2017-06-21 NC Minutes (Final).Pdf

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2017-06-21 NC Minutes (Final).Pdf Minutes National Council Date Wednesday 21st June 2017 Time 13:00 – 16:40 Location Virginia Woolf Room, Bloomsbury House, London, WC1A 2RL Present Sir Nicholas Serota CH Chair of the Arts Council Maria Balshaw CBE National Council Member (Items 1-9) Matthew Bowcock CBE National Council Member David Bryan National Council Member Professor Jon Cook South East Area Council Chair Joe Docherty North Area Council Chair David Joseph CBE National Council Member (Items 1-6) Sheila Healy South West Area Council Chair Sir Nicholas Kenyon National Council Member Nazo Moosa National Council Member (Items 1-9) Peter Phillips Midlands Area Council Chair Alistair Spalding CBE National Council Member Rosemary Squire OBE National Council Member Veronica Wadley London Area Council Chair Apologies Also Darren Henley OBE Chief Executive Present: Laura Dyer Deputy Chief Executive, Places and Engagement Simon Mellor Deputy Chief Executive, Arts and Culture Richard Russell Executive Director, Chief Operating Officer Elizabeth Bushell Executive Director and Chief Financial Officer Mags Patten Executive Director, Public Policy and Communications Francis Runacres Executive Director, Enterprise & Innovation Ruth Alaile Director, Governance and Planning Jane Dawson Director, Funding Programmes Eddie de Souza Director Investment Melloney Poole Legal Consultant (Items 1-8) Tharsi Jorganathan Solicitor, Governance and Planning (Items 1-8) Jenna Birley Assistant, Governance and Planning Sarah Crown Director, Literature and Bristol (Item 11) Paul Blackmore Senior Manager, Estates and Facilities (Item 12) David Bryant Senior Governance Officer (minutes) Action 1. 1. WELCOME AND APOLOGIES 1.1 1.1 Sir Nicholas Serota welcomed council members, Executive Board and other 1.2 officers to the meeting. 1.3 1.4 1.2 The Chair opened the meeting acknowledging that the Grenfell Tower fire had left London, the UK and the arts in a sombre mood. He expressed his profound sadness at the loss of the artist Khadija Saye who died in the incident. She was an important emerging artist as her work at the Diaspora Exhibition at the 57th Venice showed. He informed National Council members that he expected there would be a memorial and fund to mark her memory. 2. 2. DECLARATIONS OF INTEREST 2.1 The Chair outlined the Arts Council’s policy on managing conflicts of interest and loyalty, explaining that the general principle was that if a member of the public would reasonably conclude that an interest a Council member or officer has might influence the approach they take, they must declare it. He explained that if any member of either National Council or Executive Board had a financial interest or a high risk conflict of loyalty for any particular organisation for which a discussion took place, they should withdraw from the meeting at that point and take no part in the discussion or voting. 2.2 The register of interest of Council members as at 21 June was circulated at the meeting and is appended to these minutes for the record. 3. MINUTES OF THE MEETING HELD ON 30 MAY 2017 3.1 The minutes of the meeting held on 30 May 2017 were approved as a true and accurate record of the meeting. 4. MATTERS ARISING FROM THE MEETING HELD ON 30 MAY 2017 4.1 There were no matters arising from the minutes of the previous meeting not addressed elsewhere on the agenda. Page 2 of 14 5. CHAIR AND CHIEF EXECUTIVE’S REPORT 5.1 The Chief Executive outlined the details of the new ministerial team at the Department of Culture, Media and Sport (DCMS) following the General Election. Karen Bradley remains the Secretary of State for DCMS, and John Glen was appointed Parliamentary Under Secretary of State for DCMS on 14th June, and will hold the responsibility for arts, culture, heritage, public libraries, museums, National Archives and tourism. Both the Chief Executive and Chair have had a very positive introductory meeting with the new Minister. 5.2 National Council AGREED to note the contents of the Chair and Chief Executive’s Report. 6. NATIONAL PORTFOLIO OF ORGANISATIONS 2018/19 TO 2021/22 6.1 Sir Nick Serota outlined the purpose of this agenda item. He reminded National Council that its role was to make final decisions on all National Portfolio Organisation (NPO) applications above £800,000 per annum and to note and consider whether there were any Area Council decisions for applications less than £800,000 that National Council ought to review and call in. Members were also to consider Area Council uplifts which took the total proposed funding of any organisation over the £800,000 threshold and any particular applications for under £800,000 that had been referred to National Council by any of the Area Councils. 