CABINET AGENDA. Monday, 4 August The Guildhall. 6:00 pm

Transcription

1 CABINET AGENDA Monday, 4 August 2008 The Guildhall 6:00 pm Members of the Cabinet: Councillor: Tony Woods (Leader of the Council) Councillors: Brendan Glynane, Sally Beardsworth, Richard Church, Trini Crake, Brian Hoare, Malcolm Mildren Chief Executive David Kennedy If you have any enquiries about this agenda please contact Annie May or Jo Darby

2 PORTFOLIOS OF CABINET MEMBERS CABINET MEMBER Councillor A. Woods Councillor B. Glynane Councillor S. Beardsworth Councillor R. Church Councillor T. Crake Councillor B. Hoare Councillor M. Mildren PORTFOLIO TITLE Leader Partnership and Improvement Deputy Leader Community Engagement & Safety Housing Regeneration Environment Performance Finance

3 NORTHAMPTON BOROUGH COUNCIL CABINET Your attendance is requested at a meeting to be held at the The Guildhall on Monday, 4 August 2008 at 6:00 pm. D Kennedy Chief Executive AGENDA 1. APOLOGIES 2. MINUTES 3. DEPUTATIONS/PUBLIC ADDRESSES 4. DECLARATIONS OF INTEREST 5. ISSUES ARISING FROM OVERVIEW AND SCRUTINY COMMITTEES 6. ST JOHN'S MASTER PLAN Report of Director People Planning and Regeneration 7. MARKET SQUARE - LAYOUT AND BUSINESS OPERATION Report of Director People Planning and Regeneration 8. HOUSING PROGRESS ASSESSMENT Report of Interim Director Customer and Service Delivery 9. ANNUAL REPORT CUSTOMER FEEDBACK Report of Interim Director Customer and Service Delivery 10. ANNUAL LETTER OF LOCAL GOVERNMENT OMBUDSMAN Report of Interim Director of Customer and Service Delivery 11. PERFORMANCE (A) GENERAL FUND MONITORING 2008/09 (TO FOLLOW) Report of Director of Finance (B) HRA MONITORING 2008/09 Report of Director of Finance (C) CAPITAL PROGRAMME 2008/09 MONITORING REPORT Report of Director of Finance (D) PERFORMANCE MONITORING (TO FOLLOW) Report of Chief Executive

4 12. EXCLUSION OF PUBLIC AND PRESS THE CHAIR TO MOVE: THAT THE PUBLIC AND PRESS BE EXCLUDED FROM THE REMAINDER OF THE MEETING ON THE GROUNDS THAT THERE IS LIKELY TO BE DISCLOSURE TO THEM OF SUCH CATEGORIES OF EXEMPT INFORMATION AS DEFINED BY SECTION 100(1) OF THE LOCAL GOVERNMENT ACT 1972 AS LISTED AGAINST SUCH ITEMS OF BUSINESS BY REFERENCE TO THE APPROPRIATE PARAGRAPH OF SCHEDULE 12A TO SUCH ACT.

5 SUPPLEMENTARY AGENDA Exempted Under Schedule 12A of L.Govt Act 1972 Para No:- 13. PAY AND GRADING PROJECT/EQUAL PAY Report of Chief Executive (1)

6 Agenda Item 6 Appendices 1 Item No. Report Title CABINET REPORT St Johns Masterplan Report for Consultation AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: 4 August 2008 Yes Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) Yes Yes Yes Regeneration and Growth Cllr Richard Church All 1. Purpose 1.1 This paper briefly summarises the Masterplan developed for the St Johns, Angel Street and Bridge Street areas of Northampton and seeks Cabinet support and approval for a wider engagement through public consultation. 2. Recommendations 2.1 The St Johns, Angel Street and Bridge Street masterplan is made available to the public and any comments received will form part of the consultation response to feed into the Central Area Action Plan. Northampton Borough Council seeks to bring forward regeneration in the St.John s area and work closely with Northamptonshire County Council and West Northamptonshire Development Corporation and other stakeholders to improve this important part of the town centre. Jmd/committees/cabinet report template/25/07/08

7 3. Issues and Choices 3.1 Issues In June 2007 a team led by Taylor Young were commissioned to prepare a Masterplan for the areas of Bridge Street, St Johns and Angel Street in Northampton Town Centre. Three project partners commissioned the study: Northampton Borough Council, Northamptonshire County Council and West Northamptonshire Development Corporation. Other project partners included East Midlands Development Agency and English Partnerships. Lambert Smith Hampton (property market advisers) and Faber Maunsell (transport consultants) supported the Taylor Young team. Appendix A indicates the Masterplan study areas The brief for the study was complex as it reflected the objectives from different partners for different parts of the study area. Key points included: Comprehensive and coordinated redevelopment of key locations within the study area; Ensuring proposals meet local policy and are in line with the Design, Development and Movement Framework (DDMF) for the Town Centre; The DDMF proposes that the area of St Johns could include an arts, crafts and culture quarter to build on the heritage and the existing themes which will also extend to a specialist area of shopping and ancillary restaurants and bars; Preserve and enhance the character of buildings and areas and provide a reference document against which planning applications can be made; Seek to maximise opportunities for high quality, distinctive design whilst maximizing the value of existing assets; Maximising opportunities to provide a high quality mixed-use development incorporating offices, residential, retail and leisure uses; and To ensure that proposed schemes are viable and are market tested The Masterplan proposes significant new development and transformation across the south of the town centre and the Bridge Street corridor. This includes major changes to the transport network and the creation of major new public spaces. New development is sensitive to the valued historic context and several historic buildings are proposed for enhancement and refurbishment The St Johns area is expected to become the focus for the new cultural quarter. At its centrepiece is proposed a new innovation centre, high quality studio/office space for related businesses in emerging design/media/ict sectors. This fronts onto high quality public realm, including a new public space in front of the Royal & Derngate Theatre and provides bar/restaurant uses at ground floor to animate these spaces and extend visits The Angel Street area is expected to become the focus for new commercial office space. Most of this is provided in two new 6 and 7 storey buildings on the Angel Street car park site, surrounding a new courtyard public space South of St John Street a major new public space is proposed by downgrading existing roads and a new high quality public realm treatment. Removal of the northern arm of the gyratory will create an improved environment in this area and will enable better integration with the town centre. This new square will provide an excellent setting for The Church Restaurant, an important historic Jmd/committees/cabinet report template/25/07/08

8 building, and will be animated by new ground floor bar/restaurants. To the south of this a new mixed use block is proposed, comprising commercial office space and residential apartments. The retained Plough Hotel, an important building in townscape terms, completes this block The Bridge Street corridor (south of Victoria Promenade) will be changed radically as a result of the transport strategy. The removal of through traffic from the southern arm of Cattle Market Road will allow the southern part of this corridor to form a natural extension of the new waterside residential community; a mix of apartments and town houses are proposed here. To the north of Auctioneers Way a 3-4 storey office scheme is proposed in a perimeter block form, all development in this corridor will front both Bridge Street and Cattle Market Road. The mix of uses proposed on Bridge Street are consistent with varying proximity to the town centre core and will strengthen linkage from the waterside to the town centre To date the circulation of the masterplan has been limited to the commissioning partners and key stakeholders. The masterplan is to have a more extensive consultation with the responses passed to the planning team for consideration in the Central Area Action Plan. 3.2 Choices (Options) St Johns Development Phase Do nothing This option would put at risk the funding received from EMDA to purchase the Blueberry Diner and Studio sites Failure to deliver the project will seriously damage the reputation of the Borough Council with WDDC, EMDA and the public 4. Implications (including financial implications) 4.1 Policy Priority 4 of the Corporate Plan is to promote economic development and growth in Northampton. Actions include, working with working with business, strategic partners and promoting town centre a major regional cultural and economic centre Priority 4 of the Corporate Plan and the Regeneration and Growth Service Delivery Plan identifies the St Johns Redevelopment as an immediate priority alongside the regeneration of the Grosvenor Centre Aligns with the council s Corporate Improvement Plan, Regeneration Service Delivery plan and Northampton Economic Regeneration Strategy as recommended by Cabinet to the council for adoption on 7 th April Resources and Risk Funding for the masterplan has been sourced from the three commissioning partners, Northampton Borough Council, West Northamptonshire Jmd/committees/cabinet report template/25/07/08

