Board Agenda
Date: 7 September 2015 Time : 5.00pm Venue: Conference Room, 1st floor, St. Peter’s Square Lead Officer: Helen McHale – Chief Executive Contact: Jeremy Beatty – Governance Manager 0161 474 2850 [email protected]
Item Item Officer No
01 APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST
02 APPOINTMENT OF CHAIR
03a MINUTES OF MEETING JB 15 06 15 03b ACTION MONITOR 15 06 15 JB
04a CHAIR AND MEMBERS’ UPDATE (VERBAL) 04b CHIEF EXECUTIVE’S REPORT HMC
05 BUDGET SPECIAL - KEY GB / EMERGING POLICIES AND MS / IMPACTS FOR CUSTOMERS SF AND BUSINESS PLANS (DECISION)
06 CORPORATE PERFORMANCE RL REPORT (DECISION)
07 HEALTH AND SAFETY NS REPORT (DECISION)
07a appendix one
08 ANNUAL EQUALITY AND MS DIVERSITY REPORT (DECISION)
08a appendix one
09 ANNUAL REPORT TO GB CUSTOMERS (DECISION)
09a appendix one
10 GOVERNANCE JB ARRANGEMENTS (DECISION)
11 HUMAN RESOURCES DL POLICIES (CONSULTATION)
12 SUB GROUP MINUTES JB (INFORMATION)
12a BDSG 27 07 15 12b SESG 29 07 15
13 MONITORING BOARD AND JB SUB-GROUP ATTENDANCE (INFORMATION)
14 FORWARD PLAN JB (INFORMATION)
Initial Officer name Job Title
HMC Helen McHale Chief Executive JB Jeremy Beatty Governance Manager GB Gill Bennett Head of Business Excellence CC Carmel Chambers Director of Finance SF Suzanne Frier Head of Corporate Finance DL Diane Laming Head of Organisational Development RL Rob Lloyd Performance and Improvement Manager MS Martin Saunders Social Inclusion Manager NS Neil Smith Health and Safety Manager
Item 03a STOCKPORT HOMES BOARD MEETING Monday 15 June 2015 17.00 Conference Room, 1 St Peter’s Square PRESENT: Board Members Officers • Roger Phillips (Chair) • Helen McHale, Chief Executive • David Beckett • Jeremy Beatty, Governance Manager • John Bowker • Sandra Coleing, Director of Corporate Services • Roland Dotchin • April Higson, Director of Neighbourhoods & Support • Jo Hague • Mark Hudson, Director of Technical & Commercial • Jenny Osbourne Services • Paul Porgess • Diane Laming (Items – 1-4) • Alanna Vine • Rob Lloyd, Performance & Improvement Manager • Christine Woolridge (Items 5 and 6) • David Wright • Mohammed Mustafa (Items 4-6) 1 APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST Action There were no apologies and no declarations of interest.
The Chair welcomed Jenny Osbourne to her first Board meeting. It was noted that a member of staff, Mohammed Mustafa, Social Inclusion Officer, would be observing some of the meeting. 2 MINUTES OF THE MEETING OF THE BOARD HELD ON 16 MARCH 2015 AND ACTION MONITOR The minutes of the meeting held on 16 March 2015 were accepted, subject to JB one correction: an action was agreed to ensure that the risk of abortive costs related to the head office were reflected in a risk register.
Progress with the items in the Action Monitor was noted. 03 PEOPLE AND ORGANISATIONAL DEVELOPMENT STRATEGY 2015-2017 The Head of Organisational Development introduced the new People and Organisational Development Strategy. Twelve strategic themes were highlighted. The implementation of the strategy will underpin the organisation’s culture and will facilitate the personal development of staff.
The Board requested that information about the expected measureable outcomes from the strategy be provided to the Service Excellence Sub-Group. DL
The development of mental health first-aiders was noted and commended.
It was noted that coaching and mentoring skills would be cultivated through management development and some staff would undertake formal qualifications.
The Board asked whether ‘no increase in absence’, referred to in the strategy, DL should be more positively expressed with an aim to reduce absence and what is the key date for achieving this? RESOLVED: - The Board approved the People and Organisational Development Strategy 2015-2017.
Page 1 of 4 Item 03a BOARD MINUTES 15 06 15 Item 03a 4a CHAIR’S AND MEMBERS’ UPDATE (VERBAL) • The Chair informed the Board about his recent activities including attending the opening of the Berlin Road development, participating in the Board away day and tour and chairing one of the staff conference events. • David Wright deputised for the chair at a Greater Manchester Chairs’ event where devolution for Manchester was discussed. • Roland Dotchin and Christine Woolridge attended the Homes for Britain Rally in March. 4b CHIEF EXECUTIVE’S REPORT The Chief Executive summarised key points and drew attention to:
• Stockport Homes winning the ‘Managing Your Income’ category at the UK Housing awards; and • Success in winning a contract in the new Targeted Prevention Alliance partnership.
The staff involved in these achievements were commended.
The Board noted progress with the Articles and Management Agreement. The Head of Business Excellence will brief the Chair and sub-group chairs about the proposals before a report comes to Board on 7 September 2015. In light of the wide ranging governance changes this year it was agreed to carry out the next Performance Development Reviews in 2016.
The Board noted the steady increase in work with schools. In response to questions the Director of Technical and Commercial Services confirmed that Stockport Homes was able to provide a competitive service and was looking to build long term relationships that meet a range of property-related needs.
An update on the Head Office was provided. A slight delay in starting the demolition was noted but the works are still expected to commence in June. It was explained that a social value lawyer has been used to ensure tender documents make provision for local labour through the B4Box training model.
The Board discussed the Greater Manchester Social Housing Providers’ Health and Well-being Pledges and were supportive of them, particularly the intention to develop more preventative work.
The Board noted that an additional month’s financial information had been uploaded to dropbox before the meeting. It was requested that if possible this should be done on the Friday before the Board meets. The Board asked SF whether Repair 1st income was down. The Director of Technical and Commercial Services explained that there was a lead time for seeing income show in the accounts at the start of the financial year but year-on-year there had been a fall in the number of repairs.
The Board asked for some assurance in relation to the problems being experienced with the Department for Work and Pensions and the administration of Universal Credit. The chief executive said that Stockport Homes was doing everything it could to resolve the difficulties including making representations through the National Federation of ALMOs. Page 2 of 4 Item 03a BOARD MINUTES 15 06 15 Item 03a 5 VALUE FOR MONEY STRATEGY 2015-18 AND YEAR END UPDATE 2014- 15 The Performance and Improvement Manager summarised performance against the previous strategy’s action plan and highlighted the objectives and actions in the new strategy.
The Board asked how the principles in the strategy were put into practice operationally. It was explained that the organisational culture ensured accountability for the actions and regular feedback on performance. The potential for offering value for money incentives was discussed but it was noted that it is difficult to attribute success to individuals because service improvements rely on teamwork.
The Board asked how the three per cent annual target was set. The Performance and Improvement Manager explained how the target is made up and that the Council required three per cent efficiencies in Management Fee annually
The Board discussed how it will be enabled to certify compliance with the standards in the regulatory framework. Further reports will be brought later in RL the year to explain how compliance is being assessed and to give the Board the assurance it requires. RESOLVED: - The Board
i. Approved the Value for Money Strategy for 2015-18; ii. Approved the actions in the Value for Money action plan for 2015-16; iii. Noted the update on the Value for Money Strategy and action plan for 2012- 15; and iv. Noted the efficiencies generated in 2014-15. 6 CORPORATE PERFORMANCE REPORT- YEAR END 2014-15 The Performance and Improvement Manager summarised the report and highlighted that 64 Service Improvement Plan actions had been delivered, two were recommended for deletion and two were recommended for monitoring at directorate level.
The Board said it would welcome more feedback on the work being done to GBi prevent homelessness.
Sickness levels, and the strategies for addressing these, were discussed. It was recognised this was a complex issue which touched on the culture of the organisation, the value of targets and who owned the responsibility for meeting targets. It was agreed that targets and measures are tools to prompt SC discussions rather than ends in themselves. The Director of Corporate Services said the approach would be reviewed.
The Board asked if a correlation of homeless cases and tenure could be GBi provided.
The Money Advice Team was congratulated on enabling customers to access £1.6m of additional income for customers who have engaged with the service.
Page 3 of 4 Item 03a BOARD MINUTES 15 06 15 Item 03a RESOLVED: - The Board
i. Noted performance and the improvement actions outlined in the report; ii. Raised issues of concern about the explanations presented where targets or objectives have not been met; and iii. Agreed to delete two Service Improvement Plan actions due for completion in the final quarter of 2014/15 and for two actions to be monitored at Directorate level. 7 MINUTES OF SUB GROUPS (INFORMATION) • Service Excellence Sub-Group – 30 March 2015. The Board noted the approval of the Customer and Community Engagement Strategy, the Social Inclusion Strategy and the Digital Inclusion Strategy.
• Business Development Sub-Group – 1 June 2 March 2015. The Board noted that the external auditor had attended the meeting to make a presentation, that pensions liabilities had been discussed and that following receipt of additional information a decision had been made to approve further installations of PV panels under a rent-a-roof model.
14 BOARD AND SUB-GROUP ATTENDANCE That the Board note the attendance rates of:
i. 91 per cent for Board meetings including attendance at away days – 11 per cent above target; ii. 95 per cent for Board meetings excluding attendance at away days – 15 per cent above target; iii. 85 per cent for Business Development Sub-Group meetings – five per cent above target and; iv. 100 per cent for Service Excellence Sub-Group meetings - 20 per cent above target. 15 FORWARD PLAN The proposed business for the remainder of 2015 was noted.
Author Jeremy Beatty Date 19/06/2015
Lead Officer sign off 22/06/2015 Chair sign off 23/06/2015
Page 4 of 4 Item 03a BOARD MINUTES 15 06 15 Item 03b ACTION AGENDA ACTION OFFICER PROGRESS / NOTES No. ITEM 1 2 A correction to the minutes of 16 March 2015 JB The Governance manager has was requested: an action was agreed to ensure confirmed that the risks of abortive has that the risk of abortive costs related to the head been included in the Head Office Risk office were reflected in a risk register. Register. 2 3 The Board requested that information about the DL This will be placed in Dropbox and expected measureable outcomes from the referred to in the Service Excellence People and Organisational Development Update Report on 28 September 2015. Strategy be provided to the Service Excellence Sub-Group. 3 3 The Board asked whether ‘no increase in DL The strategy now reads “There is a absence’, referred to in the strategy, should be vision for the company and a strategy to more positively expressed with an aim to reduce deliver a significant reduction in absence and what is the key date for achieving sickness absence levels”. The action this? plan states that sickness absence initiatives to drive down absence levels will be delivered by December 2015. 4 4b The Board requested that any additional SF Any additional information that is financial information be uploaded to dropbox on available will be uploaded to dropbox as the Friday before the Board meets. soon as possible. 5 5 The Board discussed how it will be enabled to RL Officers are working to provide the certify compliance with the standards in the Board with the level of assurance it regulatory framework. Further reports will be requires in relation to the standards. brought later in the year to explain how compliance is being assessed and to give the A report on progress will be provided in Board the assurance it requires. December 2015 and a statement will be prepared for inclusion in the 2015/16 accounts. 6 6 The Board said it would welcome more GBi This information was uploaded to feedback on the work being done to prevent dropbox on 13 July homelessness. 7 6 A Board member asked if a correlation of GBi A response was provided on 13 July homeless cases and tenure could be provided. 2015 8 6 Sickness levels, and the strategies for SC A vision for reducing sickness will be addressing these, were discussed. It was developed over the next two to three
Item 03b ACTION MONITOR 15 06 15 Item 03b recognised this was a complex issue which months. This will reflect the approach touched on the culture of the organisation, the to, and management of, sickness across value of targets and who owned the the organisation. It will inform the responsibility for meeting targets. It was agreed development of a longer term strategy. that targets and measures are tools to prompt discussions rather than ends in themselves. Therefore the target will be removed The Director of Corporate Services said the until this work has been completed, approach would be reviewed. when a realistic assessment can be made. In the interim, the performance management report will only report sickness as a red indicator if performance is higher than the same time last year.
Item 03b ACTION MONITOR 15 06 15 Item 04b
REPORT TO THE BOARD: 07 SEPTEMBER 2015
CHIEF EXECUTIVE’S REPORT
1 PURPOSE
1.1 The purpose of this report is to update the Board on new items, activities, issues, developments and successes that have taken place since the last Board meeting in March 2015 and that are not covered elsewhere on the agenda or any of the Sub-Group Updates. 2 FINANCIAL UPDATE
The July Management Accounts are forecasting a GREEN Financial Monitoring year end surplus of £429,000 against budget.
2.1 The July management accounts are reporting an £881,000 underspend, with a year-end forecast of £429,000. Key variances relate to underspends against repairs and maintenance budgets and lower than budgeted utility costs. These positive variances are reflected in the year end forecasts.
2.2 The underspends in repairs, maintenance and voids are due to lower volumes of works combined with efficiencies through lower subcontractor usage and negotiated contract efficiencies. Underspends in utilities are a combination of lower usage (some of which has arisen due to energy efficiency works) and lower contract prices. Forecast utility costs are currently being evaluated to inform the annual service charge review.
2.3 Each year a vacancy assumption has been set within the salary budgets. The pattern so far in year suggests that the organisation is carrying a lower level of vacancy rate than that budgeted. Therefore the full year vacancy rate budget may not be achieved. Forecasts have been updated to reflect the pattern so far.
2.4 Repair 1st is reporting an £11,000 surplus, which is broadly in line with budget, and a year-end break-even position compared with a budgeted surplus of £40,000. This is due to a reduced number of kitchen and bathroom works the Repair 1st team will be undertaking.
2.5 Cash flow is being closely monitored, both over a rolling 12 month period and over 15 year future forecasts. This is becoming even more important as the business prepares for its biggest ever capital investment project in the new Headquarters, coupled with the recent rent reduction announcements. The Management Team have reviewed the cashflow requirements in detail
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and have a plan in place to ensure that the cashflow remains sustainable to support the organisation through these two events.
Stockport Homes Ltd Income & Expenditure Account For the Period April - July 2015 Period: 4
YTD YTD YTD Budget Forecast WHOLE ORGANISATION Budget Actuals Variance 2015/16 July'15 July'15 £,000 2015/16 Organisational Total Income Management Fee from HRA 26,461 8,820 8,814 (6) 26,461 Other income 3,200 1,067 1,130 64 3,193 Repair 1st DLO 9,892 3,297 2,858 (440) 8,355 Income c/f from prior year 588 196 196 588 underspend/Reserves 0 Homelessness Service Income 1,478 493 523 30 1,504 Income relating to New Build 995 316 310 (6) 986 Water income (Including C/F Amount) 886 295 371 76 886 Commercial income 238 79 82 3 234 Total Income 43,738 14,564 14,284 (280) 42,207
Expenditure Staff Costs - Salaries 12,186 4,062 4,169 (107) 12,403 Premises Costs 3,047 1,016 843 173 2,920 Non pay costs relating to commercial works 225 75 45 30 204 Transport Costs 165 55 42 13 165 Supplies, Services and Communications 2,146 715 643 73 2,141 Legal, Regulatory and Consultancy 987 329 279 50 970 Service Contracts with Connected Organisations 910 303 256 47 894 Internal Recharges -732 -244 -263 19 -781 Homelessness Services Expenditure 1,713 571 541 31 1,638 New Build Expenditure 990 310 301 9 958 Water Expenditure (Including C/F Amount) 886 295 299 (4) 886 Repair 1st (DLO) - Costs 9,853 3,284 2,847 437 8,354 Repairs and Maintenance 11,361 3,788 3,397 391 11,025 Total Expenditure 43,738 14,560 13,399 1,161 41,778
Surplus/(Deficit) 0 4 885 881 429
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3 CAPITAL MONITORING
3.1 For 2015/16, the Capital Programme totals £17.712million. This includes £5.460million for ECO phase two. It is now forecast that £1.6million will be spent on ECO in 15/16 with the remainder being phased over future years. 3.2 Other areas within the capital programme are broadly in line with budget, with a year-end forecast spend of £14.213million.
4 HOUSING REVENUE ACCOUNT
4.1 The forecast outturn for the HRA illustrates a balanced budget position retaining the minimum revenue surplus of £1m, which allows for an increase to the proposed voluntary debt repayment of £189,000. This is possible due to the reduction in interest payments following the transfer of commercial properties, and increases in rent yield due to excellent performance on voids and collection (voids 0.53% compared to a budget rate of 1%). 5 SUMMER BUDGET
5.1 The summer budget was announced on 7th July. This risk update will consider the implications of the budget announcements against the Corporate and the HRA risk registers, followed by an update on performance in quarter one. A more detailed report highlighting the implications of the Budget can be found further on in the agenda of this Board meeting.
5.2 Corporate Risk Register There are 29 risks overall within the Corporate Risk Register. There are six risks which are affected by the budget announcement and where management action is required. These are:
• Significant changes in local and national politics affect the organisation – the main impact being the rent reduction policy along with further welfare reform changes being introduced • Insufficient cash resources are available to deliver capital projects – the resources available to deliver the capital programme in future years will need to be reconfigured to ensure a viable business plan exists • Delivering the most ambitious SHL / SMBC new build programme in recent years – cash flow implications and scheme viability will need to be reviewed by management • Rent and water income collection rates are not maintained at best in sector levels – there is a possibility that further welfare reforms could put pressure on this risk, although having to pay a lower rent is favourable for tenants • Welfare reform continues to impact upon customers' ability to manage their tenancies – further work and modelling will be
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undertaken to assess the impacts of the changes on the customer base • Universal credit brings additional challenges to customers and the organisation - further work and modelling will be undertaken to assess the impacts of the changes on our tenant base and ensure the organisation is preparing customers for these changes.
