Public Document Pack
Trusted procurement for better buildings and homes
Joint Committee
Start time & Date: Friday, 29 NOVEMBER 2019, 10.00 AM Finish time: 12.30pm (followed by buffet lunch) Address: LHC Offices, 4th Floor, Royal House, 2-4 Vine Street, Uxbridge, Middlesex UB8 1QE Published: Thursday, 7 November 2019 Lloyd White, Head of Democratic Services, London Borough of Hillingdon, Phase II, Civic Centre, High Street, Uxbridge, UB8 1UW Members of the LHC Joint Committee:
Councillor John Bevan, Haringey Councillor Philip Corthorne MCIPD, Hillingdon Councillor Matthew Bennett, Lambeth Councillor Patrick Berryman, Haringey Councillor Kevin Brady, Tower Hamlets Councillor Katherine Chibah, Enfield Councillor John Chilver, Bucks Councillor Susan Fajana-Thomas, Hackney Councillor Paul Gadsby, Lambeth Councillor Asma Islam, Tower Hamlets Councillor Dino Lemonides, Enfield Councillor David Martin, Bucks Councillor Peter Mason, Ealing Councillor Clayeon McKenzie, Hackney Councillor Mick O'Sullivan, Islington Councillor Jane Palmer, Hillingdon Councillor Eleanor Southwood, Brent Councillor Diarmaid Ward, Islington
Members of the Public and Media are welcome to attend. This meeting may also be broadcast live. You can view the agenda at www.hillingdon.gov.uk. Agenda
Joint Committee Attendance
1 Apologies for Absence 3 - 4
2 To approve the minutes of the meeting held on 28th June 2019 5 - 10
PART I - Members, Public and Press Items are normally marked in the order that they will be considered, though the Chairman may vary this.
3 To receive and consider a report by the LHC Group Director 11 – 32
Appendix 3.1 - Framework spend by Clients 15 – 18 Appendix 3.2 - LHC Work Programme 19 – 20 Appendix 3.3 - LHC Organisation Chart 21 – 22 Appendix 3.4 - LHC Risk Register 23 – 24 Appendix 3.5 - Full Members Organisation Chart 25 – 26 Appendix 3.6 - Associated Members Organisation Chart 27 – 28 Appendix 3.7 - SPA Founder/Executive and Appointed 29 – 30 Organisation Chart Appendix 3.8 - WPA Founder and Appointed Members 31 - 32 Organisation Chart
4 To receive and consider a report on the implementation of KPIs within 33 - 34 LHC
5 To receive and consider an update on the progress of the LHC 35 - 36 Community Benefit Funds
6 To receive and consider a report by the Director of Corporate 37 - 38 Services
7 To review the Register of Gifts and Hospitality and Register of 39 - 40 Interests 8 Any Other Business 41 - 42
9 Date and time of next meeting (scheduled for Friday 26th June 2020) 43 - 44
10 Additional item - A presentation from Debbie Larner CIH on Fire 45 - 46 Safety, post Grenfell
PART II - Members Only The reports listed below are not made public because they contain confidential or exempt information under paragraph 6 of Part 1 of Schedule 12 A to the Local Government (Access to Information) Act 1985 as amended.
11 Financial update by the Director of Corporate Services 47 - 48 JOINT COMMITTEE ATTENDANCE Key :‐ Attended X Not Attended
Authority Councillor Nov‐19 Jun‐19 Dec‐18 Jun‐18 Dec‐17 Jun‐17 Dec‐16 Jun‐16 Dec‐15 Jun‐15
Brent Councillor Bernard Collier Resigned X X X X X Councillor Harbi Farah Resigned X X X XX Councillor Eleanor Southwood X X Appointed X Councillor Shama Tatler Appointed X Substitute X Ealing Councillor David Rodgers Resigned X Councillor Jasbir Anand Resigned X X X Councillor Peter Mason
Hackney Councillor Clayeon McKenzie X X X X Appointed X Councillor Susan Fajana‐Thomas X X X X Haringey Councillor Alan Strickland Resigned X X Appointed Councillor Patrick Berryman X Appointed Councillor Gideon Bull Appointed Councillor John Bevan
Page 1 Page Hillingdon Councillor Philip Corthorne X X Councillor Wayne Bridges Resigned X X X Appointed X Councillor Jane Palmer Appointed X Islington Councillor Diarmaid Ward X X X X Appointed X Councillor Olly Parker Resigned X X Appointed Resigned X X Councillor Mick O'Sullivan Appointed Councillor Angela Picknell Resigned X Appointed X Lambeth Councillor Matthew Bennett X Appointed X Councillor Paul Gadsby X X Appointed X Councillor Jackie Meldrum Appointed Councillor Danial Adilypour Resigned X X Appointed X Councillor Jennifer Braithwaite Resigned X X Appointed X Tower Hamlets Councillor Joshua Peck Resigned X X X X Appointed X Councillor Rachel Blake Resigned X X X Appointed X Agenda Annex Councillor Kevin Brady Appointed Councillor Asma Islam Appointed Bucks CC Councillor David Martin Appointed Councillor John Chilver X X X X X Appointed X Enfield Councillor Ahmet Oykener Resigned X X Appointed Councillor Jansev Jemal Resigned X X X Appointed Councillor Katherine Chibah Appointed X Councillor Dino Lemonides X Appointed X Appointed This page is intentionally left blank Agenda Item 1
ATTENDANCE RECORD
Representative: Borough Attendance
Councillor David Martin Bucks Attending Councillor John Bevan Haringey Attending Councillor Gideon Bull Haringey Attending Councillor Philip Corthorne Hillingdon Attending Councillor Jane Palmer Hillingdon Attending Councillor Susan Fajana-Thomas Hackney Attending
Apologies received:
Officers and Advisers:
Neil Fraser - Honorary Clerk (Deputy) Hillingdon Steve Clarke Hillingdon (Apprentice) Zak Muneer – Director, Corporate Services LHC John Skivington – LHC Group Director LHC Clive Feeney – Director SPA Neil Barker – Director WPA Mary Bennell – Director SW Debbie Larner CIH
Page 3 This page is intentionally left blank Agenda Item 2
LHC JOINT COMMITTEE - Friday 28 June 2019
Held at LHC Offices, 4th Floor, 2 Vine St, Uxbridge UB8 1QE
Representative Borough
In Attendance
Councillor John Bevan (Chairman) Haringey Councillor Philip Corthorne (Vice Chairman) Hillingdon Councillor David Martin Bucks Councillor Peter Mason Ealing Councillor Kevin Brady Tower Hamlets Councillor Asma Islam Tower Hamlets Councillor Jane Palmer Hillingdon Councillor Susan Fajana-Thomas Hackney Councillor Jackie Meldrum (Deputy) Lambeth Councillor Mick O'Sullivan Islington Councillor Gideon Bull Haringey Councillor Shama Tatler Brent
Officers and Advisors
Neil Fraser – Honorary Clerk (Deputy) Hillingdon Steve Clarke - Democratic Services Apprentice Hillingdon Zak Muneer –Director of Corporate Services LHC John Skivington – LHC Group Director LHC Neil Barker – Director WPA Clive Feeney – Director SPA
Apologies
Councillor Clayeon McKenzie Hackney Councillor Dino Lemonides Enfield Councillor John Chilver Bucks Councillor Eleanor Southwood Brent Councillor Paul Gadsby Lambeth Councillor Katherine Chibah Enfield Mary Bennell – Director, LHC South West LHC
