Period 7 2020/21 (to 11 October 2020) REVENUE Revenue Projected Revised Annual Projection to Variance Economy and Skills Budget 31 March 2021 (favourable) / £m £m adverse £m Education 115.310 115.263 (0.047) Finance and ICT 8.387 8.387 0.000 Planning and Economic Development 4.921 4.765 (0.156) Central Management Support 0.491 0.491 0.000 Total (excluding COVID-19 impact) 129.109 128.906 (0.203) COVID-19 - Additional Costs and Lost Income (0.441) 0.511 0.952 2020/21 Approved Savings Impacted by COVID-19 (0.477) 0.000 0.477 Total 128.191 129.417 1.226 Key Points: Education WithinThe minorthe corefavourableservicevariancesavingsrelateson thirdprimarilyparty providersto anticipatedwithinsavingsSchoolsfromandtheEarlyreducedYears provision(£0.160m),of asSpeechwell as& savingsLanguageonTherapyutilities (services£0.052m)thisareyear,offsetoffsetby anbyinincreasedyear overspendsoftwareonlicenseEmployeerequirementsCosts as. the Early Years Service makes advanced recruitment to support 1140 Hrs development £0.218m. The balance relates to PEF funding thatAs awillresultrequireof theto beimpactearmarkedof COVIDat the-19,yearthe endScottishto supportGovernmentstaffingsuspendedand resourcethe costsstatutoryto thedutyendon ofLocalthe academicAuthoritiesyearto provide(£0.7901140m). Hours of free childcare, and authorised the use of this funding for the support of children of key workers and vulnerable children. The projection above anticipates that this funding will be used forThethisCouncilpurposehasduringbeen theallocatedyear or£other3.763alternativem of ScottishpurposesAttainmentallowedChallengewithin thefundingconditionsin 2019of the/20 grantand .the service continues to monitor expenditure in relation to this area to ensure this funding is fully spent within the year. FinancePupil EquityandfundingICT from the Scottish Government of £3.503m has been directly allocated to schools to address Thethe povertyservicerelatedcurrentlyattainmentanticipatesgapa.favourableThe abovevarianceprojectionof assumes(£0.431m)awhichfull spendis theposition,result ofhowever,employeethiscostfundingsavingsis fromunderathenumberdirectofcontrolvacantofpostsindividualaheadschoolsof its forthcomingwith the optionservicetoreviewcarry .forward unutilised funding until the end of June next year to enable the implementation of plans over an academic year. This is anticipated to result in Planningunderspends& Economicin some Developmentestablishments requiring to be earmarked at the end of the financial year, with an Theanticipatedvariancefullrelatesspend primarilyby June 2021to employee. cost savings (£0.368m), as well as budget savings in relation to the Ingram Business Hub (£0.106m) and lower than budgeted payments in relation to employability programmes (The£0.100Councilm). Thesehas beenare allocatedoffset by an£3anticipated.763m of ScottishshortfallAttainmentin income recoveryChallenge£0funding.050m. in 2020/21 and the service continues to monitor expenditure in relation to this area to ensure this funding is fully spent within the year. Policy, Planning & Performance Division ThePlanningvariance& Economicrelates to aDevelopmentshortfall in achieving turnover as a result of the service being fully staffed. The variance relates primarily to employee cost savings (£0.219m), partly offset by an anticipated shortfall in income recovery related to vacant EU funded post and the cessation of funding supporting East Woodlands.

COVID-19 Economy & Skills costs incurred directly as a result of the impact of COVID-19 have been collated centrally totalling £0.952m. A breakdown of this across services is detailed below:

Service £m Education 0.353 Finance & ICT 0.010 Planning & Economic Development 0.492 CMS 0.097 Total 0.952

Additionally, as a result of COVID-19 £0.477m of agreed 2020/21 savings within Education will not be achievable this financial year. Details of these savings are contained within the Expenditure Reduction Measures section of the covering report. Revenue Projected Revised Annual Projection to Variance Safer Communities Budget 31 March 2021 (favourable) / £m £m adverse £m Housing and Communities 15.459 15.266 (0.193) Ayrshire Roads Alliance 7.298 7.094 (0.204) Facilities and Property Management 26.702 26.507 (0.195) Human Resources 1.808 1.757 (0.051) Health and Safety 0.283 0.287 0.004 Transport Services 4.973 5.473 0.500 Transformation (inc. Policy, Planning & Performance) 1.552 1.611 0.059 Central Management Support 1.020 1.040 0.020 Arms Length Organisations 4.567 4.567 0.000 Emergency Planning 0.064 0.064 0.000 SPT 2.249 2.182 (0.067) Total (excluding COVID-19 impact) 65.975 65.848 (0.127) COVID-19 - Additional Costs and Lost Income (1.956) (0.216) 1.740 2020/21 Approved Savings Impacted by COVID-19 (0.706) 0.000 0.706 Total 63.313 65.632 2.319 Key Points: Ayrshire Roads Alliance It is anticipated that Ayrshire Roads Alliance will outturn £0.204m less than budget. This mainly reflects staff vacancies £0.299m and EAC’s Strategic Delivery savings allocation £0.317m, being offset by an overspend in maintenance sub-contractor costs, £0.367m.

Human Resources The saving predominantly reflects savings on employee costs as a result of staff turnover.

Transport Services It is anticipated that Transport Services will outturn £0.500m greater than budget with Education transport costs projected to outturn £0.451m greater than budget mainly due to additional contract charges. Additionally, vehicle maintenance and fleet management costs will outturn £0.049m greater than budget. A shortfall in income and various other transport costs are partly offset by staff turnover savings.

Transformation (inc Policy, Planning & Performance) As in the previous year, the full service is anticipating lower than budgeted turnover due to existing staff levels, along with an under-recovery of events and sponsorship income.

SPT It is anticipated that SPT will outturn lower than budget due to a lower precept payment.

COVID-19 Safer Communities costs incurred directly as a result of the impact of COVID-19 have been collated centrally totalling £1.740m. A breakdown of this across services is detailed below:

Service £m Housing & Communities 1.243 Ayrshire Roads Alliance 1.001 Facilities & Property Management (0.626) Human Resources 0.080 Transport Services (0.071) Transformation 0.019 Central Management Support 0.094 Total 1.740

Additionally, as a result of COVID-19 £0.706m of savings across Safer Communities services are not anticipated be achieved this financial year. Details of these savings are contained within the Expenditure Reduction Measures section of the covering report. Measures section of the covering report. Revenue Projected Revised Annual Projection to Variance Wellbeing Budget 31 March 2021 (favourable) / £m £m adverse £m Children, Families & Criminal Justice Services 20.914 20.774 (0.140) Community Care 57.474 57.058 (0.416) Service Strategy 5.130 7.008 1.878 Outwith Placements 4.848 5.079 0.231 Public Protection 0.751 0.656 (0.095) Lead Partnership Services 0.691 0.683 (0.008) Total 89.808 91.258 1.450 Premises Costs 0.435 0.435 0.000 Total 90.243 91.693 1.450 Key Points: Community Care Underspends are anticipated across Older Services (£0.107m), Learning Disabilities (£0.160m) and Mental Health Service (£0.173m). However, as noted previously, contained within this budget area is an annual HRA Adaptations budget of £1.263m. Additionally, an IJB Reserve for previous year planned work of £1.246m is retained. COVID-19 resulted in a temporary freeze on all related adaptation work which will result in a significant underspend occurring during the year. Having reviewed the level of existing commitment it was determined that no funding transfer should occur between the IJB and the HRA this year. This was approved by the Integrated Joint Board on the 26th August 2020.

Service Strategy Service Strategy is projected to overspend by £1.878m and this is due to the financial impact of COVID-19. All related Wellbeing expenditure is captured here to enable regular updates to be provided to the Scottish Government. The total projected cost for COVID-19 related activity is currently £5.805m. However, £2.599m of funding has been received from the Scottish Government to offset this impact with an additional £1.242m anticipated, giving a total of £3.841m. This results in a projected net cost of COVID-19 within Service Strategy being £1.964m. The highest areas of projected expenditure are £1.500m of PPE supplies, bed flow £1.449m, residential care homes £1.564m, and care at home staffing £0.573m. Additionally, a loss of care at home and day care income totalling £0.506m is expected.

Outwith Placements The projected adverse variance of £0.231m reflects the most recent position reported to the monthly Outwith Placement Screening Group on the 6th October 2020. Currently, the number of external residential placements is 17 and accounts for the majority of the projected cost, the remainder relating to additional educational support needs provided internally.

Public Protection The service anticipates a favourable variance predominantly in relation to staff turnover and vacancies.

Projected Revised Annual Projection to Variance Governance Budget 31 March 2021 (favourable) / £m £m adverse £m Governance 3.394 3.397 0.003 Total (excluding COVID-19 impact) 3.394 3.397 0.003 COVID-19 - Additional Costs and Lost Income (0.520) 0.000 0.520 Total 2.874 3.397 0.523 Key Points: The projected position reflects a significant loss of income across the service as a result of COVID-19. The largest of these relates to anticipated rental income from the Burns Mall in which is projected to under-recovery by £0.350m. Other reductions in income recovery are anticipated in relation to other property rentals, registration income, licensing fees and print room income. Revenue Projected Revised Annual Projection to Variance Central Services Budget 31 March 2021 (favourable) / £m £m adverse £m Chief Executive's Office (incl. Internal Audit) 0.655 0.655 0.000 Other Non-Service Related expenditure 12.109 8.577 (3.532) Insurance 2.519 2.519 0.000 Financing Costs 18.607 18.607 0.000 HB/CT Benefit Subsidy 10.675 11.775 1.100 Central Services 44.565 42.133 (2.432) Key Points: Other Non-Service Related expenditure The variance relates to COVID-19 funding received from Scottish Government £3.532m. This funding is being held centrally, partly offsetting additional costs associated with COVID-19 which have been outlined within services.

HB/CT Benefit Subsidy The variance relates to anticipated pressure on Housing Benefits Subsidy and Council Tax Reduction budgets based on application levels to date. Additional funding in relation to Council Tax Reduction may become available to support this pressure later in the year.

Balance Brought In year Balance at Partnerships and Projects Forward Movement 11 October 2020 £m £m £m Economy and Skills (6.498) 2.822 (3.676) Safer Communities (0.947) 0.028 (0.919) Governance (2.016) (0.947) (2.963) Total (9.461) 1.903 (7.558) Key Points: Economy and Skills The balance predominantly relates to restoration bonds held in respect of Open Cast mining (£2.491m) and Developers Contributions (£0.858m). Safer Communities The balance includes amounts held for Roads and Transportation including projects related to Tesco Kilmarnock (£0.073m) and culvert repairs on A77 (£0.072m). Facilities and Properties Management hold amounts for the Energy Efficiency Initiative (£0.303m). Private Sector Empty Homes funding (£0.100m) and HLF funding in relation to Country Park (£0.105m) are also held within the overall amount. Governance The balance predominantly relates to funds retained in respect of various Windfarms (£2.960m).

Projected Revised Annual Projection to Variance In Year Fund Transfers Budget 31 March 2021 (favourable) / £m £m adverse £m Proposed transfer to R & R Fund 0.000 0.000 0.000 Proposed transfer to Capital Fund 0.000 0.000 0.000 Net Expenditure Before Balance Transfers 329.186 332.272 3.086 Proposed earmarked balances in year 0.267 (3.519) (3.786) Transfer to Uncommitted General Fund 0.000 0.000 0.000 Total Balance Transfers 0.267 (3.519) (3.786) NET EXPENDITURE 329.453 328.753 (0.700) Revenue Projected Revised Annual Projection to Variance Funded by Budget 31 March 2021 (favourable) / £m £m adverse £m Aggregate External Finance (256.546) (256.546) 0.000 NHS Social Care Allocation (Share of £250m & £107m) (8.797) (8.797) 0.000 Council Tax (63.215) (62.515) 0.700 Transfer from Renewal & Repairs Fund 0.000 0.000 0.000 Funding Before Balance Transfers (328.558) (327.858) 0.700 Utilisation of Previous Years Balances (0.895) (0.895) 0.000 Total Funding (329.453) (328.753) 0.700 Key Points: Impacted by the increased financial restraints within the community as a result of COVID-19, current recovery levels for Council Tax indicate that there will be an under recovery of income of around £0.700m.

Projected Revised Annual Projection to Variance Housing Revenue Account Budget 31 March 2021 (favourable) / £m £m adverse £m Expenditure 56.307 49.837 (6.470) Income (56.307) (51.808) 4.499 Net Expenditure 0.000 (1.971) (1.971) Key Points: Housing Revenue Account It is anticipated that the Housing Revenue Account will outturn (£1.971m) less than budget. Service delivery within the HRA has been severely impacted as a result of the lockdown and social distancing requirements. The most significant impact has been the ability to undertake scheduled work within the Housing Improvement Programme. Kitchen, Bathroom and Rewiring work is expected to be 10% of planned works. Gas Central Heating upgrades will be around 70% of planned works. This reduces the income rechargeable to capital by £4.677m. There are however related savings particularly on materials and sub-contractor costs (£1.310m). General savings in relation to vacancies (£0.682m) will be offset by £0.688m costs in relation to smoke detector installations. Within Housing Management COVID-19 consequential savings are also anticipated in CFCR (£2.619m) and Equipment & Adaptations (£1.263m). Other savings are anticipated on employee costs, premises costs, supplies and services and surplus rent income. It is intended to earmark savings on Debts Charges (£0.596m) for use in future years.

Current Opening In year Projected Balance Movement Balance £m £m £m General Fund Balances Uncommitted (9.423) 0.000 (9.423) Committed and Service-Related (23.226) 0.628 (22.598) Transformation Fund (3.443) 0.000 (3.443) Total (36.092) 0.628 (35.464) HRA Balances Total (13.910) (1.971) (15.881) Revenue Projection to Projection to IMPACT OF COVID-19 ON SERVICES 31 March 2021 31 March 2021 £m £m Economy & Skills 1.429 Safer Communities 2.446 Wellbeing 6.576 Governance 0.520 COVID-19 SERVICE TOTAL 10.971 HB/CT Benefit Subsidy 1.100 Council Tax 0.700 COVID-19 Funding - Integrated Joint Board (3.841) COVID-19 Funding - Council (3.532) Central Services & Funding (5.573) COVID-19 NET IMPACT ON COUNCIL 5.398 Non COVID-19 Services Variance (1.612) PROJECTION TO 31 MARCH 2021 3.786 Key Points: Economy & Skills COVID-19 has had a financial impact on all services within Economy & Skills. Significant costs within Education include additional supply and teaching costs £0.194m, Emergency Childcare Hubs £0.209m, ASN Transport £0.106m, and the loss of Instrumental Music Tuition income of £0.100m. Offset against this are consequential savings on Speech and Language Therapy cost (£0.124m), staff travel and CPD costs (£0.125m) and property and recycling costs (£0.092m). Additionally, £0.477m of unachieved savings have also arisen as a result of the pandemic. The position projected here assumes that additional funding to be provided by the Scottish Government for Education Recovery in relation to additional teacher and support staff is sufficient to cover all necessary expenditure.