5.3 A new risk will be added to the Corporate Risk Register surrounding cashflow management. SHL will be entering a period whereby it will be investing in its biggest ever capital project at the same time as potential future increased pressures on the management fee and therefore cashflow management will be key.
5.4 HRA Risk Register The HRA is impacted by the budget announcements as there is a loss of income to the HRA over the coming years, based upon the rent reduction.
There are 11 risks within this risk register. There are seven areas which are adversely affected by the budget announcements and management will be taking action to address these areas:
• The HRA business plan goes into deficit - the impact of the rent reduction alone means that based on current spend profiles, the Business Plan would hit the debt cap and no longer be able to maintain the budgeted level of investment and expenditure by 2017/18 • Political risk that rents do not increase to a level to sustain future investment - the business plan has been built around rents increasing each year. The announcement that rents will reduce by 1% each year for the next four years means that this risk has been realised. It is expected that average rents will reduce by 12% by 2020-21. This means a significant loss of income for the HRA business plan. It is believed that service charges will not be affected by these announcements. • Headroom cap is exceeded and affects the business plan - as above, the headroom cap (based upon current spend profiles) will be exceeded by 2017-18 due to the combination of the rent reduction coupled with borrowing in this year for the pipeline new build programme. Work will be undertaken as a result to ensure the business plan remains sustainable, for example the capital programmed expenditure profiles will need to be revisited. • Major change in government policy directly affects the organisation - the budget announcement did see a major, unexpected, change in government policy. This risk has been realised.
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• Impacts of welfare reform and universal credit result in a loss of income – as above, the direct implications will be worked through by management • Changing demographics of the people needing to be housed - whilst there are no direct implications on demographics, the long term sustainability / affordability / attractiveness of some stock may need to be considered given the overall impact of the budget announcements • Right to Buy levels increase beyond forecast - RTB's are already a significant risk to the business plan. The budget announcements relating to extending RTB to Housing Associations and the selling of Local Authority housing stock which is vacant and high value, may impact on the business plan as there could be properties taken from the portfolio (with the proceeds going to the Exchequer not the business plan). In addition, the "pay to stay" announcement whereby any tenants earning over £30,000 will be made to pay closer to market rent could mean for some tenants that exercising their RTB is now more appealing.
5.5 There is a new risk which has been added to the HRA risk register following the summer budget. This is: • The Decent Homes Standard and / or current level of service provision is not able to be maintained - this risk has been introduced to ensure stakeholders are aware of the implications of the budget announcements on the quality and condition of the stock and the requirement to maintain Decent Homes Standard. Stockport Homes will continue to transform services and drive efficiencies to ensure homes are maintained to a high standard.
5.6 There was a risk within the HRA risk register that CPI remains lower than modelled in the business plan (2%). Clearly this risk is no longer relevant as a rent increase of any sort is not possible for the next four years. 5.7 The unexpected announcements within the summer budget will have a significant impact on Business Plans and customers. Due to the efficient operation of the HRA and flexibility within organisational work streams it will be possible to create a sustainable business plan. However, RTB remains the biggest unknown factor and a serious risk for the HRA. 5.8 The Management Team will continue to drive the transformation of services and the generation of efficiencies within the organisation to mitigate the impact of the budget changes.
Quarter One Update
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5.9 The Risk Management Strategy for the organisation sets out how risk and opportunities will be managed within Stockport Homes. As part of this, the Board receive a regular update on the top ten organisational risks.
5.10 Below is a summary of the quarter one position with regard to the organisation’s key strategic risks.
Strategic Risk Risk Description Q1 Update Category The The renegotiation of the management agreement Under Control Organisation has adverse effects on the organisation Rent and water income collection rates are not Under Control maintained at best in sector levels Finance and Welfare reform continues to impact upon customers' Under Control Economy ability to manage their tenancies Universal credit brings additional challenges to Under Control customers and the organisation Diversification into new work areas brings exposure New to new types of market (including any insourcing Under Control Business opportunities) and is not maximised or doesn't break even New Head New head office is not delivered to agreed budget Under Control Office and timescales Health and safety obligations to customers aren't fulfilled, including gas safety, fire safety, legionella Under Control Health and and asbestos Safety Health and safety obligations to staff aren't fulfilled Under Control
IT systems are not resilient enough and readily Information available to meet business need and IT support Under Control and Systems from SMBC is not sufficient
6 AWARDS UPDATE
6.1 Since the last update in June 2015, Stockport Homes has won two awards and was shortlisted for a further 11 awards. In July 2015, Stockport Homes won the National Federation of ALMOs award for ‘Helping Tenants Manage the Impact of Welfare Reform’. The award recognised the actions that have been taken to support customers with the effects of Welfare Reform. Stockport Homes was also shortlisted in a further three categories including Creating Greener Homes, Improving the Private Rented Sector offer and Tackling Worklessness and supporting Social Enterprise.
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6.2 In June 2015, Stockport Homes won the ‘Public Sector Skills for Business’ award at the Greater Manchester Skills for Business Awards. The award recognises Greater Manchester businesses that invest in the skills of their employees. Stockport Homes was also shortlisted for the Construction Skills for Business and Leadership and Skills Champion awards.
6.3 Stockport Homes was shortlisted in a further six awards. At the Housing Heroes awards in June 2015, Stockport Homes was shortlisted in four categories including Frontline Team of the Year, Care and Support Team of the Year, Central Service Team of the Year and Colleague of the Year. In the same month, Stockport Homes’ Jennifer Boswell was shortlisted for the Investors in People award for Manager of the Year. Stockport Homes was also shortlisted for the North West Regional Construction Awards for the sustainability award.
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7 ANTI-SOCIAL BEHAVIOUR SERVICE
7.1 Stockport Homes’ positive reputation in the field of ASB has been endorsed by Stockport County Court who, following a hearing for an application for a new injunction, commented that Stockport Homes and its legal services were “well ahead of the game” compared to other Registered Social Landlords who come before the court under the new Anti-social Behaviour, Crime and Policing Act 2014 legislation.
7.2 The ASB Services manager was invited to attend two housing events in June and July to showcase Stockport Homes’ Positive Engagement Service and to inform other housing providers of how the ASB service has evolved over the last five years and how the organisation has successfully implemented the new tools and powers now available.
7.3 The first session, delivered at the RESOLVE (formally known as the Social Landlords Crime and Nuisance Group) regional meeting, was well received with Adactus Housing specifically requesting a benchmarking visit to look at the Positive Engagement Service in more detail with a view to setting up a similar provision.
7.4 The second event, delivered at the Annual HouseMark Benchmarking Conference, focussed on Stockport Homes’ success in becoming one of the few organisations to achieve HouseMark ASB Re-Accreditation and covered how the service had evolved to meet the demands and needs of customers whilst improving overall performance resolving more cases, more quickly and maintaining high levels of satisfaction.
8 EMPLOYEE AWARDED BEST STUDENT AWARD
8.1 Emma Crick, Project Manager, has recently been awarded her BSc in Housing Studies from De-Montfort University, Leicester, a qualification undertaken via distance learning and funded by Stockport Homes.
8.2 In recognition of the consistently high marks achieved, the ability to hand completed work in well in advance and completing the course completely through distance learning, Emma was also awarded the Leicester Business School Prize for Best Student on BSc Housing Studies course. The prize includes a Certificate, small monetary award and an article within the prize giving brochure for the University.
9 FUNDING UPDATE
9.1 Since April 2015, 34 bids have been supported by Stockport Homes funding team directly or in partnership with a community or voluntary group or other partner. There have been 15 successful bids, 2 fails and 17 bids submitted awaiting the outcome. To date £206,005 external grant and £191,752 of match funding has been secured.
9.2 Recent success has included both local and national funders, including £10,212 from the DPS (Deposit Protection Service) for H3 to support
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customers to access housing in the private rented sector. Local grants have included funding from Manchester Airport, David Hopkins and the Equity Foundation to support a range of projects and activities across Stockport. Sites that have benefited include Wimbourne Close, Cheadle, Edinburgh Close, Cheadle, Friends of Tangshutt, Dial Park Allotment Association and Heaton and Norris Pavilion.
9.3 Activities funded include sports coaching, sports equipment and supporting bee keeping. Networking opportunities and collaborative working with potential funders continues and during August a workshop with the Big Lottery facilitated by Stockport Homes took place providing 1-1 support to groups who are seeking to apply for lottery funding during the year.
10 GROW, COOK AND EAT EVENT
10.1 On Saturday 6th June 2015, Mottram Street Tenants and Residents Association (METRA), Stockport Homes and Central Neighbourhood Management Team hosted the Grow, Cook and Eat community event at Ratcliffe Towers.
10.2 The event was organised to provide a fun and educational afternoon for residents of the Mottram Street Estate. Residents who attended were treated to free cooking demonstrations from Lighthouse Community Training with opportunities to taste the food made. Planters planted with edible plants suited to indoor growing were also handed out during the event by Sow the City. For the children, face painting and balloon modelling ensured that everyone had a fantastic time.
10.3 Other stalls at the event raised money for local charities; The Healthy Living Team provided free blood pressure tests and the local Police Community Support Officer provided advice on staying safe and avoiding crime.
11 SUMMER OF FUN
11.1 A timetable of fun free activities for children and young people has been arranged by Stockport Homes’ Customer Involvement Team and staff from the Area Housing teams through partnership working with Stockport Council and Life Leisure.
11.2 Activities on offer across Adswood & Bridgehall, Brinnington, Offerton, Cheadle Heath and North Reddish include soccer skills and five-a-side, cookery, multi-sports, gardening skills and fun fitness sessions. The aim of the sessions is to encourage people to try something new and to get children to become more active.
11.3 The Holiday Kitchen sessions being run in Brinnington are supported by Kelloggs through the provision of some free food and aim to help ease some of the burden parents are faced with during the summer holiday period when children do not benefit from the free school meal.
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11.4 External funding from Sportivate is being used to part fund some of the taster sessions and for those sessions, children will have the opportunity to continue to be financed through Sportivate to continue the sessions for a 6 week period.
12 THREE SISTERS WI-FI PROJECT
12.1 In July, Stockport Homes launched a free Wi-Fi pilot project in Brecon, Conway and Ludlow Towers in Brinnington, known as ‘wifi@3S’. Working in partnership with local social enterprise Starting Point Woodley and digital inclusion company CommunityUK, the project provides all residents in the block with free, unlimited download Wi-Fi in their flats.
12.2 A programme of support to enable residents to get online is being delivered by Starting Point from one of the flats, which has been temporarily converted into a training suite. Attendees can also benefit from a subsidised tablet computer scheme, which encourages them to save with Stockport Credit Union to purchase their own device at half the normal cost. The flat will also be used by other Stockport Homes’ staff and partner agencies to deliver support and information.
12.3 The blocks were chosen for several reasons. Their close proximity to one another allows one transmitter to cover three blocks and 200 properties, delivering greater value for money. The blocks can be hard to let and have traditionally had low levels of tenant engagement, high levels of unemployment and high turnover. It is anticipated that the project will improve demand for the flats, reduce social isolation and improve residents’ employment prospects. Stockport Homes’ staff and contractors can also use the Wi-Fi whilst onsite to reduce costs, and additional cabling has been installed to benefit the biomass boiler smart metering and concierge services at the same time.
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12.4 The service is free to residents for the first two years. After this, the potential for a service charge will be reviewed if residents choose to adopt the service. Learning from this pilot will be used to inform future digital inclusion projects across the borough.
13 LANCASHIRE HILL APPRENTICE BUS AND FUN DAY
13.1 On 31st July 2015 Stockport Homes, in partnership with Stockport MBC and Healthy Stockport, held a Central Family Futures Fun Day. The event was primarily focused on employment and training with the Key 103 media bus in attendance to promote a range of apprenticeships whilst Lancashire Hill plaza hosted a number of local employers, training providers and apprentices who were there to provide information on developing skills and gaining employment.
13.2 Stockport Homes assisted with the co-ordination of the event as well as providing stalls and entertainment throughout the day including promotion of Penny Lane Pantry with cookery demonstration using products available from the pantry, under 5’s soft play area to promote the locally based mother and toddler group, craft stalls, face painting and a DJ who helped create a fantastic atmosphere.
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13.3 The event also focused on health with free blood pressure checks, promotion of the 474 smoking cessation project, advice on diet and exercise and an innovative walkthrough inflatable bowel to raise awareness of colon cancer.
14 ALLIANCE FOR POSITIVE RELATIONSHIPS
14.1 Stockport Homes has successfully tendered for the Council’s new ‘Alliance for Positive Relationships’, alongside Stockport Without Abuse, Relate and Stockport Women’s Centre. Replacing traditional domestic abuse services, the Alliance has a focus upon working holistically with victims and perpetrators of abuse to change behaviours, prevent crisis situations developing and minimise harm to individuals and families. Through one-to-one support, group work and wider education it has the objective of preventing ‘cycles of abuse’ where individuals repeatedly enter in relationships where they are either the victim or perpetrator of abuse, with significant social impacts.
14.2 Stockport Homes will be focussing upon complex cases within the Alliance, where dysfunctional relationships are linked to other issues such as mental ill- health and substance misuse, often where parties are both victims and perpetrators of abuse. The Alliance will work closely with ‘Targeted Prevention Alliance’, of which Stockport Homes is also a member, and forms part of the Council’s wider strategic approach towards developing services that ‘prevent, reduce or delay’ the need for involvement by statutory services such as social care. Stockport Homes will be funded to provide a dedicated worker for its role in this alliance, with the bulk of the £280,000 contract still funding Stockport Without Abuse and associated support workers.
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15 H3 – HOSPITAL DISCHARGE INITIATIVE
15.1 Building on the success of a pilot project, H3 have been successful in securing £278,000 from the Big Lottery to set up a hospital discharge scheme for four years. This project will employ two workers who will help people who are homeless reduce their use of emergency health services/hospitals.
15.2 Research and an earlier pilot scheme showed that a dedicated service can realise health and wellbeing benefits to the individual whilst also offering financial savings to healthcare providers. As well as focussing on improving health and housing outcomes, the workers will develop peer support, befriending and wellbeing initiatives, to help improve self-reliance and resilience.
15.3 Paid and employed by H3, Stockport Homes assisted with the bid to the Big Lottery and are offering on-going support by basing the workers at the temporary accommodation schemes, providing line management, and assistance with setting up protocols and procedures. 16 IMPROVING HEALTH FOR PEOPLE WHO ARE HOMELESS
16.1 Transport for Greater Manchester’s cycling team have awarded Stockport Homes a grant of £8,682 to open a new bike loan scheme so that people can get mobile. Stockport Homes and Repair 1st match funded with cash and volunteer time and were assisted with reconditioned bikes from CERA Cycloan.
16.2 The scheme is proving successful across all temporary accommodation schemes, with residents using the bikes to attend appointments and interviews, for exercise and leisure purposes and to help reconnect with support networks.
16.3 The scheme was launched at a fun day at Brindale House on 27th May 2015, which included bouncy castles and face painters for the children, whilst adults were able to have their bikes 'health checked' and fixed free of charge; practice their ball skills in a friendly goal scoring competition with Street Soccer; and enjoy entertainment and food.
17 WELL-BEING AND INDEPENDENCE NETWORK
17.1 Stockport Homes Independent Living Service, in partnership with a range of organisations including Age UK, PURE, Disability Stockport, Stockport Car Share and GMCVO have recently successfully tendered for a number of contracts under the Well-being and Independence Network (WIN) which will deliver services to older people, people with disabilities and carers.
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17.2 The WIN will bring other opportunities to work in partnership to secure additional funding and deliver services differently and in a more aligned way. Service delivery will commence on the 1st October 2015.
18 EUROPEAN SOCIAL FUND
18.1 Stockport Homes is continuing to work with a range of housing providers in Greater Manchester to explore potential opportunities for European Social Fund monies which specifically seek to support people into work.
18.2 A bid led by New Charter and Stockport Homes on behalf of the Athena Housing Providers Group was submitted on the 3rd August for the ‘Building Better Opportunities’ (BBO) lot which focuses on those far removed from the labour market and marginalised groups. The BBO programme is a combination of ESF and Big Lottery funding of £9.7 Million pounds and will be delivered across the Greater Manchester Region.
18.3 Work is currently underway to develop an offer to prime providers for an additional lot which focusses on skills and employability and will be worth in the region of £12 million. Other lots are expected to be released later in the year.
19 TEN YEAR CELEBRATION
19.1 As Stockport Homes enters its tenth year it seemed fitting to mark this occasion with a celebration including all those who have contributed to its success over the years. With the expectation of at least four hundred people attending a suitable venue was sought that could adequately cater for our requirements. Just six miles from Stockport town centre is The Monastery, in Gorton, where the Diamond Awards will be held. 19.2 Once a former church and friary, it was listed by the World Monuments Fund as one of the most endangered sites in the world. Following a charity campaign which started in 1996 by The Monastery of St Francis & Gorton Trust, it has now been restored from a ruin to a spectacular venue. It is still owned by the Trust who ensure that all proceeds from events held there are donated to support the ongoing maintenance and conservation of this precious heritage site and also into a wide range of education, skills, arts and health projects run by the Trust within the community. 19.3 This event will be fully funded by sponsorship from our Partners (as of August 2015 £17,550 has been raised) allowing us to present attendees with; a welcome drink, three course meal, complementary drink of choice, live entertainment and disco. The highlight of the event will be a celebration of the achievements of our Customers and Staff through the ‘Star’ and ‘Smile’ Awards.
