• Deloitte has produced a systems report following preparatory work in May 2004 17
• No significant weaknesses were identified in the processing of transactions and the provision of reliable accounting information 17
• The report however contains an action plan with agreed recommendations to make improvements. 17
• This Committee has a role as “Audit” Committee to receive such reports in line with best practice on Corporate Governance 17
14 DEVELOPMENT SERVICES UNIT - SERVICE IMPROVEMENT PLAN 17
• The current workload within the Development Services Unit is becoming difficult to manage, and we are not currently achieving our statutory performance targets 18
• Government Office North East (GONE) has requested that we produce an action plan for improvement 18
Members: Councillors A R Bowlas, D G R Buckle, G M Elliott, G P Horsburgh, A Hughes, E I Hunter, C M Liddell-Granger, J D Lockie, D McClymont, R J Patterson, L W Robson and J E Smith.
If you have any enquiries about items on this Agenda, please contact
The Meeting will be open to the Press and Public during consideration of
the items set out in Part 1 of this Agenda.
1 DECLARATION OF INTEREST
Members are invited to declare any interest they may have in any of the items included on the agenda for this Meeting.
[Note: Any Member wishing to seek clarification as to whether it may be appropriate to declare an interest in respect of any item on this agenda should seek advice from the Chief Executive or Borough Solicitor at least one working day before the Meeting].
2 MINUTES OF THE MEETING OF POLICY (CORPORATE SERVICES AND REGENERATION) COMMITTEE HELD ON 15TH SEPTEMBER 2004
Previously circulated; Chairman to sign.
3 REVIEW OF IMPLEMENTATION OF THE DISABILITY DISCRIMINATION ACT IN BERWICK BOROUGH COUNCIL
Report Authors: Councillors SJ Anderson and FI Simpson
Summary:
• Outlines a review of the Council’s policy on the implementation of the Disability Discrimination Act 1995
• Makes recommendations on how to ensure that policy is fulfilled
Purpose:
To inform Members of the findings of a review undertaken by a task group from the Overview and Scrutiny Committee into the Council’s policy on the implementation of the Disability Discrimination Act, and to make recommendations about access to the Council’s services and processes. Also, to consider how the Council works in partnership with others to ensure that the Borough is accessible to all.
Report:
In 2003 a task group of the Overview and Scrutiny was set up to review the Borough Council’s Access Strategy and DDA (Disability Discirmination Act 1995) Policy, in order to endorse the policy and to consider some implications for the work of the authority in its role in promoting community wellbeing.
Consultations were undertaken with Berwick Borough DisAbility Forum, Parish Councils, community groups and other interested parties, and a report was prepared which includes some specific recommendations about access to the Council’s services and processes, and consideration of how the Council works in partnership with others to ensure that the Borough is accessible to all.
*** The review is attached as an appendix to this report. It was presented to the Overview and Scrutiny Committee meeting on 21st September 2004, and the Committee resolved to agree the final form of the report and commend its recommendations to the Policy CS&R Committee.
Implications:
Financial:
There will not be significant costs attached to the implementation of the recommendations in the review.
Legal:
As a body providing public services, Berwick-upon-Tweed Borough Council must comply with the Disability Discrimination Act 1995 legislation.
Personnel:
There will be a requirement for training, particularly of frontline staff, to ensure that they fully understand the implications of the DDA 1995, and are able to deal appropriately with the particular special needs of disabled customers. There will also be a need for personnel resources to implement some of the recommendations of the review.
Recommendations: (i) To accept the review; and (ii) to agree to implement its recommendations to ensure the Council’s compliance with the requirements of the Disability Discrimination Act 1995, and to make Berwick-upon-Tweed an accessible Borough.
4 PILOT TAXI VOUCHER SCHEME FOR PEOPLE WITH DISABILITIES IN BERWICK BOROUGH
Report Authors: John McLuckie, Improvement Project Team Leader, tel 01289 301707, email jm@berwick-upon-tweed.gov.uk
Summary:
• Describes a pilot scheme for subsidised taxi travel for older disabled people
Requests funding support from the Borough Council
Purpose:
To seek support for a two year pilot taxi voucher scheme.
Report:
For many older people with disabilities, the options for public or personal transport are severely limited. Limitations in transport mean limitations in independent living. For those living in remote areas, access to buses can be a problem. For those on low incomes, many forms of transport are prohibitively expensive. Taxis are an ideal form of transport for people who do not have a car, cannot drive or do not have a good local bus service but the cost per journey is high.
To consider ways of subsidising taxi travel for this vulnerable group, representatives of Social Services, North Northumberland Rural Transport Forum, Age Concern Northumberland, Berwick disAbility Forum, the Borough Council and the Taxi trade have met to put together the following proposal for a taxi voucher pilot scheme. The pilot should be small and focussed and should not undercut existing subsidy arrangements for buses.
The scheme has the additional benefits of providing valuable data on the transport needs of older people with disabilities and on the need for specially adapted taxis. The Disability Discrimination Act requires that all taxis be wheelchair accessible by 2020.
Eligibility
The scheme will concentrate on those who cannot access other means of transport and eligibility for the scheme will depend on a recommendation from the applicant’s GP or another professional who can attest to the applicant’s need for this service. Each application will be assessed on its own merits. The scheme will not apply to those who receive a mobility allowance.
One-Off Vouchers for Benefits Interviews
In addition to the regular users of the scheme, subsidised travel by taxi will be offered to a maximum of 225 older people for attendance at interviews related directly to benefits claims. This element will only be included if the application to the Pension Partnership Fund is successful.
