Page 1 of 208
Board Agenda
Date:
Time :
Venue:
16 March 2015
5.00pm
Conference Room, 1st
floor, St. Peter’s Square
Lead Officer: Helen McHale – Chief
Executive
Contact:
Jeremy Beatty – Governance Manager
0161 474 2850 jeremy.beatty@stockporthomes.org
Item
No
Item
01
APOLOGIES FOR ABSENCE
AND DECLARATIONS OF
INTEREST
02a
MINUTES OF MEETING
15 12 14
ACTION MONITOR 15 12 14
02b
03a
03b
04
CHAIR AND MEMBERS’
UPDATE (VERBAL)
CHIEF EXECUTIVE’S REPORT
OLDER PERSONS STRATEGY
2015-2018 (DECISION)
04a
Appendix One
05
DELIVERY PLAN 2015-16
(DECISION)
05a
Appendix One
06
DRAFT BUDGET 2015-16
(DECISION)
06a
06b
06c
Appendix One
Appendix Two
Appendix Three
Officer
JB
JB
Section 6 – Proposed Co-opted
Board Member: It is recommended
that an appointment is made, initially
on a co-opted basis until the
changes to the Board’s composition
are finalised.
HMC
It is recommended that the Board:
AMH
Approve the Older Persons Strategy
2015-18 and its associated action
plan.
The Board is recommended to:
GB
Adopt this Delivery Plan, which
includes an appended Service
Improvement Plan, corporate
performance indicators and capital
and revenue budget summaries for
2015/16.
To approve the draft budget for
2015/16 consisting of:


Stockport Homes revenue
budget;
The new build budget; and
SF
Page 2 of 208
06d
06e
06f
06g
06h
06i
Appendix Four
Appendix Five
Appendix Six
Appendix Seven
Appendix Eight
Appendix Nine
07
2015-16 CAPITAL
PROGRAMME (DECISION)
07a
Appendix One
08
DELIVERY OF A NEW HEAD
OFFICE (DECISION)
Non Confidential – apart from
commercially sensitive
information.
08a
Appendix One

That Board agrees the draft 2015/16
Capital Programme as outlined and
identified within this report.
SL
It is recommended that the Board
approve:
SL
i.
ii.
iii.
09
CORPORATE AND HRA RISK
REGISTERS (2015-16)
(DECISION)
09a
09b
09c
09d
09e
Appendix One
Appendix Two
Appendix Three
Appendix Four
Appendix Five
10
REVIEW OF FINANCIAL
REGULATIONS (DECISION)
PROPOSAL TO JOIN
MANCHESTER ATHENA
LIMITED (DECISION)
The development of the new
Head Office at Edward
Street;
Stockport Homes entering
into an interim Development
Agreement with Quorum
property developers; and
Delegate the signing of the
final Development Agreement
to the Chair and the Chief
Executive.
It is recommended that Board:
i.
ii.
iii.
iv.
v.
i.
ii.
11
The capital programme.
SD
Approve the two risk registers
Approve the list of key
strategic risks
Approve the risk appetite
statement
Approve the amendment to
the risk management strategy
Note the action plan update.
The Board is requested to
approve the revised Financial
Regulations.
The Board is requested to
delegate future approvals of
the Financial Regulations to
the Business Development
Sub Group.
For Stockport Homes to join
Manchester Athena Limited, with
Sandra Coleing, Director of
Corporate Services being the
Director registered at Companies
House.
SF
SC
Page 3 of 208
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;
iii.
Agrees a new deadline for
four SIP actions and the
deletion of three actions due
for completion in the third
quarter of 2014/15; and
iv.
Agrees a new deadline for
five SIP actions and the
deletion of two actions due
for completion in the fourth
quarter of 2014/15.
To follow
12
CORPORATE PERFORMANCE
REPORT- Q3 2014-15
(DECISION)
RL
13
MINUTES OF SUB GROUPS
(INFORMATION)
Business Development SubGroup – 2 March 2015
14
BOARD AND SUB-GROUP
ATTENDANCE AND
MEMBERSHIP (INFORMATION)
KC
15
FORWARD PLAN – 2015
(INFORMATION)
JB
Initial
Officer name
Job Title
HMC
JB
GB
KC
SC
SD
SF
AMH
SL
RL
Helen McHale
Jeremy Beatty
Gill Bennett
Kate Clinton
Sandra Coleing
Samantha Donigan
Suzanne Frier
Anne-Marie Heil
Steve Leonard
Rob Lloyd
Chief Executive
Governance Manager
Head of Business Excellence
Governance Officer
Director of Corporate Services
Assurance Manager
Head of Corporate Finance
Head of Independent Living
Head of Assets and Development
Performance and Improvement Manager
JB
Page 4 of 208
STOCKPORT HOMES BOARD MEETING
Monday 15 December 2014
17.00
Conference Room, 1 St Peter’s Square
Item 02a
PRESENT:
Board Members
 Roger Phillips (Chair)
 David Beckett
 John Bowker
 Roland Dotchin
 Jo Hague
 Paul Porgess
 Alanna Vine
 Christine Woolridge
 David Wright
1
2
Officers
 Helen McHale, Chief Executive
 Jeremy Beatty, Governance Manager
 Gill Bennett, Head of Business Excellence
(until Item 8)
 Kate Clinton, Governance Officer (Minutes)
 Sandra Coleing, Director of Corporate
Services
 Suzanne Frier, Head of Corporate Finance
(until Item 5)
 April Higson, Director of Neighbourhoods and
Support
 Mark Hudson, Director of Technical and
Commercial Services
 Tanya King, Social Inclusion Manager (Item 7)
 Rob Lloyd, Performance and Improvement
Manager (Item 8)
APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST
Action
There were no apologies and no declarations of interest.
MINUTES OF THE MEETING OF THE BOARD HELD ON 01 September 2014
AND ACTION MONITOR
The minutes of the meeting held on 01 September 2014 were accepted as an
accurate record of the proceedings.
Progress with the items in the Action Monitor was noted.
A Board Member asked for further information regarding asbestos surveying.
The Director of Technical and Commercial Services agreed to provide this.
The Board reiterated the need to receive the most up-to-date financial
information and expressed the view that information to the end of October was
not recent enough for a meeting in mid-December. It was agreed to look at
what was an acceptable time after the end of the month to get the figure.
3a
CHAIR’S AND MEMBERS’ UPDATE (VERBAL)
The Board discussed a number of events they had attended recently including
Staff Awards, a Scheme Opening at Turves Road, Cheadle Hulme, the Board
Away Day and a National Federation of ALMOs seminar in London.
3b
CHIEF EXECUTIVE’S REPORT
The Chief Executive introduced the report and invited questions. The Board
emphasised how informative and useful they found the report.
Item 02a BOARD MINUTES 15 12 14
MH
SF
Page 1 of 5
Page 5 of 208
Item 02a
It was suggested that the Board have involvement in the judging panel for the
staff awards in the future. The Chief Executive agreed this would be a good
HMC /
idea and had been done previously.
LC
There was a discussion regarding risk scores. The Head of Corporate Finance
clarified that the scores do not change during the year.
The Board discussed the variances within the repairs budget. The Head of
Corporate Finance explained that budget planning for 2015-16 would take
account of this year’s experiences to ensure better forecasting from the outset.
RENT SETTING 2015-16 AND HRA BUSINESS PLAN UPDATE (DECISION)
CONFIDENTIAL
The Head of Corporate Finance introduced the report which provided an
update on the impact of Government changes to rent policy on the Housing
Revenue Account Business Plan. Options for rent setting in 2015-16 were
presented, with the caveat that the final decision would rest with the Council.
4
It was highlighted that recent customer consultation suggested tenants
favoured Option One - the 2.2 per cent increase - over the other options.
The Chair of the Business Development Sub-Group confirmed that the SubGroup had seen the report and were happy to recommend Option One on the
condition that a table of the associated sensitivities including some stress
testing is brought back to the Sub-Group. The Head of Corporate Finance
confirmed that this would be built into the Forward Plan.
SF
The Board recommended that Option One is recommended to the Council and
stressed the importance of working within the assumptions in the Business
Plan.
RESOLVED
The Board:
i.
5
Noted the contents of the report and supported Option One, an
increase of 2.2 per cent, for rent setting in 2015-16.
SERVICE CHARGE REVIEW 2014/15 (DECISION) CONFIDENTIAL
The Head of Corporate Finance introduced the Service Charge Review and
explained that it contained recommendations for increases which will be passed
to the Council for consideration when it sets service charges for customers.
A Board member asked about actions Stockport Homes are taking to ensure
the communal lighting service is as affordable as possible. The Director of
Technical and Commercial Services explained that a number of options were
being considered, including making best use of sensors, and agreed to provide
more information about this.
MH
A Board member asked if the research conducted by the Customer Scrutiny
Panel (CSP) was taken into consideration when reviewing service charges. The
Head of Corporate Finance stated that the work completed by the CSP was
very useful and confirmed that she had met with the Chair of CSP to discuss
caretaking service charges in particular.
Item 02a BOARD MINUTES 15 12 14
Page 2 of 5
Page 6 of 208
Item 02a
RESOLVED
The Board;
i. Noted the contents of this report and the actions set out within it,
including endorsing the positive steps taken with regard to service
delivery cost.
ii. Recommended the proposals set out in section five relating to specific
service charges for consideration by the Council.
6
GOVERNANCE IMPROVEMENT PLAN (DECISION)
The Governance Manager introduced the report and explained progress with
implementation of the 2014 Governance Improvement Plan. Proposals for a
2015 Governance Improvement Plan were set out highlighting the significant
changes that would be necessary connected to Council’s decision to continue
the ALMO arrangement.
The Head of Business Excellence explained that preparatory work was being
done to prepare for changes to the Articles of Association and the Management
Agreement; the changes agreed in principle by the Board in September to 2013
relating to Board size, composition and remuneration are central to the work
that is being done. A further update will be brought to the Board in March 2015.
A Board member asked that the Governance Team look at the deadlines for the
actions in the 2015 Governance Improvement Plan to ensure they are
sequenced in a logical way and a more detailed timetable be outlined.
RESOLVED
The Board;
i.
Noted progress in the implementation of the 2014 Governance
Improvement Plan; and
ii.
Approved the 2015 Governance Improvement Plan, subject to the review
of deadlines mentioned above, identified with a more detailed action
plan.
7
JB
JB/KC
STOCKPORT HOMES’ RESPONSE TO WELFARE REFORM
(INFORMATION)
The Social Inclusion Manager introduced the regular update about Stockport
Homes’ response to Welfare Reform. It was explained that support has been
offered to every tenant who is under occupying and it is expected that more
customers will access the support that is available the new year.
There are currently 12 Stockport Homes’ customers being affected by Universal
Credit and this figure is expected to rise after Christmas with reduction in
seasonal work.
A Board member asked how Stockport Homes engages with the Department of
Work and Pensions (DWP). The Social Inclusion Manager confirmed that there
are regular meetings with DWP.
A Board member asked what is being done to encourage more customers to
attend budgeting sessions. The Social Inclusion Manager explained that the
team was currently looking at ways to involve tenants including one to one
support for tenants who are not comfortable attending workshops.
Item 02a BOARD MINUTES 15 12 14
Page 3 of 5
Page 7 of 208
Item 02a
The Social Inclusion Manager agreed to provide the Board with a document
TK
giving more information on lessons learned from the Universal Credit pilot
schemes in Tameside and Golden Gates Housing.
8
A Board member asked how long it takes to resolve issues that come before a
Housing Benefit Tribunal. The Social Inclusion Manager agreed to provide this
information.
RESOLVED
The Board:
i.
Noted and discussed the progress being made on responding to
Welfare Reform.
CORPORATE PERFORMANCE REPORT
The Performance and Improvement Manager introduced the report and
explained that some supplementary information had been put into dropbox for
Board members’ information.
TK
The Board discussed absence levels compared to target and questioned
whether missed targets could be counter-productive. The Director of Corporate
Services said that absence-related targets and measures would be reviewed
for 2015-2016.
SC
A Board member suggested Stockport Homes may improve further by learning
from other organisations’ approaches. The Director of Corporate Services said
she would welcome this and agreed to follow it up after the meeting.
SC
A Board member asked what the Employee Assistance Scheme was. It was
explained that the scheme gave employees telephone access to advice and
support services.
9
A Board member asked whether any development was planned for supported
accommodation for people with special needs. The Director of
Neighbourhoods and Support explained that a purpose-built scheme was under
development and that Stockport Homes manages some houses that are used
to provide specialist support. The Chief Executive suggested that this was an
area of the business where expansion could be considered.
RESOLVED
The Board;
i.
Noted performance and 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 a new deadline for three SIP actions and the deletion of one
action due for completion in the second quarter of 2014/15.
MINUTES OF SUB-GROUPS
The Board noted the following minutes for information:


Business Development Sub-Group 17 November 2014 – it was noted that a
request for information about how administration costs for the Greenspace
Manager are accounted for should refer to general administration costs
rather than a specific post. The Governance Manager will follow this up.
Service Excellence Sub-Group 15 September 2014 – The Customer
Scrutiny Panel’s review of the repairs service was commended.
Item 02a BOARD MINUTES 15 12 14
AH
JB
Page 4 of 5
Page 8 of 208
Item 02a
 Service Excellence Sub-Group 01 December 2014 – the Chair of the subgroup highlighted that the report on the Rental Exchange Project had been
thoroughly scrutinised and that a final decision on its proposals would be
made by the Council.
10
MONITORING BOARD AND SUB-GROUP ATTENDANCE
The Governance Manager presented a report detailing attendance at Board
and Sub-group meetings for the preceding year.
11
FORWARD PLAN
The schedule of meetings for 2015 had been circulated.
It was noted that the away day scheduled for Friday 15 May would be changed
and that members would be informed of the new date as soon as possible.
Author
Kate Clinton
Date
16/12/2014
Lead Officer sign off
19/12/2014
Chair sign off
05/01/2015
Item 02a BOARD MINUTES 15 12 14
Page 5 of 5
Page 9 of 208
ACTION
No.
1
ACTIONS ARISING FROM BOARD MEETING HELD ON 15 DECEMBER 2014
AGENDA
ACTION
ITEM
2
A Board Member asked for further information
regarding plans for asbestos surveying.
Item 02b
OFFICER
PROGRESS / NOTES
MH
A response to this question has been
uploaded to dropbox. Board members
have been informed..
The Head of Corporate Finance met the
Chair of the Business Development
Sub-Group on 24 February 2015. It was
agreed to look at options for producing
more up-to-date figures, including
reviewing the level of detail that is
provided whilst ensuring the Board has
sufficient information to discharge its
duties.
The Organisational Development
Manager has confirmed that a Board
member will be involved in the judging
panel in 2015.
The item has been included in the
BDSG Forward Plan for 27 July 2015.
2
2
The Board reiterated the need to receive the
most up-to-date financial information.
SF
3
3
It was suggested that the Board have
involvement in the judging panel for the staff
awards in the future.
LC
4
4
SF
5
5
6
6
The Chair of the Business Development SubGroup confirmed that the Sub-Group had seen
the Rent Setting report and were happy to
recommend Option One on the condition that a
table of the associated sensitivities including
some stress testing is brought back to the SubGroup.
A Board member asked about actions Stockport
Homes are taking to ensure the communal
lighting service is as affordable as possible. The
Director of Technical and Commercial Services
explained that a number of options were being
considered, including making best use of
sensors, and agreed to provide more
information about this.
A further update will be brought to the Board
about the changes related to the Articles in
March 2015.
MH
A response to this question has been
uploaded to dropbox. Board members
have been informed.
JBe
The Board were consulted on the
proposed changes in January and
February 2015. Instead of a Board
Item 02b ACTION MONITOR 15 12 14
Page 10 of 208
ACTIONS ARISING FROM BOARD MEETING HELD ON 15 DECEMBER 2014
report this will be a key agenda item at
the away day on 31 March 2015.
The Governance Improvement action plan to be
updated to include a more detailed timetable
and logical sequencing of the actions.
7
7
8
7
9
8
The Social Inclusion Manager agreed to provide
the Board with a document giving more
information on lessons learned from the
Universal Credit pilot schemes in Tameside and
Golden Gates Housing.
A Board member asked how long it takes to
resolve issues that come before a Housing
Benefit Tribunal. The Social Inclusion Manager
agreed to provide this information.
The Board discussed absence levels compared
to target and questioned whether missed targets
could be counter-productive. The Director of
Corporate Services said that absence-related
targets and measures would be reviewed for
2015-2016.
Item 02b
TK
TK
SC
Item 02b ACTION MONITOR 15 12 14
The Governance Improvement Plan has
been updated to take account of the
timetabling of changes to the Articles
and the Management Agreement.
A response to this question has been
uploaded to dropbox. Board members
have been informed.
At Housing Benefit Tribunals issues are
dealt with in one hearing and the
decision usually given on the day.
Hearings are scheduled for one hour
and a decision is usually made in this
time or sometimes decisions are sent
via post.
If a challenge is made against a
Housing Benefit decision but the local
authority wishes to uphold the original
decision then appeal papers are issued.
This is done between six and eight
weeks from receiving the appeal which
is forwarded to the Tribunal Service.
The hearing will usually be scheduled
between eight and twelve weeks of the
tribunal service receiving the appeal.
The target has been reviewed and a
piece of work is being completed to look
at the underlying reasons for absence,
comparing levels of absence with
demographics, length of service and
looking specifically at Directorates and
Page 11 of 208
10
11
ACTIONS ARISING FROM BOARD MEETING HELD ON 15 DECEMBER 2014
8
8
A Board member suggested Stockport Homes
may improve further by learning from other
organisations’ approaches. The Director of
Corporate Services said she would welcome this
and agreed to follow it up after the meeting.
The Chief Executive suggested that
development of supported accommodation for
people with special needs was an area of the
business where expansion could be considered.
SC
AH
Item 02b
Teams to see if there are any underlying
issues where there could be targeted
interventions, including wellbeing
activity.
Benchmarking has been taking place
with other Housing organisations,
including ALMOs and RSLs. Sickness
absence data and best practice is being
shared and fed into the review of the
Managing Attendance Policy. Stockport
Homes is looking for new opportunities
to benchmark and will be meeting with
City West to take this forward.
It is planned to host a Benchmarking
event at Stockport homes which will
focus on managing attendance and
other topical issues.
Stockport Homes will be developing its
first new build supported housing
scheme at Grafton Street in Reddish.
Planning approval has been granted
with a start on site in 2015-16 or 201617.
Stockport Homes’ Development strategy
will be reviewed in June 2015 and will
be more specific about the approach to
developing supported accommodation.
Item 02b ACTION MONITOR 15 12 14
Page 12 of 208
Item 03
REPORT TO THE BOARD: 16 MARCH 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 December 2014 and that are not covered elsewhere on the
agenda or any of the Sub-Group Updates.
2
FINANCIAL UPDATE
GREEN
Financial Monitoring
The January Management
Accounts show that the
organisation is performing
within its budgets.
2.1
The January management accounts show that the organisation is operating
within its approved budgets and is effectively managing its resources at this
stage of the year. The forecast year end underspend is currently £490,000.
2.2
A large proportion of the forecast underspend relates to ring-fenced budgets
such as water and the fraud initiative. These monies will be carried forward
to spend on initiatives in future years. There are positive variances within
premises costs, most notably due to the insourcing of the cleaning contract
which has generated overall net efficiencies of £73,000. Staffing costs are
forecast to underspend by £131,000 (net of the vacancy provision) due to a
combination of vacant posts and lower than budgeted take up of the pension
scheme.
2.3
Overall Repairs and Maintenance budgets are showing a £148,000
underspend at the end of January. Whilst Repairs and Maintenance budgets
are forecast to overspend by £37,000 by the year end, this is predominantly
due to unforeseen Carecall equipment costs. These costs are met by
underspends in other areas within the Carecall budget. Within the
underspend at January, void costs are underspent by £126,000 due to lower
than anticipated void numbers.
2.4
Within Repair 1st, whilst both internal and external activity are higher than
budgeted, margins on external works are lower due to pre agreed pricing on
works subcontracted to Repair 1st through Carillion. Year-end surpluses
have been forecast down accordingly and a deficit of £55,000 is currently
anticipated. This area continues to be reviewed closely by the Business
Development Sub Group.
Item 03 CHIEF EXECUTIVE REPORT
Page 13 of 208
Item 03
2.5
Notable variances within income include £130,000 higher than budgeted
European Social Fund (ESF) income. The increased forecast income
demonstrates the success of the team in both supporting people into work
and getting them back into work.
2.6
Staffing salary costs are forecast to underspend by £131,000 (net of the
vacancy provision) due to a combination of vacant posts and lower than
budgeted take up of the pension scheme. The HR team continue to
undertake proactive work to encourage membership of the scheme.
2.7
To date, Stockport Homes has secured borrowing of £12.4 million. A report
is currently being drafted which will request an extension of the loan facility
in order to facilitate the delivery of the schemes allocated to the bid round
2015-18 and for an additional 300 unit opportunities over the next few years.
It is envisaged that the new facility will be in the region of £45m and will be
extended for a further five years. A request will be made for the loan facility
to be available for market rent.
Stockport Homes Ltd
Income & Expenditure Account
For the Period April 2014 - January 2015
Period:
10
Budget
YTD
Budget
YTD
Actuals
YTD
Variance
Forecast
2014/15
Jan'15
Jan'15
£,000
2014/15
25,452
21,210
21,214
Other income
3,395
2,829
3,079
Repair 1st DLO
Income c/f from prior year
underspend/Reserves
Homelessness Service Income
9,519
7,933
8,658
483
403
403
WHOLE ORGANISATION
Organisational Total
Income
Management Fee from HRA
4
249
725
0
25,452
3,650
10,354
483
1,516
1,263
1,339
Income relating to New Build
795
653
732
Water income (Including C/F Amount)
930
775
905
130
1060
Commercial income
325
270
198
(72)
245
42,415
35,337
36,527
1,190
43,703
12,028
10,023
9,918
105
11,886
3,003
2,402
2,133
269
2,924
307
256
181
75
223
160
133
127
6
163
1,905
1,587
1,365
223
1,794
811
676
700
(25)
822
Total Income
75
79
1,621
838
Expenditure
Staff Costs - Salaries
Premises Costs
Non pay costs relating to commercial works
Transport Costs
Supplies, Services and Communications
Legal, Regulatory and Consultancy
Service Contracts with Connected
Organisations
Internal Recharges
Homelessness Services Expenditure
New Build Expenditure
1,024
853
688
166
876
(856)
(714)
(749)
36
(907)
1,841
1,534
1,776
(242)
2,049
825
678
715
(37)
815
Item 03 CHIEF EXECUTIVE REPORT
Page 14 of 208
Item 03
Water Expenditure (Including C/F Amount)
Repair 1st (DLO) - Costs
930
775
814
(39)
1,060
9,378
7,815
8,686
(871)
10,410
Repairs and Maintenance
11,061
42,415
9,197
35,216
9,049
35,401
148
(185)
11,099
43,213
0
120
1,126
1,006
490
Total Expenditure
Surplus/(Deficit)
3
CAPITAL MONITORING
3.1
The original Capital Investment Programme budget for 2014/15 is £22.769
million. This includes £10.7million for Energy Company Obligation (ECO)
phase two works, relating to significant investment in Offerton to improve
housing in the area, alongside eco eligible works on non-traditional
properties across the Borough, with insulation and over-cladding works
anticipated to be funded 80 per cent by British Gas. This work has now
been rephrased to the following two years as negotiations continue to agree
a revised funding agreement following significant reductions in the offer.
3.2
Other spend in the capital programme for January is £1.6million lower than
that profiled due to efficiencies in procurement and timing of works. This
includes £680,000 Energy Performance works that have been re-phased to
2015/16. The year-end position has been re-forecast to reflect the reduction
in spend in both ECO and Energy Performance works.
3.3
PV income (from the photo-voltaic panels) continues be a success and has
produced positive returns for the Capital Programme alongside benefits for
customers. Forecast net PV income for the year is £800,000 compared to a
budget of £500,000 due to the favourable weather over the summer and a
responsive approach to addressing issues with panels.
4
HOUSING REVENUE ACCOUNT
4.1
At quarter three the forecast outturn position is for a balanced position
following an increase in the proposed minimum revenue provision allocation
of £240,000. This is possible due to increases in rent yield due to excellent
performance on voids (0.46 per cent at Quarter 3 compared to a budget rate
of 1 per cent). Together with the additional surplus brought forward from
2013/14 of £329,000 this provides resources of £569,000 to be used to
reduce the HRA capital financing requirement in preparation for future
investment in the housing stock and new build properties.
5
RISK MANAGEMENT
5.1
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.
Item 03 CHIEF EXECUTIVE REPORT
Page 15 of 208
5.2
Item 03
Below is a summary of the quarter three position with regard to the ten
strategic1 organisational risks.
Strategic Risk
Category
Risk Description
Control
Dependence
Q3 Update
2
Organisation
Finance and
Economy
New
Business
Head Office
5.3
Positive, strategic relationships within the
Council and local politicians are not
maintained
4
Under
Control
Significant changes in local and national
politics affect the organisation
4
Under
Control
Options appraisal produces negative
outcome for Stockport Homes
4
Under
Control
Rent and water income collection rates are
not maintained at best in the sector levels
8
Under
Control
Welfare reform continues to impact upon
customers’ ability to manage their tenancies
6
Under
Control
The introduction of universal credit brings
additional challenges to customers and the
organisation
6
Under
Control
Diversification into new work areas
6
Under
Control
New head office is not delivered to agreed
budget
4
Under
Control
New head office is not delivered to agreed
timescales
4
Under
Control
Health and safety obligations to customers
aren't fulfilled, particularly around life critical
areas including gas safety, fire safety &
legionella
4
Under
Control
The strategic risk of the head office not being delivered to agreed timescales
is now under control again. Board members have been informed of the
revised date and a separate report will be available at the March Board
meeting.
1
The ten strategic risks are those which have a gross risk rating of over 12 (i.e. they are rated red in
the risk register)
2
The control dependence is the difference between the gross risk and the residual risk (assuming all
risk actions are delivered). The larger the control dependence, the more critical the control actions are
for delivery
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6
PROPOSED CO-OPTED BOARD MEMBER
6.1
In January, Jenny Osbourne, Chief Executive of the Tenant Participation
Advisory Service for England (TPAS) expressed an interest in joining
Stockport Homes’ Board. An interview was organised on Tuesday 10
February with a panel consisting of Roger Phillips, David Beckett and
Christine Woolridge, supported by Helen McHale.
6.2
Jenny is a Stockport resident and her leadership of a national tenant
involvement organisation would bring a new perspective and range of
experiences to the Board.
6.3
The panel unanimously supported Jenny’s appointment. It is recommended
that an appointment is made, initially on a co-opted basis until the changes to
the Board’s composition are finalised. Subject to the Board and Jenny
wanting the membership to continue the appointment could become
permanent after the Annual General Meeting.
7
CHARITY OF THE YEAR
7.1
Stockport Homes’ Charity of the Year
is The Christie. The choice was
made following a staff vote in
November 2014; this reduced a longlist to a top three who were interviewed by Raise the Roof – Stockport Homes’
charity committee. Funds that are raised will support two projects.
7.2
Firstly, the Art Room is somewhere patients can visit to help them cope with
the stresses they may be facing whilst coping with cancer. Secondly,
Stockport Homes is helping to support scientists based in a new state of the
art research centre, which is helping to deliver almost instant results for
patients who would previously have waited several weeks for this information.
7.3
Stockport Homes is working closely with The Christie to organise three
corporate events. These are the Manchester 10k run, the Yorkshire Three
Peaks 15 Challenge and a Daredevil Parachute jump these are proving to be
popular with staff with 19, 15 and 10 volunteers respectively at the start of
March. The Chief Executive is hoping to participate in all three corporate
events. Other events, such as bake sales and fashion nights, will contribute
to the fundraising effort.
7.4
Last year, Stockport Homes raised over £13,500 for Millie’s Trust and it hoped
that the £10,000 target will be exceeded again.
8
AWARDS UPDATE
8.1
Since the last update in December 2014, Stockport Homes has won three
awards and was shortlisted for one further award. At the Housing Innovation
Awards in February, Stockport Homes won awards for ‘Most Innovative
Housing Provider (Medium)’, ‘Most Innovative Use of Renewable Technology’
and ‘Most Innovative In-house Repairs Contractor’.
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8.2
The award for “Innovative Housing Provider” recognised Stockport Homes’
innovations in supporting customers with the effects of Welfare Reform
alongside new approaches to tacking anti-social behaviour and in customer
involvement. The award for “Innovative Use of Renewable Technology”
recognised the outstanding progress made in installing biomass heating
technology and the benefits this has brought to customers.
8.3
The award for “Innovative In-House Repairs Contractor”, pictured below,
recognised Repair 1st’s outstanding achievements throughout 2014, including
launching the “B4Box” project and attaining record levels of customer
satisfaction.
8.4
Stockport Homes was shortlisted in the “Most Innovative Use of Community
Engagement” category, which highlighted the work of the Customer Scrutiny
Panel and the wide range of opportunities offered to customers to get
involved.
9
FUNDING UPDATE
9.1
Since April 2014, 52 bids have been supported by Stockport Homes directly or
in partnership with community groups or other stakeholders. To date £353,079
of external grant and £395,668 of match funding has been secured. Recent
success has included funding from Transport for Greater Manchester for new
bicycle facilities including purchasing bicycles and providing training to use
and maintain the equipment at temporary accommodation sites.
9.2
Other successful bids include Forever Manchester for equipment at
Brinnington Pantry and Manchester Airport Trust for improvements at Heaton
Norris Community Centre and Heaton Norris Park. Partnership work with
other housing providers continues with successful funding bids to the Equity
Foundation for support to H3 and Cherry Tree Tenants and Residents
Association projects and activities.
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10
Item 03
GREENSPACE
10.1 The Green and Edible Adswood and Bridgehall Project continues to be a
success with 121 customers attending recent ‘Plant, Grow and Make
Sessions’. This is in addition to customers and community groups helping to
plant over 10,000 spring bulbs across greenspaces in the neighbourhoods.
10.2 Taster growing sessions are taking place during February and March,
including hanging basket making. A ‘Seeing is Believing’ trip for residents to
visit community growing projects in Ashton and Mossley in partnership with
New Charter has taken place. The aim is to inspire, motivate and encourage
residents to think about ways that they could develop and replicate ideas in
their own and neighbouring greenspaces.
10.3 The annual customer satisfaction survey on the grounds maintenance survey
has been completed with 83 per cent of customers who receive the service
being satisfied, an increase from 79.6 per cent in 2013/14. Stockport Homes
continues to work with the grounds maintenance contractors and customers to
ensure the quality of the greenspaces are high. During the winter a
programme of hedge reductions, improvements to shrub beds and grassed
areas have been implemented and a winter tree maintenance programme is
underway following feedback from customers.
11
BRINNINGTON PANTRY OPENS ITS DOORS!
11.1 Brinnington Pantry opened its doors to customers for the first time on Monday
12 January 2015. The pantry is the second community store under Stockport
Homes’ ‘Your Local Pantry’ umbrella, following Penny Lane Pantry based at
Lancashire Hill.
11.2 Brinnington Pantry, which is located at First House has been created through
partnership working, with Stockport Homes, Stockport Council, FareShare,
H3, B4Box, Equity Housing and Repair 1st working together to deliver this
fantastic project.
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11.3 For just £2.50 each week local residents can become members of the pantry
and access a whole range of benefits. Members can choose 10 items each
week from a huge variety of groceries, fresh fruit and vegetables plus all the
usual store cupboard favourites. The average shopping basket is worth more
than £15 at retail value, saving members over £600 on their food bill each
year! In addition to this, members are given exclusive access to seasonal
events and competitions and a free financial health check.
11.4 Maureen Dalzell, the first customer to shop at Brinnington Pantry said, “The
pantry is smashing, it’s a really good idea. It will make a huge difference to me
as I can now save money on my food bill.”
11.5 The pantry provides further support to members with initiatives such as
cookery demonstrations encouraging people to cook from scratch using
ingredients from the pantry, and links with local services such as the Health
Trainers, Credit Union and Stockport Homes’ various support services.
11.6 The pantry is managed by Stockport Homes, but is run on a day-to-day basis
by volunteers from the local community. Volunteers are provided with line
management and guidance from a dedicated Food Sharing Officer, and have
access to a range of training opportunities. Four of the volunteers from Penny
Lane Pantry have gone on to find employment thanks to the skills and
confidence working at the pantry has given them. It is hoped that the
Brinnington Pantry will replicate this success.
12
UPDATES FROM THE AREA HOUSING TEAMS
12.1 All Stockport Homes customers have been recently sent a copy of the Winter /
Spring 2015 ‘Your Neighbourhood’ newsletter which highlights all of the
excellent outcomes and examples of partnership working within their area
which has taken place over the previous months. A copy of the newsletter can
be seen at Your Neighbourhood - Spring 2015 [pdf] 9MB
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13
Item 03
TARGETED PREVENTION ALLIANCE
13.1 Stockport Council is commissioning a Targeted Prevention Alliance (TPA) for
Vulnerable Adults, bringing together a number of funding streams from the
Supporting People Programme and Adult Social Care. The TPA will offer a
range of support and services to people with a diverse range of needs who
are struggling to maintain independent living; it will encourage service-users to
build resilience and advocate for themselves as well as establish a more
positive relationship with the wider community.
13.2 Services delivered by the TPA will be based on an understanding of a
person’s strengths and assets as well as their barriers to independence, with
commissioners seeking an alternative to segmented and separated services
often dependent on the label a person is given.
13.3 Stockport Homes has been working with a range of other organisations and
providers to establish an Alliance which brings together a wealth of
knowledge, skills and experience of delivering services to vulnerable people
and promoting independent living. An Alliance has been formed with Age UK,
FLAG (For Local Advice and Guidance), NACRO (the crime reduction charity),
Threshold and a Promoting Resilience Partnership encompassing therapeutic
providers including Relate & Beacon Counselling.
13.4 The Alliance is working to develop an innovative service delivery model and
build understanding and relationships between the partners. The legal and
potential TUPE implications of legacy services are being explored. The
deadline for submission of the bid is 4pm on the 12th March, after which
shortlisted Alliances will be invited for interview and further evaluation.
13.5 For further information contact Simon Welch (Head of Customer Access)
simon.welch@stockporthomes.org or Anne-Marie Heil (Head of Independent
Living) anne-marie.heil@stockporthomes.org
14
B4BOX CONTRACT
14.1 A ‘Social Value Act’ contract was signed by
Stockport Homes and B4box in December
2014. The agreement is to provide
employment, training and accreditation
services and to deliver a positive and
measurable social value impact by carrying
out agreed works to establish on going, sustainable employment for local
beneficiaries. The initial contract is for a three year period contract with a
value of £2million per annum.
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15
Item 03
DEVELOPMENT
Fir Tree, Reddish
15.1 Over 30 guests, including local residents, the MP Andrew Gwynne, local
Councillors and representatives from the Board joined Stockport Homes on
9th January to officially open Stockport Homes’ largest development to date.
There are 29 x two bedroom houses, 21 x three bedroom houses and one x
four bedroom house; 15 of the properties are for shared ownership and 36 for
affordable rent.
Section 106 development at Offerton
Bellway Homes are building 94 dwellings at the Offerton Park development –
see artist’s impression below. As part of the Planning approval, there is a
Section 106 agreement in place for Bellway to provide 25 homes for shared
ownership and eight for affordable rent. The shared ownership properties will
be sold on 25 per cent to 75 per cent purchases, with most people buying at
55 per cent or above. The first dwellings are expected to be completed in
May 2015 and there will be phased completions until June 2017.
Empty offices make way for affordable new homes
15.2 An empty office building and shop front on Mellor Road in Cheadle Hulme was
demolished on 9 January 2015, clearing the way for a new development of 11
x two bedroomed shared ownership properties, which started on site 12
February 2015.
16
WELFARE REFORM
16.1 Universal Credit (UC) has been in place for four months, with 85 known
claimants amongst Stockport Homes’ tenants, which is lower than expected.
A local arrangement with the Job Centre, instigated by Stockport Homes, has
resulted in all new claimants being notified to the Customer Finance Team at
an early stage. These two factors have allowed the Customer Finance Team
to manage each case intensively, minimising arrears and putting Alternative
Payment Arrangements (APAs) in place where appropriate.
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16.2 However, with UC payments being received by claimants monthly in arrears,
the average balances of Stockport Homes UC claimants in arrears are now
higher than those of other tenants in arrears (£437.85 as compared to
£182.20), and difficulties are being experienced with some incorrect housing
cost awards and communicating with the UC call centres. Data Sharing
legislation has been passed which will allow better liaison between the
Department for Work and Pensions (DWP) and landlords. It is hoped this will
improve the working relationship with the DWP call centres and thereby
reduce the timescales over which arrears are allowed to accrue.
16.3 The number of under occupiers has dipped below 1,000 for the first time, with
97 per cent of under occupancy charges paid since the charges were first
implemented. There are very few tenants now downsizing, possibly as some
anticipate the charge will be removed if there is a change of Government in
May 2015.
16.4 Stockport Credit Union, supported by Stockport Homes, went live with the new
Crisis Loan process in November 2014. Since then, 19 loans have been
granted for Stockport Local Assistance Scheme. These have been to a
mixture of families and single people, and have ranged from £50 to £300. To
date, only one loan recipient has defaulted which is a very positive start. In
2015, Stockport Homes is focussing on working with the Credit Union to
implement affordable immediate loans for products such as laptops and white
goods which are commonly offered by other lenders at high rates of interest.
16.5 The European Social Fund (ESF) team’s contract to support people into
employment ends in March 2015, with all support ending in June, so
proposals are being developed for Stockport Homes’ future work in this area.
Funding for the Digital Heroes project has been extended until December
2015, and supplemented by an accredited classroom based IT skills course
aimed at those who may need a qualification to assist with their search for
employment. A pilot project to install free wi-fi into three Brinnington Tower
blocks to benefit both residents and contractors working in the area has been
approved, with the system due to be installed by around the end of April 2015.
16.6 For further information please contact Tanya King, Social Inclusion Manager
on 0161 474 2887 or at Tanya.king@stockporthomes.org
17
NATIONAL FEDERATION OF ALMOS – ANNUAL
SURVEY
17.1 The 2014 Annual Survey
shows that ALMOs across the
country are continuing to
provide a wide range of
services but are increasingly tailoring those to local circumstances and
focusing on areas where they can make a real difference. The full report and
a two page summary have been uploaded to dropbox for Board members’
information.
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18
Item 03
CONSTITUTIONAL AND RELATED ISSUES
18.1 Board members have been consulted on a discussion paper summarising
possible changes to the company’s Articles of Association. All feedback has
been analysed by the Governance Manager and further discussions will take
place at the Board away day on Tuesday 31 March.
18.2 It is normal to review the Board ‘s Scheme of Delegation and both sub-groups’
terms of reference and in the first meeting cycle of each calendar year. The
Governance Manager completed a desk top review of these in January and
concluded that (a) no immediate changes are necessary and (b) it would be
better to review and amend the documents after the revisions are made to the
Articles of Association.
18.3 The Contract Procedure Rules (CPRs) are being reviewed by the Assurance
Manager. March’s Board meeting would be the normal place to bring any
changes. However, one of the key source documents, the Public Contract
Regulations, is being reviewed by the Government and changes to Stockport
Homes’ CPRs should only be made in light of the updated national guidance.
18.4 The chairs of the Board and the sub-groups supported the approaches
proposed in 18.2 and 18.3.
19
MANAGEMENT AGREEMENT
19.1 Discussions are progressing well with large areas of agreement. Anticipated
differences are mainly around the memorandum and articles. There is a
timetable in place which manages the process to be completed in time for the
next AGM.
20
GREATER MANCHESTER PROVIDERS
20.1 The Greater Manchester Providers forum is growing in strength, doing lots of
work together and trying to contribute to the devolution agenda. It was
actively supportive of the recent ‘Homes for Britain’ campaign.
21
CONCLUSION
21.1 At this time of year there is a lot of focus on planning for the next financial
year and bringing to an end this one. Both of these activities are going
well. The Delivery Plan and budget are in an advanced state, looking to the
future, both in maintaining our ambitions, working constructively with the
Council, planning both operationally and financially for a new office but still
hopefully planning to celebrate both our ten year birthday and our future
Management Agreement.
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Item 04
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
24 February 2015 Leadership Forum
Title of Report:
OLDER PERSONS STRATEGY 2015-18
Report of:
DIRECTOR OF NEIGHBOURHOODS AND SUPPORT
Confidentiality
Non Confidential
Purpose of Report:
To present the Older Persons Strategy 2015-18 for approval
Type of Report
Decision
Recommendation(s):
It is recommended that the Board:
Approve the Older Persons Strategy 2015-18 and its
associated action plan.
Financial Implications of
the recommendations
The majority of actions to deliver the Older Persons Strategy
can be delivered from existing budgets. Completion of a
review on the delivery of the Sheltered Scheme Manager
Service is expected to realise savings which will be
reinvested in delivering services to older people within the
wider community. Certain actions will only be delivered if a
market is established and users are willing to pay.
Value for Money
Implications of the
recommendations
An effective Older Persons Strategy will ensure that Stockport
Homes fully understands and prepares for the impact of an
ageing population within its tenant and customer base. By
ensuring customers are living healthily and well, Stockport
Homes will support tenants and customers to maintain
independent living for as long as possible, thereby preventing
crisis and reducing reliance on reactive and statutory services
such as Health and Adult Social Care.
Risk Implications of the
recommendations
Risk
Number
Risk#
Risk Description
That Stockport Homes fails to implement
appropriate measures to support its ageing tenants
and customers resulting in a reduction in the
Item 04 OLDER PERSONS STRATEGY 2015-18
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Item 04
proportion of older customers able to live
independently.
To mitigate the Action Plan seeks to ensure
appropriate measures are implemented which will
maximise our contribution to the promotion of
independent living
Risk#
That older people within SHL properties and
accessing SHL services become isolated and
suffer poor health, resulting in increased
presentations to Health and Social Care services
at crisis point and at high cost.
To mitigate the Action will implement appropriate
health and well-being measures to tackle social
exclusion and other health-related problems
Safeguarding
Implications of the
recommendations
Safeguarding concerns are prevalent amongst older people,
particularly where older people are socially isolated from their
peers and the wider community. By ensuring services are
delivered to older people within general needs
accommodation and the wider community, safeguarding
concerns can be identified and acted upon. All staff working
with older people receive Safeguarding training appropriate to
their role.
Equality & Diversity
Implications of the
recommendations
Older People make up a significant proportion of Stockport
Homes tenant base (over 25% of SHL tenants are aged 65 or
over) and this trend will increase further as people continue to
live longer and the tenant base ages. This Strategy
recognises that older people are a diverse and vibrant group
and seeks to address their different needs and aspirations.
Equality Impact
Assessment
Does an EIA need to be
completed? Yes
Environmental/
Sustainability
Implications
Stockport Homes Sheltered Housing Schemes are a valuable
asset but were built at a time where the needs and
aspirations of older people were markedly different. Some
schemes are fit for purpose whilst others require considerable
investment in order to ensure they meet the modern
standards and expectations for older persons housing. In
addition few schemes are actively used as a resource for the
If so, has one been
completed? Yes
Item 04 OLDER PERSONS STRATEGY 2015-18
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Item 04
wider community. A full options appraisal and action plan is
therefore a key action of the Strategy.
Customer Impact
Older People make up a significant proportion of Stockport
Homes tenant base (over 25% of SHL tenants are aged 65 or
over) and this trend will increase further as people continue to
live longer and Stockport Homes tenant base ages, with
increasing numbers of people living to be very elderly.
Stockport Homes Older Persons Strategy provides a vision
and action plan to ensure high quality, accessible services
are delivered which meet the needs and aspirations of older
people living within SHL properties and accessing SHL
services.
Content of Report
signed-off by Director
April Higson
Contact Officer
Anne-Marie Heil
Contact Details
0161 474 3720
24/02/2015
anne-marie.heil@stockporthomes.org
Item 04 OLDER PERSONS STRATEGY 2015-18
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Item 04
1
INTRODUCTION
1.1
Stockport Homes Older Persons Strategy sets out the organisation’s vision and
commitment for addressing the current and future housing and support needs
of older people living within SHL properties and accessing SHL’s services. It
provides a framework for future generations of older people, providing greater
choice and improved quality of housing and support.1
1.2
The Strategy links to Stockport Homes mission to Transform Lives, with
specific links to the aims to:


1.3
Support customers in all aspects of their lives through effective
partnership working
Develop our thriving, safe and sustainable neighbourhoods, maximising
our contribution to meeting housing need
Stockport Homes Older Persons Strategy has six key aims:






To ensure older people are living safely, securely and independently
within the community
To provide housing which meets the needs and aspirations of older
people
To support older people to age healthily and have improved levels of
health and well-being
To help prevent, delay or reduce needs for care and support amongst
older tenants and customers2
To improve the inclusion and engagement of older people and reduce
social isolation
To build individual and community capacity and resilience amongst older
people
2
OLDER PERSONS STRATEGY OVERVIEW
2.1
This is Stockport Homes first Older Persons Strategy. Researching and
evaluating a range of data and evidence has been a critical part of the
preparation and formulation of the Strategy as has the consideration of other
strategies and work streams which seek to address the needs of an ageing
population.
2.2
In order to fully understand the implications for Stockport Homes and action
plan for the future the Strategy considers the following:

National data on demographics
1
The full strategy is 31 pages. It has been uploaded to Dropbox for Board members’
information.
2
Care Act 2014
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







Item 04
Local data on demographics including Census data
Housing Market and Needs Assessment 2011
Stockport Homes current tenant profile
Stockport’s Housing Strategy for Older People ‘Quality, Choice and
Independence’ 2012-2015
Housing Strategy for Stockport ‘A Good Place to Live’ 2010-2015
Extra Care Strategy
Stockport’s Borough Plan
Stockport Council Preventative Commissioning Strategy
2.3
Consultation with older people and those that will become older people was a
critical part of the development of the strategy and a range of consultation
activities and events were undertaken. In partnership with stakeholders detailed
questionnaires were developed which explored the current housing situation of
respondents and critically their thoughts, expectations and ideals regarding
future housing and support needs.
2.4
A critical challenge identified by the results of the consultation was that the
overwhelming majority of respondents were not thinking about or planning for
their future housing and support needs and that those who had moved to
specialist housing for older people had generally done so as a result of health
issues or crisis. This will pose challenges for Stockport Homes in terms of
supporting people to think about and prepare for a fulfilling and independent old
age at an earlier stage.
2.5
For those respondents who did not currently live within specialist housing for
older people, although they had not started thinking about their future housing
needs in detail, the majority stated that at present they wished to remain where
they currently lived and recognised that to do so they would need other
services which generally they would be prepared to pay for.
2.6
The Strategy recognises that Stockport Homes currently delivers a wide range
of services to older households including:









Specialist housing provision including nine sheltered housing schemes,
one extra care scheme and 528 Category 1 properties3
CareCall Service
Adaptations and Disabled Facilities Grants
Housing Support Service
Home Improvement Agency & Housing Renewal Schemes
Current Tenant Visit
Winter Welfare Visits
Debt Advice
Older Persons Activity Co-Ordinator
3
Category 1 properties have a 60 plus age restriction and provision of the CareCall Monitoring
Service
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

Item 04
Assisted Gardening Scheme
Health and Well-Being Activities
3
OLDER PERSONS STRATEGY ACTION PLAN
3.1
Whilst recognising that Stockport Homes currently delivers a range of services
for older people, the Action Plan (Appendix 1) outlines Stockport Homes aims
and ambitions for the delivery of services which meet the future needs and
aspirations of older people.
3.2
Key actions included within the Action Plan are:










Reviewing and modernising the Sheltered Scheme Manager Service
Investigating the market for delivering wider, chargeable services
Completing an in-depth option appraisal and associated Action Plan for
all sheltered schemes
Working in partnership with SMBC and other providers to increase the
supply and choice of specialist housing for older people
Developing Activity HUBs within each sheltered scheme, accessible to
the wider community
Strengthening links with organisations working with older people in the
borough, regionally and nationally
Appointing and training Dementia Champions across the organisation
Expanding and developing the range of services offered by the
Handyperson Scheme
Implementing a range of health initiatives including promotion of flu jabs
and actions to reduce the risk of slips, trips and falls
Expanding and developing the range of services offered by the Home
Improvement Agency
4
CONCLUSION
4.1
The Older Persons Strategy 2015-18 provides a detailed analysis of the impact
of changing demographics on our customer base, a real time evaluation of
Stockport Homes current offer to older people and a clear and comprehensive
framework to ensure Stockport Homes delivers choice and a range of services
which meet the needs and aspirations of older tenants and customers in the
future.
5
RECOMMENDATIONS
5.1
It is recommended that the Board:
Approves the Older Persons Strategy 2015-18 and its associated action plan
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Item 04a
Action Plan
Aim no
Older Person Strategy Aim
Action
Desired outcome (including any specific performance indicators and
targets that will be used to measure the achievement of the outcome)
Deadline Date
Customer involvement required to deliver
1
To ensure older people are living safely, securely and
independently within the community
Review the Sheltered Scheme Manager Service to ensure it is fit for
purpose and delivers a high quality support service
Review completed and options for improvements implemented
31 March 2016
Focus Groups with customers
2
To ensure older people are living safely, securely and
independently within the community
Review the role of the Sheltered Scheme Manager and consider the
possibility of diversification to include housing management and delivery
of support services to older people within general needs accommodation
Review completed and options for improvements implemented / Increase in support
delivered to older people living within general needs accommodation
31 March 2016
Focus Groups with customers
3
To ensure older people are living safely, securely and
independently within the community
Options identified and implemented where appropriate
30 June 2015
Focus Groups with customers
4
To ensure older people are living safely, securely and
independently within the community
IT system secured and implemented
31 March 2016
5
To ensure older people are living safely, securely and
independently within the community
Programme developed and delivered / Increase in knowledge, skills and confidence
amongst Scheme Managers / Scheme Managers undertaking a wider and more diverse
range of tasks and responsibilties
30 June 2015
6
To ensure older people are living safely, securely and
independently within the community
Appropriate budget secured / Range of adaptations delivered
31 March 2016
Customers accessing Repair 1st Handyperson Scheme
31 March 2016
7
8
To ensure older people are living safely, securely and
independently within the community
To ensure older people are living safely, securely and
independently within the community
Investigate the possibility of rotating the Sheltered Scheme Managers
between schemes on a regular basis to enable development of roles and
schemes
Source and implement a comprehensive IT system for the recording of all
Support Planning, calls, case notes, building and Health and Safety
checks
Develop an accredited training programme for Sheltered Scheme
Managers
Ensure the Adaptations budget for council tenancies is appropriately
resourced and adaptations are delivered in a timely manner and
competively priced
Expand and develop range of services offered by the Handyperson
Scheme
Review financial implications/ budgets to ensure any proposed services
are viable.
Proposals implemented within budget.
31 March 2018
Enable an older person to remain independent in their own home and potential to
reduce waiting list and adequately rehouse customers who may otherwise find it difficult
to find suitable accommodation
30 September 2015
Promotion completed and bogus caller incidents reduced
30 June 2015
Local Letting Policies implemented and / or Allocation Policy Reviewed / Flexible
transfers completed
30 September 2015
Programme of minimum of 25 varied events available each month.
31 March 2017
9
To ensure older people are living safely, securely and
independently within the community
10
To ensure older people are living safely, securely and
independently within the community
11
To ensure older people are living safely, securely and
independently within the community
12
To ensure older people are living safely, securely and
independently within the community
13
To ensure older people are living safely, securely and
independently within the community
14
To provide housing which meets the needs and
aspirations of older people
15
To provide housing which meets the needs and
aspirations of older people
16
To provide housing which meets the needs and
aspirations of older people
17
To provide housing which meets the needs and
aspirations of older people
18
To provide housing which meets the needs and
aspirations of older people
19
To support older people to age healthily and have
improved levels of health and well-being
Specialist training for front line staff to improve liaison with customers with
Knowledgable and trained staff are in place. Tenants and service-users are supported to
a hearing impairment. Promote specialist telecare equipment, loop
access specalist Telecare equipment as required.
systems in schemes, marketing literature etc
20
To support older people to age healthily and have
improved levels of health and well-being
Develop a comprehensive directory of organisations delivering services to
older people in Stockport including Age UK, Disability Stockport
Directory completed
31 May 2015
21
To support older people to age healthily and have
improved levels of health and well-being
Introduce initiatives to reduce risk of slips and falls in residents property.
Fewer residents injured due to slips and / or falls
31 March 2017
Explore a 'Home Share' option for Stockports residents
Work with the ASB Victim Champion to roll out "bogus callers" awareness
sessions at sheltered schemes and develop article for customer
newsletter
Investigate potential to facilitate more flexible internal transfers within
sheltered schemes
Expand and develop the range of services offered by the Home
Improvement Agency. To include exploring the potential for/ developing a
community support and events scheme for older vulnerable people. (Link
with development of OPAC role)
Ensure front-line staff understand the Safeguarding needs of older people Staff have increased knowledge and confidence in dealing with Safeguarding concerns
30 June 2015
Review the current arrangements for the housing management of both
sheltered schemes and Category 1 properties, including investigating the
benfits of transferring the responsbility to Independent Living Services
Comprehensive support and housing management service delivered by one team and
where possible by one Officer
30 June 2015
Options identified and implemented where appropriate
31 March 2016
Option Appraisals completed
30 June 2015
Develop an annual Improvement programme for sheltered schemes
Annual Improvement Programme developed and implemented / Improvements
completed on schemes / Increased level of satisfaction with physical aspects of the
scheme amongst residents
31 March 2016
Work with SMBC and other housing partners to increase the supply and
choice of specialist accommodation for older people
Increase in the housing options available to older people
31 March 2018
Investigate options to deliver additional support services to those living
within Category 1 properties via an increased service charge
Complete an in-depth Option Appraisal of all sheltered schemes to
include a range of options including investment only, investment with
minor improvements, radical remodelling and demolish and
redevelopment of site
1 of 2
Item 04aPage
appendix
one
Focus Groups with customers
31 March 2016
Yes - to engage with groups around what could be
implemented / needed.
Other
Inform
ation
Page 31 of 208
Item 04a
Aim no
Older Person Strategy Aim
Action
1
To ensure older people are living safely, securely and
independently within the community
22
To support older people to age healthily and have
improved levels of health and well-being
Review the Sheltered Scheme Manager Service to ensure it is fit for
purpose and delivers a high quality support service
Deliver an annual programme of visits to older tenants not in receipt of
sheltered support or the CareCall service to promote health and wellbeing
23
24
To support older people to age healthily and have
improved levels of health and well-being
To support older people to age healthily and have
improved levels of health and well-being
Promote the uptake of flu jabs amongst older tenants
Appoint and train Demential Champions acorss SHL
Desired outcome (including any specific performance indicators and
targets that will be used to measure the achievement of the outcome)
Deadline Date
Customer involvement required to deliver
Review completed and options for improvements implemented
31 March 2016
Focus Groups with customers
Visits completed / Older People provided with information and advice on keeping warm
and well during Winter / Appropriate follow-on support provided and referrals completed
01 March 2015
Promotion completed / Surgeries at sheltered schemes? / Increase in up-take of flu jabs
by 10%
30 Dementia Champions appointed and trained / Increased awareness of dementia
issues amongst staff
31 March 2016
31 March 2016
25
To help prevent, delay or reduce needs for care and
support amongst older tenants
Work with partners in Housing Strategy and Adult Social Care to develop
a long-term strategy for the delivery of Extra Care at Birch Court
Strategy developed
31 March 2016
26
To help prevent, delay or reduce needs for care and
support amongst older tenants
Investigate options to provide additional support services which are
chargeable to the service-user
Options identified and implemented where appropriate
31 March 2016
Focus Groups with customers
27
To help prevent, delay or reduce needs for care and
support amongst older tenants
Understand tenancy turnover within Sheltered Schemes where turnover
not attributed to death.Monitor reasons for tenants moving to residential
care from older persons housing.
Tenancy turnover in scheltered schemes reduced by ??% by (long term aim)
Established support services in place to ensure home for life rather than moving to
residential care
31 March 2015
Yes - additional contact with those customers terminating
their tenancy who do not terminate due to death or moving
into ressidential care (or equivalent)
28
To help prevent, delay or reduce needs for care and
support amongst older tenants
Appropriate budget secured / Adaptations delivered / CCG recognise value of
Adaptations as preventative tool
31 March 2016
29
To help prevent, delay or reduce needs for care and
support amongst older tenants
Accurately monitor spend and demand for Disabled Facilities Grants and
lobby the Clinical Commissioning Group to ensure the value of such is
recognsied and appropriate resources are secured
Deliver Improvement Plan following the review of the Carecall service
Introdcue new structure
Introdcue new pricing structure and servies
31 March 2015
30
To improve the inclusion and engagement
of older people and prevent social isolation and financial
exclusion
Develop an Activity Hub within key sheltered schemes which delivers
varied and stimulating activities to both residents and the wider
community
Activities hub developed in 2 schemes. 25 activities offered each month
31 March 2016
31
To improve the inclusion and engagement of older
Empower residents to develop and deliver a range of activities within their
people and reduce social isolation and financial exclusion
schemes for fellow residents and the wider community
5 activities delivered weekly in each scheme
31 March 2016
32
33
34
35
36
37
38
To improve the inclusion and engagement
Consider the use of sheltered schemes to support agile working of staff
of older people and prevent social isolation and financial
and make services more accessible to residents and visitors to the
Options identified and implemented where appropriate
exclusion
schemes
To improve the inclusion and engagement
Consultation with tenants where there are proposals for change to current
New financially viable services in place with support from tenants
of older people and prevent social isolation and financial
services. To include financial implications where necessary.
exclusion
To improve the inclusion and engagement of older
Develop intergenerational projects in areas with high concentrations of
Projects implemented where appropriate leading to a reported improvement in
people and prevent social isolation and financial
both older and young people
relationships and perceptions between older and young people
exclusion
To improve the inclusion and engagement of older
Older people are satisfied they have the opportunity to get involved and give feedback
people and prevent social isolation and financial
Review format, frequency and attendance of the Older Persons Hub
on the delivery of the Strategy and Action Plan / Increase in number of older people (not
exclusion
living in sheltered accommodation) attending the HUB
Targeted money management budgeting session for older people
To build individual and community capacity and resilience
Particpants able to manage their budget / Reduced levels of debt / Increased income
delivered from community venues and to include focus on addressing fuel
amongst older people
and/ or reduced outgoings
poverty
To improve the inclusion and engagement
Promotion of services to minority groups or those who are under
Through effective partnership working, help promote understanding and reduce social
of older people and prevent social isolation and financial
represented within current service delivery
isolation.
exclusion
Strengthen links with organisations delivering services to older people in
To build individual and community capacity and resilience
Stockport including Age UK, Disability Stockport etc and explore the
Links developed with organisations / Range of joint working projects undertaken
amongst older people
potential for joint working
39
To build individual and community capacity and resilience Develop and deliver a Marketing Strategy for services delivered to older
amongst older people
people and sheltered schemes as a community facility
40
To build individual and community capacity and resilience
amongst older people
41
Ensure front-line staff have up-to-date and comprehensive knowledge of
To build individual and community capacity and resilience
the services available to older people both internally and through external
amongst older people
organisations
42
To build individual and community capacity and resilience
amongst older people
43
44
no
Work with new and existing resident groups in sheltered
schemes and wider community to provide support and
training
31 March 2016
31 March 2016
Yes
31 March 2016
Yes - engagement with older people and young people to be
involved in projects
01 December 2015
Yes - Customer Attendance at the HUB and promotion of
HUB to older people within the wider community
31 March 2016
Consultation with service-users re. content of sessions
31 December 2015
31 March 2016
Strategy developed / Increased levels of awareness amongst the local older population
on the services delivered to older people
30 June 2015
Yes - focus group with customers re. best methods to
promote the service
Website amended / Information readily available to olde people via the website /
Increased levels of awareness amongst the local older population on the services
delivered to older people
30 June 2015
Consultation with service-users
All front line staff trained. Outcomes in support plans evidence use of training.
30 November 2015
Develop opportunities for older people to stay active and get more
involved within activities in the community buildings
Developing marketing plan to promote new organisation to deliver opportunities for a
wider range of local people including Older residents identifies by Customer involvement
road show
31 March 2015
To build individual and community capacity and resilience
amongst older people
Deliver digital inclusion befriending project for older people, intially
targeted at carers of those suffering from dementia
Participants report reduced feelings of social isolcation and increased confidence to use
internet for social interaction
01 March 2016
To build individual and community capacity and resilience
amongst older people
Explore joint working opportunities with Stockport's TimeBanks
Older people engaging / benefitting from TimeBanking schemes
31 March 2016
Develop an older person specific section on the SHL website
2 of 2
Item 04aPage
appendix
one
Other
Inform
ation
Long
term
aim linking
to future
sustaina
Page 32 of 208
Item 05
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
17 February 2015 Leadership Forum
Title of Report:
DELIVERY PLAN 2015/16
Report of:
DIRECTOR OF CORPORATE SERVICES
Confidentiality
Non Confidential
Purpose of Report:
Board to adopt the proposed Delivery Plan prior to it being
approved by the Council’s Executive
Type of Report
Decision
Recommendation(s):
The Board is recommended to:
Adopt this Delivery Plan, which includes an appended Service
Improvement Plan, corporate performance indicators and
capital and revenue budget summaries for 2015/16.
Financial Implications of
the recommendations
Financial implications resulting directly from the
recommendation of this report have been considered
separately as part of approval processes for revenue and
capital programme budgets. Budget provision has been
made for all growth items.
Value for Money
Implications of the
recommendations
There are no value for money implications resulting directly
from the recommendation of this report. Adoption of this plan
will ensure that value for money remains central to the way
Stockport Homes operates.
Risk Implications of the
recommendations
Risk
Number
01
Risk Description
Stockport Homes does not contribute fully towards
the Council’s transformation agenda
This Plan sets out how Stockport Homes will
support the Council in delivering its transformation
agenda
Item 05 DELIVERY PLAN 2015/16
Page 33 of 208
Item 05
02
Positive, strategic relationships are not maintained
with the Council, local politicians, partners and GM
partners
This Plan is key to ensuring strategic relationships
are maintained with the Council because key
officers have influenced its content and it will be
discussed and formally approved by Members after
it is adopted by the Board.
Safeguarding
Implications of the
recommendations
There are no Safeguarding implications resulting directly from
the recommendation of this report. Adoption of this plan will
ensure that Safeguarding remains central to the way
Stockport Homes operates.
Equality & Diversity
Implications of the
recommendations
There are no equality and diversity implications resulting
directly from the recommendation of this report. Adoption of
this plan will ensure that equality and diversity considerations
remain central to the way Stockport Homes operates.
Equality Impact
Assessment
Does an EIA need to be
completed? No
Environmental/
Sustainability
Implications
There are no environmental/sustainability implications
resulting directly from the recommendation of this report.
Adoption of this plan will ensure that environmental sensitivity
and sustainability considerations remain central to the way
Stockport Homes operates.
Customer Impact
There are no customer impact implications resulting directly
from the recommendation of this report. Adoption of this plan
will ensure that customer engagement and feedback remains
central to the way Stockport Homes operates.
Content of Report
signed-off by Director
Sandra Coleing
Contact Officer
Gill Bennett
Contact Details
474 3823
If so, has one been
completed? Choose an item.
17/02/2015
gill.bennett@stockporthomes.org;
Item 05 DELIVERY PLAN 2015/16
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Item 05
1
BACKGROUND
1.1
Under the existing Management Agreement Stockport Homes is required to
provide Stockport Council with an annual Delivery Plan. This outlines what it
will deliver in order to meet the Council’s objectives over the following year.
1.2
It is anticipated that this will be Stockport Homes’ last annual Delivery Plan
because future Plans are likely to be linked to review periods for the new
Management Agreement, allowing for longer term planning.
2
THE DELIVERY PLAN 2015/16
2.1
The Plan has been developed in consultation with customers and with key
managers from the Council. It is presented on the basis of the Vision, Mission
and Aims. Each section of the Plan outlines what has been achieved during
2014/15 and goes on to say what will be delivered during 2015/16.
2.2
The Plan’s appendices detail Stockport Homes’ revenue and capital budgets,
its Service Improvement Plan (SIP) and its schedule of corporate performance
indicators and measures for 2015/16. Although more detailed versions of these
budgets will be approved by the Board and Council as part of other reports,
they are included here for completeness. The SIP and performance indicators
and measures are formally adopted only as part of the Delivery Plan.
2.3
This draft Plan will be presented for approval to the Council Executive on 17th
March. Members should note that performance outturn information for 2014/15
and targets for 2015/16 will be inserted, based on year end data, before the
Plan is published. Some indicators and measures have been refined since last
year and are now more outcome-focused. Challenging targets will be
developed by senior managers, once 2014/15 outturn figures are known, which
should maintain Stockport Homes among the top performers in the sector.
2.2
CONCLUSION
2.2.1 This Delivery Plan outlines how Stockport Homes will continue to deliver
excellent, value for money services in the context of the Council’s requirements
for the ALMO. It will be approved by the Council after it is adopted by the
Board.
2.3
RECOMMENDATION
2.3.1 The Board is recommended to:
Adopt this Delivery Plan, which includes an appended Service Improvement
Plan, corporate performance indicators and capital and revenue budget
summaries for 2015/16.
Item 05 DELIVERY PLAN 2015/16
Page 107 of 208
Item 06
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
02 March 2015 Business Development Sub-Group
Title of Report:
DRAFT BUDGET 2015/16
Report of:
DIRECTOR OF FINANCE
Confidentiality
Non Confidential
Purpose of Report:
To present the draft budget for 2015/16
Type of Report
Decision
Recommendation(s):
To approve the draft budget for 2015/16 consisting of:



