To receive any apologies for absence.

There were no apologies from members of the cabinet.

None.

To approve and sign the minutes of the meeting held on 7 June 2018.

Resolved:       That the minutes of the meeting held on 7 June 2018 be approved as a correct record and signed by the Chairman.

To receive questions from members of the public.

Deadline for receipt of questions is 5:00pm on Friday 22 June 2018.

Accepted questions will be published as a supplement prior to the meeting.

Please see https://www.herefordshire.gov.uk/getinvolved for information on how to submit a question.

Questions received and responses given are attached as appendix 1 to the minutes.

To receive questions from councillors.

Deadline for receipt of questions is 5:00pm on Friday 22 June 2018.

Accepted questions will be published as a supplement prior to the meeting.

Questions received and responses given are attached as appendix 2 to the minutes.

To agree future delivery options for museum, library and archive services taking into consideration the results of a soft market test for the management of the services, capital works required for Hereford Library, next phase of delivery for the services and the review of the museum services conducted as part of the Resilient funding from Heritage Lottery.

The cabinet member for contracts and assets introduced the report and highlighted:

·         The proposals recognised that the services were important to users.

·         The proposals do not represent a reduction in service.   

·         There has been no reduction in the opening hours of libraries since 2014.   

·         There is a commitment to maintain the current service levels and develop where possible.

·         There is support from the communities for the services. 

·         Unlike many other councils, Herefordshire had invested in the library service and not made any closures.

The assistant director communities went through each recommendation:

Recommendation a  - members may wish to consider investing in the development of a mezzanine floor utilise the space within Hereford Library and Museum for public benefit. Appendix 2 goes into detail of the options. 

Recommendation b - the Black and White House has been generating an income as outlined in the profile of service, though with greater awareness addition attendance could raise ticket sale that can support the museum service to be sustainable.

Recommendation c – this was to ensure that as much of the archives were open to the public as possible as some permissions are not given even though the archive is held by the council.   If families / estates were unwilling to agree to their records being available, then alternative arrangements would be put in place which could include returning to the family, charging for storage, etc. 

Recommendation d – at the moment it is theoretical that there are organisations who would be willing to provide the services.   A procurement exercise would confirm if there was an opportunity to work with a delivery partner based on current standard of service as benchmark

Recommendations e and  f -  these were opportunities to raise income at HARC.    .

Recommendation g –  this was an opportunity to review the schools library service to ascertain the take up of the service and find out what schools require.  

Recommendation h – this was the executive’s response to the recommendations from the general scrutiny committee.   It was noted that the paragraph reference should be to 62 and not 60. 

The cabinet member for finance and corporate services commented that there was sympathy to those who oppose any change to the services but there were challenges for all public and third sector organisations.    It was unlikely that central government would be providing additional funding for these services.    The recommendations would mean that the council would comply with statutory requirements.   The council is  continuing to invest in the libraries with the £230k set out in recommendation (a) but proposed an amendment that the responsible director undertake soft marketing testing to determine demand before going ahead with the investment in order that space is not created that does not benefit to the community.  

During the discussion of the item, the following points were raised: 

·         Herefordshire has a population of 186k  and delivers services over 2,180 sq m.   This compared with the London Borough of Brent which has twice the population and delivers services over  ...  view the full minutes text for item 12.

To consider the findings of the recent Local Government Association (LGA) corporate peer challenge and agree how those findings will be used to inform improvement plans.

The leader of the council introduced the report and commented that the council invited the Local Government Association (LGA)  to conduct a peer challenge.   The key message was that there were many positive activities which the council should be proud of.     

The chief executive stated that since the end of the comprehensive performance assessment, the LGA peer challenge was the most robust form of review and challenge for councils.   It is not a requirement but it was believed that it was essential  that there was a check and challenge on the council.  The challenge had been productive and helpful.     It was noted that there would be a follow up visit in approximately 1 year.