Scope
For purposes of comparison, two rural areas, Tillside and Lowick / Bowsden, and the town of Berwick will be the focus of the pilot. 5 applicants will be sought from Lowick, 5 from Tillside and 10 from Berwick. The pilot will last for 24 months, with regular reviews and a major evaluation towards the end of the pilot.
Level of Subsidy
Members of the pilot scheme will be entitled to 104 trips in the course of the year and may also apply for the benefits interview vouchers.
Users will pay the first £1.50 (tariff 1) or £2 (tariff 2) and the remainder of the journey will be paid by the Scheme up to a ceiling of £8. Users will pay for the remainder of the fare if it exceeds the ceiling. Sharing of taxis will be encouraged.
The same level of subsidy is available for the benefits interview vouchers. Users of this service will be entitled to a maximum of four trips per year.
Cost
The pilot scheme will cost £33,090 for each year. An application has already been made to the Pension Service Partnership fund and grants of £3000 each have already been allocated from the Leisure Buddies Scheme and NNRTP. The breakdown of costs is as follows:
Maximum journey subsidy (20 x 104 x £8) £16,640
Benefit interview subsidy (225 x 4 x £8) £7,200
Administrative costs (p/t salary and on-costs) £9,250
TOTAL £33,090
It is requested that Berwick Borough Council contribute £3000 for each year of the pilot.
Host Organisation
Age Concern Northumberland will administer the scheme.
Implications:
Equal Opportunities:
The project gives improved access to benefits and services for older people, especially those with disabilities which have a negative impact on the ability to use most forms of public and private transport, thus giving equal opportunities to a particularly vulnerable group within a dispersed rural area.
Best Value and Best Practice:
The scheme extends an existing service (subsidised transport for older people) and models good practice in partnership working.
Financial/Legal/Personnel:
Costs outlined in the report. There are no significant personnel implications as the scheme is to be administered by Age Concern Northumberland.
Recommendation: To agree to contribute £3000 to the scheme for the first year of its operation subject to a suitable virement.
• Completion of the Union of the Crowns 400 Events
• Delay of invoicing outstanding expenditure incurred by the project
Purpose:
To update Members on the success of the Union of the Crowns 400 project and to request that Members delay the invoicing of the outstanding expenditure incurred by the project until all the grant applications have been received.
Report:
The Union of the Crowns 400 Festival ran from March 2003 to May 2004 and during that time it organised 5 major events and supported a number of events organised by local organisations. The festival culminated with the Berwick 400 Charter celebrations over the weekend 30th April – 3rd May which included a Freedom Parade, Riding the Bounds, historical re-enactments and the Tweed River Festival. This weekend attracted many visitors both from the surrounding area, the rest of the UK and abroad. Throughout its duration, the festival has involved at least 73 local clubs, schools and community groups in the area (Union of the Crowns 400 Final Project Report - see appendix A). It has raised the profile of the Borough nationally and internationally and made people more aware of our unique cultural and historical heritage.
A number of grant applications (Heritage Lottery Fund; Local Heritage Initiative and GOLD) were successfully submitted to cover the costs of the Charter 400 weekend and some additional events. Most of the grant money has now been received but as the Local Heritage Initiative project which included creating a permanent memorial for the festival (a stained glass panel which is to be hung in the Library) has not been completed and claims to Leader Plus are still outstanding, there remains a balance of approximately £11,000 to be repaid to the Council. Assuming the project which has cost c. £205,000 to run, receives its full allocation of funds from Leader Plus, the whole project will break even. However we have recently been notified very late in the day by Leader Plus that volunteer costs are ineligible for grant and the proportion of the grant they may not pay amounts to approximately £1090.00. This is an unfortunate misunderstanding and clarification is being sought with the funder. If we are unable to resolve this issue, then this outstanding amount will need to be funded from internal funds and a suitable virement will be sought. Given the complexity of funding streams, through which most of the project has been funded, and the number of different activities involved in the project, it would be a shame to let this glitch spoil what has been very tight management of this project.
Implications :
Best Value and Best Practice:
The project has been externally funded, except for a contribution of £4,000 and “in kind “ support from the Council.
Financial/Legal:
If the funding issue with Leader Plus is resolved, the Council will be repaid in full for the costs incurred by the project. If not, there will be a shortfall of approximately £1090.00 and a virement will be sought.
Recommendations : (i) To welcome the successful completion of the Union of the Crowns 400; and (ii) to agree to delay the invoicing of the remaining £11,000 or the proportion of that which can be covered by funding until those funds have been received.
• Annual review of the Housing and Council Tax Benefit Anti-Fraud Policy and Strategy
Purpose:
To adhere to the HB/CTB Performance Standards and best practice by: (1) reporting annually on the activity of the Counter Fraud Investigation Service & (2) reviewing and where appropriate updating policy and strategy in line with the HB/CTB Performance Standards and latest legislation.
Report:
Housing & Council Tax Fraud Investigations 2003/04
The following tables and notes compare the volume of work undertaken & results achieved for the previous two years and the first six months of 2004.
Referrals received:
No.
%
No.
%
No.
%
Number of cases referred
113
208
198
-
Number of cases accepted for investigation
94
83
99
49
108
55
Number of cases overloaded
0
1
6
3
Number of investigations complete
45
48
93
99
82
76
Number of investigations in action
49
52
6
1
26
24
The number of referrals accepted for investigation (83%) in the first six months of 2004/05 has increased. This is due to (1) better quality referrals due to raised awareness, (2) an increase in the frequency (monthly) of referrals from the Housing Benefit Matching Service & (3) the referrals generated via the joint working pro-active exercise with DWP Counter Fraud Investigation Service based at Blyth.