20 CONCLUSION 20.1 The Budget has changed the context in which we work. The clear objective of the new Government to reduce social housing requires us to review our
Item 04b CHIEF EXECUTIVES REPORT 07 09 15 Item 04b policies, activities and budgets. This is currently being thought through both at a local level and a Greater Manchester level. The Board away day can focus on this and plan for the future. This month should see progress on our two longstanding strategic issues, signing our new Management Agreement and the Development agreement for the new Head Office
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Report to: BOARD
Date of Meeting: 07 September 2015 Board
18 August 2015 Leadership Forum
Title of Report: BUDGET SPECIAL - KEY EMERGING POLICIES AND IMPACTS FOR CUSTOMERS AND BUSINESS PLANS
Report of: DIRECTOR OF FINANCE AND DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: For the Board to consider and debate the impact of the changing policy environment on Stockport Homes’ customers and Business Plans
Type of Report Consultation
Recommendation(s): That the Board considers and debates the impact of the changing policy environment on Stockport Homes’ customers and Business Plans.
Financial Implications of There are no direct financial implications arising directly from the recommendations the recommendations of this report. The financial implications of the actual policy announcements are £19m rent lost in the HRA over the next five years, and £216m over the next thirty years. Stockport Homes will also lose an estimated £422,000 in rent income from its own new build properties. Planning for future further efficiencies and remodelling or works programmes to offset this is already underway.
Value for Money There are no direct value for money implications arising Implications of the directly from the recommendations of this report. Value for recommendations Money will become even more pertinent in the operating environment going forward, given services will need to be delivered with less money available.
Risk Implications of the Risk Risk Description Number
Item 05 BUDGET SPECIAL Item 05 recommendations Significant changes in local and national politics 4 affect the organisation This report demonstrates that senior managers are considering the implications of changes and that the organisation is in a strong position to respond to them. Insufficient cash resources are available to deliver 6 capital projects It is clear that Capital Programme level of works will need to be revisited. Welfare reform continues to impact upon 8 customers' ability to manage their tenancies It is clear that the policy changes will affect our customers - some more than others. The organisation’s Strategic Welfare Reform Group will take ownership of an action plan to respond to this and target those customers who most need help. It will also debate and consider how Stockport Homes’ existing housing policies may need to change to reflect changes to housing need.
Safeguarding There are no Safeguarding implications arising from the Implications of the recommendations of this report. recommendations
Equality & Diversity There are no direct equality and diversity implications arising Implications of the directly from the recommendations of this report. The recommendations equality and diversity implications of the new policy changes will be considered and built into the Welfare Reform Action Plan.
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed? No
Environmental/ There are no direct environmental or sustainability Sustainability implications arising directly from the recommendations of this Implications report.
Customer Impact There are no customer impact implications arising directly from the recommendations of this report. Changing policies, however, will create significant impacts for some of our customers which the Welfare Reform Group will be considering going forward.
Content of Report Carmel Chambers signed-off by Director 13/08/2015
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Contact Officer Gill Bennett
Contact Details 0161 474 3823
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1 INTRODUCTION
1.1 A range of policy issues have arisen as a result of the Government’s July Budget and associated announcements. In housing terms, it is becoming clear that the Government’s intention is that welfare will no longer underwrite rents and that resources will focus on encouraging home ownership. The measures introduced to facilitate these objectives must be considered in detail by Stockport Homes to enable it to continue to support customers as a raft of changes to benefits arises. Stockport Homes must also protect itself as a business as it remodels the Housing Revenue Account (HRA) Business Plan and its own cashflows and develops its first five year Delivery Plan and Asset Management Plan. 1.2 This report is designed to highlight to the Board the key issues emerging that will impact upon our customers and our business and to update it on what the organisation is doing in response. Work will continue at the Leadership Forum and Board away days in September and November and in dialogue with the Council. 1.3 This report is broken down into three main areas to aid focus: the policy changes being proposed; their potential implications for Stockport Homes and the HRA from a business/budget perspective; and their potential implications for work on Welfare Reform and our customers.
2 POLICY CHANGES
2.1 Rent reduction The Government will require rents paid in social housing to reduce by one per cent per year for the next four years. This will bring rents down by an average of 12 per cent by 2020/21, based on current sector forecasts. This will present significant challenges to HRA self-financing settlements and to the long term ability of housing providers to maintain the stock at a level above the Decent Homes Standard. There will be more requirement than ever in future to generate and demonstrate value for money (VfM) efficiencies and to earn and use commercial income to subsidise core services. Although final details will emerge, it is believed at present that service charges will not be affected by this new rule. A financial synopsis and some resultant risks to Stockport Homes and HRA existing plans are considered in section 3 of this report. 2.2 ‘Pay to stay’ market rents for higher earning customers Households living in social housing tenancies outside London who earn a total of more than £30,000 will have to pay rents at ‘market’ levels to encourage them to move into home ownership from 2017/18. Local authorities will be expected to contribute this additional income to the Exchequer to help with deficit reduction and housing associations will be expected to reinvest it in building more homes. The Government will consult further on the details of this measure and there has been no indication of how the additional income will be
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‘paid back’ but it seems clear that this cannot be retained locally to support the Business Plan. There is no incentive for Local Authorities or ALMOs to implement this measure and it can only work if some form of information exchange takes place between Her Majesty’s Revenue and Customs and landlords. No existing data sharing arrangements can identify the households to which the ceiling applies or continually update the information as circumstances change. Fraud detection processes are also not designed to address the potential challenges that may be generated. It has been suggested that tenants will be legally required to notify housing providers of their salaries. £30,000 is a relatively low figure in a household where two adults work. There is the potential for this measure to result in debt for a large number of Stockport Homes’ customers. It may also be necessary to consider how rent increases are managed and administered for different groups of customers, depending on the terms of their tenancy agreements as well as on their financial circumstances. 2.3 ‘Lifetime’ tenancies The Government plans to review the use of 'lifetime tenancies' in social housing to limit their use. No detail has yet been published about how or when this initiative will be implemented and Stockport Homes can do little to prepare, other than to benchmark with organisations which have already moved towards fixed term tenancies in order to inform planning and resourcing. 2.4 Welfare Reform A new ‘Youth Obligation’ is being introduced from April 2017 which involves an intensive regime of mandatory work placements and support and restrictions on benefits for those aged 18 to 21. People with lower level disabilities who make new claims for Employment Support Allowance while they look for work will be paid at the same rate as those who are able bodied, which is a reduction of around 30 per cent. The budget introduced a range of changes which are designed to work together to reduce the amount of benefit claimable by families, whether in or out of work: • a freeze on working age benefits; • Universal Credit and the family element of Tax Credit will be limited in larger families; • Tax Credit and Universal Credit work allowances will be reduced for people who are working; and • the overall benefit cap, currently £500 per week for a working age household with children, will be reduced to £385 outside London, although no date has yet been set for this to be introduced. This will impact on incomes across Stockport Homes’ customer base but is likely to have the biggest impact on larger families.
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There will be a reduction in backdating periods for Housing Benefit from six months1 to four weeks from April 2016. There will also be a waiting period of 39 weeks before mortgage interest is payable from April 2016 and these payments will be converted into loans from April 2018. These measures all carry the risk of increasing homelessness among people living in owner occupation and private renting who lose their jobs. These various Welfare Reforms will undoubtedly put increased pressure on Local Authority Discretionary Housing Payment (DHP) budgets. The Budget Statement says that £800m will be made available over the next five years but it is unclear whether this is in addition to existing funds or how this will be allocated. 2.5 Salaries A compulsory national living wage will be introduced for over 25s of £7.20 per hour from April 2016 and £9.00 by 2020. When taken alongside other initiatives, such as proposals to provide 30 hours of free childcare per week for the working parents of three year olds and a requirement for those not yet in work to begin looking for work, this could help raise more customers out of poverty by encouraging them into employment. It is unclear, however, how businesses will respond to this challenge and whether its cost to employers might result in a reduction in the number of entry-level jobs available. It is also unclear what impact the measure will have on the prices of goods and services. It may be that it becomes more cost effective for Stockport Homes to bring services in house rather than contracting them out in future. The living wage will not be available to under 25s so it is likely that living independently will continue to be out of the reach of many young people, whether they claim benefits or are in work. This is likely to compound the effects of underoccupancy charges by further reducing demand for some stock. Stockport Homes is likely to have to explore more radical changes to its existing stock base and policies in order to avoid letting irresponsibly to people who cannot afford to pay rent. It may also be necessary to consider decommissioning some stock. Public sector pay awards will be frozen at one per cent per year for the next four years. This will allow Stockport Homes to financially plan more effectively in the medium term but is likely to impact negatively on staff morale after several years of low pay rises. It may result not only in the loss of the most able staff to the private sector but in pressure from individuals and groups of staff for job evaluation. 2.6 Housebuilding The Government plans to increase house building and boost productivity. It outlines several measures aimed at speeding up the planning process. Measures include: • powers for the Government to intervene and draft plans to meet housing need if councils fail to produce plans of their own;
1 Three months for pensioners
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• penalties for councils that make less than 50 per cent of planning decisions on time; • automatic planning permission for all suitable brownfield sites as part of a new ‘zonal system’; and • fast-tracking of major infrastructure projects which include housing. These do have the potential to reduce blockages caused by planning but are unlikely to have an impact on Stockport Homes’ development programme. This is because potential feasibility issues given rent announcements and land availability constraints are more significant factors than planning difficulties. 2.7 Right to buy (RTB) and the sale of Local Authority stock The Government has increased support for home ownership through measures such as the extension of the RTB to housing association tenants and the creation of ‘help to buy’ Individual Savings Accounts (ISAs), which will be available to savers from December 2015. These measures are likely to reduce the pool of stock available to Stockport Homes in discharging the Council’s homelessness duty. Limiting ‘buy to let’ tax relief to the basic rate of tax may discourage private landlords from buying up ex-RTB stock but it is unclear whether this will result in Stockport Homes’ neighbourhoods becoming more mixed tenure in the long term. More significant for Stockport Homes is the accompanying provision that ‘high value’ vacant council homes must be sold on the open market to fund the building of replacement stock for that lost through the extension of the RTB. It is still unclear how ‘high value’ will be defined and it is unlikely that turnover rates of the most desirable stock in Stockport will deliver the volume required for the ‘one to one’ replacement envisaged. Until more detail is published, Stockport Homes can only attempt to analyse which of the Council’s stock is most vulnerable to being sold – either through open market sale under this provision or through the existing RTB provisions which may be stimulated in the medium term by measures such as RTB ISAs and higher rents for earners of over £30,000. Final detail has also yet to emerge on whether Stockport Homes would be fully compensated for any RTB’s, as the Government seem to be proposing for RSLs. It is hoped that the ALMO as a registered provider would fall in this category, but questions will arise as to how the government defines “fully compensated”, for example will they include loan redemption penalties.
3 IMPLICATIONS FOR BUSINESS BUDGETS
3.1 The Budget announcements present implications for both the HRA and Stockport Homes. 3.2 For the HRA, modelling shows that £19m will be lost out of the Business Plan over the next five years alone, rising to £216m over the next 30 years. This is based on an assumption that rents will rise again after the four year period, which is still unknown at this time. 3.3 These are significant figures. Work has already commenced on modelling the HRA Budget for next year. Options include flexing some capital programmed
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works and/or finding efficiencies in the current other fees paid out of the HRA, the majority of which is the Stockport Homes Management Fee. Current cashflow modelling for SHL is in place, stress testing scenarios around the Management Fee. The Director of Finance will be working closely with the Council over the coming months to ensure the Budget remains viable for both the HRA and SHL. 3.4 Whilst the figures are significant, the HRA Business Plan has always been based on prudent assumptions and therefore the actual impact felt on the ground should be less, for example, void and rent loss assumptions continue to be out-performed which brings more money to the HRA, standard inflationary measures are assumed for costs which don’t always come to fruition. The strong management of SHL has also meant that there are surpluses in the HRA this year already to offset some of the impact next year. The Director of Finance is confident a sustainable budget will be achieved for 2016/17. Plans for the following years will be updated accordingly. Probably the biggest risk is that rents do not continue to rise after the four year period. 3.5 Other budgetary impacts for Stockport Homes concern not only the Management Fee level risks but also the fact that the 1% rent reduction applies to SHL’s own New Build schemes. The four year deal results in an estimated £422,000 of income lost in rents to SHL. Cashflow stress testing is in place and the Management Team are currently working on a package of efficiencies to offset this. Based on the current level of efficiencies the team are working to the cashflow modelling for the organisation remains stable and sustainable, however there could be further risks if SHL do not get fully compensated for RTBs in the future. 3.6 Risks will no doubt emerge over potential inability to deliver some pipeline newbuild schemes which may not be viable at projected rent levels. Opportunities to use grant allocations returned by other providers may emerge however if the organisation is appropriately positioned to take advantage of them, particularly in the context of Government pressure and inducements to encourage building on brownfield sites. The Council is reviewing its current payback period for new build schemes and the Director of Finance is working with them to facilitate this and also consider what other capital resources are available in the HRA that could be used to support and/or subsidise schemes, for example ear-marked receipts from previous RTBs. 3.7 The Business Development Sub Group will be reviewing the financial impacts when they consider the draft budgets for 2016/17. 3.8 The other financial risk is from the perspective of the collectability of income and management of voids in terms of stock usage and demand in the HRA. The next section details impacts in these areas and how the organisation is responding.
4 WELFARE REFORM ISSUES 4.1 Stockport Homes has already responded strongly to Welfare Reform. A Strategic Welfare Reform Group is in place and Appendix One shows the work undertaken to date. Stockport Homes was the number one ALMO for rent collection at March 2015 and continues to out-perform last year’s collection
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rates. This provides assurance about its strong starting point to tackle the forthcoming welfare changes below. 4.2 A number of changes to the welfare system were announced in the Budget statement and will have a significant impact on some of Stockport Homes’ customers. Taking into consideration the impact from previous welfare reform changes, the groups more likely to be negatively affected are: • those with a disability; • under 21 year olds; • larger families with children (working and non-working); and • people out of work and in low income work.
4.3 Although further detail is awaited from central government about how each element of the Budget will be implemented, below is an overview of the likely impact on Stockport Homes’ customers, using available data. A more detailed report will be taken to Service Excellence Sub Group in December 2015. 4.4 Benefit cap This was originally introduced in April 2013 and limited the total amount of benefits that any one household could receive to £26,000. Approximately 20 Stockport Homes’ households were affected by this cap, mainly large families. The new recommendation is that the cap be reduced to £20,000 outside London. This means each of these 20 households will lose a further £6,000 of income through reduction in their housing benefit. In addition there will be more households affected. Housing Benefit or Universal Credit housing costs are the first benefits to be capped when someone is affected, so this may impact on the ability of these households to make rent payments and sustain their current tenancies. This change also poses challenges for temporary accommodation, in terms of the affordability of these flats for people with children. Stockport Homes is looking at how temporary accommodation can best be provided in the current financial situation. 4.5 Out of work benefits This recommendation concerns an out of work benefits freeze for four years from April 2016, with exemptions for disability and pensioner benefits. It means those on working age benefits will see a real term reduction in income. The Consumer Price Index (CPI) showed inflation at nil in April 2015, so a freeze in benefits will have neutral impact at present. However, the Bank of England estimates CPI will be around two per cent by 2020. Overall impact/ loss to benefit recipients in real terms could be around eight per cent over this Parliament. The Institute for Fiscal Studies estimates a loss of £260 per household on average. Although Stockport Homes’ rental income collection is very high, more tenants may be at risk of rent arrears, with a consequential increase in demand for money advice and related support, for which Stockport Homes has a strong team in place.
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4.6 Child Tax Credits and Family Premium Support through Child Tax Credits will be limited to two children per household in any families where children are born after April 2017. This is likely to impact on large families, although it is likely to have a minimal impact for several years. The potential impacts of the change on choices around family size are unknown. In addition, the family premium element of housing benefit, a flat rate of £17.45 which is paid to all families with children in receipt of Housing Benefit, will be removed from April 2016 for new claimants/ additional children. 4.7 Universal Credit applications from 18-21 year olds From April 2017, those aged 18 to 21 making new claims for Universal Credit will have to apply for an apprenticeship or traineeship, gain work-based skills, or go on a work placement six months after the start of their claims. If they don’t they will not be eligible for Housing Benefit. Ending of automatic entitlement to benefits will lead to a reduction of Housing Benefit expenditure, although there will be exemptions for vulnerable households and those in prior employment. Vulnerability could include: • parents (both lone parents and couples); • those with health issues; • young people unable to live with parents; • working young people; and • those who have been in work for six months or more - for the first six months after leaving work. Stockport Homes has 97 households headed by under-21 year olds in receipt of Housing Benefit and 12 tenants under 21 years old who are in receipt of Universal Credit. There were 117 lets to those aged 21 years old and under in 2014/2015. Using this as a benchmark, if each of these tenants is in receipt of Housing Benefit they are likely to lose £75.32 average rent per week if they fail to meet the qualifying criteria. It is difficult to establish the potential impact of vulnerability exclusions that may apply, and the extent to which it may even lead to homelessness if people are unable to obtain help paying for accommodation, but the range of support services and properties offered to under 21 year olds may need to be reconsidered. 4.8 Tax Credits taper and Work Allowance From April 2016, the taper rate for Tax Credits will increase to 48 per cent2. This means the amount people can earn whilst still receiving Tax Credits has reduced. Work allowances will also be completely removed for single claimants without children or a disability. There will be reduced income thresholds for Tax Credits and Work Allowances within Universal Credit, with a potential negative impact on Universal Credit as a work incentive, and on in-work poverty, especially for single households3.