9 4.3 Legal Development Corporation and Northamptonshire County Council. The Borough Councils contribution was funded from the LABGI reserve The St Johns, Angel Street and Bridge Street Masterplan is not a statutory requirements but is essential in delivering job diversity in the town and planned regeneration and growth of Northampton. 4.4 Equality Equality and diversity assessments will be undertaken for the project. 4.5 Consultees (Internal and External A limited consultation exercise has been undertaken with stakeholders by the external consultant. The findings from the consultations have directed the emerging option. 4.5 How the Proposals deliver Priority Outcomes Northampton Borough Council s Corporate Plan sets out 5 main objectives to be achieved over the next 4 years. One of these is To promote economic development and growth in Northampton. The development of the Grosvenor Centre and the St Johns Area will offer economical benefits for higher value jobs in Northampton and diversify the retail offer. 4.6 Other Implications The Central Government Growth Agenda projects the number of houses in the town is set to increase from 88,000 to 120,500 by This projected increase in housing and associated growth in population gives job projections of 27,600 (Northampton Employment land Study July 2006). This has been an opportunity to regenerate the town and build on the successes that Northampton has to offer. From planned housing growth comes the increased demand for retail, jobs, leisure, green space and transport etc. 5. Background Papers 5.1 Bridge Street, St Johns and Bridge Street Masterplan 5.2 Northampton Central Area, DDMF BDP 5.3 NBC Cabinet Report, Regeneration Progress and Update, 19 th December 2006 Chris Cavanagh, Corporate Manager ext: 8461 Mike Kitchen, Regeneration Project Officer ext: 7681 Jmd/committees/cabinet report template/25/07/08

10 APPENDIX A Masterplan Study Areas Jmd/committees/cabinet report template/25/07/08

11 The Masterplan for St Johns, Angel Street and Bridge Street Overview of Masterplan The Masterplan proposes significant new development and transformation across the southern part of the town centre and the Bridge Street corridor. This includes major changes to the transport network and the creation of major new public spaces. New development is sensitive to the valued historic context and several historic buildings are proposed for enhancement and refurbishment, most notably the County Hall complex. The Three Project Areas Area A St Johns Area B Angel Street Area C Bridge Street The St Johns area will become the focus for the new cultural quarter. At its centerpiece is proposed a new innovation centre, high quality studio/office space for related businesses in emerging design/media/ict sectors. This will front onto high quality public realm, including a new public space in front of the Derngate Theatre and provides bar/restaurant uses at ground floor to animate these spaces and extend visits. The mix of uses is complimented with a new luxury hotel: a major development opportunity on the existing surface car park site. This will link well with visits to the theatre and restaurants in this quarter and will also provide bar/restaurant facilities of its own, adding to the mix. The Angel Street area will become the focus for a new a new Public Service Centre which is proposed to be provided by commercial office space in two new 6 and 7 storey buildings on the Angel Street car park site, surrounding a new courtyard public space. Additional free standing office accommodation on adjacent buildings to the east and west complement this provision, including a new landmark building on the site of Walter Tull House.

12 Achieving the requirement for around 3,000 m 2 of office space is challenging, especially in the context of the historic townscape. The masterplan demonstrates that this can be achieved but this level of floorspace is close to the maximum amount that could be developed in this context. The existing County Hall complex of listed buildings is proposed for selective refurbishment and enhancement of external spaces. This is anticipated to remain in public service use in the foreseeable future. The opportunity to link outdoor spaces and courtyards and improve permeability through this area should be encouraged. This should also extend to the rear areas of the bars on Bridge Street, to the east of County Hall. Enhancement of these spaces and use for outdoor drinking and eating, in addition to the refurbishment of semi-derelict rear buildings on Angel Street will enhance this area and link well with the masterplan proposals. To the east of County Hall the existing museum is proposed for refurbishment and expansion into the building to the rear, this well help to meet the museum s aspirations for the 21st century. Elsewhere on Guildhall Road refurbishment of existing shop units for niche retail uses is promoted, to extend this sector southwards from the St Giles area so that it can link with and complement the cultural quarter in St Johns. To the south of St John Street, a major new public space would be formed by downgrading existing roads and a new high quality public realm treatment. The removal of the northern arm of the gyratory will create an improved environment in this area and will enable better integration with the town centre. The new public space will provide an excellent setting for the former St Johns Church, an important historic building, and will be animated by new ground floor bar/restaurants. To the south of this a new mixed use block is proposed, comprising commercial office space and residential apartments. This block is completed by the retention of the Plough Hotel, an important Northampton townscape building. The Bridge Street corridor (south of Victoria Promenade) would be changed radically as a result of the transport strategy. The removal of through traffic from the southern arm of Cattle Market Road will allow the southern part of this corridor to form a natural extension of the new waterside residential community; a mix of apartments and town houses are proposed here. To the north of Auctioneers Way a 3-4 storey office scheme is proposed in a perimeter block form, all development in this corridor will front both Bridge Street and Cattle Market Road. The northern development parcel will consist of a new landmark headquarters office building, which will wrap around a new multi-storey car park. This will replace parking lost elsewhere and respond to needs generated by new uses. The headquarters office will mark the southern gateway to the town centre. The mix of uses proposed on Bridge Street are consistent with varying proximity to the town centre core and will strengthen linkage from the waterside to the town centre.

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14 Agenda Item 7 Appendices 2 Item No. Report Title CABINET REPORT Market Square Layout and Business Operation AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: 4 August 2008 Yes Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) Yes Yes Yes Regeneration and Growth Cllr Richard Church All 1. Purpose 1.1 This paper reviews the findings of the Market Square Report by Pleydell Smithyman reviewing the current layout and business operation with the aspiration to increase the events activities in a revised square layout. The market operation has seen income reduce by 224k from 2003/04 to 2007/08 and the proposed project aims to reverse this decline. The report recommends a number of actions to members along with requesting that they support the redesign of the Market Square operation. 1.2 The strategy is in line with the Corporate Plan priority 4 objective stating that we will promote economic development and growth in Northampton Jmd/committees/Cabinet report template/25/07/08

15 2. Recommendations 2.1 That Cabinet note the Northampton Market Square Study July Business Plan by Pleydell Smithyman and support the first phase objectives. 2.2 That Cabinet note the draft layout, which enables the creation of a rectangular events space to the south of the square and rectangular market stalls space to the north. 2.3 That, subject to external funding bids being successful, Cabinet delegates the responsibility for agreeing the final design to the portfolio holder for Regeneration and Growth. 2.4 That Cabinet agree to the employment of a Market Square Events Organiser/Manager on a one-year contract to initiate the operational events programme, at a cost of 35,00 funded from the Corporate Initiatives Fund. 2.5 That Cabinet agree to the engagement of a designer to take the current sketch designs for the Market Square to a final agreed design in consultation with stakeholders at a cost of 20,000, funded from the Corporate Initiative s fund. 2.6 That Cabinet note and support the intention of the second phase objective of the Market Square Operational Business Plan to achieve 4 major seasonal events in the square. 3. Issues and Choices 3.1 Report Background Funding was successfully secured from NEL to undertake a feasibility study and business plan for the Market Square. This paper outlines the findings of the Market Square Report produced by Pleydell Smithyman reviewing the current layout and business operation with the aspiration to increase the events activities in a revised square layout. The report was originally planned to be completed by 31 March 2008 but required considerable input to achieve the final conclusions in consultation with partners and stakeholders including the market stallholders. A funding bid to NEL is at application stage for 900k to implement the physical works required Northampton s Market Square is seen as the centrepiece of the town around which regeneration and growth will be focused. The Market Square currently has fixed market stalls and limited alternative use. It has great potential as a flexible space for a programme of events bringing life into the town centre. Investigative work has therefore been undertaken to unlock the economic regeneration potential looking at options for use, formats and operation. The report looks at how the current market operates and options for how it could continue into the future, along with the part that Abington Street could play. Jmd/committees/Cabinet report template/25/07/08