Sanctions issued & accepted
Number of cases awaiting prosecution
1
N/a
N/a
Number of cases prosecuted
0
1
1
Number of Admin Penalties imposed
8
11
8
Number of Formal Cautions issued
9
16
4
Total sanctions/prosecutions
17
28
13
Subsidy
Weekly Incorrect Benefit (WIB)
£ 9,205
£15,515
£14,117
Sanctions (Target £15,000)
£20,400
£35,200
£15,000
1.0 Total Subsidy payable
£29,605
£50,715
£29,117
The percentage of completed investigations resulting in a sanction being issued and accepted has increased year on year i.e. 12% (2002/03), 28% (2003/04) and 37% (1st six months of 2004/05).
The number of Sanctions issued and accepted between 2002/03 & 2003/04 has increased by 115% (13 to 28) with subsidy from sanctions increasing by £20,200 to £35,200. To date this year 17 sanctions have been issued and accepted, additionally 5 cases are currently awaiting sanction decisions with a further case being prepared for prosecution.
Fraudulent benefit overpayments
Since April 2002 the counter fraud investigation service has monitored and recovered fraudulent rent rebate and rent allowance overpayments, as at 30th September 2004 £52,181 (44%) of fraudulent obtained benefits had been recovered. A total of £65,925 remains outstanding (64 cases), all cases are actively being pursued and monies recovered through various arrangements i.e. agreed monthly instalments, claw back from on going benefits, debt recovery agencies and legal action.
Best Value Performance Indicator’s
There is one best value performance indicator (BVPI76) which relates to the investigation of benefit fraud and the table below shows the actual performance against target for 2003/04 and for the first six months of 2004/05.
Average Caseload 2003/04 – 2422
(The indicators below are based per 1,000 caseload)
2003/04
Targets
Apr–Mar 04
2003/04
Actuals
Apr – Mar 04
2004/05
Targets
Apr– Mar 05
2004/05
Actuals
Apr – Sep 04
a. Effective Visits (5)
50.14
3.72
30.97
2.06
b. No. of fraud investigators (fte 1.54)
0.39
0.41
0.62
0.64
c. No. of fraud investigations (94)
44.26
33.03
41.29
77.62
d. No. of prosecutions/sanctions (17)
6.27
11.56
11.56
14.04
Indicator (a) i.e. number of effective visits – this indicator was set assuming that the authority would be VF complaint, as this is not the case the target is unrealistic and will be reduced to reflect this when targets are revised later in the year.
Annual review and update of the Housing and Council Tax Benefit Anti-Fraud Policy and Strategy (inclusive of Investigators Code Of Conduct)
In line with best practice and the HB/CTB performance standards and to ensure compliance with latest legislation the above policy was reviewed. No changes have been necessary.
Implications:
Crime and Disorder:
The Council is committed to maintaining a robust anti-fraud strategy in order to protect public funds and will consider prosecution of offenders under the Social Security Administration Act 1992 or the Theft Act 1968.
Best Value and Best Practice:
The reporting to Committee of the counter fraud investigation section’s performance and the annual review and updating of the Anti-Fraud Policy/Strategy is in line with the HB/CTB performance standards which are recognised as best practice.
Financial/Legal/Personnel:
Income is received from subsidy and from the recovery of fraudulent overpayments.
Recommendation: To note and endorse the work of the counter fraud investigation section for 2003/04 and for the first six months of 2004/05
References : HB/CTB Anti-Fraud Policy and Strategy/HB/CTB Performance Standards
To update the Council’s benefit fraud prosecution policy
Report:
The Council’s annual review of the above policy and research conducted by the Department of Work & Pensions (DWP) has established that although prosecution/sanction policies are working well there is room for improvement.
The issues considered are as follows:
• That fraud is perceived as prevalent
• Systematic/organised fraud must not be tolerated, but lesser frauds that are considered only the result of insufficient income should be looked at more tolerantly i.e. need v greed
• Each case must be considered on its own merits and not just on the amount of the overpayment incurred when considering which sanction is appropriate
• Low income families should not be burdened, where possible, with unmanageable debt that the administration penalty may cause i.e. the issue of an administration penalty involves an additional 30% being added to the overpayment
It has been identified that there is a requirement for greater flexibility within our prosecution/sanction policy to account for individual circumstances so that each case is considered on its own merits and not just on the amount of overpayment incurred when considering which sanction action is appropriate. The practical implications of this are the removal of the link between the amount of overpayment and the type of non-prosecution sanction to be issued i.e. a caution or an administration penalty. Copies of the updated policy are available from the Senior Auditor. Once the policy is agreed the revised version will be available to the public on the Council’s website.
Implications:
Crime and Disorder:
The Council is committed to maintaining a robust anti-fraud strategy in order to protect public funds and will consider sanctioning and prosecuting of offenders under the Benefit Fraud Sanction Policy.
Recommendation: To note and approve the changes to the Council’s Benefit Fraud Sanction Policy
• Executive summaries of formally signed off audits
Purpose:
To enable Members to discharge their duty of Corporate Governance in relation to the internal audit function by demonstrating that they are (1) monitoring the delivery of the service (2) ensuring audit resources are focused (3) reviewing internal audits work and (4) assisting with compliance of key actions agreed between management and internal audit (IA).