2 from 41 per cent 3 under 21s in particular
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All working age households with someone in employment who are already receiving Tax Credits will be affected, but the exact loss in income will be dependent on individual household circumstances. 4.9 Aligning ESA with JSA New claimants of Employment Support Allowance, paid to people with a disability who have been assessed as capable of some work, will receive the same rates as those on Job Seekers Allowance. This will represent a 30 per cent cut in weekly income for new ESA claimants, compared to existing ones4. There are approximately 2,000 ESA/work activity claimants in Stockport, and this change is likely to disproportionately affect Stockport Homes’ customers. 4.10 Housing Benefit backdating At the moment, Housing Benefit can be backdated for six months for people of working age and three months for pensioners. From April 2016, this will be limited to four weeks for both groups. The impact on Stockport Homes’ tenants is likely to be small as Housing Benefit is checked at sign-up. It is most likely to impact on existing tenants if they experience a reduction in income that qualifies them for Housing Benefit support, so for a small number of tenants the outcome of this change might be very significant. 4.11 Although Universal Credit was not included in the proposed changes announced as part of the Budget speech, the large scale migration of existing tenants is still outstanding. Whilst the timescale for this is unclear, the impact is likely to be far more significant than any of the changes described above.
5 CONCLUSIONS 5.1 The July 2015 Budget and associated policy announcements will impact on customers and on the HRA and Stockport Homes’ business/ budgets. There are particular risks to the ability of some customer groups to sustain tenancies. 5.2 Stockport Homes has a cross-directorate Strategic Welfare Reform Group already in place. This will be updating its action plan with the organisation’s response to mitigate these new policies and to continue to help customers maintain tenancies and minimise rent arrears. The Service Excellence Sub Group will be kept updated. 5.3 In terms of business finance, the Finance Team is already working with the Council to agree a draft HRA Budget for 2016/17. The Stockport Homes Annual Budget report will, as usual, detail how balanced budgets have been achieved and the Business Development Sub Group will be reviewing this in detail. Cashflow modelling and stress testing is continually being updated and current plans are sustainable.
4 who receive £29.05 per week more than JSA claimants
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6 RECOMMENDATIONS 6.1 That the Board considers and debates the impact of the changing policy environment on Stockport Homes’ customers and Business Plans.
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Appendix One – Update on Welfare Reform, August 2015
Universal Credit (UC) has been rolled out in Stockport since November 2014. The pace of known new claimants has remained steady at around six new cases per week over recent months, from 147 in May 2015 to 213 at the end of July 2015. The Customer Finance Team continues to proactively manage cases, but the average balance of Universal Credit claimants in arrears has risen to £377.95 (compared to £349.70 at end of May), whereas the average arrears of non-claimants has remained static at £166.99. Collection rates on accounts with a Universal Credit claim in payment were 97.25 per cent compared with overall collection rates of 102.59 per cent at the end of July 2015. The two key performance indicators for overall rent arrears performance compare as follows:
Varianc Performance indicator Jul-14 Jul-15 e Overall arrears as % of annual debit 1.09% 0.96% -0.13% 102.00 102.59 % of overall arrears collected % % 0.59%
A number of improvements have taken place in the working relationship with DWP as a result of feedback from Stockport Homes, other landlords and their representative bodies. Alternative Payment Arrangements (APAs) have been moved from a paper based to an email system, reducing timescales and the number which are lost. A dedicated telephone line for the service centre has also been set up for social landlords and the service has improved. However, the omission of housing costs from Universal Credit payments and the number of miscalculations continues to cause problems.
The number of under occupiers is continuing to fall and is now 937. Collection rates remain extremely high, with 99 per cent of under-occupancy charges having been collected since the charges were implemented. The value of Discretionary Housing Payments (DHPs) has reduced by around £70,000 since this time last year, although this is not yet impacting on under-occupancy arrears cases. The Customer Finance, Money Advice and Area Teams continue to work together to contact those customers who have received multiple DHPs to ensure they are supported to make changes in anticipation of DHPs being further reduced, such as moving into employment and downsizing.
The Money Advice Team continues to support significant numbers of tenants, with 916 referrals from April to July 2015. The team has visited 405 customers in their homes, 202 appointments were completed in the office and the total financial gains for
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tenants this financial year so far are £1.1 million. This includes £48,915 gained in one- off Discretionary Housing Payments, with a further £81,954 in one-off Housing Benefit payments. £15,491.16 in Housing Benefit overpayments has been challenged and written-off, and £19,225.81 has also been secured from the United Utilities Trust Fund. Homelessness has been prevented through support given in 13 eviction cases to date.
The Money Advice Team is now working on a number of proactive on-going projects to maximise income for the organisation and keeping numbers of court entries to a minimum. For example, on a weekly basis, anyone who is at risk of Court entry is contacted for support; when the Team is notified of a Housing Benefit overpayment they review if it is challengeable or if they can at least reduce the rate at which it is being recovered and any cases where Housing Benefits are notified that Employment Support Allowance has ended, the Team ensures customers are aware of their rights to challenge DWP decisions and secure income longer term. The team also carry out affordability assessments for new tenancies to ensure sensible letting of properties and that tenants are given the appropriate support with their finances and tenancies from the start.
Despite the challenges posed by Welfare Reform, overall collection and arrears performance remains positive. Arrears in cash terms at the end of July 2015 were £53,000 less when compared with the previous year. The ability to balance high levels of rent collection with timely and effective support for customers was recognised again at the National Federation of ALMOs, winning the ‘Helping tenants manage the impact of welfare reform’ category. Additional changes to the welfare system were laid out in the Summer Budget in July 2015 and the impact on customers is addressed in section four of this report.
For further information please contact Tanya King, Social Inclusion Manager on 0161 474 2887 or at [email protected]
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Report to: BOARD
Date of Meeting: 07 September 2015 Board
18 August 2015 Leadership Forum
Title of Report: CORPORATE PERFORMANCE REPORT- Q1 2015/16
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: To provide a quarterly update on performance against indicators and measures and on progress in implementing the Service Improvement Plan (SIP) for 2015/16.
Type of Report Decision
Recommendation(s): It is recommended that the Board: i. Notes performance and improvement actions outlined in this report; ii. Raises any issues of concern about the explanations presented where targets or objectives have not been met; and iii. Agrees a date change for an action due in the second quarter of 2015/16
Financial Implications of There are no financial implications arising from the the recommendations recommendations of this report.
Value for Money There are no value-for-money implications arising from the Implications of the recommendations of this report. recommendations
Risk Risk Implications of the Risk Description recommendations Number
7 Rent and water income collection rates are not maintained at best in the sector levels.
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Performance is reported in the performance brief on a monthly basis and in the performance report on a quarterly basis to alert managers to potential problems and ensure action planning takes place to correct poor performance. Benchmarking results describing rent collection and rent arrears in the sector are reported at year end.
8 Welfare reform continues to impact upon customers' ability to manage their tenancies
9 Universal credit brings additional challenges to customers and the organisation
These two risks are mitigated by monitoring and reporting on the key indicators in areas related to the impact of welfare reform. This is done by producing a performance brief for managers on a monthly basis and a performance report to the Board on a quarterly basis. These highlight any potential problems and ensure action planning takes place to address poor performance.
19 Health and safety obligations to customers aren't fulfilled, including gas safety, fire safety, legionella and asbestos
This risk is mitigated by monitoring and reporting on indicators relating to gas safety and legionella compliance. Any potential problems are highlighted and action planning is triggered to address poor performance.
Safeguarding There are no safeguarding implications arising from the Implications of the recommendations of this report. recommendations
Equality & Diversity There are no equality and diversity implications arising from Implications of the the recommendations of this report. recommendations
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Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed?
Environmental/ There are no environmental / sustainability implications Sustainability arising from the recommendations of this report. Implications
Customer Impact Improvements in performance as a result of action plans will have a positive impact on customers.
Content of Report Sandra Coleing signed-off by Director 05/08/2015
Contact Officer Rob Lloyd, Performance & Improvement Manager
Contact Details 474 3279
Author (if different) Katalin Szavai, Performance & Improvement Officer
Contact Details 474 3764
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CORPORATE PERFORMANCE REPORT- FIRST QUARTER OF 2015/16 1 INTRODUCTION 1.1 This report summarises performance against Stockport Homes’ aims, using a range of corporate indicators. A detailed analysis is available in the supporting report contained in Appendix One. Appendices are available in Dropbox. 1.2 Appendix Two contains monthly or quarterly information on the indicators and measures. Appendix Three contains charts showing trends in some of the indicators and measures. Appendices Four and Five contain actions from the Service Improvement Plan (SIP) 2015-18 due in the first and second quarter of the year respectively. 1.3 Performance against monthly indicators for July will be provided prior to the Board meeting on 07 September and will be uploaded to dropbox. 2 PERFORMANCE First quarter performance against targets Five of the 12 corporate performance indicators1 were on target and rated as ‘green’. Six fell short of the agreed target but within accepted tolerance and were classed as ‘amber’. Performance against two of these six, however, was distorted by low case numbers so, based on one quarter’s performance alone, these indicators are not yet reliable. One indicator fell short of the target and outside of accepted tolerance and was rated as ‘red’.
Q1 2015-16 5 6 1
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2.1 AIM ONE: EXCEED CUSTOMER EXPECTATIONS & ALWAYS DO THE RIGHT THING AMBER Indicator - ‘Percentage of repairs completed right first time’ (84.5 per cent against a target of 85 per cent)
The target was missed by 0.5 per cent but it is expected that the year-end target will be met. This was the result of lower phone answering rates at the Contact Centre early in the quarter when sickness absences coincided with annual leave. This was a short term problem and performance in June was 87.2 per cent, which is over the 85 per cent target.
1 Indicators are shown in Appendix Two in Dropbox
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GREEN Indicator - ‘Percentage of domestic properties with a valid gas safety certificate’ (100 per cent against a target of 100 per cent)
GREEN Indicator - ‘Percentage of commercial properties with a valid gas safety certificate’ (100 per cent against a target of 100 per cent)
GREEN Indicator - ‘Percentage of properties complying with Legionella (L8) management regime’ (100 per cent against a target of 100 per cent)
AMBER Indicator- ‘Overall satisfaction with the quality of service during investment work programmes’ (96.3 per cent against a target of 98 per cent)
The target was missed but performance remains within accepted tolerances and it is expected that year-end target will be met. The target was raised from 96 per cent in 2014/15 to 98 per cent in 2015/16. In order to achieve this challenging target a new way of working with B4Box has been introduced. This has had a small impact on satisfaction levels but, as new ways of working become embedded, performance should improve and meet the higher target over the upcoming months. AMBER Indicator- ‘Percentage of complainants who would use the complaints service again’ (96.7 per cent against a target of 98 per cent)
Only one complainant responded negatively to this survey question during the quarter, but the small number of people surveyed2 in any one quarter means that a progressively more robust picture of satisfaction in this area is built up as the year progresses. The one customer who would not use the service again was satisfied with all other aspects of the service and did not want the case followed up, but felt that the response had not addressed the complaint. The response letter was reviewed by the Customer Feedback Officer and it was found to address all the points laid out in the customer’s complaint letter.
2.2 AIM TWO: SUPPORT CUSTOMERS IN ALL ASPECTS OF THEIR LIVES THROUGH EFFECTIVE PARTNERSHIP WORKING AMBER Indicator- ‘Ratio of homelessness preventions to homeless acceptances’
(4.9:1 against a target of 5.5:1)
Performance in the first quarter fell short of the target but remained within accepted tolerance. Compared to the same quarter in 2014, there was a rise both in homelessness presentations and in successful interventions. The
2 30 complainants were surveyed in the first quarter.
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increase in homelessness appears to reflect a national trend3 although this will have to be monitored for a longer period to draw firm conclusions4. Increasing the number of successful preventative interventions is a central objective over 2015/16 due to these pressures, with for example the recent employment of two hospital discharge workers through the charity H3 and a dedicated worker focussing on supporting single people with alcohol issues. Outcomes from these projects will be evaluated and learning used to inform future service development.
2.3 AIM THREE: CREATE GREENER PLACES TO LIVE AND WORK AND CONTINUALLY MINIMISE OUR IMPACT ON THE ENVIRONMENT N/A Indicator- ‘Average energy performance rating of properties’ (Year-end target: 86 per cent) - this is an annual indicator so a quarterly update is not available.
2.4 AIM FOUR: DEVELOP OUR THRIVING, SAFE & SUSTAINABLE NEIGHBOURHOODS, MAXIMISING OUR CONTRIBUTION TO MEETING HOUSING NEED GREEN Indicator- ‘Percentage of neighbourhood inspections rated at least "good" (98.31 per cent against a target of 96 per cent)
AMBER Indicator- ‘Percentage of ASB complainants satisfied with the outcome of their case (96 per cent against a target of 98 per cent) Performance fell short of the target in the first quarter but remained within accepted tolerance. The slight drop in performance from the last year end is a variance resulting from the small survey size considered in the first quarter. When considered on a rolling 12 months basis, the same indicator shows as 97 per cent. Two out of 52 complainants were unsatisfied with the outcome of their complaints. Both cases were investigated by the ASB manager and found to have been handled appropriately. One was a noise disturbance case where, despite the fact that the noise was successfully stopped, the complainant felt they should have been awarded additional rehousing points. The other complainant felt that contact from the team was insufficient, although the ASB officer had attempted to make contact via phone, voicemail and letter and received no response. Visits were not possible as the customer had asked to remain anonymous.
3 The most recent statistics released by DCLG report an eight percent national rise in homelessness between January–March 2014 and January-March 2015. This relates to an increase in households unable to maintain private tenancies 4 Stockport Homes had 10 acceptances due to loss of assured tenancies in the first quarter, compared to five in the same period last year
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2.5 AIM FIVE: INVOLVE CUSTOMERS, STAFF AND THE BOARD IN DECISION MAKING AND CREATE OPPORTUNITIES FOR THEM TO FULFIL THEIR POTENTIAL AMBER Indicator- ‘Percentage of ‘skills for life’ participants going into volunteering, further education or employment three months after the completion of their courses’ (66.7 per cent against a target of 70 per cent) Performance against this indicator was below target but remained within tolerances. Of the 42 people completing courses in the last quarter of 2014/15 and being surveyed in the first quarter of 2015/16, 28 had gone into volunteering, further education or employment by the time they were surveyed. A slight reduction in employment related courses during the quarter, due to the number of courses offered by other providers such as the Job Centre, had been counteracted by the success of courses that help participants into volunteering or further education but ways of increasing the percentage of participants going into employment are being explored.
2.6 AIM SIX: GROW BY MAKING THE BEST USE OF OUR RESOURCES AND DIVERSIFYING INTO BUSINESSES THAT COMPLEMENT WHAT WE ALREADY DO Indicator- ‘Average time taken to re-let empty dwellings (all re-lets)’ (14.7 days against a target of 16 days)5 N/A Indicator - ‘Efficiencies as a % of the management fee’ This is a six monthly indicator.
RED Indicator - ‘Average days lost due to sickness per employee’ (1.78 days year to date against the target of 1.74 days)6 Sickness absence was 0.04 days higher than in the same period last year, which equates to a total of 20 days across the organisation. Absence was high in April, followed by lower levels of sickness in May and June. Use of the original sickness target has been suspended and a comparison to the previous year is used7 to ensure performance is not deteriorating. Work has begun to establish the reasons for the increase in sickness absence levels and to create a vision for sickness absence, leading to a strategy to drive down sickness absence levels. This will be complimented by the actions identified in the HR Annual Report presented to the Business Development Sub-Group on 27 July 2015. N/A Indicator without target - Rent collected as a percentage of rent due: 99.74 per cent. This falls at the best case end of the potential range of performance identified, based on 2014/15 performance.
5 See Appendix Three, figure three for chart, in Dropbox. 6 See Appendix Three, figure four for chart, in Dropbox. 7 As agreed at Leadership Forum on 7th of July 2015
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N/A Indicator without target - Rent arrears as a percentage of rental debit: 1.22 per cent . This falls at the best case end of the potential range of performance. Performance continues to improve in this area, despite the roll out of Universal Credit and the continuing impact of under-occupancy charges. Both rent collection and rent arrears levels have improved, compared to the same period in 2014 and 2013 and rent arrears have reduced in cash terms by approximately £30,000 since June 2014. Further performance measures, including information on universal credit is available in Appendix One. 3 SERVICE IMPROVEMENT PLAN (SIP) 3.7 This section provides an update on performance in delivering the actions in the Service Improvement Plan (SIP) for the first quarter of 2015/16. Appendix Four contains updates against each sub action that was due for completion in this quarter and Appendix Five contains the actions due in the second quarter. Appendices are available in Dropbox.
3.1 SUMMARY There were four actions in the Service Improvement Plan that were due in the first quarter. All four actions were completed.
3.2 FORWARD LOOKING SIP ANALYSIS FOR THE SECOND QUARTER OF 2015/16
There are four actions due in the second quarter. These are listed in Appendix Five. Three are on target for completion and one action requires a date change: • Action 5 – ‘Develop, offer and roll out financial awareness training for community groups/ resident associations’ – Date change to March 2016 requested due to pending reorganisation of the Finance Team.
4 CONCLUSION Performance information contained within the report shows that targets were met or are expected to be met by year end in most areas. Performance in areas related to Welfare Reform continues to be strong. Progress against the Service Improvement Plan was excellent, with all four actions delivered in the quarter.
5 RECOMMENDATIONS It is recommended that the Board:
i. Notes performance and improvement actions outlined in this report;
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ii. Raises any issues of concern about the explanations presented where targets or objectives have not been met; and iii. Agrees a date change for an action due in the second quarter of 2015/16
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Report to: BOARD
Date of Meeting: 07 September 2015 Board
18 August 2015 Leadership Forum
Title of Report: HEALTH AND SAFETY ANNUAL REPORT
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential.
Purpose of Report: To inform the Board of the Health and Safety performance, activity and initiatives undertaken 2014/15 and planned activity 2015/16.
Type of Report Decision.
Recommendation(s): That the Board notes the contents of the report and approves Health& Safety performance, activity and initiatives.