16 3.1.3 The Market Square currently has fixed stalls covering two thirds of the area with a triangular events area in the southwest corner. This area is hidden in the least visible area of the square shielded from view by the market stalls. The project aims to strengthen the use of the square by employing a dedicated Events Manager to drive forward an inspiring programme of events so bringing new trade into the town. By rearranging the square, the events area will be increased and made a more visible part of the square. The heritage shop fronts will also be more visible with this area of the square clear of market stalls At an early stage in the project development a consultation exercise was undertaken to allow, householder, shoppers, market traders and businesses to voice their opinion. The project was developed by a steering group of stakeholders including the market stallholders, TCP, NEL, the main political parties, Grosvenor Centre, NCC and WNDC. The portfolio holder and CEO were also consulted. Findings from the consultations inform and support the direction of the Market Square Report recommendations The report recommends a 2 phased approach summarised below; Phase One; (years one to three) Reorganise the layout of the Market Square: undertake physical changes to the Square to create a rectangular events space to the south of the square and rectangular market space with fixed stalls to the north. Manage an account for the Market Square as a combined account Purchase demountable stalls to complement the fixed stalls, maintain capacity at peak periods and for flexibility for events as part of the capital bid to NEL. Run a proactive annual events programme and invest in facilities to do this Employ a dedicated Events Manager Create two canopied areas, one in the events area for a central focus and one at the mini market area to create a gateway into the market, subject to detailed design. Trial a large event in the square removing the fixed stalls for an event in In partnership with Business Link encourage business diversification and training to enhance the market offer. Support funding bids to progress the initiative including the 900k funding application to NEL for the physical changes. Phase Two (years two or three onward) From year 2 or 3 introduce up to 4 large events a year dependent on the success of the events programme The report also looked at putting a screen wrap around Waterloo House, create a surface level fountain in the square and develop a new resource centre for the market taking the place of the existing markets office. These Jmd/committees/Cabinet report template/25/07/08

17 three elements are not in the budget for current improvements but could be considered at a later date subject to future funding Initial findings show there is a need for a dedicated Events Manger to establish a strong annual events programme, control the markets and run the events Cabinet is asked to agree the employment of a Market Square Events Organiser / Manager on a one-year contract to initiate the operational events programme, at a cost of 35,00 funded from the Corporate Initiatives Fund, prior to employing a full time events manager. Part of the remit of this post would be to review: How the square would operate, including the use of demountable stalls The current estimated 210,000 operational cost of the events programme, to drive down costs, review commercial opportunities and make the operation affordable The proposed Market Square layout will allow a trial events programme over the first year or more. This would establish the appetite for certain types of events and their popularity. The following years would enable larger scale events The Market Square report identifies that the current operation of the square has a target income from 2008/09 of 620,000 and expenditure of 410,000 after support services are accounted for. This surplus is part of the NBC general fund budget. The events programme would require an additional sum estimated to be 210,000 to operate the events programme. Whilst every effort will be made to drive down costs, there is likely to be a growth item for the budget, which it is too early at this stage to put a value to and this will be brought forward as part of the budget build process The business plan currently shows a potential 50,000 marketing budget, employment of an Events Manager at 35k (including on costs) and admin. officer at 25k. Other costs include events expenditure and a licence for a TV screen. Revenue funding has been sought for these costs through applications to Parks for People (HLF) and Paul Hamlyn Foundation but both were rejected. The revenue costs for the project, estimated to be up to 210,000, would therefore create an annual cost to NBC It is envisaged that the events programme will stem the downward flow of income from the Market Stalls due to better footfall and better trading. As footfall into the town increases this also has the potential to increase the use of car parking and the income received from NBC s Car parking operations It is also hoped to be able to diversify the offer on the market to complement the niche retail offer that the town aspires to by proactively aiming to run training courses for current and future market stallholders in association with Business Link The initial business plan shows that with the introduction of 4 major events a year as part of phase 2, it could take 6 years before the whole project could make a surplus. This is achieved by growing the income from the market Jmd/committees/Cabinet report template/25/07/08

18 and developing commercial opportunities to cover the additional expenditure The programme of works envisages the initial changes in the format of the stalls would take place over January, February and March 2009 and canopy work early in the new financial year. This is however dependent on quick funding decisions and on the detailed designs progressing with agreed consensus A 900,000 funding application has been submitted to NEL to undertake the physical changes required for the project. Funds have to be spent within three years up to 2011 with the stalls being rearranged in the quiet trading period in January to March Issues The Market Square already has an events area and is establishing a programme of events. The actions in the current report aim to strengthen this and formalise it by employing a dedicated Events Manager to drive forward an inspiring programme of events so bringing new trade into the town. By rearranging the square the events area will be increased and made a more visible part of the Market Square It is also hoped to be able to diversify the offer on the market to complement the niche retail offer that the town aspires to by proactively aiming to run training courses for current and future stallholders in association with Business Link The proposed redesigned layout will reduce the number of permanent stalls by approximately 20% so making the market appear more active on average days trading. On peak days it is proposed that if an event is not taking place on the events half of the square that demountable stalls are used to increase capacity. Further income could also be explored by putting on an antique market on a Sunday A survey of 40 of the market stall holders show that although 82% of the stall holders are happy with the stalls provided, 67% are unhappy with the way that the market looks. 65% of shoppers surveyed thought that the existing market and stalls should be changed to accommodate other types of use including events The market has a number of concessions and these will need to be considered in the new design. The key one being the Continental Café. They are aware of the proposals and have a lease on the site until A solution may be to move this into the central eating area of the square in a different more moveable structure. Jmd/committees/Cabinet report template/25/07/08

19 3.3 Choices (Options) Do Nothing - The option to do nothing is likely to lead to the continued slow decline of the market with the potential of the future operation making a loss. This is mainly due to the changing pattern of shopping nationally including; shopping on the internet, the progressive expansion of supermarkets selling a wide selection of items and cheap imports decreasing shop prices Support the proposed strategy The principal of enlivening the square with events is one element that could help the town centre trade and Market Square by attracting a greater numbers of visitors including new visitors not normally tempted into the town The strategy is proposed in a number of phases progressively stepping up the activity in the square as events are tested for popularity and viability. It is suggested that phase one is progressed with phase 2 progressing when phase 1 is proven successful The first phase objectives are subject to grant funding being agreed The second phase objective of the Market Square Operational Business Plan is to achieve 4 major seasonal events in the square a year, clearing the space of stalls. This is subject to the initial phase one events programme being a success and further details of implementation strategy being bought back to Cabinet before implementation. 4. Implications (including financial implications) 4.1 Policy Priority 4 of the Corporate Plan is to promote economic development and growth in Northampton. Actions include, working with business, promoting town centre as a destination for shopping and implementation of the economic strategy The Northampton Economic Regeneration Strategy has targets which include R1 Niche Retail, R5 Market Square and R6 Evening Economy Aligns with the council s Corporate Improvement Plan, Regeneration Service Delivery plan and Northampton Economic Regeneration Strategy as Adopted by full Council on 12 May Resources and Risk The market remains profitable but income has dramatically fallen from 845k in 2003/04 to 620,000 in 2007/08. If this trend continues the market may find it difficult to cover overheads in about 7 years time. This project aims to turn this downward trend around. This is why the surplus from the current operation is needed to fund the developing events programme bringing further trade into the town. Jmd/committees/Cabinet report template/25/07/08