Within Planning and Economic Development, loss of income is the largest area of impact with £0.318m in reduced fees and charges recovery anticipated from building warrant fees, planning fees and rental income. The service is also projecting £0.200m in potential costs in relation to business support consultancy costs assisting businesses recovering from the impact of the pandemic. Finance & ICT costs of £0.010m have also been incurred as a result of software update requirements to support legislative and processing changes. PPE costs across services of £0.166m are also incurred.

Safer Communities Safer Communities is projected to be adversely impacted across all services by £2.446m due to the pandemic. The most significant service cost impact has been within Housing & Communities with the impact on Waste Management budgets being £0.888m, including a loss of income of £0.697m across recylcate, commercial and waste collection income, and within the Ayrshire Roads Alliance with the loss of income on parking estimated as £1.090m. Other costs within Housing and Communities include £0.254m temporary accommodation/ hostel costs, £0.107m shortfall in other income, and additional facility costs of £0.041m.

Facilities and Property Management are anticipating net consequential savings as a result of the closure of facilities during the pandemic. Savings on repair and maintenance costs (£0.800m) are partially offset by an anticipated loss of income from the delay of work on the capital programme of £0.300m. The loss of catering income during the pandemic has been supported by access to additional Food Fund programmes to support the community. Similarly while Transport Services have been impacted by the loss of garage income of £0.075m and other areas of additional costs £0.071m, this is offset by savings on Education transport costs (£0.217m).

Human Resources have incurred additional costs of £0.033m as a result of return to printed payslips, as well as the implementation of additional wellbeing programmes to support employees during the lockdown period of £0.047m. The Transformation service has incurred additional communications costs of £0.019m.

Contained within the Safer Communities variances above is £0.327m of unachievable income budget increases included as 20/21 savings. In addition to these a further £0.379m of unachieved savings elsewhere are identified, with a total of £0.706m overall. Revenue Wellbeing The projected cost for COVID-19 related expenditure within Health & Social Care is currently £5.805m. The highest areas of projected expenditure are £1.500m of PPE supplies, Bed Flow management arrangements of £1.449m, support for Residential Care Homes of £1.564m covering PPE, agency, sickness and vacancy costs, and additional care at home staffing £0.573m. Additionally, a loss of care at home and day care income totalling £0.506m is expected. Scottish Government funding notified to date of £3.841m is available to support this, leaving current projected net costs of £1.964m. Additionally, however, 20/21 approved savings of £0.771m are not anticipated to be achieved as a result of the impact of COVID-19. These are currently absorbed within service variances.

Governance The impact of COVID-19 on Governance entirely relates to the loss of income, in relation to commercial property rental of £0.350m, registration income of £0.070m, licensing fees of £0.050m and print room income of £0.050m all anticipated to be affected. PUPIL EQUITY FUND (PEF) Pupil Equity Fund Total 2020/21 Available Resources 2020/21 Expenditure 2019/20 2020/21 PEF Total Actual To Projected Projected Balance Allocation Funding Date Actual Earmark Establishment C/Fwd £ £ £ £ £ £

Auchinleck PS 28,550 68,730 97,280 49,754 97,280 0 PS 6,660 39,940 46,600 14,855 44,500 (2,100) PS 10 72,840 72,850 40,514 64,740 (8,110) PS 11,010 49,340 60,350 25,565 51,470 (8,880) PS 1,500 47,580 49,080 24,307 49,080 0 PS 10 11,750 11,760 2,066 11,760 0 PS 970 4,230 5,200 2,523 5,200 0 Academy 9,020 213,810 222,830 56,867 185,031 (37,799) Lochnorris PS 26,660 138,630 165,290 46,581 153,980 (11,310) Barony SLC 2,260 36,420 38,680 7,995 21,845 (16,835) Hillside School 2,800 29,370 32,170 1,533 32,170 0 Logan PS 23,430 44,410 67,840 9,189 57,930 (9,910) PS (1,950) 74,010 72,060 30,295 72,060 0 New PS 120 77,540 77,660 27,129 70,015 (7,645) Robert Burns Education Group 111,050 908,600 1,019,650 339,172 917,061 (102,589)

Bellsbank PS 7,530 60,270 67,800 28,634 66,343 (1,457) PS 50 30,540 30,590 10,731 30,590 0 Dalrymple/Littlemill PS 2,550 42,300 44,850 10,214 44,850 0 8,280 54,040 62,320 12,857 62,320 0 Patna PS 2,920 45,810 48,730 16,775 44,324 (4,406) Doon Education Group 21,330 232,960 254,290 79,212 248,427 (5,863)

Annanhill PS 5,600 78,710 84,310 26,387 72,580 (11,730) Communication Unit 880 36,420 37,300 2,153 37,300 0 Crosshouse PS 1,040 35,240 36,280 17,646 36,280 0 Gargieston PS 970 28,200 29,170 4,041 29,170 0 Grange Academy 4,600 123,350 127,950 38,526 116,706 (11,244) Hillhead PS 60,720 150,140 210,860 63,547 178,605 (32,255) Park School 7,350 75,190 82,540 32,492 82,540 0 Shortlees PS 10,720 260,810 271,530 97,627 271,530 0 Grange Education Group 91,880 788,060 879,940 282,420 824,711 (55,229)

Kilmarnock Academy 5,770 145,680 151,450 36,979 151,450 0 Loanhead PS 10,140 48,170 58,310 10,784 44,515 (13,795) Whatriggs PS 40,860 153,900 194,760 89,536 181,868 (12,892) Onthank PS 41,090 135,100 176,190 66,660 148,320 (27,870) James Hamilton PS 54,430 132,750 187,180 48,790 140,199 (46,981) Willowbank School 16,250 81,060 97,310 26,312 97,310 0 Kilmarnock Education Group 168,540 696,660 865,200 279,061 763,662 (101,538)

Darvel PS 25,690 52,870 78,560 24,719 78,560 0 Fenwick PS 30 9,400 9,430 3,946 9,430 0 Galston PS 21,930 64,610 86,540 27,394 68,892 (17,648) PS -3,070 77,540 74,470 24,829 74,470 0 Loudoun Academy 24,750 89,280 114,030 32,600 108,500 (5,530) PS 9,270 27,020 36,290 14,264 31,977 (4,313) Loudoun Education Group 78,600 320,720 399,320 127,752 371,829 (27,491) Pupil Equity Fund

Total 2020/21 Available Resources 2020/21 Expenditure 2019/20 2020/21 PEF Total Actual To Projected Projected Balance Allocation Funding Date Actual Earmark Establishment C/Fwd £ £ £ £ £ £

Mount Carmel PS 700 48,170 48,870 9,821 48,870 0 St Andrew's PS -290 102,210 101,920 42,037 101,920 0 St Joseph's Academy 52,600 103,380 155,980 22,289 146,342 (9,638) St Patrick's PS 5,650 34,070 39,720 5,682 39,720 0 St Sophia's PS 8,920 31,720 40,640 10,308 33,036 (7,604) St Xavier's PS -530 14,800 14,270 9,240 14,270 0 St Joseph's Education Group 67,050 334,350 401,400 99,375 384,158 (17,242)

Dunlop PS 3,040 17,970 21,010 9,284 21,010 0 PS 710 30,540 31,250 1,150 31,250 0 Lainshaw PS 5,090 92,810 97,900 16,674 97,900 0 Nether Robertland PS 5,940 41,240 47,180 11,209 47,180 0 Academy 3,220 39,120 42,340 2,772 42,340 0 Stewarton Education Group 18,000 221,680 239,680 41,089 239,680 0

East Ayrshire Total 556,450 3,503,030 4,059,480 1,248,081 3,749,529 (309,951)

Key Points: Schools have been allocated £3.503m of Pupil Equity Funding from the Scottish Government in 2020/21 to address the poverty related attainment gap. This is in addition to the £0.556m of 2019/20 funding that was carried forward to be utilised by the end of the previous academic year.

National Guidance allows schools to carry forward their PEF allocation to the next financial year with the general expectation that it is fully utilised by the end of the current academic year (June 2021). At Period 7, £0.310m of PEF funding is anticipated to be earmarked at the end of the financial year to fund salary costs to the end of the academic year. Additionally £0.656m of funding for resources is not yet financially committed at this date. ALTERNATIVE DELIVERY MODELS Alternative Delivery Models Variance Revised Annual Projected Actual (favourable) / Ayrshire Roads Alliance - Consolidated Budget Revenue Budget 31 March 2021 adverse £m £m £m Strategic Delivery 4.084 3.500 (0.584) Local Delivery - 4.086 5.360 1.274 Local Delivery - 4.105 4.667 0.562 Total 12.275 13.527 1.252 Key Points: STRATEGIC DELIVERY This variance mainly reflects staff turnover savings due to vacant posts (£0.427m), additional income from inspection fees, penalty notices and road closures (£0.184m) and reduced insurance costs relating to ARA South (£0.086m). This is partly offset by additional computing costs (£0.031m) along with a shortfall in capital recharge income (£0.076m). LOCAL DELIVERY – EAST AYRSHIRE This variance mainly reflects a shortfall in parking income (£1.090m), along with additional street lighting electricity charges (£0.120m), winter materials (£0.100m) and computing costs (£0.050m). This is partly offset by vacancies (£0.299m), and a reduction in maintenance materials (£0.268m). LOCAL DELIVERY – SOUTH AYRSHIRE This variance mainly reflects a shortfall in parking income (£0.623m), along with additional street lighting electricity charges (£0.225m), winter materials (£0.050m), debt charges (£0.052m), an increased provision for bad debt (£0.035) and computing costs (£0.043m). This is partly offset by savings due to vacancies (£0.334m) and a reduction in maintenance materials (£0.150m).

Expenditure to Forecast Budget Capital Budget Date Expenditure Allocation £m £m £m East Ayrshire Bridges 2.482 0.384 1.800 Roads Resurfacing 4.829 1.784 4.829 A70 Route Improvements () 0.079 0.032 0.032 Footways Resurfacing 0.107 0.006 0.107 Flood Protection Works 2.169 0.000 0.500 Street Lighting 0.259 0.016 0.259 Street Lighting LED 2.111 0.198 0.675 SPT Schemes 1.475 0.461 1.265 Cycling Walking & Safer Streets 0.536 0.031 0.536 EAC Roads General Projects 3.696 0.802 3.037 Total - East Ayrshire 17.743 3.714 13.040 Bridges 0.252 0.012 0.252 Roads Resurfacing 1.617 1.388 1.617 Footways Resurfacing 0.000 0.000 0.000 Cycling Walking & Safer Streets 0.496 0.090 0.496 Street Lighting 0.189 0.014 0.189 Street Lighting LED 1.267 0.109 1.267 SPT / SUSTRANS 0.565 0.071 0.565 SAC General Projects 0.938 0.433 0.938 Total - South Ayrshire 5.324 2.117 5.324 Key Points: CAPITAL – EAST AYRSHIRE Bridges £400k was allocated against ‘Galston to Newmilns Cyclepath - River Irvine Erosion’. Due to SEPA delays associated with the planning application and delays arising from Covid-19 which has prevented advance clearance works to prevent bird nesting and the impending fish spawning season, it is not possible to undertake this scheme in the current financial year. It has thus been postponed until 2021/22. A £0.286m tender has been awarded for repairs to the River Irvine training wall at Queens Crescent in Newmilns. However, due to delays associated with COVID-19 and the impending fish spawning season the works are delayed until May 2021. New Cumnock Flood protection Scheme SGN gas diversion works associated with the flood scheme, delayed due to COVID-19 are now complete. Land acquisition and access issues continue to be progressed. Tenders have recently been received and are being assessed with a view to a contract award being made. The earliest estimated site start for the scheme is January 2021 subject to all land/access issues being resolved. CWSS & EAC Roads General Projects Scheme preparation and contract awards have been affected by COVID-19. Work is ongoing to re-programme projects. Alternative Delivery Models Key Points: Bus Station The underspend on the SPT allocation for the bus stations was due mainly to the Kilmarnock contractor - PMC - going out of business. There was a further underspend caused by the COVID-19 shutdown. Kilmaurs Park & Ride Work on construction of additional parking spaces at Yardside Road was well underway, but was suspended mid-March due to COVID-19 prior to completion. Construction work recommenced on 25 June 2020. Refurbishment of car parks No work possible to date and majority of work will now take place in the following financial year. Cumnock SCOOT SPT grant contribution to overall cost of the project was fully spent in 2019-20 and the project will be completed later this year as part of the Barony Campus infrastructure works Resurfacing Resurfacing works have recommenced. Timber Transport funding of £260,000 has been awarded for timber routes. LED Replacement Works have recommenced on LED Programme. Following the delays due to COVID-19, the procurement of the 5 street lighting capital projects is progressing, with one project (Newmilns - Ladeside) on-site on 3 August 2020 and another (Fenwick - Raith Road) due to start on-site on 17 August 2020 Bus Stations and Bus Stops Cumnock project restarted 29 June 2020 – a few weeks to complete outstanding work. Kilmarnock Phase 1 – remaining work awarded to new contractor and work restarted mid July. Kilmarnock Phase 2 – design work being advanced to allow for tendering / construction work to commence in the Autumn. Kilmarnock BS Ramp – remaining work including additional column strengthening work will be completed over the course of the next 8 weeks. Quality Bus Infrastructure – projects prepared and will be implemented over the coming weeks and months. MSCP No work possible to date. MSCP work pushed back and majority of work will now take place in the following financial year. Spaces for People Following a successful application to the fund the Council has been awarded up to £555,000. A public engagement web page on has been launched where residents can leave comments on our proposals or suggest any locations in which they think improvements could be made in relation to physical distancing for people who are walking, cycling or wheeling. CAPITAL – SOUTH AYRSHIRE Additional spend on externally funded projects will be reclaimed by South Ayrshire Council.