Financial Implications Non-compliance of health and safety legislation and best practice can lead to unlimited fines. Poor health and safety practice can lead to accidents resulting in absence and loss of productivity. Any recommendations described within the report will be undertaken within existing dedicated budget provision.
Risk Implications Risk Risk Description. Number
19 Failure to ensure safety of customers through life critical services, such as non-renewal of Landlord Gas Safety Records, non-compliance with The Regulatory Reform (Fire Safety) Order 2005 and failure to manage legionella.
This risk is mitigated by action plans which have a range of specific actions and timescales which is monitored by the Director of Technical & Commercial Services.
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20 Failure to ensure the health and safety of employees.
Accident, incident and near miss reporting system in place. Health and Safety Team in place. Health and Safety training and awareness raising undertaken. Training for managers, particularly around accident investigation (as appropriate). Risk assessments are undertaken for new business areas.
This risk is mitigated by on-going monitoring and the adoption of new initiatives planned for 2015/16.
Safeguarding There are no Safeguarding implications arising from the Implications recommendations of this report.
Equality & Diversity Reviewing health and safety performance on an annual basis Implications ensures any areas of concern regarding equality and diversity issues are identified and addressed.
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed? No
Environmental/ A positive Health and Safety culture aids and supports Sustainability environmental/sustainability best practice. This is Implications demonstrated within our health and safety systems by advice given on The Control of Substances Hazardous to Health, Asbestos Management, Management of Legionella and Gas Safety
Customer Impact Health and Safety practice impacts on all service users and is essential in the development of a quality, responsive and safe service.
Content of Report Sandra Coleing signed-off by Director 28/07/2015
Contact Officer Neil Smith
Contact Details 01614742872 / 07866999920
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1 EXECUTIVE SUMMARY
1.1 This report covers the activity and outcomes of Health and Safety (H&S) during 2014/15 and provides an overview of future actions for 2015/16.
1.2 The Board can be reassured that, based on H&S performance during 2014/15 and the proactive approach to H&S management, Stockport Homes are complying with legislation and following best practice to deliver a safe and healthy environment for all.
1.3 The H&S Teams core purpose is to “ensure a safe and healthy working environment” which links directly to the wider People and Organisational Development Strategy “Creating People Success”.
1.4 Key outcomes delivered during 2014/15 include:
• A reduction in accidents, the most significant being a 17% reduction in the Neighbourhoods and Support Directorate. • A 65% increase in near miss reporting, which is a positive as there was an assumption that under- reporting was an issue. • An increase in audits/inspections from 302 to 987. • A review of safety within the reception area at St Peters Square, which included benchmarking and improved safety measures being introduced. • A comprehensive review of working at height equipment and the introduction of a working at height solution for both flat and pitched roofs; TETRA1. • A comprehensive review of all Repair 1st and Caretaking Services risk assessments.
1.5 Future Health and Safety actions include:
• Continue to provide support and build skills and confidence in managers, to help them proactively manage H&S within their service area. • In preparation for the move to the new HQ and the transition of employees moving from one location to another, further work will be undertaken looking at H&S risks, particularly in the reception area and within frontline services. • Continue to promote the benefits of near miss reporting. • Continue to work with managers to ensure there is a proactive approach to audits and inspections and that areas for improvement are addressed. • More involvement by the H&S Manager in the selection of suitable Contractors, to ensure competency. • Expand benchmarking tot other sectors and organisations where the sharing of experience and knowledge may be beneficial. • To review the Lone Working Policy and working arrangements, to ensure the range of lone working provisions in place meet Stockport Homes’ legal obligations. • Continue to work proactively with contractors to encourage them to adopt TETRA.
1 TETRA is a work at height solution that ensures the users maintains 3 points of contact at all times whilst working at height and the only solution endorsed by the HSE
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• Continue to work with managers to embed H&S into team meetings, tool box talks and individual values charter conversations • Conduct further comprehensive reviews of risk assessments, with priority given to highest areas of risk. A rolling action plan will be compiled to ensure all areas are reviewed within specified time limits. • Work closely with the HR System project group to input to the specification and process mapping, tender exercise and implementation of a new system by April 2016. • To work with managers and employees to develop a strategy that promotes safe behaviour as part of the overall H&S management system within Stockport Homes.
2 HEALTH AND SAFETY PERFORMANCE
2.1 Stockport Homes demonstrates commitment to H&S and provides a pro-active support service by acting upon statistics and trends captured through accident, incident and near-miss reporting. This information is an essential tool for business partnering and provides assurance to the Board through monthly updates.
2.2 Technical and Commercial Services is one of the highest potential areas of risk for H&S within the business and as such takes priority for pro-active intervention to ensure regulatory compliance and the adoption of best practice.
2.3 Accidents
2.3.1 The year-end accident figures for 2014/15 shows that there were 23 accidents (including RIDDOR) in total compared with 25 in 2013/14 (Appendix 1). There has been a 7.6% increase in the average number of employees, from 499 to 537 and an 8% reduction in accidents overall.
2.3.2 This reduction in accidents can be seen across most directorates (excluding Finance where there have been no accidents reported in the current and previous years) (Appendix 2 & 2a). The most significant reduction in accidents has been within Neighbourhoods & Support who have seen a 17% reduction. An analysis of accident data has been completed to identify any trends; the results do not show any specific areas for concern.
2.3.3 There have been two reported RIDDOR2 for 2014/15, both with within Carecall & Concierge team. Whilst the level of reporting remains low, this is the first year since 2011 where there has been an increase in reporting. Both RIDDOR reports were necessary as the employees were absent from work for more than seven days.
2.3.4 All accidents are reviewed by the H&S Team, an investigation completed and support provided for managers to identify any areas for improvement and to enable recommendations to be implemented.
2 The Reporting of Injuries Diseases and Dangerous Occurrences Regulations (RIDDOR). Criteria for reporting to the enforcing authority (Health and Safety Executive (HSE)) cases of death, major injuries, over 7 day injuries and certain occupational diseases.
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2.3.5 During 2015/16 the H&S Team will continue to provide support and build skills and confidence in managers, to help them proactively manage H&S within their service area.
2.4 Incidents
2.4.1 The year- end incident figure for 2014/15 shows that there were 84 incidents in total compared with 47 in 2013/14 (Appendix1). This is a 79% increase. The majority of incidents reported can be attributed to verbal abuse; this is an on-going issue however there are robust processes, systems and interventions already in place to help reduce the risk to employees
2.4.2 This increase in verbal abuse is predominantly within St Peters reception, Temporary Accommodation and in the East Area Office. In order to address this increase the H&S Team have undertaken benchmarking with similar organisations to see if any learning can be obtained to help reduce the number of incidents and support managers in reviewing their security provisions.
2.4.3 In addition new procedures have been introduced to help safeguard employees which include an Escalation Guide for employees to provide further assurance of what support is available and what action will be taken to deal with difficult and challenging customers. Management also have liaison meetings with the security provider to deal pro-actively with any performance issues and key contacts have been established with the Police to help develop closer working relationships.
2.4.4 During 2015/16, in preparation for the move to the new HQ, further work will be undertaken looking at H&S risks in the reception area and within frontline services to ensure preventative measures are designed into the new environment and to help minimise the number of incidents...
2.5 Near Misses
2.5.1 The year–end near miss figure for 2014/15 shows that there were 17 near misses in total compared with six in 2013/14 (Appendix 1). This is a 183% increase, which are predominantly low level and not an indication that serious issues are not being reported.
2.5.2 This has been a priority area during 2014/15, to raise awareness and simplify the reporting process, which appears to have had a positive impact on the level of reporting
2.5.3 Near miss reports are reviewed by the H&S Team and support is provided to managers to address any issues identified to eliminate or reduce risk to employees. During 2015/16 the H&S Team will continue to promote the benefits of near miss reporting.
2.6 Audits/Inspections/Contractor Control
2.6.1 The H&S Team have worked in partnership with all directorates to increase the number of inspection and audits to ensure compliance and to identify any areas for improvement. During 2014/15 a total of 987 physical audits and inspections were completed, compared with 302 for 2013/14 (Appendix 3). Of the 987 audits,
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447 (45%) were completed on sites where Contractors operate on behalf of Stockport Homes. This is a significant increase in audits and inspections, which demonstrates managers’ commitment to H&S and gives reassurance that regular checks are being made and any issues addressed.
2.6.2 The H&S Manager monitors outcomes of inspections and audits and disseminates this information to Stockport Homes Management Team on a monthly basis and to the H&S Committee on a quarterly basis.
2.6.3 During 2015/16 the H&S Team will continue to work with managers to ensure there is a proactive approach to audits and inspections and those areas for improvement are addressed.
2.7 Benchmarking
2.7.1 The H&S Team continues to build relationships with other housing providers to benchmark best practice, share experience and discuss health and safety developments within the sector. This has provided valuable information to support improvement made to security provisions within the main reception area.
2.7.2 Stockport Homes have hosted an event in 2014/15 to build on these relationships and discuss ways of sharing data in order to benchmark H&S performance within the sector.
2.7.3 During 2015/16 the H&S Team will look to expand benchmarking with other sectors and organisations where the sharing of experience and knowledge may be beneficial.
2.8 Lone Working
2.8.1 During 2015/16, in preparation for the move to the HQ in 2017, which brings with it an expectation that flexible and agile working will increase, a review of lone working and an extensive trial of lone working solutions has been completed. A report outlining the findings has been compiled, which will discussed with those service areas that it will have an impact on; the final report will be presented to Leadership Forum for endorsement,
2.9 Working at Height
2.9.1 A complete review of work at height equipment has taken place to ensure compliance with the necessary health and safety regulations. As a result a new working at height solution for both flat and pitched roofs called TETRA has been introduced. 12 kits have been purchased and 18 members of staff have been trained in its use. Generic work at height risk assessments have been reviewed and necessary changes made; work method statements have also been created.
2.9.2 To support this change a centralised work at height equipment register that covers ladders, TETRA equipment and other work at height equipment (podiums, hop ups, etc.) has been created, together with a work at height equipment inspection procedure to provide guidance for managers.
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2.9.3 Inspection training has been undertaken by four members of staff and a revised inspection regime, in line with industry standards and HSE3 approved codes has been agreed and put into place for fall protection equipment (harnesses and tetra kits).
2.9.4 During 2015/16, the next phase of the project is to work proactively with contractors to encourage them to adopt TETRA; early indications are that Contractors are prepared to do this, which is a positive result.
2.10 Health and Safety Committee
2.10.1 Stockport Homes continue to work pro-actively with the trade unions to maintain a safe and healthy working environment for all employees. This forum is used to exchange information and consult on issues, when required.
2.10.2 The Committee consists of management representatives from across all directorates and is chaired by the Director of Corporate Services. Trade union representatives from Stockport Homes are supported by branch officials, as appropriate. Standard agenda items include analysis and feedback on accidents, incidents and near misses, individual directorate updates and policy and document reviews (as required).
2.10.3 During 2014/15 the Committee has reviewed: • Abusive Customer Procedure • Fire Safety • Near Miss Reporting • Reception Security • Working at Height
2.10.4 During 2015/16 the Committee will focus on: • Embedding H&S into team meetings, tool box talks and individual values charter conversations • Lone Working • Stress Management • Behavioural Safety • Transition of employees moving from one location to another
2.11 Risk Assessment
2.11.1 Risk assessments and safe systems of work are key pieces of evidence to demonstrate H&S compliance and as such need to be reviewed on an on-going basis and any necessary changes made.
2.11.2 In 2014/15 a comprehensive review of all Repair 1st and Caretaking Services risk assessments has been completed, to ensure they accurately reflect works carried out and are compliant with all health and safety regulations and approved codes of practice.
3 Health and Safety Executive
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2.11.3 There has also been a comprehensive review of the biomass boiler fuel stores risk assessments in relation to rescue plans and confined space work.
2.11.4 During 2015/16 further reviews will take place, with priority given to highest areas of risk. A rolling action plan will be compiled to ensure all areas are reviewed within specified time limits.
2.12 Fire Safety (FRAS)4
2.12.1 Type four fire risk assessments5 have now been complete to all high rise buildings and sheltered schemes. In addition, medium rise buildings have been assessed, where it was deemed necessary by external fire risk assessors.
2.12.3 A programme of works to address issues highlighted within the type four reports is now in place, based on priority, which is being delivered by Jackson & Jackson and B4Box, on behalf of Stockport Homes. It is anticipated that all work will be completed by summer 2016, providing there are no delays due to access issues.
2.13 Health and Safety Management System
2.13.1 In order to move to electronic reporting and completion of risk assessments, H&S requirements have been factored into the specification for a new HR system. An initial assessment of the leading systems on the market suggests that it will be possible to provide improved online H&S support for managers and more sophisticated reporting.
2.13.2 The next phase of this project is to complete a detailed system specification and process mapping, tender exercise and implement a new system. The H&S Team will work closely with the project group to input to this process; the aim is to have a new system in place by April 2016.
3 FACILITIES MANAGEMENT - H&S PERFORMANCE
3.1 The Facilities Management Team ensures Stockport Homes is compliant and reports activity in relation to gas safety, legionella, asbestos, Carbon Monoxide (CO) detection and pressurised water supply. The following is a summary of activity for 2014/15 and planned actions for 2015/16:
3.1.1 Gas Safety
In 2014/15 Stockport Homes achieved 100% compliance by completing 8815 domestic and 28 commercial annual gas safety checks. A plan is in place for gas safety checks to continue in 2015/16.
3.1.2 Legionella
4 Fire Risk Assessment 5 A comprehensive fire risk assessment that goes beyond the requirements of the Fire Safety Order 2005. This is an intrusive inspection of both the common areas and dwellings to look for hidden voids within the structure of the building, which is carried out on a sampling basis.
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The corporate performance indicator for Legionella requires that Stockport Homes report on the amount of water risk assessments carried out. During 2014/15 Stockport Homes achieved 100% compliance by completing 73 water risk assessments. A plan is in place for water risk assessments to continue in 2015/16.
3.1.3 Asbestos
When a property becomes empty if it does not already have an asbestos survey on record then a survey is carried out. Any damaged asbestos or asbestos that may present a danger to Stockport Homes’ tenants is removed whilst the property is empty. A rolling12 month plan is in place to review asbestos surveys for communal areas and tower blocks
3.1.4 Carbon Monoxide (CO) detection
CO detectors are checked at every annual gas safety check and replaced if not working or due to expire in the next 12 months. If a gas property is identified as not having a CO detector then a full hard wired system will be installed. This work will continue in 2015/16 as part of the gas safety checks.
3.1.5 Pressurised Water Supply
During 2014/15 four high rise tower blocks have been identified for conversion to main pressure. This removes the risk of legionella, saves money on maintenance and also gives customers an improved quality of water supply. These are: Millbrook Towers, Ratcliffe Towers, Lincoln Towers and Mottram Towers. This work will be completed in 2015/16.
4 CONCLUSION
4.1 Over the last 12 months a number of significant outcomes have been achieved that provide reassurance to the Board that Stockport Homes are complying with legislation and following best practice to deliver a safe and healthy environment for all. 5 RECOMMENDATIONS That the Board notes the contents of the report and approves Health& Safety performance, activity and initiatives.
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Health and Safety Annual Report
Item 07a appendix one Item 07a Appendix 1
2014/15 2013/14 Accidents 21 24 Incidents 84 47 Near Miss 17 6 RIDDOR 2 1 Total 124 78
Item 07a appendix one Item 07a Appendix 2 - 2014/15 by Directorate
50 48 45 40 35 30 27 N&S 25 T&CS 20 CS 15 10 F 10 8 7 5 2 5 2 5 3 2 0 Accidents RIDDOR Incidents Near Miss
Item 07a appendix one Item 07a Appendix 2a -2013/14 by Directorate
50 45 40 34 35 30 N&S 25 T&CS 20 CS 12 15 F 10 7 10 2 3 2 5 5 1 1 0 Accidents RIDDOR Incidents Near Miss
Item 07a appendix one Item 07a Appendix 3 - H&S Audits & Actions
Technical & Neighbourhoods & Corporate Audits Commercial Finance Support Services Services
2013/2014 62 13 227 0
2014/2015 502 38 447 0
Technical & Neighbourhoods & Corporate Actions Commercial Finance Support Services Services
2013/2014 72 9 64 0 2014/2015 281 79 30 0
Item 07a appendix one Item 08
Report to: STOCKPORT HOMES MANAGEMENT TEAM
Date of Meeting: 07 September 2015 Board
18 August 2015 Leadership Forum
Title of Report: EQUALITY AND DIVERSITY ANNUAL REPORT 2014-2015
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non-Confidential
Purpose of Report: i) To provide an update on the progress of delivering equality and diversity for customers, employees and stakeholders.
ii) To demonstrate Stockport Homes’ commitment to equality and diversity and ensure the organisation meets legal obligations under the Public Sector Equality Duty component of the Equality Act 2010.
Type of Report Decision
Recommendation(s): i)That Board note and comment on the progress made to date; and
ii) Approve the decision to strive to meet the ten challenges within the CIH Presidential Commission on Housing (appendix one).
Financial Implications of None. the recommendations
Value for Money None. Implications of the recommendations
Risk Implications of the Risk Risk Description recommendations Number
1 Not meet the Public Sector Equality Duty obligations incorporated within the Equality Act
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2010
Having an E&D Strategy and publishing this report helps mitigate against this risk by, for example, demonstrating a due regard for equality and advancing equality of opportunity for those within ‘protected characteristic’ groups.
2 Failure to deliver an effective E&D strategy has the potential to leave organisations more open to challenges of discrimination around service delivery and so reputational damage.
Embedding E&D across the organisation, having a high level strategic lead and group with oversight helps to ensure the strategy is fit for purpose and delivered.
Safeguarding None. Implications of the recommendations
Equality & Diversity This report updates the Board on the work done on Equality Implications of the and Diversity and the key challenges in the future. recommendations
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed?