Report:
In order to effectively monitor IA’s performance the report concentrates on the three main Local Performance Indicator’s, these indicators measure IA’s performance in relation to productivity and operations. LPI01 measures the completion of the internal audit plan and it is pleasing to note that this indicator is on target. LPI02 & LPI03 are connected in so much as they both measure responses to recommendations made by IA.
• LPI02 measures the effectiveness of IA gaining commitment from management to agree recommendations.
• LPI03 measures the effectiveness of audit follow-up procedures and management’s ability to implement agreed recommendations/actions.
IA does not have any problems gaining commitment from management to implement recommendations, however there are adverse performance issues surrounding LPI03 i.e. number of actions agreed not implemented more than six months after the date of agreement. This is a key issue to address and performance is below where we want to be with this indicator. It is important that agreed actions to improve the control environment are implemented. A report was taken to Corporate Team on 21st September 2004 to review IA performance and in particular the problems surrounding the non-implementation of agreed actions. IA are working with management to resolve the outstanding issues and performance will continue to be monitored via the LPI’s and a further report made in six months on progress.
*** Executive summaries are enclosed at appendix 1 for Corporate Governance - Codes of Conduct, Rent Calculation & Collection and Payment of Goods and Services (Creditors) audits.
Implications:
None directly.
Recommendations: To note the report and consider whether there are any issues on which they require further investigation in order to fulfil responsibilities in relation to Corporate Governance.
• Applications for Mandatory and Discretionary Rate Relief under Sections 43 and 47 of the Local Government Finance Act 1988.
Purpose:
To consider applications for rate relief under sections 43 and 47 of the Local Government Finance Act 1988 as amended by Schedule 1 to the Local Government and Rating Act 1997.
Report:
Schedule 1 of the Local Government and Rating Act 1997 amended Sections 43 and 47 of the Local Government Finance Act 1988.
Under Section 43 Mandatory relief of 50% will be granted to qualifying general stores and post offices providing the property concerned:
Is within a settlement identified in this Authority’s rural area,
Has a rateable value of not more than £6,000,
Is used as a general store or post office, or both, and
Is either the only general store or post office in the settlement.
With effect from 5th April 2001, the provision was extended to include sole village public houses and petrol filling stations with a rateable value of not more than £9,000.
In addition, the Council may grant discretionary relief, under the provisions of Section 47, of up to 100% of the charge levied, to any rural business provided that it;
Is within a settlement identified in this Authority’s rural area,
Has a rateable value of not more than £12,000,
Is used for a purpose which is of benefit to the local community, and
Is reasonable for relief to be granted, having regard to the interests of the local Council Tax payers.
The cost of the mandatory relief is met by the NNDR Pool. Where discretionary relief is awarded in addition to a mandatory award , the Council meets 25% of the cost of the discretionary relief, as detailed on the schedule.
The following applications have been received.
TOTAL TOTAL
NAME/PROPERTY DATES MAND.RELIEF DISC.RELIEF
Mr & Mrs Hulse 4/8/04 £728.54(50%) £728.54(50%)
Fishers Arms, Horncliffe -31/3/05
Public House
Cost to the Council; £182.13
Implications:
Financial/Legal/Personnel:
The financial implications are detailed in the body of the report.
Recommendations: i) To grant mandatory relief; and ii) to consider the application for discretionary relief for the period until 31st March 2005.
References:
Application and supporting documentation.
Sections 43 and 47 of the Local Government Finance Act 1988. Schedule 1 Local Government and Rating Act 1997.
10 BUDGETARY CONTROL REPORT – CAPITAL PROGRAMME EXPENDITURE 2004/05
Report Author: Richard Dell, Head of Finance (Accountancy and Audit), tel (01289) 301730, email rd@berwick-upon-tweed.gov.uk
Summary:
• Expenditure against estimate shown to end of Sept.
• Expenditure is low and there is a definite risk of schemes slipping and an underspend of capital resources.
Purpose:
The spend for the first six months is £278,183 against a latest estimate of £1,291,450 for 2004/05. Expenditure is very low for the first six months and will need to increase considerably in the remainder of the year to avoid a significant underspend. (Spreadsheet attached as an appendix).
The current position on the larger schemes are listed below for information :
North Road Extension
A meeting between officers, NSP and the County Council took place on 13 October to discuss whether it is possible to use the County Council’s contract to procure the infrastructure works. Discussions are also taking place on the extent of further archaeology investigation required. The Director of Regeneration and Development will give an update on any progress at the meeting.
Disability Discrimination Act
Commitments have been made through a number of committee decisions but no expenditure has happened yet.
Northumberland On Line
£60,960 has been carried forward form 2003/04 but there has been no expenditure this year yet.
Berwick Gateway Project (New Road)
Works have been carried out through the agency arrangement with the County Council and a transfer between revenue and capital will be required on completion.
Town Centre drop off facility
There have been no further developments since the report in September. As previously advised, there is a possibility that this scheme will not commence this year.
Car park continual improvements
£70,000 was agreed as a revenue contribution to capital in March. As previously advised no scheme has been formally agreed by committee yet.
Gabions Dock Road
As reported in September, survey work is about to commence but no expenditure has been incurred yet.
Spittal Improvement Trust
This is funded through grant and expenditure is as expected.
Implementing Electronic Government
The majority of expenditure this year is salary costs. Recent guidance has been issued about mandatory improvements required under this initiative. A lead officer has been nominated for each improvements in October but it will be a challenge to avoid a repeat of the late spending in March that occurred last year.