Variance Revised Annual Projected Actual (favourable) / East Ayrshire Leisure Trust Budget 31 March 2021 adverse £m £m £m Executive Management 1.368 1.432 0.064 Cultural Development 1.452 1.417 (0.035) Community & Performing Arts Development 0.415 0.654 0.239 Leisure Development 0.662 0.687 0.025 Sports Development 0.654 1.389 0.735 Property & Estates Development 0.183 0.166 (0.017) Net Expenditure 4.734 5.745 1.011 Management Fee (4.734) (4.734) 0.000 External Funding 0.000 (0.900) (0.900) Total 0.000 0.111 0.111 Net Transfer to / from Reserves 0.000 (0.111) (0.111) Total after Transfer to Reserves 0.000 0.000 0.000 Key Points: Executive Management A net reduction in hospitality income is partly offset by vacancy savings and reduced service provision as a result of facili ty closure. Cultural Development Vacancy savings and cost reductions from a reduced programme in 2020/21 offset by a loss in anticipated income. Community & Performing Arts Development Primarily relates to net loss of income arising from the closure of venues and postponement of events. Leisure Development Minor overspend arising from loss of income offset by vacancy savings. Alternative Delivery Models Key Points: Sports Development Service Primarily relates to net loss of income arising from the closure of venues and postponement of events. Property & Estates Development Service Minor savings as a result of vacancies. External Funding The impact of COVID-19 on the Trust has predominantly been around the loss of income which equates to £1.766m. The Trust has been successful in receiving funding from the UK Govt Job Retention Scheme (Furlough) and to date have made 4 applications with resultant payments of £0.547m being paid by the government. TREASURY Treasury

Maturity Profile of Loan Debt £45,000,000

£40,000,000

£35,000,000

£30,000,000

£25,000,000

£20,000,000

£15,000,000

£10,000,000

£5,000,000

£-

2057 2021 2023 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2049 2051 2053 2055 2059 2061 2063 2065 2067 2069

Investments (£'m) DMADF (25.000m)

0.401 Santander (6.446m) 2.630 3.150 Barclays (6.380m) 6.380

25.000 Handelsbanken (3.150m) 6.447

Royal Bank of (2.630m)

Hub South West Scotland Ltd (0.401m)

Key Points: The Council had a total debt portfolio of £389.506m at the date of the report. 73.32% of this debt is with the Public Works Loan Board (PWLB), with the balance being loans with money market institutions and temporary borrowing. The average interest rate of all loans is 4.00%.

The Council had a total investment portfolio of £44.008m at the date of the report. This was invested primarily in the Bank of England Debt Management Account Deposit Facility. An average interest rate of 0.158% was being earned on these investments. The longest duration of the investments is three weeks with the Bank of England Debt Management Account Deposit Facility. Of the total 42.28% was invested on "overnight" terms which essentially means instant access.

CLASSIFICATION: PUBLIC CAPITAL PROGRAMME Capital

Forecast Forecast Total Project Total 2020/21 Project Expenditure Project 2020/21 Expenditure Progress / £m Budget £m Budget £m £m Risk Learning Estate Barony Campus 68.033 68.033 8.816 6.800 7 Primary Replacement 6.280 6.280 0.283 0.622 7 15.675 15.675 0.441 1.000 2 Nether Robertland Primary 1.850 1.850 0.462 0.007 2 Netherthird Primary 10.314 10.314 5.549 0.800 4 Loanhead Primary & ECC 5.400 5.400 3.697 3.622 5 Crosshouse Communication Centre 6.200 6.200 3.969 0.200 4 St Sophia's Primary School 3.600 3.600 0.000 0.100 2 Dunlop Primary Extension & ECC 3.700 3.700 2.470 0.100 3 Loudoun Academy Refurbishment 4.410 4.410 1.378 0.100 4 Logan Primary Refurbishment 0.690 0.690 0.356 0.000 4 Hillhead Primary Refurbishment 0.450 0.450 0.415 0.000 2 Kilmaurs Primary Refurbishment 1.040 1.040 0.506 0.075 2 Onthank Primary Toilet Upgrade 0.400 0.400 0.072 0.080 2 Lainshaw Primary & ECC 0.500 0.500 0.431 0.431 4 Catrine Early Childhood Centre 1.692 1.692 1.236 0.015 N/A Central Distribution Kitchen 2.000 2.100 1.766 0.500 N/A Doon Academy 30.000 30.000 0.000 0.000 N/A North West Kilmarnock School 32.000 32.000 0.000 0.000 0 Lainshaw Primary School 15.000 15.000 0.000 0.000 0 Early Years 1140 Hours Programme 13.083 13.083 5.436 1.985 N/A Early Years Contingency 1.000 1.000 0.500 0.000 N/A Primary Accessibility 0.100 0.100 0.100 0.000 N/A General Projects 0.837 0.837 0.833 0.728 N/A Total Learning Estate 224.254 224.354 38.716 17.165 Need to Know: Barony Campus Construction works in relation to the main campus were completed and the building handed over on 9 October. School resources have been transferred across form Cumnock Academy and Academy with secondary pupils returning to the new facility from 26 October. Thereafter school resources are being transferred from Greenmill and Barshare Primary Schools and Hillside ASN School with the pupils starting in the new school on 18 November. Thereafter the remainder of the works within the campus site will be completed including the demolition of Cumnock Academy, construction of the remaining bus drop-off and parking facilities and the formation of the two new grass pitches. Bellsbank Primary School All construction works are now largely completed on site with the exception of seeding to some of the grassed areas in order to coincide with the next growing season. Due to issues on-site an intended path from original school car park will also no longer be constructed. Stewarton Academy / Nether Robertland Primary School A draft master plan exploring the possibility of creating a connected campus between Stewarton Academy and Nether Robertland Primary as part of the wider proposals for the secondary school and future ECC and ASN requirements has been developed in consultation with Education colleagues. Estimated cost analysis is currently being completed to ensure the proposals can be delivered within the available budget allocation; thereafter these proposals will be brought forward as part of a wider consultation exercise with key stakeholders. Capital Netherthird Primary School Following challenges with the previous tender exercise a new tender has been issued through the Scottish Procurement Alliance (SPA) Framework to secure a contracting partner to work with the Council to develop a proposal for a new Netherthird Primary School within a revised affordability cap under a Pre-Construction Service Agreement (PCSA) at a cost of £0.350m. Tenders were returned early October and have been assessed and a preferred contractor has now been appointed to work with the Council to prepare a revised design solution and fully costed tender price. It is currently anticipated that the start of construction works will not commence on-site until summer 2021, however, everything will be done to try and improve on this date where possible. Loanhead Primary School Construction works are continuing on site with handover of the school anticipated on the 15 January 2021. After allowing for furniture deliveries and final checks it is not anticipated that the new school will be ready for staff and pupil until early February 2021. The main contractor has also indicated that it would be their intention to pursue a loss and expense claim relating to the lockdown period however no agreement has been reached on any potential settlement in accordance with Scottish Government guidance. Crosshouse Communication Centre Due to the delays with the works at Loanhead Primary School and the knock on effect this will have on the availability of Kirkstyle Primary for decant the tender issue was delayed until mid-October; with a return date of the 7 December 2020. . Based on the revised programme it is therefore anticipated that construction works will now start Easter 2021 with completion by Easter 2022. St Sophia's Primary School Designs continue to be developed with the appointed architects in terms of the EnerPHit solution; with the Stage 2 – Concept designs anticipated by November. As part of the Stage 2 submission the design will be subject to a rigorous assessment relative to the affordability cap before progressing to further development which may require some rationalisation of the proposed design. Given the unique nature of the St Sophias refurbishment project it has been included within the bid to Scottish Government for funding in relation to the Phase 2 Learning Estate Programme. Dunlop Primary School Work has been on-going in recent months to develop an early enabling works package for the new culvert which would allow this work to be undertaken ahead of the main building due to limitations imposed on the site with the fish spawning season that restricts any works between October and May. However wider issues relating to these works in relation to obtaining SEPA approval and access rights could not be resolved in time to allow a contract to be awarded. As a result all construction works will now be delayed until May 2021; with an anticipated completion by March 2022. Lainshaw Primary School Construction of the new modular classroom extension has commenced off-site. Based on the current programme it is anticipated that the modular classrooms will be completed by December 2020 for operational use early January 2021. Early Years Programme Progress of all remaining projects in respect of the 1140hours programme are as follows: i) Cairns ECC - contractor is currently anticipating completion by December / January 2021 ii) Onthank ECC - completed and handed over. iii) Auchinleck ECC - due to working restrictions on site as a result of social distancing requirements the refurbishment works have been postponed with agreement of the contractor until Easter 2021 iv) Dalmellington ECC - a tender has been award for the supply and installation of modular units. It is currently anticipated that works will commence early January 2021 and be completed for May 2021. v) Kilmaurs ECC - the issues with Scottish Water remain unresolved however indications are that approval is likely to be issued by early November which allow hubSW to finally hand over the facility to the Council. vi) Central Distribution Kitchen - a tender has now been issued with a new contractor for the construction of the central distribution. However, the new contractors proposed design is subject to a new planning application. This has therefore delayed progress and as a result it is anticipated that the new facility will be available by the deadline of August 2021. vii) Fenwick ECC - outcome of the public consultation awaited before final proposals are confirmed. Based on current proposals the total costs to provide the new Fenwick ECC will exceed the available budget by approximately £1.000m. viii) Catrine ELC – option appraisal report has been prepared for Cabinet approval. ix) Financial Position - given the uncertainty noted on a number of the projects noted above it is difficult at the current time to accurately project potential outturn on the overall 1140 hours programme however it is anticipated that the costs will be higher than the expansion funding capital grant allocated by the Scottish Government. Capital

Forecast Forecast Total Project Total 2020/21 Project Expenditure Project 2020/21 Expenditure Progress / £m Budget £m Budget £m £m Risk Business Growth Portfolio ECONOMIC DEVELOPMENT Town Centre Regeneration Fund 2.312 2.312 2.045 1.574 3 Economic Regeneration & Development 10.100 10.100 2.600 0.000 0 Kilmarnock Town Centre Regeneration 2.000 2.000 0.999 0.999 0 Moorfield Park - Additional Units 1.050 1.050 0.000 0.000 0 Moorfield Units 4 & 5 4.920 4.920 2.563 4.000 5 Rowallan/Moorfield Industrial Unit 1.200 1.200 1.200 0.000 0 Creative Industries Hub 1.500 1.500 1.500 0.000 0 General Projects 0.000 0.000 0.000 0.010 N/A Total Business Growth 23.082 23.082 10.907 6.583 AYRSHIRE GROWTH DEAL East Ayrshire 13.500 13.500 1.262 0.750 UK / Scottish Government 59.500 59.500 TBC TBC Total Ayrshire Growth Deal 73.000 73.000 1.262 0.750 Need to Know: Town Centre Regeneration Fund Work is on-going to progress a range of projects being delivered through the Scottish Government Town Centre Regeneration Fund (TCRF). A report was submitted to Cabinet on 2 September 2020 updating on progress on the TCRF programme however notable updates in the intervening period are as follows; i) Morton Hall, Newmilns - works have now been completed on-site ii) Mothercare Building, Kilmarnock - a contract for the demolition of the Mothercare building has been awarded however a start to the main works has been deferred until early January 2021 to avoid conflict with the Festive shopping period. Moorfield Park - Industrial Units Construction works are progressing well on-site. The main contractor has indicated that the handover of the new industrial units may now be delayed until April 2021 however it is anticipated this completion date will be improved upon once the effects of Covid on the construction programme become clearer. The main contractor has also indicated that it would be their intention to pursue a loss and expense claim relating to the lockdown period however no agreement has been reached on any potential settlement in accordance with Scottish Government guidance. Ayrshire Growth Deal National Energy Research Demonstrator (NERD) - works is progressing to develop the Stage 2 - Concept Design in partnership with the Council, the Princes Foundation and representatives from Strathclyde University Energy Research Unit. It is currently anticipated that the Stage 2 report will be submitted by 27 November 2020 which will then be subject to a period of review and assessment with the relevant stakeholders before progressing to Stage 3. Work is also in progress to prepare the appropriate tender documentation for the appointment of a preferred contractor to work in partnership with the Council to develop the remainder of the design prior to construction. Moorfield Industrial Estate (Phase 3) - negotiations are on-going in relation to the purchase of the land and resolution of site access arrangements. Ayrshire Manufacturing Investment Corridor (AMIC) - progress is currently being hindered by land issues and potential infrastructure constraints that need to be resolved in conjunction with Transport Scotland before design development work can commence. Consultants have been appointed to assist with developing proposals. Capital

Forecast Forecast Total Project Total 2020/21 Project Expenditure Project 2020/21 Expenditure Progress / £m Budget £m Budget £m £m Risk Corporate Estate Waste & Recycling Depot - South Area 5.300 5.300 3.624 0.125 4 Customer Contact Centre 0.495 0.562 0.000 0.000 6 H&SC Management System 0.742 0.790 0.000 0.048 N/A North West Area Centre Reconfiguration 0.223 0.223 0.223 0.223 N/A CCTV Improvements - Town Centres 0.200 0.200 0.200 0.200 N/A CCTV Renewal 0.425 0.425 0.165 0.165 5 Risk Management Centre Equipment 0.400 0.400 0.364 0.355 N/A Energy Efficiency 7.139 7.139 1.064 0.570 N/A Transformation Strategy Fund 2.000 2.000 0.500 0.000 N/A Refurbishment & Component Renewal 16.500 16.500 2.145 1.300 N/A Redevelopment of Vacant Sites 2.000 2.000 0.000 0.000 N/A ICT Programme 12.400 12.400 0.876 0.876 N/A General Projects 0.680 0.680 0.380 0.000 N/A Total Corporate Estate 48.504 48.619 9.541 3.862 Need to Know: Waste & Recycling and Outdoor Amenities Centre Ayr Road Depot – whilst a contract has been awarded for the re-roofing of the existing garage building a start on site has been delayed due to a dispute with a claim from the contractor. Options are being considered in consultation with legal and procurement colleagues. The internal refurbishment of the main offices are currently being prepared for tender issue and are anticipated to commence on-site immediately following the completion of the roofing works. Caponacre Waste and Recycling – following an element of redesign, environmental health’s objection to the noise generated by the site has been withdrawn. Work is now underway to prepare the planning application. Based on current programme it is anticipated that works will commence on site early 2021.