The group leader for the Herefordshire Independents comments the financial situation is now more closely monitored.   It was further commented that the recommendations were ones which the council should have been doing already and very basic. 

The group leader for the Green party commented that it was welcomed that parish councils are included in One Herefordshire.    There was disappointment that there had been no facility to feed formally into the report and would like to formally review the recommendations in six months.

The group leader for the Liberal Democrats commented that the report was so general that the public would not know what the council was doing well or not well.  

The group leader for It’s OUR County commented that the relationship with communities needed to improve as there was considerable suspicion and distrust about the council.  There was an opportunity for the ward councillors who were also parish councillors to use the parish council as the first point of call.   

RESOLVED

That:

(a)       the approach (at appendix 1) to responding to the recommendations from the corporate peer challenge be approved.

To review revenue and capital outturn for 2017/18, including the treasury management outturn report, debts written off and invite cabinet members to consider performance for the year.

The cabinet member finance and corporate services introduced the report and highlighted:

·         the report showed the latest position at March 2018.  

·         The majority of projects are being delivered on schedule.   

·         The revenue outturn showed an overspend of £10k.

·         The annual report from the director of public health, together with Understanding Herefordshire were appendices to the report. 

Each directorate was discussed in turn and the following highlighted:

Adults and wellbeing directorate

·         The outturn position was an £80k overspend.    This is in the context of a £55m budget for a demand led service.

·         The focus would be on prevention rather than support.   

·         There had been a month on month increase in the number of hits to the WISH website. 

·         There had been partnership work in connection with the development of a new learning disability strategy.

·         The healthy living training was going well.

·         In the context of savings, there had been an overspend of £80k against a budget of £55m. 

Children’s wellbeing directorate

·         The outturn position was an overspend of £1.994m.

·         The education outcomes were improving

·         The council were one of 14 councils successful in a bid to build a new SEN school.

·         The national target for converting SEN plans to education, health and care plans had been met

·         The number of looked after children (LAC) were increasing and there was an overspend in LAC placements

·         The timeliness of court proceedings was good

·         Children’s social workers caseloads were too high which is why money was being invested in this area

Economy, communities and corporate

·         The outturn position was an underspend of £175k.

·         There had been a 5 fold increase in potholes due to the 3 severe weather events in the last financial year.

·         At the national Connected Britain awards in London, Fastershire was given the Superfast award, recognising the progress made in Herefordshire towards fibre provision which is set to continue. 

·         Herefordshire was performing well in the Leader project.   It was noted that if the funding was not spent then it would need to be returned.  

·         Herefordshire had 2,000 miles of mainly rural network and the majority of people travel by car.    The council had been awarded £5m from the challenge fund to improve the road network and the next phase of work would commence in August.  Over the next 2 years the remainder of the challenge fund would be used on strategic routes. 

·         Fewer people had been killed on the county roads in 2017 than in 2016.

·         The route of Hereford Transport Package would be chosen shortly.

The director of public health presented the annual report and highlighted the following:

·         That focusing on prevention would help to balance the budget and improve the health and wellbeing of the population of Herefordshire.       

·         The development of a healthy weight plan in conjunction with the health and wellbeing board

·         A healthy living network was being developed which would include a range of services and would provide effective ways for people to support healthy outcomes.

·         Following a query, the director of public health confirmed that public  ...  view the full minutes text for item 14.

To approve proposed changes to earmarked reserves following the annual review.

The cabinet member finance and corporate services introduced the report and highlighted that the review was as a result of the LGA peer challenge which had suggested a strategic review of finances.   The medium term finance strategy and corporate plan reviews were both scheduled for 2019/20. 

It was noted that there was one recommendation with a number of reserve movements.     Some of the reserve movements would require a business case, in particular the capital reserves.

The group leader for It’s OUR County commented that some of the reserves were refunding service changes which did not occur in year.   It was further commented that it was difficult to have faith in the children’s wellbeing directorate savings.   The party did not agree with the reduction of £1.1m in the minimum revenue provision and had concerns over the reduction in the sparsity reserve.    It was noted that the new reserve to support community health and wellbeing requirements was welcomed.    