1. APOLOGIES FOR ABSENCE 1.1 Apologies for absence were received as set out above.
2. MINUTES OF THE PREVIOUS MEETING 2.1 Councillor Susan Fajana-Thomas requested that her apologies be noted for the LHC Joint Committee held on Friday 7 December 2018. 2.2 The Minutes of the LHC Members' meeting held on 7 December 2018 were agreed as a true record.
Page 5 3. It was confirmed that items 1-9 were marked as Part I and would be considered in public. Item 10 was marked as Part II and would therefore be considered in private.
4. REPORT FROM THE GROUP DIRECTOR 4.1 Consideration was given to a report by the LHC Group Director which provided Members with an overview of the organisation's performance. 4.2 The Joint Committee was informed that, as anticipated at the December 2018 meeting, LHC had not achieved its income and turnover targets for 2018-19. Reasons given included the slow pace of new house building, increased competition, and challenges faced from the Carillion Group collapse and Grenfell Tower fire. However, the Group Director noted that growth had been sustained for the seventh year in succession. Optimism for further growth was based on the business’s ability to respond to client needs, including a shift to Modern Methods of Construction and the leveraging of technical expertise. 4.3 Client feedback showed a satisfaction rate of 91%. Ratings for appointed companies was also high at 85% but below the 90% target. To gain a better understanding of this, a project team had been set up to develop a clear set of Key Performance Indicators (KPI). 4.4 Costs continued to be managed well, which had resulted in a growth in net surplus. 4.5 In terms of dignity and respect amongst LHC staff, 3 complaints had been received in the past year; and it was confirmed that LHC was working with the London Borough of Hillingdon's HR department to reduce this to 0. A key goal in this regard was to encourage communication within the organisation. 4.6 84% of staff had received some form of training, though efforts were being made to reach the target of 100%. 4.7 The SPA operation in Scotland continued to contribute over half of LHC's income, though this share was likely to decrease over the next 5 years, as investment continued in other UK regions. 4.8 Sustained growth was expected through development of regional teams, including the forthcoming launch of the South West Procurement Alliance (SWPA), a partnership with the Northern Housing Consortium to create a new joint brand - Consortium Procurement Construction (CPC), and the strengthening of teams in London, the South East and Central regions. In Wales, activities continued to be based around the Wellbeing of Future generations agenda. 4.9 An event was recently held in Manchester focussed on promoting ‘Modern Methods Of Construction’, helping to build homes of a higher quality. 4.10 The Group Director outlined that 7 frameworks had launched in the past year, with 7 further frameworks out to tender or at the research stage. 4.11 Praise was given to the IT team who for their continuous development of cloud-based infrastructure. 4.12 Staff performance and happiness was good. With support from LB Hillingdon, the technical, procurement and marketing teams had been restructured, resulting in 6 redundancies and the creation of 6 new posts. 14 new staff were expected to be employed over the next 12 months, to aid regional operations.
Page 6 4.13 Regarding Community Benefit Funds, agreements were in place with 4 benefit agencies to administer £370,000 for community use. Payments to LHC constituent members would be through Locality, and further information on all funds would be presented to the Joint-Committee at the meeting in November 2019. 4.14 It was highlighted that LHC continued to conduct industry engagement through workshops and events with industry bodies such as New London Architecture (NLA), the Construction Leadership Council (CLC) and Constructing Excellence (CE). 4.15 The Risk Register was considered, with one minor change since the previous meeting highlighted; the risk associated with the consequence of the government rent cap had been slightly downgraded. 4.16 A description of LHC's operations and membership was delivered to members as set out in the report. 4.17 Committee Member's asked sought clarity on why staff training levels were not at 100%. In response, it was explained that some staff were comfortable with their current position and thus were not willing to undertake further training. In addition, training on new frameworks and the induction programme for the new staff was not being recorded as formal training. The Group Director stated that actions were being undertaken to ensure all training was being accurately recorded. 4.18 The Joint Committee requested clarification of the role of the new KPI project team. In response, it was confirmed that there was no standard set of KPIs, as currently each individual project received bespoke KPIs based on client need. The project team would be developing a set of standardised KPIs to apply to all projects. 4.19 In response to a request made at the previous meeting, Cllr Corthorne raised concerns that, in order to act as an advocate for the LHC to recruit new members, he needed to be clearer about the benefits available to local authorities when becoming LHC Constituent Members. 4.20 Members highlighted the opportunities for local authorities and others to engage with LHC and avail themselves of its technical expertise. It was noted that from the initial 3 members in the SPA, there were now 92 members. Similarly, the WPA was gaining new member organisations regularly. An emphasis was placed on encouraging collaboration between Housing Associations and Local Authorities. 4.21 The Joint Committee was informed of a conference taking place in July 2019, which focussed on engaging local authorities., particularly the London Boroughs. It was recommended that the Director forward a message to procurement staff and relevant Councillors within local authorities inviting them to the conference. 4.22 The Joint-Committee asked how LHC’s services were being positioned, in what was a crowded marketplace. It was highlighted that, in the current economic climate, price was a key consideration for many. The Group Director advised that while LHC’s services were priced competitively, LHC positioned itself as a high quality procurement option, leveraging its experience and technical expertise, which could be seen in LHC’s fire safety framework (which was particularly relevant following the Grenfell fire.) 4.23 Members of the Joint Committee suggested that an emphasis should be placed on the social value and sustainability of the company’s work, together with whole life forecasts for return on investment. Officers highlighted that in Scotland, data was being compiled to set out the added value seen within projects, including over £400k in match funding.