Environmental/ None. Sustainability Implications
Customer Impact Stockport Homes’ equality and diversity work is important in ensuring that all customers can access services, are treated fairly and that projects that Stockport Homes undertakes support disadvantaged groups.
Content of Report Sandra Coleing signed-off by Director 27/07/2015
Contact Officer Martin Saunders
Contact Details 0161 474 2202
Item 08 EQUALITY AND DIVERSITY ANNUAL REPORT Item 08
Author (if different) Phil Rhodes
Contact Details 0161 474 2860
Item 08 EQUALITY AND DIVERSITY ANNUAL REPORT Item 08
1 INTRODUCTION
1.1 The Equality and Diversity Annual Report gives details of key activities undertaken to provide an update of how Stockport Homes are progressing equality and diversity for customers, leaseholders, employees and stakeholders. This report contributes to Stockport Homes’ compliance with the Public Sector Equality Duty component of the 2010 Equality Act. 1.2 This report covers Stockport Homes’ gaining of the Diversity Network Accreditation, progress against the Equality and Diversity Strategy 2014- 17, and challenges for the year ahead. As such, it provides assurance to the Board that sufficient priority is given to equality and diversity and to adhering to the letter and spirit of relevant legislation. 2 DIVERSTY NETWORK ACCREDITATION 2.1 In March 2015 Stockport Homes were awarded the Housing Diversity Network’s Diversity Network Accreditation with three distinctions (detailed below). This assessment took place during February and March 2015 and included; a comprehensive document review, a policy and practice review and an onsite visit to Stockport Homes’ offices on the 25th February 2015. 2.2 The assessor found that Stockport Homes have a clear commitment to equality and diversity throughout their business documentation and have a clear set of objectives underpinned by an extensive action plan. The assessor commented: “However, it is clear in working with staff throughout the organisation that the equality and inclusion work goes much deeper than the paper policy. Many activities and strategies being delivered are not reflected in the ‘Equality Plan’ they are simply the way Stockport Homes is going about its business. The evidence demonstrated how equality can be ‘wired’ into the DNA of an organisation”. 2.3 Distinctions were awarded to Stockport Homes for: • The level of leadership across the organisation on equality issues. This high level of support and leadership has allowed the organisation to develop sophisticated and outcome focused equality actions. • Progress on mainstreaming the Equality Impact Assessment process across the organisation leading to the identification of meaningful actions to advance equality. • The use of data demonstrating its use whilst considering equality to identify and implement innovative and distinctive projects closing real inequality gaps for customers.
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2.4 The assessment report included an action plan to deliver further improvements and these actions have been included within the overall Equality and Diversity action plan. 3 EQUALITY AND DIVERSITY STRATEGY UPDATE 3.1 In September 2014 the Board approved the new Equality and Diversity Strategy 2014-17. Of 18 action points in the strategy 12 have activities on- going or completed and the remaining six are scheduled to begin within appropriate timescales. The strategy included six key objectives and an update on actions on each over the past 12 months is provided below. 1. Develop and use information so that Stockport Homes knows its customers and staff. • Implemented programme to encourage staff to declare personal information which has increased completed declarations across all diversity themes.1 • Used staff information within the Workforce Profile report to identify actions to investigate underrepresentation issues amongst disabled and minority ethnic employees and applicants. • Analysed customer information to target winter welfare visits, identified areas of low digital inclusion, understood the pattern of lettings to BME applicants, and to support the development of Neighbourhood Plans. • Analysis of STAR customer survey data by diversity strand which showed no lower pattern of satisfaction amongst any ‘protected characteristic’ group.2 2. Mainstream Equality and Diversity into the work that Stockport Homes does. • Developed a logo to brand all Equality and Diversity work to increase its profile across the organisation. • Produced a staff Guide to Diversity to support staff in a variety of situations that may encounter. • The Customer Finance team have successfully challenged a number of Spare Room Subsidy (‘bedroom tax’) decisions affecting customers with a disability. • Key projects from the Service Improvement Plan were analysed from an Equality and Diversity perspective. • Undertook an analysis of Hate Crime to understand the patterns and any work to improve the response.
1 Collection rates are age 100%, gender 100%, ethnicity 93%, disability 92%, religion 86%, sexuality 85%. 2 STAR (Survey of Tenant and Residents) is the recognised way of measuring satisfaction levels within social housing and is overseen by Housemark.
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3. Use Equality Impact Assessments to avoid any discrimination and encourage equality for all customer groups and particularly those in protected characteristic groups. • New approach to Equality Impact Assessments developed which was recognised as good practice by Housing Diversity Network. • Seven Equality Impact Assessments undertaken on services including Older Persons Strategy, Carecall and the Capital Programme. 4. Develop appropriate structures to support Equality and Diversity work so that Stockport Homes achieves the outcomes desired • Established the Equality And Diversity Steering group which comprises the Corporate Services Director, Head of Customer Access, Head of People and Organisational Development, Social Inclusion Manager and Social Inclusion Officer • Established Staff Diversity Group. 5. Deliver projects to support groups in need and improve the lives of those who are excluded • Implemented a partnership with Remploy that has supported 19 people with a disability into work over 12 months.3 • Increased activities from sheltered schemes for over 55s. • B4box has recruited young local people without formal qualifications, who had been on benefits and who were at a distance from working and completing training with them. 6. Develop HR policies and practices that support and develop all staff • Some new HR policies reviewed from an equality and diversity perspective. • Developed a suite of six Equality and Diversity training courses for staff including Disability awareness, cultural awareness and Hate Crime training. • Embedded equality as a key theme into the new Values Charter approach to staff development. • Stockport Homes have been central in the establishment of Houseproud a network of LGBT4 employees amongst housing organisations across the North West to ensure and promote a safe workplace for staff and the provision of excellent services to LGBT customers.
3 Stockport Homes funded a dedicated Remploy worker to support disabled customers in accessing the jobs market. 4 Lesbian, gay, bisexual and transgender
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4 CHALLENGES FOR THE YEAR AHEAD 4.1 The on-going implementation of Welfare Reform changes and introduction of new measures from the current government will potentially negatively impact Stockport Homes’ customers. In particular, this is the prospect that some groups will be disproportionately affected, including; people with a disability, minority ethnic families5, people who are under 21 year old, and some families with children. Stockport Homes will review and develop appropriate financial inclusion support for customers where feasible. These issues will be scoped into appropriate action plans, such as around welfare reform. 4.2 The work on Equality and Diversity to date has provided a good basis to develop further. The key challenge will be to further embed this work across the organisation, to raise the profile of Equality and Diversity further and to be able to demonstrate the positive impact this work is having for customers. 4.3 There are a number of HR policies (such as around sickness or flexible working) being implemented over the next 12 months and it will be important to complete an Equality Impact Assessment for each to make sure the impact on all staff groups is understood. The high collection rates of diversity information held on staff will assist this work greatly. 4.4 Stonewall are the foremost group in the country supporting organisations to be excellent employers for LGBT staff. An assessment will be undertaken against the Stonewall Accreditation standard with the aim of developing an action to work towards future recognition. 4.5 The Chartered Institute of Housing has undertaken a 12 month commission reviewing the housing sector’s role in diversity. Following this the commission has issued ‘Leading Diversity by 2020’ made up of 10 challenges to housing leaders. These are currently being assessed and it is envisaged that Stockport Homes will adopt the principles raised and incorporate this into future work. The Board is requested to approve this. Please see the report attached at appendix one. 4.6 Over the next 12 months a calendar of diversity days/events will be developed aimed at increasing staff awareness of diversity issues and seeking to engage a range of partners to share their expertise. 5 CONCLUSIONS Stockport Homes have made excellent progress in the last 12 months in being awarded the Diversity Network Accreditation and implementing the new Equality and Diversity Strategy. The work over the past 12 months has improved the foundation for equality and diversity work and the
5 Runnymede report of effects of budget on BME people
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challenge over the coming year will be to embed this further and more widely within the organisation and ensure it is supporting key groups. 6 RECOMMENDATIONS 6.1 The Board is requested to
i) note and make comments on the contents of the report and the progress made to date; and ii)approve the decision to strive to meet the ten challenges within the CIH Presidential Commission on Housing (appendix one).
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Report to: BOARD
Date of Meeting: 18 August 2015 Leadership Forum
07 September 2015 Board
Title of Report: ANNUAL REPORT
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: To provide Board with the Annual Report to customers for their approval.
Type of Report Decision
Recommendation(s): It is recommended that Board:
i. Approves the Annual Report to customers (appendix one).
Financial Implications of Printing costs of £2,107 have already been included in budget the recommendations provision. With mail out costs, the total will be an estimated £3,320. This is also included in budget provision.
Value for Money The Annual Report communicates Stockport Homes’ Implications of the approach to achieving Value for Money. recommendations
Risk Implications of the Risk Risk Description recommendations Number
None
Safeguarding There are no direct safeguarding implications. Implications of the recommendations
Equality & Diversity The report follows good practice guidelines around Implications of the accessibility of language and is complemented by an on-line slideshow with a voiceover for those with sight or reading
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recommendations limitations.
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed?
Environmental/ There are no direct environmental / sustainability implications. Sustainability Implications
Customer Impact The recommendation in the report will result in customers receiving an Annual Report in September 2015. This will improve their understanding of the services delivered by Stockport Homes and the outcomes that have been achieved.
Content of Report Sandra Coleing signed-off by Director 11/06/2015
Contact Officer John Bowden
Contact Details Tel: 0161 218 1579
Email: [email protected]
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1 INTRODUCTION 1.1 The Annual Report allows the good work that has been done by Stockport Homes to be communicated to customers and stakeholders. It incorporates examples of service delivery achievements as well as providing details on more overarching themes such as value for money. 1.2 The Annual Report to customers is a key document for Stockport Homes. It is central to a range of written communications which include global and more targeted newsletters and promotional information for events. The increased use of social media and the Stockport Homes website as a platform for sharing news and information in recent years has not reduced the importance of the Annual Report as the principal tool for communicating key achievements for most customers but has strengthened its role. In addition to a hard copy of the report being posted to every customer household, its contents will be displayed in the form of a slideshow on the Stockport Homes website and key achievements will also be transmitted in an easily digestible form via Facebook and Twitter over a period of weeks to help maximise their impact. 2 CONTENT 2.1 A ’10 year birthday’ theme has been chosen for the Annual Report to tie in with the ten year anniversary of Stockport Homes being created. This has allowed fun design elements to be incorporated throughout to engage the reader. 2.2 The report is structured to link key company achievements over the year with the aims of the organisation. There is a particular focus on the largest and most important achievements across the company, to make sure the key corporate achievements stand out above routine work. In addition, a double page spread draws attention to key achievements over Stockport Homes’ ten year history. 2.3 This annual report provides qualitative information in the form of case studies and interviews to link the achievements of Stockport Homes to the work carried out by individual staff and to the transformative impact this has had on the individual lives of customers. 2.4 Alongside information showing how Stockport Homes is achieving value for money, the Annual Report addresses commercial work and diversification, reflecting how these areas of work are becoming more important for the company over time. 3 INFORMATION ON VALUE FOR MONEY 3.1 The sector regulator, the Homes and Communities Agency (HCA), issued a new regulatory framework in April 2012. A requirement of the new framework is to produce a Value for Money (VfM) statement for customers. Although this element of the regulatory framework does not apply to the properties managed by Stockport Homes1, it has adopted the principle of including a VfM section in the Annual Report as good practice.
1 It only applies to ‘registered providers’. Stockport Homes is a ‘registered provider’ for the 154 units of stock that it owns and not the properties managed on behalf of Stockport Council
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3.2 Stockport Homes has taken a flexible and proportionate approach to the HCA guidance, allowing its commitment to value for money to be demonstrated in a customer-focused way. 4 CONSULTATION 4.1 A key principle of the Annual Report is that it should be accessible to customers. The Customer HUB2 has been consulted about the design theme of the printed document and the key information to be displayed in the on-line slideshow. Feedback from the consultation was that customers liked the ‘birthday’ theme of the design when compared to other options presented to them. Customers also chose a key achievement relating to each aim for the slide show. 5 CONCLUSIONS 5.1 The Annual Report sets out how 2014/15 was another good year for Stockport Homes, with positive service outcomes, value for money and the real impact on customer lives highlighted. The Annual Report has been designed to reflect feedback from customers. 6 RECOMMENDATIONS 6.1 It is recommended that the Board: • Approves the Annual Report to customers.
2 The Customer HUB looks at customer access to services, ways to involve customers, customer finance and social inclusion issues. On average, 20-30 customers attend Customer HUBs.
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Report to: BOARD
Date of Meeting: 07 September 2015 Board
18 August 2015 Leadership Forum
Title of Report: GOVERNANCE ARRANGEMENTS
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: To explain changes to governance-related processes and documents and request approval for these.
Type of Report Decision It is recommended that the Board approves: Recommendation(s): • The Scheme of Delegation; • The sub-groups’ Terms of Reference.
Financial Implications of There are no financial implications. the recommendations
Value for Money Changes will made within existing resources. Implications of the recommendations
Risk Implications of the Risk Risk Description recommendations Number
21 The Board and Customer Scrutiny Panel are ineffective and members’ skills are not sufficient to properly govern the diversifying nature of the organisation's activities.
Changes to governance processes and documentation are designed to mitigate this risk.
Safeguarding There are no safeguarding implications. Implications of the
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recommendations
Equality & Diversity Membership of the Customer Monitoring Group will be Implications of the diversified. recommendations
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed?
Environmental/ There are no environmental or sustainability implications. Sustainability Implications
Customer Impact All customers benefit from good governance. The changes described will ensure that the Board continues to operate in a transparent way and can concentrate on the strategic development of the company.
Content of Report Sandra Coleing signed-off by Director 18/08/2015
Contact Officer Jeremy Beatty
Contact Details 0161 474 2850
Item 10 GOVERNANCE ARRANGEMENTS Item 10
1 INTRODUCTION
1.1 Governance arrangements facilitate effective decision-making by the Board. Updates to governance processes and related documents have been dovetailed with the changes to the Articles and Management Agreement. The changes demonstrate a commitment to comply with the Homes and Communities Agency (HCA) requirement that governance should be strategic and risk-based.
1.2 This report asks the Board to approve the new processes and documentation. Full documents, showing tracked changes where applicable, have been uploaded to Dropbox.
2 SCHEME OF DELEGATION
2.1 The Scheme of Delegation lists the responsibilities of the Board. It includes:
• Board powers, including those matters which only the Board may decide and may not be delegated; • Sub-Group powers; and • Powers of the Chief Executive and Directors.
2.2 The Scheme of Delegation was last approved in May 2014. Amendments are proposed to:
• ensure consistency with the new Articles and the Management Agreement; • take account of updated provisions in the National Housing Federation’s Code of Governance i.e. the Chair of the Board may not chair a sub-group that deals with audit or remuneration issues and may not be a voting member of the sub-group which deals with audit; and • take account of the rationalised approach to approving strategies approved at the Service Excellence Sub-Group on 29 June 20151.
3 SUB GROUP TERMS OF REFERENCE
3.1 The Board has operated with two sub-groups since 2012 – Business Development and Service Excellence. Terms of Reference are normally updated annually but changes were held back in 2015 to allow for completion of the Articles and Management Agreement.
3.2 Principal changes are:
• The Chair of the Board may not be a voting member of the Business Development Sub-Group;
1 Key features include a two tier approach, with business critical strategies being approved by a Board body and lower level strategies being approved by managers and available to Board scrutiny in a regularly updated strategy and policy section in Dropbox
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• The minimum size of the sub-groups is reduced from five to four members, although it is suggested that a membership of five is maintained whenever possible; • Constituency-related restrictions have been removed because whether someone is a tenant, independent or stakeholder is not significant when acting as a Board member.
3.3 The selection of a new Chair of the Board may affect who can chair the sub- groups. Therefore changes to sub-group membership will be considered following the meeting on 7 September. Members will be consulted about proposals and the new membership recorded at the Board on 14 December.
4 REPORT STYLE AND CONTENT
4.1 Report templates and guidance for report authors has been updated. These will take account of new processes relating to the Management Agreement, the Board’s request for more streamlined reporting and the regulator’s expectation that Boards will be more strategic and risk focused in future. Where appropriate, reports will include references to Council Impact Assessments and any subsequently being presented to the Council’s Member Committee will first be referred to a Customer Monitoring Group (CMG) for comment. There will be increased use of Dropbox for background information which is not essential to decision making.
5 FUTURE CHANGES
5.1 Now the Articles and Management Agreement are in place other Governance- related documentation will be updated for the start of 2016/17 i.e.
• Board Member Handbook; • Code of Conduct; • Payment and expenses policies; and • Succession Plan.
6 CONCLUSIONS
6.1 The changes to governance-related processes and documentation complement the new Articles and Management Agreement. They will ensure the Board can continue to govern the company effectively.
7 RECOMMENDATIONS
7.1 It is recommended that the Board approves:
• The Scheme of Delegation; • The sub-groups’ Terms of Reference.
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Report to: BOARD
Date of Meeting: 07 September 2015 Board
Click here to enter a date. Choose the meeting.
Title of Report: REVIEW OF HR POLICIES
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: To provide an update for the Board on progress with the review of Core HR Policies and to consult on the proposed changes.
Type of Report Consultation
Recommendation(s): That the Board comment on and approve the proposed changes to HR Policies, subject to trade union consultation. It is recommended that if any minor changes are agreed with the trade unions that approval is delegated to the Chair and reported back to the next Board.
Financial Implications of None the recommendations
Value for Money The new policies aim to cut down the amount of time Implications of the managers spend dealing with people issues and provide them recommendations with the tools to be better people managers; this will free up time to concentrate on developing services and improving organisational performance.