Energy Efficiency A programme of energy efficiency projects are being developed and delivered this includes additional contributions to existing projects including Customer Contact Centre and Loanhead Primary Extension. Capital

Forecast Forecast Total Project Total 2020/21 Project Expenditure Project 2020/21 Expenditure Progress / £m Budget £m Budget £m £m Risk Culture and Community Assets Dean Castle Restoration Project 10.889 11.502 3.932 0.487 5 Galston Office Development 3.450 3.450 2.669 0.075 4 1 Dunlop Street / 12 Strand Street 1.000 1.000 0.947 0.000 2 Dalricket Landfill Site 1.000 1.000 0.035 0.012 N/A Other Cemetery Improvements 1.200 1.000 0.173 0.173 N/A Active Travel Hub 0.508 0.508 0.000 0.000 N/A Dalmellington Cemetery Extension 0.175 0.175 0.000 0.001 N/A Palace Theatre Upgrade 5.000 5.000 0.000 0.000 N/A General Projects 3.205 3.205 0.574 0.162 N/A Total Culture and Community Assets 26.427 26.840 8.330 0.910 Roads Infrastructure Ayrshire Roads Alliance East Projects N/A N/A 17.743 13.040 N/A Total Roads Infrastructure 0.000 0.000 17.743 13.040 Transport Fleet Vehicle Purchases 8.000 8.000 1.804 1.804 N/A Total Transport Fleet 8.000 8.000 1.804 1.804 Wellbeing, Sport and Outdoor Estate Telecare N/A N/A 0.750 0.750 N/A Total Wellbeing, Sport and Outdoor 0.000 0.000 0.750 0.750 Housing Estate Council House Building (SHIP) 121.484 134.904 30.422 1.292 N/A Housing Investment Programme (HIP) N/A N/A 16.436 8.356 N/A Total Housing Estate 121.484 134.904 46.858 9.648 Need to Know: Dean Castle Country Park Dean Castle Restoration Project – Dean Castle Restoration Project – the Council is currently finalising renovation arrangements. It is anticipated that the contract will be awarded shortly with a site restart late 2020 / early 2021 with works anticipated to be completed by Summer 2022. The works to replace the water main to the Dean Castle properties is underway and should be complete in the new year. Galston Office Facilities Alternative feasibility design options are currently being prepared for the refurbishment and repurposing of the former Galston Chambers Building giving consideration to the most appropriate services to be delivered from the facility. The design options will be available for review by stakeholders in the near future which will then allow an updated project programme to be developed. 1 Dunlop Street / 12 Strand Street Work is on-going to undertake a detailed engineering assessment of the property to determine suitable options for progressing the property given overall concerns with the integrity of the building. Council House Build Programme i) Fraser Walk, Kilmarnock - Several phases of the new council houses at Fraser Walk, Kilmarnock have been completed and are now occupied by new tenants. The remaining phases were delayed due to the Covid-19 lockdown however it is currently anticipated these will be completed and handed over by late November 2020. ii) Brown Street, Newmilns - there continues to be on-going issues with the development at Brown Street, Newmilns due to flooding objections. Further development work is being undertaken by Planning and Economic Development in relation to the wider flooding issues in the Kilmarnock area; and will report these findings and the possible implications on the Brown Street development back to a future Executive Committee. iii) Witch Road, Kilmarnock - the mining consolidation works have been completed for Phase 1 with the Phase 2 works due to start shortly. Site designs have been prepared and are due to be submitted for planning approval within the next few weeks. iv) Mill O'Shields Road, Drongan - designs proposals have been submitted, awaiting feedback before progressing v) Kilmarnock Road, Mauchline - the demolition of the games hall is nearing completion. Design development due to commence shortly. vi) Kennedy Drive, Kilmarnock - site investigations ongoing to inform design development proposals. vii) Quarryknow Road, Auchinleck- designs proposals have been submitted, awaiting feedback before progressing viii) Bellevue Gardens, Kilmarnock - the demolition has ben completed. Detailed designs being prepared including initial cost plan. Capital

Forecast Total Project 2020/21 Expenditure Total Project 2020/21 Expenditure £m Budget £m Budget £m £m Total - General Fund 403.267 403.895 89.053 44.864 Total - HRA 121.484 134.904 46.858 9.648 TOTAL CAPITAL 524.751 538.799 135.911 54.512

General Funded By Fund HRA Total £m £m £m Capital Grants 11.522 1.150 12.672 Capital Funded from Current Revenue (CFCR) 0.000 6.000 6.000 Reserves 0.000 0.885 0.885 Capital Receipts 0.000 0.000 0.000 Net Financing (Borrowing) 33.342 1.613 34.955 Total Funding - 2020/21 44.864 9.648 54.512

Key

Project Risk Green Amber Red

RIBA Plan of Work Stages 0 Strategic Design 1 Preparation and Brief 2 Concept Design 3 Developed Design 4 Technical Design 5 Construction 6 Handover and Close Out 7 In Use PEOPLE People

Breakdown of Absence Statistics

Average Average Employees Work Days WDL Per Service Groupings Employee Employee FTE Absent in Lost Employee Headcount Numbers Period (WDL, FTE) Chief Executive's Office 95 88 7 53 0.60 Economy and Skills 2,903 2,583 415 2,805 1.09 Health & Social Care Partnership 1,420 1,110 260 1,970 1.78 Safer Communities 1,900 1,619 276 2,911 1.80 Total 6,317 5,400 958 7,739 1.43

Council Year to Date Totals 20/21 6,341 5,413 1,399 16,089 2.97

Council Year to Date Totals 19/20 6,254 5,355 1,921 21,849 4.08

WDL Per Employee

0.53 0.53

0.41 0.38 0.37 0.36 0.37

0.00 0.00 0.00 0.00 0.00 0.00 1 2 3 4 5 6 7 8 9 10 11 12 13

Key Points: Within periods 5 - 7 the average number of employees within East Ayrshire Council was 6,317, when adjustments were made to take account of part-time workers the average number of Full Time Equivalent (FTE) employees was 5,400. There were 958 instances of absence over the period giving a total of 7,739 Working Days Lost (WDL).

Council Reasons For Absence Periods 5 - 7 1,800 1,600 1,400 1,200 1,000 800 600 400 200

0 Working Days Lost Days Working

Key Points: In the Council, the top 5 reasons for absence were Stress Personal (1,635.7 days lost), Operation/Recovery (869.2 days lost), Musculo/Skeletal (804.2 days lost), Bereavement (568.8 days lost) and Stress (Work Related) (467.7 days lost).

Short Term Absence (Periods 5 - 7) 2 days to 8 days to Service Groupings 1 day 7 days 1 month Chief Executive's Office 2 1 4 Economy and Skills 155 221 82 Health & Social Care Partnership 72 91 121 Safer Communities 92 124 80 Total 20/21 321 437 287 Total 19/20 362 460 318

Long Term Absence (Periods 5 - 7) 1 month to 3 months to Service Groupings Over 6 months 3 months 6 months Chief Executive's Office 2 0 3 Economy and Skills 71 13 49 Health & Social Care Partnership 73 32 59 Safer Communities 105 42 30 Total 20/21 251 87 141 Total 19/20 148 73 58 Key Points: During the period 1045 people were absent for less than 1 month (short term). The most frequent period of absence was in the category of 2 to 7 days. People Absence Monitoring Stages (Periods 5 - 7)

Monitoring Monitoring Monitoring Service Groupings Stage 1 Stage 2 Stage 3 Chief Executive's Office 1 - - Economy & Skills 35 - 2 Health & Social Care Partnership 48 6 - Safer Communities 122 4 - Total 20/21 206 10 2

Key Points: During the period there were 206 employees against stage 1, 10 employees against stage 2 and 2 employees in Stage 3.

Occupational Health Activity (Periods 5 - 7)

Number of New Number of Occupational Service Groupings Early Health Interventions Referrals Chief Executive's Office - - Economy and Skills 36 5 Health & Social Care Partnership 24 19 Safer Communities 22 12 Total 20/21 82 36 Total 19/20 161 66

Occupational Health Activity New Occupational Health Referrals Number of Early Interventions

19 14 13 18 6 43 44 7 36 23 25 13 4 2 0 0 0 0 0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Key Points: During the period there were 82 new referrals to the Occupational Health Service and 36 instances of Early Intervention.

Welfare Activity

Number of Number of Number of Number of Physiotherapy Physiotherapy Counselling Counselling Service Groupings Appointments Appointments Appointments Appointments (Periods 5 - 7) year (Periods 5 - 7) year

Chief Executive's Office 0 0 - 1 Economy and Skills 6 29 19 8 Health & Social Care Partnership 15 76 22 21 Safer Communities 13 94 23 20 Total 20/21 34 199 64 114 Total 19/20 112 419 57 147 Welfare Activity Number of Physiotherapy Appointments Number of Counselling Appointments

12

17 18 70 3 18

35 35 32 27 25 19 1 1 0 0 0 0 0 0 1 2 3 4 5 6 7 8 9 10 11 12 13

Key Points: During the period 34 Physiotherapy Appointments took place and a further 64 to the Counselling Service People Disciplinary Activity Periods 1 - 4 Outcome still Verbal Written under Service Groupings Final Warning Dismissal Other Warning Warning consideratio n Chief Executive's Office ------Economy and Skills - - 1 - - - Health & Social Care Partnership - - 1 - 1 1 Safer Communities - 2 2 - - - Total 0 2 4 0 1 1

Council Year to Date Totals 20/21 0 4 4 0 2 Council Year to Date Totals 19/20 3 8 7 1 6 Key Points: During the period there were 8 Disciplinary Hearings with 2 Written Warnings, 4 Final Warnings, 1 Other and 1 Outcome still under Consideration.

Grievance Activity Periods 5 - 7 Concluded Concluded at Concluded at Service Groupings On-going Case at Stage 2 Stage 3 Stage 4 Chief Executive's Office - - - - Economy and Skills 1 1 - - Health & Social Care Partnership - - - - Safer Communities - - - 2 Total 0 0 0 2

Council Year to Date Totals 20/21 3 1 0 Council Year to Date Totals 19/20 2 4 1 Key Points: During the period there were 2 grievances ongoing

Whistleblowing Number of Service Groupings Complaints Chief Executive's Office - Economy & Skills - Health & SC Partnership - Safer Communities - Total - Council Year to Date Totals 20/21 0 Key Points: During the period there were no Whistleblowing Complaints

Workforce Plan: Key Performance Areas The undernoted tables provide the comparison headcount for all East Ayrshire employees including temporary employees over the period of September 2019 to September 2020. Areas of growth within Teaching, Early Years and Classroom Support have been excluded from the figures and are shown separately.

Table 1: Headcount excluding areas of identified growth Headcount Headcount Headcount Headcount Headcount Service Groupings +/- in quarter Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Chief Executive's Office 95 96 94 94 94 - Economy & Skills 596 642 641 597 606 9 H&SC Partnership 1377 1385 1371 1408 1399 -9 Safer Communities 1875 1882 1875 1919 1888 -31 Total 3943 4005 3981 4018 3987 -31 Key Points: Table 1 shows that headcount has reduced by 31 employees in the last quarter and that this reduction has been within Health & Social Care and Safer Communities, both areas which grew in the previous quarter. However, over the 12 month period detailed the headcount has grown by 44, with all Services other than Chief Executive's expanding over the 12 month period. Table 2: Headcount of Growth areas Headcount Headcount Headcount Headcount Headcount Education posts removed +/- in quarter Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Teaching Grade posts 1404 1394 1389 1402 1396 -6 Early Learning Childcare 518 543 549 545 509 -36 Classroom Assistant 366 374 386 387 367 -20 Total 2288 2311 2324 2334 2272 -62 Key Points: Table 2: In normal circumstances education would be an area of growth, however it can be clearly seen that over the summer months of 2020 this area of the council has contracted with a 2% (62 employees) reduction in staff across the 3 areas being monitored.

Recruitment within Early Learning & Childcare had been frozen as a result of the pandemic and the pausing of Early Years expansion. A number of employees retired or had been on temporary contracts which expired and they reverted to bank lists. This area will begin to pick up again over the next 6 months as we expect the final stage of expansion to be fully implemented by August 2021. People Table 3: FTE excluding areas of identified growth FTE FTE FTE FTE FTE FTE Service Groupings Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 +/- in quarter Chief Executive's Office 88.65 89.18 87.79 87.51 87.51 - Economy & Skills 571.88 588.91 581.86 537.28 547.75 10.74 H&SC Partnership 1086.55 1093.66 1088.53 1107.05 1102.41 -4.64 Safer Communities 1597.87 1601.06 1590.28 1641.53 1614.31 -27.22 Total 3344.95 3372.81 3348.46 3373.37 3351.98 -21.12

Table 4: FTE Growth Areas FTE FTE FTE FTE FTE Education posts removed +/- in quarter Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Teaching Grade posts 1282.45 1289.4 1281.6 1292.8 1290.5 -2.3 Early Learning Childcare 473.11 491 501.6 497.3 465.22 -32.08 Classroom Assistant 264.55 275.3 283.79 284.73 270.02 -14.71 Total 2020.11 2055.7 2066.99 2074.83 2025.74 -49.09 Key Points: Tables 3 & 4 detailing FTE across Services mirrors headcount in terms of the figures with previous expansion of Services within Education halted. Temporary Arrangements – Headcount & FTE The undernoted table provides information on the headcount of employees working in temporary contracts as well as the full time equivalent of temporary posts, covering the period from June 2019 to June 2020. Temporary Employees Service Groupings Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Chief Executive's Office 5 4 3 3 3 Economy & Skills 317 372 391 399 374 H&SC Partnership 51 57 54 59 51 Safer Communities 219 235 200 225 216 Total 592 668 648 686 644 Temporary Posts (FTE) Service Groupings Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Chief Executive's Office 2.19 2.47 1.57 1.29 1.29 Economy & Skills 159.53 181.07 178.58 166.6 190.11 H&SC Partnership 21 19.29 20 18 21 Safer Communities 68.21 70.47 64.6 73.67 67.18 Total 250.93 273.3 264.75 259.56 279.58 Key Points: The number of temporary employees has reduced over the quarter by 42 people, equating to a 6.1% reduction. There has been a reduction in the use of temporary employees across all services other than Chief Executives Office which has remained static. Over the 12 months from September 2019 there has been an increase overall in the number of temporary employees in post of 52 or 8.7%. Overall the number of temporary posts has increased between June to September by 20.02 FTE, a 7% increase which is accounted for in Economy & Skills and H&SCP. As the number of temporary employees has decreased but the number of temporary posts has increased then we must be covering more temporary posts with existing employees, supporting our action on monitoring the posts advertised externally with internal advertising being the default position.

Developing a Young Workforce The undernoted table details the change in number of young people (under 25) employed within the council, detailing apprentices and all other employees under 25. The figures include temporary employees.

