Meeting documents

Policy and Resources Scrutiny Committee
Thursday, 28th November, 2013 6.30 pm

The Cabinet Minutes

Date:
Tuesday, 5th November, 2013
Time:
14:00
Place:
Civic Suite, Civic Centre, Southend-on-Sea
 

Attendance Details

ItemDescriptionResolution
Part I
444 Future Management of Councils Housing Stock - Report of ALMO Task & Finish Group
Scrutiny Comment for item 444
Business for item 444
Resolved:-

1. That the Council allows the management agreement with South Essex Homes (SEH) to run until March 2016, subject to SEH meeting requirements in relation to performance savings, efficiencies and income generation.

2. That in considering the options for the future management, post 2016, of its housing stock, the Council should not exclude consideration of other forms of housing management. This should be done in the light of the Council's requirements at the time and the performance of SEH.

3. That SEH is supported and encouraged in their moves to pursue a more commercial approach, with an expectation that their business plans are reviewed regularly, with a view to significantly increasing levels of income earned.

4. That the Council and SEH continue to work actively to progress further moves to share services, and reduce areas of duplication. This should include co-location of SEH staff at the Civic Centre, while maintaining suitable access for SEH tenants and tenant representatives. Moves to share services should take into account moves by SEH and the Council to develop their commercial capacity and generate income from external sources.

5. That the assumptions built into the medium term financial strategy to reduce the management fee by £500,000 by 2016/17 are endorsed. However, further work should be undertaken to identify savings beyond this level and that this work should be built into the rent-setting process.

6. That the SEH Board looks to further streamline its governance arrangements and related costs.

7. That the SEH Board is streamlined to comprise: four councillor nominees, three independent members and three resident representatives.

8. That the designated Chair of the Board is chosen from the independent representatives.

9. That recent moves to strengthen client monitoring arrangements of SEH are supported with an expectation that client officers attend SEH Board meetings and its sub-committees.

10. That any significant change in the management arrangements for the Council's housing stock are subject to extensive consultation with tenants and leaseholders and other appropriate stakeholders. Any consultation should ensure that all tenants and leaseholders are informed about proposals and that they have the ability to comment on them. This should, therefore, consist of a range of methods, including a combination of using paper, telephone and online feedback, alongside a high profile communications campaign to ensure tenants and leaseholders are aware of the proposals.

Recommended:-

11. That the work of the Task and Finish Group is consolidated into the Housing Working Party with a remit to meet regularly to review progress on the review's recommendations. This will include reviewing progress on the levels of savings/efficiencies to be achieved and performance of SEH. Therefore the terms of reference of the Housing Working Party be amended accordingly (Part 3, Schedule 2 of the Constitution).

Reasons for Decision

To progress efficiency measures in relation to the management of the housing stock.

Other Options

As set out in Appendix 1 to the submitted report.

Note:- The decisions in 1-10 above constitute an Executive Function. The decision in 11 above constitutes a Council Function.
Eligible for call in to Policy and Resources Scrutiny Committee.
Executive Councillor: Salter
This matter had previously been subject to pre-Cabinet Scrutiny.
*Called in to:- Policy and Resources Scrutiny Committee
14:00/15:50

Attendance Details

Present:
Councillor N Holdcroft (Chairman),
Councillors J I Courtenay, T Cox, J M Garston, D J Jarvis, J L Lamb, A J Moring, L P Salter.
In attendance:
R Tinlin, J Williams, S Leftley, A Lewis, A Atherton, J Chesterton, J Ruffle and C Gamble.

Also present: Councillors Assenheim, Chalk, Crystall, Godwin, Hadley, Lewin, McMahon, Stafford and Woodley.

Scrutiny Comment

ItemComment
444 Called in by Councillors G Longley and P Collins.
Final call on 13/11/2013 at 12:04
Resolved:-

1. That the following decisions of Cabinet be noted, with the minor amendment to Resolution (7), as set out below, underlined text:

"1. That the Council allows the management agreement with South Essex Homes (SEH) to run until March 2016, subject to SEH meeting requirements in relation to performance savings, efficiencies and income generation.

2. That in considering the options for the future management, post 2016, of its housing stock, the Council should not exclude consideration of other forms of housing management. This should be done in the light of the Council's requirements at the time and the performance of SEH.

3. That SEH is supported and encouraged in their moves to pursue a more commercial approach, with an expectation that their business plans are reviewed regularly, with a view to significantly increasing levels of income earned.

4. That the Council and SEH continue to work actively to progress further moves to share services, and reduce areas of duplication. This should include co-location of SEH staff at the Civic Centre, while maintaining suitable access for SEH tenants and tenant representatives. Moves to share services should take into account moves by SEH and the Council to develop their commercial capacity and generate income from external sources.

5. That the assumptions built into the medium term financial strategy to reduce the management fee by £500,000 by 2016/17 are endorsed. However, further work should be undertaken to identify savings beyond this level and that this work should be built into the rent-setting process.

6. That the SEH Board looks to further streamline its governance arrangements and related costs.

7. That the SEH Board is streamlined to comprise: four councillor nominees, three independent members and three resident representatives. The councillor nominees should not receive an allowance for undertaking this role.

8. That the designated Chair of the Board is chosen from the independent representatives.

9. That recent moves to strengthen client monitoring arrangements of SEH are supported with an expectation that client officers attend SEH Board meetings and its sub-committees.

10. That any significant change in the management arrangements for the Council's housing stock are subject to extensive consultation with tenants and leaseholders and other appropriate stakeholders. Any consultation should ensure that all tenants and leaseholders are informed about proposals and that they have the ability to comment on them. This should, therefore, consist of a range of methods, including a combination of using paper, telephone and online feedback, alongside a high profile communications campaign to ensure tenants and leaseholders are aware of the proposals."

2. That the following recommendation of Cabinet be noted:-

"11. That the work of the Task and Finish Group is consolidated into the Housing Working Party with a remit to meet regularly to review progress on the review's recommendations. This will include reviewing progress on the levels of savings/efficiencies to be achieved and performance of SEH. Therefore the terms of reference of the Housing Working Party be amended accordingly (Part 3, Schedule 2 of the Constitution)."

Note:- The decisions in 1-10 above constitute an Executive Function. The decision in 11 above constitutes a Council Function.
Executive Councillor: Salter
This matter had previously been subject to pre-Cabinet scrutiny.

Business

ItemBusiness
444The Cabinet considered a report of the Corporate Director for People presenting the final report of the ALMO Task & Finish Group on the future management of the Council's housing stock.

The Leader of the Council referred to the excellent work undertaken by members of the Working Party and the officers supporting the review and asked that the appreciation of members of the Cabinet be recorded.

 

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