Risk Implications of the Risk Risk Description Number recommendations
Risk# If Stockport Homes does not have robust HR policies and procedures, that reflect the culture and values of the organisation, there is a risk that poor performance may not be managed appropriately, which could impact on overall organisational performance.
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This risk will be mitigated by ensuring the new suite of policies is implemented with training for managers and with adequate support and advice provided through business partnering.
Risk# There is an increased risk of challenge from employees and of these resulting in Employment Tribunal cases where HR policies and procedures do not set out clearly the terms and conditions of employment and standards and expectations regarding the employment relationship.
This risk is mitigated by ensuring the suite of HR policies are legally compliant, embrace best practice and reflect the culture and values of Stockport Homes.
Safeguarding None Implications of the recommendations
Equality & Diversity All policies have been drafted by an HR Consultant who has Implications of the experience of equality and diversity issues and has recommendations embedded this into the general approach to this review. The EIA’s are currently being undertaken in preparation for the trade union consultation and any recommendations will be built into the policies.
Equality Impact Does an EIA need to be If so, has one been Assessment completed? Yes completed? No
Environmental/ None Sustainability Implications
Customer Impact HR policies that are legally compliant reflect best practice and embed Stockport Homes Mission, Vision and Values contribute to the organisations success and ensures that employees are delivering excellent services to the customer.
Content of Report Sandra Coleing signed-off by Director 07/08/2015
Contact Officer Diane Laming
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Contact Details 0161 218 1468
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1 INTRODUCTION 1.1 This report is a summary of the approach taken to the review of HR policies and the proposed changes. The full policy documents and cover sheets, which have been considered by Leadership Forum and approved by Stockport Homes Management Team, have been placed in Dropbox for Board members information. They complement this report, providing greater detail and guidance. 2 BACKGROUND 2.1 The key HR policies currently in place are those that transferred across to Stockport Homes under the TUPE1 transfer of staff in 2005 from Stockport Council. They have been rebranded with Stockport Homes’ logo; however the language used reflects the structures and processes of Stockport Council and does not reflect the culture and values of Stockport Homes. 2.2 HR policies and processes are one of the strategic themes within the People and Organisational Development Strategy. Policies and processes that are legally compliant, reflect best practice, provide guidance for managers and are aligned to the business requirements are key to the success of the Strategy. 2.3 This report outlines the journey taken to develop and implement a suite of policies that are fit for purpose, reflect the identity of Stockport Homes, are consistent with a progressive forward thinking organisation and which support the achievement of Stockport Homes Vision, Mission and Values. 2.4 It is important for Stockport Homes to embed values and reinforce its position as an “employer of choice” through the adoption of cutting edge employment practices, which are reflected in the HR policies. 2.5 In preparation for the move to the new HQ, these policies need to support new ways of working and enable managers to manage a flexible and agile workforce and become better people managers. 3 APPROACH TO THE REVIEW OF HR POLICIES 3.1 The approach taken includes a review of current arrangements, best practice, employment law and focus groups with employees and managers. 3.2 Consideration has been given to new ways of working and the expectation that there will be an increase in agile and flexible working as Stockport Homes prepares for the move to the new HQ. 3.3 A major observation when conducting this review was the overall lack of guidance for managers. There is insufficient written material, examples and templates to communication Stockport Homes’ standards and expectations; this has been addressed with the introduction of comprehensive guidance with all policies. 3.4 HR support, whilst available, was not included at all stages of formal processes within the policies, this has been addressed and included in the new policies to ensure fairness and consistency.
1 Transfer of Undertakings (Protection of Employment) Regulations 2006
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3.5 The key policies have been grouped into the following themes: • The Right Employees with the Right Skills o Recruitment and Selection • Enhancing Performance o Probation o Performance Management (including Capability) o Sickness and Attendance • Conflict Resolution o Discipline o Grievance o Whistleblowing • Values and Culture o Employee Code of Conduct • Restructure and Organisational Change 4 PROPOSED CHANGES TO HR POLICIES 4.1 Recruitment and Selection Most managers at one time or another will be involved in recruitment and selection. Having the right people in the right place, doing the right thing plays a significant part in the success of Stockport Homes. Conducted correctly, recruitment and selection should ensure that the new employee is: capable of doing the job; able to work within the culture of the organisation; and realistic in their expectations of the role and the organisation. The main changes to the policy are: • Safer recruitment practices have been included in the policy. • More information on equality and diversity in recruitment and selection and the responsibilities of individuals. • Discretion about where to advertise jobs to reach to right candidates; no longer limited to Your Council Jobs2. • More flexibility and discretion for managers when making recruitment decisions, within the overall framework of the policy. This includes being able to make a case to vary the general rule of advertising externally for all posts and advertising internally first, where there are exceptional circumstances.
2 Your Council Jobs is a portal for the 10 local authorities and associated employers, across Greater Manchester to advertise jobs.
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• Acceptance of Curriculum Vitae’s (CV’s) with covering statements showing how a candidate meets the person specification for a post. • More use of assessment centres as a selection tool. • Responsibility to Heads of Service to approve recruitment rather than going through the Director when a post is already established. 4.2 Probation The probationary period is the initial period of employment with the company, during which time the manager considers whether the employee is able to meet the standards and expectations of the job.
During the probationary period the manager will assess the employee’s ability to learn and perform the duties of the job, quality of work, productivity, attitude to work, co-operation, attendance, punctuality and other standards and expectations specific to the employee’s work situation.
The main changes to the policy are:
• An update of employment law included in the policy. • The introduction of three review meetings at one month, three months and five months and forms for recording outcomes; previously the policy did not stipulate the duration or timing of when a manager should meet with the employee. • The removal of ambiguity regarding which procedures do not apply during the probation period i.e. capability and attendance. • Clarity regarding continuity of service and employment rights.
4.3 Performance Management Managing performance is central to the relationship between managers and employees and it’s a key element of good communication that can foster the growth of trust and personal development.
Managing performance in a fair, transparent, measurable and efficient way is central to how well Stockport Homes employees will be ‘engaged’ in their work and how well they will perform.
The main changes to the policy are:
• Bring together formal and informal performance management under one policy, including timeframes and framework; previously there was no policy or procedure setting out performance management practices. • Use of appropriate language and clarity regarding roles and responsibilities; managers’ talk about performance management and performance improvement, not capability.
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• Clear links to Grow3. • Removal of a Personal Development Review and the introduction of Values Conversations.
4.4 Sickness and Attendance It is recognised that employees will, from time to time, be unable to attend work due to sickness. The Sickness and Attendance Policy has been designed to support the commitment of establishing a culture of high attendance, aimed at supporting employees get back to work as quickly as possible and be able to maintain regular and effective service. High levels of attendance are vital to achieving the effective and efficient provision of a high quality service for customers. Sickness absence is detrimental to this provision and can have a negative impact on morale and overall costs at Stockport Homes. When organisations are thinking about the area of sickness management it’s important to remember the real cost of absence, how things work when someone is away and the problems associated with; • finding and paying for, temporary replacement staff • missed deadlines due to a lack of trained, experienced employees • a drop in customer satisfaction levels • low morale among colleagues expected to take on extra responsibilities The main changes to the policy are: • Managing short term sickness o Reduced the trigger points to 6 days or 3 occasions, from 10 days and 5 occasions o Reduced the number of cautions to two from three o Re-offenders within 12 months start at Stage 2 not Stage 1 o Monitor over a 12 month, not six month period • Managing long term sickness o Reduced the trigger point to three weeks o Relaxed the compulsory OH attendance o Removal of timelines for review periods • Managing terminal illness
o To be managed sensitively, outside of the formal sickness and attendance policy 4.5 Discipline Handling employee discipline requires care, attention to detail and objectivity. Dealing with disciplinary issues can be time consuming and costly, in both financial and reputational terms if handled incorrectly or inconsistently.
3 An integrated approach to organisational development
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A disciplinary procedure is the means by which rules are observed and standards are maintained. The procedure should be used primarily to help and encourage employees to improve rather than just as a way of imposing punishment. The procedure should be fair, effective, and consistently applied.
The law on unfair dismissal requires employers to act ‘reasonably’ when dealing with disciplinary issues. What is classed as ‘reasonable behaviour’ will depend on the circumstances of each case, and is ultimately a matter for employment tribunals to decide.
The main changes to the policy are: • Removal of the right to be accompanied by a friend. • Clarity between performance and misconduct. • Removal of oral warnings from the formal procedure as this is an informal act by management to correct conduct/behaviour. • Reduction in the notice period for hearings (including appeals) to take place and for receipt of relevant information from ten to five working days. 4.6 Grievance Positive employee relations are a two-way relationship where both sides, employer and employee, must give a little and try to work together. Relationship building, developing trust and confidence, is key to successful employee relations and engagement. The grievance procedure of the organisation, and its application or lack of, can affect the harmonious work environment the company is striving to create; and the attitude on the part of management in their effort to understand the issues of employees and resolve these issues amicably will directly contribute to the culture and performance of the organisation as a whole.
The main changes to the policy are:
• Stronger emphasis on resolving grievance informally including between employee and manager. • A reduction in the number of formal stages from three to two. • The final stage of the grievance to be heard by senior management and not Stockport Homes Board • Removal of the right to be accompanied by a friend. • Reduction in the time an employee has to submit a grievance at the formal stage of the process from ten to five working days.
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4.7 Whistleblowing
Whistle-blowing is when a worker (an employee, an agency worker or consultant etc.) reports suspected wrongdoing at work. Officially this is called 'making a disclosure in the public interest'. A worker can report things that are not right, are illegal or if anyone at work is neglecting their duties, including putting the safety of others at risk. It is vital that management take a lead in promoting an open and accountable culture.
UK whistle-blowing legislation was introduced by the Public Interest Disclosure Act 1998, following various financial and rail disasters in the 1980’s and 1990’s.
It is good practice for all organisations to establish and promote an effective whistleblowing policy for reasons such as:
• Creating a workplace where employees understand their responsibilities and management can demonstrate their accountability
• Creating an open and honest culture
• Enabling corrective action to be taken
• Demonstrating to the outside world, for example customers and partners, that good practice is being followed.
As a public body with responsibilities for housing services where the client could be a vulnerable member of society there are separate legal requirements for Stockport Homes to have such a policy.
The main changes to the policy are:
• The removal of the requirement that disclosures must be made “in good faith”. The rational for this is that if the public interest is served by disclosure it doesn’t matter what the motivation of worker is in making it. So the worker may make the disclosure in malice or with the intention of personal gain but will be protected provided they are reasonably believed also in the public interest of the disclosure. • The inclusion that a protected disclosure is one made “in the public interest” this means any disclosure of information that, in the reasonable belief of the worker, is made in the public interest. • Clarity that complaints about breaches of employees’ own contracts of employment should be raised as a grievance and are generally not in the public interest. • Clarity that it is not acceptable for other employees to mistreat whistle- blowers. The whistle-blower is protected from suffering a detriment, bullying or harassment from another employee and the employer is
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vicariously liable for all their employee’s actions (previously employees who made protected disclosures were protected from adverse treatment only in relation to their employer’s activity). This brings the protection in line with discrimination protection under the Equality Act 2010.
4.8 Employee Code of Conduct The main purpose of an Employee Code of Conduct is to provide a clear framework within which employees of the company can maintain a work environment that has honesty, integrity and respect at the centre of everything it does.
Any code developed should clearly set out the company’s expectation and guiding principles for appropriate conduct, inside and outside of work. The code should also provide legal and ethical guidelines for relationships between employees, clients and contractors.
The Code of Conduct has been revised so it embodies best practice for a modern public sector organisation, who still has an arms-length relationship to the council it was originally a part of. The main changes are: • The inclusion of Bribery and Other Corrupt Behaviours. • The inclusion of a section outlining Stockport Homes’ expectation that employees always wear or carry their identity badges and dress at work to reflect the professional standards required. • The section covering “Other Work” has been revised so that it is less restrictive to more senior grades, yet maintains standards with regards to potential conflicts of interest. • Clarity regarding personal relationships with Stockport Homes’ tenants. • Amendment to the exceptions regarding the level of gift or hospitality it is appropriate to accept. 4.9 Restructure and Organisational Change Stockport Homes is engaged in an on-going, continuous process of seeking innovation and improvement to its services in a desire to remain one of the best housing providers in the country; and this will often result in the need for organisational change. Stockport Homes will ensure, as far as possible, security of employment for employees during periods of change. It is recognised that there may be changes in organisational requirements that cause a reduction in the number of jobs. It is Stockport Homes’ intention, in consultation with the Trade Unions, and so far as is reasonably practicable, to achieve these changes, if they occur, without the need for compulsory redundancies.
Item 11 REVIEW OF HR POLICIES Item 11
Where it is necessary that such redundancies should occur it will endeavour to handle them in a manner which is fair, consistent and empathetic, and which minimises any hardship to the individual employee(s) concerned. This policy is new and has been created to capture roles and responsibilities, legal obligations, statutory processes, how to manage minor and major change within the workplace, including consultation with Trade Unions on redundancy and restructures. 5 CONSULTATION 5.1 Extensive consultation has taken place, to gather the views and experience of both managers and employees, which has been considered when developing the new policies. 5.2 Some of the changes that have been made as a consequence of the consultation include: • Heads of Service to authorise recruitment for established posts. • Increased flexibility within the Recruitment and Selection Policy. • Acceptance of CV’s and covering statements when applying for posts. • Clarity regarding personal relationships with Stockport Homes’ tenants. • More emphasis on Stockport Homes’ culture and values. • Links to Grow have been emphasised in the Performance Management policy. • Not having to go back to the start of the Performance Management process where a stage two review has taken place and performance targets have been met and nine months later there are further performance issues. • Flexibility with extensions to probationary periods, so as not to tie the manager’s hands and allow for different periods of time to be agreed depending on the circumstances. • Clarity regarding continuous service and how this impacts on probationary service. 5.3 The next stage in this process is to consult with the Trade Unions and reach agreement. It is envisaged that this will take three months to complete and that any minor changes will be delegated to the Chair and reported back to the next Board. 6 CONCLUSION 6.1 A thorough review has taken place which has resulted in a suite of key HR policies being produced that are fit for purpose and which reflect the values and culture of Stockport Homes. 6.2 The policies are a key part of the People and Organisational Development Strategy and provide the tools to enable managers to become better people managers and improve organisational performance through people.
Item 11 REVIEW OF HR POLICIES Item 11
7 RECOMMENDATION(S) 7.1 That the Board comment on and approve the proposed changes to HR Policies, subject to trade union consultation. It is recommended that if any minor changes are agreed with the trade unions that approval is delegated to the Chair and reported back to the next Board.
Item 11 REVIEW OF HR POLICIES Item 12
Business0B Development Sub-Group Monday 27 July 2015 4.30pm Conference Room, 1 St Peter’s Square
PRESENT:
Sub-Group Members Officers • David Wright (Chair) • Carmel Chambers (Director of Finance • Alanna Vine and Lead Officer • Roger Phillips • Suzanne Frier (Head of Corporate • Christine Woolridge Finance) • Roland Dotchin • Samantha Donigan (Assurance Manager) • Karl Colyer (Head of Construction Services) Item 05 • Diane Laming (Head of Organisational Development) Item 6 • Martyn Shaw (Head of Neighbourhood Monitoring and Caretaking) Item 07 • Gary Burns (Carecall and Concierge Manager) Item 07 • Joe Keating (Environmental and Energy Manager) Item 08 • Jeremy Beatty (Governance Manager) • Kate Clinton (Governance Officer)- Minutes • Hamid Ghafoor (BDO External Auditors) Items 03-05
01 1BAPOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST It was noted that Roland Dotchin had joined the Sub-Group as a member for the meeting.
There were no declarations of interest.
02 MINUTES2B OF PREVIOUS MEETING / ACTION MONITOR The minutes of the previous meeting on 1st June 2015 were approved as an accurate record. The Sub-Group noted the progress with items in the Action Monitor.
03 3BAUDITED ACCOUNTS (DECISION) The Head of Corporate Finance introduced the audited accounts and read out the revised wording of the note about Going Concern which had been updated after the report had been distributed to take better account of the implications of the recent budget.
The External Auditor from BDO presented the audit feedback report and invited questions. The Chair of the Sub-Group asked for clarification around numbers of employees in the executive officers pay table. The Director of Finance Item 12 BDSG MINUTES 27 07 15 Item 12 confirmed the figures in the report and the discrepancy was due to one Director on maternity leave.
The Governance Manager explained that the accounts would be approved by the whole Board using a Written Resolution. Members who were not at the sub-group meeting had received the report and given their in principle approval in writing before the meeting.
The Sub-Group thanked the Corporate Finance Team for their work on the accounts throughout the year. RESOLVED: The Board (by written resolution);
i. Approved the Year End Report and Financial Statements
ii. Approved the Audit Feedback Report (Appendix two)
iii. Approved the letter of representation (Appendix Three); and
iv. Delegated authority to the Chair of the Board and the Chair of the Business Development Sub Group to sign the accounts and letter of representation on behalf of the Board.
04 4B
05 RECHARGEABLE5B REPAIRS UPDATE (INFORMATION) The Head of Construction Services introduced the report and explained that it provided an update on two previous reports that had been presented to the Sub-Group.
The Sub-Group discussed the merits of being involved in a best practice group.
Item 12 BDSG MINUTES 27 07 15 Item 12 A member of the Sub-Group asked for some more detail regarding the targeted repairs program. The Sub-Group discussed how customers were invoiced for completed works and asked if a detailed figure separating labour and materials costs would result in higher levels of repayment. The Head of Construction KCol Services agreed to look at this. RESOLVED: The Business Development Sub-Group;
i. Noted and commented on the contents of the report.