Sep-19 Dec-19 No of All other under No. of All other under Service Groupings Apprentices 25's Apprentices 25’s Chief Executive's Office 0 1 0 2 Economy & Skills 7 161 15 168 Health & SC Partnership 0 41 2 49 Safer Communities 49 71 50 80 Total 56 274 67 299

Mar-20 Jun-20 Sep-20 No. of All other under No. of All other under No. of All other Service Groupings Apprentices 25’s Apprentices 25’s Apprentices under 25’s Chief Executive's Office 0 1 0 0 0 0 Economy & Skills 14 160 14 113 12 126 Health & SC Partnership 2 48 2 51 2 48 Safer Communities 47 77 49 76 43 67 Total 63 286 65 240 57 241

Key Points: Overall the number of young people under 25 working within the Council at the end of Q3 was 298 compared with Q2 which was 305. This equates to a reduction of 2% overall. Looking more closely at the figures there has been a reduction in the number of apprentices appointed due to the continued pandemic situation we are working in. HEALTH AND SAFETY Health and Safety Reportable Incidents

10 8 6 4 9 2 1 1 2 1 2 0 1 1 1 1 Period 1Period 2Period 3Period 4Period 5Period 6Period 7Period 8Period 9 Period Period Period Period 10 11 12 13

RIDDOR - Employees' Incidents RIDDOR - Others' Incidents RIDDOR - Reportable Disease

RIDDOR - The Reporting of Injuries, Diseases and Dangerous Occurrences Regulations 2013 Key Points: During Periods 5 - 7 (2020/21) there were a total of 316 incidents reported to the Health and Safety Team. This is a decrease of 148 incidents when compared with Periods 5 - 7 (2019/20) where there were 464 incidents reported.

Of the 316 incidents reported to the Health and Safety Team, 6 required to be reported to HSE in line with RIDDOR. This is a decrease of 2 when compared to Periods 5 - 7 (2019/20) when there were 8 reported to HSE.

The ‘Causes’ of the 6 incidents were: Slips-Trips-Falls x 3; Fall from Height x 1; Manual Handling x 1; Struck by Falling Object x 1.

Non Reportable Incidents 200

150 39 43 100

50 92 107 10 10 12 4 30 9 0 13 23 23 20 Period Period Period Period Period Period Period Period Period Period Period Period Period 1 2 3 4 5 6 7 8 9 10 11 12 13

Non-Reportable: Employees' Incidents Non-Reportable: Others' Incidents

Key Points: Of the 310 ‘non-reportable’ incidents reported to the Health and Safety Team during Periods 5 - 7 (2020/21) the 3 main ‘Causes’ were: Violence and Aggression x 176 (57%); Slips-Trips-Falls x 35 (11%) and Playground/Horseplay x 14 (5%). Health and Safety Location of Non- Reportable Incidents Periods 5 - 7 (2020/21) 350 300 250 200 150 100

50

Primary School Primary Depot Childhood Early House Children's Centre Learning Offices Hostel Special School Special Site On User's Service Residential Catering Communication Centre Resource

0 Secondary

School

Supported

Home

Centre Centre

Key Points: A high percentage (70%) of non-reportable incidents occurred within Educational Establishments, and in particular Primary Schools.

Number of violence and aggression incidents 2020/21 (Reportable and Non-Reportable) 2019/20 150 86 100 80 50 24 10 17 14 10

0

Period Period Period Period Period Period Period Period Period Period Period Period Period

10 11 12 13

1 2 3 4 5 6 7 8 9

Number of violence and aggression Number of violence and incidents (Educational Establishments*) aggression incidents 120 35 (Excluding Educational Establishments*) 100 30 21 80 65 25 65 20 60 14 15 15 11 40 7 17 10 4 8 20 6 3 3 5

2 0

Period 5 Period 10 Period Period 2 Period 3 Period 4 Period 6 Period 7 Period 8 Period 9 Period 11 Period 12 Period 13 Period

0 1 Period

Period 4 Period 9 Period Period 1 Period 2 Period 3 Period 5 Period 6 Period 7 Period 8 Period 10 Period 11 Period 12 Period 13 Period

Average days to report an incident 2020/21 Target 15.0

10.0 14.2 5.0 10.2 3.6 2.5 1.9 2.5 2.9

0.0

Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period Period Period Period

10 11 12 13

* Educational Establishments includes early childhood centres, primary schools, secondary schools, special schools and ASN Facilities. Key Points: During Periods 5 - 7 (2020/21) there were 176 incidents of Violence and Aggression, none (0) of which required to be reported to HSE in line with RIDDOR. This is a decrease of 76 incidents compared to Periods 5 - 7 (2019/20) when there were 252 incidents.

The average number of days to report an incident during 2020/21was 2.6 days. This is a decrease when compared with Periods 5 - 7 (2019/20) where the average number of days to report an incident was 2.8 days. Business Briefing Business Briefing Period Target Result Status Economy and Skills Average number of days to process a new benefits claim YTD 5.8 5.1 or change event (days) Sept Percentage of benefits claims processed that are YTD 97.0% 99.7% accurate Sept Average time (weeks) to deal with all householder Sept 8.0 10.9 planning applications (not including legacy cases) Percentage of business advice requests completed Sept 100.0% 94.7% within 14 days Legacy planning applications as a percentage of all live Sept 20.0% 7.8% planning applications Key Points: Benefits Processing At 5.1 days, the average number of days to process a new benefit claim or change event is 0.7 days below the annual target of 5.8 days. The figure is much lower than the same period in the previous year, (7.79 days at September 2019) and remains on track to meet the year-end target figure at this time. The percentage of claims processed accurately remains high and the service continues to ensure that staff are trained and supported to carry out processing to a high standard.

Householder Planning Applications Although it remains short of target, performance improved significantly in September 2020, compared to the previous 4 months, which was partly due to the transition to homeworking which arose as a result of the enactment of lockdown, as well as the cessation of the advert and neighbour notification process, which was resolved in May 2020. The Interim Head of P&ED is examining the administrative process with a view to streamlining this to deliver continued improvement in performance.

Business Advice Requests Performance fell slightly below target for the first time since January of this year. The pandemic has had a considerable impact on trading standards, and continues to impact on the work of the Team. Additionally, the complexity of individual cases can vary enormously, with some requiring greater resources and additional time to resolve.

Legacy Planning Applications Whilst the percentage of legacy planning applications increased slightly since March 2020, mainly as a result of lockdown and the transition to homeworking, performance has stabilised over the summer months and has improved consistently since July 2020. The longer term trend is markedly downward. To illustrate this, in September 2018, the comparable figure was 14.5%. This reflects the ongoing targeting of staff resources at dealing with these cases. The determination of legacy cases is a complex process, often requiring the submission of outstanding technical information from the applicant and completion of legal agreements before the applications can be determined. Business Briefing School Attendance 2020

Overall attendance rates for each sector this session for the first 8 weeks of term so far are:

Primary 96.38%, 90.94%, 89.53%, 93.65%, 93.01%, 93.29%, 95.35%, 93.51% Secondary 93.96%, 90.97%, 84.46%, 86.83%, 89.35%, 89.91%, 90.86%, 88.24% Special 95.11%, 90.33%, 83.40%, 89.04%, 90.205, 91.69%, 94.07%, 92.70%

Attendance rates are positive, particularly in the current context, and schools continue to engage with parents to reassure them of safety measures in place across all sectors. National guidance is being implemented across all East Ayrshire schools, including the updated guidance for face coverings in classes for S4-S6 pupils. Schools are also supporting a small number of families where parents are choosing not to send their children to school due to perceived risks to health. This support is ongoing to explain safety measures that are in place. Business Briefing Period Target Result Status Safer Communities Percentage of new tenancies sustained for over 1 year Period 7 80% 82.0% Percentage of rent lost through properties being empty Period 7 3% 1.8% Number of void properties excluding those voids to be Period 7 400 322 demolished Gross Rent Arrears as a Percentage of rent due Period 7 5% 8.7%

Current rent arrears as a percentage of net rent Period 7 10% 7.7%

Percentage of repeat homelessness Period 7 6.5% 0.6% Average length of time (hours) taken to complete Period 7 3.0 1.88 emergency repairs Average length of time (days) taken to complete non- Period 7 14.0 7.43 emergency Repairs Percentage of repairs appointments kept Period 7 90% 96.8% Key Points: Tenancy Sustainment The current proportion of tenants sustaining their tenancy for over one year is 82.0% and this is an improvement on the period 7 figure in 2019/20, which stood at 81.1%. Currently, tenant sustainability from the Transfer Group (existing tenants moving to another council house) stands at 90.6%, from the Waiting Group (tenants who have been on the housing waiting list) is 83.2% and from the Homeless Group (tenants who have been homeless and who have moved into a tenancy) is 71.6%.

Council House Voids The current number of empty council houses (excluding those that are to be demolished) is 322, compared with 252 empty properties at period 7 in 2019/20. The percentage of rent lost through council houses being empty stands at 1.8% (£468,525), compared with period 7 in 2019/20 when void rent loss performance was 1.4% (£375,679).

Current Rent Arrears The value of Gross Rent Arrears is £3,979,028 however, this indicator includes Former Tenant Arrears (currently £2,006,726 compared with £1,756,899 at period 7 2019/20) which is managed by Finance. The Council pursues rent arrears from all former tenants. We employ appropriate resources to seek recovery, this includes reference to Sheriff Officers and other Debt Collection Agencies as appropriate. When it has been established that the methods used to recover former tenant debt from individuals have been exhausted the Council will seek to write off the former tenant debt. Current Rent Arrears performance stands at 7.0% at Period 4, which is within the target level of 10%. At period 7, there are £1,936,813 Current Rent Arrears, compared to £1,726,240 at Period 7 in 2019/20. As a result of Universal Credit Full Service being introduced in East Ayrshire, in general, arrears are accrued before a tenant receives their first Universal Credit payment and this has resulted in a rise in Current Tenant Arrears levels. At the end of Period 7 £476,231 of rent arrears was directly attributable to Universal Credit. Housing Services have introduced a Universal Credit Team to support our residents to claim Universal Credit and reduce the impact of Welfare Reform changes on our tenants. This new team assists and advises people in our communities on issues of rent arrears and multiple debt, helps with access to technology and internet, assists with online applications and personal budgeting, and seeks to reduce fuel poverty. Additionally, the team Business Briefing advises and assists people into employment, education or training through accessing services from other partners. In addition, the Housing Service has developed a neighbourhood coach approach, which redefines the relationship between the social landlord and the tenant focusing on the positives in people, building trusting long-term relationships, equipping people for success and connecting tenants to a range of local services that might help them thrive and grow. The role of neighbourhood coaches will allow us to connect customers to each other and build the community, building a network of mutual support that becomes sustainable and changing the lives of our customers and their neighbourhoods for the long-term, building resilience and making our communities clean, green and vibrant places to live in. This neighbourhood coach approach is currently being piloted within Housing Services. These approaches have allowed Housing to be proactive in line with digital inclusion and the fairer, kinder and connected approach.

Repeat Homelessness In the year to Period 7 performance is 0.6% (which is 2 cases). This compares with 5.8% (or 22 cases) for the year to Period 7 in 2019/20. The reasons for the 2 repeat homeless cases are a dispute within household and fleeing non-domestic violence.

Housing Repairs In period 7, the average time to complete an emergency repair to a council house was 1.88 hours compared with 2.63 hours at period 7 in 2019/20. In period 7, the average time to complete non- emergency repairs to council houses was 7.43 days compared with 8.89 days at period 7 in 2019/20. The percentage of repair appointments kept stands at 96.80 % in period 7 compared to 95.56 % in the same period in 2019/20. Throughout the pandemic Housing Asset Services have been focused on safety whilst carrying out emergency and urgent repairs to council houses. Measures have been taken to ensure safety and good hygiene and because we had introduced workforce trained and equipped to multi skill it allowed us to reduce the number of visits and trades required to attend repairs. Business Briefing Period Target Result Status Wellbeing Hospital discharge (over 2 weeks) as at the end of the Sept 0 0 month

Delayed discharge bed days August 490 259

Number of Looked After Children and Young People October Reduce 372

Key Points: Delayed Discharges The number of people who remain in hospital when assessed as fit to be more appropriately supported in another setting (known as 'delayed discharges') for over 2 weeks has been maintained at zero in all months throughout 2020/21 to date. The target of zero has been consistently met in East Ayrshire for a number of years.

Performance in relation to bed days occupied by delayed discharge has remained strong over the last 12 months and East Ayrshire continues to perform well relative to benchmark comparators. The monthly average total bed days was 197 in the first five months of 2020/21, compared with 242 in the same period last year. In August 2020, the total of 259 bed days included 64 'Standard' delay bed days and 195 complex discharges ('Code 9' reasons). Focused improvement work has been undertaken to facilitate complex discharge in East Ayrshire, which has contributed towards the average number of bed days occupied per month due to delays in complex discharges falling from 210 in 2018/19 to 181 in 2019/20.

Number of Children and Young People Looked After There has been a long-term reduction in the number of children looked after in East Ayrshire. This is associated with partnership working and asset-based ways of working in relation to prevention and early intervention. Stability of placements has also improved and we continue to engage with care experienced young people, utilising a strength based approach to mitigate risks within the community. National statistics show a total of 375 looked after and accommodated children and young people in East Ayrshire in July 2019. As at October 2020, there were 372 looked after children and young people, with an additional 27 children and young people becoming looked after. The number of children and young people looked after has increased since the last reporting period (357), however this has been attributed to local recording issues in relation to transitioning to the LiquidLogic system. COMPLAINTS Complaints It should be noted that for consistency and to support benchmarking in reporting arrangements, the performance measures identified in this complaints report have been aligned to the performance indicators provided in the Scottish Public Services Ombudsman's (SPSO) National Reporting Framework.

Complaints Received (1 April 2020 to 11 October 2020)

Stage 1 Stage 2 Escalated Number of Complaints Complaints Complaints complaints

Economy and Skills 9 4 9 22 Governance 1 0 0 1 Safer Communities 24 2 5 31 Cross Department 0 0 0 0 East Ayrshire Council 34 6 14 54 Key Points: During the reporting period, a total of 54 complaints were received. As at 11 October 2020, 48 of these complaints were closed with a full response given, 1 was withdrawn by the complainant, and 5 complaints remained open. This compares with 68 complaints that were dealt with during the same period in 2019/20.

Complaints Closed (1 April 2020 to 11 October 2020)

Average Time Number Number In Working Partially Closed Within Upheld in Full Closed Days To Upheld Time* Respond Stage 1 Complaints 32 29 (90.6%) 4.7 9 (28.1%) 6 (18.8%) Stage 2 Complaints 6 5 (83.3%) 18.8 0 (0.0%) 0 (0.0%) Escalated Complaints 10 8 (80.0%) 18.2 1 (10.0%) 4 (40.0%) * Closed within 5 working days for Stage 1 complaints, within 20 working days for Stage 2 complaints and within 20 working days for Escalated complaints.

Key Points: Of the 48 complaints closed with a full response given, 32 were dealt with only at Stage 1 of the Complaints Handling Procedure, 6 complaints were dealt with only at Stage 2 and 10 complaints were escalated. Escalated complaints are complaints which have been escalated from Stage 1 to Stage 2 of the Complaints Handling Procedure.

