Agenda and minutes

Apologies were submitted on behalf of Councillor Mayne with the substitution of Councillor Mrs Hall authorised in accordance with Council Procedure Rule 4.

To confirm the minutes of the meeting of the Finance Audit & Performance Committee held on 11 November 2013.

RESOLVED – the minutes of the meeting held on 11 November 2013 be confirmed and signed by the Chairman.

To receive verbally from members any disclosures which they are required to make in accordance with the Council’s code of conduct or in pursuance of Section 106 of the Local Government Finance Act 1992.  This is in addition to the need for such disclosure to be also given when the relevant matter is reached on the Agenda.

Whilst not a member of the Committee, Councillor Nichols wished it to be noted that he was the council’s representative on the board of Hinckley Club for Young People.

No interests were declared.

To consider the passing of a resolution under Section 100A(4) of the Local Government Act 1972 excluding the public from the undermentioned item of business on the grounds that it involves the likely disclosure of exempt information as defined in paragraphs 3 and 10 of Schedule 12A of the 1972 Act.

On the motion of Councillor Camamile seconded by Councillor Mr Hall, it was

RESOLVED – in accordance with section 100A(4) of the Local Government Act 1972, the public be excluded from the following item of business on the grounds that it involves the disclosure of exempt information as defined in paragraphs 3 and 10 of Part I of Schedule 12A of that Act.

Report now attached. This report is private due to the sensitive content belonging to a third party which is not in the public domain.

Following the request of the Committee that a review of the position of Hinckley Club for Young People be reviewed, a report was presented to members which had been prepared by Internal Audit and outlined the club’s position, strengths and weaknesses. The report had been shared with the Club and they had responded to certain points within the report. This had been circulated to members in advance of the meeting. It was reiterated that the report wasn’t a review of the accounts, but was a review of the general position in order to facilitate discussion and encourage interaction with the Club, which had now been achieved.

During discussion, the following matters were raised or discussed:

·         The rental cost for the bar and reasons for decreasing the rent and agreeing profit share;

·         The status of the Club as a charity, and independent of the Council;

·         Praise for the facilities by users of the Club;

·         The drop in membership;

·         The increase in income from room hire.

It was noted that some members had originally asked to see a business plan, but it had not been forthcoming. Whilst they acknowledged that the Club was a separate entity to the Council and did not answer to the Committee or the Council, members asked again that a copy of the business plan be provided.

Members generally felt that Internal Audit should have the opportunity to consider the comments made by the Club on the report and suggested that it be deferred for further consideration. It was also requested that a letter be sent to the Club outlining the committee’s requests.

On the motion of Councillor Moore, seconded by Councillor Batty, it was

RESOLVED –

(i)         the item be deferred to the meeting on 31 March to allow Internal Audit to consider the responses provided by the Club and business cases be provided to members;

(ii)        a letter be sent to the Club from the Chairman to outline the committee’s requests.

Councillors Mrs Hall and Nichols left the meeting.

RESOLVED – the public and press be re-admitted for the remaining items of business.

In presenting the Internal Audit report, it was noted that Significant Assurance had been given to Markets, Payments and Creditors and that minor recommendations with Moderate Assurance had been given to Members’ Allowances and Car Parking. Members requested that a report detailing progress on car parking issues and options for providing car parking provisions be brought to the next meeting.

With regard to tracking of previous recommendations it was noted that of 94 recommendations, 56 had been implemented, 17 had been closed and 21 had not been completed. Eight recommendations were more than six months overdue, but none of these were high risk areas.

Some changes to the Audit Plan were proposed by the Auditor to allow for focus on corporate risk including housing investment, MIRA and the town centre.

RESOLVED –

(i)         a report on car parking be brought to the next meeting;

(ii)        the report be noted.

Report of the Deputy Chief Executive (Corporate Direction).

In introducing the draft Capital Programme, attention was drawn to the large projects, potential changes following the Green Spaces review, and the HRA Investment Plan. Members were reminded that they would be invited to the Scrutiny Commission on 16 January where the draft budget would be scrutinised. During discussion the following points were raised:

·         The legal agreement for use of the Squash Club as a community facility.

·         The current position regarding the housing investment priority of new build of affordable housing, where a development partner was being procured. Council-owned land and garage sites would be considered in the first instance, and a report was being drafted to regarding buy back of former right to buy properties.  The brief for the development partner would include looking for opportunities such as rural exception site development.

·         There was an error in the report which referred to Care and Repair, as this organisation was no longer the council’s contractor for carrying out disabled adaptations.

RESOLVED – the report be noted.

Councillor Camamile left the meeting at 7.56pm.

Report of the Deputy Chief Executive (Corporate Direction).

Members received the budget monitoring report for the second quarter 2013-14. It was noted that the general fund was currently showing a £406,000 underspend which would be slightly decreased due to the supplementary budget for the Squash Club. In respect of the Capital Programme, £2.9m of the £4m available had been spent, and there was assurance that there would be no underspend by the end of the year on the Green Deal element of the capital programme as it had all been committed. With regard to the Housing Revenue Account, a £13,000 overspend was forecast.

RESOLVED – the report be noted.

Report of Deputy Chief Executive (Corporate Direction).

Members received an update which highlighted ‘red’ service and corporate risks.

RESOLVED – the report be noted.

Report of the Deputy Chief Executive (Corporate Direction).

With regard to the Localisation of Council Tax Support it was noted that the position was extremely positive for cumulative collection rates. On the matter of business rates retention, the forecasts were not as positive as anticipated. It was felt that this was due partly to the introduction of Academy schools which were eligible for charitable relief and partly due to the decrease in rateable values.

The recent decision to disband the Leicestershire Pool (for business rates) due to not being financially viable was reported.

RESOLVED – the report be noted.

Report of Deputy Chief Executive (Corporate Direction).

In relation to sundry debts, it was noted that these had increased slightly but that the majority was new debt due to quarterly invoices having been produced in October.

RESOLVED – the report be noted.

Report of the Deputy Chief Executive (Community Direction).

The development of the Tenant Recharge Policy which would operate alongside a revised Tenancy Agreement was reported to members. It was explained that the policy would be developed with tenants, and the intention of the Policy was to encourage good tenant behaviour and responsibility for actions and that it would cover lock changes, repairs required due to neglect, unsafe DIY and voids repairs resulting from lack of care by the tenant. It was noted that there would be exceptions and affordable payment plans.

With regard to untidy gardens it was advised that officers would work with tenants and if improvements were not made, the works could be carried out and a recharge made. The Tidy Garden scheme was discussed which would include a tool share scheme to assist residents.

In response to a query about how the Recharge policy would be enforced, it was noted that it would be carried out in liaison with the finance team and the formal recovery process would be instigated.

RESOLVED – the report be noted.

Members were reminded that they were invited to the Scrutiny Commission on 16 January where the budget would be scrutinised. It was suggested that due to the budget being considered at this meeting rather than by the Finance, Audit & Performance Committee in February, there may be little need for the February meeting. This would be confirmed as soon as possible.

It was reiterated that a further report on Hinckley Club for Young People would be considered at the meeting on 31 March.