Following a request for confirmation that the level of reserves were prudent and followed CIPFA guidelines, the S151 officer confirmed that he was comfortable with the levels of general and earmarked reserves and that they were CIPFA compliant. 

RESOLVED

That:

(a)       the following movements re earmarked reserves be approved:

·        the sparsity reserve be reduced by £6.4m

·        the minimum revenue provision reserve be reduced by £1.1m

·        the severe weather reserve be increased by £1.4m

·        a new reserve of £1.6m established to support structural change in children’s wellbeing

·        a new reserve of £0.5m established to support providing care costs in Adults and Wellbeing

·        a new reserve of £2.8m established to support remedial road works

·        a new reserve of £0.5m established to meet any future liabilities re living wage claims

·        a new reserve of £0.5m established to support the community health and wellbeing requirements

·        legal services demand, £0.2m

To recommend to Council proposed in year adjustments to the capital programme including proposed investment additions for 2018/19, 2019/20 and 2020/21. These items are in addition to the £92.418m for 2018/19, £48.078m 2019/20 and  £8,484 2020/21 capital funding approved by Council in January 2018.

The capital programme update report was introduced. 

The group leader for the Green Party commented that there was a missing “m” after the figure £8,484 in the first paragraph under purpose and summary. 

The group leader for Herefordshire independents commented that the proposal for the Cyber Security Centre was welcomed.

It was noted that the Hillside project would be looking at innovative ways of utilising the building.   Consideration was being given to extend the facility from 22 to 28 beds and potentially to just beyond 30.   Depending on the financial case, the spend would be up to £1.5m. 

It was further noted the projects would be subject to further reports to gain approval to commit the spend. 

RESOLVED

To approve the proposed expenditure of capital grants for school building and maintenance works.

The cabinet member for young people and children’s wellbeing introduced the report and highlighted that the council were investing in the future of county’s children and the facilities needed to reflect that.    

RESOLVED

That:

(a)       The school maintenance schemes as set out in appendices 1 and 2 be approved spending £1m on basic need to provide sufficient high quality places, £1,457k to address maintenance issues and £651k allocated to schemes funded through the Local Authority Co-ordinated Voluntary Aided Programme; and

(b)       Authority is delegated to the interim education and capital manager to take all operational decisions necessary to implement the above recommendations within the approved budgets.

To agree budget priority consultation arrangements to inform the budget setting process for the 2019/20 development of the medium term financial strategy (MTFS).

The cabinet member finance and corporate introduced the report and highlighted that the council has to set a balanced budget.   As part of this process, a timetable needed to be published and the council were responsible for consulting with all residents of Herefordshire.    The consultation would be via an online survey and awareness would be communicated through a wide range of media streams.    Members were also reminded that there would be a member’s briefing on 4 July at 5.00 pm.

The group leader for the Green Party commented that the previous year’s online consultation was poor and did not work very well on mobile phones.   It was hoped that there would be more business input and that the views of the parish councils would be taken into consideration. 

It was noted that the engagement of the parish councils took place in a number of ways and that there would be a range of survey questions. 

RESOLVED

That:

(a)       the timetable for making proposals to Council for the adoption of the MTFS 2019-23 and the 2019/20 budget be approved as follows:

·        consultation – 5 July to 21 September 2018

·        Cabinet – 31 January 2019

·        Council (approve budget and MTFS) – 15 February 2019

·        Council (set council tax and precept – 8 March 2019

(b)       it be recommended to Council that the budget meeting date be moved from 1 February 2019 to 15 February 2019;

(c)       the approach for consulting on budget proposals for 2019/20 as set out at paragraph 11 be approved; and

(d)       the scrutiny committee chairpersons be requested to make suitable provision in their respective committee work programmes to enable scrutiny members to inform and support the process for making cabinet proposals to Council.