20 4.2.2 The Market Square report identifies that the current operation of the square has a target income from 2008/09 of 620,000 and expenditure of 410,000 after support services are accounted for. This surplus is part of the NBC general fund. The phase 1 project requires NBC to commit to annual expenditure of an Events Manager, Admin Assistant, marketing budget and events programme that would require an additional sum estimated to be 210,000. The Cabinet is asked to note that, while every effort will be made to drive down costs, there is likely to be a growth item for the budget, which it is too early at this stage to put a value to and that this will be brought forward as part of the budget build process There are VAT implications as the market stall area is classified as an exempt business activity. Normally, subject to certain rules and calculations (partial exemption), some VAT may be irrecoverable on exempt activities. However, Her Majesty s Revenue and Customs (HMRC) have placed a moratorium on the partial exemption calculations and for the current year it is assumed that all councils throughout the UK are fully taxable and can recover all VAT relating to exempt activities. There are indications that this moratorium will carry through to 2009/10 but Government approval is still awaited. The VAT Manager advises that as much expenditure relating to goods and services that are subject to VAT and relate directly to the provision or holding of a market (purchase of demountable stalls, equipment for the market per se, electricity supplies to stallholders, etc) be expended within this current year. Expenditure in 2009/10 may be permissible subject to approval by HMRC. 4.2 Legal Planning permission will be needed for the proposed canopy structure in the square Partnership protocols will need to be observed to ensure NCC and WNDC agree with the proposals. 4.3 Equality An equality and diversity assessment needs to be carried out for the next stage of the project 4.4 Consultees (Internal and External) A consultation exercise has been undertaken with 4 groups, householder, shoppers, market traders and businesses. Findings from the consultations inform and support the direction of the recommendations A steering group has also had input into the process having regular meetings from the project inception in December 2007 to June Market stallholders have been consulted on the outline layout although the detailed final layout needs to be agreed. Jmd/committees/Cabinet report template/25/07/08

21 4.5 How the Proposals deliver Priority Outcomes Northampton Borough Council s Corporate Plan sets out 5 main Priorities to be pursued over the next 3 years. One of these is that We will promote economic development and growth in Northampton. The proposal for the Market Square aims to promote more foot fall into the town through a series of events boosting the local economy and attractive new and more frequent visitors Northampton s Economic Regeneration Strategy takes its primary lead from local needs but also takes its guide from the East Midlands Regional Economic Strategy (RES), Regional Spatial Strategy (RSS) and the Northamptonshire Sub Regional Economic Strategy (SRES). These documents feed into the Local Area Agreement (LAA) that sets out specific targets. Full Council adopted the Economic Regeneration Strategy in 12 May The Market Square proposals covered in this paper are a key target within the Economic Regeneration Strategy Targets R1, R5 and T Other Implications The Central Government Growth Agenda projects the number of houses in the town is set to increase from 88,000 to 120,500 by This projected increase in housing and associated growth in population gives an opportunity to regenerate the town and build on the successes that Northampton has to offer. From planned housing growth comes the increased demand for retail, jobs, leisure, green space and transport etc. 5. Background Papers 5.1 Northampton Economic Regeneration Strategy Mick Lorkins Economic Intelligence Manager ext:8033 Jmd/committees/Cabinet report template/25/07/08

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25 Appendix 2: Market Square Indicative Costs Description of Spend Year /2009 Year /2010 Year /2011 Total Professional Fees: Erection of stalls on Abington Street/Market Square during Seasonal Events * NEL Funded Capital application subject to approval 4,000 (2 events, 50 stalls) 23,520 (4 events, 147 stalls) 27,520 Equipment Costs 100, ,000 Operational costs for major events 30,000 (2 events) 60,000 (4 events) 90,000 Design and implementation of new removable seating and canapés for the Market Square 20,000 20,000 Dismantling and storage of fixed stalls to accommodate events Purchasing of demountable stalls ( 800 per unit) 40,000 (2 events) 80,000 (4 events) 120,000 Please note that we are planning to buy 50 demountable stalls in Year one to test them and allow the traders to get used to them before covering the market with the demountable stalls in Year 3. 40,000 (50 units) 77,600 (97 units) 117,600 Chiller / Refrigerated Units 27,000 27,000 Purchase of Tractor and Trailer 34,000 34,000 Food Concession Stands Food stands that surround canopies Public Realm: 24,000 24,000 Cleaning and redistributing current surfacing on the mini market (entrance to the Market from Abington Street) assume 575m 2 at 60 per m 2 Soft Landscaping 34,500 4,000 34,500 4,000 Canopy (based on one fabric at 76,600 one metal at 152,000 suggested at present) 228, ,600 Fixed Seating Seating (100 chairs and 25 Tables) 13,500 4,200 13,500 4,200 Work to relocating stalls (147 stalls at 500 each) to include rerouting of electricity 73,500 73,500 Street Furniture (10 benches at 1,350) 13,500 13,500 TV Screen 30,000 30,000 Lighting, relocating of bollards and other minor additions to the square 5,000 5,000 10,000 Capital Total 365, , , ,920 Amended 21/07/2008 KN

26 Appendix 2: Market Square Indicative Costs Description of Spend Year /2009 Year /2010 Year /2011 Total (Cont.) Events Revenue costs as per Pleydell Smithyman s Business Plan Recruitment of Coordinator and Admin/Marketing Officer and ,500 sundry items/materials Salary Cost for Events Coordinator 17,499 35,000 35,000 87,499 Salary Cost for Admin/Marketing Officer 25,000 25,000 50,000 General Marketing and promotion of events 50,000 50, ,000 Themed/family events throughout the year and themed markets: Family Activities as part of annual events 40,000 40,000 80,000 Themed Markets Speciality Markets in conjunction with existing market 4,500 4,500 9,000 High Quality Street Entertainers 12,500 12,500 25,000 TV Screen Licence for broadcasting 28,000 28,000 56,000 Other licensing for entertainment ,000 Revenue Total 17, , , ,999 Capital and Revenue Total 382, , ,120 1,381,919 * Erection of stalls is based on events that last for 4 days and 10 per business unit - Number of units x number of days x number of events x 10 Please note these are guide costs taken from the study produced by Pleydell Smithyman Amended 21/07/2008 KN

27 Agenda Item 8 Appendices 1 Item No. Report Title CABINET REPORT AUDIT COMMISSION HOUSING INSPECTION PROGRESS CHECK AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) 4 August 2008 No Yes Yes No Customers and Service Delivery Councillor Sally Beardsworth All 1. Purpose 1.1 During May 2008 a Housing Inspector from The Audit Commission carried out a visit and review, described as a Housing Progress Check. Her report is attached at appendix A. 1.2 This report considers follow up action based on the recommendations of that report and other base material. 2. Recommendations 2.1 That the report of the Audit Commission Housing Inspector is noted. 2.2 To note that the Housing Services Improvement Plan (HSIP10) will be presented to the next meeting of Cabinet and will incorporate the key recommendations from this report and other source material. Audit Commission report 4/8/08-Final