North Road Industrial Road
This has been delayed whilst awaiting planning permission.
Repairs West Street Property
Public Convenience Improvement Plan
Feasibiity of relocation of Museum and Records office
Replacement of Museum lighting
Lowick multi-sports project
Renewal Play Area Equipment
No expenditure has been incurred on any of these schemes yet.
Property Purchase
A deposit has been incurred in line with recent Council decisions but this will now be repaid into our account following an unsuccessful bid.
Land Sales
A small amount of costs have been incurred and these are shown in the annex.
Updating the Prudential Code
Significant changes were reported in September but there has been no major movements since. A small amount of receipts have been received which were not built into the capital programme in February. This has enabled the capital programme to be financed completely through capital resources apart from the car park improvements.
Implications:
Financial/Legal/Personnel:
None directly.
Recommendation: To note the budgetary control report to the 30th September 2004.
• Citizens’ Advice Bureau in urgent need of further financial assistance
• Request for funding
Purpose:
To put to Members a request from the Berwick Citizens’ Advice Bureau for urgent financial assistance in order to maintain services.
Report:
In common with a range of other not-for-profit organisations, Citizens’ Advice Bureaux rely on funding for two principal purposes:-
(a) core funding accounting for day-to-day operations, administration, management and overheads
and
(b) project specific funding and, on occasions, project funding makes a contribution to core costs but rarely sufficient to cover those attributable to the project.
Berwick CAB finds that two sources of funding have come to an end. Whilst bids and applications are being made to other organisations and funding sources, including the Gold Fund, Lloyds TSB, ONE, Northern Rock Foundation etc., none of these offers certainty about any funding and certainly not about core funding.
Currently core costs amount to £60,000. This provides a basic CAB service: management, advice supervision, administration, running costs, IT, volunteer recruitment, training and travel costs, insurance and citizens’ advice subscription. This Council’s contribution to those core costs amounts to £21,860 in 2004/05. In addition, the Council holds the lease on the Tweed Street premises and pays the rent of £12,000. The CAB occupies around 60% of the building. No other statutory body makes a contribution towards core costs, including Northumberland County Council.
*** Through the BBLSP, the CAB has outlined its position and its achievements and the urgency of the current situation (attached). The BBLSP explains how the CAB contributes towards the goals set out in the Borough’s Community Strategy and Plan of Action. The CAB says that its current shortfall is £32,990 and it has bids in for funding to a range of sources. Some are project funding bids rather than for core funding.
The CAB helps the Council to address the Quality of Life priority as set out in the Corporate Strategy and provides a basic level of support for people who cannot source an alternative.
Implications:
Financial:
It has not been possible to identify a specific virement at this stage of the year as all declared underspending so far has already been used in virement. However, the spending to date has been lower than expected and it is entirely possible that the outturn will again show an underspend as in the last few years. If agreed, this would be a supplementary estimate.
Recommendation: Members are asked to consider whether or not to make a further financial contribution to Berwick CAB in order to help keep it open.
12 THE MALTINGS THEATRE AND ARTS CENTRE : URGENT WORKS
• This report provides information about important repairs and maintenance works required at the Maltings Theatre and Arts Centre.
• It is proposed that these works are part of an ongoing programme of repairs and refurbishment to the Theatre in the longer term.
Purpose:
This report recommends that Members approve £10,900 capital spending to replace the cold water storage tank, replace the security system and upgrade the lifts at the Maltings Theatre and Arts Centre, as part of ongoing repairs and maintenance.
Report:
At the last meeting of this Committee, on 15th September, Members received a progress update report from the Culture & Arts Working Group. This report contained a draft partnership agreement between the Council and the Maltings Trustees, which was agreed in principle. The partnership agreement identifies a shared need to develop a refurbishment programme for the Maltings building, to ensure that the Maltings fulfils its role as our major cultural centre in the Borough. As owner and landlord of the property, the Council is responsible for the repairs and replacement of major fixtures and fittings within the Theatre. The Trustees, as tenants and lease-holders, are responsible for general day-to-day maintenance, making good fair wear and tear on the building. Council officers have recently identified some urgent replacement/repairs which are now required to essential capital equipment:
Replacement Cold Water Storage Tank
The original steel pressed sectionalised tank, which has a capacity of 4000 litres, is showing advanced signs of corrosion which will ultimately result in failure. This type of tank, which satisfied the water regulations at the time it was installed, has now been withdrawn from the market. It is proposed to replace the tank with a GRP [glass reinforced plastic] or plastic tank. The cost of carrying out this work is £5800.00 + vat. Which includes the removal of the old tank and modifying the pipework to comply with current water regulations.
Following discussions with representatives from the Maltings it is proposed to carry out the works in early January 2005.
Passenger Lift and Scenery Hoist
Works to the passenger lift and scenery hoist have been identified by Zurich Municipal following a recent inspection:
Passenger Lift
Supply and fit car top test station.
Scenery Hoist
Supply and fit emergency lock release and car top test station.
The works listed above are a result of a change in legislation and are required to ensure the lift and hoist comply with the current standards. The total cost of these works is approximately: £3000.00 + vat.
Intruder Alarm System
The existing alarm system which became obsolete and could not be repaired has had to be replaced at a cost of £2100.00 + vat.
Implications:
Financial :
The additional £10,900 capital costs can be allocated from within the capital programme and is discussed under the capital budgetary control report on the agenda.
Legal:
There are no legal implications, since this capital expenditure is required in terms of our lease agreement with the Maltings trustees.
