Agenda and minutes

There were no declarations of interest.

The minutes of the meeting held on 20 May 2015 were confirmed as correct.

The Assembly received and noted the minutes of the following:

·  JNC Salaries and Conditions Panel – 20 May 2015

·  JNC Appointments Panel – 7 July 2015 *

·  JNC Appointments Panel – 8 July 2015 *

(* The Chair agreed that those items could be considered at the meeting under the provisions of Section 100B(4)(b) of the Local Government Act 1972.)

The Leader of the Council presented a verbal statement updating the Assembly on a range of matters which included:

·  The Ambition 2020 project, which would establish the Council’s priorities and ambitions between now and 2020 against the backdrop of further cuts by the Government.  The Council’s budget was expected to reduce from the current level of circa £150m to nearer £80m by 2020/21 and, as a result, the coming years of austerity would be hugely challenging for residents and the Council.  The Leader stressed the importance of continuing the Council’s proud legacy of supporting the most vulnerable in its community and commented that the Ambition 2020 project would be perhaps the Council’s biggest undertaking ever, as it sought to deliver new ways to fund the services that the local community expected the Council to provide.

·  The Growth Commission, which would complement the Ambition 2020 project and oversee the development of a clear picture of what Barking and Dagenham should be like as a place to live and to work in the future.  The Commission would be led by Mike Emmerich, who was instrumental in helping to develop the devolution plans for Manchester, and a key focus would be how the Council could make the most of opportunities to improve housing, access to jobs and skills levels.

The Leader advised that both initiatives would be formally launched in the next few months and he would keep all Members informed of progress.  In conclusion, the Leader referred to what he saw as the Borough’s “Triangle of Ambition”:

Ø  Led by the community;

Ø  Facilitated by the Council;

Ø  Invested in by our partners.

·  The plans for a Youth Zone that were being presented for approval at next week’s Cabinet, which would see the creation of a state of the art facility for the Borough’s young people and the first of its kind in London.

·  The appointment of new senior directors to the Council who would help deliver the Ambition 2020 plans, together with the simultaneous work by the Chief Executive to deliver savings in management costs as the Council moved forward.

·  The visit of Her Majesty The Queen and His Royal Highness The Duke of Edinburgh to Barking and Dagenham on Thursday 16 July 2015, which was the highlight of the Borough’s 50^th Anniversary celebrations that had so far attracted an estimated 30,000 people to events such as the Barking Folk Festival.

The Labour Group Secretary will announce any nominations to fill vacant positions on Council committees or other bodies.

The Assembly resolved to agree the following appointments to Council committees and/or other bodies:

·  Chadwell Heath Community Trust Board – Councillors Bright, Jamu and White;

·  Admissions Forum - Councillor Kangethe;

·  Children’s Services Select Committee - Councillor Quadri;

·  Pensions Panel - Councillor Fergus.

The Chief Executive will table a report at the meeting advising on the outcome of the JNC Appointments Panel which met earlier in the day.

(The Chair agreed that the report could be considered at the meeting under the provisions of Section 100B(4)(b) of the Local Government Act 1972.)

The Chief Executive introduced a report on the recommendations of the JNC Appointments Panel which, earlier in the day, had interviewed candidates for three Strategic Director posts as part of the senior management restructure.  In response to a question from Councillor McCarthy, the Chief Executive confirmed that the posts were graded CO6 (£131,757), as approved by the JNC Salaries and Conditions Panel at its meeting on 15 May 2015.

The Assembly resolved to approve the following appointments, subject to satisfactory references, where appropriate, and the agreement of start dates:

Ø  Strategic Director, Finance and Investment – Jonathan Bunt;

Ø  Strategic Director, Service Development and Integration – Anne Bristow;

Ø  Strategic Director, Customer, Commercial and Service Delivery – Claire Symonds.

The Cabinet Member for Finance and Central Services presented a report on the Pension Panel’s consideration of a review of its governance arrangements which had led to proposed new terms of reference for the Panel.

The Cabinet Member explained that the Panel’s Independent Advisor (IA) had carried out the review and had concluded that there was an overall high level of governance of the Pension Fund and positive decision-making by the Panel during 2014/15.  The IA had made a number of recommendations to enhance the existing arrangements, which included proposed new terms of reference aimed at giving greater emphasis to the Panel’s administrative and governance responsibilities under new regulations which came into effect in April 2015.

