Agenda and minutes

Councillor Nick McDonald  (non Council business)

Alison Michalska

None

Last meeting held on 18 November 2014 (for confirmation)

The Board confirmed the minutes of the meeting held on 18 November 2014 as a correct record and they were signed by the Chair.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report seeking approval to implement a new salary sacrifice scheme to allow colleagues to lease a new CO₂ efficient car that is insured and maintained for a fixed monthly amount over 3 years.

Salary is sacrificed on gross income before Income Tax and National Insurance are deducted so average savings are approximately £1,000 per year in tax, National Insurance and pension contributions.

RESOLVED to

(1)  approve a salary sacrifice car scheme with a proposed implementation and launch in early 2015;

(2)  approve the appointment of Tusker Direct Limited as the Council’s car lease supplier under the salary sacrifice scheme for a 4 year period, noting that they have been selected from a compliant framework;

(3)  note the continued take up of 3% required in each of the years in order to generate potential savings of £137,000 in the first year, possibly increasing to £821,000 (cumulative) over a 3 year period;

(4)  agree that £45,000 of the employer savings achieved following the introduction of the car lease scheme will be ring-fenced to fund the creation of additional resources to ensure delivery of the scheme.

Reasons for decisions

New salary sacrifice schemes are regularly considered in order to increase the savings generated through them and enhance the current employee benefit offer, and car leasing can significantly contribute to the savings required by the Council and is becoming increasingly popular.

Savings are based on a 3% take up rate and other organisations similar to the Council have reported take up to be 3-9% of the workforce.

The appointment of Tusker Direct Limited as the Council’s car lease supplier meet Best Value requirements as they have been selected from a compliant framework (North of England) and they have significant knowledge and experience. There are no minimum requirements for the number of vehicles to be hired through the contract period.

Other options considered

The current car loan scheme is currently restricted to former essential car users only but extending it to all colleagues was considered. This was rejected because it would not generate any savings for the Council or employees.

Setting up and running a car lease scheme in house was rejected because it would cost more than any potential savings generated.

A loan scheme to enable employees to purchase cars was rejected as it would not achieve any savings and the financial outlay would present a major risk to the authority.

Report of Leader/Portfolio Holder for Strategic Regeneration and Schools

The Board considered the Leader/Portfolio Holder for Strategic Regeneration and Schools’ report proposing that the Council commences all available statutory processes, including Compulsory Purchase Order (CPO) powers, to immediately gain ownership of the Island Site to enable it to be developed.

The site has been left undeveloped with some of the older buildings left derelict, and it has been identified as a strategic regeneration site which is central to the growth aspirations of the City. The Council has provided support and encouraged development but the owner of the site has not made any meaningful progress and the planning permission granted in 2008 has lapsed.

RESOLVED to

(1)  delegate authority to the Deputy Chief Executive/Corporate Director for Development and Growth to commence the CPO process to gain ownership and to bring forward development of the site for housing and employment purposes;

(2)  authorise officers to instigate enforcement actions with regards to the disrepair of the Northern Warehouse listed building;

(3)  approve that officers continue with conventional negotiations to seek to secure the right to purchase the Island Site;

(4)  approve an initial budget of up to £75,000 to cover the professional fees associated with the statutory processes and delegate authority to the Deputy Chief Executive/Corporate Director for Development and Growth, in consultation with the Leader/Portfolio Holder for Strategic Regeneration and Schools, to procure and appoint external advisors necessary for the statutory processes;

(5)  approve that, once negotiations and valuations are concluded, a Full Business Case for the purchase of the site, either at the negotiated value or using compulsory purchase powers, is completed for consideration and decision by the Executive Board.

Reasons for decisions

The development of the Island Site is aligned to several strategic priorities of the Council and, unless the Council takes decisive action, development of the site may never happen.

Other options considered

Giving the current owner more time to move forward development or dispose of the site to a third party was rejected as there is no evidence that this would result in any positive progress.

Working in partnership with the current owner was rejected as the Council has historically been supportive of the owner’s attempts at moving forward development and the lack of progress on the Island Site and neglect of other sites in the City managed by the same party have resulted in the Council believing that this is not a viable option.