06 PEOPLE6B AND ORGANISATIONAL DEVELOPMENT ANNUAL REPORTS- EXECUTIVE SUMMARY (DECISION) The Head of People and Organisational Development presented the reports and highlighted that the new business partnering arrangement was working well in the organisation. Improved sickness and absence reporting has contributed to a slight increase on last year’s figures. Use of the original sickness target has been suspended and a comparison to the previous year is used to ensure performance is not deteriorating.
A Sub-Group member asked for more information about sickness and absence DL when the figures are reviewed. RESOLVED: The Business Development Sub-Group;
i. Discussed and commented on the outcomes achieved by the HR and OD Teams during 2014/15 and future direction for 2015/16.
07 CARECALL7B AND CONCIERGE RESTRUCTURE UPDATE AND BUSINESS PLAN (DECISION) The Carecall and Concierge Manager introduced the report and explained that the service would not be self-financing until 2018/19. Expansion of the service is initially being targeted at the Wigan area as it contains the highest proportion of older people in Greater Manchester.
The Sub-Group asked for an update on this service annually. It was suggested MS that the Sub-Group could be updated through the service charge review report and could ask for more information if necessary. RESOLVED: The Business Development Sub Group;
i. Noted the progress of the Carecall Business Plan 2013-2015; and ii. Approved the new Business Plan 2015-2017.
08 ENERGY8B MANAGEMENT FRAMEWORK- INENCO (DECISION) The Environmental and Energy Manager introduced the report and gave an overview of the framework.
A Sub-Group member asked if Inenco had other frameworks or if this would be the first of its type. The Environmental and Energy Manager explained that a framework is currently hosted with Procurement for Housing but this arrangement will expire shortly.
The Sub-Group clarified some of the details regarding Inenco’s contribution towards corporate social responsibility initiatives. The Chair sought assurance that the best financial deal had been sought. The Energy Manager clarified that the Director of Technical Services had done the negotiations and felt that
Item 12 BDSG MINUTES 27 07 15 Item 12 this was the best deal at the time.
The Governance Manager agreed to double-check the arrangements regarding JB who needed to approve the report. RESOLVED: The Business Development Sub- Group;
i. Approved Stockport Homes entering into a legal agreement with The Inenco Group based on Option B; and
ii. Approved Stockport Homes to become the branded ‘owner’ of the 4 year energy framework administered by The Inenco Group.
09 MANAGEMENT9B ACCOUNTS AND HRA ACCOUNTS (INFORMATION) The Head of Corporate Finance introduced the report. The sub-group SF commended the new high level format report and suggested the use of some graphs to explain the commentary.
A Sub-Group member questioned whether initial valuations had been too optimistic at the Fir Tree Scheme. The Head of Corporate Finance agreed to SF provide further information. RESOLVED: The Business Development Sub Group; i. Noted the 2015/16 Management Accounts Report for the quarter ending 30 June and the steps that have been taken to manage budgets effectively throughout the year.
10 20110B 4-2015 RESERVES POSITION (DECISON) The Head of Corporate Finance presented the report and explained that any further reserves would be put aside for the head office project. RESOLVED: The Business Development Sub Group; i. Noted and commented on the 2015/16 reserves position; and ii. Approved the suggested level of minimum reserves of £367,000 to be held for 2015/16.
11 CORPORATE11B RISK UPDATE (DECISION) The Assurance Manager introduced the Corporate Risk Update Report and stated that all risks were under control. She highlighted the fact that the situation is likely to change in the November update when the impacts of the budget had been assessed. RESOLVED: The Business Development Sub Group;
i. Approves the additions to the risk register ii. Notes the progress against delivery of risk control actions iii. Notes the emerging risk issues identified
13 BUSINESS12B DEVELOPMENT UPDATE (INFORMATION) The Business Development Update was presented to the Sub-Group. Sub- Group members were reminded this report contains brief articles about on- going work that may not warrant a full report. 14 FORWARD PLAN The Governance Manager introduced the Forward Plan and invited comments and queries.
Item 12 BDSG MINUTES 27 07 15 Item 12 The Sub-Group requested that the budget update report move from the November BDSG meeting to the September Board meeting due to its importance.
The Sub-Group and all the officers present extended their thanks to Roger Phillips and noted that it would be his last meeting. Author Kate Clinton Date 29/07/2015
Lead Officer sign off 30/07/2015 Chair sign off 25/08/2015
Item 12 BDSG MINUTES 27 07 15 Item 12
Service Excellence Sub-Group Monday 29 June 2015 5pm Conference Room, 1 St Peter’s Square
PRESENT:
Sub-Group Members Officers • John Bowker (Chair) • Jeremy Beatty (Governance Manager) • Paul Porgess • Gill Bennett (Head of Business Excellence) • Jo Hague • Tanya King for Item 4 • Roland Dotchin • Leanne Merga for Item 4 • Ian Mann (Capital Projects Manager) for Item 6 • Mike Coppock (Community Investment Manager) for Item 6 • Sam Hill (Customer Involvement Manager) for Item 5 • Kate Clinton (Governance Officer) – Minutes • Rob Lloyd (Performance and Improvement Manager) from Item 7 • Katalin Szavai (Performance and Improvement Officer) for Item 3 1 APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST David Beckett sent apologies. The Governance Officer explained that a member of the Customer Scrutiny Panel was going to attend to present Item Four but had to cancel at short notice.
There were no declarations of interest. 2a MINUTES OF LAST MEETING 30/03/15 AND ACTION MONITOR The minutes of the Sub-Group meeting on the 30 March 2015 were approved as an accurate record.
The Chair asked how actions to be completed in the future were tracked. The Governance Manager confirmed that actions were placed on the forward plan and followed up by the Governance Team. 3 STRATEGY POLICY AND PROCEEDURE REGISTER UPDATE The Performance and Improvement Officer introduced the report and proposed a new sign off process for strategies and policies. It was noted that the new sign off process would require final approval by the Board when the Scheme of Delegation is updated.
The Chair expressed the view that it would have been better to include Appendix One with the report rather than via Dropbox.
Page 1 of 4 Item 12 SESG 29 06 15 Item 12 RESOLVED: The Service Excellence Sub-Group;
i. Approved the judgements that have been made in regards to policy approval routes and raised any points of concern; and ii. Approved in principle the proposals for: • Signing off strategies and policies and the associated pilot; and • Creating a strategy and policy section in Dropbox from September 2015. 5 CUSTOMER AND COMMUNITY ENGAGEMENT IMPACT ASSESSMENT The Customer Involvement Manager introduced the impact assessment and explained that a review was completed annually to ensure that engagement activities are effective, with clear evidence of improved outcomes for customers. It was explained that, as a result of this year’s impact assessment, targeted communication work would be carried out to try and involve more ethnic minority customers.
A Sub-Group Member asked whether the organisation had considered looking at the social impact of engagement in monetary terms. The Head of Business Excellence confirmed that this is something Stockport Homes is currently trialling. It was acknowledged that this is a labour intensive process that may be best suited to individual projects rather than adopted across the board. RESOLVED: The Service Excellence Sub-Group:
i. Noted engagement activities delivered during 2014/15; and ii. Discussed and commented on the content of the impact assessment and the effects of activities on Stockport Homes’ services, customers and the wider community. 4 CUSTOMER SCRUTINY PANEL REPORT The Governance Officer introduced the Customer Scrutiny Panel’s latest report; a review of Financial Inclusion services. The findings of the panel were largely positive and the recommendations it made were related to how customers access the service.
The Social Inclusion Manager explained that Welfare Reform and the introduction of Universal Credit had been a priority for the service but that the report helped to highlight the need for better marketing to encourage self- referrals.
The Chair of the Sub-Group asked the Money Advice Team Leader if the number of people accessing the service was monitored. She confirmed that a database to monitor these figures is in place. RESOLVED: The Service Excellence Sub-Group;
i. Considered the content of the CSP’s review report; and
ii. Approved the associated Management Action Plan. 6 CAPITAL INVESTMENT OUTTURN REPORT The Capital Projects Manager summarised the key features of the report.
The Chair asked for clarification regarding the Energy Companies Obligation Page 2 of 4 Item 12 SESG 29 06 15 Item 12 (ECO) works underspend, which accounted for approximately fifty per cent of the total budget. It was explained that because of changes in Government Policy, the amount of funding British Gas was prepared to give in 2014/15 reduced significantly. The Chair asked whether this meant there was over- capacity in the Investment Team due to the work not being carried out. The Governance Manager agreed to get some clarification from the Head of JBl Investment on this issue.
The Chair noted that the report was lengthy, with Appendix One containing the key information. The Governance Manager confirmed that the format would be JB/JBl reviewed in future if the report is brought again.
The Sub-Group discussed the performance information appended to the report JBl and asked why the proposed ECO works had not been included. RESOLVED: The Service Excellence Sub-Group;
i. Noted and discussed the report. 8 CUSTOMER FEEDBACK REPORT The Performance and Improvement Manager introduced the report and explained some of the detail surrounding the new complaints process. He confirmed that some costing analysis of the new complaints process would be RL/ML carried out and brought back to the Sub-Group in a future report.
It was explained that interest raised by carrying out the STAR Survey, coupled with the introduction of an easier process, accounted for the rise in complaints.
There was a discussion about the new ‘fix in five’ process and the positive impact it has had on communication between staff and customers.
The Chair of the Sub-Group stated that the group was very supportive of the new process. RESOLVED: The Service Excellence Sub-Group:
i. Noted and commented on the contents of the report. 7 CUSTOMER EXPERIENCE AND SATISFACTION ANNUAL REPORT The Performance and Improvement Manager presented the report, stating that it covered three tenancy related surveys. He highlighted a reduction in the number of service standards and explained that this is expected to reduce further to around 55 once current reviews have been completed.
A Sub-Group Member highlighted the number of people who listed anti-social behaviour as a factor in their tenancy termination survey. The Performance and Improvement Manager explained that this was still a low figure as a percentage of all tenancy terminations.
A Sub-Group Member asked if more frequent property visits would help with tenancy management. The Area Manager stated that this is not always possible due to resources. The Head of Business Excellence explained that vulnerable tenants are in contact with a number of different Stockport Homes’ services so those posing the biggest risks do receive the most intensive
Page 3 of 4 Item 12 SESG 29 06 15 Item 12 services. RESOLVED: The Service Excellence Sub-Group;
i. Noted the contents of the report; ii. Raised issues and concerns about the information presented in the report; and
iii. Noted the action plan presented at appendix six in Dropbox. 11 SERVICE EXCELLENCE UPDATE The Governance Manager introduced the Service Excellence Update. Sub- Group members were reminded this gives details of work going on that may not necessarily require a full report but nevertheless would be of interest to the Sub-Group. The Governance Manager mentioned the inclusion of the Funding Strategy article and explained that the update report gave some high level information with further detail available in Dropbox.
The Sub-Group endorsed the amendment to Customer and Community Engagement Strategy at item 6.
The Chair of the Sub-Group asked whether consideration was given to the Service Excellence Sub-Group in deciding where internal audit reports would go. The Head of Business Excellence confirmed that this was considered at the agenda planning stage. 12 FORWARD PLAN The Governance Manager introduced the Forward Plan and the Sub-Group noted the business that is planned for the remainder of 2015.
Author Kate Clinton Date 03/07/2015
Lead Officer sign off 06/07/2015 Chair sign off 08/07/2014
Page 4 of 4 Item 12 SESG 29 06 15 Item 13
Report to: BOARD
Title of Report: MONITORING BOARD AND SUB-GROUP ATTENDANCE
Report of: DIRECTOR OF CORPORATE SERVICES
Confidentiality Non Confidential
Purpose of Report: To monitor Board attendance rate against the target of 80 per cent for Board and Sub-Group Meetings
Type of Report Information That the Board note the attendance rates of: Recommendation(s): i. 91 per cent for Board meetings including attendance at away days – 11 per cent above target; ii. 95 per cent for Board meetings excluding attendance at away days – 15 per cent above target; iii. 94 per cent for Business Development Sub-Group meetings – 14 per cent above target and; iv. 95 per cent for Service Excellence Sub-Group meetings - 15 per cent above target.
Financial Implications Attendance levels need to be above quorum to ensure meetings are not cancelled incurring a cost to the company.
Value for Money Higher attendance provides better value for money as Implications administration costs are shared across more participants.
Risk Implications Risk Risk Description Number
26 Ineffective Board and Customer Scrutiny Panel: poor attendance could result in an ineffective Board which would affect the stability of the company
Equality & Diversity Good attendance across all constituent groups: tenants, Implications independents and co-optees, ensure the Board is representative.
Item 13 MONITORING BOARD AND SUB-GROUP ATTENDANCE Item 13
Equality Impact Does an EIA need to be If so, has one been Assessment completed? No completed? No
Customer Impact An effective Board will help ensure better service delivery for customers.
Content of Report Helen McHale signed-off by Director 20/08/2015
Contact Officer Jeremy Beatty, Governance Manager
Contact Details 0161 474 2850
Item 13 MONITORING BOARD AND SUB-GROUP ATTENDANCE Item 13
1. MONITORING BOARD ATTENDANCE 12 MONTHS TO SEPTEMBER 2015
2014 2014 2014 2015 2015 2015 2015 15 June 16 March excluding excluding November away days September September March 2015 Away Day 14 Away Day 31 12 Months to to Months 12 to Months 12 15 December 01 September Sue Ash A N/A N/A N/A N/A N/A 0% 0% David Beckett 1 A 1 1 1 1 83% 100% John Bowker 1 A 1 1 1 1 83% 100% Christine Corris A N/A N/A N/A N/A N/A 0% 0% Roland Dotchin 1 A 1 1 1 1 83% 100% Jo Hague 1 1 1 1 1 1 100% 100% Jenny Osbourne N/A N/A N/A N/A 1 1 100% 100% Roger Phillips 1 1 1 1 1 1 100% 100% Paul Porgess 1 1 1 1 1 1 100% 100% Alanna Vine 1 1 1 1 1 1 100% 100% Christine Woolridge 1 1 1 1 1 1 100% 100% David Wright 1 1 1 1 1 1 100% 100%
Total Attendance 9 6 9 9 10 10 53 37 Total Potential Attendance 11 9 9 9 10 10 58 39
Total Attendances (inc. away days) – 53 Total Potential Attendances (inc. away days) - 58 = 91%
Total Attendances (excl. away days) – 37 Total Potential Attendances (excl. away days) - 39 = 95%
• Row totals show individual attendance as a percentage of the number of meetings a Board Member was eligible to attend. As the Board has requested totals are presented both with and without away days. • 1= Present / A = Apologies / N/A = Not Applicable
Item 13 MONITORING BOARD AND SUB-GROUP ATTENDANCE Item 13
2. MONITORING SUB-GROUP ATTENDANCE 12 MONTHS TO SEPTEMBER 2015 - BUSINESS DEVELOPMENT SUB-GROUP
2015 2014 2015 2 March Business Business Business Business June 2015 27 July 2015 1 June 12 Months to to Months 12 Development 17 November Development Development Development Christine Woolridge 1 1 1 1 100% Roger Phillips 1 1 1 1 100% David Wright 1 1 1 1 100% Alanna Vine A 1 1 1 75% Roland Dotchin N/A N/A N/A 1 100%
Total Attendance 3 4 4 5 16 Total Potential Attendance 4 4 4 5 17
Total Attendances – 16 Total Potential Attendances - 17 = 94% • Row totals show individual attendance as a percentage of the number of meetings a Board Member was eligible to attend • 1= Present / A = Apologies / N/A = Not Applicable
3. MONITORING SUB-GROUP ATTENDANCE 12 MONTHS TO SEPTEMBER 2015 - SERVICE EXCELLENCE SUB-GROUP
2014 2014 2015 Service Service Service Service 30 March June 2015 Excellence Excellence Excellence Excellence 12 Months to to Months 12 01 December 29 June 2015 15 September David Beckett 1 1 1 A 100% John Bowker 1 1 1 1 100% Paul Porgess 1 1 1 1 100% Jo Hague 1 1 1 1 100% Roland Dotchin 1 1 1 1 100%
Total Attendance 5 5 5 4 19 Total Potential Attendance 5 5 5 5 20
Total Attendances - 19 Total Potential Attendances - 20 = 95% • Row totals show individual attendance as a percentage of the number of meetings a Board Member was eligible to attend • 1= Present / A = Apologies / N/A = Not Applicable
Item 13 MONITORING BOARD AND SUB-GROUP ATTENDANCE Item 14
Board 4 - Monday 14 December 2015
Every 1. Chief Executive's Report Information Corp. Services Jeremy Beatty, meeting Governance Manager Every 2. Corporate Performance Report Decision Corp. Services Rob Lloyd, meeting Performance and Improvement Manager One-off 3. Compliance with HCA Regulatory Decision Corp. Services Rob Lloyd, Framework - progress report Performance and Improvement Manager Annual 4. Rent Setting 2015-2016 Decision Finance Carmel Chambers, Director of Finance Annual 5. Service Charge Review 2015-2016 Decision Finance Carmel Chambers, Director of Finance
Annual 6. Governance Improvement Plan Decision Corp. Services Jeremy Beatty, Governance Manager Six-monthly 7. Welfare Reform Update Information Corp. Services Tanya King, Social Inclusion Manager
Annual 8. Two Year Forward Procurement Plan Decision Finance Sam Donigan, Assurance Manager Bi-Annual 9. Contract Procedure Rules Decision Corp. Services Sam Donigan, Assurance Manager Bi-Annual 10. Development Strategy Decision Technical and Steve Leonard, Commercial Head of Assets and Development One-off HR Policies follow report after Corp. Services Diane Laming Head consultation period of Organisational Development
Every 10. Monitoring Board and Sub-Group Information Corp. Services Jeremy Beatty, meeting Attendance Governance Manager
Every 11. Forward Plan Information Corp. Services Jeremy Beatty, meeting Governance Manager
Item 14 FORWARD PLAN