Best Value and Best Practice:
The essential repairs and maintenance need to be carried out to ensure that the Maltings continues to provide a safe and pleasant venue for culture and arts activities in the Borough.
Improvement Plan:
The Council’s agreement to carry out essential repairs and establish an ongoing programme of capital investments to The Maltings Theatre and Arts Centre is part of our new partnership agreement with the Trustees. This improved working partnership is entirely consistent with the objectives and targets of our Improvement Plan.
Recommendation : To agree the works as detailed in the report and include the costs in the capital programme.
13 EXTERNAL AUDIT SYSTEMS REPORT AUGUST 2004
Report Author: Richard Dell, Head of Finance (Accountancy and Audit) tel (01289) 301730, email rd@berwick-upon-tweed.gov.uk
Summary:
• Deloitte has produced a systems report following preparatory work in May 2004
• No significant weaknesses were identified in the processing of transactions and the provision of reliable accounting information
• The report however contains an action plan with agreed recommendations to make improvements.
• This Committee has a role as “Audit” Committee to receive such reports in line with best practice on Corporate Governance
Purpose:
To provide the Systems report to members.
Report:
*** The Deloitte report is attached as an annex. The recommendations highlighted in the report are brought together in an action plan commencing on page 18.
Section 1.2 states that “The systems and controls work carried out to date has identified no significant weaknesses in the processing of transactions and the provision of reliable accounting information, although we identified several areas for improvement.”
Hopefully the report gives members insight into the work of external audit and it is good corporate governance to put this type of report into the public domain through the committee process.
Implications:
None directly but recommendations and findings assist the best value process, particularly continuous improvement.
Recommendations : To note the Systems Report from Deloitte dated August 2004.
14 DEVELOPMENT SERVICES UNIT - SERVICE IMPROVEMENT PLAN
Report Author: Shona Alexander, Director of Regeneration and Development, tel: 01289 301800, e-mail spa@berwick-upon-tweed.gov.uk
Summary:
• The current workload within the Development Services Unit is becoming difficult to manage, and we are not currently achieving our statutory performance targets
• Government Office North East (GONE) has requested that we produce an action plan for improvement
• This report proposes a way forward
Purpose:
To inform Members about current work pressures within our Development Services Unit, particularly in terms of dealing with the growing number of planning applications being received, and propose a specific action plan for improvement.
Report:
Members will be aware that there are significant pressures on our Development Services Unit. GONE indicated that they have concerns in terms of us not meeting our targets, and subsequently not qualifying for planning delivery grant. Recent discussions with the Office of the Deputy Prime Minister (ODPM) have highlighted these issues further. The attached table indicates how the number of planning applications has been growing steadily year-on-year, so that there is a growing backlog carried forward each quarter.
1. We are receiving more planning applications than ever before:
Oct 03 – Sept 04
Q1
Q2
Q3
Q4
Totals
Received
121
135
159
255
670
Determined
110
131
96
155
492
Applications pending: 262
Oct 02 – Sept. 03
Q1
Q2
Q3
Q4
Totals
Received
120
149
139
120
520
Determined
96
107
100
123
426
1.0 Applications pending: 94
Oct-01 – Sept 02
Q1
Q2
Q3
Q4
Totals
Received
98
110
119
99
426
Determined
102
101
97
94
394
Applications pending:
Oct 00 – Sept 99
Q1
Q2
Q3
Q4
Totals
Received
76
84
105
96
361
Determined
77
62
92
93
324
Applications pending: 90
We currently employ a temporary planning officer, from August 05 – January 05, using budget underspend carried forward from financial year 03-04. This appointment was made to try to cope with the number of planning applications being received over the summer. However, despite this temporary addition, we are still not coping adequately with the volume of planning applications, and the backlog is building up considerably year-on-year. This is causing applicants a great deal of anger and frustration, which is becoming difficult for staff to manage.
2. The Nature Of The Planning Applications We Receive Is Increasingly Complex – for example, major retail applications which have recently been received require full time attention from our officers to ensure that they can concentrate on preparing all the reports required.
3. Heavy Workloads of Individual Planning Officers
The ODPM has indicated to us that a “manageable” caseload for an individual planning officer is an average of 150 individual applications per year. It is recommended by RTPI and other professional planning bodies that at any one time a planning officer should normally be dealing with 35 applications. Therefore, our staff allocation should be:
Planning Officer 1 150
Planning Officer 2 150
Principal Planning Officer 100
Development Services Manager 10*
(* an absolute maximum because of essential management responsibilities)
Total 410
This is not sufficient to cover the number of planning applications being submitted (670), nor does it deal with the backlog of applications which has built up (262).
Our officers each currently have 70 “live” cases – twice the recommended level.
4. Other Development Services Functions Causing Concern
Given the above workload, staff are concentrating on the core functions of the planning service, predominantly relating to specific planning applications:
• General correspondence
• Telephone enquiries
• Reception visits
• Application plans and paperwork
• Appeals
However, a number of other work areas are now not adequately covered. These include:
• Pre-application discussions with potential developers
• Site meetings with applicants
• Amendments / conditions / revisions to planning applications
• Tree Preservation Orders
• Monitoring and enforcement of planning regulations and building regulations
• Changes to applications forms and improved planning guidance for applicants
• Reasons for approval for each planning application submitted to Committee (now required by law)
• Keeping up-to-date with changes in planning legislation / good practice
• E-government implementation
• Members’ training on current planning legislation / good practice
• Attendance at conferences and training provided by professional bodies
5. Action Plan
GONE has indicated that they require us to produce an action plan which will bring about significant improvements to current performance within Development Services. It is recommended that these are:
a) Short Term
It is absolutely essential to progress with the bulk of the outstanding planning applications. As a short-term measure it is proposed that for an 8 week period, from 1 November – 24 December:
• public access to the planning reception and phone calls is restricted to between the hours of 9.30am – 10.30am and 4.00pm – 5.00pm daily, except for the deposit of plans and related documents. A telephone message system will be introduced so that staff can respond appropriately but without constant interruptions;
• That a duty planning officer is appointed on a daily basis to cover routine enquiries during the public access periods;
• That staff do not take part in any pre-application site meetings;
• That a press release is issued explaining this action, and information about the temporary measures is contained on appropriate Council literature etc.