Stockport Homes revenue budget;
The new build budget; and
The capital programme.
Financial Implications of
the recommendations
All planned service delivery areas for the organisation during
2015/16 have been costed fully and provision has been made
within this Budget to enable the organisation to achieve its
key objectives in the coming financial year.
Value for Money
Implications of the
recommendations
This Budget includes growth areas for the business whilst
incurring a less than inflationary increase in the Management
Fee, which represents the organisation delivering advanced
service delivery at optimum efficiency. Further efficiencies
are required to balance the budget.
Risk Implications of the
recommendations
Risk
Number
Risk#
Risk#
Risk Description
New head office is not delivered in line with agreed
budget. This will be managed through careful
monitoring and reporting against a full financial
appraisal.
Failure to generate the forecasted income streams
from new business areas.
The balanced budget is reliant upon budgeted
levels of surplus from commercial works. This will
Item 06 DRAFT BUDGET 2015/16
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Item 06
Risk#
Risk#
be carefully monitored throughout the year so that
remedial action can be taken if budgeted surplus
levels are not achieved.
There is a risk of increased expenditure arising
from welfare reform. In particular there is a risk of
increased voids costs and lower collection rates on
water.
Additional budget provision has been made for
increased voids costs. Budgets will be closely
managed throughout the year so that early
remedial action can be taken if required.
There is a risk of additional costs arising from
completion of part three negotiations.
Budget provision has been made to cover
estimated additional costs.
Safeguarding
Implications of the
recommendations
There are no safeguarding implications arising from this
report.
Equality & Diversity
Implications of the
recommendations
An open and transparent budget contributes towards the
demonstration of equality. Budget provision has been made
to advance equality and diversity arrangements.
Equality Impact
Assessment
Does an EIA need to be
completed? No
Environmental/
Sustainability
Implications
This budget continues to contain significant provision for
investment into environmental measures, many of which
result in cost savings for customers. There are also specific
budgets for sustainability measures.
Customer Impact
This budget has been compiled to ensure that resources are
focussed towards customer priorities without impacting on
day to day service delivery.
Content of Report
signed-off by Director
Suzanne Frier
Contact Officer
Suzanne Frier
Contact Details
0161 474 4410
If so, has one been
completed? No
30/01/2015
Suzanne.frier@stockporthomes.org
Item 06 DRAFT BUDGET 2015/16
Page 109 of 208
Item 06
1
INTRODUCTION
1.1
This report presents the Draft Budget for 2015/16 and was reviewed by the
Business Development Sub Group in detail at its meeting on 2 nd March. The
Business Development Sub Group agreed to recommend the Draft Budget for
approval by the full Board.
1.2
The achievement of a balanced budget has been a significant challenge for
2015/16 due to increased cost pressures and reductions in funding that are
explained throughout this report.
2
BACKGROUND
2.1
The majority of income for Stockport Homes remains from the Management
Fee paid from the Housing Revenue Account (HRA) and as such the
pressures/challenges facing the HRA are pertinent to setting a Stockport
Homes budget. There are a number of challenges facing the HRA as it moves
to its fourth year under the self- financing regime as have been discussed in
various recent reports to the Board. Most notably, 2015/16 is the first year
under the Government’s revised rent policy which limits annual increases to
CPI plus 1%. In 2015/16 this equates to 2.2%, which, if approved, would be
the lowest rent increase since the commencement of self-financing and is lower
than the 2.5% assumed in the Business Plan. The Board of Stockport Homes
have recommended to the Council that rents are increased in line with in line
with the rent policy after reviewing and discussing financial impacts to the HRA
and reviewing customer consultation feedback. The Council’s Scrutiny
Committee met on January 24th and were supportive of the 2.2% increase. A
final decision will be made at the Council meeting on 26th February 2015.
2.2
Management Fee negotiations were undertaken and the fee level for 2015/16
was agreed with the Council based on the same methodology as the previous
financial year, i.e. the Stockport Homes Management Fee reflects the delivery
of 3% efficiencies totalling £761,000 after taking account of inflation expected
on repairs and maintenance expenditure, pay cost pressures and a provision
for energy pressures in the biomass budget for the housing stock. The base
fee in total has increased by £949,000, which includes recurrent elements of
the welfare reform initiatives undertaken last year. The real growth to the core
Management Fee is a less than inflationary increase for the fifth year running at
1.67%.
2.3
The figures above include £40,000 that will, in effect, be financed by the
General Fund. This reflects the transfer of shops and garages to the General
Fund which has the benefit of releasing significant headroom within the HRA to
enable borrowing for the new build programme.
In addition to the core Management Fee, a budget of £356,000 has been earmarked in the HRA for further Welfare Reform /Delivery Plan initiatives which
Stockport Homes will bid for as part of the Delivery Plan. These are outlined at
Item 06 DRAFT BUDGET 2015/16
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Item 06
section 4 (Growth Areas) later in the report and are explained in detail in the
Delivery Plan.
2.4
The HRA remains in a relatively healthy financial position, in part due to the
continued high performance by Stockport Homes on void turnaround times,
rent collection, capital programme efficiencies, and income generating
initiatives. This enables the key targets within the thirty year business plan to
be met, therefore supporting the viability of investment plans over the next thirty
years. The HRA Budget is appended at Appendix Five.
2.5
Stockport Homes’ continues to demonstrate a strong financial management
around efficiencies and value for money that substantially supports the
production of a budget that can withhold the impact of the £761,000 efficiencies
made on the Management Fee. However, this is proving to be no longer
sustainable. To achieve a balanced budget, reserves have been utilised to
finance some short term expenditure initiatives for the third year running.
Following the conclusion of the Options Appraisal, work will now commence on
negotiating a long term management agreement. It is envisaged that this will
encompasses the agreement of a sustainable formula to provide the basis for
negotiating future years’ management fee. However, it should be noted that
the HRA is subject to financial pressures arising from the potential impact of
welfare reform and universal credit on rent collection coupled with historically
low inflation rates resulting in lower than anticipated rent increases.
2.6
The Budget for 2015/16 has been planned against a scene of low rent
increases within the HRA and a continued need to plan for the financial
implications of the Head Office Project. Service delivery continues to be
diverse with management fee funded services comprising 60.5% of budgeted
activity, whilst activity and associated surpluses from commercial and external
works have reduced since the previous year. The new Head Office continues
to be the biggest challenge to the Organisation’s finances and requires careful
management of reserves allocations and set aside funds.
3
ANALYSIS OF BUDGET - OPERATING REVIEW
3.1
OVERVIEW
3.1.1 The following section seeks to provide an overview of what the proposed
Budget for 2015/16 will fund, in particular highlighting new pressures and/or
new income stream generation.
3.1.2 The budget setting programme has taken place during November 2014 to
January 2015. Accountants have met all Budget Managers and Directors and
recorded all service requests in order to prepare the Budget enclosed. Budgets
have been challenged and set in line with the strategic aims of the organisation,
and take into account outcomes of recent customer consultations. Budgets
have been reviewed against the draft Risk Register and Service Improvement
Plan to ensure that all financial implications of plans have been captured.
Item 06 DRAFT BUDGET 2015/16
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Item 06
3.1.3 An overall financial position statement can be found at Appendix One: Draft
Budget 2015/16. The commentary on this appendix highlights the key
variances for income and costs compared to 2014/15 budgets to highlight
areas of change. The Repairs budget can be found at Appendix Two.
3.1.4 The approach to the breakdown of costs is presented to match organisational
strategic plans. Repairs, maintenance and asset management costs on the
housing stock account for 52% of expenditure in the Management Fee. All
non-payment costs, as with pay costs, have been subject to detailed review
with responsible Directors to ensure that estimates reflect anticipated activity
and ownership is clear.
3.1.5 Pay costs for 2015/16 have been assessed on a person-by-person basis,
making adequate provision for pension cost increase (17.5 % to 18.3%);
incremental increases where due; and the confirmed pay increase of 2.2% that
took effect from January 2015. The vacancy rate provision is 2.5% based on
previous performance over the past few years. Overall the proposed staffing
numbers have increased due to new initiatives (see Appendix Seven: HR
Establishment). This is in line with organisational growth as set out within this
Budget report.
3.2
REPAIRS AND MAINTENANCE
3.2.1 The Repairs Budgets for 2015/16 incorporates on-going efficiencies and
changes to budgetary pressures and ways of reporting. Voids spend per
property will incorporate increased spend on asbestos removal. Although the
number of voids anticipated for 2015/16 is lower than previously predicted, the
average void costs and numbers compared with those pre welfare reform will
continue to present a budgetary pressure. Both voids and repairs will be
monitored on actual spend on labour and materials as Repair 1st moves away
from the Schedule of Rate (SOR) target costing towards real-time budget
monitoring. Increased spend areas have been incorporated based on spend
trends on roofing, condensation/mould, drainage and major adaptation repair
spends; strategies will be developed to proactively manage these areas in the
future.
3.2.2 As Repair 1st moves towards new ways of working, Operatives have been
offered flexible hours contracts ranging from 37 hours to 43 hours. The net
impact of take up of these options is to increase the overall establishment by
two whole time equivalents. As work continues to implement flexible working
coupled with improved productivity reporting, it is anticipated that there will be
reductions against the general subcontractor budgeted spend during the year.
3.2.3 The Gas Safety Budget for 2015/16 has reduced slightly this year following a
reduction in management costs as the systems to achieve 100% at month end
continue to be developed and optimised.
3.2.4 The batched works schedule has been completely reconfigured with cyclical
works being scheduled via the Facilities Management (FM) team and nonroutine works clearly identified and costed with Repair 1st as the default
Item 06 DRAFT BUDGET 2015/16
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Item 06
delivery contractor where appropriate. There is an increase in the budget to
reflect annual changes in testing requirements plus the new servicing
requirements of the recently installed biomass boilers. The detailed budgets
are included at Appendix Two.
3.2.5 The Repair 1st Business Plan 2014-2017 has been completely reviewed and a
new plan for 2015-2020 will be issued separately to reflect the outcomes of the
real- TUPE transfers, renegotiations on contracts and future expectations on
commercial works. The Business Plan will be aligned to financial reporting via a
‘Financial Dashboard’ to monitor time true costs for total clarity on performance
and spend (an essential requirement for monitoring the performance of
commercial workstreams). Further details will be included in the Repair 1st
Business Plan report due in the new financial year.
3.3
INDEPENDENT LIVING SERVICES
3.3.1 The Budget for 2015/16 continues to invest in support services and supports a
range of council priorities in delivering support to vulnerable households and
intervening earlier in order to deal with problems before they escalate and
ultimately reduce reliance on statutory services. The Independent Living
Service continues to deliver a range of outcomes for vulnerable households
and equip them with the necessary skills and knowledge to sustain their
tenancies, be independent and self-sufficient.
3.3.2 Following a restructure in 2014/15, three distinct operational services have
been established. The Housing Support Team delivers all support linked to
sustaining tenancies and officers working on mediation, the furnished tenancy
scheme, pre-tenancy training and employability and employment creation. The
Adaptations and Older Persons Support Team deliver both public and private
sector adaptations and support delivered to older people within sheltered
schemes and the wider community. The Private Sector Team deliver the
Social Lettings Service, Stockport Homes Deposit Scheme, the H3 Homefinder
Service, Housing Renewal Schemes and the Gateway Refugee Protection
Programme.
3.3.3 The team have successfully delivered the European Social Fund (ESF) Support
for Families with Multiple Problems Programme. This programme supports
families to address their barriers to the labour market and secure and sustain
employment. The programme is a payment by results model with payments
based on the achievement of various progress measures which address
employment barriers and a larger payment for the achievement of a job
outcome (in work and off benefits for 13 or 26 weeks dependent on qualifying
benefit). The programme has been extremely successful, with income in
2014/15 currently forecasted to be £130,000 higher than budget. As the
programme is coming to an end, new cases can no longer be signed up
however support continues to be delivered to existing service-users to achieve
Progress Measures until June 2015 and Job Outcomes until August 2015.
Work is currently underway to identify and explore potential opportunities for
continued delivery of employment support. Funding to work with a small cohort
of unemployed 18 to 24 year olds has been secured through the Talent Match
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programme and work is currently underway alongside other social housing
providers in Greater Manchester and New Economy to develop an offer to
prime contractors in preparation for the £161 million ESF Skills & Employment
Fund opportunity 2015-2020. Consideration will be given during the year to
utilise water monies to finance an Employment Manager to take this forward. It
is envisaged that, if this occurs, the post will sit within the Social Inclusion
Team within Corporate Services.
3.3.4 The Gateway Protection Programme for Refugees continues to be wholly
funded by the UK Border Agency (UKBA). The regional model has now
developed into a Greater Manchester Model which runs until early 2015 and a
short extension to this is currently being negotiated with UKBA. An opportunity
for further expansion of the programme is currently being explored. The team
have also delivered a new project for Iraqi citizens who have previously worked
for the British Armed Forces, which although small has brought significant
income for Stockport Council. The team are currently exploring an uncertain
but possible opportunity to deliver a similar project for Afghan interpreters.
3.3.5 The Public Sector Adaptations Budget is showing a £50,000 increase
compared to the 2014/15 budget. The team continue to explore alternatives to
adaptations including the effective use of alternative options such as
rehousing. Pro-active work is being undertaken for applicants awaiting fully
wheelchair accessible accommodation. This has included taking suitable
partially adapted properties and doing further works to make them fully
wheelchair accessible. By doing so the waiting list for these properties has
been reduced by 19 households between April and December 2014.
3.3.6 The capital allocation for the delivery of Disabled Facilities Grants from central
government will now be part of the Better Care Fund. Whilst this amounts to
£1.096 million for 2015/16, it is not exclusively ringfenced for DFG’s. The
allocation for DFG’s, and any required additional top ups along with Housing
Renewal monies will not be confirmed by the Council until February 2015.
Demand for DFGs continues to be high and, though operation of a waiting list
has been avoided this year (as opposed to the latter part of 2013/14) via the
use of slippage from the Housing Renewal budgets and the contingency set
aside by the council, concerns remain regarding the challenge that this will
present in the future. Stockport Homes will continue to work with the Council to
identify and agree measures to resolve this in the longer term. In 2015/16 the
service will launch and commence delivery of an ambitious Older Persons
Strategy which seeks to address not just the increasing need amongst older
people living within our properties and the wider community, but also the
growing diversity and aspirations of this group. The strategy is based on
extensive consultation with tenants, residents and stakeholders , with the
Council as a key stakeholder and seeks to support the council’s strategic aims
in terms of early support and prevention, reducing reliance on statutory
services and creating informal networks of support and promoting selfsufficiency and social action.
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3.3.7 In order to deliver this Strategy the structure of the Adaptations and Older
Persons Support Team is being reviewed to ensure it is fit for purpose. Of
critical importance is delivering support and reducing social isolation of older
tenants living in general needs accommodation and within other tenures in the
wider community. Although it is anticipated that existing resources will meet
some of the costs of this restructure, given the volume of older service-users
and the ambitions within the Strategy, growth has been identified in relation to
this team. It is anticipated that three Older Persons Outreach type posts are
required amounting to budgeted growth of £75,000. This would be for 12
months initially, with the continuing need to be reviewed as part of the 2016/17
budget setting process.
3.3.8 The Social Lettings Scheme continues to grow with a total of 70 properties
under the full management service. In addition a further six properties are
being advertised and will be subject to full management once tenanted (figures
as at Dec 2014) The service has a detailed Business Plan which projects that
the service will break even in 2015/16 with a forecasted total of 100 properties
being managed. The Social Lettings Scheme supports the Council in reducing
the number of empty homes in the Borough, provides an alternative housing
option for both homeless households and other households in housing need
and drives up both the standard of accommodation within the private rented
sector and the support delivered to this tenure.
3.4
CARECALL, CONCIERGE AND CARETAKING
3.4.1 The Carecall and Concierge Service from April 2015 will be a combined
service. Providing a combined service leads to many benefits and these can be
summarised as follows:
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
All staff can work across both services which operate 24 hours per day
all year round and reliance on agency staff will be reduced
The service will gain the flexibility to offer new services to support
delivery of the older persons strategy
The service areas become self-financing during 2015/16 and lower costs
will enable the service to be better able to win external contracts.
3.4.2 Voluntary redundancy costs arising from the restructure will be written off over
a three year period and funded through reserves. Excluding redundancy
costs, the combined service is forecast to make a surplus of £21,000 in
2015/16.
3.4.3 Whilst the services have been combined for financial and operational
management purposes, separate financial information will continue to be
monitored for the purpose of costing and setting service charges.
Carecall
3.4.4 The Carecall Service continues to work in line with its Business Plan, which was
updated in 2013 with the plan spanning two years to March 2015. During
2015/16 the service is budgeted to achieve self financing as a result of the above
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new structure. The team achieved accreditation for the fifth year running to the
Telecare Services Association Code-of-Practice for all services provided.
3.4.5 Carecall continues to move the service forward looking at new ways of working
and initiatives to bring in new business. This will see a menu of additional
services offered from April 2015 coinciding with the launch of a new website
which will help promote the monitoring only service to users outside of
Stockport.
3.4.6 Furthermore, the team continue to work in partnership with Stockport Council, in
particular Adult Social Care with a new Telecare contract having been agreed
from April 2015 which allows the service to continue and assist the council in
their prevention agenda and sees an increase in income for Carecall which
represents the work the service provides to some of the most vulnerable clients
in Stockport on behalf of Adult Social Care.
Concierge
3.4.7 Stockport Homes provides a Concierge and CCTV Monitoring service to
enhance the security of properties in six neighbourhoods of high and medium
rise homes, in total over 2,000 tenants. This service constantly monitors over
400 CCTV cameras supporting speedy and effective action against the
perpetrators of anti- social behaviour. Work has begun to merge the team with
carecall and this will be complete by April 2015 This will enable all staff of both
teams to work across both service areas providing a more streamlined and
flexible service. The introduction of new ways of working and all staff being on
the Carecall and Concierge Officer contract has also addressed Part 3 issues for
both teams. Going forward, talks have begun with Stockport Council following
the Council’s request that Stockport Homes examine the potential to take over
the monitoring of the CCTV cameras currently managed by SSK
3.4.8 The most recent development for the service is the introduction of concierge
together with monitoring only cameras on the stairwells at both Beaver and
Voewood House which has already assisted the Area Housing Team in
identifying the perpetrators of ASB. A programme to roll out monitoring camera’s
in corridors to complement existing concierge systems has been developed and
will be progressed during the year subject to consultation with customers.
Caretaking
3.4.9 Since 2013/14, the Caretaking service has implemented a range of
improvements in the way it communicates with customers, following a Customer
Scrutiny Panel review carried out in 2012/13.
3.4.10 These include a reduction in service charges for 272 tenants and leaseholders at
Heaton and Norris Towers and Beaver and Voewood House by working to new
methods. As a result of bringing the Solutions SK cleaning contract in-house
where it complemented the caretaking service in some multi-storey blocks, the
service has saved £73,000 per annum resulting in savings to customers of
between £99 and £154 per annum.
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3.4.11 Going forward the service will be looking at how to expand and diversify the
services that it currently provides to increases its income stream. This will
include:
 Scrap metal recycling
 Eviction clearances
 Void clearances
 Bio-hazard cleaning.
3.4.12 In 2015, discussions with both staff and unions will begin to address the Part 3
payments which is expected to bring further efficiencies to the service.
Furthermore, the service will be assessing the viability of bringing in-house the
remaining SSK cleaning service at low-rise and sheltered housing within the
borough.
3.5
NEIGHBOURHOODS
3.5.1 Stockport Homes continues to work hard to minimise the impact of Welfare
Reform for customers. Work to support customers affected by under-occupancy
capping including support to find suitable alternative accommodation and work of
the strategic Welfare Reform Group will continue into the next financial year.
With further changes, including the roll out of Universal Credit and the move from
Disability Living Allowance to Personal Independence Payments, it is envisaged
that this work will need to continue into the foreseeable future. The Area
Teams will also start to prepare for the move to the new Head Office by
realigning the way the Customer Services and Voids teams operate.
3.5.2 During 2015/16 it is intended that the positive initiatives developed as part of
Block Management are rolled out across other parts of the Borough. This will
include a roll out of Penny Lane Pantry, targeted intensive housing management
and tenancy support. The role of the Positive Engagement Officer will also
continue to develop and the ASB team will be working closely with the Council to
take on responsibility for the service of Community Protection Notices linked to
Stockport Homes’ properties.
3.5.3 The feasibility of a social enterprise linked to rolling out the successful furniture
re-use scheme will also be explored this year.
Sustainability
3.5.4 The Board agreed a four year contract extension with Glendale for the
Greenspace contract from 2013/14. During the first two years no inflationary rate
was applied, for 2015/16 the contract costs will rise by 0.8%, .The increase is
less than the RPI rate of 2.4% as a negotiated discount of 1.5% was has been
agreed with the contractor. The contract continues to be monitored to ensure
value for money and anticipated annual operational efficiencies of £65,000
during 14/15.
3.5.5 The successful Blue Sky project, delivered in partnership with Groundwork
during 20014-15, provided employment and training opportunities for exoffenders living in Stockport in addition to supporting wider social inclusion,
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environmental management and greenspace strategies. Approximately 200
Stockport Homes schemes will be completed over the year, As previously these
will be based around public realm improvements, including garden enforcement
works, routine environmental works, including clearance of sites, landscaping,
fencing, access and grounds maintenance works. As part of negotiations with
Blue Sky, the total cost of the project is £96,929, with a contribution from
Groundwork of £45,556, and a contribution from Stockport Homes of £51,413;
£26,143 of which is funded from the Water Budget. Stockport Homes will work
in partnership with Blue Sky to identify opportunities to secure grant to support
throughout the year. Where appropriate on works related to garden enforcement
customers will be re charged for works.
3.5.6 Stockport Homes is committed to ensuring safe and accessible play spaces for
children and young people. During 2013-14 a three year service level
agreement was agreed with the Council to undertake regular inspections and a
maintenance programme on play spaces managed by Stockport Homes.
Stockport Homes will continue to work with the Council to ensure sites are
maintained and where appropriate improved in consultation with customers
during 215/16. A budget allocation of £35,000 has been made for the year,
which is broken down into £6,000 for work covered by the SLA and a further
£29,000 for improvements and/or major works. This follows recommendations
from Stockport’s Public Realm service as part of the Councils review of play
surfaces to comply with health and safety legislation and on-going strategic
review of maintaining quality and accessible play spaces in the long term. The
Council will undertake a further review of play space provision during early 2015
in line with it’s Investing in Stockport project. Whilst the outcome of this review is
not yet known, it is likely that resources for the on- going provision and
maintenance of play spaces is likely to be significantly reduced, which may
impact on Stockport Homes’s play areas.. Stockport Homes will engage in the
review process and will seek the best outcomes for the organisation and
customers.
3.5.7 In addition Stockport Homes will continue to seek opportunities with the Council
and community groups to secure additional external funding resources to
improve play provision across the borough where appropriate to support
improvements to build on the positive outcomes achieved during 2014/15
where, for example, working in partnership with customers and the Council
funding was secured for projects within neighbourhoods managed by SHL, for
example play equipment on Cherry tree estate
3.5.8 A successful year of working in collaboration with customers, stakeholders and
partners has secured £350,000 of external funding and £370,000 of non-cash
resources. During 2015/16 it is estimated that £250,000 of external funding and
an additional £250,000 of non-cash resources such as volunteer time will be
secured by Stockport Homes in partnership with community groups, tenant and
resident associations, key stakeholders, Stockport Council and local and national
funders. Whilst a positive outcome, there are challenges in ensuring continued
success, with a growing competition for resources, a growing number of groups
and stakeholders seeking advice direct from Stockport Homes which will require
support to enable them to be “bid ready” and the continued support needed for
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those who want to progress from local funders to large funders. Additionally
funders are applying stricter criterion on grants, targeting geographical areas and
focusing on outcomes that have the widest benefit. Support to develop skills and
knowledge will be required to ensure that where possible greater amounts of
funds can be secured. Stockport Homes Funding Officer and Assistant will
continue to work with all to identify potential sources of funding, supporting bid
preparation, submissions and monitoring requirements as set out by funders.
Projects and Performance
3.5.9 Prior to the establishment of the Neighbourhoods and Support Directorate, in
approximately 2011 the role of temporary Project Officer was created within the
Housing Needs and Support Services Directorate (HNSS), to undertake the work
required to achieve accreditation for the Carecall Service, this post was funded
from within existing management fee. When Stockport Homes restructured in
April 2013, this post was transferred into the newly created Neighbourhoods and
Support Directorate (N&S) and took on a wider remit, linked to developing
policy, procedures and strategy across the whole Directorate.
3.5.10 The temporary Project Officer role continues to support all areas of N&S
including Area Teams, Anti-Social Behaviour Team, Carecall, Caretaking,
Concierge, Sheltered Housing and Independent Living Services (ILS).. The
forward work plan for the Project Team includes a focus on the move to new
head office and the successful merger of two busy, front line service providing,
area housing teams. The post has been funded from within the management fee
year on year throughout this time.
3.5.11 The continuation of this role is key to ensuring the on-going development and
delivery of strategies , policies and service improvements together with the
development and delivery of specific projects as set out above, both within the
Directorate and at a cross Directorate level. It is therefore proposed that this
post continued to be funded through existing budgetary provision and be made
permanent.
3.6
CUSTOMER FINANCE
3.6.1 The recurring focus for this service area has been to minimise the continued
impact of major welfare reforms on rent collection levels, in particular, the 2nd
year of reductions in Housing Benefit to under-occupying tenants and the
introduction of Universal Credit from November 2014.
3.6.2 The provision of effective advice services and innovative collection methods over
the year, has ensured that high rent collection performance continues in the
context of welfare reform impacts.
3.6.3 To meet the increasing demand for advice and support for tenants facing
financial hardship, the Money Advice Team was further expanded during the
year with an additional Money Advisor and Apprentice added to the team. Money
Management sessions have also been developed and are being delivered to
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customers in need of support with budgeting skills. These sessions are essential
in preparing customers for the transition to Universal Credit.
3.6.4 The Court Service unexpectedly announced a 150 per cent increase to court
issue fees during April 2014. An innovative arrangement with Stockport County
Court means a room is used by Money Advisors for pre-court interviews with
customers at risk of possession or eviction proceedings has helped reduce the
number of cases progressing to court. This together with refinement of pre-court
recovery processes has helped minimise the impact of the increase in court fees.
The court cost budget for 2015/16 has been increased to reflect the increased
fee and potential effect of arrears relating to increasing numbers of customers
claiming Universal Credit.
3.6.5 Addition budget has been identified for 2015/16 to fund additional liaison staff
within the Council’s Housing Benefit (HB) team, following the removal of Housing
Benefit system access from Stockport Homes’ rent recovery staff. The team are
dependent on claim information to ensure that HB claims are quickly processed
and customers supported to ensure claims remain in payment. It is hoped that
funding additional liaison will negate the impact that restrictions to HB system
access will have on rent collection and arrears levels.
3.6.6 The team’s focus is no longer purely on tenants. Business diversification means
that the customer base that the team deal with will continue to change, and
different skills and collection techniques will be required. To reflect this small
restructure has taken place within the Miscellaneous Debt Team to ensure that
job roles and structure supports growth of organisations commercial activities.
3.7
DEVELOPMENT
3.7.1 Stockport Homes and Stockport Council are classed as Registered Providers
(RPs). This means that unlike previous years both organisations are registered
with the Homes and Communities Agency and can both bid for grant to help
build new homes and acquire existing properties. Stockport Homes is
responsible for the management of the bid process and delivery of the new build
programme on behalf of both organisations.
3.7.2 The HCA has confirmed that Stockport Homes was successful in being allocated
all grant applied for as part of the Affordable Housing Programme (AHP) 201518. Subject to receiving planning permission and acquiring the identified sites the
AHP means that a minimum of 279 new homes will be built or acquired by
Stockport Homes between 2015 and 2018. In addition Stockport Homes has
secured the development of 49 properties through section 106 obligation of
private sector house builders.
3.7.3 The current grant allocation from the HCA contributes to around 25% of the total
scheme cost of building including land acquisition, construction and professional
fees with the remaining costs being made up by borrowing. The ability of both
the Council and Stockport Homes to bid for grant means borrowing can be
accessed both through headroom within the Housing Revenue Account and
Stockport Homes’ loan facility.
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3.7.4 Since 2010 using the grant and borrowing methodology SHL have built or have
on site 219 new build properties and acquired a further 80 properties through
schemes such as mortgage rescue, empty homes initiatives and the buying back
of right to buy properties.
3.7.5 As a result of the new build development and acquiring existing properties
Stockport Homes has become the biggest affordable housing developer in the
Borough. Stockport Homes continues to look for development opportunities and
have an on-going healthy allocation of grant from the Homes & Communities
Agency. In addition Stockport Homes are looking for opportunities outside of the
grant regime such as Section 106 agreements with private developers.
3.7.6 Stockport Homes and the Council are working closely together to ensure there is
the capacity to deliver the 2015 – 18 bid programme and meet future ambitions
for new build. The ownership of garages and shops have transferred to the
General Fund, releasing headroom to enable additional borrowing for new build
and a paper will be taken to the Council’s Executive to request a substantial
increase in Stockport Homes’ borrowing facility over the next five years.
3.8
HOMELESSNESS SERVICES
3.8.1 Homelessness Services are subject to a decrease in funding in 2015/16 of
£100,000 from the general fund, which creates a financial pressure on the
service. This has been managed through reductions in scheme improvement
budgets.
3.8.2 During 2014/15 a large scale modernisation programme was undertaken at
Buxton Road Men’s Scheme, improving the facilities available and the energy
efficiency of the accommodation. While there is a risk to income from Brindale
House as a result of the Benefit Cap , the efficient running of the service will still
allow some investment in the structure of the temporary accommodation
schemes in 2015/16.
3.8.3 While Buxton Road needs no further works for some time, there are a range of
energy efficiency measures that can be taken to reduce costs to Stockport
Homes and residents, as well as working towards reducing the carbon footprint
of the organisation. In addition, , there are other works that can be taken to
make communal areas and units easier to maintain, clean and manage – such
as installing more hard wearing floor and wall coverings. A total of £100,000 is
being set aside for these works for 2015/16.
3.9
PEOPLE & ORGANISATIONAL DEVELOPMENT
3.9.1 During 2014/15 work took place to explore options for improving the access and
functionality of the HR system, ITrent. This concluded that the system
limitations impacted significantly on Stockport Homes. Consequently, a project
team has been established to review the HR system and consider options to
address the issues going forward. In the event that the outcome of this review is
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procure a new system that meets the business needs, a provision of £80,000
has been included in the budget for 2015/16.. As this project is likely to be
capital in nature, it has assumed to be financed from reserves.
3.9.2 A new occupational health provider was appointed in May 2014 and an
Employee Assistance Programme, giving staff 24/7 access to help to deal with
personal problems that might adversely impact their work performance, health
and well-being, was introduced at the same time. To cover the cost of this
additional service and administration fees, the budget has been increased by
£10,000 for 2015/16.
3.9.3 Changes were made to the Car Lease Scheme in September 2013 which gave
greater access to those staff whose roles were assessed as needing a car as an
essential requirement to be able to do their job. This resulted in a significant
increase in 2014/15 to the number of lease cars Stockport Homes has which
was considered when the decision was made. Therefore and an additional net
provision of £30,000 has been included in the 2015/16 budget to cover these
costs plus anticipated new lease contracts.
3.9.4 IiP and Best Companies are important indicators used to measure staff
engagement at Stockport Homes. The IiP full review is due to take place in July
2015 and will cost £11,000, this is a significant increase and is due to the growth
in staff numbers since the last review, the Best Companies budget remains at
£11,000.
3.9.5 Stockport Homes is committed to providing employment opportunities through its
Apprentice Scheme and expects to employ four apprentices in 2015/16
compared with three in the previous year. The budget for 2015/16 has been
increased by £14,600 to reflect this and to cover employer’s national insurance
and superannuation costs.
3.9.6 Worksmart is an important HQ project and acts as the hub for a number of
workstreams, pulling together information to make recommendations to the new
HQ Steering Group. To be able to deliver the change management project a
Consultant has been appointed to support the work. A provision of £10,000 has
been included in the 2015/16 budget for this purpose.
3.10 INFORMATION TECHNOLOGY
3.10.1 A key component to maintain excellence in service delivery is the introduction
and development of an enterprise wide Customer Relationship Management
(CRM) system. This will streamline case management for existing and new
business areas, replace a number of legacy existing IT systems, as well as
provide the core customer view that will enable some of the aims of the HQ
Worksmart and Customer Access workstreams to be delivered. Provision of
£75000in 2015/6 has been made for procurement and initial development, with
other costs offset by reductions in support and maintenance from
decommissioned services. Additional resources to manage this CRM application
will be needed, however this will follow on from a team restructure that may see
one IT post being disestablished, following a service review. As such the overall
IT budget will be broadly flat in 2015/6
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3.10.2 The continued need to deliver effective services to customers has demonstrated
the value of mobile services used in the community. An additional 60 officers
now have the ability to perform part or all of the duties via mobile tablets or smart
devices. This work will continue throughout 2015/16 and will incorporate
additional users and business processes that complement the above CRM
initiatives. Provision of £25,000 has been made to fund the operational costs
necessary. Each business area that has been successfully mobilised has
reported substantial VFM and efficiency savings.
3.10.3 Additional investment will be needed in 2015/6 to ensure systems are securely
updated and a provision of £20,000 has been made for server replacement and
virtualisation.
3.10.4 Follow me printing will be rolled out in 2015 to further reduce the usage and
operational costs of the various multi-function devices across SHL. It is
anticipated that this will save £4000 per annum, and be a key enabler for the
new HQ.
3.10.5 Future service requirements have necessitated looking beyond traditional
delivery models to consider cloud offerings where feasible. This approach can
reduce the capital outlay needed, and allow for greater flexibility and increased
availability of services.
3.10.6 The HQ project will require considerable input from the IT service to ensure
successful delivery. Budget provision of £50,000 has been made in 2015 to
introduce new processes that support the various work streams of this project.
This will be met from reserves.
3.11 INCOME FROM THE COLLECTION OF WATER CHARGES
3.11.1 The Water Budget is included at Appendix Eight. Water collection rates have
proved successful again following the commencement of the renewed contract in
April 2014. Income of approximately £1million was generated for 2014/15. This
year the income has remained focussed on five key themes; protecting income,
financial and digital inclusion, health and well-being, learning and young people,
and tenancy sustainability. Joint projects with the Council have included debt
advice, a housing benefit post and piloting an employment incentive scheme.
3.11.2 A similar level of income is anticipated for 2015/16, although this will be closely
monitored to assess the impact of Universal Credit on customer payments.
Approximately 50% of the budget is allocated to staff posts, of which half are
posts within the Customer Finance team associated with collection of water and
other charges. The remaining 50% of the water budget is allocated between
social inclusion projects through the Strategic Social Inclusion Group (SSIG).
This year, the value of the projects submitted for consideration by the group
exceeds the forecast income, so detailed criteria are being developed against
which the projects can be assessed to ensure only those with the most impact
and representing the best value for customers are funded. The proposed
projects are a mixture of continuing work and new initiatives, and include:
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the creation of a Youth Substance Misuse Worker
an art therapy project to improve mental health in temporary
accommodation
a pre-tenancy cookery and budgeting project for young people
a support worker based at Disability Stockport to assist tenants with
disability benefits
supporting ex-offenders into sustainable employment through grounds
maintenance works
3.11.3 A final decision on funding will be made by the SSIG before year end 2014/15.
3.12 ENERGY COSTS
3.12.1 The Stockport Homes Energy Budget covers the provision of gas, electricity
and biomass fuel for communal landlord supplies, district heating and
operational buildings. The gas and electricity requirements are in contract via
the energy broker Inenco until April 2017 and the biomass is in contract until
September 2015 (option to extend for a further 12 months) under an OJEU
compliant tendering process.
3.12.2 Since April 2014 Stockport Homes has procured their gas and electricity
requirements using flexible/capped procurement methods. With agreement
between Stockport Homes and the Council it was decided Stockport Homes
would undertake this modern procurement route on a risk and reward basis. In
essence this means the Council reserve the right to limit the management fee
increases for energy costs in line with their own contract price increases.
Provision remains within the HRA however for increased energy usage arising
from inclement weather. The Environmental & Energy Manager has forecast
electricity and gas rises at 10% - 15% based on advice given by Trading
Analysts at Inenco. Biomass costs are fixed in contract until September 2015
and officers are currently working closely with the biomass fuel supplier on
negotiated rates which will be in place from September 2015 until April 2016. At
this point in time it is unknown to what the biomass cost will be increased to
however it would be prudent to assume a 10% increase.
3.13 CONSULTANCY COSTS
3.13.1 Consultancy costs in the 2015/16 budget total £263,500 across the Company.
This is an increase of £80,000 compared with last year.
3.13.2 The growth is predominantly due to the Head Office project (£180,000) which
formed part of the Head Office cost appraisal and as such will be funded from
reserve balances. Within the £180,000, £80,000 relates to IT, £75,000 relates
to continuing design and professional costs and £25,000 is for a Stores options
review.
3.13.3 Other notable areas of consultancy include £30,000 for stock condition, energy
and fire assessment works and £10,000 to continue works on setting up a
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charitable subsidiary. A full breakdown of the consultancy budget has been
circulated to the Business Development Sub Group members.
3.14 VALUE FOR MONEY AND EFFICIENCIES
3.14.1 Stockport Homes has a proven track record in managing money well and
ensuring value for money is optimised. Procurement processes are effective,
appropriate systems are in place to carry out VfM reviews and quarterly
meetings take place between budget holders and the Value for Money Officer to
discuss where costs can be reduced and/or quality increased in the way services
are delivered.
3.14.2 The Efficiencies Log contains a detailed evaluation of efficiencies made. Budgets
have been set taking account of those efficiencies and has therefore allowed for
growth items to be funded within the resources available to the organisation,
hence a balanced budget. The identification and monitoring of efficiencies is an
on-going process, however, further in-year efficiencies will still feed into the
global efficiency target for the organisation for 2015/16 which will be set at the
year end.
4
GROWTH AREAS
4.1
This section summarises the key areas of growth within the Budget and how
they are funded, some of which are discussed above but are highlighted below
for clarity. The growth items are funded by a combination of reserves, bids
from the £356,000 available for initiatives within the HRA and efficiencies
achieved by Stockport Homes against the base budget. Reserves have only
been used for short term initiatives.
4.2
NEIGHBOURHOODS AND SUPPORT SERVICES DIRECTORATE
4.2.1 Whilst the budget setting process within the Directorate has resulted in some
growth this is in the context of a number of financial savings and efficiencies in
excess of £250,000. These include the restructure of the Carecall/Concierge
Service and bringing building cleaning into caretaking in a number of blocks,as
well as reductions on decorating vouchers.
4.2.2 Last year’s budget included provision for two additional CSO’s. One will be
continuing into 2015/16 and will be funded through the management fee.
4.2.3 The three older people outreach officers described in section 3.4.7 will be bid
for through the HRA initiatives monies.
4.2.4 A Business Development Officer within Carecall, included in the 2014/15
budgets as a temporary post will continue through 2015/16. This will be funded
through Carecall income.
Item 06 DRAFT BUDGET 2015/16
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4.3
Item 06
CORPORATE SERVICES
Human Resources and Organisational Development
4.3.1 Overall growth in the HR and OD budget is £95,000. This is offset by
efficiencies of £38,000 resulting in net growth of £57,000.




