Agenda Meeting: Board Date: Tuesday 16 March 2021 Time: 10.00am Place: Teams Virtual Meeting Members Sadiq Khan (Chair) Anne McMeel Heidi Alexander (Deputy Chair) Dr Mee Ling Ng OBE Cllr Julian Bell Dr Nelson Ogunshakin OBE Kay Carberry CBE Mark Phillips Prof Greg Clark CBE Dr Nina Skorupska CBE Bronwen Handyside Dr Lynn Sloman Ron Kalifa OBE Ben Story Dr Alice Maynard CBE Government Special Representatives Andrew Gilligan Clare Moriarty DCB Copies of the papers and any attachments are available on tfl.gov.uk How We Are Governed. To maintain social distancing in the current circumstances, the meeting will be held by videoconference or teleconference. The meeting remains open to the public, except for where exempt information is being discussed as noted on the agenda, as it will be webcast live on the GLA website Mayoral Webcast page and on the TfL YouTube channel. A guide for the press and public on attending and reporting meetings of local government bodies, including the use of film, photography, social media and other means is available on www.london.gov.uk/sites/default/files/Openness-in-Meetings.pdf. Further Information If you have questions, would like further information about the meeting or require special facilities please contact: Shamus Kenny, Head of Secretariat; telephone: 020 7983 4913; email: [email protected]. For media enquiries please contact the TfL Press Office; telephone: 0343 222 4141; email: [email protected] Howard Carter, General Counsel Monday 8 March 2021 v1 2020 Agenda Board Tuesday 16 March 2021 1 Apologies for Absence and Chair's Announcements 2 Declarations of Interests General Counsel Members are reminded that any interests in a matter under discussion must be declared at the start of the meeting, or at the commencement of the item of business. Members must not take part in any discussion or decision on such a matter and, depending on the nature of the interest, may be asked to leave the room during the discussion. 3 Minutes of the Meeting of the Board held on 3 February 2021 (Pages 1 - 12) General Counsel The Board is asked to approve the minutes of the meeting of the Board held on 3 February 2021 and authorise the Chair to sign them. 4 Matters Arising, Actions List and Use of Delegated Authority (Pages 13 - 20) General Counsel The Board is asked to note the updated actions list and the use of authority delegated by the Board and to delegate authority to Anne McMeel, as Chair of the Audit and Assurance Committee, in consultation with the Interview Panel, to approve the appointment of the Director of Risk and Assurance. 5 Commissioner's Report (Pages 21 - 62) Commissioner The Board is asked to note the Commissioner’s Report, which provides an overview of major issues and developments since the report to the meeting on 3 February 2021 and updates Members on significant projects and initiatives. 2 6 Elizabeth Line Operational Readiness and Crossrail Update (Pages 63 - 66) Managing Director London Underground and TfL Engineering and Chief Executive, Crossrail The Board is asked to note the paper. 7 TfL Budget 2021/22 - To Follow Chief Finance Officer The Board is asked to note the paper and approve the TfL Budget for 2021/22. 8 TfL Scorecard 2021/22 - To Follow Chief Finance Officer The Board is asked to note the paper and approve the TfL Scorecard for 2021/22. 9 Finance Report (Pages 67 - 90) Chief Finance Officer The Board is asked to note the Finance Report. 10 TfL Investment Strategy 2021/22 - Non-Financial Assets (Pages 91 - 100) Chief Finance Officer The Board is asked to note the paper, the views of the Finance Committee and to delegate authority to the Finance Committee to approve the TfL Investment Strategy – Non-Financial Assets 2021/22 and for future years. (The Finance Committee meets on 10 March 2020, after the papers for this meeting are published.) 3 11 TfL Prudential Indicators 2021/22 and 2023/24 - To Follow Chief Finance Officer The Board is asked to approve: the TfL Prudential Indicators for 2021/22 and the following two years; the Treasury Management Indicators for 2021/22 and the following two years; and the Annual TfL Policy Statement on Minimum Revenue Provision. 12 Report of the meeting of the Safety, Sustainability and Human Resources Panel held on 10 February 2021 (Pages 101 - 104) Panel Chair, Kay Carberry CBE The Board is asked to note the report. 13 Report of the meeting of the Customer Service and Operational Performance Panel held on 24 February 2021 (Pages 105 - 110) Panel Chair, Mee Ling Ng OBE The Board is asked to note the report. 14 Report of the meeting of the Programmes and Investment Committee held on 3 March 2021 (Pages 111 - 116) Committee Chair, Prof. Greg Clark CBE The Board is asked to note the report. 