Page 7 Officers agreed that such matters could be built into future KPIs, and that further information could be brought to the next meeting of the Joint Committee. Suggestions were shared for the standardised KPIs, and included KPIs relating to reliability, quality, and enhancement to communities.
RESOLVED: That the information contained in the Group Director’s report be noted.
5. AUDIT REPORT 5.1 Consideration was given to the audit report. The Joint Committee was informed of a slight change to the published section 3.3 of the report, in that an adjustment of £40,000 was to be made due to a supplier processing error. Because of this, reserves were £40,000 lower than originally stated.
RESOLVED: That the information contained in the Audit report be noted.
6. UPDATE ON THE LHC STAFF HEALTH & HAPPINESS SURVEY 6.1 Consideration was given to a report on staff engagement and satisfaction. 6.2 It was confirmed that at LHC, a Health and Happiness staff survey was undertaken every December. The most recent survey was based on the 'Gallup 12' questionnaire and related to job satisfaction. Staff were invited to complete the survey anonymously online. 6.3 The expectation was to score at least 4 out of 5, which had been met in 4 of the last 8 years. A slight increase in negative responses had been noted; this was primarily attributed to a higher number of staff. It was noted that according to a 2015 Gallup report, LHC's survey results had them within the top quartile of Gallup ratings. 6.4 Negative responses were typically focussed on concerns over inconsistency, poor communication, and limited product training. LHC sought to address these negative responses through a staff away day in May 2019, assisted by 'Levelheaded' who facilitated the day. In addition, the LHC intranet had been upgraded, the website was reconfigured, and staff training was being reviewed to identify improvements. 6.5 LB Hillingdon had helped to draft a new Service Level Agreement designed to help staff address issues with wellbeing and bullying/harassment. LHC officers were meeting with the team at Hillingdon regularly. 6.6 Committee members discussed the survey results, and stressed that a trend of increasing dissatisfaction could be a source of concern. Officers agreed that further work could be undertaken with LB Hillingdon to address these concerns. 6.7 Members highlighted the importance of ensuring that surveys were targeted and specific, and not onerous to complete. In addition, it was requested that any future reports include adequate benchmarking and comparatives to other organisations.
RESOLVED: That the update on the LHC Staff Health & Happiness Survey be noted. 7. BRIEF OVERVIEW OF PROJECT BANK ACCOUNTS 7.1 Consideration was given to the report, which detailed the Scottish Government’s now mandated requirement for relevant public bodies to include Project Bank Accounts
Page 8 (PBAs) in tender documents for public works contracts, where the estimated value was more, or equal to: £2,000,000.00 for building projects £5,000,000.00 for civil engineering projects. 7.2 It was recognised that this would soon become the norm within Scotland. To accommodate this, LHC was including wording within tender documents that stated that a PBA could be required, based on the project values at Call Off stage. It was contracting authority’s responsibility to state in their tender document that PBAs would be a condition of the tender, where appropriate. 7.3 It was stressed that the implementation of SBAs on SPA would be minimal, as SPA was not contracting directly with clients or contractors.
RESOLVED: That the report be noted.
8. REVIEW OF REGISTER OF GIFTS AND HOSPITALITY AND REGISTER OF INTERESTS 8.1 The register of gifts and hospitality, and the register of interests, was noted.
9. DATE AND TIME OF NEXT MEETING
9.1 It was confirmed that the next meeting of the Joint Committee of the LHC would take place at 10am on Friday 29 November 2019.
PART II - MEMBERS ONLY 10. FINANCE REPORT BY THE DIRECTOR OF CORPORATE SERVICES
10.1 Consideration was given to the Director of Corporate Service’s Finance report, and it was: RESOLVED: That the Members noted the conclusions given in the body of the report and approved; 1. The unaudited Financial Statement of Accounts for the year ended 31 March 2019; 2. The LHC Estimates for 2019-20 and 2020-21; 3. The distribution of surplus income to Constituent Members and Associate Member authorities of the LHC 4. The renewal of the lease for LHC offices with the Landlords of Uxbridge offices in accordance with clause 8b of the report;, 5. Performance related pay to members of LHC staff on the basis of arrangements confirmed by the Members’ Committee at their meeting on 2 December 2005;nd, 6. The payment of a performance-based emolument to the Director and Chief Officers in accordance with clause 10c of the report.
This item is included in Part II as it contains information relating to the financial or business affairs of any particular person (including the authority holding that information) and the public interest in withholding
Page 9 the information outweighs the public interest in disclosing it (exempt information under paragraph 3 of part 1 of Schedule 12A to the Local Government [Access to Information] Act 1985 as amended
The meeting which began at 10:00am, closed at 12:15pm.
THESE DECISIONS WILL COME INTO EFFECT AND BE IMPLEMENTED BY THE RESPONSIBLE OFFICERS UNLESS CALLED-IN. THE DEADLINE FOR ANY CALL-IN BY THE EXECUTIVE SCRUTINY COMMITTEE, TO BE NOTIFIED TO THE HEAD OF DEMOCRATIC SERVICES, IS 5PM ON 11 JULY 2019
Page 10 Agenda Item 3
DIRECTOR’S REPORT
1. Recommendations • That the information contained in the Director’s report below be noted
2. Overview • Economic and political uncertainties, together with the agonisingly slow pace of new build social housing programmes are constraining growth at LHC. • We are having, again, to slightly downgrade our growth targets (see agenda item 11) • This puts pressure on all other business performance areas and although we are not doing badly we are just slightly underperforming in a few areas.