There is growth in the net car leasing budget of £32,000 as explained in
section 3.10.3. This will be funded by efficiencies within existing budgets.
The Investors in People budget has increased by £11,000 as set out in
3.10.5. This will be funded by efficiencies within existing budgets.
Due to the success of the apprentice scheme, it has been expanded to
include one additional apprentice at a cost of £14,600. This will be funded as
an HRA initiative;
Not included in the growth figure above is £80,000 provision for the
development and implementation of a new HR system as described in
section 3.10.1. If this progresses it will be funded by reserves.
Governance
4.3.2 Following the successful outcome of the options appraisal, the management
agreement will be renegotiated during 2015/16. The budget includes £20,000
legal fees to cover this which will be funded through a bid to the Housing
Revenue Account.
Information Technology
4.3.3 Provision was made in the 2014/15 budget to fund the new Customer
Relationship Management (CRM) system using reserves of £75,000. This will
be carried forward to 2015/16 with any additional implementation costs to be
met from efficiencies within the IT budget. Additional data services costs of
£55,000 will also be met from efficiencies arising from staff restructuring and
termination of support agreements.
Marketing
4.3.4 During 2015/16, it is proposed to redesign the Stockport Homes website. The
costs is estimated at £35,000 and it is proposed this is financed by reserves.
The current website is not compatible with smartphones and tablets with
current data indicating that over 50% of social housing customers access the
internet most regularly through these devices with the proportion continuing to
increase.
4.3.5 The aim of the new site is to be responsive in design according to the device,
including tablets and smartphones. This will allow increased online services for
customers and support longer term channel shift. The new website will support
the strategic direction for Stockport Homes, mainly in improving communication
by optimising customer access, supporting customers in all aspects of their
lives, help to minimise our impact on the environment by increasing self serve
and will support diversification into new business areas.
Item 06 DRAFT BUDGET 2015/16
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Item 06
Homelessness Services
4.3.6 £15,000 has been requested to finance the eviction prevention fund. This
allows relatively small payments or loans to be made to households to avoid
the huge disruption, financial and social cost caused by homelessness. Its
uses have varied from helping families access private rented accommodation,
through to travel warrants to help rough sleepers return to areas where they
have support networks
Customer Access and Social Inclusion.
4.3.7 Three bids have been put forward for funding from the HRA initiatives pot to
improve services to customers within this area. These are listed below

There is a £5,000 bid to the HRA to increase youth engagement
initiatives including homework clubs.
£9,000 has been requested to progress data analysis model customer

information to be used to inform service development and marketing. It
has aided in developing initiatives such as targeted winter visits to
vulnerable tenants, and digital inclusion work identifying those least likely
to be on-line and have related skills.

£8,000 is requested to finance the homeswapper initiative. This
national, on-line ‘matching scheme’ helps tenants seeking a mutual
exchange find someone else looking to move. With each re-let following
a transfer costing approximately £2,500, mutual exchanges deliver
exceptional value in helping meet tenant’s needs as they involve little or
no additional expenditure to Stockport Homes
4.3.8 Stockport Homes is committed to continually improving customer contact
arrangements. In 2014 a decision was made to develop a contact centre
arrangement. During 2015 / 2016 the focus will be on developing processes,
staffing arrangements and management of any new arrangement and working
closely with the CRM system project to maximise its use. A consultancy
budget of £12,000 has been identified to provide a “critical friend” support to
this project and this will be funded from reserves.
4.4
FINANCE
Assurance
4.4.1 The fraud prevention monies previously received from CLG have now ended.
There is still £135,000 in reserves to be carried forward for future years and
this has been allocated in 2015/16 to continue the fraud prevention works.
Further work will be carried out during the year to market the service to housing
partners in the Borough.
Customer Finance
4.4.2 During 2014/15 access to the Council’s Housing Benefit system was restricted,
resulting in difficulties in identifying the benefit status of customers in arrears.
Supporting customers with benefit claims and identifying changes to benefits at
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Item 06
an early stage plays a key part in managing arrears. To address this, a bid has
been submitted to the HRA for £50,000 to finance two Housing Benefit Officers
who will be employed by the Council but work directly with Stockport Homes
exclusively on claims relating to council housing and Stockport Homes’ tenants.
4.4.3 A bid for £40,000 from the HRA has been submitted to meet the increase in
costs arising from 150% increase in court fees.
5
INCOME BUDGETS
5.1
Reductions in income have presented some significant challenges in preparing
a balanced budget for 2015/16. As outlined above, the management fee
continues to be subject to a 3% efficiency reduction year on year which is
increasingly difficult to sustain. In addition there have been some other key
changes that are outlined below.
5.2
The General Fund contribution to Homelessness Services has been reduced
by £100,000. In addition, Brindale House rents will be subject to benefit caps
in the future. Options to transfer the scheme to a charitable subsidiary to
mitigate against this are currently being explored.
5.3
Supporting people funding has reduced by £30,000 for 2015/16, affecting
private adaptations.
5.4
The volume of commercial and external works through Technical Services is
budgeted to reduce significantly. In 2015/16 Repair 1st is budgeting for a
£40,000 surplus from external works compared with £140,000 in 2014/15. This
is based on lower activity during 2014/15.
5.5
2014/15 was the final year grant funding was received from CLG for the Fraud
Initiative (£80,000 per year). Unspent monies from previous years will
continue to fund this work for 2015/16.
6
CAPITAL PROGRAMME
6.1
The headline Capital Programme budget can be found at Appendix Four. The
budget for the programme is set by Stockport Council in line with the HRA
business plan and resources available through the Housing Revenue Account,
however Stockport Homes propose the detailed programmed expenditure. The
programme encompasses both investment in the existing housing stock and
the HRA new build programme. The expenditure in this programme will be
agreed by the Director of Technical and Commercial Services and the Head of
Asset Management and Development and will be in line with year three costs
within the HRA Self Financing Business Plan and Asset Management Strategy.
6.2
The Budget illustrates that £17.712 million is allocated for investment in the
housing stock in 2014/15. This includes £5.46 million allocated to the deferred
ECO investment programme which will now be delivered over the next two
Item 06 DRAFT BUDGET 2015/16
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Item 06
years. There is also £1.273million carried forward from the 2104/15
programme.
6.3
The New Build Programme for 2015/16 totals £9.24million for Charles Street
and Vale Close, funded through a combination of grants, shared ownership
sales proceeds and prudential borrowing.
7
CUSTOMER INVOLVEMENT
7.1
Customers are involved in the budget setting process and influence how
budgets are spent in a range of ways:
i.
ii.
iii.
iv.
v.
Investment priorities are set in conjunction with the HRA Panel, made up
of a group of customers who helped develop the Asset Management
Strategy;
Participatory budgeting is used to determine how the estate
improvement and community fund budgets are spent, using wellattended Community Count events and on-line voting;
Improvement budgets for sheltered schemes are spent in consultation
with customers at scheme meetings and
Decisions about rent levels and plans for service developments which
help determine budgets are informed by feedback from customer HUBs;
and;
The Community Champions Network and local customer groups
influence neighbourhood priorities as part of the Neighbourhood Action
Planning processes.
8
RESERVES
8.1
Reserves are generated by the organisation through its continuing excellent
performance on achieving efficiencies and maximising value for money, with
the sole purpose to re-invest these efficiencies into further service provision for
customers, and/or to invest in spend-to-save initiatives. Reserves generally fall
into three categories:



8.2
budgets that have not spent in one financial year and are requested to be
rolled forward into the following year,
from genuine savings made, or
are of an “ear-marked” nature, such as major repairs provisions for future
spend on assets.
Over the past few years, reserves have been increasingly utilised to finance
invest to save initiatives such as property purchases and PV installations.
These will generate future positive returns for the company. The growing
nature of the organisation and the complexities in its finances requires reserves
to be managed effectively.
Item 06 DRAFT BUDGET 2015/16
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Item 06
8.3
The Budget for 2015/16 includes income from reserves of £203,000 for
expenditure related to the new head office, £80,000 for the HR system,
£126,000 to fund short term employment posts and restructuring costs,
£40,000 for the new website and £135,000 CLG funding for fraud initiatives.
8.4
Whilst care has been taken to ensure reserves are only utilised to finance one
off or short term initiatives, it should be noted that use of reserves in this way
reduces the scope to generate additional funds for investment through
surpluses during the year. If the use of reserves in this year’s budget is
approved, £231,000 will be available for investment in future years.
8.5
£2million of the remaining reserves on the organisation’s balance sheet remain
earmarked for the Head Office project. There are also ear-marked reserves
for the Homelessness service based on the service’s unallocated monies to
date and the fund for the Major Repairs Reserve for Stockport Homes New
Build properties.
9
CHALLENGES AND OPPORTUNITIES
9.1
Stockport Homes will face a number of challenges and opportunities during
2015/16. These will fall into the following main areas:
9.2
Negotiation of the new management agreement and HRA risks
9.2.1 Following the successful outcome of the options appraisal, the negotiation of
the revised management agreement will encompass agreeing a methodology
for setting the management fee in future years. The HRA is currently facing
challenges from lower than budgeted rental increases1 and uncertainty over
rent collection levels arising from Universal Credit.
9.3
Development of the new Head Office.
9.3.1 £2million has been ringfenced in the budget for the fit out of the new Head
Office. Due to planning delays and increased building cost inflation, there is a
risk that the final cost could exceed costs currently allocated. Continued use
of reserves to balance the budget and finance initiatives decreases available
funds for the new Head Office.
9.4
Welfare Reform
9.4.1 Stockport Homes is continuing to manage the impact of welfare reform. It is
clear that existing tenants are having more difficulties in meeting the financial
demands placed upon them. Since November 2014, Universal Credit has
commenced for some new cases. This is already presenting challenges that
will need to be carefully managed and monitored. Resources have been
1
CPI at the time of rent setting was 1.2%, it is currently at 0.5% (January 2015)
Item 06 DRAFT BUDGET 2015/16
Page 130 of 208
Item 06
invested in previous years to develop a proactive response to welfare reform
changes.
10
CONCLUSION
10.1 Much detailed thought-out work has been involved in setting this budget for
2015/16 from Managers, Directors and Accountants. The Budget has been
produced in line with Stockport Homes’ aims for the next financial year which
will sustain service delivery investments, focuses on feedback from customers,
and continues to account for the challenges and cost pressures instigated by
Welfare Reform.
10.2 It is increasingly difficult to balance available resources with the ambitions of
the Company due to reductions in some income streams and the on-going
requirement to fund efficiencies alongside increased initiatives designed to
improve services to customers. Management of reserves becomes ever more
pertinent as the development of the Head Office progresses.
10.3 Whilst there are risks facing Stockport Homes during 2015/16 there are also
many opportunities for the organisation to continue to grow over the coming
year. In particular, the 2015-18 new build development programme provides a
great opportunity to grow the organisation’s asset base and secure future
income streams. The economic climate and development ambitions will put
even more focus on cost effective services, something which Stockport Homes
is already a sector leader in. Many of the opportunities presented will see
Stockport Homes continue to maintain its position as a top performing
organisation, and to continue to grow and be strong, delivering the most cost
effective and attractive services to customers, partners, employees, and the
Borough as a whole.
11
RECOMMENDATION
11.1
To approve the draft budget for 2015/16 consisting of:



Stockport Homes’ revenue budget;
The new build budget; and
The capital programme.
Item 06 DRAFT BUDGET 2015/16
Page 131 of 208
Item 06a
Stockport Homes Ltd
BUDGET 2014/2015
Repair 1st
DLO
WHOLE ORGANISATION
Repair
1st DLO SHL BUDGET SHL BUDGET
2014/15
2015/16
£000's
£000's
Income
a Management Fee from HRA
Management Fee - Welfare Reform Initiatives
SP mgt fee moved to Homelessness services
b General Fund Contributions
c Supporting People Grant
d Other Grant Income - including from CLG
e Capitalised Costs: SMBC
Repair 1st DLO - Internally Generated Income
repair 1st DLO - Externally generated incom
f Commercial income
g Income c/f from prior year underspend/Reserves
h Income from customers
u Income from organisations and other sources
Homelessness Service Income
Income relating to New Build
i Water income (Including C/F Amount)
Total Income
k
l
m
n
o
p
q
v
r
s
t
Expenditure
Staff Costs - Salaries
Staff Related Costs
Vacancy Provision
Premises Costs - Housing
Premises Costs - Office
Transport Costs
Supplies, Services and Communications
Non pay Costs relating to commercial works
Legal, Regulatory and Consultancy
Service Contracts with Connected Organisations
Internal Recharges
New Build Expenditure
Repair 1st (DLO) - internal Costs
Repair 1st (DLO) external costs
Repairs and Maintenance
Total Expenditure
Surplus/(Deficit)
Change
2014/15
£000's
2015/16
£000's
£
£000's
26,226
356
-125
175
20
0
1,617
6,929
2,963
367
588
608
651
1,478
1,005
990
874
(149)
0
(60)
(30)
(80)
66
(129)
(448)
(153)
105
104
152
(38)
210
60
7,058
3,411
6,969
2,963
25,352
505
-125
235
50
80
1,551
7,058
3,411
521
483
504
499
1,516
795
930
10,469
9,932
43,365
43,848
483
13,873
499
(338)
2,351
1,094
179
2,470
173
988
864
-573
1,000
6,929
2,923
11,418
43,848
284
(92)
0
87
169
10
(164)
(4)
177
(130)
90
176
(125)
(351)
357
483
0
0
6,969
3,213
6,969
2923
10,182
9,892
13,589
590
(338)
2,264
924
169
2,634
177
811
995
-663
825
7,054
3,274
11,061
43,365
287
40
0
Item 06 appendix one
Page 132 of 208
Item 06b
Stockport Homes Ltd
Income & Expenditure Account Detailed Analysis
Repairs & Maintenance Draft Budget
For the Financial Year 2015/16
APPENDIX 2
2014/15
Approved
budget
2014/15
£'000
Draft Budget
2015/16
£'000
Difference
Draft Budget
£'000
% Diff Budgets
Repair Activities
Technical Services
Responsive
Voids
Batched (includes cyclical)
Disrepair Compensation Claims
Gas Servicing
Fixed wire testing
Annual Servicing Contracts & Referrals
2,757
2,974
763
20
1,278
150
517
3,777
2,515
338
20
1,242
248
645
1,020
(460)
(425)
0
(36)
98
128
37%
-15%
-56%
0%
-3%
Total Technical Services
8,459
8,785
326
4%
25%
Housing Management Sustainability
Grounds Maintenance
- Grounds Maintenance
725
731
6
1%
- Tree Variation Works
50
100
50
100%
(50)
-100%
- tree works
50
140
125
(15)
409
400
(9)
-2%
- Neighbourhood Action Plan Delivery
100
100
0
0%
- Environmental Management
277
281
4
1%
150
145
(5)
-3%
100
100
0
0%
500
550
50
10%
CareCall Equipment Maintenance
60
60
0
0%
Sheltered Estate Management
41
41
0
0%
Decorating Vouchers & Allowances
-11% £15k savings to be made
Neighbourhood Management
- Neighbourhood Planning
- Community Safety
- Partnerships
Equipment & Adaptations
2,602
Total Housing Management
Total Repair Expenditure
Repair 1st DLO Trading Account
Income
Income
Total Income
Expenditure
Staff Costs
Subcontractor Costs
Materials Costs
Transport Costs
Overheads
Total Expenditure
Repair 1st DLO Trading Surplus/ (Deficit)
11,061
Internal
2,633
31
11,418
External
357
Total
6,929
6,929
2,963
2,963
9,892
9,892
1,612
3,215
518
390
1,195
6,930
524
1,308
712
96
283
2,923
2,136
4,523
1,230
486
1,478
9,853
0
40
40
Item 06b appendix two
0
100%
Page 133 of 208
Item 06c
2015/16 Budget for Development
Income
Rental Income
Void Loss
Bad Debts
Net Income
£
Comment
1,014,938
-9,758
-10,149
995,031
Full Year - Rental increase of 2.2%
1% of Rental Income
1% of Rental Income
77,678
92,892
304,233
409,694
11,097
5,240
24,000
65,144
989,979
This is a charge to the scheme and a credit to Stockport Homes.
Expenditure
Management Charge
Maintenance Charge
Depreciation
Prudential Borrowing
Property Insurance
VAT not reclaimable on Maintenance
VAT not reclaimable on Partial Exemption
Corporation Tax
Total Expenditure
Surplus of Income over Expenditure
Interest Earned
Surplus after Interest
Based on component depreciation methodology
Interest only
5,051
76
5,127
Item 06c appendix three
Page 134 of 208
Item 06d
CAPITAL PROGRAMME 2015/16 SUMMARY
Work area
£
East and West - programmed
West
All districts
Mechanical and Electrical
On costs
Fees
Contingency
Eco
£
8,071,914
£
£
1,393,989
228,779
£
922,500
£
£
£
216,935
145,420
-
Total works pre ECO
ADD ECO RCCO
Planned ECO spend b/f from previous years
Add in Fire Prevention slippage
Add in EPC slippage
£
£
£
£
£
£
10,979,537
1,054,725
4,405,219
593,000
680,000
17,712,481
TOTAL CAPITAL PROGRAMME AS PER BP
FINANCING OF CAPITAL PROGRAMME AS PER HRA BUDGET AND BUSINESS PLAN
Major Repairs Reserve
Borrowing
HRA Reserves (balance sheet 960004)
Revenue Contributions from HRA budget 15-16
8,252,000
0
5,195,481
4,265,000
Total Capital Funding
17,712,481
HRA CAPITAL - NEW BUILD SUMMARY 15/16
Projected spend 2015/16 - Charles Street and Vale Close
Funded by:Grants (Charles St and Vale Close)
Sales Proceeds (Berlin Road)
Borrowing
Conversion Income
Total Funding
£
9,254,000
£
£
£
£
£
1,749,000
245,000
7,020,000
240,000
9,254,000
Debt cap
£
146,947
Debt at 1 April 2014
£
138,511
Borrowing 14/15
£
5,151
Repay Debt
£
1,811
Forecast Debt at 31 March 15
£
141,851
Headroom 31 March 15
£
5,096
Forecast Debt Requirement 2015/16
£
7,020
Forecast debt repayments/ attributable debt 2015/16
£
3,082
Forecast headroom 31 March 16
£
1,158
Item 06d appendix four
Page 135 of 208
Item 06e
HOUSING REVENUE ACCOUNT - 2015-16 Draft Budget
2014-15
Budget
2014-15
Forecast (as
at Q2)
2015-16
2015-16
2015-16
2015-16
2015-16
Draft Budget (with
5% heating)
£000
Draft Budget (with
7.5% heating)
£000
Draft Budget (with
10% heating)
£000
Draft Budget (with
64% heating)
£000
Variance
£000
£000
£000
Draft Budget
£000
25,352
0
505
892
250
27,000
25,452
0
543
892
182
27,069
100
0
38
0
(69)
69
26,301
500
0
862
180
27,843
26,301
500
0
862
180
27,843
26,301
500
0
862
180
27,843
26,301
500
0
862
180
27,843
26,301
500
0
862
180
27,843
5,603
8,252
30
400
420
248
127
177
40
255
4,425
19,977
5,618
8,252
30
400
420
248
127
192
37
275
4,515
20,114
15
0
0
0
0
0
0
15
(3)
20
90
137
5,657
8,252
30
400
409
259
194
284
66
399
4,614
20,564
5,657
8,252
30
400
409
259
194
284
66
399
4,614
20,564
5,657
8,252
30
400
409
259
194
284
66
399
4,614
20,564
5,657
8,252
30
400
409
259
194
284
66
399
4,614
20,564
5,657
8,252
30
400
409
259
194
284
66
399
4,614
20,564
46,977
47,183
206
48,407
48,407
48,407
48,407
48,407
Total Income
(42,428)
(703)
(264)
(1,058)
(3,123)
(1,168)
(379)
(4,425)
0
0
(53,548)
(42,676)
(727)
(264)
(1,060)
(3,126)
(1,258)
(319)
(4,515)
(38)
(59)
(54,042)
(248)
(24)
0
(2)
(3)
(90)
60
(90)
(38)
(59)
(494)
(43,264)
(1,058)
(524)
(1,072)
(3,208)
(1,268)
(502)
(4,614)
0
(91)
(55,601)
(43,264)
(1,058)
(524)
(1,072)
(3,232)
(1,268)
(502)
(4,614)
0
(91)
(55,625)
(43,264)
(1,058)
(524)
(1,072)
(3,253)
(1,268)
(502)
(4,614)
0
(91)
(55,646)
(43,264)
(1,058)
(524)
(1,072)
(3,273)
(1,268)
(502)
(4,614)
0
(91)
(55,667)
(43,264)
(1,058)
(524)
(1,072)
(3,726)
(1,268)
(502)
(4,614)
0
(91)
(56,119)
Net Cost of Services
(6,571)
(6,860)
(288)
(7,194)
(7,218)
(7,239)
(7,260)
(7,712)
(5)
(100)
(105)
(5)
(100)
(105)
0
0
0
(5)
(70)
(75)
(5)
(70)
(75)
(5)
(70)
(75)
(5)
(70)
(75)
(5)
(70)
(75)
(6,676)
(6,965)
(288)
(7,269)
(7,293)
(7,314)
(7,335)
(7,787)
3,231
1,436
2,009
6,676
3,261
1,694
2,009
6,964
30
258
0
288
4,265
2,629
0
6,894
4,265
2,629
0
6,894
4,265
2,629
0
6,894
4,265
2,629
0
6,894
4,265
2,629
0
6,894
(0)
0
(0)
(375)
(398)
(419)
(440)
(893)
(1,110)
110
(1,439)
110
329
(1,000)
(329)
0
329
(0)
(1,000)
0
0
(1,375)
(1,000)
0
0
(1,398)
(1,000)
0
0
(1,419)
(1,000)
0
0
(1,440)
(1,000)
0
0
(1,893)
Expenditure
Maintenance & Management
Management Fee
Initiatives - TBC
Investment Resources for New Welfare Reform / Delivery Plan initiatives
Strategic HRA Management
Rents, rates, taxes & other charges
Total Management and maintenance
Other Expenditure
HRA share of interest charges
Depreciation of fixed assets
Debt Management Costs (Treasury Management)
Bad debts provision
Solar PV Interest
Solar PV Voluntary MRP
New Build MRP
New Build Interest
New Build Management and Maintenance
Earmarked Development Provision
Water Charges
Sub-total
Total Expenditure
Income
Rents - Dwellings
Rents from Affordable Rented
Rents from New Build units
Rents (non dwellings) shops/garages/office rents
Charges for Services & Facilities
Solar PV FIT income
RHI Income
Water Income
Contribution from Welfare Reform Earmarked Reserve
Retained Income from RTBs
Net cost of premia less discounts
Investment Income
Sub-total
Net Operating Expenditure
Capital met from revenue: Business Plan
Voluntary MRP
Additional investment in Capital met from revenue
Sub-total
(Surplus)/Deficit for year
(Surplus)/Deficit brought forward
RCCO / Welfare Reform Reserve
Additional Voluntary MRP
Accumulated (Surplus)/Deficit
(1,000)
Item 06e appendix five
Page 136 of 208
Item 06f
SHL Mangement Fee 2015/16
£000s
£000s
2014/15 Management Fee
£000s
25,352
Recommended Amendments for 2015/16
Additional Community Buildings
108
Sub Total
108
25,460
SHL Pressures
Pay Costs (Pay Increase / Superannuation Increase etc)
Repairs & Mtce Inflationary Pressures
Utility (Gas and Electricity) Price Increases
Biomass increases
509
504
58
107
1,178
401
401
Recurrent Delivery Plan Initiatives
Community Safety Initiatives
ASB Manager & Officer
LAC Pilot
Voids - Decoration Allowances
Voids - Repairs / Mtce
Extension of 2 Customer Service Officers
Universal Credit - IT
Activities Co-ordinator
Non recurrent Elements
50
69
15
40
180
42
84
25
Comm Buildings - Staff resource (non recurrent)
50
69
15
40
180
42
84
25
(104)
Total SHL pressures
1,579
General Fund Transfers
Initiatives TBC
HRA contribution to management and operation of community buildings within HRA areas
HRA contribution to play area maintenance and inspection within HRA areas
0
0
Total General Fund Transfers
0
SHL Efficiency Target - 3% of 2014/15 Management Fee
Adjustment to 3% efficiency re Community Buildings
Adjustment to 3% efficiency re other transfers
Adjustment to 3% efficiency re Previous Hardship
(761)
8
7
8
SHL Efficiency Target (3% of 2014/15 Management Fee)
(738)
2015/16 Recommended Management Fee
26,301
Recommended Increase between 2014/15 and 2015/16
949
Item 06f appendix six
Page 137 of 208
Item 06g
STOCKPORT HOMES ESTABLISHMENT CHARTS
APPENDIX 7
Establishment 2014/15
Posts
Directorate
C.E.
Technical and Commercial Services
Corporate Services
Finance Services
Neighbourhood Services
Total
Establishment 1 April
2014
1
187.9
131.3
39.0
191.7
550.9
Approved Changes during 2014/15
Directorate
Corporate Services
Housing Options Officer
Project Officer
Senior Corporate Support Officer
Corporate Support and Facilities Officer
Rent Deposit Scheme Assistant
Clerical Assistant
Scheme Accommodation Project Workers
Accommodation Manager - 1 Secondment (6 months)
Accommodation Project Assistant
Domestic Assistant
Performance & Improvement Officer
Marketing Apprentice
Project Management Graduate
2 x welfare reform posts - funded by water
Community Buildings Caretaker
Community Buildings Cleaner
Admin Assistant (Social Inclusion)
Business Support Officer / Assistant
Technical and Commercial Services
M&E engineer
EMS Assistant
Technical Officer Vacancy (Assets)
Technical Officer Vacancy (Investment)
Technical Officer Vacancy (Maint)
Health and Safety Officer
Project Leader from 7-6 (see project officer below)
Project Officer - Bradley Clarke
Community Investment Manager
Trade Co-ordinator reduction from 4 to 3
General Operatives x 5 (Vacancy - Temp for 6 months)
Reduction in Plumbers from Dec-13 to Dec-14 Establishment
Reduction in Electricians from Dec-13 to Dec-14
Reduction in Joiners from Dec-13 to Dec-14
Reduction in Driver/Labourers Dec-13 to Dec-14
Additional Operative hours Effective FTE
Neighbourhood Services
Neighbourhood Housing Officer (East)
Neighbourhood Housing Officer (West)
Funding Assistant
ASB Officer
Admin Assistant
Private Sector Officer
Rent Deposit Scheme Assistant - funded by Homefinder Grant
Senior Admin and Finance Officer
Cleaners (Caretaking)
Postive Engagement Officer - funded by water
Finance
Money Advice Apprentice
Money Advisor - 3
Additonal Finance Graduate
Total
SHMT
approved
changes to Establishment
estab
31 Dec 2014
0
-17.1
-8.4
2.8
5.8
-16.9
1
170.8
122.9
41.8
197.5
534.0
Proposed Establishment
April 2015
1
185.4
123.9
44.8
199.5
554.6
Proposed Changes in 2015/16 establishment - growth of staff
Change
1.0
-1.0
-1.0
1.0
-1.0
-1.0
-6.4
-1.0
-0.6
-1.0
-1.0
-1.0
1.0
2.0
3.8
1.1
-1.0
-2.5
-1.0
-1.0
-1.0
-1.0
-1.0
-1.0
-1.0
1.0
1.0
-1.0
-5.0
-3.0
-1.0
-3.0
-1.0
2.0
Directorate
Corporate Services
I.T. Data Analyst
CRM Systems Manager
Business Systems Analyst
Employment Manager - funded by water if bid successful
Disability Welfare Support Worker - funded by water if bid sucessful
Youth Substance Worker - funded by water if bid sucessful
Procurement Officer
Technical and Commercial Services
Sales Officer - New Build Partnership
Energy Administrator
12 new operatives for Capital Investment Team
Business Systems Analyst
Neighbourhood Services
Older Persons Outreach Worker
Customer Service Officer
Carecall Manager
Concierge & CCTV Manager
Carecall, Concierge & CCTV Manager
Night Controller
Mobile Night Warden
Mobile Day Warden
Carecall and Concierge Officer
Concierge Officer
Carecall and Concierge Officer
Carecall and Concierge Team Leader
Finance
Housing Benefit Officer Posts
Procurement Officer
Total
-1.5
-1.5
1
3
1
-1
1
1
2
1
1
1
1
-16.542
Item 06g appendix seven
Change
-1
1
-1
1
1
1
-1
0.6
1
12
1
3
1
-1
-1
1
-2
-4
-15
-3
-10
32
1
2
1
20.6
Page 138 of 208
Item 06h
Budget
2015/2016
Water Charges 2015/2016
Notes
Estimated Income based on 2014/2015 actuals and 80k
1,060,000 estimated to c/f
Total Income 2015/2016
Expenditure - Fixed Costs
Recovery Officer - Water
Recovery Officer - Water
Recovery Officer - Water
Senior Recovery Officer - Water
Senior Recovery Officer - Water
Rent Arrears Manager
Money Advisor Officer
Overheads - 17 employees
Transaction charges
General expenses
DD Discounts
Employment & Volunteer Officer
Education Officer
Youth Engagement Worker
Deposit Scheme Officer
Universal Credit Support Officers
Universal Credit Support Officers
Postive Engagement Officer
Food Sharing Project Officer
Greenspace Project Development Officer
Work with Offenders Officer
Community Development Officer
Total Fixed Costs
30,594
30,594
30,594
34,005
34,005
41,282
25,931
63,973
15,000
4,000
19,500
25,931
30,594
30,594
27,686
22,748
22,748
30,594
30,594
30,594
26,807
30,594
638,958
Gillian Nicolson
Donna Griffiths
Kerri Swan
David Griffiths
Desmond Miles
Carl Platt
Amy Harrison
Same as 14/15
Transaction charges associated with collecting water charges
Expenses of team above CH
Discount applied per customer using direct debit
Deborah Hardacre
Rebecca Mcavoy
Nicola Green
Rosemarie Hester
Liam Knocker - Temp 1 year
Vacant Post - Temp 1 year
Chris Kielty - Secondment
Anna Jones - Temp
Gemma Russek - Temp
Rachel Shaw - Temp
John Rodgers - Temp
Expenditure - Initiatives
Joint initiative with CAB - SMBC Debt advice & Welfare
advisor post
Social Inclusion Manager
Economic Inclusion Projects - SMBC Paul Lawrence
Projects for 2015/2016
Balancing Figure until projects are confimed
Total Initiative Costs
54,000
25% Contribution of costs - Contribution for Additonal Social
12409 Inclusion Manager
65,000 Council Contact
390,843
-101,210
421,042
-(£0)
Total Surplus / (Deficit)
List Of Projects
POD Gardening Project
Remploy Employment Partnership
First House IT Equipment
Pantries Expansion
Youth Diversity Activity
Cookery Pre Tenency
Blue Sky
Support into Work
Health Initatives
Customer Development Project
Employment Manager
Assist Offenders
Youth Construction Programme
Prison me no way
Disability Welfare Support Worker
Youth Substance Worker
Re:Dish
ARC Mental Health
Digital Inclusion Project/Credit Union/ Digital Inclusion top up
£7,000
£50,000
£11,212
£15,000
£20,000
£12,000
£26,413
£10,000
£24,388
£10,000
£30,000
£5,000
£12,000
£9,000
£18,000
£40,000
£15,000
£10,830
£65,000
£390,843
Jo Cole
Martin Saunders
Martin Saunders
Fiona Carr
Sam Hill
Sam Hill
Jo Cole
Kath Jones
Jo Claridge
Sam Hill
Anne- Marie
Rebecca Connolly
Sam Hill
Sam Hill
Martin Saunders
Geoff Binns
Martin Saunders
Martin Saunders
Tanya King
Item 06h appendix eight
Page 139 of 208
Item 06i
APPENDIX 7
Reserves Year End 2014/15
£000's
Per Final Accounts 31 March 2014 balance sheet
5,647
-1,233 see below
Less reserves used for invest to save
4,414
Draft available reserves:
Less: Ring fenced items as at 31 March 2014
Homelessness Services
Mortgage and resposession
Water monies
Major Repairs Provision
Ringfenced 13/14 budget to be carried forward
-278
-96
-167
-368
-172 see below
-1,081
Total ringfenced items at 31 March 2014
3,333
Total available reserves at 31 March 2014
Less net reserves movements in year
Approved for further initiatives
Approved for New office fit out
-267
-2000
Total ringfenced from available reserves as at 31 March 2014
-2,267
-358
Reserves approved for 2014/15 budgets
Forecast surplus to March 2015
441
1,149
Net balance available
Proposed Minimum level for 14/15 agreed by BDSG
344
Requests for 15/16 budgets
589
Balance of available reserves following requests approval
216
Reserves used for invest to save initiatives
PV Installations on school sites
Mortgage rescue acquisitions 12/13
Empty Homes acquisitions 12/ 13
(radcliffe milbrook micklehurst
(lancaster, ashburton, warren)
Total 12/13 acquisitions
13/14 completed acquisitions
13/14 planned acquisitions
Total 13/14 acquisitions
Repayment of Mendip Loan
Total used for initiatives
166
127
209
502
(Rectory Fields, Hollins Bank)
(School Lane)
161
90
251
480
1,233
Item 06i appendix nine
Page 140 of 208
Item 06i
Reserves allocated for 2013/14 initiatives
Department
Amount
East Area
West Area
Sustainability
Resettlement
Social Lettings
Homechoice
IT
Customer Finance
CEO initiatives
total
Notes
0 Temp CSO post, agreed SHMT
0 Temp CSO & NHO post, agreed SHMT
0 Bluesky, allocated £50k from mgt fee 12/13, only spend £25k so c/f remainder
0 Team leader and 3 Resettlement officer ESF posts. Agreed at SHMT.
-7,000 Social lettings ringfenced surplus - c/f
0 Mutual exchange post paid from additional £200k Management fee - £36k allocated. Balance remaining £28,101
-75,000 Customer Insight carry forward
-90,000 Fraud fund ringfenced - monies c/f
0
-172,000
Reserves requested for 2014/15 initiatives
Department
Amount
Repairs and Maintenace
Repairs and Maintenace
Sustainability
IT
Perforance and Improvement
Marketing
HR
ASB
Neighbourhoods and Support Services
total
Notes
-132 Additional requirement for gas, batched and FWT less reduction in adaptations
-69 Additional voids requirement less HRA funding
-26 Two year fixed term funding assistant therefore fund from reserves
-19 six month fixed term - Business Systems Analyst
-15 six month fixed term - Business Support Officer
-16 Temp contract - maternity
-9 six month fixed term - Data cleansing
-13 six month mat leave
-60 Provision for part 3 negotiations.
-358
Reserves requested for 2015/16 Initiatives
Department
IT
Social Inclusion
HR
N&SS
Repair 1st
Assurance
Sustainability
Repairs
Assets
Marketing
HR
Amount
Notes
80,000
12,500
80,000
60,000
25,000
135,000
26,000
40,000
75,000
40,000
Head Office IT costs
Call Centre
New HR System
Part 3 costs
Stores Feasibility
Fraud monies
Funding asistant year 2
Business Analyist 1 year
Head office consultancy
New website
15,000 Carry forward of Trafford Council PM budget
588,500
Item 06i appendix nine
Page 141 of 208
Item 07
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
03 March 2015 Stockport Homes Management Team
Title of Report:
2015/16 CAPITAL PROGRAMME
Report of:
DIRECTOR OF TECHNICAL AND COMMERCIAL
SERVICES
Confidentiality
Non Confidential
Purpose of Report:
To seek approval of the 2015/16 Capital Programme
Type of Report
Decision
Recommendation:
That Board agrees the draft 2015/16 Capital Programme as
outlined and identified within this report.
Financial Implications of
the recommendations
The budget for 2015/16 relates to year 4 of the 30 year
Housing Revenue Account (HRA) Business Plan.
Value for Money
Implications of the
recommendations
The delivery of the programme will be subject to rigorous
financial scrutiny. Value for Money will be monitored at all
times through the procurement processes.
Risk Implications of the
recommendations
Risk
Number
1
Safeguarding
Implications of the
recommendations
N/A
Equality & Diversity
Implications of the
recommendations
N/A
Risk Description
All works are targeted on areas of need and based
on stock condition information, consultation with
customers and staff. Risk of wasting resources is
therefore mitigated.
Item 07 2015/16 CAPITAL PROGRAMME
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Item 07
Equality Impact
Assessment
Does an EIA need to be
completed? Yes
If so, has one been
completed? Yes
Environmental/
Sustainability
Implications
The programme is heavily weighted to address energy
efficiency, fuel poverty and carbon reduction.
Customer Impact
The Capital Investment Programme will improve the quality of
housing and improve the local environment for the people of
the borough.
Content of Report
signed-off by Director
Mark Hudson
Contact Officer
Steve Leonard
Contact Details
0161 218 1014
24/02/2015
Steve.leonard@stockporthomes.org
Author (if different)
Matthew Platt
Contact Details
0161 474 2330
Matthew.platt@stockporthomes.org
Item 07 2015/16 CAPITAL PROGRAMME
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Item 07
1
INTRODUCTION
1.1
The purpose of this report is to outline the draft 2015/16 Capital Programme
and the methodology in building the programme from the use of a range of
stock condition information and extensive consultations.
1.2
The draft 2015/16 Capital Programme reflects the previously identified need in
the 30 year Asset Management Strategy and also proposes to take advantage
of external funding being made available for energy efficiency works via the
Energy Company Obligation (ECO) scheme.
2
BACKGROUND
2.1
The agreed budget for both 2013/14 and 2014/15 identified £7 million of
available funding to be brought forward from years 6 to 10 of the 30 year plan
to supplement the ECO works and to fund the wider regeneration works in ECO
eligible areas. In addition to the funding brought forward, contributions from the
13/14 programme and 14/15 programme totalling £3.532 million are also
identified. It is proposed that these monies are rolled into the 2015/16 and
2016/17 programmes with £5.46 million allowed for in the 2015/16 programme
and the balance in the 2016/17 Capital Programme.
2.2
ECO was introduced in January 2013 to reduce the UK’s energy consumption
and support people living in fuel poverty. This is achieved by part funding
energy efficiency improvements such as external wall insulation and new
heating installations.
2.3
In autumn 2013, central government announced major changes to the ECO
scheme. These changes resulted in a review by the Energy Companies and
the level of funding they would provide to undertake insulation works to nontraditionally constructed properties for housing providers throughout the
country. Historically Stockport Homes has an excellent track record for the
level of funding it has received and prior to the autumn statement these were
predominantly in the region of 80 per cent – 100 per cent. Following the
autumn statement funding level offers dropped initially to 10 per cent – 20 per
cent.
2.4
Stockport Homes have engaged with a number of Energy Companies since the
autumn statement in an attempt to increase the level of funding offered, these
discussions are now nearing conclusion and will potentially allow the reprogramming of these works.
2.5
Stockport Homes is committed to undertaking the improvements outlined
through the ECO scheme, however, this will need to be programmed carefully
and probably over an increased timeline to allow affordability due to a projected
drop in funding as outlined above.
2.6
The 2014/15 capital programme concentrated successfully, but not exclusively,
on the delivery of energy efficiency and renewable technology most noticeably
the external insulation, over cladding and window replacement at the tower
Item 07 2015/16 CAPITAL PROGRAMME
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Item 07
blocks at Victoria Park and the installation of new renewable energy biomass
boilers to the seven tower blocks in Brinnington. In addition to the above,
targeted heating replacements, to the lowest energy efficient properties has
been undertaken. The Capital Outturn Report for 2014/15 which details all
capital works for 2014/15 will be presented to the Service Excellence Sub
Group on 29th June 2015.
3
DEVELOPMENT OF THE CAPITAL PROGRAMME
3.1
The Capital Programme budget proposed for the 15/16 programme stands at
£9.695 million, this provision covers planned works through East and West
areas together with ring-fenced sums of monies to defined components of work
throughout all districts. In addition to the £9.695 million funding of £5.46 million
associated with ECO works as detailed in section 2.1 is included in the
programme.
3.2
Appendix 1 outlines the Capital Programme budget and associated areas of
works for 2015/16; the budget includes £1.273 million accrual from the 2014/15
Capital Programme. Table 1 below outlines these figures.
Table 1
Breakdown
2015/16 Capital Programmed Works
ECO
2014/15 Capital Programme Accrual
Other (inc. Contingencies & Fees)
Total
Budget
£9.695 million
£5.460 million
£1.273 million
£1.285 million
£17.71 million
3.3
An additional £100,000 has been made available as a revenue contribution to
the capital programme from HRA resources which will be used to address
properties on an External Improvement Programme; this will be supplemented
by £400,000 from the Capital Programme.
3.4
In order to build the Capital Programme and draw down specific addresses and
schemes the Technical and Commercial Services (TCS) Asset & Development
Team have used information from a number of sources. A combination of
stock condition data from the Asset Management Database (Codeman),
referrals from Technical Services’ officers/operatives and specialist survey data
such as Fire Risk Assessments and Lift Surveys are utilised. Referrals from
Neighbourhoods and Support have also been incorporated and Customer Hubs
have been held to determine customer priorities. Repairs data has been
interrogated to analyse common themes and property archetypes which are
showing recurring issues.
3.5
Customer views are an extremely important factor in shaping the capital
programme. The 30 year Asset Management Strategy was defined through an
extensive and detailed consultation process which included customer road
shows and asking customers to prioritise the Investment into their homes and
communities. Homes Hub sessions have also been held where customers are
allocated imaginary budgets, the top five priorities for Investment from the
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Item 07
customers are shown in Table 2 below and this is reflected through the budget
allocation of 2015/16. Furthermore, regular estate walkabouts are undertaken
with smaller groups to understand investment needs on a local level.
Neighbourhood Officers also refer customer priorities for investment
programmes.
3.6
The above consultation has influenced the proposed 2015/16 programme, for
example the top five priorities of the groups at the HUB have received funding
as illustrated in Table 2:
Table 2
Component
Fire Prevention Works
Roofing
Windows
Kitchen & Bathrooms
External Insulation
2015/16 Capital Programme Budget
£1,550,393
£1,083,938
£824,316
£1,143,738
ECO
3.7
A number of sessions have been held with Neighbourhoods and Support
Services (NSS). Consultation with the Area Housing Teams and Independent
Living Services have been undertaken and the information gained has been
utilised to shape the 2015/16 programme, this is to include substantial
investment into three Sheltered Schemes.
3.8
In addition to consultation with NSS a number of feedback sessions have been
held with Repair 1st Managers and Operatives to fully understand the needs of
the stock and target investment into the problematic archetypes and areas
where repairs are frequent.
3.9
As a matter of course validation surveys to each property identified for inclusion
in the programme take place which aids the planning process to confirm or
defer properties.
4
OUTLINE CAPITAL PROGRAMME 2015/16
4.1
The Capital Programme 2015/16 is attached as Appendix 1. This outlines the
work components and budgets available to undertake these works.
4.2
In order to achieve value for money and maximise impact, where applicable,
works are undertaken on an area basis and wherever possible attempt to avoid
the ‘pepper pot’ approach of repairing singular properties, particularly for
external works due to the higher costs associated with this way of working.
4.3
A number of large scale works are identified and packaged as outlined in
section 4.2 to estates, sheltered schemes, blocks and individual homes. These
include potential flat to pitch roof conversions to Mortimer House and
Edinburgh Close Sheltered Scheme. Mortimer House will also benefit from
replacement windows, improvements to the render and a heating upgrade.
Individual properties identified within Brinnington will benefit from roof
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4.4
Item 07
replacement and will also have rendering refurbished where required to fully
utilise the opportunity costs of scaffold on site.
Rooflines, windows and Juliette balconies are identified for replacement to
Chesworth Close and Hollingworth Close. These improvements will provide
customers with efficient window units improving heat retention and energy
efficiency. In order to maximise value for money the scaffold will be utilised to
upgrade the blocks rooflines where required.
4.5
An Energy Performance Certificate (EPC) contains information about how
energy is used in a home, along with details of how much the energy used
actually costs. There are seven bands for these ratings, from A to G with A
highest and G lowest, the current national average is Band D. Stockport
Homes’ average is Band C. The 2014/15 programme successfully targeted the
poorest energy efficient properties within the stock. The works included the
replacement of expensive and inefficient electric storage heaters and replacing
with renewable heating wherever possible or ‘A’ rated gas boiler heating
systems. The 2015/16 programme continues to undertake these replacements
with a view to removing all storage heaters over the current and future
programmes. This programme improves the energy performance of those
properties identified and will assist in achieving Stockport Homes’ target of 86
per cent properties to be EPC band C or above by end of 2015/16. This target
increases to 90 per cent by end 2016/17.
4.6
A multi-year programme is due to commence in 2015/16 to the high rise tower
blocks for full communal area upgrades. This programme of upgrades will
include new decoration, flooring and lighting technology which is aimed to
reduce consumption and cost. The main savings will be due to replacing
existing lighting fittings (typically 28w) with LED lighting (typically 12w). Also,
during periods of inactivity the lighting output is to be reduced to 10 per cent
with sensors increasing this to 100 per cent when movement is detected, giving
a further increase in savings and alerting residents to the presence of others.
The combination of savings is anticipated to be between 50 – 80 per cent in
consumption alone. The new fittings will have a five times longer life
expectancy than the current and incorporate emergency lighting.
4.7
The outcome of these additional benefits will significantly reduce the burden on
the repairs service allowing resources to be used in other areas. Stockport
Homes has introduced this technology recently under a pilot project to one
sheltered scheme with great success in terms of energy savings and feedback
from customers.
4.8
In the last twelve month period Stockport Homes has implemented a type 4
intrusive testing regime for fire risk assessments to the high rise stock. These
assessments involve looking at the fabric of the building, under ceilings and
behind walls if necessary to identify any hidden voids. One of the key findings
of the Lakanal House fire, London in which six people died is that the firespread was accelerated due to breaches of compartmentation within the
building. The assessments undertaken by Stockport Homes’ fire risk assessors
have outlined remedial works required to the building fabric which will be
undertaken through planned programmes. Any areas which require urgent
attention are raised and enacted immediately through Repair 1st. A pilot project
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Item 07
is currently being undertaken in 2014/15 and will be rolled out widely through
2015/16. The Fire risk assessors consider that the work Stockport Homes are
undertaking in this area to be industry leading. Furthermore the intrusive
testing is to be rolled out through the medium rise blocks during 2015/16.
4.9
An Equality Impact Assessment (EIA) has been undertaken and the key
findings noted the 2015/16 Capital Programme is providing property
improvements to a wide and proportionate number of tenants. The
requirements of some of these tenants as regards age, disability and ethnicity
mean communication and customer care before and during planned works are
vital to ensure the smooth completion of the improvements. This is particular
the case with the large number of works to properties for whom tenants are
over 80.
5
CONCLUSION
5.1
This report sets the context for the Capital Programme for 2015/16. It identifies
where funding is targeted and outlines the consultation and research
undertaken to form the outline programme.
6
RECOMMENDATION
6.1
That Board agrees the draft 2015/16 Capital Programme as outlined and
identified within this report.
Item 07 2015/16 CAPITAL PROGRAMME
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Item 07a
APPENDIX 1
2015/16 Capital Programme
Funding
£17,712,481
TOTAL CAPITAL BUDGET
District
Component
Locality
Budget
EAST
Roofing
Windows
Front & Rear doors (inccl. Flat entrance
doors, communal doors)
Bredbury / Hazel Grove / Brinnington / Compstall / Woodley
Middle Hillgate
Brinnington
£
£
£
509,066
369,000
76,875
Balcony & Walkways
Primary Wall Finish (incl. render,
overcladding, re-pointing)
Porch & Canopy
Bredbury / Hazel Grove
Brinnington
£
£
98,113
130,437
Brinnington
£
54,038
Kitchen & Bathroom Replacements
Bredbury / Brinngington / Compstall / Davenport / Marple /
Offerton / Romiley / Woodley
£
571,899
£
103,800
Offerton / Brinnington / Hazel Grove / Woodley
£
217,095
Lift Replacements
Torkington House
£
76,875
Communal Heating
Fire Prevention
Torkington House
Bredbury / Brinnginton / Hazel Grove / Heaviley / Marple / Marple
Bridge / Offerton / Romiley
Beaver House / Voewood House
£
£
102,500
775,197
£
£
410,000
3,494,895
Electrical Upgrades / CO & Smoke
detector renewals
Heating System & Boiler replacements
Communal Upgrades
Sub Total
Roofing
WEST
Windows
Front & Rear doors (incl. Flat entrance
doors, communal doors)
Balcony & Walkways
Primary Wall Finish (incl. render,
overcladding, re-pointing)
Porch & Canopy
Kitchen & Bathroom Replacements
Deneway / Heaton Norris / Councillor Lane / Cheadle / Cheadle
Hulme / Davenport / Reddish
Deneway / Cheadle Hulme / Adswood
Adswood / Cheadle
£
398,725
£
£
455,316
30,238
Deneway / Reddish / Bridgehall / Adswood / Cheadle
Cheadle / Heaton Norris
£
£
209,387
130,437
Cheadle Hulme / Davenport
Adswood / Bridgehall / Cale Green / Cheadle / Cheadle Heath /
Cheadle Hulme / Davenport / Edgeley / Gatley / Great Moor /
Heald Green / Heaton Chapel / Hazel Grove / Heaton Mersey /
Heaton Norris / Heaviley / North Reddish / Reddish
£
£
36,982
571,899
£
103,800
Electrical Upgrades / CO & Smoke
detector renewals
Heating System & Boiler replacements
Cheadle / Deneway / Reddish / Heavily / Queens Gardens
£
310,166
Lift Replacements
Bin Skirts/Chutes/Stores
Lumb House / The Bentleys (x2)
Heaton and Norris Towers
£
£
230,625
194,750
Fire Prevention
Adswood / Brinksway / Cheadle / Cheadle Hulme / Deneway /
Edgeley / Gatley / Heald Green / Heaton Chapel / Heaton Norris /
Nth Reddish / Reddish / Sth Reddish
£
775,197
Pressurised Water Mains
£
184,500
£
3,632,021
£
£
£
£
£
£
£
£
£
£
£
£
35,875
176,146
184,603
102,500
410,000
205,000
102,500
205,000
256,250
102,500
256,239
£
£
£
£
£
153,750
102,500
76,875
153,750
2,523,488
£
5,459,944
£
5,459,944
Risers
Alarms (fire)
£
£
£
34,029
10,250
44,279
On costs
Fees
Brought forward from 14/15
£
£
£
£
£
922,500
216,935
1,273,000
2,412,435
145,420
£
17,712,481
Sub Total
All Districts
Outbuilding
Responsive Roofs
Responsive Heating
Responsive Electrical
External Improvements
Pre-paint
Adaptations
Planned Asbestos Removal
Asbestos
HHSRS - Responsive
Concrete Repairs - lintels & sills)
Environmental / Landscaping (incl.
fencing, gates, boundary walls)
Underground Drainage
Legionella
Garages
Concierge / Door entry
£100,000 Contribution from Revenue
Brinnington
Adswood / Brinnington / Reddish
Victoria Park / Hollingworth Close
Sub total
ECO
Money brought forward
Sub total
M&E
Sub total
Other
Sub total
Contingency
Combined Total
Item 07a appendix one
Page 149 of 208
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
Click here to enter a date. Choose the meeting.
Title of Report:
DELIVERY OF A NEW HEAD OFFICE
Report of:
DIRECTOR OF TECHNICAL AND COMMERCIAL
SERVICES / ACTING DIRECTOR OF FINANCE
Confidentiality
Non Confidential – apart from commercially sensitive
information.
Purpose of Report:
To seek Board approval to proceed with the development of
the new Head Office and enter into an interim development
agreement with Quorum, the property developer.
Type of Report
Decision
Recommendation:
It is recommended that the Board approve:
i.
ii.
iii.
The development of the new Head Office at Edward
Street;
Stockport Homes entering into an interim Development
Agreement with Quorum property developers; and
Delegate the signing of the final Development
Agreement to the Chair and the Chief Executive.
Financial Implications of
the recommendations
The Head Office presents some financial challenges that are
being carefully managed. The report includes a detailed long
term cash flow and testing of key assumptions within this.
Value for Money
Implications of the
recommendations
Over the long term (15 years and beyond), the Head Office
offers excellent value for money to customers and to the
Stockport Borough. The medium term presents financial
challenges that will be carefully managed through adopting a
value for money approach and seeking to make efficiencies
without impacting on service delivery.
Risk Implications of the
recommendations
Risk
Number
Risk#
Risk Description
Risks have been identified and mitigation actions
as part of this report.
Page 150 of 208
Safeguarding
Implications of the
recommendations
There are no safeguarding implications within this report or
recommendations.
Equality & Diversity
Implications of the
recommendations
Equality and Diversity implications have been considered in
the development and design of the new Head office. The
Staff Diversity Group and Disability Stockport have been
consulted and continue to influence the shape this takes.
Equality Impact
Assessment
Does an EIA need to be
completed? No
Environmental/
Sustainability
Implications
The office will achieve the highest Energy Performance
Certificate (EPC) rating of A.
Customer Impact
Enter the information (see help)
Content of Report
signed-off by Director
Mark Hudson
Contact Officer
Steve Leonard
Contact Details
0161 474 2182
If so, has one been
completed? Choose an item.
04/03/2015
Steve.leonard@stockporthomes.org
Page 151 of 208
1.0 INTRODUCTION
1.1
This report outlines the progress which has been made in relation to the
proposed construction of a new Head Office for Stockport Homes (SHL) at
Edward Street in central Stockport.
1.2
This report also details the need for SHL to enter into an interim development
agreement with the owners of the Edward Street site to enact a start on site to
assist building regulations acceptance prior to April 1st and in anticipation of
entering into a full development agreement in late March or Early April 2015.
2.0 BACKGROUND
2.1
Stockport Homes have identified a site at Edward Street in central Stockport
to develop the organisations new head office, the site is currently occupied by
HR Owen the proprietors of the Lamborghini garage.
2.2
The Edward Street site is owned by a Wilmslow based Development
Company called Quorum who, following an OJEU compliant tender, is acting
as SHL preferred developer to build the organisations head office on this site.
2.3
In November 2014 planning and conservation area consent was granted by
the council for the demolition of the Lamborghini garage and the development
of the new office.
2.4
3.0 INTERIM DEVELOPMENT AGREEMENT
3.1
Both Quorum and SHL have appointed solicitors to draw up a full
development agreement which will form the basis of the land purchase, the
contract tender and project management of the scheme. The agreement will
ensure that SHL have the benefit of a clean title to the land, warranties from
the consultants including architects, engineers ,the builder and guarantees for
components such as lifts, air-conditioning etc.
3.2
It is anticipated that a full Development Agreement will be ready for signing in
late March or early April however in the meantime a need for an interim
development agreement has been identified due to the amount of expenditure
already incurred by the developer and the extent of imminent expenditure that
is now due.
3.3
Since appointment as preferred developer Quorum, as agreed by SHL Board
on the 24 June 2013, they have taken the risk of instructing:
Page 152 of 208