These measures do not amount to a diminution in service standards. Currently, many customers are not getting the level of service which we wish to provide, as staff are not always available or able to quickly respond to their enquiries. The standard of service provided by Development Services is critical to the way in which the wider authority is regarded. Staff come into contact with a great many people from all walks of life across the Borough and are in a position to provide a very positive impression of the Council through the way in which customers receive our services. There are concerns that staff are not currently able to properly fulfil this role because of the current workload and the time it is taking them to respond to queries and process planning applications. Although the proposed changes limit contact time, they will give greater certainty of getting through to the relevant officer, who will be better able to respond to the particular query.
b) Longer Term
• Fundamental Budget Review Working Group signalled their approval of an additional planning post plus a part time administrator, at a total cost of £45,000. In view of the above, it is clear that even this is insufficient to bring the service up to the recommended ODPM performance levels.
• Therefore, it is proposed that we need two additional planning posts, plus a full-time administrator, total cost £80,777. It is proposed that this administrator post can be shared between the planning and building control services to ensure joined-up working.
6. Funding
It is proposed that the three new posts could be appointed from 1 January 2005. The creation of the additional posts for the Development Services Unit will cost £44,062 in 04-05 and £80,777 in 05-06.
The Town Planning budget currently has a number of underspends against particular headings. In addition, we forecast that income from fees and charges in 04-05 would be £116,900. However, the current position, only six months into the financial year, is that we have received £134,400. It is anticipated that this figure will reach £200,000 by 31 March 2004.
Therefore, the budget can fund the additional posts for the current financial year, and it is entirely likely that there will be sufficient funding available from income next year to meet the costs in 05-06.
[Appendix 1 Attached provides a detailed breakdown of the proposed funding requirements.]
7. Risk Analysis
Option 1 - do nothing
This is NOT an option. We are not currently achieving our Best Value Performance Targets for planning, nor are we achieving the level of service required to maximise Planning Delivery Grant
Option 2 - provide one additional planning officer
This option would share the same financial risks as option three but at a lower level of exposure. However, it would be insufficient to make a significant improvement to the service.
Option 3 - provide two additional planning officers and one administrative post
This is the preferred option since it will provide the capacity to deal with current planning applications and tackle the backlog of outstanding applications. In addition, this improvement will trigger additional resources from central government, particularly Planning Delivery Grant. The qualifying period for this is from October – September for grant award on April 1 the following year. Therefore if we improve our services over the next twelve months, we should qualify for increased Planning Delivery Grant in April 06.
The level of planning applications received over the last five years has increased year-on-year. There is no sign of this changing in the forseeable future. The continuation of the Planning Delivery Grant is far from certain but the only way to utilise it for its intended purpose is to build spending into the base budget.
Implications
Best Value/Improvement Plan:
The suggested course of action outlined in this report will make a significant contribution to improving development services within the Council, a key function in terms of our Improvement Plan overall.
Legal:
None arising directly from this report.
Financial:
The main financial figures are in the body of the report. The likelihood of Town Planning underspend in 2004 – 5 is very high. This is because both income is likely to be in excess of estimate and also because of the inability to increase expenditure to match this increased activity.
If Members are minded to agree a carry forward of income then it is also very likely that the additional posts in 2005 – 6 can be afforded without an increase in net expenditure. This is because the income estimate will be revised significantly upwards in 2005 – 06 using the agreed approach of setting this type of income estimate based on the average of the last three years actual income. The net cost of £13,697 shown in the appendix could be covered by a carry forward. Similarly the increased administration costs for building control can be covered by increased income.
Overall then, the proposal is to increase expenditure in line with increased income with the main risk being uncertainty about how long the current levels of applications continue and uncertainty about the Planning Delivery Grant.
Recommendation : That Members agree the action plan set out in this report, including the appointment of three additional posts within the Development Services Unit, as described, and funded from within the Town Planning budget.
15 MOVING FORWARD – THE NORTHERN WAY
Report Author: Shona Alexander, Director of Regeneration and Development, tel: 01289 301800, e-mail spa@berwick-upon-tweed.gov.uk
Summary:
• To advise Members that the Northern Way Growth Strategy has now been formally launched
• To inform Members about the aims and objectives of this Strategy
• To outline further work which will be required as the Strategy develops
Purpose:
At the July meeting of the Committee, Members agreed the Council's response to ONE NorthEast's consultation on The Northern Way Growth Strategy. This response was acknowledged by ONE, in their reply letter attached as an appendix. The First Growth Strategy report has now been published, and this report provides Members with a summary of its contents. There have been some significant changes made to the original draft document, particularly in acknowledging the particular needs and aspirations of rural areas such as Berwick-upon-Tweed.