3. Achieving excellence
Organisation goals Performance indicator in 2019-20 Q 2 Delight all members Client satisfaction rating of LHC > 90% 88% Client satisfaction rating of AppCo > 90% 80% -Exceed target income (more than 100%) 93% Exceed surplus -Do not exceed target costs (less than 100%) 91% Treat each other with dignity and respect Zero substantiated complaints 2 Committed Learning & Development Plan for each Develop staff to reach their full potential 62% and every member of staff (100%)
3.1 Client satisfaction • Client satisfaction rating for LHC slipped below 90% as we are stretching our resources in the regions. New and imminent appointments will help to get things back on track. Ratings for our appointed companies are holding firm at around 80%. An LHC project group to identify and implement performance KPIs is now formed (see agenda item 4).
3.2 Surplus • Although we will miss our income targets for 2019-20, good cost control means that our projected surplus will actually increase from that planned.
3.3 Dignity and respect • We are still working hard to obtain complete harmony across the LHC Group. We have an interim HR Manager on secondment from LB Hillingdon and are recruiting a permanent LHC HR Manager.
3.4 Employee development • About two-thirds of all staff have undergone training this year. Others are planned. We will have 100% completion by the end of March 2019.
4. Income and expenditure • See the financial update by the Director of Corporate Services for analysis of income and expenditure in agenda item 11.
Page 11
5. Clients (see tables in Appendix 3.1) • Most encouragingly, in difficult conditions, we are generating more interest in LHC from more clients.
• By the end of this year we expect to have generated over 1000 new leads for LHC frameworks from over 300 clients.
6. Frameworks (see table in Appendix 3.2) • We’ve launched three important frameworks in the last six months:
o Two for Fire Safety: . FS1- C, Fire Consultancy and Risk Assessors . FS1 – P, Passive Fire Protection
o Our new Offsite Homes Framework NH2 • We have had extensive market engagement relating to frameworks to be launched in the next six months:
o WH2, Whole House Refurbishment and Improvement Works . Framework and Dynamic Purchasing System (DPS)
o N8, Energy Efficiency consultants and works o OPI1, Offsite Project Integrator to manage clients’ offsite projects o A7 Aluminium Windows and Doors • Most significantly we have been working in close collaboration with clients to develop tailored frameworks to meet their specific needs. These will also be available in the next six months.
o H1NW – A new Housing Framework with 10 social landlords in North & Mid Wales o ADS – Architects and Design Services Framework with LB Southwark.
7. Information Technology • The IT team, led by Nimesh, continue to develop our Business Intelligence tool to improve efficiency in all areas of the business. • We have reshaped our internal communications, introducing Yammer as the main platform for staff communication. This is working particularly well with our cross-functional and cross- business teams. • We are about to introduce a new system – Sysaid – which will help track performance against the LHC Achieving Excellence Business Management System (ISO 9001 and 27001 accredited).
8. Staff • We continue to grow our team to ensure that we are sufficiently resourced to meet our organisational goals. See latest organisation chart in Appendix 3.3. • Interestingly we have two ex-employees returning to LHC after an absence of two to three years: o Mij Rahman, as Director of Procurement o Ethan James, as Senior Client Support Manager in South East England • Our regional teams are constantly evolving which requires a sharp focus on sustaining team cohesion and performance. To help with this we bring staff together three times a year.
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• In September we held our first Staff Wellbeing Conference and have formed a project team of–volunteers to design and implement the LHC Workplace Wellbeing Charter. Our aim is to achieve Healthy Workplace ‘Excellence’ accreditation within three years in accordance with the guidance of Public Health England. • Suki Singh, a secondment form LB Hillingdon is facilitating the above along with other improvements to HR process and practices.
9. Community Benefit Funds • The table below shows the Funds allocated across four regions of LHC.
Agency Region Beneficiaries Total Fund 2019-20 Locality London & South LHC Constituent £130,000 East England Members
Lintel Trust Scotland SPA Founder Partners £150,000
Community Wales WPA Founder Partners £80,000 Foundation in Wales
South West South West SWPA Key Clients £10,000 Community Matters England
• A summary of progress is provided in agenda item 5.
10. Risk register (see Appendix 3.4)
• No changes to the risk register in the last six months.
Page 13 This page is intentionally left blank FRAMEWORK SPEND BY CLIENTS Total Invoice Aluminium Asbestos Comunal Timber Total Invoice Composite Kitchen and Modular Energy Education Property Whole House Water Value April- Members Windows & Works & Entrance Roofing Heating New Housing Windows & PVC U Windows Value April-Sep Doors Bathrooms Building Efficiency Contractors Protection Refurbishment Management Sep 2018 Doors Services Doors Doors 2019 Grand Total Associate Member Adur District Council 293,080 Anchor Trust 44,954 Axiom Housing Association 4,536 Amicus Horizon Ltd. 1,121 28,655 29,776 126,625 Arches Housing Association 177 177 - Arun District Council 11,797 11,797 378,385 Babergh District Council 2,500 Bedford Borough Council 40,679 B3 Living 55,844 112,876 168,720 1,014,804 Barnet Homes 18,035 18,035 30,349 Beyond Housing (Coast & Country Housing) 31,846 27,520 59,365 Bromford (Formally Merlin Housing Society) - 77 - 77 Chesterfield Borough Council 28,311 28,311 494,455 Cherwell District Council 213,457 Coast & Country Housing 30,084 County Durham Housing Group 24,947 Chorus Homes 7,850 - 33,944 - 26,094 Corby Borough Council 15,443 15,443 27,044 Cornwall Council 1,758,279 1,758,279 5,234,214 Darlington Borough Council 54,795 1,245,950 393,278 1,694,023 142,898 Derwentside Homes (Karbon Homes) 58,957 58,957 Dudley Metropolitan Borough Council 93,767 123,560 217,327 123,829 EMH Group 94,922 94,922 281,817
