Agenda and minutes

A minute’s silence was observed at the request of the Leader in memory of those affected by the most recent tragic events at London Bridge, Grenfell Tower and the Finsbury Park Mosque.

The minutes of the meeting held on 23 May 2017 were confirmed as correct.

Further to Minute 4 (23 May 2017), the Cabinet Member for Finance, Growth and Investment introduced a report on the Council’s final revenue and capital outturn position for 2016/17.

The Cabinet Member advised that the revenue position was largely unchanged from the provisional position reported last month, with some minor corrections and adjustments improving the position by £0.087m to give a year-end overspend of £4.853m.  The General Fund reserve, taking into account the overspend and transfers between reserve budgets, was at £19.3m while the Housing Revenue Account produced a surplus of £2.186m, of which £0.266m would be used as a contribution to the Capital Programme and £1.920m transferred to the HRA reserve.

The Dedicated Schools Grant showed a year-end deficit of £5.773m, mostly attributable to Schools’ balances, while the Capital Programme outturn was £173.070m against the revised budget of £184.662m.  In respect of the latter, the Cabinet Member referred to a number of carry-forward and reprofiling requests relating to capital projects as well as similar arrangements in respect of a number of revenue budgets.

The Cabinet resolved to:

(i)  Note the outturn position for 2016/17 of the Council’s General Fund revenue budget and Housing Revenue Account as at 31 March 2017, as detailed in section 2 and Appendix A of the report;

(ii)  Approve the requests for carry forwards and transfers to and from reserves as set out in Appendix B of the report;

(iii)  Note the outturn for the Dedicated Schools Grant at 31 March 2017 as detailed in section 3 of the report;

(iv)  Note the outturn position for 2016/17 of the Council’s capital budget at 31 March 2017, as detailed in section 4 of the report;

(v)  Approve the requests for capital carry forwards and the reprofiling of the 2017/18 Capital Programme as set out in section 4 and Appendix C of the report; and

(vi)  Note the position of the Council’s General Fund and other reserves at 31 March 2017, as set out in Appendix D of the report. 

The Cabinet Member for Corporate Performance and Delivery introduced the corporate performance framework report for the fourth quarter of the 2016/17 financial year.

The report covered 50 key accountabilities and 40 key performance indicators (KPIs).  The Cabinet Member referred to the evolving nature of the framework and highlighted several of the areas of above-target performance as well as aspects that continued to require improvement.  Issues that arose during the course of the discussions included:

(a)  The percentage of respondents who believed that the Council listened to the concerns of local residents (KPI 2) – It was acknowledged that performance levels of 53% in 2015/16 and 54% in 2016/17 required improvement, particularly in view of recent events that had highlighted the importance of Councils responding to residents’ concerns;

(b)  Health-related Indicators – Reference was made to a number of the KPIs, including the percentage uptake of the measles, mumps and rubella (MMR) vaccination, that were consistently below target levels and the steps being taken to improve performance.  The Cabinet Member for Social Care and Health Integration advised that MMR uptake levels had been affected on a national level by the misinformation that was circulating several years ago relating to the potential side-effects of the vaccination.  However, a more significant contributory factor for the poor performance in a number of areas locally, including MMR vaccinations and over 40’s health checks, was a failure on the part of primary care providers to promote the services despite the funding being in place.  The Cabinet Member advised that she had raised her concerns with the Chair of the Clinical Commissioning Group and was also pushing for greater accountability and sanctions against General Practitioners that were failing to deliver.

The Cabinet resolved to:

(i)   Note progress against the key accountabilities as detailed in Appendix 1 to the report; and

(ii)  Note performance against the KPIs as detailed in Appendix 2 to the report.

The Cabinet Member for Community Leadership and Engagement introduced the Council’s Corporate Plan for 2017/18, which set out the Council’s vision and priorities for the next 12 months together with details of key achievements over the past three years, the Council’s transformation programme and the performance monitoring regime for 2017/18.

Issues raised during the discussions included:

a)  The difficult financial positions that many Councils found themselves in as a result of the Government’s ongoing austerity programme and the need for that programme to be halted in view of the outcome of the General Election;

b)  The positive and innovative approach adopted by the Council in meeting the financial challenges imposed on it by Government;

c)  The need for the Cabinet portfolio responsibilities to fully reflect the cross-cutting nature of the key performance indicators;

d)  The need for effective publicity to ensure that local residents and staff were aware of the new Corporate Plan and the Council’s achievements and vision for the future; and

e)  The addition of the Docklands Light Railway extension in the list of transport and infrastructure developments within the Borough.

The Cabinet resolved to recommend the Assembly to approve the Corporate Plan 2017/18.

The Cabinet Member for Finance, Growth and Investment introduced the Treasury Management Annual Report for 2016/17 which set out the key areas of performance during the year. 

The Cabinet Member advised that investment income for the year was £4.6m compared to the budget of £2.1m, while the Council’s average interest return of 1.42% for 2016/17 was 0.83% higher than the average London Peer Group return and 0.73% higher than the Local Authority average return.  The Cabinet Member added, however, that the current volatility stemming from the General Election result was likely to have a negative effect on markets.