28 3. Issues and Choices 3.1 Report Background Progress Checks are a regular part of the Audit Commission Housing Inspectorate (ACHI) programme for follow up reviews of authorities which have previously been judged to be Poor (No Stars) or Fair (One Star). In 2003 the Council s Repairs and Maintenance service was inspected by the ACHI and judged to be Poor (No Stars), with promising prospects for improvement. In 2005, the report on Housing Services judged the service as fair (One Star ) with uncertain prospects for improvement There have been a number of progress checks since those formal inspections, which have suggested that the Council s housing services did not improve since those reports. The primary focus of the May inspection was Repairs and Maintenance and the Inspector who produced the 2003 and 2005 reports undertook the progress review. Her final report is at appendix A. 3.2 Issues The table below is an analysis of the key points of the report. The overall conclusion is that housing services, including repairs and maintenance, may have worsened since the formal reports, are beginning to show signs of recovery but that major improvements were required in over a range of services. The key recommendations are repeated below, with the actions to be identified in the Housing Improvement plan. RECOMMENDATION R1 Strengthen the focus on customers by: ensuring services are delivered consistently in a way that demonstrates customer care; making access to services more customer focused so that opening times for offices and telephone calls reflect the requirements and needs of customers; improving access through the web site by making it more user friendly and increasing the opportunities for on line transactions; increasing the level of appointments for repairs to compare with the best performing councils, and accurately monitor the number made and kept; RESPONSE HSIP10 Review of operating hoursreport by 10/08 IBS Project Board IBS Open Contractor plus review of customer reception management Audit Commission report 4/8/08-Final

29 RECOMMENDATION building up the customer profile information to capture the tenant base and using this to inform service improvement and shape services to meet individual needs; and comprehensively monitoring services by diverse needs using the information to identify barriers to services for particular groups or individuals, and to show that services are delivered fairly. This recommendation should be implemented by March R2 Improve the quality of services by: encouraging and enabling customers to influence service delivery and improvement so that resident involvement is embedded in all aspects of the service; developing an effective approach to improving tenants' homes maximising the resources available; and delivering the day to day repairs service in a consistent way, and improving customer care by completing repairs on the first visit and ensuring good quality assurance arrangements for completed repairs. This recommendation should be implemented by March R3 Improve value for money in the service by: gathering comprehensive and accurate information on costs and using this to compare with others to help assess value for money, and to identify areas for improvement; using procurement as an effective way for delivering value for money, especially in relation to asset management; and delivering an efficient and effective repairs service in line with the recommendations set out in the Property Maintenance Business Plan. The implementation of this recommendation should be started RESPONSE Sounding Board of over 2,000 interested tenants to be surveyed on a programme Equality Impact Assessments programme for all services by 03/09 TPA impact assessment and healthcheck Draft 3-5 year capital programme 12/08 APSE II-10/08 Benchmarking through Housemark and Housing Quality Network (HQN) Draft 3-5 Capital Programme APSE II (These recommendations are in line with APSE 2 Business Plan) Audit Commission report 4/8/08-Final

30 RECOMMENDATION RESPONSE immediately and a timetable developed to achieve the objectives fully over the next three years. R4 Strengthen performance management by: identifying the full range of performance information needed to effectively manage the service, and the appropriate levels at which it can best be monitored; strengthen the monitoring arrangements at lower levels in the organisation, supporting this by escalation procedures where performance is not meeting the required standard; and ensuring that all actions in improvement plans have clear outcomes identified, against which progress can be effectively assessed. This recommendation should be implemented by December 2008 GLOSSARY OF TERMS Building data quality and timely PIs (Performance Indicators) and Reviews 09/08 Divisional and team reviews from 10/08 HSIP10 (09/08) HSIP10 The Housing Services Improvement Plan IBS Project Board An officer group monitoring the installation of housing software from International Business Systems DSO The Direct Services Organisation for repairs (known as Property Maintenance) IBS Open Contractor The software for management of repairs services, including appointments Sounding Board A group of about 2,000 tenants who have indicated a willingness to respond to short surveys and to attend focus and discussion groups. Equality Impact Assessments Methodology of the Local Government Equality Standard to ensure all service users are treated equally TPA Impact assessments The TPA is the Tenants Participation Agreement and the impact assessment tests the effectiveness of actions from that agreement. APSE II APSE is the Association of Public Service Excellence and their second (II) assignment is to assist the DSO to deliver a service which is value for money. Housemark Is a benchmarking agency jointly owned by the Chartered Institute of Housing and the National Housing Federation Housing Quality Network Is a consultancy service which supports benchmarking and peer reviews Audit Commission report 4/8/08-Final

31 The Housing Services Improvement Plan (HSIP10), which will be submitted to Cabinet in September for approval. The HSIP10 will also be drawn on other sources of information including: - Corporate? Community Plans and Strategy Outstanding actions from HSIP 07/08 (75% complete) APSE II-Business Plan for the DSO Climbing the Stars -a Two/Three Star checklist (from HQN) The Tenants Survey The Staff Survey Key Lines of Enquiry (Housing and cross-cutting themes)-audit Commission By far the greatest priority is to improve services to service users and to promote those services to the much wider customer base of the housing directorate, which will start to operate from 1 October A key part of that improvement is the need to establish, compare and demonstrate Value for Money in all aspects of housing services. This has been a consistent and integral criticism in all ACHI reports and will be an essential element of any plan to achieve Two Stars ( Good ) by Implications (including financial implications) 4.1 Policy No policy implications 4.2 Resources and Risk The new housing directorate will operate within existing budgets. 4.3 Legal None 4.4 Equality Equality considerations will play a key part in developing HSIP Consultees (Internal and External) Staff have been be actively involved in improvements to date and the Housing Leadership Group made up of about thirty Team Leaders and Managers have reviewed the Progress Report, taken part in the development of the Housing and Property Maintenance Service Plan 2007/8 and will now start to draw up service plans to cover the new divisions within the Housing Directorate. The first draft of this report and the Progress Check report were given to N-TACT Committee members at an N-TACT / NBC Joint Steering Group meeting and their comments will either be incorporated below (if received in time) or tabled at the meeting. 4.6 How the Proposals deliver Priority Outcomes The key outcomes to achieve over the next year will be: - Good progress on the HSIP10 Improvements in all performance indicators Better involvement of service users Audit Commission report 4/8/08-Final

32 Disengagement of the Government Monitoring Board from Housing services A peer review which reports good progress towards Two Stars. 4.7 Other Implications None 5. Background Papers 5.1 Audit Commission Housing Progress Check-appendix A Brian Queen Interim Housing Advisor Ext 7174 Audit Commission report 4/8/08-Final

33 Advice and Assistance Work July 2008 Housing Progress Check Northampton Borough Council

34 External audit is an essential element in the process of accountability for public money and makes an important contribution to the stewardship of public resources and the corporate governance of public services. Audit in the public sector is underpinned by three fundamental principles. Auditors are appointed independently from the bodies being audited. The scope of auditors' work is extended to cover not only the audit of financial statements but also value for money and the conduct of public business. Auditors may report aspects of their work widely to the public and other key stakeholders. The duties and powers of auditors appointed by the Audit Commission are set out in the Audit Commission Act 1998, the Local Government Act 1999 and the Commission's statutory Code of Audit Practice. Under the Code of Audit Practice, appointed auditors are also required to comply with the current professional standards issued by the independent Auditing Practices Board. Appointed auditors act quite separately from the Commission and in meeting their statutory responsibilities are required to exercise their professional judgement independently of both the Commission and the audited body. Status of our reports The Statement of Responsibilities of Auditors and Audited Bodies issued by the Audit Commission explains the respective responsibilities of auditors and of the audited body. Reports prepared by appointed auditors are addressed to non-executive directors/members or officers. They are prepared for the sole use of the audited body. Auditors accept no responsibility to: any director/member or officer in their individual capacity; or any third party. Copies of this report If you require further copies of this report, or a copy in large print, in Braille, on tape, or in a language other than English, please call Audit Commission 2008 For further information on the work of the Commission please contact: Audit Commission, 1st Floor, Millbank Tower, Millbank, London SW1P 4HQ Tel: Fax: Textphone (minicom):

35 Housing Progress Check Contents 3 Contents Introduction 4 Background 4 Audit approach 4 Main conclusions 4 How good is the service? 7 What are the prospects for improvement? 15 Northampton Borough Council