Page 15 Page Exeter City Council 219,711 219,711 Fife Housing Association Ltd 139,587 First Wessex 848,477 848,477 409,998 Freebridge Community Housing 41,338 - 13,548 27,790 69,030 Grand Union Group 526,935 Greensquare Group 107,168 107,168 26,697 Habinteg Housing Association 209,884 209,884 711 Hanover HA - East Region 870 6,206 7,076 404,260 Hanover HA - South Region 9,302 9,302 Harlow District Council 856 856 3,027 Hightown Housing Association 91,543 97,475 54,642 243,661 61,002 Hornsey Housing Trust 89,145 89,145 Innisfree Housing Association 10,748 10,748 48,881 Karbon Homes 40,328 L&Q Group 181,520 - 181,520 907,479 London Borough of Barking & Dagenham 2,925,218 2,925,218 528,842 London Borough of Barnet 675 408,753 409,428 82,652 London Borough of Harrow 5,503 96,507 102,010 197,066 London Borough of Havering 134,085 134,085 469,913 London Borough of Merton 423,396 423,396 210,183 London Borough of Newham 913,788 913,788 London Borough of Southwark 402,019 402,019 20,583 London Borough of Waltham Forest 140,727 140,727 139,641 Luton Borough Council 1,514,684 51,255 1,565,938 681,422 Magna Housing 35,703 35,703 17,023 Metropolitan 206,894 Merlin Housing Society 2,161 Mid Suffolk District Council 65,515 65,515 48,134 Midland Heart 421,151 429 421,579 181,535 Newlon Housing Trust 693,909 693,909 332,464 North Star Housing 688 416,507 417,195 39,531 North West Leicestershire District Council 406,429 406,429 765,618 Northampton Partnership Homes 19,780 19,780 758,237 This page is intentionally left blank FRAMEWORK SPEND BY CLIENTS …../CONTINUED
Total Invoice Aluminium Asbestos Comunal Timber Total Invoice Composite Kitchen and Modular Energy New Education PVC U Property Whole House Water Value April- Members Windows & Works & Entrance Roofing Heating Windows & Value April-Sep Doors Bathrooms Building Efficiency Housing Contractors Windows Protection Refurbishment Management Sep 2018 Doors Services Doors Doors 2019 Grand Total
Octavia Group 188,365 188,365 91,729 Octavia Housing Trust 1,780 1,780 8,521 Orbit Group 53,932 53,932 19,620 Peterborough City Council 2,171,832 2,171,832 5,377,034 Pickering & Ferens Homes Housing Association 12,521 12,521 256,913 Places for People Group Ltd 248,307 248,307 226,599 Plymouth University 1,144 Plus Dane Group 11,108 11,108 19,566 Royal Borough of Greenwich 58,850 1,929 406,179 466,959 490,636 Richmond Housing Partnership 11,964 Royal Borough of Kensington & Chelsea 11,262 11,262 22,642 Settle-(North Hertfordshire Homes) 16,021 1,004,779 1,020,800 975,061 Solihull Community Housing 76,727 76,727 1,361,074 South Holland District Council - 10,083 - 10,083 28,676 South Tyneside Council 17,483 17,483 7,205 Stonewater Limited 122,098 17,063 618,043 15,798 773,002 822,577 The Guinness Partnership Ltd 1,150 7,438 8,588 500,844 Thirteen Group 170,605 170,605 90,987 Thrive Homes 43,181 101,663 144,844 257,068 Thurrock Council 20,286 151,292 171,578 96,744 Torus 85,576 85,576 Trent & Dove Housing 1,153,759 1,153,759 Page 17 Page University of Reading 5,798 5,798 219,089 Victory Housing Trust - (Part of Flagship) 131 131 31,712 Vivid Homes 5,382 5,382 49,819 Wakefield & District Housing 16,206 16,206 6,522 Worthing Borough Council 4,080 4,080 Wokingham Borough Council 38,372 53,043 22,035 595,825 709,275 394,586 York Housing Association Ltd 649 649 230 Associate Member Total 363,201 788,863 166,762 2,366,452 423,396 924,188 808,198 2,966,330 4,703,276 2,580,584 5,447,169 980,558 158,423 22,677,400 11,372,642
LHC Constituent Members 167,681 159,877 30,680 18,589 115,950 89,380 1,696,483 39,282 2,454 2,320,376 3,198,518
EFA Member 1,487,653 1,487,653 24,139,823
Non Member 304,086 494,194 25,133 - 273,810 - 396,080 1,978,890 3,612,893 1,313,647 7,413,053 1,082,987 836,309 22,194 16,413,496 32,201,952
SPA Executive Partner(Scottish Procurement Alliance) 262,882 442,377 136,070 3,424,379 14,265,284 545,794 458,323 98,095 19,633,205
SPA Founding Partner(Scottish Procurement Alliance) 1,950 81,780 126,108 643,192 1,387,023 1,261,824 3,736,975 19,995,108 7,680,681 1,636,053 110,962 948,717 37,610,374 4,349,627
SPA Partner(Scottish Procurement Alliance) 5,330 1,646 61,258 589,584 327,107 1,083,630 3,188,156 31,409,851 6,623,817 497,117 3,416,899 28,292 47,232,687 2,746,708
WPA Founding Partner(Welsh Procurement Alliance) 1,262,104 34,276 88,382 1,384,762 6,654,460
WPA Partner(Welsh Procurement Alliance) 17,308 42,888 495,501 651,792 30,738 153,668 1,156,306 39,967 1,066 2,589,234 22,425,145
Grand Total 834,967 1,467,522 348,888 450,249 3,196,317 1,439,992 7,539,647 5,803,033 16,360,245 70,527,188 26,331,583 497,117 13,237,019 2,185,019 948,717 181,682 151,349,187 122,917,366 This page is intentionally left blank LHC Work Programme New Product Existing product Retender 19-20 20-21 21-22 22-23 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Ref WS Description A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M
FS1 C Fire Consultant CAN LCH FS1 P Passive Fire Measures EV EV CAN LCH WH2 Whole House Refurb PTE PTE PR CN SP EV EV EV ACNCAN LCH N8 WS 1-3 Energy Efficiency PIN PTE PTE PTE PR CN SP SP EV EV PR ACNCAN LCH K7 Kitchen Supply St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH PR4 Pitched Roofing St PIN PTE PR CN SP SP EV EV PR ACNCAN LCH FR3 Flat Roofing St PIN PTE PR CN SP SP EV EV PR ACNCAN LCH WD1 A7 Aluminium Windows & Doors CN SP EV ACNCAN LCH WD1 C8 Entrance doors & Fire doors PIN PTE PR CN SP SP EV EV PR ACNCAN LCH WD2 U11-T5 PVC-U Windows & Doors St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH CED2 Communal Entrance Doors St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH HS2-EW Heating services St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH WM2 Water Maintenance St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH AS3 Asbestos Works & Services St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH V8 Vacant Property Services St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH
Page 19 Page H2 St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH NH2 WS1-4 Offsite Housing ACNCAN LCH H1 E WS2 Construction PIN PTE PTE PR CN SP SP EV EV PR ACNCAN LCH H1 E WS1 Consultancy PIN PTE PTE PTE PR CN SP SP EV EV PR ACNCAN LCH OPI1 Integrator PIN PTE PR CN SP SP EV EV PR ACNCAN LCH MB2 Modular Buildings St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH SCB3 Schools & Community Bldgs St PTE PTE PTE PIN PTE PR CN SP SP EV EV PR ACNCAN LCH
LHC Client Collaborations H1NW North & Mid Wales New Housing PTE PR CN SP SP EV EV ACNCAN LCH ADS LB Southwark Consultants PTE PR CN SP SP EV EV ACNCAN LCH This page is intentionally left blank LHC ORGANISATION CHART v34 October 2019
LHC GROUP STRATEGY TEAM Work from home LHC GROUP DIRECTOR Uxbridge office John Skivington Livingston office
Cardiff office Director of Director of Director, WPA Director, SWPA Director, SPA Procurement Corporate Services Exeter office Neil Barker Mary Bennell Clive Feeney Mij Rahman Zak Muneer Regional Manager Director, CPC Leeds office L&SE Jennifer Castle Gary Cawley
Client Support Group WPA Client SWPA Client Head of SPA Client Support Snr Client Support CPC Client Support Group Marketing Group Technical Group Finance Head of IT Manager East Procurement Head Consultant Support Manager Support Manager Procurement Manager SE Manager Central Manager Manager Manager - Manager (BMS Manager) Scotland Manager New Build Andrew Hamar Penny Searson Vacant Lesley Anderson Ethan James Ben Jones Ian Brown Franz Lorenschitz Vacant Tim Oakley Vaneeasha Kapur Nimesh Bhudia Tony Woods Client Support WPA Technical SWPA Technical Procurement LS&E Technical Client Support CPC Technical Marketing Design Procurement Management Manager HR Manager IT Analyst Support Manager Support Manager Apprentice Support Manager Officer Midlands Support Manager Coordinator Officer Group Technical Accountant West Scotland Manager - Ibrar Mian Chris Balsom Patricia Ward Katlyn Shade Michael Monaghan Wes Thomas Tony Maw Danny Cheung Umar Khan Vacant Hamza Saeed Hamza Butt Refurbishment Vacant WPA Client SWPA Client SPA Technical Client Support Client Research CPC Client Marketing Assistant HR Administrator Systems Analyst Research Officer Research Officer Support Manager Officer London Officer Central Research Officer Assistant Accountant Interim Technical Mali Hill Emily Bull Graham Collie Boby Singh Sam Whiting Lisa Wood Vacant Yvette Simm Vacant Ahsan Khalid Support Mgr Page 21 Page Marketing & Simon Throp L&SE Client Procurement Communications Research Officer Manager Officer SPA Interim WPA/SWPA Corinne Kemp Anna Kuznetsova Procurement Vacant Manager Marketing & Danesh Sharma Office Manager Communications Officer L&SE Interim External External External External Angela Banner Salma Shan Procurement consultants consultants consultants consultants Manager HR services Legal services Lakshman Gill Administration Hillingdon Hillingdon Apprentice Technical Reiss Stewart Consultant Dave Banner This page is intentionally left blank LHC Risk Register
Page 23 This page is intentionally left blank FULL MEMBERS ORGANISATION CHART As at 24 June 2019
CHAIRMAN LB of Haringey Cllr Bevan (Primary)
VICE CHAIRMAN Cllr Philip Corthorne (Primary)
LB of Tower Buckinghamshire LB of Brent LB of Ealing LB of Hackney LB of Haringey LB of Hillingdon LB of Islington LB of Lambeth LB of Enfield Hamlets County Council Page 25 Page Cllr Dino Cllr Eleanor Cllr Peter Cllr Susan Cllr Bevan Cllr Philip Cllr Diarmaid Cllr Paul Cllr Kevin Cllr David Southwood Mason Fajana-Thomas Corthorne Ward Gadsby Lemonides Martin (see above) Brady (primary) (Primary) (Primary) (see above) (Primary) (Primary) (Primary) (Primary)
Cllr Shama Cllr Clayeon Cllr Gideon Cllr Mick Cllr Katherine Cllr John Cllr Jane Cllr Matthew Cllr Asma Tatler McKenzie Bull O’Sullivan Chibah Chilver Palmer Bennett Islam (secondary) (secondary) (Secondary) (Secondary) (secondary) (Secondary) (Secondary) (Secondary)
Cllr Jackie Meldrum (Substitute)
Keys
Conservative = 4
Labour = 16 This page is intentionally left blank Associate Members
145 Appointed Organisations
Local Authorities (London) LB Barking & LB Hammersmith LB Waltham Southwark RB of Kensington LB Newham LB Harrow LB Greenwich LB Havering LB Merton LB Richmond LB of Barnet Dagenham & Fulham Forest Council & Chelsea TMO 12 Organisation
NW North South Holland Chesire West & Brighton & Mid Suffolk Harlow Chesterfield Slough BC Dacorum BC Adur DC Leicestershire Hull CC Yorkshire CC Corby BC Stroud DC DC Chester Council Hove CC DC Council BC DC
Wokingham Luton BC Thurrock DC Basildon BC Darlington BC Doncaster Shropshire Other Local Authorities Exeter Council Cherwell DC Mansfield DC Worthing BC Arun DC Bedford BC BC MBC Council
37 Organisation
South Mid Devon
Page 27 Page Cornwall Peterborough City Of York Tyneside District Stevenage BC Newcastle CC Dudley MBC Babergh DC BCP Council Council City Council Council Council Council
Granta Meres & St Vincents Calico Homes Home Group Acis Group Amicus Horizon Saxon Weald Mercian HA Medina HA Raglan HA Hexagon HA Orbit Group Housing Solihull CH Mosses HA HA Ltd Ltd Ltd Ltd Homes Ltd Society
Pickering & Midland Heart Springboard Waterloo HA Hanover HA Dominion HG Riverside HG Futures HG Coast & CH Wirral PH Ferens Homes Innisfree HA Eildon HA Merlin HG B3 Living Ltd HA HA HA
Metropolitan St Georges Hightown Housing Association Homes for Places for Isos Housing Vivid Housing HP/Granta Community Peabody Trust L & Q Group Walsall HG Praetorian & Fabrick HG Watford CHT Red Kite CH Kingdom HA First Sussex Havering People Limited Limited and all other Housing Housing Housing Churches HA Groups