The Cabinet resolved to recommend the Assembly to:

(i)  Note the Treasury Management Annual Report for 2016/17;

(ii)  Note that the Council complied with all 2016/17 treasury management indicators;

(iii)  Approve the actual Prudential and Treasury Indicators for 2016/17;

(iv)  Note that the Council borrowed £60m from the Public Works Loan Board (PWLB) in June 2016 to fund capital expenditure;

(v)  Note that on 31 March 2017 a number of Loan Facility agreements were agreed between the Council and a number of Council owned Special Purpose Vehicles; and

(vi)  Maintain the delegated authority to the Chief Financial Officer, in consultation with the Cabinet Member for Finance, Growth and Investment, to continue to proportionally amend the counterparty lending limits agreed within the Treasury Management Strategy Statement to consider the additional cash holdings resulting from borrowing from the European Investment Bank and the PWLB.

(Councillor Turner left the meeting at this point.)

The Cabinet Member for Community Leadership and Engagement introduced the proposed Borough Culture Strategy, Culture Everywhere, which set out the Council’s ambitions for culture for the next five years. 

The Cabinet Member explained that the Strategy was developed in direct response to the independent Growth Commission report which recognised the need to empower people in the Borough to play a greater role in its future through civic activity.  A key emphasis off the Strategy was, therefore, the Council’s future role as a facilitator rather than directly delivering services. 

The Cabinet Member referred to the 10 core commitments within the Strategy and highlighted some of the main projects to be progressed over the next year or two, which included an application to be the London Borough of Culture in 2019 or 2020 and the creation of a legacy from the Creative Barking and Dagenham programme.  In respect of the latter, Members spoke on some of the initiatives that had taken place and the importance of promoting Barking and Dagenham as an excellent investment opportunity for a wide range of cultural activities in addition to its huge regeneration potential.

The Cabinet resolved to adopt “Culture Everywhere”, the Borough Culture Strategy for 2017 - 2022, at Appendix 1 to the report.

Further to Minute 60 (15 November 2016), the Cabinet Member for Educational Attainment and School Improvement presented an update report in respect of the various school expansion projects aimed at addressing the current and future demand for places in the Borough, as well as the latest funding issues.

The Cabinet Member advised that the Council’s lobbying of the Department for Education (DfE) and Education and Skills Funding Agency (ESFA) had helped secure a Basic Need Grant allocation of £27.436m for 2019/20 for capital works, in addition to new funding for 2017/18 of £5.274m and a further £2.837m across 2018/19 – 2020/21 to support pupils with special educational needs and disabilities. 

It was noted that there had been a 62% increase in pupil numbers in the Borough since 2005 and the Council’s ambitious regeneration plans meant that new school places would continue to be needed across the Borough.  The Cabinet Member advised on the latest school expansion projects and Members placed on record their appreciation of the ongoing work of Council officers, School representatives and the Borough’s school children for managing the demand pressures and achieving excellent results.

The Cabinet resolved to:

(i)  Approve the Future Planning Programme to meet Basic Need (including SEN places) 2017 to 2025 (amended May 2017) as set out in section 1.3 and Appendix 1 of the report;

(ii)  Approve the inclusion in the Capital Programme of the DfE grant allocations for 2017/18 as detailed in section 3 of the report;

(iii)  Approve the various projects and associated changes to the Capital Programme as set out in sections 5 to 9 and summarised in Section 10 of the report;

(iv)  Delegate authority to the Strategic Director for Service Development and Integration to approve the final procurement strategies for each project following their consideration and endorsement by the Procurement Board, in accordance with the Council’s Contract Rules; and

(v)  Delegate authority to the Strategic Director for Service Development and Integration, in consultation with the Cabinet Member for Educational Attainment and School Improvement, the Chief Operating Officer and the Director of Law and Governance, to award the respective project contracts.

The Cabinet Member for Educational Attainment and School Improvement introduced a report on cross-cutting proposals to accelerate the reduction in the number of young people who were not in education, employment or training (NEET), with particular attention to care leavers, those with special educational needs and disabilities (SEND) and teenage parents.

The Cabinet Member advised that despite recent improvements in some areas, including a reduction in the number of young people whose education status was ‘unknown’ from 13.7% in 2013 to 6.6% in 2016, there was still a considerable amount of work to be done particularly in respect of a core of approximately 200 NEETS. 

The current work was guided by the Borough’s 14-19 Participation Plan and support was also received via the local Providers’ Forum, made up of 35 local organisations that were funded to deliver pre-NEET and NEET work.  Workshops earlier in the year had led to the development of a series of core proposals and an action plan and the Cabinet Member for Social Care and Health Integration referred to several of the proposals, which included a commitment by the Council to supplement the income of care leavers in apprenticeships to ensure that they had money to live on after paying their rent and other bills.