Work is ongoing to ensure continued alignment of the Council's Complaints Handling Procedure with the SPSO's revised Model Procedure. A formal review has commenced to ensure full implementation of the revised procedure by 1 April 2021, although it is noted that a final position on the future national performance reporting framework for complaints handling is still awaited from the SPSO. Complaints

Average time in working days to respond stage 1 stage 2 escalated 25.0 19.5 18.9 18.8 18.2 20.0 17.5 16.7 15.0

10.0 5.8 5.0 4.2 4.7 5.0

0.0 Economy and Skills Governance Services Safer Communities Pan-Service East Ayrshire Council

Key Points: The average time in working days to respond to: - a Stage 1 complaint was 4.7 days (6.5 days in 2019/20); - a Stage 2 complaint was 18.8 days (20.9 days in 2019/20); and - an Escalated complaint was 18.2 days (18.0 days in 2019/20). The percentage of complaints which were upheld:

- for Stage 1 complaints was 28.1% (26.0% in 2019/20); - for Stage 2 complaints was 0.0% (0.0% in 2019/20); and - for Escalated complaints was 10.0% (0.0% in 2019/20).

The percentage of complaints which were partially upheld:

- for Stage 1 complaints was 18.8% (32.0% in 2019/20); - for Stage 2 complaints was 0.0% (71.4% in 2019/20); and - for Escalated complaints was 40.0% (55.6% in 2019/20).

Figures in brackets relate to periods 1 to 7 in 2019/20. RISKS Risk Risk Risk Owner Overall Risk No. We consider the overall risk rating to be High given the significant challenges that have arisen from the Coronavirus Pandemic which has had an unprecedented impact on UK Government borrowing levels. Given the suddenness of the pandemic and the continued efforts to contain the virus there has been little published information or data at this time on the impact that the virus has had on the fiscal plans and arrangements of both the UK and Scottish Governments. The first indication of the fiscal implications will be contained in the Autumn Budget which is anticipated to be held around October 2020 and it is likely that this will contain long term measures to rebalance government indebtedness and finances. Economic Depute Chief climate - The Executive An early Finance Report covering the period April to May 2020 was presented to the Executive level of grant and Chief Committee on 30 June 2020. This report highlighted a projected budget overspend range of funding 1a Financial between £3m - £11m arising from the additional expenditure and loss of income due to the available in the Officer Pandemic. This was later revised in the Period 4 East Ayrshire Performs Report which noted future will not Economy the anticipated overspend due to Covuid-10 of £4.202m. support existing and Skills service levels. The UK and Scottish Government has provided funding to help offset some of the financial burden and while these offset some of the pressures they will not completely meet all of the costs. Plans to bring the 2020/21 budget back into balance are being progressed and it is envisaged that this will include utilising any further government COVID-19 grants, reduced service non essential spend, the release of service balances following the annual review of balances.

The Spending Review was published by the Chancellor of the Exchequer on 25 November 2020 providing an early induction of the impact of Covid-19 on the economy and public finances.

Red We consider the overall risk to be High given the impact that the Pandemic has had on income levels across the Council. There has been significant income loss for Council Tax and housing Economic rents as well as reduce parking, planning and building warrant fee income, commercial rent climate - The Depute Chief and waste recyclate income all of which has had a severe impact on Council budgets. current Executive economic and Chief In May the Executive Committee agreed to suspend follow up for Council Tax and rents for 1b position will Financial three months in order to assist those most impacted by the pandemic. In addition services have an impact Officer across the council together with partner organisations have been mobilised to assist individuals on the income Economy and families maximise benefits and minimise debt and the collective efforts of the council and collected by the and Skills partners continues to help provide support and advice. council

Red Risk Risk Risk Owner Overall Risk No. TheWe considerlocal economicthe overallpositionrisk ratingwill haveto beaHighdirectgivenimpacttheonsignificantthe residentschallengesof EastthatAyrshirehave arisenand theirfrom demandthe Coronavirusfor CouncilPandemicservices.whichWe considerhas had thean overallunprecedentedrisk to beimpactHigh andon UKwhileGovernmentearlier risk analysisborrowingandlevels.assessmentsGiven the highlightedsuddennesstheof theissuespandemicaroundandthetheimpactcontinuedof welfareefforts reformto containon residentsthe virus thereand individualshas been littlethesepublishedhave beeninformationcompoundedor datafurtherat thisbytimethe impacton the impactof Coronavirusthat the Pandemic.virus has hadTheonFinancialthe fiscalHealthplans Checkand arrangementsanalysis thatofaccompaniesboth the UK thisandEastScottishAyrshireGovernments.Performs reportThe firstshowsindicationthat applicationsof the fiscalforimplicationsCouncil Taxwill Reductionbe contained(CTR),in thehaveAutumnincreasedBudgetbywhicharoundis 400%anticipatedsincetoMarchbe held2020aroundhighlightingOctoberthe change2020 andin employmentit is likely thatstatusthisforwillmanycontainindividualslong termand familiesmeasures in toEast rebalance Ayrshire. government indebtedness and finances.

TheAn early Financemost Reportrecentcovering the periodeconomicApril to Maydata2020 was presentedshows to thethatExecutive: •Committee13,700 peopleon 30inJuneEast2020.AyrshireThishavereportbeenhighlightedfurlougheda andprojectedthere budgethave beenoverspend3,500 claimsrangeforof self-employmentbetween £3m - £11m incomearising support;from the additional expenditure and loss of income due to the •Pandemic.Between JanuaryThis wasandlaterMayrevised2020,in therethe Periodhas been4 Easta Ayrshire61.7% increasePerformsinReportthe unemploymentwhich noted benefitthe anticipated claimant overspend count for Eastdue toAyrshire; Covuid-10 of £4.202m. • In May 2020, there were 12,913 people in East Ayrshire on Universal Credit, a rise of 87% whenThe UK comparedand Scottish to MayGovernment 2019; has provided funding to help offset some of the financial burden and while these offset some of the pressures they will not completely meet all of the Economic costs. Plans to bring the 2020/21 budget back into balance are being progressed and it is climate - The Welfare Reform is having an acute impact on East Ayrshire residents and support envisaged that this will include utilising any further government COVID-19 grants, reduced local economic mechanisms are in place through Financial Inclusion and other appropriate services including service non essential spend, the release of service balances following the annual review of position will Depute Chief CAB to support those most in need of assistance. Changes to Discretionary Housing balances. have a direct Executive Payments regulations have enabled additional payments to be awarded to those tenants impact on the and Chief affected by under occupancy and additional funding for DHP was provided as part of the The Spending Review was published by the Chancellor of the Exchequer on 25 November 1c residents of Financial Scottish Governments COVID-19 response and has led to further payments being made to 2020 providing an early induction of the impact of Covid-19 on the economy and public East Ayrshire Officer those on housing benefit/ the housing cost element of Universal Credit. finances. and their Economy Detailed and focused arrangements were introduced by the Council to support families and demand for and Skills council individuals during the pandemic including delaying council tax and rent payments, suspending services. debt management follow up arrangements from April to August, reintroducing a new soft follow up approach from September to coincide with targeted support to ensure that individuals and families claim benefits they are entitled to while also maximising existing benefits. Colleagues in the Financial Inclusion Team and the Universal Credit Project Team, as well as the CAB, continue to support the increased demand for services and assistance for complex cases of financial distress.

The pandemic has seen Council services work alongside our communities to provide specific support to those most in need and our approach has seen our communities at the heart of our response to Covid and it is clear that this partnership has produced tangible result and effective and successful outcomes. This is demonstrated through the innovative use of the community grants awarded by the Interim Head of Housing and Communities which is seen over 150 payments made to support and sustain families at specific points during the crisis. Moreover, the imaginative approach to the use of the Food Fund coupled with our response to those that were shielding during the pandemic has seen 650,000 number of meals provided and 5400 individuals supported during the period of shielding.

Red Risk Risk Risk Owner Overall Risk No. We consider thethe overalloverall riskrisktoratingbe High,to beandHighthegivenrisksthehavesignificantincreasedchallengesgiven thatthatthehaveopportunityarisen tofromextendthe Coronavirusthe transitionPandemicperiod passedwhich hason had30 Junean unprecedented2020 and whileimpactnegotiationson UK Governmentcontinue, it remainsborrowingprudentlevels.toGivenplan fortheasuddennessworst case ofscenariothe pandemicno-dealandwithdrawalthe continuedon 31 effortsDecemberto contain2020. Financial Risk - Thethe viruspotentialtherelosshas beenof funding,little publishedimpact oninformationeconomicorconditionsdata at thisincludingtime on thegrowth,impactborrowingthat the The UK leaving costs,virus hasandhadtheonpotentialthe fiscalfor furtherplans andchangesarrangementsto local governmentof both the UKfundingand allScottishpresentGovernments.a significant the European financialThe first riskindicationto the ofCouncilthe fiscaland theimplicationslocal economy,will be includingcontainedthein numberthe Autumnof publicBudgetandwhichprivateis Union and the sectoranticipatedjobs. toTherebe heldare alsoaroundpotentialOctoberrisks2020to theandCouncilit is inlikelyrespectthat thethisimpactwill containon thelongsupplytermof potential for a goods,measures services, to rebalance and supply government chains thatindebtedness are reliant andon EU finances. countries. worst case scenario no- Depute Chief WhilstAn earlynegotiationsFinance Reportbetweencoveringthe theUKperiodGovernmentApril to Mayand 2020the EUwashavepresentedcontinuedto theduringExecutivethe deal withdrawal Executive pandemic,Committee informationon 30 June on2020.the Thisplansreportfor leavinghighlightedand thea projectedpost Brexitbudgetarrangementsoverspend rangeare nowof will have an and Chief neededbetweento£3mhelp- £11msupportarisinglocal fromplanning.the additionalIn line withexpenditureour risk planningand lossarrangementsof income dueourto ‘UKthe impact on our Pandemic. This was later revised in the Period 4 East Ayrshire Performs Report which noted 2a Financial Withdrawal from the EU Preparedness Group’, chaired by the Chief Executive, and included workforce, local the anticipated overspend due to Covuid-10 of £4.202m. Officer members of the Executive Management Team and other key officers has reconvened and the communities, Economy Depute Chief Executive (Safer Communities) had been identified as tactical lead for taking the provision of The UK and Scottish Government has provided funding to help offset some of the financial and Skills forward the Council’s arrangements. Action and mitigation has been put in place and our state goods and ofburden readinessand whilekept underthese review.offset some of the pressures they will not completely meet all of the services, supply costs. Plans to bring the 2020/21 budget back into balance are being progressed and it is chains, the local Aenvisagedclose overviewthat thisof EUwill fundedincludeprojectsutilising isanybeingfurthermaintained,governmentparticularlyCOVID-19aroundgrants,Employabilityreduced economy and programmesservice non essentialto establishspend,the potentialthe releaseimpactsof serviceon the balancesCouncil. Thefollowingimpacttheonannualborrowingreviewcostsof the Council’s hasbalances.not yet materialised, although affordability of the capital programme remains under financial constant and detailed scrutiny. position The Spending Review was published by the Chancellor of the Exchequer on 25 November 2020 providing an early induction of the impact of Covid-19 on the economy and public finances. Red We consider the overall risk to be amber. A reasonable provision has been identified to fund Financial Risk - claims which are being managed by the Council. Significant progress has been made in Equal Pay, settling first wave claims and settlement discussions have recently been concluded in respect Equal Value of the second wave claims, with settlement offers, where appropriate, now being issued. It Depute Chief and Holiday was anticipated that all appropriate second wave offers would have been settled early in 2020 Executive 2b Pay Claims however the pandemic has caused a delay although it is envisaged that settlement will Safer could have a recommence shortly. The level of financial resources held for Equal Pay has been assessed Communities significant as adequate by the Councils external auditors and colleagues within Legal are liaising with financial impact claimants legal representatives, where appropriate, to agree, and make, payments. on the Council Green Currently, the Council has successfully completed restoration programmes for Dunstonhill; Netherton; Skares; Ponesk and Spireslack and has contributed to the restoration of Powharnal and Dalfad which are both in their final stages of being completed by Mines Restoration Limited. The restoration of Powharnal on behalf of the Scottish Government in response to the threatened EU Infraction proceedings at the Special Protection Area (SPA) has been mitigated by the restoration works undertaken. Works commenced during January 2020 on the restoration of Grievehill and Garleffan, which will address the two remaining voids previously disowned by the Liquidators of ATH along with the water management of the site. Progress has been significant in the SPA area which has now been restored with ongoing restoration work focusing on the remainder of the Grievehill site before operations move to Garleffan. The Chalmerston complex is subject to Section 36 application to the Scottish Government to form a Financial Risk windfarm and therefore the health and safety restoration works proposed for the site will be Depute Chief – Certain split into two parts. The Council will undertake works within the Complex but out with the Executive Liabilities in windfarm boundary. The remaining bond monies will be held by the Council and focus on and Chief relation to revised site restoration proposals after the Scottish Ministers decision is taken on the windfarm 3 Financial opencast coal development. This will be the last Council led restoration project for all of the opencast sites Officer sites may fall to which were previously affected by the liquidation in April 2013 of Scottish Coal and ATH. The Economy the Council to Council also continues to work with the operators of the last current sites at Greenburn; House and Skills resolve of Water; and Duncanziemere to deliver effective restorations solutions for each of those sites. Greenburn has been fully restored with the exception of the road which now has Roads Construction Consent and is being constructed by the operator. House of Water was the last operating surface coal mine in Scotland which ended coal extraction in July 2020 with work focussing on the delivery of the finalised restoration scheme.

Significant progress has been made in relation to all sites with the high risk rating reduced to a green rating given the significant works completed and the risk to the Council reduced.