84 Organisation Wakefield & Rochdale Northampton Guinness Golding Circle Housing First Choice Plus Dane Magna Housing Rosebery HA District Boroughwide Housing York HA Raven HT City West HT Partnership Trident HA Partnership Homes Group Homes Group Ltd Housing Homes
Richmond Arches South Northants County Durham Grand Union East Midlands Octavia HT Victory HT Habinteg HA Freebridge CH Axiom HA North Star Aragon HA Ltd Housing Elim HA Housing Homes Ltd HG HG HG Partnership
Plymouth Homes In Arches Luminus Gravesham GreenSquare Howard South Devon Hornsey HT Rushmoor BC Sanctuary HA Community Sedgemoor Colne Housing Housing Group BC Group Cottage HA Rural HA Homes Ltd
Schools, Colleges & South Hunsley Diocese of Academy Trusts Plymouth University of Coventry Loughborough Righforsuccess Abingdon And Cranfield School & Sixth Ark Schools Norwich University Reading University College Academy Group Witney College University Form College Academy Trust 10 Organisation
Police & Fire Authority Royal Thames Berkshire Fire Valley Police 2 Organisation Authority This page is intentionally left blank SPA Founder Partner/Executive Partners and SPA Partners
93 Appointed Organisations
Founder Partners And River Clyde Perth & East Lothian South South Ayrshire West Lothian Berwickshire East Ayrshire Scottish Executive Partners Wheatley Cairn Housing Paisley South Clyde Valley Hawthorne Eildon HA Group Homes Kinross Council Lanarkshire Council Council HA Council Borders HA 15 Organisations Page 29 Page
Blackwood East Clackmannanshire Dundee City Hanover Hillhead HA Kingdom HA Lister Housing Loreburn HA Bield Housing Ancho HA Home & Care Renfrewshire Irvine HA Ltd Link Group Ltd Aberdeen CC Council Council (Scotland) HA 2000 Ltd Co-operative Ltd Ltd & Care Group Council
Rosehill The City of West of Manor Estates Oak Tree HA Osprey Moray Paragon HA Port of Leith Tollcross HA Viewpoint HA Housing Co- Glen Oaks HA Edinburgh Trust HA Ltd Scotland HA Whiteinch and HA Ltd Ltd Housing Ltd HA Ltd Ltd Ltd Forth HA operative Ltd Council Ltd Scotstoun HA
Drumchapel The Scottish East Ferguslie Park Glasgow West Osprey The Moray Cunninghame The Highland Aberdeenshire Cloch HA Maryhill HA Housing Co- Police Dunbartonshire Barrhead HA Linthouse HA HA Ltd HA Housing Council HA Council Council SPA Partners operative Ltd Authority Council 75 Organisations Gate Church Weslo West Whitlawburn Crossroads Hillcrest Clydebank HA Almond HA Ark HA Atrium Group International Grapian HA Ochil View HA Housing Housing Co- Community Abron Hill HA Cadder HA Ardenglen HA Group SC10 Management operative Hub Ltd
Scottish Burrelton & Kingsridge Rural Stirling Scottish Legal East Lothian West Granton Stirling Waverley Sanctuary Muirhouse HA NG Homes Borders Shire HA Ltd Woodside Govan HA Ltd Cleddans HA HA Aid Board HA Housing Co-op Council Housing Scotland HA Council Village Hall
Dumfries & North West Reidvale HA Galloway Housing Linstone HA Falkirk Council Patrick HA Angus Council Lanarkshire Dunbartonshire Partnership Council Council This page is intentionally left blank WPA Founder Partner and WPA Partners
26 Appointed Organisations
WPA Founder Partners Trivallis Flintshire CC Caerphilly Linc-Cymru Merthyr Valleys Bron Afon CH Wales & West Carmarthenshire Page 31 Page (formerly RCT County BC HA Homes Housing Council 8 Organisations Homes)
Vale of Monmouthshire Newport City Pobl Group (includes Charter, Swansea CC Tai Calon CH Tai Tarian Glamorgan Wrexham CBC HA Ltd Homes Derwen, Gwalia,Seren) Council
Mid & West Public Health WPA Partners Gwynedd Neath Port Pembrokeshire University of Wales Fire & Hafod HA Clwyd Alyn HA Wales NHS Council Talbot College Council South Wales 18 Organisations Rescue Service Trust
Cynon Taf Averystwyth Community University Housing Group This page is intentionally left blank Agenda Item 4
Performance Measurement and Key Performance Indicators
1. Recommendation That the LHC Board notes the contents of the report
2. What are the objectives of the Performance Measurement and Key Performance Indicator Project? To develop ways of measuring the performance of the LHC regions and the projects that they have registered on a number of key themes. This will allow us to analyse performance internally and externally across the sector. This will drive improvement and efficiency in delivering products and services to public sector clients.
3. Rationale for the project • To provide evidence that frameworks deliver an efficient procurement solution • To provide evidence that LHC frameworks provide value and performance • To provide evidence and thought leadership to other institutions that we have taken on board the governments construction sector strategy • To be able to initiate and deliver further efficiencies and cost savings through our appointed companies by comparing data and analyzing where improvements can be made and so provide increased value for money to public sector clients • To demonstrate that we are providing social benefit both through framework delivery and through our social benefit funds • To provide clients with support and guidance in using Modern Methods of Construction MMC and assessing Premanufactured Value (PMV)
4. Timelines and progress The project team was set up at the end of May 2019and has met 5 times. It consists of representatives from all parts of the business. The pilot phase of data collection started on 1st October and will run for 6 months with the focus for data input and analysis being on the framework for UPVC windows and the Offsite construction of new homes and across all projects in the South West (SWPA) and Wales (WPA)
5. Performance data to be collected • Procurement progress and timelines by framework and region • Client and appointed company satisfaction data (This is already collected but results will be fed into the Business Information (BI system) • Programme and timeline • Cost predictability • Social value per project: Number of trainees /apprentices, number of employed people previously unemployed and locally employed labour.