Report:
In February this year, the Deputy Prime Minister invited the three northern Regional Development Agencies to join together and tackle problems of slow economic growth and under-performance in the Northern region. Yorkshire Forward, the Northwest Regional Development Agency and ONE NorthEast then set about "Creating our own destiny and aiming high".
Shared vision:
The Northern Way Growth Strategy has been compiled to set out a shared vision for the North: "Together we will establish the North of England as a n area of exceptional opportunity, combining a world-class economy with a superb quality of life." The strategy aims to deliver this vision by 2025.
Challenges:
A - Accelerate economic growth - if the productivity and employment of the three northern regions matched the current UK average, the UK would be some £29 billion better off. Currently there are serious problems of under-achievement in our region, in terms of education, skills, investment and entrepreneurship. The strategy seeks to improve this through
• long term planning for sustainability, integrating economic, social and environmental improvements which span both urban and rural areas;
• focus on eight city-regions as the building blocks of the northern economy
• working together differently, within each city-region and with central government using a "new contract for the North";
• identifying main investment priorities to enable economic growth
B - Create Eight City-Regions - focusing on Liverpool, Manchester, Sheffield, Leeds, Central Lancashire, Hull and the Humber Ports, Tees Valley and Tyne and Wear:
• all eight cover areas extending well beyond the city centres at their core;
• they all contain a spectrum of towns villages and urban fringe areas and they have mutually inter-dependent relationships with the countryside around them;
• proposals identified in the Northern Way for the region as a whole and for the city regions take account of these links.
C - The Northern Way Growth Strategy - ten policy priorities have been identified:
• bring more people into work
• strengthen our knowledge base to support innovation by every company
• build a more entrepreneurial culture
• capture a larger share of global trade, with more companies operating as key clusters
• invest in the skills needed by employers
• develop northern airports for business growth
• improve access to the North's sea ports
• improve integrated public transport services between our city regions
• create sustainable communities - with a special Sustainable Communities summit in January 2005
• market the north to the wider world
D - Our Eight City-Regions - although the Growth Strategy focuses on the North's City-Regions, it recognises the complementary economic strengths of the North's rural areas, and the importance of some of the "other large towns outside the eight city -regions such as Scarborough and Berwick":
• the ten priorities identified above will bring benefits to these areas as well as the city regions;
• the current Regional Economic Strategies and extant Regional Planning; guidance should set the balance between urban and rural development;
• stronger complementary relationships are needed between our urban and rural areas;
• land-based industries are key to the food and drink industries, construction materials and renewable energy industries;
• the North's offer to visitors features our coastal and countryside assets as well as our cities.
E - Working Together Differently - New Contracts - specific targets have been set for each of the ten investment priorities:
• bringing a further 10,000 people currently on incapacity benefit into work by 2014
• 25% increase in research and development spending 2005 - 2010 and a further 25% from 2010 - 2015
• increase new business start ups to 33 per 10,000 by 2008
• ensure that manufacturing and service clusters continue to employ at least 1,750,000 people in 2025;
• create an additional 200,000 employer specified learner places by 2008
• ensure that Regional Spatial Strategies (RSSs) are geared to replace housing at a much higher rate than currently envisaged, reflecting the market conditions and social needs of each city-region. Provision of affordable housing in areas with severe shortages and provision for vulnerable groups are identified as distinct needs.
• By October 2005 prepare a full proposal for the creation of a National Centre for Sustainable Community Skills.
Implications for Berwick-upon-Tweed Borough
Sustainability is a key, overarching objective within the Northern Way Growth Strategy. The strategy recognises the diversity of the Northern Region and the close relationships between urban and rural areas. Whilst there is some recognition of the needs of rural, and in particular, agricultural communities, there is not a lot of detail on how these needs will be tackled, so this should be developed further as the strategy is implemented.
It is clear that the emerging Regional Spatial Strategy (RSS) is a key document in terms of enhancing or restricting development growth in the region, and must be closely integrated with the aims and aspirations of the Northern Way Growth Strategy. Members will be aware that the Council has made representations to the Association of North East Councils about the initial draft RSS document. In particular, Members and officers are challenging the proposed allocations for future numbers of new dwellings which are regarded as inadequate for sustainable regeneration in the Borough. It is essential that this work continues, so that the RSS provides for sustainable regeneration and growth in the towns and rural communities of our Borough.
Implications
Legal, Personnel and Financial :
None arising directly from this report
Best Value and Best Practice:
The recommendations in this report seek to ensure that the Borough Council plays a full part in shaping the Northern Way Growth Strategy which is committed to achieving Best Value and Best Practice in the region.
Recommendations : (i) That Members receive this report for information; (ii) that officers continue to work closely with ONE NorthEast and other local authorities on the Northern Way Strategy, as it is developed; and (iii) that the Council is well represented at the Sustainable Communities summit proposed for January 2005, and ensures that rural and agricultural issues in particular are given sufficient coverage at this event.
16 EXCLUSION OF PRESS AND PUBLIC
The Committee are asked to consider passing the following resolution:
'That under Section 100A (4) of the Local Government Act 1972, the press and public be excluded from the Meeting during consideration of the following items on the grounds that they would involve the likely disclosure of exempt information as defined in Part I Schedule 12A of the Act:
Item 15 : Paragraph 9 : Any terms proposed or to be proposed by or to the authority in the course of negotiations for a contract for the acquisition or disposal of property or the supply of goods or services.
PART II
The Press and Public are likely to be requested to leave the meeting during consideration of the items set out in Part II of this Agenda.