The Assembly resolved to approve the revised terms of reference of the Pensions Panel as set out in Appendix 1 to the report.

The Cabinet Member for Finance and Central Services introduced the Treasury Management Annual Report for 2014/15 which set out the key areas of performance during the year. 

The Cabinet Member referred to the Council’s existing borrowing commitments and confirmed that they did not include any ‘toxic’ LOBO (Lender Option Borrower Option) arrangements which a number of neighbouring Local Authorities were tied into and which had been the subject of a recent “Dispatches” programme on Channel 4.  In response to questions from Councillor Gill, the Cabinet Member confirmed that:

·  The Council’s four LOBO loans totalling £40m were at fixed rates that were subject to 10 year reviews and the Council retained the right to settle without penalties in the event that the lender wished to increase the interest rate; and

·  The remaining £61m from the £150m loan facility from the European Investment Bank would be drawn down as required to support the Council’s regeneration programme.

The Assembly resolved to:

(i)  Note the Treasury Management Annual Report for 2014/15;

(ii)  Note that the Council complied with all 2014/15 treasury management indicators;

(iii)  Note that £89m was borrowed from the European Investment Bank to fund the urban regeneration and economic growth programme of Gascoigne Estate (East) Phase 1 and Abbey Road 2;

(iv)  Approve the actual Prudential and Treasury Indicators for 2014/15, as set out in Appendix 2 to the report; and

(v)  Agree to maintain the delegated authority given to the Chief Finance Officer, in consultation with the Cabinet Member for Finance, to proportionally amend the counterparty lending limits agreed within the Treasury Management Strategy Statement to take into account the additional cash holdings resulting from the £89m borrowed from the European Investment Bank.

Question 1

From Councillor Ahammad

“Can the Cabinet Member for Central Services advise on the progress that has been made in developing stronger industrial relations and better workforce cohesion across the Council?”

Response

Councillor Twomey, Deputy Leader of the Council and Cabinet Member for Finance and Central Services, suggested that the Council’s relationship with its staff and the Trade Unions who represented them remained strong despite the difficult decisions that the Council had taken in recent years, many of which had impacted significantly on staff at all levels, in order to achieve the savings that were required as a result of the Government’s austerity measures. 

Councillor Twomey referred to the recent pre-start industrial dispute with the GMB Union but pointed to a range of measures that he believed had helped to maintain relationships with the Trade Unions, which included the Council’s efforts to minimise compulsory redundancies wherever possible, the consistent and sound application of Change Management policies, the significant efforts to communicate regularly and effectively with staff and their representatives and the Trade Unions’ approach to dealing with change in a positive way.  He concluded by reiterating the Council’s commitment to constructive two-way communication with the Trade Unions and to continuing to do the right thing by the workforce and by residents despite the challenges that the Council was facing.

Question 2

From Councillor Kangethe

“An exciting report is going next week to Cabinet on a proposal for a Youth Zone in Parsloes Park. If agreed, it will be the first of its kind in London.  Would the Leader explain how will this be supported?”

Response

Councillor Rodwell, Leader of the Council, advised that he had visited two similar projects in the north of England earlier in the year and was very excited at the prospect of Barking and Dagenham hosting the first Youth Zone in London, bringing 21st century youth provision to the Borough through state-of-the-art facilities specifically designed for young people.

In respect of the costs associated with the construction and running of the Youth Zone facilities, Councillor Rodwell explained that the Cabinet would be asked to agree to the Council meeting 50% of the construction costs, in the form of a £3m capital grant, with the remaining £3m being met from investment secured through The Queen’s Trust and the Jack Petchey Foundation.  OnSide Youth Zone, the registered charity behind the Youth Zone concept, had also been successful in securing the full revenue funding for the project for at least the first three years and Councillor Rodwell spoke on the enthusiasm that was building amongst the local business community toward the project, exemplified by the offer by the Chair of Agilysis, the Council’s partner in the Elevate East London joint venture, to lead the Youth Zone Board once it was established.

Councillor Rodwell added that he felt that the project represented a clear message that, in spite of the Government’s austerity measures, the Council was committed to improving the life choices and life chances  ...  view the full minutes text for item 19.