Green Risk Risk Risk Owner Overall Risk No. TheWe consideroverall risktheisoverallMediumriskrecognisingrating to bethatHightheregivenhasthebeensignificantan increasechallengesin focusthatonhaveHealtharisenand Safety.from theFailureCoronavirusin this areaPandemicwouldwhichhave significanthas had anconsequencesunprecedentedforimpactemployees,on UKserviceGovernmentusers andborrowingthe Council.levels. WeGivenhavethe arrangementssuddenness ofintheplacepandemicto manageand thehealthcontinuedand safetyeffortsacrossto containthe Councilthe viruswhichtherearehaskeptbeenunderlittlereview.publishedTheinformationChief Executive'sor data Healthat this andtimeSafetyon theStrategyimpact thatGroup,the whichvirus hasincludeshad onTradethe fiscalUnionplansrepresentation,and arrangementscontinuesof bothto keepthe UKunderandreviewScottishbothGovernments.policy, and relevantThe first andindicationrelatedofoperationalthe fiscal implicationsmatters. Regularwill beSafetycontainedFlashesin theandAutumnBulletinsBudgetcontinuewhichto beis issuedanticipatedto ensureto be heldawarenessaroundacrossOctoberthe2020organisationand it isoflikelykey thatHealththisandwill Safetycontainissueslong termand regularmeasuressite to safetyrebalanceinspections governmentof higher indebtednessrisk activities, and finances.such as construction, ensures that a Health and strong safety culture is maintained. The safety arrangements of the Council, which are Safety - containedAn early Financewithin ReportHealthcoveringand Safetythe periodStandards,April to areMay reviewed2020 was andpresentedupdatedto theregularlyExecutivein implementation Depute Chief consultationCommittee onwith30 theJunetrade2020.unions.This reportIt is recognisedhighlighted thata projectedpenalties,budgetfinesoverspendand sanctionsrangeforof of Executive Healthbetweenand£3mSafety- £11mbreachesarisinghavefromincreasedthe additionalin severityexpendituresince newandsentencingloss of incomeguidelinesdue towerethe 4 arrangements Safer introducedPandemic. inThisEnglandwas laterand revisedWales inin2016.the PeriodThe impact4 EastofAyrshirethese guidelinesPerformsinReportScotlandwhichcontinuenoted fails to Communities tothebe anticipatedmonitored, overspendhowever theduestrong to Covuid-10safety management of £4.202m. arrangements in place by the Council adequately are designed to avoid incident, and thereby, risk of prosecution. During the current Coronavirus address risk. pandemic,The UK androbustScottishsafetyGovernmentmanagementhasarrangementsprovided fundinghavetobeenhelpputoffsetin placesomewhichof themirrorfinancialthe mostburdenup-to-dateand while theseScottishoffsetGovernmentsome of theandpressuresHealththeyProtectionwill not completelyScotland meetguidance,all of theas appropriate.costs. PlansNationalto bringguidancethe 2020/21and budgetour Coronavirusback intosafetybalancemanagementare being arrangementsprogressed andremainit is underenvisagedconstantthat review,this will withincluderegularutilisingscrutinyany offurtherthesegovernmentarrangementsCOVID-19being providedgrants, byreducedCMT. Coronavirusservice non essentialsafety arrangementsspend, the inreleasebuildingsof serviceare regularlybalancescheckedfollowingby thetheHealthannualandreviewSafetyof teambalances. to ensure that high levels of compliance are maintained.

The Spending Review was published by the Chancellor of the Exchequer on 25 November 2020 providing an early induction of the Amberimpact of Covid-19 on the economy and public Thefinances.overall risk is currently assessed as Medium. The inquiry has been taking evidence for a number of years. The initial focus was on religious orders and more recently charitable organisations. Some initial findings have been reported by Lady Smith, the Inquiry Chair, focusing in on the severity and extent of abuse experienced in those organisations. The next phase of the inquiry is focusing on the experiences of people in foster care and there has been a section 21 request completed by the authority in this regard, with it likely that further requests in respect of residential care are likely. A team has been focusing on gathering the information required and completed an extensive response. This response will be scrutinised by the Inquiry and may result in the leaders of organisations being required to give evidence or further questions posed to the authority.

As the work of the inquiry progresses there remains the possibility that historic claims for damages will be submitted, thus far four claims have been submitted. Claims have been Scottish Child received by the Council and they are in the process of being assessed by colleagues across Abuse Inquiry - the Council including Procurement who are in the process of arranging for specialist claim resource assessors to be appointed to assist the Council in the evaluation of claims. Given the requirements complexity of historic/legacy insurance arrangements, the current insurance arrangements are on the Council Director of likely to be financially challenging. could, and 5 Health and potential An inquiry preparation group has been operational and is populated with officers from across Social Care financial risk the Local Authority and HSCP. This group will lead on responding to section 21 requests as depending on they are received consider how records can be produced and managed appropriately taking claims made into account the many legal considerations. The Scottish Governments Advanced Payment against the Scheme (APS) opened on the 25th April 2019 for those who suffered abuse in care in Scotland Council before 2004 and who have either a terminal illness or are aged over 70 years old; the authority has been contacted a supported such requests. Work at Scottish Government level continues in relation to financial redress scheme. It is proposed that the redress scheme will be limited to a maximum payment of £80,000, and that is receiving compensation through the scheme an individual waives their right to take civil action as organisations will be expected to contribute to the scheme. This position is being challenged by survivor groups, who consider that civil action compensation payments will be significantly higher that the redress ceiling and they instead propose that any redress payments are repaid following successful civil action that makes a higher award. The Council will assess any potential implications as matters develop further.

Amber Risk Risk Risk Owner Overall Risk No. TheWe consideroverall risktheisoverallMediumrisk-ratingHowever,to beshouldHigh givenan individualthe significantnot bechallengesadequatelythatprotectedhave arisenthe impactfrom theforCoronavirusindividuals Pandemiccould potentiallywhich hasbe hadseverean unprecedentedand would likelyimpactadverselyon UKimpactGovernmenton the Council’sborrowing reputation.levels. GivenIn mitigationthe suddennessthe Chiefof theOfficer’spandemicGroupand(Publicthe continuedProtection)effortsmaintainsto containa robustthe virusstrategicthere hasoverviewbeen littleof childpublishedprotection,informationadult orprotection,data at thisMAPPAtime onandtheviolenceimpact thatagainstthe womenvirus hasactivityhad onandthedevelopments.fiscal plans andInarrangementsresponse to theof pandemicboth the UKthisandapproachScottishhasGovernments.been made moreThe firstrobustindicationand learningof the fiscalfrom implicationsthis will be takenwill beforwardcontainedandinembeddedthe AutumnintoBudgetpractice.whichTheis ChildanticipatedProtectionto be Committee,held aroundAdultOctoberProtection2020 andCommittee,it is likelySouththat thisWestwillScotlandcontain longStrategicterm Oversightmeasures toGroup rebalancefor MAPPA governmentand the indebtednessViolence Against and finances.Women Partnership are all in place. These groups have responsibility for strategic planning, continuous improvement/development, workforceAn early FinancedevelopmentReport coveringand publicthe periodinformationApril to/ Mayengagement.2020 wasThesepresentedpartnershipsto the Executivereport directlyCommitteeandonregularly30 Juneto 2020.the ChiefThisOfficer’sreport highlightedGroup wherea projecteda high levelbudgetof scrutinyoverspendand challengerange of exists.betweenIndependent£3m - £11mChairsarisingarrangementsfrom the additionalare in expenditureplace for theandChildloss Protectionof income Committeedue to the (currentlyPandemic.vacant),This wasAdultlaterProtectionrevised in theCommittee,Period 4 andEastAlcoholAyrshireandPerformsDrugsReportPartnershipwhich whichnoted createsthe anticipatedopportunities overspendto further due toimprove Covuid-10our ofgovernance £4.202m. and accountability arrangements. The Senior Manager for Public Protection and learning has now been in post since October 2019 andThe benefitsUK and fromScottish havingGovernment public protectionhas provided managedfunding in the oneto help placeoffset are noted.some of the financial Protection of burden and while these offset some of the pressures they will not completely meet all of the Children and Thecosts.JointPlansInspectionto bring oftheChildren2020/21andbudgetYoungbackPeople’sinto balanceServicesarereportedbeing progressedin March 2018and itandis Vulnerable Director of foundenvisagedthat that“as thispartwillof includepublic utilisingprotectionanyarrangements,further governmentclear COVID-19and effectivegrants,governancereduced 6 Adults - Health and arrangementsservice non essentialwere inspend,place”.theThereleasereport ofhighlightedservice balances“a strong,followingcoherenttheplanningannual structure,review of individuals are Social Care withbalances.clear lines of accountability”, noting that “The multi-agency structures driving these not adequately processes were effective and all relevant services were meaningfully involved.” We continue protected. toThebuildSpendingon thisReviewvia our wascommitteespublishedandbyintegratedthe Chancellorchildrenof andthe Exchequeryoung peopleon strategic25 Novemberplan. Similarly2020 providingthe thematican earlyinspectioninductionof Selfof theDirectedimpactSupportof Covid-19identifiedonsignificantthe economystrengthsand acrosspublic adultsfinances. services.

As noted above public protection arrangements have been further enhanced as a result of the pandemic. The key areas noted above in addition to new and emerging vulnerabilities have been focused on by multi-agency groups who have met regularly and reported into an Executive Oversight Group and then onto the Chief Officers Group. This approach has led to real time and responsive decision making. This has been recognised as good practice and as we move to more normal arrangements these groups or a version of these groups with sit beneath respective committees/partnerships. This will provide a consistency of approach and add a further layer of assurance.

Amber Risk Risk Risk Owner Overall Risk No. TheWe consideroverall riskthe overallis mediumrisk ratingas theto benatureHigh givenof thetheactivitysignificantis suchchallengesthat newthat attackshave arisenare increasinglyfrom the Coronavirus likely. Pandemic which has had an unprecedented impact on UK Government Enhancedborrowing levels.proceduresGivenaretheinsuddennessplace to preventof the pandemicand detectandfraud,the continuedinformationeffortsreceivedto containfrom colleaguesthe virus therein otherhas beenareaslittleandpublishedanti-fraud informationnetworks isorassesseddata at thisas received.time on theThisimpactincludesthat the Nationalvirus hasAnti-Fraudhad on theNetworkfiscal plans(NAFN)and whicharrangementsmost UKofCouncilsboth theparticipateUK and Scottishin, the Governments.Scottish Local AuthoritiesThe first indicationChief Internalof theAuditorsfiscal implicationsGroup (SLACIAG)will be contained, ,in the Autumnand intelligenceBudget whichsharedis withanticipatedthe Council’sto be heldMonitoringaround OfficerOctoberas2020the Council’sand it is likelySinglethatPointthisofwillContactcontain(SPOC)long termfor Seriousmeasures& toOrganised rebalance Crimegovernment(SOC) indebtednessrelated issues. and finances.The Council also engages with the National Fraud Initiative (NFI) exercise carried out every two years. Corporate anti-fraud work continuesAn early Financeto be deliveredReport coveringvia thethepartnershipperiod Aprilestablishedto May 2020withwasNorthpresentedAyrshiretoCouncilthe Executivein the formCommitteeof the onshared30 JuneCorporate2020. FraudThis reportTeam,highlightedwhich hasanowprojectedbeen operationalbudget overspendsince laterange2016,of withbetweenoutcomes£3m - £11mreportedarisingto thefromGovernancethe additionalandexpenditureScrutiny Committeeand loss oftwiceincomea year.due toThethe CouncilsPandemic.ChiefThisGovernancewas later revisedOfficer,in Interimthe PeriodHead4 Eastof FinanceAyrshireandPerformsICT, HeadReportof HR,whichHeadnotedof Fraud and Transformation,the anticipated overspendICT Security dueManager to Covuid-10and ofChief £4.202m.Auditor meet regularly as the Strategic Anti- misappropriati Depute Chief Fraud Group. on of council Executive AsThepartUKofandtheScottishresponseGovernmentto COVID andhasinprovidedeffort to fundingsupport tobusinesseshelp offsetin somethe retail,of theleisurefinancialand resources - the and Chief hospitalityburden andsectorswhile thesethe Scottishoffset someGovernmentof the pressuresallocatedthey£1.2bnwill tonotprovidecompletelybusinessmeet grantsall of theto 7 Council is faced Financial selectedcosts. Plansbusinessesto bring basedthe 2020/21on informationbudget backheldintoby balanceCouncilsareandbeingValuationprogressedBoards.andEastit is with financial Officer AyrshireenvisagedCouncilthat thiswaswillawardedinclude£21.8mutilisingandanyawardsfurtherhavegovernmentbeen madeCOVID-19to our localgrants,businessesreduced loss through Economy andservicethe nonfundingessentialhas beenspend,fullytheutilised.releaseGivenof servicethe scalebalancesof thefollowingfundingthenationallyannual itreviewbecameof balances. fraudulent and Skills evident through alerts from National Crime Agency in the first few weeks that serious and activities. organised crime organisations were targeting the business grants process. As a Council we introducedThe Spendinga setReviewof specificwasonlinepublishedinteractiveby theapplicationChancellorformsof thewithExchequerin built primaryon 25checksNovemberand a2020seriesprovidingof secondaryan earlychecksinductionby colleaguesof the impactin Financeof Covid-19and ICT,on thePlanningeconomyandandEconomicpublic Developmentfinances. and staff from Internal Audit who were reallocated and imbedded in the process. Ancillary checks were undertaken for newly self-employed grants using NAFN bank account validation tools, a pan-Ayrshire data matching exercise has been carried out led by EAC Internal Audit using full sets of payment data from the three Councils and a full set of all payments has been provided to the Scottish Government to allow large scale national data matching and checks to be undertaken. Internal Audit has also led on a post payment data match to over 600 frauds reported by other Scottish Councils and NAFN. At this stage we are not aware of any material frauds in the business grant process at East Ayrshire.

Amber The overall risk is Medium as failure to manage the consolidated impact of the current range of internal and external change programmes could be significant.

The consolidated impact of the current range of internal and external change programmes is Business Risk - significant and failure to manage the programme effectively represents a financial and service the Council is Depute Chief risk. The Executive Management Team and Transformation Plan Strategic Board are alert to unable to Executive the consolidated impact of change programmes. It will continue to be important for individual properly and Chief project leads to maintain specific risk registers and to highlight any change in the level of risk, manage the 8 Financial and for the EMT to ensure that sufficient resource and capacity exists to maintain impact of Officer organisational resilience as change is implemented. The Transformation Strategy was multiple internal Economy approved by Cabinet in June 2018 and a series of corporate workstreams were identified and and external and Skills these together with service based redesign programmes are being advanced by Heads of change Service, supported by the Transformation Team. The renewal and recovery action plan details programmes an acceleration of many aspects of the transformation strategy, and a detailed update on progress with this and any associated resource issues will be presented to Cabinet in September. Amber Risk Risk Risk Owner Overall Risk No. WhilstWe considerthe riskthetooverallEAC remainsrisk ratingMEDIUM,to be Highthe givenimpacttheof significanthome workingchallengeshas broughtthat haveaboutarisennew securityfrom the challengesCoronavirusandPandemicthe potentialwhich forhasadditionalhad an unprecedentedexploitations, whichimpactICTon UKareGovernmentworking on (e.g.borrowingthe introductionlevels. Givenof dualthe factorsuddennessauthenticationof the pandemicfor homeandworkers).the continuedThe Councileffortscontinuesto containto maintainthe virus athererangehasofbeensecuritylittlemeasures,published informationincluding firewalls,or data virusat thischecking,time on thesoftwareimpactblocking,that the patchingvirus has andhad onupdates,the fiscalwebplanscontentand arrangementsfiltering, user ofrestrictions,both the UKpasswordand ScottishpoliciesGovernments.and user education;The first indicationthese measuresof the fiscalremainimplicationsunder constantwill be containedmonitoringin theandAutumnevaluation.BudgetAs whichnew ITis technologiesanticipated toarebeconsideredheld aroundacrossOctoberthe Council2020 andnetwork,it is likelya specificthat thissecuritywill riskcontainevaluationlong termwill bemeasures undertaken to rebalance prior to their government introduction. indebtedness and finances.