36 4 Housing Progress Check Introduction 1 This report provides an assessment of the housing services provided by Northampton Borough Council. The main areas of activity considered are the cross cutting themes of access and customer care, diversity, and value for money, with a particular focus on stock investment and asset management. Background 2 The Housing Inspectorate has carried out two inspections of the Council's housing services. In 2003 the repairs and maintenance service was assessed as 'a poor service with promising prospects for improvement'. A re-inspection carried out in November 2004 assessed the housing service as a whole as 'a fair service with uncertain prospects for improvement'. Since that time two progress checks have been carried out in 2005 and These have shown that progress has been mixed across a number of areas. This piece of work has focussed on stock investment and asset management as improvement in this area has been slow. Audit approach 3 The findings in this report are based upon an assessment of key documents relevant to the service areas and a series of interviews with managers responsible for delivering the services, and meetings with tenants, councillors and staff. Main conclusions 4 The Council has begun to make progress in delivering improved services to customers. However, it is still early days and the Council is at the stage of putting the necessary building blocks in place so that it can both deliver and sustain improvement. 5 There has been some success in improving the performance of asset management service. Most notably all properties are now receiving annual gas servicing, and empty properties are now being repaired and let quickly. These were areas of significant weakness in previous inspections and progress checks. 6 A number of areas require improvement in order to deliver good or even acceptable quality services to customers. Many services are delivered inconsistently so that the customer experience varies considerably, insufficient attention is shown to meeting the needs of vulnerable customers, tenants' homes are not being improved with many not meeting the decent homes standard, and, customers are not having enough influence over how services are delivered and improved. Northampton Borough Council

37 Housing Progress Check 5 7 Achieving and demonstrating value for money remains a serious weakness for the Council. Little information is available on the costs of delivering services to show whether or not services represent value for money. The Council has not made best use of the resources it does have available to deliver an efficient and effective repairs service, or to carry out improvement work to tenants' homes. 8 Improving services is a significant challenge for the Council. However, there is evidence to show that change is happening that will support service improvement. There is a much greater focus on customer care and diversity led both politically and at senior management level, and this is now being reflected throughout the organisation. Deliverable improvement plans are in place, supported by a range of strategies and plans which address the key weaknesses in the service. In addition, the housing service is being reorganised and restructured to create the necessary capacity to deliver improved services. 9 The Council is doing the right things to bring about improvement in its housing services. However, delivering improved services is dependent on the successful implementation of the restructuring proposals and the improvement plans and strategies. Further progress is needed in these areas before clear outcomes that will be noticed by customers can be clearly demonstrated, and a track record developed that offers confidence to customers and stakeholders that continuous improvement will be delivered. 10 In order to assist the Council improve its services the following recommendations are made. Recommendations R1 Strengthen the focus on customers by: ensuring services are delivered consistently in a way that demonstrates customer care; making access to services more customer focused so that opening times for offices and telephone calls reflect the requirements and needs of customers; improving access through the web site by making it more user friendly and increasing the opportunities for on line transactions; increasing the level of appointments for repairs to compare with the best performing councils, and accurately monitor the number made and kept; building up the customer profile information to capture the tenant base and using this to inform service improvement and shape services to meet individual needs; and comprehensively monitoring services by diverse needs using the information to identify barriers to services for particular groups or individuals, and to show that services are delivered fairly. This recommendation should be implemented by March Northampton Borough Council

38 6 Housing Progress Check Recommendations R2 Improve the quality of services by: encouraging and enabling customers to influence service delivery and improvement so that resident involvement is embedded in all aspects of the service; developing an effective approach to improving tenants' homes maximising the resources available; and delivering the day to day repairs service in a consistent way, and improving customer care by completing repairs on the first visit and ensuring good quality assurance arrangements for completed repairs. This recommendation should be implemented by March R3 Improve value for money in the service by: gathering comprehensive and accurate information on costs and using this to compare with others to help assess value for money, and to identify areas for improvement; using procurement as an effective way for delivering value for money, especially in relation to asset management; and delivering an efficient and effective repairs service in line with the recommendations set out in the Property Maintenance Business Plan. The implementation of this recommendation should be started immediately and a timetable developed to achieve the objectives fully over the next three years. R4 Strengthen performance management by: identifying the full range of performance information needed to effectively manage the service, and the appropriate levels at which it can best be monitored; strengthen the monitoring arrangements at lower levels in the organisation, supporting this by escalation procedures where performance is not meeting the required standard; and ensuring that all actions in improvement plans have clear outcomes identified, against which progress can be effectively assessed. This recommendation should be implemented by December Northampton Borough Council

39 Housing Progress Check 7 How good is the service? Access to services and customer care 11 Access to services for customers is inconsistent and the targets set for service and customer care standards are not always met. Opening hours are not customer focused and not supported by electronic ways of accessing services. Few appointments are offered for repairs representing a poor standard of service for customers. However, there is an increasing focus on customer care reflected throughout the organisation, the customer contact centre is offering a customer focused service, there is good quality information about the service and, the service standards in place make it clear to customers what level of service they can expect. 12 Customer experiences of accessing services are variable. The one stop shop in the town centre and the area housing offices offer easy access in person, but there are sometimes issues with waiting times and queue management which impact adversely on the customer service provided. Telephone access through the corporate contact centre, with a dedicated number for housing, is generally well regarded by customers who find it easy to report repairs, and who receive a service focused around customer care. However, enquiries made to the housing service through direct line numbers are not always dealt with satisfactorily. Some calls take a long time to answer or are not answered, and requests to return calls are not responded to. This is resulting in an inconsistent service lacking customer care. 13 There is an increasingly stronger focus on customer care led by the political leadership and senior management, which is resulting in cultural change in the organisation. Staff are more committed to delivering customer care, and working together to find joint solutions to ensure customer enquiries and concerns are dealt with in a quick and efficient way. Complaints about services are monitored and action taken to learn from them. Satisfaction surveys measuring levels of customer care are used to identify improvements, but this is not systematic across all service areas where satisfaction is gathered. Some customers are beginning to notice these changes, having experienced a more customer focused response to their enquiries. 14 Service standards are in place, with performance against these monitored and reported on. There are corporate customer care standards around for example answering telephones, and a range of housing service standards which were discussed with a group of customers. These are reasonably comprehensive covering customer care and the various service areas, and clearly set out what standard of service customers can expect. Northampton Borough Council

40 8 Housing Progress Check 15 Performance in achieving the service standards is mixed with some meeting the targets set but others falling short. In relation to customer care a number of the targets set are not being met but close monitoring is helping to identify areas of concern and feed these into improvement actions. For example performance in answering calls in target times for the housing service is 63 per cent (this includes telephone calls direct to individual services which is the weaker element), which although improving, remains weak reflecting customer experience of the service as described above. 16 Leaflets and information about the services provided are readily available. The service standards are captured in a booklet and there are leaflets for most service areas in housing. These can be made available in different formats and languages on request which is made clear by strap lines on the documents. However information around priority times for repairs lacks coordination, with the information in the Tenants Handbook and service standard booklet conflicting with operational practices. This is confusing for customers. 17 The use of appointments for the repairs service is restrictive and inadequate in offering a customer focused service. Appointments can only be offered for seven day repair jobs and these are further restricted by job type. Overall appointments are made for 23 per cent of repairs reported, and of those made only 71 per cent are kept, although the system for capturing this is not accurate. Appointments are restricted to am or pm with no facility for early evening or Saturday appointments. This offers a poor level of customer service. 18 Opening hours generally are restrictive and not customer focused, based on traditional working arrangements. They have not been discussed or influenced by customer views, although the corporate customer strategy currently in development is intending to address this issue. The web site is due to be upgraded in October 2008 but currently there are few facilities for customers to transact council business on line, such as the ability to report repairs, and site is not user friendly. This limits access to services particularly for customers who are not available during the daytime. Meeting the diverse needs of customers 19 The Council's approach to meeting the diverse needs of its customers is underdeveloped. Customer profile information has not yet been comprehensively gathered for all tenants and is not yet being used to full effect to shape services to meet diverse needs. Lack of monitoring of services by diverse needs is limiting the Council's ability to identify barriers to services or show that they are being delivered fairly. However, there is a greater corporate focus on diversity and, progress is being made on assessing how services impact on diverse needs and the actions needed to address the concerns identified. Significant investment is being made to help vulnerable customers through the aids and adaptations service. Northampton Borough Council