6. Data inputting and reporting LHC has a well developed and continually updated customer relationship management system that tracks the progress of individual projects. It has only been necessary to add 3 new data fields and rename another 2 in order to collect the data for the pilot phase. Client and appointed company information that was collected and reported by excel spreadsheets will now be loaded into our Business Information System (BI) and can be
Page 33 analysed in real time. Reports can then be developed in the Business Information system to show all the performance data by:- • individual projects • by frameworks • by regions across all the group.
7. Reports and findings to date 7.1 Data on procurement progress and timelines by Framework.
This bar chart shows the average time by framework from when contact is first made about a project to actually receiving some income/levy in on this project. It should come as no surprise that those frameworks that are for new build / construction have the longest timelines New Homes 1 (NH1) at 462 days Traditional Housing (H1) at 436 days. The other framework with a lengthy average timeline is Whole House 1 (WH1) a general refurbishment framework that has now expired.
7.2 Outcomes of the procurement performance reports The reports on the time taken between and initial enquiry to starting a project will be used in predicting future income and when it will be realised. These reports can also be cross referenced against lead conversion rates to provide far greater accuracy of future income flows.
8. Next steps Review of data from pilot projects and adjustments to collection methods and reports if required. Review relevance of reports and ensure that they are useful improving performance and providing pathways to improvement and evidence of value of using LHC frameworks. Exploring the potential and usefulness of collection other performance data, in particular data on energy efficiency and embedded carbon.
Page 34 Agenda Item 5
To receive and consider an update on the progress of the LHC Community Benefit Funds
(Provided on the day as a presentation and short videos).
Page 35 This page is intentionally left blank Agenda Item 6
REPORT BY THE DIRECTOR OF CORPORATE SERVICES
1. Recommendations:
That the information contained in the Director of Corporate Services report below be noted
2. Appointment of auditors
a. LHC invited 12 audit firms to tender for LHCs annual audit of its financial statement. Out of the 12 firms, 4 expressed an interest in LHCs financial audit including our existing auditors whom were invited for an interview.
b. The 2 firms with local and national experience that were shortlisted were Moore Kingston Smith which has recently undergone a merger and Crowe our existing auditors. Both are respected credible audit firms that have specialists in the not for profit sector.
c. Our recommendation is to retain Crowe who have demonstrated the better expertise for our sector. Crowe have a deeper understanding of risk factors impacting our sector, fresh ideas about audit improvements, charity specific training for their staff, sector specific technical resources and an investment in their processes leading to an overall saving of audit fees.
d. For the 11th consecutive year, Crowe has been named the top charity auditor in Charity Financials’ annual Charity Audit Spotlight report.
3. Information Technology
a. We previously reported that “we are in the process of configuring an organisation wide ticketing system to manage the growing needs of the business which will drive process improvements and provide a more efficient service to internal staff, LHC’s customers and Appointed companies”. We are pleased with the progress with the Sysaid project which was launched at the end of September and staff are currently being trained to use the system. We will monitor the benefits over the ensuing months.
4. Accommodation
a. The renewal of the Uxbridge office lease is progressing with each parties legal teams preparing documentation for engrossment and signing.
5. HR Update
a. We have recently seconded an interim HR manager from LB Hillingdon to support some of the HR projects which include some from the staff away day in May 2019.
b. The specific areas that we will evaluated are LHCs performance management system, well-being charter and flexible working policy.
c. We are currently in the process of recruiting a HR manager to support the central and regional units and expect the new recruit to be in post by the 1st April 2020.
Page 37 6. Membership
a. More LHC associate members signed up
Since 1st April 2019, a further 9 organisations have joined as Associate members.
These are:
Abingdon and Witney College Cranfield University Plymouth Community Homes Limited Homes in Sedgemoore Ltd Howard Cottage HA Trent & Dove HA Colne Housing BCP Council South Devon Rural HA
Page 38 Agenda Item 7
REGISTER OF GIFTS AND HOSPITALITY AND REGISTER OF INTEREST
Period: April 2019 – Mar 2020
Register of Gifts and Hospitality
Received by Event/Gift From Date
Salma Shan Dinner Event Anglian Group 26 Jun 19
Yvette Simm Dinner Event Anglian Group 26 Jun 19
Michael Monaghan Dinner Event Anglian Group 26 Jun 19
Jennifer Castle Dinner Event Anglian Group 26 Jun 19
Mohammed Saada Dinner Event Anglian Group 26 Jun 19
Patricia Ward Scottish Homes Awards 2019 CCG 13 Jun 19
Register of Interest
Received by Item From Date
Page 39
DECLINED GIFTS AND HOSPITALITY
Period: April 2019 – Mar 2020.
Rejected Register of Gifts and Hospitality
Received by Event/Gift From Date
John Skivington The Grange, St Paul’s United Living Nov 19
Graham Collie Scottish Homes Awards 2019 CCG 12 Jun 19
Page 40 Agenda Item 8
ANY OTHER BUSINESS
NOTES
ITEM COMMENT
Page 41 This page is intentionally left blank Agenda Item 9
To discuss date and time of next meeting (scheduled for Friday 26th June 2020)
Page 43 This page is intentionally left blank Agenda Item 10
Additional item
A presentation from Debbie Larner CIH on Fire Safety, post Grenfell
Page 45 This page is intentionally left blank STRICTLY NOT FOR PUBLICATION Agenda Item 11 PART II by virtue of paragraph(s) 3 of Part 1 of Schedule 12A of the Local Government (Access to Information) Act 1985 as amended.
Document is Restricted
Page 47 This page is intentionally left blank Agenda Annex
Start time & Date: 28 June 2019, 9.30am -10am start Finish time: 12.30pm (followed by buffet lunch) Address: 4th Floor, Royal House, 2-4 Vine Street, Uxbridge, Middlesex, UB8 1QE Page 49 LHC.GOV.UK Page 50