Provanhall Housing Association Business Plan 2019/20 to 2022/23 2019 Review 2019 Review Contents Page EXECUTIVE SUMMARY 3 1. Introduction 7 2. History and Achievements 8 3. Governance and Leadership 10 4. The Association’s Vision, Mission and Values 12 5. The Association’s Strategy and Objectives 13 6. Strategic Analysis 16 7. Asset Management 30 8. Housing Services 38 9. Wider Role 45 10. Value for Money 48 11. Organisational Resources and Development 58 12. Strategic Risk Appraisal 60 13. Financial Plans and Forecasts 62 Appendices Appendix 1 Appendix 4 Details of Management Committee and Senior Staff, Benchmarking Analysis and Organisational Structure Appendix 5 (bound separately: A3 document) Appendix 2 Strategic Risk Register Financial Plans and Cashflows Appendix 6 Appendix 3 (bound separately: A3 document) Value for money report 2018/19 Resource Plans for 2019/20 2019 Review EXECUTIVE SUMMARY Introduction Provanhall Housing Association has produced this Business Plan to set out our mission and values, and our objectives, plans and resources for the future. The Business Plan will inform our relationships with tenants and residents, funders, regulators and partner organisations. In developing the Plan, we have taken account of the Scottish Housing Regulator’s “Recommended Practice” on business planning, published in December 2015. The Association, its Services and Achievements The Association’s roots and our values are firmly based in Provanhall, a community of about 1,500 residents in Easterhouse, 6 miles east of Glasgow city centre. We own and manage 488 homes for social rent and we factor for a further 17 properties. We have 26 new build units due off site in 2019. We are led by an experienced voluntary Management Committee made up of Provanhall residents who provide us with effective governance and direct links to the local community. Operational management is provided by the Association’s Director and staff team. The Association provides a comprehensive range of services; all focused 100% on the needs of our customers and the Provanhall community. These services include tenancy and neighbourhood management, repairs and property management, property development, asset management, environmental works, income maximisation and factoring. First registered in 1991, the Association has reversed the decline and poor housing conditions that Provanhall experienced before the community took ownership of the housing in the area. Over the last 28 years, we have delivered sustainable regeneration and better long-term value for the public money invested in improving housing conditions. The Association’s achievements include: Comprehensive refurbishment of 370 Winning the support of 88% of GHA properties originally acquired from tenants who voted in favour of the 2009 Glasgow City Council, along with the stock transfer to the Association. construction of 119 new homes. Improving the external amenity of the Investing £2.4 million in tenants’ homes neighbourhood, and working hard to keep since 2009 through our major repairs standards high. programme. Supporting The Connie, the local Providing first class housing and community centre, and the services it maintenance services, as shown by provides. consistently excellent benchmarking Supporting a range of wider role activities, results and high levels of tenant to increase opportunities and improve satisfaction. residents’ quality of life. Keeping our costs low, allowing us to keep Maintaining the confidence of our tenants rents low for tenants. and regulators. Maintaining financial strength through low debt levels and strong cashflow. 2019 Review Business Plan: Key Highlights The Management Committee’s vision is to make Provanhall a safe, stable and thriving community where: Everyone lives in a warm and affordable home, in a neighbourhood that is clean and well cared for, and Everyone has access to the opportunities needed to achieve a good quality of life The Association’s Strategy over the period of the Business Plan is as follows: Managing our Consolidating and Working with the assets and Developing our improving our core community and resources well, for role as a business, through others to improve the benefit of community anchor service opportunities and tenants and the organisation for improvement and the quality of life Provanhall Provanhall investment for local people community The Management Committee has set five strategic objectives to help us achieve the Vision and Strategy. To deliver high quality services that meet tenants’ needs, maximise tenant satisfaction and demonstrate value for money. To provide affordable, high quality homes that meet local needs and help make Provanhall a thriving, sustainable community. To develop our role as community anchor in Provanhall, enabling services and activities that benefit individuals and the community as a whole. To mitigate the impact of welfare reform and other external factors on tenants and on PHA’s business resilience. To make sure that PHA is an efficient and effective organisation, with the organisational capacity to achieve our goals. The following summary describes some of the main activities we will undertake to achieve our objectives: Activity Area Key Actions during the Business Plan period Rents and Affordability Make sure that our rents continue to be affordable and competitive. Make sure that our rents generate sufficient income to fund services and investment in homes, and provide sufficient cover for future financial risks. Income Maximisation for Tenants Provide free access to welfare benefits and financial inclusion services for our tenants and their families. Maximise referral of our tenants to other agencies, where they need specialist support in areas such as debt and money management. Introduce impact measurement outcomes to maximise benefit entitlement and protect tenants’ income. Tenant Satisfaction Undertake a comprehensive Tenant Satisfaction Survey and implement an action plan from the outcomes of this. Activity Area Key Actions during the Business Plan period Tenant Participation Develop an updated tenant participation strategy in consultation with tenants and implement the resulting action plan. Access to PHA housing Maintain or increase the proportion of lets we make to homeless households, working in partnership with Glasgow City Council. Local Environment Consolidate our work to protect and enhance the local environment in the Auchinlea Action Area. Pursue the transfer or purchase of Glasgow City Council-owned sites within PHA’s area of operation. Development Programme Investigate opportunities that will contribute to regeneration and that can be accommodated within the Business Plan (site 2 in Provanhall Feasibility Study and other vacant land in the area). Develop a long-term strategy for PHA’s possible involvement in improving the condition and management of private sector housing in Balcurvie Road. Asset Management approach Review the performance of our housing stock, using the results to inform future management and maintenance. Energy Efficiency works Implement energy efficiency measures through the planned maintenance programme (e.g. the programme of boiler replacements). Ensure that the Association will meet the Energy Efficiency Standard for Social Housing by 2020. Governance Develop closer links with the Youth Sub group and embed this into the Management Committee structure. Ensure effective training plans in place for Management Committee members and that good attendance is achieved. Develop a strategy to promote and increase uptake of places on the Management Committee. Wider Role Develop and implement an updated Wider Role Strategy. The new Strategy will include updated priorities for meeting community needs; describe the services and partnerships we want to develop; and provide a platform for securing future funding. Financial Resilience Implement PHA actions to manage and mitigate the effects of Housing Benefit and Welfare Reform changes on the Association. Develop financial management/education services for Tenants on low incomes. Efficiency Make best use of mobile technology for our staff. Consider selling PHA staff services in areas where we have capacity to allow this. Work with Glasgow City Council to assess how the Council could deliver some of its services from PHA’s offices or in closer partnership with the Association 5 Financial Position and Risks The financial projections accompanying the Business Plan confirm that the Association is in a strong financial position, with low levels of debt, low operating costs, no onerous loan covenants, and a strong cash position to help sustain our cash flow if required. Strong financial management will continue to be of the highest priority. Most of the activities and costs set out in the Business Plan will be funded through rental income. We will continue to seek external funding to support activities such as wider role, welfare benefits and financial inclusion services. We may also be seeking public and private funding to fund new housing for a relatively small development (12/16 units). Like all housing associations, the Association is working in an environment that involves unprecedented political and economic challenges as a result of Brexit, the possibility of a second Scottish independence referendum, Welfare Reform, rising inflation, volatility in the value of sterling, and the continuation of austerity measures at least until the next UK general election and possibly beyond. The