It was acknowledged that the action plan was not overly challenging as it was seen to be a ‘work in progress’ and other Cabinet Members were encouraged to join future workshops.  Other issues that arose from the discussions included:

·  The Council’s and councillors’ roles and responsibilities as corporate parents;

·  Seven care leavers had graduated in the current academic year and the Council would be supporting them into their preferred internships;

·  The need for the Council to set an example in relation to offers of apprenticeships, internships, work experience placements etc.;

·  The importance of early intervention and the role of foster carers; and

·  The work of the Council’s Trident team, which was responsible for delivering the work experience programme.

The Cabinet resolved to:

(i)  Note the report and the work being undertaken to reduce NEETs, particularly within key vulnerable groups, as well as secure resources and enhance leadership and accountability; and

(ii)  Approve the Action Plan, as set out at Appendix 2 to the report.

The Cabinet Member for Social Care and Health Integration presented a report on the proposed procurement of a framework contract to provide a diverse range of respite and support services for disabled children and young people. 

The Cabinet Member commented that all too often the role of carers who willingly dedicated themselves to caring for family members was taken for granted.  The new arrangements would provide respite services that met both current and future needs for disabled children, young people and families, within a pricing structure that was fixed for the duration of the four-year contract term, and would be open to eligible families participating in Direct Payment or Personal Budget arrangements.

The Cabinet resolved to:

(i)  Agree to commence the procurement of a four-year framework contract for the provision of respite and support services for disabled children and young people, in accordance with the Council’s Contract Rules and the strategy set out in the report; and

(ii)  Delegate authority to the Strategic Director for Service Development and Integration, in consultation with the Cabinet Member for Social Care and Health Integration, the Chief Operating Officer and the Director of Law and Governance, to award and enter into the framework agreements and all other necessary or ancillary agreements with the successful bidders.

Further to Minute 121 (19 April 2016), the Cabinet Member for Economic and Social Development presented proposals to procure a partner who would contribute funding towards land assembly and work in partnership with the Council / Be First on the delivery of the Barking Riverside Gateways Housing Zone project.

The Cabinet Member explained that the project related primarily to the Thames Road area, with the key objectives for the new partner being:

·  To work in partnership with the Council / Be First to undertake acquisitions across the Housing Zone;

·  Further develop proposals to deliver around 3,000 new homes and associated employment, community provision and public realm across the Housing Zone in line with the development framework; and

·  Take a long-term management interest in the Housing Zone.

The Strategic Director of Growth and Homes clarified that in addition to the Council’s contribution and the £30m grant from the Greater London Authority, the private partner would be expected to provide in the region of £60m towards land acquisition costs. 

The Cabinet resolved to:

(i)  Agree the procurement of a partner, via Competitive Procedure with Negotiation, to deliver the aims and objectives of Barking Riverside Gateways Housing Zone, on the terms set out in the report;

(ii)  Approve the procurement of professional services, including legal advisors, property advisors and associated professional technical advisors, to support the procurement of a partner, on the terms set out in the report;

(iii)  Delegate authority to the Strategic Director for Growth and Homes, in consultation with the Cabinet Member for Finance, Growth and Investment, the Chief Operating Officer and the Director of Law and Governance, to enter into all contracts associated with the procurement processes referred to in the report; and

(iv)  Delegate authority to the Chief Operating Officer to agree all matters related to the financial viability of proposals following endorsement by the Council’s Investment Panel.

Appendix 1 to the report is in the exempt section of the agenda at Item 16.

Further to Minute 66 (15 November 2016), the Cabinet Member for Educational Attainment and School Improvement introduced a report on the proposed creation of a new School Improvement Partnership (SIP) not-for-profit company, to be wholly owned by the Council and participating Borough schools. 

The Cabinet Member commented that recent national recognition of a number of the Borough’s schools was testament to the excellent work being undertaken, despite the continued under-funding by the Government of education provision in Barking and Dagenham.  The main purpose of the SIP would be to support the provision of high quality, best value services within schools to ensure continued improvements in educational standards for all children and young people in the Borough.  The arrangements would also ensure that the Council would continue to have an ongoing role in the provision and standards of education in the Borough under the Service Delivery Agreement and Board arrangements.

The Cabinet resolved to:

(i)  Approve the School Improvement Partnership Full Business Case at Appendix 1 to the report;

(ii)  Agree the establishment of a not-for-profit company, limited by guarantee, to be known as the School Improvement Partnership, in accordance with the proposals set out in the report;

(iii)  Delegate authority to the Strategic Director for Service Development and Integration, in consultation with the Cabinet Member for Educational Attainment and School Improvement and the Director of Law and Governance, to implement all steps leading to the establishment of the new company in line with the proposals;

(iv)  Delegate authority to the Director of Law and Governance to execute all the legal agreements, contracts and any other documents on behalf of the Council to implement the setting up of the new company; and

(v)  Delegate authority to the Chief Executive, in consultation with the Leader of the Council, to select the individuals to be appointed to represent the Council on the School Improvement Partnership Company Board.