6.2 National Council and Officers were reminded of the Arts Council’s policy on managing conflicts of interest/loyalty which is that a Council member or officer with an interest in a particular applicant or application should declare it. Where there was a financial interest such as being employed by the applicant or a high risk conflict of loyalty such as membership or former membership of the board, the interest was regarded as disqualifying and they should withdraw from the meeting and not take part in the discussion, or decision on that application. 6.3 The interests declared in relation to the National Portfolio Organisations applications are published on our website. Page 3 of 14 6.4 It was also noted that Council members had previously declared non- disqualifying interests in artforms, and sectors as follows: Jon Cook – Literature David Joseph – Music Nick Kenyon – Music and Education Alistair Spalding – Dance Sheila Healy – Education Joe Docherty – Education Veronica Wadley – Music Rosemary Squire – Theatre And Dance Maria Balshaw - Museums and visual arts Nick Serota – Visual Arts 6.5 The Chair set out the format of the discussion and reminded everyone of the importance of maintaining confidentiality, asking members to note that all final decisions would be embargoed until 10:30am on 27th June. 6.6 Richard Russell introduced the report which presented the proposed portfolio of “National Portfolio Organisations” for 2018-19 to 2021/22 that Executive Board was recommending to National Council. He reminded members of National Council’s role which was to: - Consider and approve the final National Portfolio budget - Consider and approved the National Equality analysis and action plan, - Make decisions on applications for more than £800,000 in any one financial year and any matters that Area Councils have referred to Council for decision - Consider the overall portfolio following area council decision to ensure it is adequately balanced. 6.7 He gave a brief overview of the process to date. This included the process for uplifts. The Executive and Area Councils had adhered strictly to the agreed criteria of awarding these in exceptional circumstances where: Exciting but realistic ambition is shown something clearly additional to the existing programme of work is offered increased value to the communities the organisation works with is demonstrated something needed or wanted by the organisation’s audiences and/or communities is offered the organisation’s artistic or cultural programme is being developed in a meaningful and sustainable way Page 4 of 14 the organisation’s resilience and reducing the longer term grant dependency is strengthened. Having regard to this criteria, uplifts were proposed for 8.4% of the portfolio. 6.8 National Portfolio Budget Members considered the revised budget proposals and agreed them. This included a £194,410 increase per annum to the provisional budget to enable the funding of two Sector Support Organisations to make a significant contribution to achieving the strategy. 6.9 Equality Analysis and Action Plan National Council members were invited to consider the Equality Analysis that had been appended to the report to support their decision making, and the equality action plan which set out the steps Arts Council England will take to address the issues identified. Members noted that each Area Council had also been presented with an equality analysis to inform their decision- making. 6.10 Members discussed the National Equality Analysis. There was a discussion about the diversity of the leadership of the proposed portfolio where it was pointed out that that leadership diversity varied significantly across the different bands. Band 1 was the most diverse, but for example none of the proposed Band 3 organisations were Black or Minority Ethnic (BME) led. Simon Mellor explained the expectations that would be placed on the different bands in terms of equality and diversity in 2018-2022. He reminded members that we would not be signing a funding agreement with an organisation with a ‘not met’ rating on Creative Case for Diversity. In addition, all band 2 and 3 organisations will be required to be rated ‘Strong’ by October 2021. 6.11 National Council members were informed that they would be provided with a report on diversity annually. 6.12 National Council endorsed and approved the Equality Analysis and Equality action plan. 6.13 Overall Portfolio/Above £800,000 applications Each Area Council Chair provided feedback from their Area Council meeting. It was noted that there had been positive and lively discussions at all the area council meetings. Area Councils had welcomed both the Page 5 of 14 thoroughness of the process and the well thought out proposals that had been presented to them. They also acknowledged that our funding reach is now creating more diverse arts organisations,
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