TheAn earlyCouncilFinanceis engagedReport coveringwith the Governmentthe period AprilDigitalto MayService2020 onwasthepresentednature oftothethe2020ExecutivePSN submission;Committee onGDS30 Junemodified2020.theThistimingreportandhighlightedapproach atoprojectedcompliancebudgetand overspendsubmissionsrangeat theof outsetbetweenof £3mthe pandemic- £11m arisingin Marchfrom2020the additionalwhilst UK expenditureauthorities respondedand loss oftoincomeand manageddue to the Business Risk - Depute Chief effectPandemic.of theThispandemicwas lateronreviseddigital services.in the PeriodOur4defenceEast AyrshiresystemsPerformshave remainedReport whichintactnotedand the Council is Executive compliantthe anticipatedthroughout, overspendand dueIT torecommenced Covuid-10 of a£4.202m.server and device patching schedule in July subject to a and Chief 2020 in preparedness for submitting our PSN application when requested to do so. We expect ransomware or 9 Financial toThehaveUKanandindependentScottish Governmenttest and evaluationhas providedour ITfundingsystemstoandhelpsecurity,offset somerequiredof thefor ourfinancialPSN other cyber Officer submission,burden and whilecompletedtheseasoffsetsoonsomeas lockdownof the pressuresrestrictionstheywillwillallownotit.completelyThe Councilmeetcontinuesall of theto attack resulting Economy fullycosts.engagePlans withto bringboth thethe 2020/21GDS andbudgetScottishbackGovernmentinto balancecyberareresiliencebeing progressedunits to ensureand itweis in loss of and Skills remainenvisagedproperlythat thisprotected.will includeNew cyberutilisingsecurityany furtherawarenessgovernmentmodulesCOVID-19are being developedgrants, reducedfor all systems or data staffserviceto undertakenon essentialfromspend,Decemberthe release2021. Theof Councilservice alsobalancesremainfollowingCyber Essentialsthe annualPlusreview(CE+)of certifiedbalances.until March 2021. Finance &ICT, along with Internal Audit, continue to monitor the national risk, and we receive and act on security alerts issued by the UK Government National CyberThe SpendingSecurityReviewCentre.wasThepublishedtimelineby forthe Chancellorproposed changesof the Exchequerto the PSNon 25complianceNovember methodology2020 providingremainan earlyuncertain,inductionperhapsof thebetweenimpact2022of andCovid-192025. onSincethe2019/20economyin recognitionand public offinances.this risk Internal Audit has developed a rolling multi-annual programme of ICT/Cyber audits with good results to date. The 2020/21 Internal Audit plan includes a review of home working arrangements.

Amber The Council recognises the implications of its decisions and actions on the environment and takes positive steps to mitigate and offset its carbon footprint

Environmental This risk considers the work the Council has undertaken over the years to reduce its carbon Climate Risk - footprint and recognises the increasing focus on climate change and anticipates further activity the Council required by the council to reduce our carbon footprint. The overall risk is classed as Medium recognises the at this stage. implications of Depute Chief its decisions The Council’s overall approach is monitored through the annual climate change declaration Executive - 10a and actions on report and has introduced programme to convert its fleet from carbon based fuels to fully Safer the environment electric vehicles, reduce energy use through our buildings, minimise waste and increase Communities and takes recycling and support jobs in the renewable energy sector. The first Young Peoples Climate positive steps to Conference which was held on 29 October 2019 where young people from schools across mitigate and East Ayrshire met to discuss the climate emergency, challenge global polices, engage with and offset its carbon change local policies, champion change, discuss the issues with elected members and officers footprint and to drive forward an action plan to protect the environment. As part of the recovery and renewal agenda Economy and Environment has been set as a key priority.

Amber Climate change is having an impact on global weather patterns with unseasonal extreme events which will become a regular and intense occurrence. Environmental Climate Risk - Extreme weather events are occurring more frequently leading to national agencies such as Climate change SEPA updating models on for example the regularity of flooding events. These events impact is having an across local and national infrastructure, impact on building and development plans, and lead to impact on an increase in the need for resources to mitigate disruption and protect our communities. global weather Depute Chief There are also significant consequential impacts on insurance costs for both the Council and patterns with Executive - 10b our communities and there is also significantly adverse impacts on the economy overall. unseasonal Safer extreme events Communities The Council has robust resilience arrangements in place to deal with adverse weather events which will however national modelling shows that while these plans are in place the frequency and scale become a of these events will only increase over time. regular and intense occurrence.

Red Risk Risk Risk Owner Overall Risk No. ThisWe considerrisk recognisesthe overallthe riskwideratingimpacttoofbetheHighCoronavirusgiven the significant(COVID-19)challengesPandemic,thatalonghavewitharisenthe Council’sfrom the Coronaviruscommunity basedPandemicresponse.which hasWehadconsideran unprecedentedthe overall riskimpactto beonhigh,UK notingGovernmentthat a pandemicborrowing levels.can significantlyGiven the suddennessaffect the healthof the andpandemicwellbeingand theof continuedour communitiesefforts toandcontainthe economy.the virus thereWe hasknowbeenthat littlefor somepublishedgroups,informationthe social,or economicdata at thisandtimehealthon theharmsimpactcausedthat theby bothvirus thehasvirushad onandtheassociatedfiscal planslockdownand arrangementsmeasures, ofwillbothbe greaterthe UK and Scottishcould haveGovernments.a profound andThe longfirst lastingindication impact,of the exacerbatingfiscal implications already willexistingbe contained inequalitiesin inthe ourAutumn communities.Budget which is anticipated to be held around October 2020 and it is likely that this will contain long term Planningmeasuresand to rebalancepreparation governmentare critical indebtednessto mitigating andthe finances.risk and impact of pandemics and to managing response and recovery. An early Finance Report covering the period April to May 2020 was presented to the Executive TheCommitteeCouncilonis 30experiencedJune 2020.in planningThis reportfor andhighlightedmanaginga projectedlocal resiliencebudgetmattersoverspendand rangewe haveof robustbetweenarrangements£3m - £11m inarisingplacefromwiththecommunityadditional planningexpenditurepartnersand lossto ofensureincomeweduearetowellthe equippedPandemic.toThisrespond,was lateras andrevisedwheninrequired,the Periodto 4emergencyEast Ayrshiresituations.PerformsWeReportwork whichcloselynotedwith colleaguesthe anticipatedlocally, overspendregionally dueand to Covuid-10nationally ofthrough £4.202m.the Ayrshire Local Resilience Partnership and West of Scotland Regional Resilience Partnership. The Council’s emergency response arrangementsThe UK and Scottishare overseenGovernmentby our Councilhas providedIncidentfundingManagementto help Team,offset somewith regularof the updatingfinancial andburden communicationsand while these by theoffset Chiefsome Executiveof the andpressures Councilthey Managementwill not completely Team. meet all of the costs. Plans to bring the 2020/21 budget back into balance are being progressed and it is Thereenvisagedis likelythat tothisbewillgreaterincludedemandutilisingforanycertainfurtherservices,governmentsome servicesCOVID-19maygrants,requirereducedto be Risk of a deliveredservice nondifferently,essentialwhilespend,othersthe releasewill needoftoservicebe stoodbalancesdown.followingAs we havethe annualseen duringreviewtheof Pandemic – currentbalances.Pandemic, in a very short space of time, the council was able to rapidly transform the the council way it works in order to maintain essential services and to ensure support for our communities. recognises the The CouncilSpendinghasReviewworkedwascloselypublishedwith Partnersby the andChancellorcommunities,of the buildingExchequeron aonwell-established25 November impact that a network2020 providingof contacts,an earlyskills,inductionknowledgeofandtheexpertiseimpact ofto helpCovid-19protectonandthesupporteconomyresidents.and publicWe pandemic and havefinances.continued to monitor the impact on our workforce and our communities, maintaining close associated oversight of virus spread and impact of lockdown measures. We have adapted our services to lockdown protect and support employees, communities and local businesses and details have been set Chief 11 measures could out in the Executive Committee Reports of 14 May 2020 and 11 June 2020. Further, reports to Executive have on our Council on 25 June 2020 and 29 October set out our approach to recovery and renewal, all workforce, local within the context of the Scottish Government’s Route Map Through and Out of the Crisis. communities, local economy, As at 26 November 2020, there have been 2,365 confirmed positive Covid-19 cases in East the delivery and Ayrshire. Sadly, 93 people in East Ayrshire, who were confirmed as testing positive for the performance of virus, have died. services and budgets. Scotland’s five-level Strategic Framework was introduced at the end of October and aims to tackle Covid-19 with measures strong enough to reduce virus prevalence, while proportionate to the scale of the problem in different parts of the country and in a way that minimises, as far as possible, the harms caused by the Pandemic. East Ayrshire was placed at Level 3, with effect from the 2 November 2020 and remained at Level 3 until 20 November 2020, when the area was escalated to Level 4 Protection Measures for a period of 3 weeks, along with 10 other local authority areas across the Central Belt.

Whilst Level 3 measures had helped to slow the spread of the virus, we have not seen the sustained downward trend that we needed to see. There are also concerns about the pressures that a high number of cases would have on the NHS, particularly as we head into winter, the busiest time of year for our hospitals.

The Council has required to step back into response mode, which once again means a focus on mission critical services and our arrangements for business continuity are continuing to ensure that we are well placed to respond and adapt, as required.

Red Appendix 1 COVID-19 - FINANCIAL HEALTH CHECK (AS AT 11 OCTOBER 2020)

COUNCIL TAX REDUCTION CLAIMS HOUSING BENEFIT CLAIMS SCOTTISH WELFARE FUND

1/4/2019 - 1/4/2020 - 1/4/2019 - 1/4/2020 - 1/4/2019 - 1/4/2020 - Movement Movement Movement 07/11/19 05/11/20 07/11/19 05/11/20 24/11/19 22/11/20

New Claims New Claims No of Applications : New Claims Received 3,208 4,709 1,501 47% ↑ New Claims Received 120 92 -28 -23% ↓ Crisis Grants 3828 3777 -1% ↑ New Claims Processed 4,097 4,507 410 10% ↑ New Claims Processed 207 134 -73 -35% ↓ Community Care Grants 1563 1851 18% ↑ Total 5,391 5,628 4% ↑ Change in Circumstances Change in Circumstances New Claims Received 19,098 34,207 15,109 79% ↑ New Claims Received 18,730 8,223 -10,507 -56% ↓ Value of Payments : New Claims Processed 28,319 34,859 6,540 23% ↑ New Claims Processed 15,069 10,995 -4,074 -27% ↓ Crisis Grants £122,483 £150,584 23% ↑ Community Care Grants £591,677 £524,587 -11% ↓ Total CTR Paid £149,446 £775,963 £626,517 419% ↑ HB is now only paid to Pensioners and to individuals with Severe Disability Premium. All other claimants receive their Total £714,160 £675,171 -5% ↓ HB within their wider Universal Credit payment. CiC claims are high in April / May due to both private and state pensions being increased and this then has a consequential impact on the HB payable.

COUNCIL TAX COLLECTION CREDITORS DATA BUSINESS GRANTS

1/4/2019 - 1/4/2020 - 1/4/2019 - 1/4/2020 - Actually Movement Movement Notified 08/11/19 06/11/20 24/11/19 24/11/20 Received SG Funding for Phase 1;2;3 £21,800,000 £20,424,000 94% Net Cash In £48,815,189 £47,528,672 -£1,286,517 -3% ↓ Invoices Paid: Expended as at 30 September £20,150,000 £20,150,000 Total No of Invoices 87,370 69,656 -17,714 -20% ↓ Remaining £1,650,000 £274,000 1% Collection Rate at P8 67.26% 63.63% -3.63% ↓ Value of Payments : No of Grants Paid 1872 Value of Payments 237,878,603 226,392,371 -11,486,232 -5% ↓

HOUSING RENTS COUNCIL MOBILISATION PLAN IJB MOBILISATION PLAN

End P7 - End P7 - The Mobilisation Plan captures the additional expenditure incurred and the income lost to the Council as a result of The Mobilisation Plan captures the additional expenditure incurred and the income lost to the IJB as a result of Covid- Movement Covid-19. Submissions 1 & 2 covered the period April to June 2020 . Submission 3 reflects the full year to 31 March 19. Submission 3 reflects actual costs for the period April to June 2020. The Plan is refreshed and updated every 2019/20 2020/21 2021. All information is grouped into headings prescribed by COSLA. month with information grouped into headings prescribed by COSLA.

Additional Expenditure Full Year Recurring, incl. Total Recovery Income Lost & Part Year Costs - Costs for (new in Sub. 3) One-Off Other Exp April - August 2020/21 Total Current Rent Arrears £1,726,240 £1,936,813 £210,573 ↑ £m £m £m £m £m £m Submission No 1 (24/4/20) 0.893 0.671 4.787 6.351 ↑ Submission No 1 (30/4/20) 2.480 3.718 ↑ Amount attributable to Universal Credit £476,231 Submission No 2 (15/5/20) 4.838 8.175 ↑ Submission No 2 (15/5/20) 2.508 0.852 3.258 6.618 ↑ Submission No 3 (22/6/20) 2.405 4.396 ↑ Submission No 4 (27/7/20) 3.366 5.379 ↑ Submission No 3 (19/6/20) 11.149 0.696 4.938 16.783 ↑ Appendix 1

HARDSHIP FUND SUMMARY HARDSHIP FUND - IHoHAC HARDSHIP FUND - IHoF&ICT

ALLOCATION FROM SCOTTISH £m UPDATED £m GOVERNMENT - £1.139M Total Allocation 0.500 Total Allocation 0.300 No of Grants Awarded 117 Value of Grants Awarded 0.369 Applications Pending 0 0.000 Remaining Balance 0.131 Payments made 96 -0.263

£0.500m £0.339m Balance on Fund 0.037 DELEGATED TO RETAINED Communty IHoH&C Food Top-ups Equip £0.300m Support £0.219m £0.005m £0.050m DELEGATED £0.095m TO IHoF&ICT

FOOD FUND COVID BRAKE RESTRICTIONS - GRANTS NEWLY SELF EMPLOYED & B&B FUND

£m No. Paid Amount No. Paid Amount Total Allocation 0.838 £M £M Closure Fund 211 0.399 B&B Hardship Fund 5 0.015 Hardship (Restrictions) Fund 137 0.075 Newly Self Employed 169 0.338 Spend -0.838 Furlough 0 0 174 0.353 Remaining Balance 0.000 348 0.474

Average spend per week 0.083m

Based on the spend plans and actual expenditure incurred, this funding was fully utilised in early June