41 Housing Progress Check 9 20 The Council does not have profile information on diverse needs for all of its tenants. There has been a proactive exercise to gather this information resulting in information being gathered on 54 per cent of customers. This is being increased through information gathered for new tenants, but it is recognised that further work is required to capture the diverse needs of the whole customer base. 21 The profile information gathered is not yet being used effectively to shape services to meet tenants' needs. Some use has been made to ensure that communication needs, such as sending information in large print, are met for those customers who have identified a need for this. Individual customer needs are flagged up on the IT system so that staff dealing with enquires can take account of this, but this information will not be available for staff dealing with repairs until the repairs service joins the same IT system later this year. This is resulting in an inconsistent service, with customers who have needs clearly identified not always receiving the same level of service. 22 Monitoring of services by diverse needs is underdeveloped. Other than for lettings to properties, where information is gathered for statistical returns, few services are monitored and, where information is available this is not used to inform how services are being delivered. This makes it difficult for the Council to identify any barriers to services or to show that it is delivering its services fairly to all its customers. 23 The Council has significantly increased investment in the aids and adaptations service. Money has been put in the budget for this year to clear the backlog of adaptations, and to be able to start processing applications as they come in. Prior to this applications were prioritised, to make the best use of the resources available, but insufficient budgetary provision meant that some customers with lower priority could be waiting for up to two years, in addition to any time waiting for the assessment by the Occupational Therapist Service. Customers who need minor adaptations are able to receive these quickly through the repairs service, with a member of staff responsible for carrying out an assessment and arranging the work within the repair priority timescales. This includes for example work carried out as an emergency for customers waiting to be discharged from hospital. Although not effectively monitored to show what is being achieved, this approach is helping some of the Council's most vulnerable customers improve their quality of life, and in some cases maintain independent living in their own home. 24 There is an increased corporate focus to embed diversity as a way of working in delivering services. Progress is being made in carrying out Equality Impact Assessments (EIAs) in the Housing Service, which have been completed for the new Choice Based Lettings Scheme and allocations policy, with an action plan developed to address the concerns raised. There is a programme to complete all EIAs during this financial year to contribute to the Council's plan to reach Level 3 of the Equality Code by April External expert help is available to support this and, the Housing Service has also used external expertise in assessing how well its services meet the Commission for Racial Equality's Code of Practice in Rented Housing. Findings from these assessments are being fed into improvement actions. Northampton Borough Council

42 10 Housing Progress Check 25 Political and senior management are taking a leading role to ensure that priority is given to meeting the diverse needs of Northampton's communities. The Chief Executive leads the diversity steering group ensuring that progress is closely monitored. The Council is taking a proactive approach to meeting the needs of the Gypsy and Traveller communities and has stated that it wishes to be an exemplar authority in relation to this, having recently held a visioning day to agree its approach. It has also taken a difficult decision in the face of opposition to develop a scheme to meet the needs of young vulnerable homeless people. 26 However, the approach to diversity remains underdeveloped and is not yet embedded in the organisation. There has been an insufficient focus on diversity training, and there has been limited work to engage with harder to reach groups. Similarly tenant participation activities are not yet proactive in trying to ensure that diverse needs are represented. Quality of services delivered to customers 27 Customer influence over the services offered by the Council is variable, and resident involvement in service delivery and improvement is not embedded. Customers are not benefiting from an effective approach to improving their homes, and the day to day repairs service is not provided to a consistently good quality. The approach to dealing with asbestos in tenants' homes is not adequate. However, empty homes are repaired and let quickly and all homes receive annual gas servicing to ensure the safety of tenants. Customer satisfaction with aspects of the service relating to the various works carried out is generally high. 28 Customers are not sufficiently influencing the services they receive. Although there are examples of customers being engaged in service delivery this is not in a systematic and comprehensive way. Customers have been involved through the NTACT (Northampton Tenants and Council Together) committee and its subgroups in considering areas such as the service standards and the allocations policies. Customers are also invited onto estate walkabouts, although this has had mixed success. Customers have been part of some contractor selection panels for works to their home, and there is some attendance by customers at major works contract meetings. A mystery shopping exercise carried out last year also successfully engaged customers in the service and used their feedback to inform service improvements. 29 However, opportunities for engagement are not always taken with limited customer influence over areas such as the repair priorities and the empty property standard for letting. There is also little involvement of customers in monitoring and managing performance in a meaningful way, and in aspects of quality assurance such as checking the standard of empty properties and repair work. This is resulting in an inconsistent level of involvement, and resident involvement as part of service delivery and improvement is not yet embedded. Northampton Borough Council

43 Housing Progress Check Customers are not benefiting from investment to improve the amenities and condition of their homes. The Council will not achieve the Decent Homes Standard for its homes by the required timescale of 2010, with significant numbers currently failing the standard and more due to fail over the next two years. There have been annual capital programmes targeted at properties which need improved heating, re-roofing or rewiring. However, there is not a longer term investment programme which means that tenants do not know what the priorities for improvement are, or when and if their property is to receive improvement work. 31 Customers receive an inconsistent service for their day to day repairs. Repairs are now carried out more quickly with nearly all emergency repairs achieved in the 24 hour priority time, and routine repairs taking an average of just under 20 days for the last three months. However, customer experience of the service varies with some reporting a good and quick service, while others have had a less positive result. Performance information for repairs is not comprehensive or robust enough to accurately present the position against which this customer perspective can be assessed. 32 Customers are benefiting from some improvements to the repairs service. Trade operatives now have more discretion to carry out the repair needed, and are therefore more able to complete the repair in one visit minimising the disruption to the tenant. Quality assurance of repairs has recently been improved with the introduction of post inspection of a sample of completed repairs, but it is too early to measure any outcomes from this. This is delivering a better quality service for residents, although this level of service is a basic requirement for any repairs organisation. 33 Safety for customers is being effectively addressed through the annual gas servicing arrangements. All gas services due in 2007/08 have been completed with all overdue services completed by May There are appropriate arrangements to achieve access to tenants' homes which include legal action for forced entries. Satisfactory arrangements are in place to quality assure the work carried out. Although further improvements to this service can be made around improving access without recourse to legal proceedings, and more effective use of IT shared with the contractor so that real time information can be produced, the Council is meeting its legal responsibility to ensure the safety of its tenants. 34 The Council's approach to ensuring the safety of its tenants through an effective approach to asbestos is underdeveloped. Information on asbestos in tenants' homes is limited. A register has been set up and an annual rolling survey started in 2007/08 to gather this information. Trade operatives are trained to identify asbestos and what to do if found, and there are procedures for its safe disposal where necessary. However, there is no information for tenants other than the national Health and Safety Executive leaflet, and although a tenant will be advised if the survey identifies asbestos, there are no arrangements to advise tenants in similar properties or any new tenants who are moving in. These arrangements are not robust or customer focused, and are not adequately managing the risk posed by asbestos. Northampton Borough Council