Report of Leader/Portfolio Holder for Strategic Regeneration and Schools

The Board considered the Leader/Portfolio Holder for Strategic Regeneration and Schools’ report providing an update of the progress in the delivery of the Council’s strategic priorities contained in the Labour Manifesto which was adopted as Council policy in June 2011.

Of the 137 Manifesto commitments, 128 are complete or will be complete by March 2015, 5 commitments are close to target but unlikely to be fully met by March 2015, and 3 commitments will not be achieved.

RESOLVED to note the progress made in delivering the current Labour Manifesto commitments adopted as Council policy in June 2011, as detailed in the appendices of the report.

Reasons for decisions

To ensure that the Executive Board are aware of the progress made to date in delivering the key commitments.

Other options considered

No other options were considered as the report is for information only.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report providing an up to date assessment of the Council’s current and forecast year end financial position for the General Fund revenue account, Capital Programme and the Housing Revenue Account (HRA), based on activity to the end of September 2014. The overall revenue position shows only a minor variation from the approved budget.

RESOLVED to

(1)  note:

(a)  the overall current (medium case) forecast net overspend of £0.174m, as set out in paragraph 2.2 and Appendix A of the report;

(b)  the management action being taken to control the identified cost pressures across services, as set out in Appendix B of the report;

(c)  the progress of the implementation of cost reductions, invest to saves, pressures and income generation, as set out in paragraph 2.5 of the report;

(d)  the forecast working balance of £4.000m on the HRA, as set out in paragraph 2.7 of the report; 

(e)  the forecast position on the Capital Programme, as set out in paragraph 2.9 of the report;

(f)  the Capital Programme projections at Quarter 2, as set out in paragraph 2.9 of the report;

(g)  the additions to the Capital Programme listed in Appendix E of the report;

(h)  the variations to the Capital Programme listed in Appendix F of the report;

(i)  the refreshed Capital Programme, including schemes in development, and the unallocated resources of £10.061m, as set out in tables 7 and 9 of paragraph 2.9 of the report;

(2)  approve the movements of resources set out in paragraph 2.6 and Appendix D of the report;

(3)  note and endorse the allocations from the corporate contingency set out in paragraph 2.4 of the report.

Reasons for decisions

It enables formal monitoring of progress against the 2014/15 budget and the impact of actual and planned management action, and the approval for virements of budgets is required by corporate financial procedures.

Other options considered

No other options were considered as the Council is required to ensure that, at a corporate level, expenditure and income are kept within approved budget levels and the report sets out how this is being managed.

Report of the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Chair of the Board agreed that this item, although not on the original agenda, could be considered as a matter of urgency in accordance with Section 100B(4)(b) of the Local Government Act 1972, because the proposals need to be released for formal public consultation.

This decision is not subject to call-in as Councillor Brian Parbutt, Chair of the Overview and Scrutiny Committee, has agreed that the decision is reasonable in all the circumstances and should be treated as a matter of urgency as any delay will impact on the public consultation period.

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report detailing the draft proposals for the revenue element of the Council’s draft Medium Term Financial Plan (MTFP) for 2015/16 to 2017/18, comprising savings of £21.8m in 2015/16.

Councillor Jane Urquhart informed the Board that, following legal advice, proposal 5 from the planning and transportation savings was being withdrawn.

RESOLVED to note, endorse and release the MTFP proposals, set out in paragraph 2.4 and Table 3 of the report, for formal public consultation, noting that further details relating to individual savings are in Appendix 1 of the report.

To consider excluding the public from the meeting during consideration

of the remaining item(s) in accordance with section 100a(4) of the Local

Government Act 1972 on the basis that, having regard to all the

circumstances, the public interest in maintaining the exemption

outweighs the public interest in disclosing the information

The Board decided to exclude the public from the meeting during consideration of the remaining agenda item in accordance with Section 100A(4) of the Local Government Act 1972 on the basis that, having regard to all the circumstances, the public interest in maintaining the exemption outweighs the public interest in disclosing the information.

Report of Leader/Portfolio Holder for Strategic Regeneration  and Schools

The Board considered the Leader/Portfolio Holder for Strategic Regeneration and Schools’ exempt report.

RESOLVED to approve the recommendations in the report.

Reasons for decisions

As detailed in the report.

Other options considered

As detailed in the report.