – Officers and Executive. The STaR joint committee had considered a set of rules which harmonised the procedures to be followed by Stockport, Rochdale and Trafford Councils before entering into contracts (the Contract Procedure Rules).  The rules would harmonise the procedures to be followed by Rochdale, Stockport and Trafford Councils when awarding contracts using the shared procurement service (STaR).

The Constitution Working Party had considered the report on 22 April 2015 and the following comments were made/issues raised:-

·         There was a need for more information on the arrangement of pre-tender inspection visits.

Members of the Constitution Working Party had been advised that information would continue to be made available to the market and pre-tender inspection visits arranged in compliance with the Procurement Regulations 2015

·         The Contract Procedure Rules only covered cost changes and there was no procedure for handling different types of modification of a Contract or Framework Agreement.

Members of the Constitution Working Party had been advised that in the harmonised Contract Procedure Rules there was provision for some flexibility where the new Procurement Regulations 2015 allow this. The “modifications” section allows some flexibility in terms of variations to contracts and extensions within defined parameters.

·         If the number of contractors increased substantially without a select list then the processing costs to the Council would increase.

Members of the Constitution Working Party had been advised that this is something that STaR have identified and agreed to monitor/keep under review.                

·         A number of Council Officers, including the Internal Audit and Risk Manager, had been involved in the process of harmonising the Contract Procedure Rules from the three authorities from the outset.

·         The Contract Procedure Rules adhered to Stockport Council’s resolution on companies who had been involved in Blacklisting, as agreed by the Council Meeting on 11 September 2014.

The Scrutiny Committee considered the issues raised by the Working Party and debated how local businesses could carry out more work for Stockport, Rochdale and Trafford Councils. Whilst the local authorities were governed by the provisions of the Public Procurement Regulations 2015, encouragement would be given to local businesses to compete for contracts from the Council.

RESOLVED – That the Executive Meeting be requested to recommend the Council Meeting to approve the changes to the Constitution set out in Appendices A and B of the report.

To consider a report of the Democratic Services Manager.               

The report sets out planned agenda items for future meetings of the Committee and Forward Plan items that fall within its remit.

The Scrutiny Committee is invited to consider the information in the report and put forward any agenda items for future meetings.

Officer contact: Craig Ainsworth, Democratic Services Manager, telephone number 474 3204, email: craig.ainsworth@stockport.gov.uk.

A representative of the Democratic Services Manager submitted a report (copies of which had been circulated) setting out the planned items for the Scrutiny Committee’s future meetings and Forward Plan items which fell within the remit of the Scrutiny Committee.

RESOLVED –  (1) That the report be noted

(2) That a date for the report on the Cheadle ‘Our Place’ project for Locality Working to be submitted to this Scrutiny Committee be included in the Agenda Planning report for the next meeting of this Scrutiny Committee.