a planning consultant,
heritage consultant,
architect,
employers agent,
structural engineer,
mechanical and electrical consultant and
a quantity surveyor (QS) all without having a formal agreement
in place with SHL.
3.4
3.5
3.6
The completion of the formal development agreement has been delayed for a
number of reasons including: confirmation of planning conditions, assurances
sought by SHL relating to vacant possession, the council’s requirements for
the loan drawdown and confirmation of a fully costed project which is within
SHL’s budget.
3.7
While progress is being made on this agreement at the time of writing this
report it is still up to a month of legal work and negotiations on the finer details
before this can be finalised.
3.8
3.9
4.0
4.1
FINANCIAL SUMMARY AND STRESS TEST
Page 153 of 208
4.2
Work has been undertaken to ensure there are sufficient cash resources to
finance the office build and that the cost of the new Head Office and
associated loan repayments are affordable in the long term.
4.3
4.4
The long term financial impact of the Head Office build has also been
appraised through a detailed cash flow forecast and stress testing of the key
assumptions within. The forecast and the stress testing summary are
appended.
4.5
Based on the key baseline assumptions in the cashflow,
throughout the life of the project.
a positive cash flow is maintained
4.6
Stress testing of variations to the key assumptions has been carried out.
4.7
It is therefore critical to the success of the project to both maintain the costs
within the maximum estimate
5.0 KEY POINTS OF THE INTERIM DEVELOPMENT
AGREEMENT
5.1
5.3
Commitments and Safeguards:
5.3.1 The agreement commits Quorum, on an open book basis, to procure a builder
to construct and fit out an office at Edward Street which will not exceed the
available budget
They are also committed to engage
professional consultants to continue to prepare documents for design and
tender to enable the project to proceed. The agreement commits SHL to pay
Page 154 of 208
the cost of the construction up to
and the consultant fees up to
5.3.2 Both Quorum and SHL are currently engaged in the drawing up of tender
documents and these will be distributed to suitable and experienced builders
to price in an open market tender. Should the tender returns be above the
budget price
there is an obligation on both parties to engage in
a value engineering exercise to bring the tenders in line with the budget
figure.
5.3.3
5.3.4 As discussed in point 4.1 the professional team of consultants are working on
the design and tender documents with the current cost being borne by
Quorum. This interim agreement commits SHL to pay tender preparation
costs of up to
which if the scheme does not progress due to the
proposed building being higher than budget costs these funds will not be
reimbursed. It is usual at this stage of any development that potential abortive
costs will be incurred, as can be seen on our in house new build development
programme, but not usually to this value.
5.3.5 The current budget costs of
have been assessed by Gleeds UK
an SHL appointed Quantity Surveying firm. Gleeds have confirmed that the
current office specification is affordable within the budget price therefore the
likelihood of the scheme not progressing due affordability issues is unlikely.
5.3.6
5.3.7 The tender returns, appointment of the contractor and payments of consultant
fees are all being carried out on an open book basis with SHL fully involved in
the process. None of the professional fees will be paid by SHL until an invoice
is produced in advance which SHL can interrogate therefore ensuring that full
transparency of activities and associated costs can be achieved.
5.4
Risk
5.4.1 The above commitments and safeguards represent risks to the organisation
but also identify actions which have been put in place to mitigate the risks.
Table 1 below outlines the risks, consequences if the risk materialises and
actions which intend to mitigate the risks.
Page 156 of 208
NEXT STEPS
6.1
Assuming the Board approve the interim development agreement SHL and
Quorum can progress with taking forward the project. This will include the
completion of a full development agreement, the drawing up of the tender
documents and the appointment of a contractor.
6.2
As discussed in 3.1 and 3.2 of this report a full development agreement is
being drawn up and will be completed in late March or early April. It is
requested that signing of the final agreement is delegated to the Chair and
Chief Executive.
6.3
The tender documents will continue to be progressed and will include: the
structural specification for the building, the mechanical and electrical (M & E)
components such as air-conditioning, lifts etc. and the components relating to
the fit out of the building.
6.4
A list of contractors to receive the tender documentation is currently being
drawn up. The list will be made up of competent contractors who have a track
record of delivering similar projects, have the capacity to deliver and will
provide a competitive quote for the construction project. It is also important
that they have a good customer care ethos so can deal promptly in the first 12
months of occupation with defects which may arise.
6.5
Following vacant passion of the site to be achieved in
the first
contractor to be appointed will be responsible for the demolition, at this
moment it is anticipated that this will be let separately to the building contract.
It is planned that this contractor will be appointed in
6.6
Following the return of the tender documents by the main building contractor a
full evaluation will take place. The evaluation will make sure no errors have
been made in the tender submission, ensure value for money is achieved and
that proposed components meet the requirements of SHL.
6.7
Following the evaluation exercise it is anticipated that a Design and Build
contract will be let and a start on site for the construction element will be
achieved in August 2015 and be completed in January 2017.
Page 157 of 208
7.0 CONCLUSION
7.1
This report provides an overview of progress to date relating to the proposed
construction of SHL’s new head office at Edward Street in central Stockport.
7.2
The report also explains the need to enter into an interim development
agreement with Quorum Development Ltd, the owners of the Edward Street
site.
7.3
The key points of the agreement are identified in this report including:
commitments, safeguards and risks attributed to SHL together with actions in
place which will mitigate the risks.
8.0 RECOMMENDATION:
8.1
It is recommended that the Board approve:
i.
ii.
iii.
The development of the new Head Office at Edward Street;
Stockport Homes entering into an interim Development Agreement with
Quorum property developers; and
Delegate the signing of the final Development Agreement to the Chair
and the Chief Executive.
Page 158 of 208
Item 08a
Head Office - Running Costs_based on 4.07 loan
Summary High Level Forecasted Cash Flow 2015 - 2029
New Build 4.25% and 40 years. Head Office 4.07% and 30 years.
1
2015
Increased Costs
Head Office
Head Office - Scheme Cost above £9.2m loan
Projects funded from reserves in 2015-16 (excluding HO as inc in above)
413,000
Consolidated New Build Rented
(255,521)
Consolidated New Build Shared Ownership
303,130
Total Increased Costs
460,608
Income
Annualised Surplus
Development Allowances and Clerk of Works
Total Income
2
2016
3
2017
4
2018
5
2019
6
2020
7
2021
8
2022
9
2023
10
2024
11
2025
12
2026
13
2027
14
2028
15
2029
479,568
439,858
887,831
291,108
520,510
518,217
401,532
221,321
110,185
(53,524)
(57,821)
(148,858)
(151,759)
(117,900)
339,103
700,771
(143,790)
331,591
627,659
(170,169)
325,027
1,042,689
(196,270)
319,129
413,967
(223,111)
(313,176)
(15,777)
(250,424)
(284,477)
(16,684)
(278,213)
(284,298)
(160,979)
(306,480)
(283,903)
(369,062)
(342,669)
(281,970)
(514,454)
4,650,000
(72,125)
98,141
4,676,016
(735,598) (906,695) (967,285) (1,029,293)
(349,483) (267,851) (270,069) (275,847)
(1,138,605) (1,232,368) (1,386,213) (1,456,899)
(275,000)
(1,141,611)
(1,416,611)
(275,000) (275,000)
(265,097) (1,437,500)
(540,097) (1,712,500)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
(275,000)
Increased Cost / (Surplus)
(956,003)
4,135,919 (1,011,729)
352,659
767,689
138,967
(290,777)
(291,684)
(435,979)
(644,062)
(789,454)
Cumulative Increased Cost / (Surplus)
(956,003)
3,179,917
2,520,847
3,288,535
3,427,503
3,136,726 2,845,041
2,409,062
1,765,001
975,547
(979,153)
(211,465)
(72,497)
Average Bank Balance (at lowest point, end of month)
(3,500,000)
Cumulative Forecasted Bank Balance - Deficit / (Surplus)
(4,456,003)
2,168,188
(320,083) (1,331,812)
(363,274)
Item 08a appendix one
(654,959)
(1,090,938)
(1,413,605) (1,507,368) (1,661,213) (1,731,899)
(438,058)
(1,945,426) (3,606,639) (5,338,538)
(1,734,999) (2,524,453) (3,938,058) (5,445,426) (7,106,639) (8,838,538)
Page 159 of 208
Item 08a
Stockport Homes Limited
Head Office Stress Testing
Testing of key assumptions - Build cost, annualised surpluses and interest rates.
Testing over 15 years
Build Cost
Baseline assumptions
Assume increase in cost
Assume same cost - decrease in surplus
Annual surplus
£13.85 million
Build Cost
£275,000
Annual surplus
4.07%
Interest rate
Lowest bank balance
(surplus)/ deficit, £
(8,838,538)
Cumulative 15 year
bank balance
(surplus)/ deficit, £
Year
(72,497)
Lowest bank balance
(surplus)/ deficit, £
Years in deficit
2020
Year
0
Years in deficit Annual surplus to maintain positive cashflow
+£250,000
£275,000
4.07%
(8,588,538)
177,503
2020
2
+£500,000
£275,000
4.07%
(8,338,538)
427,503
2020
4 £460,000 year one, £320,000 thereafter
+£1,000,000
£275,000
4.07%
(7,838,538)
927,503
2020
6 £950,000 year one, £350,000 thereafter
Build Cost
Annual surplus
Interest rate
Cumulative 15 year
bank balance
(surplus)/ deficit, £
Lowest bank balance
(surplus)/ deficit, £
Year
£310,000
Years in deficit Reduction in cost to maintain positive cashflow
£13.85 million
£200,000
4.07%
(7,713,538)
377,503
2020
3
£380,000
£13.85 million
£100,000
4.07%
(6,213,538)
977,503
2020
6
£978,000
0
4.07%
(4,713,538)
1,577,503
2020
9
£1.58million
£13.85
Assume same cost/ surplus - variation in
interest rate
Interest rate
Cumulative 15 year
bank balance
(surplus)/ deficit, £
Build Cost
Annual surplus
Interest rate
Cumulative 15 year
bank balance
(surplus)/ deficit, £
Lowest bank balance
(surplus)/ deficit, £
Year
Years in deficit Annual surplus to maintain positive cashflow
£13.85
£275,000
4.32%
(9,051,088)
(137,897)
2020
0 N/a
£13.85
£275,000
4.57%
(8,411,163)
59,003
2020
1
£285,000
£13.85
£275,000
5.07%
(7,971,828)
194,183
2020
1
£310,000
Item 08a appendix one
Page 160 of 208
Item 09
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
24 February 2015 Leadership Forum
Title of Report:
CORPORATE AND HRA RISK REGISTERS (2015-16)
Report of:
DIRECTOR OF FINANCE
Confidentiality
Non Confidential
Purpose of Report:
To present the 2015-16 Corporate and HRA Risk Registers
for approval, to present a risk appetite statement for approval
and to provide an update on the 2014-17 Risk Management
Strategy.
Type of Report
Decision
Recommendation(s):
It is recommended that Board:
i.
ii.
iii.
iv.
v.
Approve the two risk registers
Approve the list of key strategic risks
Approve the risk appetite statement
Approve the amendment to the risk management
strategy
Note the action plan update
Financial Implications of
the recommendations
There are no direct financial implications arising from the
recommendations of this report. Having a risk register
specifically for the HRA business plan demonstrates that the
organisation is aware of risks to the 30 year business plan,
and is managing these.
Value for Money
Implications of the
recommendations
There are no direct value for money implications arising from
the recommendations of this report
Risk Implications of the
recommendations
Risk
Number
Risk#
Risk Description
It is essential that the organisation has an effective
risk management framework in place. This ensures
that the organisation is aware of and is managing
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 161 of 208
Item 09
key risks which may affect the achievement of its
objectives.
Part of the organisation’s approach is to develop
an annual risk register and report against this
quarterly.
Safeguarding
Implications of the
recommendations
There are no direct safeguarding implications arising from the
recommendations of this report
Equality & Diversity
Implications of the
recommendations
There are no direct equality and diversity implications arising
from the recommendations of this report
Equality Impact
Assessment
Does an EIA need to be
completed? Choose an item.
Environmental/
Sustainability
Implications
There are no direct environmental / sustainability implications
arising from the recommendations of this report. There are
risks within the register which relate to environmental works
being undertaken.
Customer Impact
There are no direct customer implications arising from the
recommendations of this report. Having an effective risk
management framework in place enables the organisation to
ensure it is meeting the requirements of co-regulation.
Content of Report
signed-off by Director
Suzanne Frier, Acting Director of Finance
Contact Officer
Samantha Donigan, Assurance Manager
Contact Details
0161 474 2139
If so, has one been
completed? Choose an item.
17/02/2015
Samantha.donigan@stockporthomes.org
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 162 of 208
Item 09
1
INTRODUCTION
1.1
This report presents the two organisational risk registers to Board for approval.
This is in line with the scheme of delegation and part of Board’s role in setting
the risk management framework for the organisation.
1.2
The report also sets out the proposed risk appetite statement for Stockport
Homes, an amendment to the Risk Management Strategy for 2014-17 and an
update on the risk management action plan.
2
RISK REGISTERS 2015-16
2.1
Each year the organisation compiles a corporate risk register and a risk register
specific to the 30 year HRA business plan.
2.2
These include those risks which could affect the achievement of organisational
/ business plan objectives. The risks are scored1 at a gross level, with no
interventions taking place. Control actions are then agreed, which can be a
mixture of existing measures and new risk control actions, and are the
responsibility of a Head of Service. The risk is then scored at a residual level,
assuming the control actions will be delivered.
2.3
Each quarter, performance against delivery of the control actions is monitored
and reported to Leadership Forum and to the Business Development SubGroup. This is in line with the organisation’s risk management framework.
2.4
Board receive a high level update each quarter against the key organisational
risks.
2.5
Corporate risk register
2.6
The corporate risk register for 2015-16 contains 27 risks, which are grouped
into eight specific themes.
2.7
There are a number of risks which the organisation continues to face over the
long term and these risks are reviewed and carried forward each year - with
new / additional risk control actions added in where necessary. Examples of
long term risks include the relationship with the Council, changes to local /
national politics and the health and safety obligations on the organisation.
2.8
There are then a number of risks which affect the organisation for a shorter
period of time, often for one year or a small number of years and are reviewed
and challenged as to whether they remain a corporate risk. Examples of these
include obtaining planning permission for the HQ (which was in the 2014-15
register) or changes to Board structure and the expiration of the current Chair’s
term (which is a risk for 2015-16).
1
The likelihood of the risk occurring is rated and then the impact if it did occur is rated on a
scale of 1 to 4
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 163 of 208
2.9
Item 09
The 2015-16 risk register is attached at Appendix One.
2.10 HRA risk register
2.11 This risk register has been in place since 2012 when the organisation began
self-financing. Many of the risks are long term risks which affect the plan across
the full thirty year period.
2.12 Regardless, each year the register is reviewed and amendments made as
required. For example, following the change to right to buy discounts, this risk
was increased as the original assumptions made within the business plan were
not reflective of actual performance.
2.13 For 2015-16, a new risk has been added to this register in relation to inflation
levels and their impact on rent increases. Historically rent increases have
been linked to RPI2, whereas for 2015-16 onwards they will be linked to CPI3.
RPI almost always gave a higher level of inflation (and so rent increase),
whereas the move to CPI means that the increase could potentially be lower.
This risk has been added and the business plan has been remodelled
accordingly.
2.14 In addition the risk is further exasperated as the UK economy is currently
experiencing low levels of inflation. The 2015/16 rent increase is 2.2% (based
on a CPI rate of 1.2%) compared with 3% as modelled in the business plan.
Should this situation continue in the medium term, there would be a significant
financial impact on the HRA.
2.15 The 2015-16 risk register is attached at Appendix Two.
3
KEY STRATEGIC RISKS
3.1
Below is a list of the high level, strategic4 risks contained within the corporate
risk register which will be reported to Board on a quarterly basis, as part of the
Chief Executive’s Update Report:
1. The renegotiation of the management agreement has adverse effects on
the organisation
2. Rent and water income collection rates are not maintained at best in
sector levels
3. Welfare reform continues to impact upon customers' ability to manage
their tenancies
4. Universal credit brings additional challenges to customers and the
organisation
5. Diversification into new work areas brings exposure to new types of
market (including any insourcing opportunities) and is not maximised or
doesn't break even
2
Retail price index
Consumer price index
4
Those with a gross risk rating of more than 12, so rated as Red
3
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 164 of 208
Item 09
6. New head office is not delivered to agreed budget and timescales
7. Health and safety obligations to customers aren't fulfilled, including gas
safety, fire safety, legionella and asbestos
8. Health and safety obligations to staff aren't fulfilled
9. IT systems are not resilient enough and readily available to meet
business need and IT support from SMBC is not sufficient
4
RISK APPETITE STATEMENT
4.1
All organisations need to take risks to survive and grow. The benefit of
developing a view on risk appetite is that the organisation can set out the
nature and extent to which its own risk taking will be undertaken. This allows
general boundaries to be drawn which show what level of risk taking is
acceptable, and also what is unacceptable.
4.2
It would be too simplistic to apply the same level of risk appetite across the
entire organisation, as different service face (and have experience of) different
risks. Variations in risk appetite should be understood and set out in context. It
is important to acknowledge that the appetite can also change over time and
this should be regularly reviewed.
4.3
An exercise was undertaken with Leadership Forum and Board Members to
obtain their input into the development of a risk appetite statement for the
organisation. This involved a questionnaire which set out six key risk areas and
asked the respondent to score them.
4.4
The outcome of that exercise were collated and presented back to both groups.
The results showed that the organisation has an open and hungry risk appetite
across all six risk areas. This is in line with our vision, mission and aims and
supports the achievement of organisational strategic priorities across the
coming years.
4.5
The risk appetite statement therefore provides a framework against which
decision making can be based upon, knowing what the capacity of the
organisation. It can also be used to direct risk controls and can identify those
initiatives which are above (or below) the appetite for the organisation. This will
ensure that the risk management framework continues to operate effectively.
4.6
The proposed risk appetite statement is attached at Appendix Three.
4.7
The 27 risks within the corporate risk register have been linked to the six
themes within risk appetite statement to demonstrate how risks and
achievement of corporate objectives are linked.
5
RISK MANAGEMENT STRATEGY UPDATE
5.1
In March 2014, Board approved the 2014-17 Risk Management Strategy for the
organisation. Since then, there has been a change to the risk management
framework in place – specifically around the use of a risk working group.
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 165 of 208
Item 09
5.2
The update, to which approval is sought, is provided at Appendix Four.
5.3
Throughout the first year of the strategy, a number of actions have been due for
completion. A summary of the delivery against these actions is provided at
Appendix Five.
6
CONSULTATION
6.1
All Heads of Service and Directors have been given the opportunity to
contribute to the risk register for 2015-16. The development of the registers
takes place within the annual business planning cycle, which also sees the
Delivery Plan, the Service Improvement Plan and the annual budget developed
and approved.
6.2
Consultation has been undertaken on the creation of a risk appetite with both
Leadership Forum and the Board. This was in the form of an individual
questionnaire and then a presentation of the combined results.
6.3
The amendment to the Risk Management Strategy has clear links with the
development and introduction of a Corporate Project Framework. Consultation
on that framework has been extensive and has agreed the need for the
Business Transformation Group to be in operation.
7
CONCLUSION
7.1
The organisation has a strong and effective risk management framework in
place. The Risk Management Strategy sets out the vision for how risk and
opportunity will be managed within the organisation.
7.2
Development of corporate and HRA risk registers ensures the organisation is
identifying key risks to the achievement of its objectives and to put in place
mitigating actions to control these.
7.3
The creation of a risk appetite statement will further strengthen the approach to
risk and opportunity management and provide transparency over what the
organisation has agreed is the correct level of risk taking.
7.4
The updates to the strategy mean that it is kept meaningful and relevant to the
organisational processes which exist and reflects best practice. Delivery of
actions within the strategy action plan shows that the framework is being further
improved upon.
8
RECOMMENDATIONS
8.1
It is recommended that Board:
i. Approve the two risk registers
ii. Approve the list of key strategic risks
iii. Approve the risk appetite statement
iv. Approve the amendment to the risk management strategy
v. Note the action plan update
Item 09 CORPORATE AND HRA RISK REGISTERS (2015-16)
Page 166 of 208
Item 09a
Risk No.
Corporate Risk Register 2015-16
Risk
1 Stockport Homes does not contribute fully
towards the Council’s transformation
agenda
Risk Category One: The Organisation
2
3
4
Positive, strategic relationships are not
maintained with the Council, local
politicians, partners and GM partners
The renegotiation of the management
agreement has adverse effects on the
organisation
Significant changes in local and national
politics affect the organisation
Risk owner
Helen
McHale
Helen
McHale
Helen
McHale
Helen
McHale
Potential consequences if risk is
realised
Stockport Homes not in a position to
influence in Stockport and damaged
reputation. This is key to both
outcomes in Stockport and partners
perception of Stockport Homes.
Working relationships are negatively
impacted across the organisation,
joint working is harder to enact
Stockport Homes’ influence and
ability to deliver changes. In a diverse
changing world Stockport Homes
need to build a broad range of
alliances
Reduced level of freedom and
flexibility afforded to the organisation
has long term implications on the
organisation's service delivery model,
the organisation is unable to make
decisions about the corporate
structure and approach to
governance, reduced service quality
for customers arises
Gross risk rating
(GRR)
L
3
2
6
7
8
Company structure is inappropriate given
the diversification / commercial activity
taking place
Carmel
Chambers
Insufficient cash resources are available
to deliver capital projects
Carmel
Chambers
Rent and water income collection rates
are not maintained at best in sector levels
Welfare reform continues to impact upon
customers' ability to manage their
tenancies
Carmel
Chambers
Sandra
Coleing
3
3
9
6
4
VAT and tax liabilities are inefficient
meaning money is diverted away
from service delivery. The benefits of
charitable statuses are not realised.
Funds are not available to meet
financial commitments, regulatory
engagement takes place as financial
viability is affected
Income levels are not sufficient to
continue to deliver excellent services
and business plan commitments, a
reduced water budget means that
there are less funds available to
deliver social inclusion work which
directly contributes to the
achievement of our vision and
mission
Range of strategies in place to ensure
excellence continues to be delivered.
Chief Executive sits on the Joint
Outcomes Framework partnership
board and the Director of
Neighbourhoods and Support sits on
the Localities Based Planning
partnership board. Operationally, the
organisation contributes to both
working groups / implementation
teams also.
Regular liaison with SMBC and local
politicians, reporting to Member
Committee, invitations for stakeholders
to attend visits / events, regular
updates / communications. Council
Heads of Service consulted about
2015/16 Delivery Plan. Ongoing
dialogue with officers about Locality
Working and Joint Outcomes
Framework. Chief Executive sits on
the GM Providers Group.
Range of reports to
LF / Board / SMBC
and customers
3
3
3
2
3
3
4
6
9
9
12
Increased tenancy turnover,
increased void costs, negative impact
on neighbourhood sustainability,
increased poverty issues for
customers, loss of income, increasing
arrears, some properties become
difficult to let
3
Helen
McHale
Feedback from CEO Gill Bennett
and other managers
working with the
council
Gill Bennett
Are ongoing risk
control actions
sufficient?
YES or NO
Yes
12
Understand emerging politicians and Feedback from CEO
seek to influence and direct before
and Directors on
adopted/influenced
policy changes and
partnering
arrangements
Helen
McHale
KPMG commissioned to undertake a
desktop options appraisal to be
considered by Board and SMBC
Reports to SMBC
and Board
Suzanne
Frier
Regular cash flow monitoring and
management accounts reporting,
drawing down borrowing to finance
new build developments, ensuring
sufficient funds are available to bridge
the gap between shared ownership
build completions and sales
completions
Financial reporting
to LF / Sub-Group
and Board
Regular performance reporting, money
Performance
advice and financial inclusion support reporting to LF / Subprovided, more effective sign up
Group and Board
process in place, mobile working in
place to access key systems whilst out
and about
Suzanne
Frier
Christian
Hartley
Welfare reform planning group meets
Welfare reform
Martin
regularly, performance reporting on
planning group,
Saunders /
key indicators, policies in place to deal budget monitoring Jane Allen /
with specific situations, range of staff
and performance
Christian
providing advice and support to
reporting to LF / SubHartley
affected customers, range of initiatives
Group / Board
in place such as furniture station and
food pantries, void improvement group
meet regularly, voids reviewed weekly,
secured additional resources from
HRA underspend, hardship fund
mitigates impact for most vulnerable
cases, using Experian data to target
hardest to reach customers, close
relationships developed with partner
agencies supporting most vulnerable
e.g. drug and alcohol agencies,
probation etc., closer working with
JobcentrePlus / DWP to agree new
ways of working and influence
processes.
Additional NEW risk control actions
No
No
No
No
No
No
Item 09a appendix one
Review Ultimate deadline
Action owner
quarterly?
for delivery
Helen
McHale
Yes
12
Political structure locally and
nationally change leading to revised
policies and different political leaders
4
Risk Category Two: Finance and Economy
3
GRR
Continuation of work from the options Regular reports to
appraisal project. Continue to be
LF / SHMT / Board
productive and creative and use all
and discussion of
relationships to get right outcome
Board requirements
at spring away day
3
5
I
ONGOING risk control actions
Assurance over
Action owner
ONGOING actions
Helen
McHale
Yes
Yes
Residual risk
rating (RRR)
Control
Dependency
(=
GRR CRR
RRR)
L
I
1
3
3
1
2
1
Link to risk appetite statement
Key risk area
Risk appetite
6
Working
relationships and
reputation with key
stakeholders
Open / Hungry
2
4
Working
relationships and
reputation with key
stakeholders
Open / Hungry
4
4
8
Working
relationships and
reputation with key
stakeholders
Open / Hungry
3
1
3
3
Working
relationships and
reputation with key
stakeholders
Open / Hungry
2
2
4
5
Financial position /
income collection
Open / Hungry
2
2
4
5
Financial position /
income collection
Open / Hungry
2
2
4
8
Financial position /
income collection
Open / Hungry
2
2
4
8
Financial position /
income collection
Open / Hungry
Mar-16
Mar-16
Ensure memorandum and articles of association
are fit for purpose (approval at September 2015
AGM)
Gill Bennett
Yes
Sep-15
Ensure relationship agreement preserves
freedoms for Stockport Homes which have
supported it to thrive
Gill Bennett
Yes
Mar-16
Monitoring of outcome of elections and assessing
the impact of emerging policies related to housing
Gill Bennett
Yes
Mar-16
Contact with newly elected politicians to develop
relationships and to explore their interests and
priorities in order to demonstrate how we deliver
against their agendas
Gill Bennett
Yes
Mar-16
Implement actions arising from KPMG options
appraisal
Suzanne
Frier
Yes
Mar-16
Gain approval to any decision made to change the
corporate structure
Suzanne
Frier
Yes
Mar-16
Develop more detailed cash flow reporting to more
accurately reflect the changing nature of the
organisation
Suzanne
Frier
Yes
Mar-16
Undertake regular stress testing of business plans
and ensure these are communicated to Board
Suzanne
Frier
Yes
Mar-16
Ensure Mobysoft RentSense programme (for
predicting arrears) is working efficiently to manage
increased workload arising from UC
Christian
Hartley
Yes
Mar-16
Refine mobile working processes to enable high
value debts to be chased and customers where
there is no phone contact to be visited
Christian
Hartley
Yes
Mar-16
Use customer profiling information more effectively
in the money advice team to ensure that the right
people (those most at risk) are receiving
appropriate money / benefit / debt advice (target
the right areas to maximise outcomes).
Christian
Hartley
Yes
Mar-16
Targeted CTV visits aimed at those identified as
most at risk (low income, on DHP etc.)
Jane Allen
Yes
Mar-16
Implement further tenancy sustainment initiatives
such as roll out of furniture recycling and the
'Pantry', carrying out more financial checks at sign
up, increasing support/referrals for support
Jane Allen
Yes
Mar-16
Provide money advice surgeries for people to drop
into as part of a more proactive approach to the
service
Christian
Hartley
Yes
Mar-16
Ensure pre-court work is effective and that tenants
with rent arrears engage with the customer finance
team to avoid increased court fees where
applicable
Christian
Hartley
Yes
Mar-16
Risk Category Two: Finance and Econ
relationships developed with partner
agencies supporting most vulnerable
e.g. drug and alcohol agencies,
probation etc., closer working with
JobcentrePlus / DWP to agree new
ways of working and influence
processes.
Page 167 of 208
9
Universal credit brings additional
challenges to customers and the
organisation
Carmel
Chambers
Increased poverty for customers,
increasing arrears, loss of income to
organisation, increase in legal action
against non-payers, increased void
rate
4
10
Cuts in key Council services and to key
partners have a negative impact on the
organisation's ability to deliver services
and leads to expectations that the
organisation will fill the gap
April Higson
Risk Category Three: New Business
Effective working relationships with
Carrillion:CBRE are not maintained
12 Diversification into new work areas brings
exposure to new types of market
(including any insourcing opportunities)
and is not maximised or doesn't break
even
Mark
Hudson
Growth / business plans are
adversely affected, reputation is
negatively affected, strategic
relationship with the Council is
affected
3
14 New head office is not delivered to agreed
timescales
Carmel
Chambers
Mark
Hudson
3
3
9
9
Business plans and income levels
would be negatively affected if new
income streams and new areas of
work are not forthcoming
3
13 New head office is not delivered to agreed
budget
Risk Category Four: New Head Office
Mark
Hudson
12
Customer satisfaction with
neighbourhoods falls, customers
struggle to maintain their tenancies
with reduced levels of support from
external organisations / agencies,
negative impact on staff (stress)
3
11
3
Increased costs will have a direct
impact on the organisation's finances
and its ability to continue to deliver
services in the short term, reputation
would be negatively affected and
would the relationship with the
Council
Stakeholder support for the project is
negatively affected, move in dates
are pushed back which could lead to
additional cost and disruption to
services / communications and staff
morale, reputation negatively affected
3
3
4
4
4
Item 09a
Welfare reform planning group meets
Welfare reform
regularly, RentSense being used to
planning group,
predict arrears, money advice team in budget monitoring
place, performance reporting on key
and performance
indicators, regular monitoring and
reporting to LF / Subanalysis of UC cases, modelling
Group / Board
impacts on business plans, reports
issued to various stakeholders on a
regular basis to inform / update them
on arrears levels and UC activity
Welfare reform planning group meets Feedback from CEO
regularly, range of staff providing
and other managers
advice and support to customers,
range of initiatives in place such as
furniture station and food pantries, lots
of partnership work ongoing, attracting
external funding where possible,
development of Community
Engagement Strategy and overarching
Social Inclusion Strategy will help
guide decision making about where
SHL might take on support services
withdrawn by others
Christian
Hartley
Jane Allen
No
No
Ongoing relationship building and
Written agreements Mark Hudson
regular liaison meetings with Carillion. in place and regular
A formal SLA is in place until October reporting via CEO
2016 (and prices have been increased
update report
from January 2015)
No
Stockport Homes Business Plan in
Reporting on new
place, new opportunities are fully
business via CEO
appraised, business plans are put in report and individual
place where needed, approach in
reports, regular
place to guide exploration and
budget and risk
approval of new business
monitoring
opportunities, use of consultants with
specific expertise in a market which is
new to the organisation,
No
Steve
Leonard /
Jon
Blackwell
Karl Colyer /
Julie Teale /
Gill Bennett /
Anne-Marie
Heil
12
12
12
Detailed financial appraisal constantly
The HQ Steering
being monitored and updated, steering
Group meets
group in place to approve any financial
regularly and
changes to the budget, project
financial / project
assurance being provided by PwC,
reports are taken to
legal development agreement will
LF / Sub-Group /
include a cap on costs
Board
Steering Group in place to monitor
delivery of overall programme and
individual projects, milestones have
been identified and will be reported
upon, project assurance being
delivered by PwC. Legal advise has
been sought around holding over the
leases at Bredbury and St Peters to
allow for a Spring 2017 move date
The HQ Steering
Group meets
regularly and
financial / project
reports are taken to
LF / Sub-Group /
Board
Suzanne
Frier
Steve
Leonard
No
No
Work with council to ensure reduced access to HB
system doesn't adversely affect income collection
Christian
Hartley
Yes
Mar-16
Monitor performance / activity post-election when
people may have to make tough decisions
(reducing DHP and increasing demand for
downsizing)
Christian
Hartley
Yes
Mar-16
Modelling of impact of UC to enable direct
responses / actions to be put in place
Christian
Hartley
Yes
Mar-16
Ensure monitoring reports are used to identify
cases where direct payment is obtainable (8
weeks arrears) and apply to DWP promptly for
direct payment .
Christian
Hartley
Yes
Mar-16
Investigate potential for Brindale House to obtain
charitable status
Geoff Binns
Yes
Mar-16
Deliver digital inclusion projects to ensure people
Martin
are living within 10mins walk of internet and
Saunders
computer equipment and with relevant skills to use
it
Greater coordination of work through enhanced Tanya King /
NAPs and Social Inclusion Strategy guidance,
Jo Cole
ensuring more effective use of resources and
greater staff collaboration.
Yes
Mar-16
Yes
Mar-16
Contributing to the council's 'Investing in
Stockport' programme through active involvement
in the development of Localities via the Locality
working Board, and including working with Council
and other partners to influence outcomes of the
play provision review, Public Realm enforcement
review, shared measures for troubled families,
SHL involvement in the MASSH, and engagement
in tackling Organised Crime
Jane Allen
Yes
Mar-16
Continue to work with Carillion and review the
terms of the SLA when required
Mark Hudson
Explore new market opportunities with schools and
Jon
care homes
Blackwell
Explore opportunities to manage the design of new
Jon
build scheme in-house
Blackwell
Deliver the wood chipping plant project for
Steve
biomass fuel supplies
Leonard
Continue to meet / exceed business plan targets Anne-Marie
for the Social Lettings Service and promote and
Heil
market the service to increase the portfolio size
Yes
Mar-16
Yes
Mar-16
Yes
Mar-16
Yes
Mar-16
Jon
Blackwell /
Anne-Marie
Heil
Yes
Mar-16
Review approach to overhead apportionment for
new business
Suzanne
Frier
Yes
Mar-16
Creating schools strategy to map existing work
and provide focus for future work to maximise
opportunities for partnerships with schools across
all teams
Financial parameters / tax and vat understood /
budgets updated as more information known e.g.
once tender is finalised
Tanya King
Yes
Mar-16
Suzanne
Frier
Yes
Mar-16
Undertake value engineering exercises as required
to reduce costs
Steve
Leonard
Yes
Negotiate with developer over build programme /
timeline
Finalise tender for new head office development
Steve
Leonard
Steve
Leonard
Steve
Leonard
Steve
Leonard
Steve
Leonard
Yes
Apr-15
Yes
May-15
Yes
Aug-15
Yes
Aug-15
Yes
from Aug-15
onwards
Appoint contractor to build the new head office
New head office construction works start on site
3
9
3
Financial position /
income collection
Open / Hungry
3
2
6
3
Operational
performance /
efficiency
Open
2
3
6
3
Diversification /
decision making
Open / Hungry
2
3
6
6
Diversification /
decision making
Open / Hungry
2
4
8
4
Head office realising the benefits
and value for money
Open / Hungry
2
4
8
4
Head office realising the benefits
and value for money
Open / Hungry
Mar-16
Work with the Council once budgets for HRA
(Home Repairs Assistance) scheme are known
[budget yet to be determined]
Ongoing monitoring of construction phase and
agreed plans
Item 09a appendix one
Yes
3
Mar-16
Risk Category Four: New Head Offi
Page 168 of 208
15
Risk Category Seven: Human Resources and Governance
Risk Category Six: Health and Safety
Risk Category Five: Asset Management
16
17
Staff are not engaged or communicated
with sufficiently in relation to the new head
office meaning that the benefits of moving
to a new head office are not fully realised
Delivering the most ambitious SHL /
SMBC new build programme in recent
years
Exposure to the housing market via
shared ownership sales and affordable
rent models
Item 09a
Sandra
Coleing
Mark
Hudson
Mark
Hudson
18 ECO funding (and other energy efficiency
grants) are not available to deliver
sustainability works
Mark
Hudson
19
Mark
Hudson
20
Health and safety obligations to
customers aren't fulfilled, including gas
safety, fire safety, legionella and asbestos
Health and safety obligations to staff
aren't fulfilled
Sandra
Coleing
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
Sandra
Coleing
22
Sandra
Coleing
23
Changes to the Board structure and
appointment of a new Chair lead to
ineffective governance in the short term
Staff are not engaged and motivated in
their roles
Sandra
Coleing
Staff do not embrace new ways of
working and hinder progress to
implement the move successfully,
services are not delivered to an
excellent standard and their
development is hindered, efficiency
savings available are not realised,
reputation is negatively affected in the
local area, staff are not engaged and
motivated, new working processes
are not optimised which affects
service delivery
Reputation is negatively affected with
HCA, SMBC and other stakeholders,
finances are affected which in turn
impact delivery of business plans and
services, potential regulatory
involvement if cash flow / liquidity is
negatively affected
Sales do not materialise as per
financial appraisal projections,
increased costs are incurred, shared
ownership units revert back to social
rent which has an impact on budgets,
affordable rent levels are not forecast
accurately, tenants are unable to
meet rent repayments if they increase
significantly or their circumstances
change
The programme to deliver energy
efficiency works is adversely affected,
fuel poverty issues within the borough
are not tackled effectively which has
an increasingly negative impact on
customers
Accidents / incidents occur in the
workplace which were avoidable and
for which the organisation is liable,
claims / cases are brought against
the organisation by individuals or
regulatory bodies such as HSE, risk
of serious injury / death exists and
reputation would be negatively
affected by any H&S issues
Accidents / incidents occur in the
workplace which were avoidable and
for which the organisation is liable,
claims / cases are brought against
the organisation by individuals or
regulatory bodies such as HSE, risk
of serious injury / death exists and
reputation would be negatively
affected by any H&S issues
Governance and co-regulation are
ineffective and the organisation does
not meet the regulatory requirements,
decision making is ineffective,
reputation is negatively affected,
SMBC lose confidence in the ALMO
Governance is ineffective and the
organisation does not meet the
regulatory requirements, decision
making is ineffective, reputation is
negatively affected, SMBC lose
confidence in the ALMO
Staff turnover increases leading to
additional recruitment costs and short
term impacts on service delivery,
staff performance may not be
optimised, sickness absence
increases, service quality overall is
affected due to lack of buy-in to the
organisation's vision, the organisation
is not seen as an employer of choice
2
3
2
3
3
3
2
3
2
3
3
3
3
4
4
4
3
3
6
9
6
9
12
12
8
9
6
Staff consultation group is in place as Reports / updates to
Diane
part of wider Staff Voice framework,
the HQ Steering
Laming / Gill
communication improved via the
Group / LF / SubBennett
introduction of the HOG for all staff to
Group
receive timely updates. Staff Voice
discuss HQ at every meeting and are
used for individual consultation
exercises as required.
Communications group have reviewed
project plan and created a comms plan
/ stakeholder management plan for key
milestones, Steering Group in place to
monitor delivery of overall programme
and individual projects, project
assurance being delivered by PwC
Yes
Approval processes for new build in Regular budget and
place, regular cash flow monitoring performance reports
takes place, scenario modelling takes to LF / Sub-Group /
place, all schemes are fully appraised
Board
and closely monitored, regular
reporting to LF and Sub-Group
Steve
Leonard /
Suzanne
Frier
No
Full analysis of market conditions
Regular budget and
undertaken for each scheme, ensure performance reports
financial appraisals stack up on a short to LF / Sub-Group /
term affordable rent basis in the event
Board
of immediate lack of interest in shared
ownership, market rents monitored to
assist with affordable rent projections
Steve
Leonard /
Suzanne
Frier
Continue to negotiate with providers
and test the market for the best deals
available, re-profile the capital
programme as required, lobbying
politicians
Regular reports to
LF / SHMT / Board
Existing processes in place to manage
H&S obligations, use of IT systems to
effectively plan and monitor works,
regular estate inspections / block
checks, risk assessments in place,
internal audit used as well as
compliance guidance from
professional bodies, undertaking type
4 intrusive asbestos surveys, HoS in
T&CS directorate and other key
Range of workplace H&S policies and
procedures are in place, dedicated
H&S Manager, regular workplace
auditing, reporting processes exist,
training undertaken as required,
internal audit used
Regular audit and
performance reports
to LF / Sub-Group /
Board
Board and CSP members undertake
induction, training and PDR to ensure
they are effective in their role,
dedicated Governance Improvement
Plan in place, regular reviews against
best practice, mentoring programme in
place
Governance Improvement Plan in
place to address skills gaps and
succession planning issues in medium
term. Renegotiation of Articles will
include, composition and payment
issues. Proposal for AGM to elect
Chair from existing Board for
transitional year of 2015/16 and
advertise for Chair with specific skills
in 2016/17.
Investors in People Gold attained,
Health and Wellbeing good practice
attained, use of Best Companies to
provide insight into areas for
improvement, launch of the HOG to
improve staff engagement and
communication, review of HR policies
and procedures underway, business
partnering approach in place.
Regular audit and
performance reports
to LF / Sub-Group /
Board
CSP reports are
submitted to Board,
governance reports
are submitted to
Board
Jon
Blackwell
Steve
Leonard /
Jon
Blackwell
Karl Colyer /
Julie Teale /
Jane Allen
Diane
Laming
Gill Bennett
Feedback from CEO Gill Bennett
Performance
reporting to LF / SubGroup and Board
Diane
Laming
Diane
Laming / Gill
Bennett
Samantha
Donigan
Yes
Mar-16
Work with Council to increase the borrowing facility
to meet the requirements of the development
programme
Steve
Leonard
Yes
Mar-16
Steve
Leonard /
Suzanne
Frier
Yes
Mar-16
Yes
No
No
No
No
Item 09a appendix one
Mar-16
Undertake an internal audit of development finance
as per request from BDSG
Yes
No
Yes
Jon
Blackwell
Yes
Julie Teale
Yes
Mar-16
Removal of high risk asbestos containing materials
to be undertaken at void stage
Julie Teale
Yes
Mar-16
Review the Legionella Policy
Julie Teale
Yes
Mar-16
Undertake a fuel switch to remove gas supply in
tower blocks (including the main pipe)
Jon
Blackwell
Yes
Mar-16
Introduce a new health and safety management
system to provide simpler and more effective
approach to managing health and safety, including
a central database and automation of tasks such
as reviewing risk assessments and undertaking
audits
Neil Smith
Yes
Mar-16
Address ongoing areas of risk to staff safety (for
example, lone working, reception area, working at
height and using the Elk)
Neil Smith
Yes
Mar-16
Ensure changes to Memorandum and Articles
enable the organisation to recruit better skilled
Board members
Gill Bennett
Yes
Mar-16
Yes
2
4
2
Head office realising the benefits
and value for money
Open / Hungry
2
3
6
3
Diversification /
decision making
Open / Hungry
1
3
3
3
Financial position /
income collection
Open / Hungry
3
2
6
3
Diversification /
decision making
Open / Hungry
2
4
8
4
Regulation /
compliance
Open
2
4
8
4
Regulation /
compliance
Open
1
4
4
4
Regulation /
compliance
Open
2
3
6
3
Regulation /
compliance
Open
1
3
3
3
Operational
performance /
efficiency
Open
Mar-16
Consider insourcing of the domestic gas contract
Finalise arrangements for recruiting for an interim / Gill Bennett
permanent Chair
2
Mar-16
Develop and implement a new Pay and reward
strategy
Diane
Laming
Yes
Mar-16
Launch of a new suite of HR policies
Diane
Laming
Yes
Mar-16
Launch of a new Values Charter for the
organisation
Liz Chadwick
Yes
Mar-16
Gain accreditation against the new IIP standard
Liz Chadwick
Yes
Mar-16
Implement a new framework for health and well
being
Liz Chadwick
Yes
Mar-16
Risk Category Seven: H
Page 169 of 208
24 Workforce planning (talent management /
succession planning / knowledge
retention) is inadequate
Risk Category Eight: Information and Systems
25
26
27
CRM system not introduced on time and
benefits not realised prior to move to new
head office
IT systems are not resilient enough and
readily available to meet business need
and IT support from SMBC is not sufficient
IT systems are not optimised to meet
changing business need in both the short
and long term
Item 09a
Sandra
Coleing
Sandra
Coleing
Sandra
Coleing
Sandra
Coleing
Service delivery may be affected if
staff leave and there is not sufficient
knowledge sharing / succession
planning in place - it is essential the
organisation has the right people, with
the right skills and knowledge in post
at the right time
Services are negatively affected, the
organisation can not implement other
service improvements that depend
upon this system, the organisation
fails to meet customers expectations,
efficiencies are not realised, the
organisation is not seen to be
innovative enough, business
improvements are not realised processes are not embedded,
technical limitations don't meet
changing business requirements, not
all users following agreed processes
Service delivery is adversely
affected, staff are unable to complete
work tasks due to systems not being
available, mobile working plans are
affected and staff become
disengaged with them, customers
become frustrated with the
organisation's ability to deliver
services effectively, malicious
external threats are realised
Service delivery is affected,
innovation is constrained within the
organisation, service improvements
can not be enacted as the IT
provision does not support them,
customers view the service provision
as inadequate
2
3
6
Worksmart project team for new head
office, GROW model developed and
will be implemented, business
partnering approach used to ensure
HR are change agents and forward
planning for structures and change
takes places effectively.
Different systems have been
investigated and a trial is taking place
with one system, prioritising business
processes (where nothing in place at
moment) and general data cleansing
3
3
2
3
4
4
Reporting to LF /
Sub-Group and
Board
Reporting to LF /
Sub-Group and
Board
Diane
Laming
John
Chambers /
Martin
Saunders
No
No
9
12
8
Regular system checks and reporting,
ongoing relationship management with
providers, incident reporting and
investigation, proactive work around
change management, regular liaison
with SMBC over the service provision
and SHL's needs, stabilisation of key
systems, planned regime to update
hardware, software and firmware,
improvements being sought to disaster
recovery approach via SMBC
Reporting to LF /
SHMT
Full analysis of business requirements,
effective change management and
horizon scanning approaches in place,
Corporate Project Framework and the
Business Transformation Group in
place, strategic account management
with key suppliers
Reporting to LF /
SHMT
John
Chambers
John
Chambers
No
No
Implement and embed the GROW model
Liz Chadwick
Yes
Mar-16
Implement the management development
programme
Liz Chadwick
Yes
Mar-16
Conclude review of current HR system and make
decision on whether new system is required to
enable better people planning
Diane
Laming
Yes
Mar-16
Procurement exercise for the chosen system to be
completed
John
Chambers
Yes
Apr-15
Roll out to phase 1 to those teams with less formal
systems / processes in place (ensuring training
and support is provided, devices are provided as
Business process re-engineering to be completed
across the organisation (standardising processes
where possible)
John
Chambers
Yes
Sep-15
John
Chambers
Yes
Mar-16
Demonstrate potential of the CRM system to staff
to ensure buy-in and understanding of how it fits
with their job role
John
Chambers
Yes
Mar-16
Ongoing monitor & review of CRM usage /
processes / capabilities and develop to meet future
business needs and ensure compatibility with
other systems (EDRMS, website, contact centre
etc)
John
Chambers
Yes
Mar-16
Regular monitoring of SMBC resilience of ICT
support and review options for future service
provision to meet SHL needs
Identify and prioritise system replacement and use
of cloud services where appropriate - ensuring that
cloud and network integration is in place to allow
authentication and authorisation of users to take
place once
Ongoing relationship management with SMBC ensuring that problems / issues / concerns are
raised and given the appropriate level of priority,
acknowledging both the reducing level of budget
and expertise within SMBC
Ongoing system reviews to ensure business plan
aspirations can be delivered
John
Chambers
Yes
Mar-16
John
Chambers
Yes
Mar-16
Ensure staff are using systems and devices in an
optimal way and move away from historic
processes
Item 09a appendix one
John
Chambers
Yes
Mar-16
John
Chambers
Yes
Mar-16
John
Chambers
Yes
Mar-16
1
3
3
3
Operational
performance /
efficiency
Open
2
2
4
5
Operational
performance /
efficiency
Open
2
3
6
6
Operational
performance /
efficiency
Open
1
4
4
4
Operational
performance /
efficiency
Open
Page 170 of 208
Item 09b
Risk No.
HRA Risk Register 2015-16
1
2
HRA Self Financing Business Plan - key risk areas
3
Risk
Risk owner
Potential consequences if
risk is realised
Gross risk rating
(GRR)
L x I = GRR
L
Impacts of welfare reform and
universal credit result in a loss
of income
Changes in interest rates affect
business plan projections
Carmel
Chambers /
Sandra
Coleing
Carmel
Chambers
Loss of income to the
organisation, increased costs
to deal with impacts (e.g.
additional staff, increased
voids volume)
Incorrect business plan
assumptions leading to less
income available for
investment, business plan
goes into deficit. This could
affect service delivery.
4
3
I
3
2
ONGOING risk control actions
GR
R
12
6
Stock types become difficult
Sandra
to let and unsustainable over
Changing demographics of the
Coleing /
the long term. Quality of life
people needing to be housed April Higson /
for tenants negatively
Mark Hudson
affected.
3
3
9
Assurance over ONGOING
actions
Action owner
Are ongoing risk
control actions
sufficient?
YES or NO
Additional NEW risk control
actions
Action owner
Deadline
(specific
quarter or for
quarterly
review)
Control
Dependency
(= GRR RRR)
L
I
CR
R
3
3
9
3
Quarterly
Review
2
2
4
2
Simon Welch /
Jane Allen /
Steve Leonard
/ Anne-Marie
Heil
Quarterly
Review
2
2
4
5
Yes
Suzanne Frier
Quarterly
Review
2
2
4
2
Suzanne Frier
Quarterly
Review
2
2
4
2
Undertake full impact review
of right to but buy increases Suzanne Frier
on the business plan
Quarterly
Review
3
2
6
6
Model the impact of
universal credit on rent
arrears and link to impact of
proactive work and rent
arrears management
Suzanne Frier
Quarterly
Review
Update the business plan
assumptions depending on
sustained impact of
universal credit
Suzanne Frier
Quarterly
Review
Continue to regularly review
loan portfolio and make
recommendations to the
HRA Strategy Group in
respect of repayment /
refinancing of loans
Suzanne Frier
Yes
Regular reports and
scenario planning exercises
presented to Director of
Finance and LF as required, Suzanne Frier
regularly review and revise
assumptions upon which
the business plan is based
> lobbying
> identify tenants at risk and provide
appropriate advice and support
> pro-active work such as money
advice, block management, tenancy
advice
> financial inclusion work
> work around voids management
Delivery of welfare reform
action plan (via project
group), regular updates on
arrears position, regular
reports to LF and Board
> regular monitoring of interest rates
and government announcements
> modelling of different scenarios to
stress test the business plan
> treasury management strategy in
place
> loan portfolio regularly reviewed
> Ongoing monitoring of right to buys
Regular reports and
scenario planning exercises
presented to Director of
Suzanne Frier
Finance, LF, HRA Strategy
Group and BDSG as
required
No
> review demographic changes
Reporting of customer
(census) and demand statistics to
profile, reviewing SMBC's
identify issues
housing needs assessment,
Simon Welch /
> new build properties to provide more
responding to demand
Jane Allen /
choice to customers
issues, actions taken
Steve Leonard
> delivery of older persons strategy
around difficult to let
/ Anne-Marie
> social lettings scheme in place so
properties, options
Heil
customers can access private rented
appraisals of potentially
sector more easily
unsustainable stock,
> new build strategy seeks to address
reviewing demand and
any specific demographic requirements needs information annually
Suzanne Frier
Residual risk
rating (RRR)
L x I = RRR
No
4
The HRA business plan goes
into deficit
Carmel
Chambers
Service delivery is affected if
there is insufficient resource
to continue to deliver current
standards, reputational risk
with SMBC and local people
2
3
6
> regular monitoring and reporting of
business plan position
> effective modelling of different
scenarios
> clear process for reallocation of
resources
5
Building cost inflation is not in
line with assumptions made
Carmel
Chambers /
Mark Hudson
Assumptions in the business
plan prove to be incorrect
and as such actual costs
exceed estimates
2
3
6
> monitoring building cost indexes and
remodelling as required
> new build scheme appraisals
completed and development only
undertaken where scheme fully meets
financial parameters
Reporting to Director of
Finance and LF as required
Suzanne Frier
Yes
6
Right to Buy levels increase
beyond forecast
Carmel
Chambers
Social housing stock levels
are reduced, the income to
the HRA business plan is
less over the 30 years
4
3
12
> regular monitoring of RTB levels (year
Reporting to Director of
end forecast for 2014-15 is 46 RTB)
Finance and LF as required
> reforecasting / remodelling the
business plan as required
Suzanne Frier
No
Carmel
Chambers
No
Continue to maximise new
build development
opportunities to maintain
housing stock levels
Steve Leonard
Quarterly
Review
Continue to develop close
working relationships with
local policitians and the lead
member for housing (new
and existing postholders)
Carmel
Chambers
Quarterly
Review
2
3
6
6
7
Political risk that rents do not
increase to a level to sustain
future investment
Carmel
Chambers
Detrimental recurring impact
on the self financing plan if
rents do not rise as expected
3
4
12
> rent strategy approved by SMBC
>effects of new government policy (end
of rent restructuring) have been
Regular reports and
modelled
scenario planning exercises
> rent increase for 2014-15 discussed
presented to SMBC and
with customer group and SHL Board
Board as required
> work with key council officers and
politicians to gain agreement to
proposals
8
Headroom cap is exceeded and
affects the business plan
Carmel
Chambers
Financial penalties are
incurred, impact on
reputation and ability to
secure finance. Capacity to
deliver new build aspirations
are limited.
2
3
6
> regular monitoring and modelling of
potential impacts
Reporting to Director of
> regular reporting
Finance and LF as required
> moving garages and shops to general
fund to release headroom allowance
Suzanne Frier
Yes
Suzanne Frier
Quarterly
Review
1
3
3
3
9
Major change in government
policy directly affects the
organisation
Carmel
Chambers
Negative impacts on
business plan assumptions,
including around rent
projections, right to buy
levels etc. Reputational
impact if changes can not be
accommodated in self
financing business plan
3
3
9
> regular monitoring for emerging policy
changes
> effective lobbying with housing
Regular reports and
groups
scenario planning exercises
Suzanne Frier
> modelling of changes to stress test
presented to SHMTand
business plan
Board as required
> reporting to SMBC and Board as
required
No
Assess outcome of local and
national elections and any
key changes to housing (and Suzanne Frier
other) policy which affects
the organisation
Quarterly
Review
3
2
6
3
The business plan is not
reflective of the investment
programme leading to
inaccurate cost / income
information being recorded
2
3
6
> capital programme and budget
approved by Board
> process in place to communicate
changes and the plan subsequently
updated
Regular reports to BDSG
and regular reconcilations
between programme and
budget
Suzanne Frier
Yes
Suzanne Frier
Quarterly
Review
1
2
2
4
The business plan
assumptions are not
accurate. In sufficient rental
income to meet expenditure
and investment requirements
3
4
12
> regular modelling of scenarios
> regular review of assumptions made
> reporting of any issues which arise
and impact on the business plan
Regular reporting to LF and
Board
Suzanne Frier
Yes
Suzanne Frier
Quarterly
Review
2
3
6
6
10
11
Changes to the investment
Carmel
programme are not updated in Chambers /
the business plan
Mark Hudson
CPI remains lower than
modelled in the business plan
(2%)
Carmel
Chambers
Item 09b appendix two
Page 171 of 208
Item 09c
Risk Appetite Statement – Stockport Homes
An exercise was undertaken with Leadership Forum and Board Members to obtain
their input into the development of a risk appetite statement for the organisation.
This involved a questionnaire which set out six key risk areas and asked the
respondent to score them.
The six risk areas are:
1.
2.
3.
4.
5.
6.
Working relationships and reputation with key stakeholders
Financial position / income collection
Operational performance and efficiency
Diversification / decision making
Head office – realising the benefits and delivering value for money
Regulation / compliance
These risk areas were scored against the following:




Averse (avoidance of risk and uncertainty is key)
Minimal (prefer delivery options with as little risk as reasonably possibly)
Open (willing to consider all potential delivery options and choose the one
that will result in successful delivery)
Hungry (eager to be innovative and to choose options offering a potentially
higher reward despite greater risk)
The results were collated and the table below describes the agreed risk appetite for
each area. This will be used to inform the compilation of the risk register and ongoing
decision making and risk reporting, for example; in identifying the strategic risks for
the organisation.
The table shows what percentage of respondents fall into each of the four areas and
the appetite has been set in line with how the majority of the organisation’s leaders
responded. In many cases, the appetite was split across two responses, which has
been noted.
The risk appetite will be communicated to the relevant stakeholders and will be
reviewed on an ongoing basis to ensure it is fit for purpose.
Overall, there is an open and hungry risk appetite within the organisation. This
means that there is a willingness to consider alternative solutions to deliver and an
eagerness to be innovative and take calculated risks in order to achieve higher
returns. The level of hunger does however vary across the different risk areas and
different parts of the organisation.
This level of risk appetite is in line with the organisation’s vision, mission and aims
and the organisational ambitions and aspirations that are set out in corporate plans.
Item 09c appendix three
Page 172 of 208
Risk Level
Key Risk
Area
1. Working
relationships
and
reputation
with key
stakeholders
2. Financial
position /
income
collection
Item 09c
Averse avoidance of risk
and uncertainty is
key
Minimal - prefer
delivery options with
as little risk as
reasonably possibly
Open - willing to consider all potential options
for successful delivery
Hungry - eager to be innovative,
look at higher reward despite
greater risk
0%
5%
47% of respondents have an open appetite and 48% of respondents have a hungry
appetite.
This demonstrates that there is a high risk taking approach within this area.
The organisation has a strong track record and can cope with external scrutiny. A strong
reputation exists. The organisation has many stakeholder relationships and the
emergence of a new management agreement with the Council will be key over the
coming twelve months.
5%
19%
38% of respondents have an open appetite and 38% also have a hungry appetite.
This demonstrates that there is a moderate to high approach to risk taking within this
area.
The organisation has a strong track record of delivering new initiatives and has a sound
internal control system. The organisation is committed to accurate financial planning and
budgetary control.
3.
Operational
performance
and efficiency
0%
10%
57% of respondents have an open appetite.
This demonstrates that there is a moderate to
high approach to risk taking within this area. Core
service delivered should be maintained to an
excellent standard and a streamlined approach
will enable efficiencies to be delivered. There is a
focus on achieving longer term objectives in line
with the vision, mission and aims.
Item 09c appendix three
33%
Page 173 of 208
0%
4.
Diversification
/ decision
making
Item 09c
0&
52% of respondents have an open appetite and 48% of respondents have a hungry
appetite.
This demonstrates that there is a high risk taking approach within this area.
The organisation actively pursues innovation and responds to changes in its operating
environment. There should be a balance between empowerment and controls and
opportunities should match the culture and values of the organisation.
5. Head office 0%
– realising
the benefits
and value for
money (vfm)
0%
6. Regulation
/ compliance
24%
0%
52% of respondents have an open appetite and 48% of respondents have a hungry
appetite.
This demonstrates that there is a high risk taking approach within this area.
A new head office is a once in a lifetime opportunity for the organisation. It will drive
change and a shift in thinking. It is essential that resources are used efficiently and that
there are adequate controls in place to manage this project effectively.
48% of respondents have an open appetite
meaning that there is a moderate approach to risk
taking in this area.
It is recognised that the organisation must work
within the boundaries of regulatory frameworks
but that innovation should still be pursued.
It is essential that governance and controls need
to be effective in this area.
Item 09c appendix three
28%
Page 174 of 208
Item 09d
Risk Management Strategy 2014-17
Update February 2015
As part of the action plan which accompanies the Risk Management Strategy, there
was an action to “Review the effectiveness of the existing Risk Working Group and
consider the need to include key operational managers”. The review is complete and
the outcome is presented below.
The need for a separate Risk Working Group has diminished in recent years. This is
because the role that Leadership Forum holds means there is little value being
obtained from a separate working group.
Leadership Forum:
 are key to the formulation of the annual risk registers
 are responsible for delivering control actions throughout the year
 receive and approve quarterly risk update reports
 report any emerging risks each quarter
As the organisation grows and diversifies, having a group with one representative
from each Directorate was proving to be unfeasible. Each Head of Service is
responsible for risk management in their own service area(s) and should be actively
engaged in discussions around risk and opportunity which relate to them.
In addition, the new Corporate Project Framework will lead to the creation of a new
group; the Business Transformation Group. This group oversee all corporate projects
which are being undertaken by the organisation. As part of this, project risk will be a
key consideration of all meetings. This group will therefore be responsible for
overseeing emerging risks and escalating any project risks which may need to be
considered for inclusion on the corporate risk register.
The organisation’s risk management role and responsibilities has been updated to
reflect this change.
Item 09d appendix four
Page 175 of 208
Item 09d
Figure 1: Updated roles and responsibilities:
Item 09d appendix four
Page 176 of 208
Item 09e
Risk Management Strategy 2014-17 - Action Plan Update (Feb 2015)
Action
Deadline
Progress Update
Rating
Agree a risk appetite statement that
reflects the culture of the organisation
in terms of its risk appetite
30 September 2014
Work around developing a risk appetite statement is
complete and the proposed statement will be taken to
Board for approval in March 2015. The initial exercise,
which was designed in conjunction with PWC received
contributions from Leadership Forum and Board.
Complete
Publicise the risk appetite statement to
key internal and external stakeholders
31 March 2015
This will be completed by the end of March 2015, and the
HOG will be used to communicate this to staff.
Ongoing
Review the risk appetite statement on
an annual basis with the Board
Ensure the organisational operations
remain within the risk appetite / risk
tolerance
Highlight the risks which would
undermine the resilience of the
organisation if they occurred alongside
another risk
31 March 2017
30 September 2014
Utilise Leadership Forum on an ongoing basis to highlight where risk
accumulation could be happening in
the organisation
31 March 2017
Include a risk update in the quarterly
Chief Executive's Update
31 March 2017
Review the Sector Risk Profile
(writtten by HCA) on an annual basis
with Leadership Forum and Board
31 March 2017
Review the profile of the Board to
ensure that the correct skills and
knowledge are in place to deliver
effective risk management going
forward
Undertake the Risk Type Compass
activity with other groups, such as
Board and key managers
Review the business planning
processes within the organisation to
ensure that risk assessment is a key
factor
Ensure that the emerging project
management framework for the
organisation considers risk
management and reporting of project
risk
Not due for implementation
31 March 2017
This is an ongoing action. The risk reports against the
2015-16 risk registers will see a reference to risk appetite
included within them.
This is an ongoing piece of work. By reporting on the
strategic top ten risks, the leaders of the organisation
have oversight as to which key risks are materialising and
what their combined impact would be. This work will
continue into 2015-16 also.
Leadership Forum regularly contribute to risk discussions
and reviewing of risk reports. Any specific issues would
be raised by a Head of Service or Director. In addition,
the Business Transformation Group will aid with oversight
of risk accumulation.
From the beginning of 2014-15, a risk update has been
included in the Chief Executive's report to Board each
quarter and this will continue to happen.
The previous two sector risk profile reports have been
reviewed and a summary provided to Board Members. In
addition, the complete HCA report has been provided via
the drop box. The detail included in these reports has
been considered when formulating the organisational risk
registers.
Ongoing
Ongoing
Ongoing
Complete
Ongoing
31 March 2017
This action will be delivered fully once the new Articles of
Association are in place and the new Board structure is in
place. Throughout Spring 2015, training on risk will be
undertaken with some of the newer members of the
Board to ensure they are familiar with the requirements
and can challenge effectively.
Ongoing
31 March 2015
Risk appetite work with Board took priority in 204-15. The
risk type compass is an exercise the organisation has to
pay for and with some board turnover in 2014, it was
decided to delay this task. Training on risk management
will be undertaken with newer Board members in Spring
2015 and the RTC exercise will be conisdered for
completion later in 2015, after the AGM.
New deadline March 2016.
Delayed
31 March 2015
The business planning process has been refined over
recent years and continues to improve. All of Leadership
Forum consider risk alongside service improvement
planning, development of the Delivery Plan and budget
setting to ensure that a robust, and holistic approach is in
place. The Assurance Manager meets with key lead
officers to ensure the risk register is reflective of the
organisation's operating environment and challenges.
Complete
31 March 2015
The new corporate project management framework
involves the establishment of a group called the Business
Transformation Group which will consider all key change
projects. Risk will be one of these considerations and the
Assurance Manager will sit on this group.
Ongoing
Four risks within the risk register are reported upon
quarterly and the risk issues section of the risk report is
utilised also. Project assurance work being undertaken
with PWC and will result in a report to each BDSG
meeting
An internal audit was undertaken in November 2014 and
provided a positive review of the risk management
function. This also looked at the risk maturity and
concluded that the maturity level was in line with
expectations for the organisation (current maturtiy of 3.9
against an aspirational level of 4.7)
Embed a process for risk reporting of
the new head office project into
corporate risk management activity
30 September 2014
Review the risk maturity of the
organisation (via internal audit)
31 March 2015
Review the format of the quarterly risk
report
30 September 2014
The report has been amended slightly throughout 201415 to include a section on emerging risk issues and to
include key risk updates, such as against the Sector Risk
Profile report issued by HCA.
Complete
30 September 2014
The RWG is no longer required as its role is duplicated
(and better delivered) by involving all of Leadership
Forum in compiling the risk register and receiving regular
risk reports for discussion. A new group (Business
Transformation Group) will be set up to monitor project /
change initiatives and this will enhance the risk
management framework.
Complete
Review the effectiveness of the
existing Risk Working Group and
consider the need to include key
operational managers
Item 09e appendix five
Complete
Complete
Page 177 of 208
Ensure the Risk Working Group
includes representatives from different
Risk Types to give a broader
perspective
Undertake awareness raising sessions
with key staff, particularly budget
managers, project managers and
heads of service
Put in place a suite of 'easy to use'
documents to assist staff in managing
risk (e.e. risk assessment template)
Consider the value which can be
obtained by CRSA and undertake selfassessments as required
Review the risk management
framework against best practice
standards, such as ISO 31000
Item 09e
30 September 2014
The RWG has been disolved. The BTG will include a
range of representatives from key service areas and the
risk type compass work will be used to inform where there
are any gaps in risk representation and who might be a
useful person(s) to include in the membership of BTG.
Complete
30 September 2015
Risk management is well embedded within the
organisation and a recent internal audit validated this.
Work will continue to upskill managers and staff in risk
management techniques. Training has been undertaken
with Board members recently.
Ongoing
31 March 2015
A range of staff are involved in compiling and reporting
against the risk register and templates are shared with
them. The Assurance Manager provides coaching to
anyone who needs more support with risk related issues
and needs assistance to develop a specific risk register.
A range of other documents are also available on the
HOG for staff to refer to. In addition, the new corporate
project management framework provides a suite of
templates for staff to use in managing projects, one of
which is an 'easy to use' project risk register.
Complete
31 March 2016
Not due for implementation
31 March 2016
Not due for implementation
Review the reporting of risk to assess
whether it is in line with the regulatory
requirements of the HCA and the FRC
30 September 2015
Consider the need for an annual
assurance report covering a wide
range of risk related ares
31 March 2016
Risk reporting is effective and the recent internal audit
determined that risk reporting was proportionate for the
organisation.
Not due for implementation
Item 09e appendix five
Ongoing
Page 178 of 208
Item 10
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
02 March 2015 Business Development Sub-Group
Title of Report:
REVIEW OF FINANCIAL REGULATIONS
Report of:
DIRECTOR OF FINANCE
Confidentiality
Non Confidential
Purpose of Report:
To seek approval from the Board for the revised Financial
Regulations.
Type of Report
Decision
Recommendation(s):
i.
The Board is requested to approve the revised
Financial Regulations.
The Board is requested to delegate future approvals of
the Financial Regulations to the Business
Development Sub Group.
ii.
Financial Implications of
the recommendations
The Financial Regulations ensure that the organisation has a
system of controls that provide a framework for ensuring
accountability and integrity in the financial affairs of the
company. This will ensure that monies are used in the most
appropriate manner and will mitigate against financial loss or
misuse.
Value for Money
Implications of the
recommendations
The regulations cover areas relating to budgetary
management with specific reference to most economic use of
money and security and therefore ensure monies are used in
the most cost-effective and appropriate manner.
Risk Implications of the
recommendations
Risk
Number
1
Safeguarding
Risk Description
Implementation of the revised Financial
Regulations will reduce the risk of financial loss to
the organisation through fraud and error.
There are no safeguarding implications arising from this
Item 10 REVIEW OF FINANCIAL REGULATIONS
Page 179 of 208
Item 10
Implications of the
recommendations
report
Equality & Diversity
Implications of the
recommendations
There are no equality and diversity implications arising from
this report.
Equality Impact
Assessment
Does an EIA need to be
completed? No
If so, has one been
completed? No
The regulations stipulate controls of revenue and capital
budgets, which include budgets for both environmental works
and sustainability.
Environmental/
Sustainability
Implications
Customer Impact
Adherence to the Financial Regulations will support the
delivery of value for money to customers by ensuring monies
are used in the most secure way.
Content of Report
signed-off by Director
Suzanne Frier
Contact Officer
Viv Robinson
Contact Details
0161 474 2833
30/01/2015
Vivien.robinson@stockporthomes.org
Item 10 REVIEW OF FINANCIAL REGULATIONS
Page 180 of 208
Item 10
1
INTRODUCTION
1.1
The Financial Regulations were last reviewed and approved by the Board in
March 2014 and are subject to review every 12 months as requested by the
Business Development Sub Group given the fast changing nature of works that
may be commencing.
1.2
The amendments to the Financial Regulations were reviewed by the Business
Development Sub Group in detail at its meeting on 2nd March 2015. The
purpose of this report is to set out the proposed revisions to Stockport Homes’
existing Financial Regulations and seek approval from the Board for their
implementation. It is also requested that the Board delegates future approvals
for revisions to the Financial Regulations to the Business Development Sub
Group. The Financial Regulations will continue to be reviewed on a 12 month
basis.
2
PROPOSED REVISIONS TO THE FINANCIAL
REGULATIONS
2.1
The revised financial regulations have been uploaded to dropbox. For ease of
reference, the changes are set out below and are set out as tracked changes in
the dropbox version, negating the need to read the whole document if required.
The proposed revisions to the Financial Regulations are:






Job titles have been updated to reflect approved changes to structures;
The section on payment cards has been strengthened to require that
Directors approval is obtained prior to expenditure. Also, the cardholder
is to be responsible for ensuring the monthly limit is not exceeded. This
ensures appropriate use of the cards and strengthens security – see
section 16.3 and 16.4;
Travel, subsistence and other expenses claims are now mainly requested
on iTrent, therefore reference to the appropriate form has been replaced
with the appropriate system. Payment of such expenses will be made via
payroll and not the Head of Corporate Finance as previously quoted – see
section 18.2 and 18.5;
The Chair of the Board has requested delegation of authorisation of Chief
Executive expenses to a nominated Director – see section 18.4;
The section on works, goods and services has been amended to include
Servitor as one of the organisation’s computerised procurement systems.
The majority of work’s orders are placed on Servitor and ensure a correct
match with the resulting invoice – see section 22.4;
To ensure Financial Regulations remain embedded, these changes will be
shared with all staff via Insight and published on the Intranet.
Item 10 REVIEW OF FINANCIAL REGULATIONS
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Item 10
3
CONCLUSION
3.1
The proposed revisions to the Financial Regulations will ensure that Stockport
Homes continues to operate an effective and robust financial control
framework.
4
RECOMMENDATIONS
i.
ii.
The Board is requested to approve the revised Financial Regulations.
The Board is requested to delegate future approvals of the Financial
Regulations to the Business Development Sub Group.
Item 10 REVIEW OF FINANCIAL REGULATIONS
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Item 11
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
Click here to enter a date. Choose the meeting.
Title of Report:
PROPOSAL TO JOIN MANCHESTER ATHENA LIMITED
Report of:
DIRECTOR OF CORPORATE SERVICES
Confidentiality
Non Confidential
Purpose of Report:
The purpose of this report is to inform the Board on the
proposal to join Manchester Athena Limited.
Type of Report
Decision
Recommendation(s):
For Stockport Homes to join Manchester Athena Limited, with
Sandra Coleing, Director of Corporate Services being the
Director registered at Companies House.
Financial Implications of
the recommendations
There is an initial joining fee of £2,000 with an annual fee to
be determined annually depending on spend, needs, projects
and involvement but estimated to be in the region £2,000.
Value for Money
Implications of the
recommendations
Joining Athena will open potential funding opportunities and
synergies between like minded organisations, which will
create value for money opportunities for Stockport Homes.
The company will act as a consortium when commissioning
development activities to enhance buying power and provide
cost savings per head for all organisations involved.
Risk Implications of the
recommendations
Risk
Number
Risk#
Risk Description
Failure to deliver any of the agreed projects could
negatively affect the reputation of Stockport
Homes. This is mitigated by having a director of
Stockport Homes on the Board rather than just
requesting to join the group. In addition as the
nature of the work is employment and training
related, the risk of poor performance affecting
Item 11 PROPOSAL TO JOIN MANCHESTER ATHENA LIMITED
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Item 11
Stockport Homes reputation is minor.
Safeguarding
Implications of the
recommendations
None
Equality & Diversity
Implications of the
recommendations
The purpose of this company is support customers who may
have been disadvantaged previously in relation to work and
training.
Equality Impact
Assessment
Does an EIA need to be
completed? No
Environmental/
Sustainability
Implications
None
Customer Impact
It is hoped joining this company will access additional external
funding that will benefit Stockport Homes customers.
Content of Report
signed-off by Director
Sandra Coleing
Contact Officer
Sandra Coleing
Contact Details
0161 474 2867
If so, has one been
completed? Choose an item.
02/03/2015
sandra.coleing@stockporthomes.org
Item 11 PROPOSAL TO JOIN MANCHESTER ATHENA LIMITED
Page 184 of 208
Item 11
1
BACKGROUND
1.1
Manchester Athena was formed out of a partnership of Registered Providers
who are each committed to tackling worklessness and improving access to
training, employment and skills. The four original members were; New Charter;
Northwards; Bolton at Home and Regenda.
1.2
The company is ‘limited by guarantee’ and is a vehicle to expand the Members’
programme of providing new and innovative training and learning linking into
government and other initiatives and such other programmes as the Members
may from time to time wish to pursue.
1.3
Manchester Athena has now opened up membership to other Greater
Manchester housing providers and asked whether other organisations would be
willing to join the Board.
1.4
The Articles of Association, Members Agreement and Members Policy 2014
have been placed in the Board’s dropbox for information.
2
MEMBERSHIP
2.1
The Board of Athena consists of a maximum of 11 directors; four of which will
be filled by the original members. Seven places were offered to other social
housing providers in Greater Manchester and Stockport Homes were
approached and expressed an interest to join.
2.2
While a named individual is appointed as a non-executive director of the
company, the person would be representing Stockport Homes. Sandra
Coleing, Director of Corporate Services will be that named person.
2.3
As membership requires registration at Companies House, Stockport Council
will be made aware of the intention to join.
2.4
Other Greater Manchester providers who were not Members of Manchester
Athena could participate in projects and in such circumstances a contractual
arrangement would be put in place. Likewise, Providers could be Members of
Manchester Athena and not have a seat on the Board.
3
OUTCOMES AND FUTURE PLANS
3.1
Athena has been delivering apprenticeships and training opportunities for
housing organisations and customers using Employer Ownership of Skills
(EOS) funding in partnership with Greater Manchester Chamber of Commerce.
140 training starts have been delivered to date and a training dividend has
been generated of almost £100,000 to be put back into housing organisations
for training and employment opportunities.
3.2
Other initiatives that have been developed include a carbon literacy training
programme across Greater Manchester, which Stockport Homes has been
Item 11 PROPOSAL TO JOIN MANCHESTER ATHENA LIMITED
Page 185 of 208
Item 11
involved in and the setting up a jointly funded initiative around smarterbuys,
which is a Northern Housing Consortium scheme to provide low cost white
goods for customers.
3.3
Other initiatives that are currently under development include:
-
developing an assessment framework to deliver housing qualifications inhouse;
developing a traineeship programme for young people to understand the
role and career path in housing.
4
CONCLUSION
4.1
Stockport Homes continues to work with Greater Manchester social housing
providers to maximise the opportunities available, either to work collaboratively
to access funding or to share good practice. Joining Manchester Athena will
continue to build on these good partnerships to the benefit of Stockport Homes
customers.
5
RECOMMENDATION
5.1
For Stockport Homes to join Manchester Athena Limited, with Sandra Coleing,
Director of Corporate Services being the Director registered at Companies
House.
Item 11 PROPOSAL TO JOIN MANCHESTER ATHENA LIMITED
Page 186 of 208
Item 12
Report to:
BOARD
Date of Meeting:
16 March 2015 Board
24 February 2015 Leadership Forum
Title of Report:
CORPORATE PERFORMANCE REPORT- Q3 2014-15
Report of:
DIRECTOR OF CORPORATE SERVICES
Confidentiality
Non Confidential
Purpose of Report:
To provide an update on performance against indicators and
measures and on progress in implementing the Service
Improvement Plan (SIP) for the third quarter of 2014/15.
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;
iii.
Agrees a new deadline for four SIP actions and the
deletion of three actions due for completion in the third
quarter of 2014/15; and
iv.
Agrees a new deadline for five SIP actions and the
deletion of two actions due for completion in the fourth
quarter of 2014/15.
Financial Implications of
the recommendations
There are no financial implications arising from the
recommendations of this report.
Value for Money
Implications of the
recommendations
There are no value-for-money implications arising from the
recommendations of this report.
Risk Implications of the
Risk
Number
Risk Description
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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recommendations
Item 12
6
Rent and water income collection rates are not
maintained at best in the sector levels.
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.
7
Welfare reform continues to impact upon
customers' ability to manage their tenancies
This risk is 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.
Safeguarding
Implications of the
recommendations
There are no safeguarding implications arising from the
recommendations of this report.
Equality & Diversity
Implications of the
recommendations
There are no equality and diversity implications arising from
the recommendations of this report.
Equality Impact
Assessment
Does an EIA need to be
completed? No
Environmental/
Sustainability
Implications
There are no environmental / sustainability implications
arising from the recommendations of this report.
Customer Impact
Improvements in performance as a result of action plans will
have a positive impact on customers.
Content of Report
signed-off by Director
Sandra Coleing
If so, has one been
completed? Choose an item.
06/11/2014
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 188 of 208
Item 12
Contact Officer
Rob Lloyd, Performance & Improvement Manager
Contact Details
474 3279
Rob.lloyd@stockporthomes.org
Author (if different)
Katalin Szavai, Performance & Improvement Officer
Contact Details
474 3764
Katalin.szavai@stockporthomes.org
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 189 of 208
Item 12
CORPORATE PERFORMANCE REPORT- THIRD
QUARTER OF 2014/15
1
INTRODUCTION
1.1
This report analyses performance against Stockport Homes’ aims, using a
range of indicators and measures.
Section two contains information about performance in the third quarter. Of
the 11 indicators with targets for December, eight were on target and rated as
green, one was rated as amber and two were rated as red because
performance fell short of the target. Graphs illustrating indicators and
measures have been provided in Appendix Two in Dropbox.
1.2
Section three contains details of performance against the Service
Improvement Plan (SIP). The SIP had 13 actions due in the third quarter. Of
these, six are complete, four require a date change and three require deletion.
Of the 41 actions due to be delivered in the Service Improvement Plan for the
fourth quarter, 34 are on target, five require a date change and two requires
deletion.
1.3
January’s performance against monthly indicators will be reported verbally at
the Board meeting on 16 March.
2
PERFORMANCE
2.1
Third quarter performance against targets
Eight of the corporate performance indicators1 were on target and rated as
green. One did not achieve the target but remained within accepted tolerance
and was rated amber. Two fell short of the target and outside of accepted
tolerance and were rated as red.
8
0%
3
10%
20%
30%
1
40%
50%
60%
70%
80%
2
90%
100%
ANALYSIS OF PERFORMANCE
Indicators show performance against outcome-based targets while measures
provide a more rounded view of factors such as speed, cost, satisfaction and
quality. This information is presented in line with Stockport Homes’ Corporate
Aims.
1
Indicators are shown in Appendix One, provided in Dropbox.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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3.1
Item 12
AIM ONE: EXCEED CUSTOMER EXPECTATIONS & ALWAYS
DO THE RIGHT THING
3.1.1 Indicators supporting the aim
Indicator - ‘Percentage of repairs completed right first time’ (87.4 per
cent against a target of 82 per cent)2
GREEN
Indicator - ‘Percentage of 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)
GREEN
Indicator- ‘Overall satisfaction with the quality of service during
investment work programmes’ (98.6 per cent against a target of 96 per cent)
GREEN
3.1.2 Measure supporting the aim
‘Satisfaction with communication during investment works3’ 97.6 per cent
Satisfaction with communication during investment works remained high, with 55 out
of 56 customers surveyed in the third quarter describing communication as ‘good’ or
‘excellent’. The one customer who described communication as ‘poor’ felt their
ceiling decoration was damaged by a rewiring task. Upon investigating the case, it
was found that the ceiling hadn’t been restored to its original condition so action was
taken to re-artex it. A decoration voucher was issued and the contractor provided an
additional socket as a gesture of goodwill.
This level of performance, along with high satisfaction with service quality indicates
strong overall performance in the quarter.
Indicator- ‘Percentage of complainants who would use the complaints
service again’ (98.5 per cent against a target of 97.5 per cent)
GREEN
3.1.3 Measures supporting the aim
‘Ratio of compliments to complaints’4 – 4:15
The ration of compliments to complaints improved between the second and third
quarters, due to a rise in the number of satisfaction surveys carried out by the repairs
2
This indicator is not the same as the one defined by Housemark. ‘Right first time’ is a definition that
was achieved via discussions with customers.
3
The definition for this measure has changed in 2014/15 to allow managers to pinpoint dissatisfaction
more effectively so historical data is not available.
4
See appendix two, figure one for chart. Appendix two is provided in Dropbox.
5
741 compliments and 144 complaints received in the third quarter.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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Item 12
service. This led to a rise in solicited compliments from 535 in the second quarter to
555 in the third quarter, while the number of unsolicited compliments and the number
of complaints both remained steady. The same ratio for the whole of 2013-14 was
1.8:16.
‘Average time taken to resolve complaints’: days year to date – 9.5 days7
The average time taken to resolve complaints remained steady in the third quarter,
showing that performance continues to be positive.
Outliers are investigated in order to understand any potential improvement points.
There were five cases which took more than 38 days to resolve during the quarter.
In four of these cases, this timescale was due to the customer taking several weeks
to choose to escalate the case to the next stage. In the remaining case a Council
review of allocation points was arranged before escalating the case.
‘Percentage of customers who would recommend the complaints service to a
friend’ – 97 per cent
This is a very positive reflection on the service. All 22 people surveyed in the third
quarter said that they would recommend the complaints service to a friend.
3.2
AIM TWO: SUPPORT CUSTOMERS IN ALL ASPECTS OF
THEIR LIVES THROUGH EFFECTIVE PARTNERSHIP
WORKING
3.2.1. Indicators supporting the aim
Indicator- ‘Ratio of homelessness preventions to homeless acceptances’
(4.1:1 against a target of 5.5:1)
RED
Performance against the homelessness indicator has remained below target
and it is unlikely to be met by the year end. Compared to the 4.2:1 ratio at the
end of 2013/14 there has been only a very slight increase in the proportion of
homeless acceptances8. This is consistent with a rise in homelessness on a
national basis9. There continues to be an increase in homeless presentations,
however, from people with complex mental health and substance misuse
issues. Addressing the needs of this cohort remains a key priority for the
Housing Options Service. As previously reported, hospital advice surgeries,
6
929 compliments and 510 complaints received
This is a new measure for 2014/15 that considers the ‘end to end’ resolution time for complaints on a
cumulative basis, including all stages the complaint goes through.
8
91:422 between April and December 2013 to 108:443 between April and December 2014
9
Department for Communities and Local Government’s Statutory Homelessness Q2 report quotes a 4
per cent rise in homeless acceptances compared to the same quarter in 2013-14. The third quarter
report has not been released yet.
7
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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Item 12
close working with partner agencies through the Multi-Agency Adults at Risk
Service, and outreach work at the Wellspring Centre provide help for this
group.
The situation is expected to improve in 2015/16. Funding through the charity
H3 has been obtained for two hospital discharge workers to work with
vulnerable people and additional money has been awarded by the
Department for Communities and Local Government to develop alcohol
services for homeless people. These workers are expected to be in post at
the start of 2015/16 and the services will be developing over the course of the
year.
3.2.2 Measures Supporting the aim10
‘The ratio of mutual exchanges to internal transfers’ 1:5
‘Downsizes as a percentage of all internal transfers’ 34 per cent
A reduction in the number of internal transfers and a corresponding reduction in the
proportion of downsizers, as illustrated in figure two in appendix two, signals positive
performance. While there is a concern that 989 households continue to be affected
by the under occupancy charge, the overall reduction in the number of households
affected is excellent when compared to the national average 11. Discretionary
Housing Payments (DHPs) continue to allow some under-occupying households to
stay in their current tenancies.
‘Percentage of vulnerable people who are supported to maintain independent
living’ – 97.32 per cent
Support for vulnerable people was very successful this quarter, with all customers
maintaining independent living.
‘Number of referrals to Housing Support Officers’ - 303
The number of referrals to Housing Support Officers continued to rise in the third
quarter after initial concerns over a fall in referrals following launch of the Housing
Support Hub in July 2013. There were 135 referrals in comparison to the 66 and 102
reported in previous quarters. This is very positive performance and follows the
implementation of measures agreed with the HUB Board by the Head of
Independent Living to increase referrals.
The volume of referrals will continue to be monitored to ensure appropriate numbers
10
See figure two in appendix two in Dropbox for chart
National statistics released by the Department of Work and Pensions report 13.7 per cent reduction
in the number of underoccupying households from the introduction of the charge to August 2014.
Stockport Homes achieved a 30.1 per cent reduction in the period.
11
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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Item 12
of referrals are received.
Number of major adaptations delivered – Stockport Homes properties and
disabled facilities grants’ - 286
The adaptations team continued to provide a large number of adaptations. Following
a slight fall in the second quarter, performance is back to expected levels12.
3.3
AIM THREE: CREATE GREENER PLACES TO LIVE AND
WORK AND CONTINUALLY MINIMISE OUR IMPACT ON THE
ENVIRONMENT
3.3.1 Indicator supporting the aim
Indicator- ‘Average energy performance rating of properties’ (79.5 per
cent. Year-end target: 84 per cent. This indicator has no in-year targets.)
The average energy performance rating of properties is currently short of the
year-end target but the on-going capital investment programme will impact on
the energy rating in the last quarter of the year.
3.4
AIM FOUR: DEVELOP OUR THRIVING, SAFE & SUSTAINABLE
NEIGHBOURHOODS, MAXIMISING OUR CONTRIBUTION TO
MEETING HOUSING NEED
3.4.1 Indicator supporting the aim
Indicator- ‘Percentage of estate inspections rated at least "good"
(96.87 per cent against a target of 96 per cent)
GREEN
Indicator- ‘Percentage of ASB complainants satisfied with the outcome
of their cases’ (96.8 per cent against a target of 98 per cent)
AMBER
One ‘not satisfied’ response out of 21 resulted in this indicator falling slightly
short of the target in the third quarter but the target should be met by year
end.
The one negative case in the quarter involved noise nuisance and was
investigated thoroughly by the ASB team. The noise has ceased as a result
of Stockport Homes’ intervention and a mental health referral. The
complainant was satisfied with the actions taken during the case but they are
not currently contactable to elaborate on the dissatisfaction reported in the
follow up survey.
Work is being carried out, including undertaking surveys later in the evenings
and at weekends, to increase the number of surveys returned.
12
107 adaptations delivered in the third quarter and 85 delivered in the second quarter
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
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Item 12
3.4.2 Measures Supporting the aim
‘Percentage of ASB cases that are successfully resolved (no re-presentation in
6 months)’ 95.8 per cent
‘Number of ASB cases that were re-presented within six months of closing’ 13
Most ASB cases are well managed and successfully resolved. The resolution rate
was 95.6 per cent, with only 13 cases being re-presented. Of these: eight cases
were re-opened because further incidents occurred; one because an injunction was
breached; one because a complainant who had failed to respond to attempts to
contact did so; one because of a relapse into substance abuse; one because a
complainant was rehoused following a domestic violence case; and one because
noise monitoring equipment was required in order to disprove vexatious allegations.
‘Average time taken to successfully close an ASB case’ - 80 days
‘Percentage of successfully closed cases that took >240 days to resolve’ 5 per
cent
Most ASB cases are closed within a reasonable timeframe. Performance in the third
quarter was consistent with previous quarters for both of the above measures and
decreased from the 99 days reported at the same time in 2013/14, despite a rise in
the number of cases.
This is largely because changes in the way ASB cases are managed means
Stockport Homes no longer re-opens many closed cases. The 10 cases which took
longer than 240 days to resolve in the third quarter constitute 4.5 per cent of cases
closed in the year-to-date, which is significantly lower than the 9.8 per cent reported
at the end of last year.
All ten of these cases were found to be well managed. Seven required legal action,
with timescales largely outside Stockport Homes’ control. Of the remaining three,
one case was resolved by the Positive Engagement Officer working with the
perpetrator over a number of months; one required joint work with social care to
sustainably resolve an issue with property condition; and one was delayed as the
perpetrator repeatedly failed to attend the initial interview and when it did take place
they provided information that needed further investigation.
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3.5
Item 12
AIM FIVE: INVOLVE CUSTOMERS, STAFF AND THE BOARD IN
DECISION MAKING AND CREATE OPPORTUNITIES FOR
THEM TO FULFIL THEIR POTENTIAL
3.5.1 Indicators supporting the aim
Indicator- ‘Percentage of ‘skills for life’ participants experiencing
positive outcomes three months after the completion of their courses (100 per
cent against a target of 97.5 per cent)
3.5.2 Measure Supporting the aim
‘Percentage of engaged customers participating in more than one event or
training course in the last 12 months’ 50 per cent13
This is within expected levels and consistent with the average 51 per cent recorded
in the first two quarters. The large proportion of repeated engagement shows that a
high number of customers continue to improve their skills over time.
3.6
AIM SIX: GROW BY MAKING THE BEST USE OF OUR
RESOURCES AND DIVERSIFYING INTO BUSINESSES THAT
COMPLEMENT WHAT WE ALREADY DO
3.6.1 Indicators supporting the aim
Indicator- ‘Average time taken to re-let empty dwellings (all re-lets)’ (15
days against a target of 16 days)14
Indicator - ‘Total number of days lost due to sickness absence per
employee’ (5.31 days year to date against the in-year target of 4.58 days)15
RED
Average sickness absence continued to be higher than the in-year target and it is
expected that year-end target will not be met. This is the second year that an
ambitious target was set and the team have continued to rise to the challenge by
being proactive; working closely with managers through business partnering to
identify and address issues. There is an on-going project to look at sickness absence
with the aim of producing a detailed breakdown of sickness absence in the last two
years by directorates, services and profiling information. This will enable the team to
identify trends and be able to target wellbeing activity. Following a point raised by the
Board, a number of benchmarking activities are also underway, including attending a
North West Housing HR Group Meeting to share sickness information and
organising and hosting an HR benchmarking event for ALMOs.
13
1016 out of 2016 customers
See appendix two, figure three for chart. Appendix two is provided in Dropbox.
15
See appendix two, figure four for chart. Appendix two is provided in Dropbox.
14
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 196 of 208
Item 12
3.6.2 Measure Supporting the aim
‘Proportion of long term sickness’16 – 63.4 per cent
This is consistent with previous performance. The proportion of long term sickness
was 62.6 per cent at the end of September and 64 per cent at the end of 2013/14.
3.6.3 Indicators supporting the aim (without targets)
Rent collected as a percentage of rent due (99.71 per cent, which falls near the
best case end of the potential performance spectrum identified when Welfare
Reform was introduced)
Rent collection continues to be higher than during the same period in 2013/14. At the
end of December, collection of rent due was 99.71 per cent compared to 99.46 at the
same time last year. Collection rates on accounts subject to under-occupancy
charges continue to be positive, with 98 per cent of under-occupancy charges paid in
the year to date and the value of arrears on these accounts being £11,057 lower
than at the same time last year.
‘Rent arrears as a percentage of rental debit’ (1.21 per cent, which falls near
the best case end of the potential performance spectrum)
Performance at the end of the third quarter improved on the 1.44 per cent achieved
in December last year and on the 1.25 achieved in December 2012/13. The
indicator is expected to be in the top quartile when compared to other housing
providers at the year end.
3.6.4 Measures Supporting the aim
‘No of accounts in arrears’: 2013/14 = 5,044
2014/15 = 4,185
‘Number of tenants with >7 weeks arrears’: 2013/14 = 1159
2014/15 = 89717
‘Average current rent arrears’: 2013/14 = £131.50
2014/15 = £138
Performance has improved in the last year. Both the number of accounts in arrears
16
17
See appendix two, figure five for chart. Appendix two is provided in Dropbox.
See appendix two, figure eight for chart. Appendix two is provided in Dropbox.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 197 of 208
Item 12
and the number of accounts in significant arrears decreased. Average current rent
arrears increased because a number of smaller arrears were paid off, but the overall
value of the arrears has decreased.
Rent arrears cases are under control. Of the 4,185 accounts in arrears 21.4 per cent
have significant arrears, with customers owing a total of £297,925.52. Of these, 50
per cent have an arrangement in place to pay using direct debit, standing order,
benefit deductions or deductions from wages. Action has been taken in all other
cases.
‘Ratio of commercial income to total budgeted income’ 0.52 per cent
Commercial works continue to be delivered in line with budget.
‘Ratio of cost to time for voids’ Avg. £2126 to avg. 15 days
There has been a decrease in both the time taken and the cost of void works. After a
challenging second quarter, with a high number of significant voids, the pressure on
the voids service has returned to expected level in the third quarter.
Eight properties took significant time to re-let in the quarter. Of these, four required
structural works and/or kitchen and bathroom updates. The remaining four took
longer because:



one was used as a training flat for the contactor B4Box;
one required major works due to unauthorised alterations carried out by the
tenant; and
two had asbestos removed.
‘Percentage of voids with significant cost’ - 2 per cent
There were four properties that carried significant cost. The measure shows a slight
improvement on the 2.8 per cent achieved at the end of 2013/14.
Of these four properties, one was due to the volume of work, one had a kitchen and
bathroom upgrade, one needed asbestos removal and major skimming work and
one had a tampered meter.
‘Percentage of void rent loss’18 0.49 per cent
‘Ratio of number of voids to total stock’19 7.85 per cent year to date
Void rent loss has shown an improvement from the second quarter and was only
18
19
See figure nine in appendix two for chart. Appendix two is provided in Dropbox.
See monthly breakdown in appendix one. Appendix one is provided in Dropbox.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 198 of 208
Item 12
0.03 per cent higher than the void rent loss in the same period in 2012/13. This is
very positive performance and a 0.06 per cent improvement of the same period in
2013/14. This is due to the ‘number of new voids to total stock’ remaining at a steady
level and the proportion of significant voids also remaining at the expected level.
Benchmarking shows that 0.49 void rent loss places Stockport Homes in the top
quartile both against ALMOs and housing organisations20.
‘Average repair cost per property per year’ £225
This indicates consistently good performance. The average repair cost remained at
the same low level as at the end of 2013/1421.
‘Percentage of properties with 15 or more repairs’ 3.20 per cent
This is slightly higher than the previous quarters’ performance, at an average 3 per
cent, but the measure still shows an improvement on the previous year. The same
period in 2013/14 saw 4.2 per cent of properties with 15 or more repairs.
4
SERVICE IMPROVEMENT PLAN
This section provides an update on performance in delivering the actions in
the Service Improvement Plan (SIP) for the third quarter of 2014/15. Appendix
Three provided in Dropbox contains updates against each sub action that was
due for completion in this quarter.
4.1
SUMMARY
There were 13 actions in the Service Improvement Plan that were due in the
third quarter and 41 actions are due in the fourth quarter. Progress has been
made on both sets of actions.
During the third quarter:
20

An induction scheme for new tenants was successfully introduced.

The new Customer Feedback procedure was developed.

The European Social Fund contract for complex families has been
delivered to support service users.
th
rd
Stockport Homes ranked 13 out of 117 housing organisations and 3 out of 17 ALMOs
that submitted information to Housemark.
21
£225 reported as at the end of 2013-14
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 199 of 208
4.2
Item 12
ACTIONS DUE DURING THE THIRD QUARTER THAT REQUIRE
DATE CHANGES
4.2.1 Actions due in the third quarter of 2014/15
Actions are rated as green if they are completed or on target for completion,
amber if they are delayed within the financial year and red if they are delayed
past the end of the financial year.
6
0%
10%
20%
30%
2
40%
50%
60%
70%
2
80%
90%
100%
Of the 13 actions due in the third quarter six were completed on time, four are
proposed for a date change, three actions are proposed for deletion. Of the
three, one action is currently under review.

Action 1.3.1 proposed for date change – ‘Develop CRM initial priorities to
support wider Customer Access aims:
o Procure CRM system;
o Develop CRM system and data consolidation from other systems;
o Implement CRM system across agreed areas; and
o Develop CRM continuous improvement plan including removing outdated other systems.’
The initial CRM priorities have been developed by a working group and the
project is currently going through procurement process. A proof of concept
has been developed. However, this has taken longer than first envisaged due
to the time taken to ensure it fits in with plans for the creation of a one number
approach to customer calls and ensuring it meets all the demands for
Stockport Homes’ future including the new HQ. Request date change to
September 2016.

Action 2.18.1 proposed for date change – ‘Develop Independent living
statement.’ In progress - The Independent Living Statement is currently being
drafted and will be presented to Leadership Forum before being finalised.
Delay due to Draft Statement going to ILS Focus on You Group in early March
for consultation. Request date change to March 2015.

Action 5.6.1 proposed for date change – ‘Develop clear and comprehensive
financial reporting mechanisms for activity relating to the new head office.
Ensure regular financial updates provided to Stockport Homes Management
Team, Board and Business Development Sub-Group’. On hold - As reported
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 200 of 208
Item 12
in the first quarter report, cost centres have been set up for the new financial
reporting mechanisms; however the action cannot progress further until the
tender process is complete. There has been a delay with the tender due to the
issue with the Lamborghini garage moving sites. Request date change to
September 2015.

Action 6.25.1 proposed for date change – ‘Explore becoming a sub-contractor
for Prime providers of Probation non-stat services.’ In progress/date change –
Negotiations with the new contractor are currently on-going on a sub-regional
basis. Due to the delay in announcing the successful company a contract is
unlikely to be in place before end of financial year. Request date change to
June 2015.

Action 2.2.1 Proposed for removal from the SIP, currently under review –
‘Develop and implement a case management system for Temporary
Accommodation which is outcome focussed.’ Currently under review. – The
use of alternative existing systems was under consideration; however it was
decided that a bespoke system will be required to be fully fit for purpose.
Currently reviewing basic requirements and potential solutions.

Action 2.6.1 proposed for deletion – ‘Increased availability of overnight
accommodation for younger households by expansion of family hosts with
Nightstop.’ Deletion – A decision was taken by the Council to end general
Nightstop funding from April 2015. Stockport Homes is assisting Nightstop
with looking for alternative funding, but there is no scope for expansion of this
project at the moment.

Action 2.13.1 proposed for deletion – ‘Bid for Afghan project.’
Deletion – The deadline was not met due to delays on part of the UK Border
Agency. Although an extension to this action’s deadline could be requested
again the timescales are still not clear and there may be further delays. This
action will be monitored on a service level and the team will still bid when the
opportunity becomes available.
4.3
FORWARD LOOKING SIP ANALYSIS FOR THE FOURTH
QUARTER OF 2014/15
The 41 actions due in the fourth quarter of 2014/15 are listed in Appendix
Four provided in Dropbox. Of these, 34 are on target, five are proposed for a
date change and two actions require deletion.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 201 of 208
Item 12
34
0%
10%
20%
30%
40%
5
50%
60%
70%
80%
90%
100%

Action 1.13.1 proposed for date change – ‘Continue roll out of financial
training for budget managers’ Delayed – This has been postponed due to
vacancies in the Corporate Finance Team. Request date change to August
2015.

Action 5.6.1 proposed for date change – ‘Develop, offer and roll out financial
awareness training for community groups/ resident associations.’ Delayed –
Similar to the previous action, this has been postponed due to vacancies in
the Corporate Finance Team. Request date change to August 2015.

Action 5.1.1 proposed for date change – ‘Review the Work Placement
Policy/Framework’ Delayed - In order to ensure the Work Placement
Policy/Framework is consistent with the People and OD Strategy, the review
needs to follow the approval of the strategy in June. The review will proceed
in March with a view to sign off by September. Request date change to
September 2015.

Action 5.2.1 proposed for date change – ‘Review current volunteering policy’
Delayed - Similar to the previous action, the review needs to follow the
approval of the Corporate Social Responsibility Strategy to ensure a
consistent approach. Request date change to September 2015.

Action 5.2.2 proposed for date change – ‘Identify and monitor volunteering
trends to highlight impact on Stockport Homes Limited Corporate Social
Responsibility’ Date change requested – This action will feed into the new
Corporate Social Responsibility Strategy due to be reviewed by June 2015.
Request date change to June 2015.

Action 2.5.1 proposed for deletion – ‘Identify and bid for funding to create joint
working opportunities with Nightstop.’ Delete – As described in the
commentary of action 2.6.1 Nightstop have recently been advised that their
core funding from SMBC is being withdrawn; charity trustees are currently
considering options. As a result there are no current funding bids under
development but assistance and identification of sources were offered in
November 2014.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 202 of 208
Item 12
Action 2.11.1 proposed for deletion – ‘Implement Department for Work and
Pensions work programme leavers project.’ The bid for funding was
unsuccessful and the action requires deletion as it is not possible to deliver
the project.
5
CONCLUSION
Performance information contained within the report shows that targets were
met in most areas and narrowly missed in others. In two areas, where the
target was outside the accepted tolerance, weaknesses and issues are being
addressed. Performance in areas related to Welfare Reform continues to be
strong. By investigating statistically meaningful exceptions, services continue
to establish learning points to inform continuous improvement.
Progress against the Service Improvement Plan was satisfactory in the third
quarter, with the majority of due actions being completed on time.
6
RECOMMENDATIONS
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;
iii.
Agrees a new deadline for four SIP actions and the deletion of three
actions due for completion in the third quarter of 2014/15; and
iv.
Agrees a new deadline for five SIP actions and the deletion of two
actions due for completion in the fourth quarter of 2014/15.
Item 12 CORPORATE PERFORMANCE REPORT- Q3 2014-15
Page 203 of 208
Item 14
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
Recommendation(s):
That the Board note the attendance rates of:
i.
ii.
iii.
88 per cent for Board meetings;
81 per cent for Business Development Sub-Group
meetings and;
100 per cent for Service Excellence Sub-Group
meetings.
Board attendance is five per cent above target, Business
Development Sub-Group attendance is one per cent above
target and Service Excellence Sub-Group attendance is 20
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
Implications
Higher attendance provides better value for money as
administration costs are shared across more participants.
Risk Implications
Risk
Number
26
Equality & Diversity
Implications
Risk Description
Ineffective Board and Customer Scrutiny Panel:
poor attendance could result in an ineffective
Board which would affect the stability of the
company
Good attendance across all constituent groups: tenants,
independents and co-optees, ensure the Board is
representative.
Item 14 MONITORING BOARD AND SUB-GROUP ATTENDANCE
Page 204 of 208
Item 14
Equality Impact
Assessment
Does an EIA need to be
completed? No
If so, has one been
completed? No
Customer Impact
An effective Board will help ensure better service delivery for
customers.
Content of Report
signed-off by Director
Helen McHale
Contact Officer
Jeremy Beatty, Governance Manager
Contact Details
0161 474 2850
04/03/2015
Jeremy.beatty@stockporthomes.org
Item 14 MONITORING BOARD AND SUB-GROUP ATTENDANCE
Page 205 of 208
Sue
David
John
Jane
Christine
Roland
Jo
Roger
Paul
Alanna
David
Christine
Ash
Beckett
Bowker
Clayton
Corris
Dotchin
Hague
Phillips
Porgess
Vine
Wright
Woolridge
Total Attendance
Total Potential
Attendance
12 Months to
March 2015
15 December
2014
Away Day 14
November
2014
19 May
2014
01 September
2014
MONITORING BOARD ATTENDANCE 12 MONTHS TO MARCH 2015
17 March
2014
1.
Item 14
1
1
1
1
1
N/A
N/A
1
A
1
1
N/A
1
1
1
N/A
1
N/A
1
1
1
1
1
1
A
1
1
N/A
A
1
1
1
1
1
1
1
N/A
A
A
N/A
N/A
A
1
1
1
1
1
1
N/A
1
1
N/A
N/A
1
1
1
1
1
1
1
66%
80%
80%
100%
66%
66%
100%
100%
80%
100%
100%
100%
8
10
9
6
9
42
9
10
11
9
9
48
Total Attendances – 42
Total Potential Attendances - 48 = 88%
 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 14 MONITORING BOARD AND SUB-GROUP ATTENDANCE
Page 206 of 208
Sue
Jane
Christine
Christine
Roger
David
Alanna
Ash
Clayton
Corris
Woolridge
Phillips
Wright
Vine
Total Attendance
Total Potential
Attendance
12 Months to
December
2014
Business
Development
2 March
2015
Business
Development
17 November
2014
Business
Development
05 Aug 2014
Business
Development
03 June 2014
MONITORING SUB-GROUP ATTENDANCE 12 MONTHS TO MARCH 2015 BUSINESS DEVELOPMENT SUB-GROUP
Business
Development
03 March
2014
2.
Item 14
A
1
1
N/A
1
1
N/A
A
N/A
1
N/A
1
1
N/A
A
N/A
1
N/A
1
1
N/A
N/A
N/A
N/A
1
1
1
A
N/A
N/A
N/A
1
1
1
1
0%
100%
100%
100%
100%
100%
0%
4
3
3
3
4
17
5
4
4
4
4
21
Total Attendances – 17
Total Potential Attendances - 21 = 81%
 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
Sub-Group attendance has remained above target.
Item 14 MONITORING BOARD AND SUB-GROUP ATTENDANCE
Page 207 of 208
David
John
Jane
Paul
Jo
Roland
Alanna
Beckett
Bowker
Clayton
Porgess
Hague
Dotchin
Vine
Total Attendance
Total Potential
Attendance
12 Months to
December
2014
Service
Excellence
01 December
2014
Service
Excellence
23 June 2014
Service
Excellence
15 September
2014
MONITORING SUB-GROUP ATTENDANCE 12 MONTHS TO MARCH 2015 SERVICE EXCELLENCE SUB-GROUP
Service
Excellence
07 April 2014
3.
Item 14
1
1
1
1
N/A
N/A
1
1
1
N/A
1
N/A
N/A
1
1
1
N/A
N/A
1
1
N/A
1
1
N/A
1
1
1
N/A
100%
100%
100%
100%
100%
100%
100%
5
4
4
5
18
5
4
4
5
18
Total Attendances - 18
Total Potential Attendances - 18 = 100
 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
Sub-group attendance has remained above target.
Item 14 MONITORING BOARD AND SUB-GROUP ATTENDANCE
Page 208 of 208
Item 15
BOARD AGENDAS FOR 2015
Frequency
Report Title
Decision,
Information or
Consultation
Directorate
Author
Board 2 - Monday 15 June 2015
Every meeting
1. Chief Executive's Report
Information
Corp. Services
Jeremy Beatty, Governance Manager
Every meeting
2. Corporate Performance Report
Decision
Corp. Services
Annual
3. Business Plan Update
Decision
Bi-annual
4. Corporate Social Responsibility Strategy
Decision
Bi-Annual
5. People and Organisational Development Strategy (New)
Decision
Bi-annual
6. Development Strategy
Decision
Annual
7. Renewable Energy Policy
Decision
Bi-annual
Tri-annual
8. Contract Procedure Rules
9. Value for Money Strategy
Decision
Decision
Six-monthly
10. Welfare Reform Update
Information
Rob Lloyd, Performance and
Improvement Manager
Corp. Services
Gill Bennett, Head of Business
Excellence
Corp. Services
Liz Chadwick, Organisational
Development Manager
Corporate Services Diane Laming Head of Organisational
Development
Technical &
Steve Leonard, Head of Assets and
Commercial
Development
Technical &
Joe Keating, Environmental Energy
Commercial
Manager
Corp. Services
Sam Donigan, Assurance Manager
Corp. Services
Rob Lloyd, Performance and
Improvement Manager
Corp. Services
Tanya King, Social Inclusion Manager
One-off
11. Combined Human Resources Policies
Decision
Corp. Services
Every meeting
12. Monitoring Board and Sub-Group Attendance
Information
Corp. Services
Diane Laming Head of Organisational
Development
Jeremy Beatty, Governance Manager
Every meeting
13. Forward Plan
Information
Corp. Services
Jeremy Beatty, Governance Manager
Board 3 - Monday 7 September 2015
Annual
AGM
1. Stockport Homes' Directors Report and Financial Statement
Decision
Finance
Annual
2. Appointment of External Auditors
Decision
Finance
One-off
3. New M&A and Management Agreement
Decision
Corp. Services
Annual
4. Retirement and Appointment Of Board Members
Decision
Corp. Services
Suzanne Frier, Head of Corporate
Finance
Suzanne Frier, Head of Corporate
Finance
Gill Bennett, Head of Business
Excellence / Jeremy Beatty,
Governance Manager
Jeremy Beatty, Governance Manager
Annual
ORDINARY MEETING
1. Appointment of Chair
Decision
Corp. Services
Jeremy Beatty, Governance Manager
Every meeting
2. Chief Executive's Report
Information
Corp. Services
Jeremy Beatty, Governance Manager
Every meeting
3. Corporate Performance Report
Decision
Corp. Services
Annual
4. Customer Scrutiny Panel Annual Report
Decision
Corp. Services
Rob Lloyd, Performance and
Improvement Manager
Jeremy Beatty, Governance Manager
Annual
5. Annual Report to Customers
Decision
Corp. Services
Annual
6. Annual Equality Report
Decision
Corp. Services
Annual
7. Two Year Forward Procurement Plan
Decision
Corp. Services
Annual
8. Health And Safety Update (Policy and Annual Report)
Decision
Corp. Services
Every meeting
9. Monitoring Board and Sub-Group Attendance
Information
Corp. Services
Gill Bennett, Head of Business
Excellence
Martin Saunders, Social Inclusion
Manager
Rob Lloyd, Performance and
Improvement Manager
Neil Smith, Health and Safety
Manager
Jeremy Beatty, Governance Manager
Every meeting
10. Forward Plan
Information
Corp. Services
Jeremy Beatty, Governance Manager
Board 4 - Monday 14 December 2015
Every meeting
1. Chief Executive's Report
Information
Corp. Services
Jeremy Beatty, Governance Manager
Every meeting
2. Corporate Performance Report
Decision
Corp. Services
Annual
3. Rent Setting 2015-2016
Decision
Finance
Annual
4. Service Charge Review 2015-2016
Decision
Finance
Annual
5. Governance Improvement Plan
Decision
Corp. Services
Rob Lloyd, Performance and
Improvement Manager
Carmel Chambers, Director of
Finance
Carmel Chambers, Director of
Finance
Jeremy Beatty, Governance Manager
Six-monthly
6. Welfare Reform Update
Information
Corp. Services
Tanya King, Social Inclusion Manager
Every meeting
7. Monitoring Board and Sub-Group Attendance
Information
Corp. Services
Jeremy Beatty, Governance Manager
Every meeting
8. Forward Plan
Information
Corp. Services
Jeremy Beatty, Governance Manager
Item 15 FORWARD PLAN