15 Report of the meeting of the Finance Committee held on 10 March 2021 (Pages 117 - 122) Committee Chair, Ron Kalifa OBE The Board is asked to note the report. 16 Report of the meeting of the Remuneration Committee held on 11 March 2021 (Pages 123 - 126) Committee Chair, Ben Story The Board is asked to note the report. 4 17 Any Other Business the Chair Considers Urgent The Chair will state the reason for urgency of any item taken. 18 Date of Next Meeting Wednesday 9 June 2021 at 10am. 5 [page left intentionally blank] Agenda Item 3 Transport for London Minutes of the Meeting Teams Virtual Meeting 10.00am, Wednesday 3 February 2021 Members Sadiq Khan (Chair) Heidi Alexander (Deputy Chair) Cllr Julian Bell Kay Carberry CBE Prof. Greg Clark CBE (present up to Minute 07/02/21 (part)) Ron Kalifa OBE Dr Alice Maynard CBE (present from Minute 05/02/21 (part)) Anne McMeel Dr Mee Ling Ng OBE Dr Nelson Ogunshakin OBE Mark Phillips Dr Nina Skorupska CBE Dr Lynn Sloman Ben Story Government Special Representatives Andrew Gilligan Clare Moriarty DCB Executive Committee Andy Byford Commissioner Howard Carter General Counsel Michèle Dix CBE Managing Director, Crossrail 2 Vernon Everitt Managing Director, Customers, Communication and Technology Stuart Harvey Director of Major Projects Andy Lord Managing Director, London Underground and TfL Engineering Lilli Matson Chief Safety, Health and Environment Officer Gareth Powell Managing Director, Surface Transport Shashi Verma Chief Technology Officer and Director of Strategy Alex Williams Director of City Planning Mark Wild CEO, Crossrail Limited Tricia Wright Chief People Officer Staff Andrea Clarke Director of Legal Patrick Doig Divisional Finance and Procurement Director Jackie Gavigan Secretariat Manager Joanna Hawkes Corporate Finance and Strategy Director Kate Keane Chief of Staff to Commissioner Shamus Kenny Head of Secretariat Tony King Group Finance Director and Statutory Chief Finance Officer Emma Lucas Chief of Staff, Chief Finance Officer Rachel McLean Chief Finance Officer Crossrail and Finance Director London Underground Clive Walker Director of Risk and Assurance 1 Page 1 01/02/21 Apologies for Absence and Chair's Announcements The Chair welcomed everyone to the meeting, which was being broadcast live on the Greater London Authority (GLA) website and on YouTube. An apology for absence had been received from Bronwen Handyside. Dr Alice Maynard CBE had given an apology for lateness. Simon Kilonback, Chief Finance Officer, was also unable to attend the meeting and the Chair, on behalf of the Board and the Executive, wished him a speedy recovery. The Chair informed the Board that he had made a Direction to TfL in relation to fares increases (see Minute 04/02/21 below). Since becoming Mayor in 2016, he had done everything possible to make public transport more affordable, including introducing the unlimited Hopper bus fare and freezing all TfL fares, which had saved the average London household over £200. The impact of the global coronavirus pandemic had a catastrophic impact on TfL’s finances, as it was so heavily reliant on fares income. As part of the agreement to secure emergency Government support, Ministers had insisted that the Mayor impose an RPI+1 per cent fares increase, though he had resisted Government proposals to scrap free travel for under 18s and concessions for over 60s, as well as bigger fare increases. Despite some increases, he had kept some fares frozen (including some single pay as you go Tube, DLR, London Overground and TfL Rail fares) which would help to encourage people back into central London, when the time was right, and aid the capital’s recovery. TfL’s over dependence on fares income demonstrated the need to secure a sustainable funding plan going forward. TfL had published a Financial Sustainability Plan to inform detailed discussions with Government. It focused on a green recovery and set out how TfL could achieve financial sustainability – covering costs of day-to-day operations, maintenance and financing by 2023/24. As all transport systems around the world relied on government capital investment, TfL was requesting Government investment and continued, longer-term support: this would provide certainty to its supply chain and enable it to support jobs across the UK, to continue to run safe and reliable services and to support the Government’s own aims on decarbonisation. The Mayor thanked all staff involved in the production of such a well thought out plan, in such a short space of time, led by Andy Byford and Simon Kilonback. The Mayor’s Transport Strategy included ambitious plans to improve London’s air quality. The Chair was pleased to confirm that in January 2020, from work started in 2017, TfL’s entire fleet of 9,000 plus buses now met or exceeded the cleanest of the Euro IV emission standards.