44 12 Housing Progress Check 35 Empty homes are repaired and cleaned to the lettable standard and let quickly to new tenants. There are effective processes and monitoring arrangements aimed at letting empty properties as quickly as possible. These include pre termination visits where possible, pre allocations and early viewings. The lettable standard has recently been revised to make it clearer and post inspection arrangements assess whether this has been met. Customer focus in this service is limited by their lack of involvement in agreeing the lettable standard and their involvement in assessing the quality of properties ready for letting. However, the approach, which has resulted in significantly improved re-let times with 25 days achieved in March 2008, is helping to minimise the time waited by new tenants to move into their future home. 36 Customer satisfaction levels with services as measured by the Council's surveys are generally high. Satisfaction surveys are carried out for a number of services. For repairs, gas and major works satisfaction levels are normally over 90 per cent. Overall satisfaction with the landlord service is 64 per cent based on the STATUS survey 2008, up one percent from the 2006 survey, although the percentage of those dissatisfied or very dissatisfied had fallen from 21 per cent to 16 per cent. In relation to repairs overall satisfaction was 66 per cent, a drop of one percentage point. These are in the lower end of results when compared nationally with other STATUS surveys. Value for money 37 The Council cannot show that its services represent value for money. There is little information on the costs of services and therefore no comparison with others to help assess value for money. Procurement has not been effectively used and the housing capital programme has not been managed in a way that delivers value for money. The repairs service is not working as an efficient business organisation, and many aspects of the service received by customers represent poor value for money. However, performance in a number of areas has improved and is beginning to compare favourably with others. There is a greater corporate focus on delivering value for money and changes have been made to the way in which budgets are managed to help support this. 38 There is little accurate information on the costs of services provided by the Council. Costs can only be identified at a global budget level, and even where costs are broken down such as for the average cost of a repair, these are based on historical cost information. Centralised and overhead costs can be identified but these have not been included and separately identified within service costs, which means that any subsequent breakdown will not be reflecting the true cost of delivering the service. The absence of accurate cost information has meant that the Council has been unable to compare its costs with others and that it cannot show whether or not its services represent value for money. 39 Steps are being taken to gather initial cost information with the intention of submitting this to HouseMark later this year, as a first attempt to assess and compare costs. It is intended that detailed costs will be gathered for submission in late 2009, which will also include the impact of the current restructuring arrangements for delivery of the service. Northampton Borough Council

45 Housing Progress Check Procurement has not been used effectively to deliver vfm. There are no strategic procurement plans for the housing service, and at an operational level procurement has been inconsistent. Modern methods of procurement have not been applied and the Council cannot show that it is delivering any significant efficiencies or savings through its procurement decisions. Recently the Council has joined some procurement consortia and is now buying some items for the repairs service through this route. A review of the stores provision is also planned for next year. However, the opportunities for achieving value for money through robust procurement practices and decisions are not being taken. 41 The housing capital programme is not being managed in a way that delvers value for money. The lack of any medium term investment strategy means that improvement and major repair works cannot be planned or procured in an effective way. Competitive tendering has taken place on the basis of annual contracts offering some assurance the value for money has been assessed, but this is not in the context of wider consideration of procurement options. Some work, such as empty properties requiring major work, has not been tendered competitively or subject to any value for money assessment. This area has been examined by an internal audit and recommendations are due shortly. The approach overall represents poor value for money. 42 Ineffective management of the housing capital programme has led to the budget that is available not being spent. For 2005/06 and for 2006/07 there were underspends against the budget of 1.1 million and 2.9 million respectively. Spend against the budget for 2007/08 has not yet been finalised. Customers are not therefore benefiting from the money that is available to improve their homes. 43 The responsive repairs service is not operating as an effective business. External consultants examined the repairs service in detail in the latter half of 2007 and identified a range of issues needing to be addressed in order to deliver a customer focused service to tenants which represents value for money. Work to address the issues raised has started and a three year business plan produced aimed at delivering an effective operating business. Key elements of this are a restructuring of the service to create the right managerial and operational capacity, increased productivity through better ways of working and better use of IT, and an effective performance management system. However, pending the implementation of these revised arrangements the service cannot demonstrate value for money. 44 Many elements of the repairs service indicate poor value for money. These include: a high level of repair jobs cancelled; a high level of emergency repairs and associated costs in carrying these out, particularly out of hours; few routine responsive repairs carried out in a more effective planned way; Northampton Borough Council

46 14 Housing Progress Check high costs for repairing empty properties, without distinguishing separately the costs of empty properties which need major repairs; and no charges to leaseholders under S 20 consultation notices for the cost of any major repair or improvement work that they benefit from. In addition there are areas which are not monitored properly to assess whether value for money is being achieved, for example the number of repairs completed on the first visit or the level of variation needed to the repair described on the work ticket. 45 Performance across a number of aspects of the service has improved and recent performance in some areas is beginning to compare favourably with others. Performance in letting empty properties was 34 days for 2007/08 but has been reducing since February, achieving 23 days for April Performance information for emergency repairs for October to March 2008 shows that between 99 per cent and 100 per cent are achieved in time, and the average time for routine repairs has been just under 20 days since February One hundred per cent gas servicing has been achieved. Performance information is not comprehensive enough to give a full understanding of how well the service performs across all aspects of delivery. For example the percentage of routine repairs completed within 7 and 30 days is not collected and reported on. However, the information that is available shows relatively strong performance in a number of areas in recent months, which is a positive contribution in the value for money assessment of the service. 46 Managing value for money remains a weak area for the Council but improvements have been introduced which are providing a better framework for delivering value for money. There is a stronger corporate focus through a value for money strategy, a value for money board has been set up and value for money is included as a specific element in service plans. There has been work, with external help, to profile value for money and identify areas where specific attention is needed. Although value for money is not embedded in the organisation this increased focus is resulting in a better understanding of how it needs to be achieved through service delivery. 47 The arrangements for managing budgets are now better supporting value for money. Budgets have been devolved to corporate managers and further delegation to service managers has happened or is planned. Work is ongoing to ensure that individual budgets reflect the costs of that element of the service and there is support for mangers in monitoring and managing budgets. Support is provided by service accountants and through improved systems. Capital programme projects are now subject to an appraisal system to inform the decisions about budgetary provision. This is increasing service managers' understanding of the costs of their services and, placing the responsibility and accountability with them for the effective management of their budgets, and for identifying and delivering better value for money. Northampton Borough Council

47 Housing Progress Check 15 What are the prospects for improvement? What is the service track record in delivering improvement? 48 The Council cannot show a track record in delivering sustained improvement in its Housing Service over the last few years. Improved value for money cannot be demonstrated. However, performance in some key areas has improved in recent months, and there is some indication that customer satisfaction is improving with some aspects of the service. 49 There has not been consistent improvement in services. External reports by the Audit Commission and others have shown that little progress has been made in improving services. More recently there have been some improvements to services such as, the introduction of service standards, learning from complaints, conducting satisfaction surveys for anti-social behaviour cases and very recently a new tenancy sustainment service for young people, However, services have not improved consistently in a way that would be recognised by customers, and discussions with customers indicate a level of scepticism about future service improvements, given the limited track record to date. 50 The Council has improved performance in a number of key areas from a previously very weak position. Although performance is still falling short of some of the targets set, and the Council cannot show continued and sustained improvement over time, performance recently is showing improvement. Performance in relation to gas servicing, letting empty properties quickly, carrying out repairs in the required timescales and collecting the rent, has all improved, although in some cases only during the last few months. Improvements have been put in place, or are planned, to underpin this level of performance giving some assurance that it will be maintained or improved upon in future. 51 Customer satisfaction levels as measured by the national STATUS survey are showing some improvement, although again not consistently. The 2008 survey results have only recently become available and have not yet been analysed by the Council. However, early indications show improved satisfaction in relation to tenant involvement in decision making, value for money, and contact with the Council. Overall satisfaction with the landlord service has risen by one per cent but satisfaction levels with the repairs service has dropped by one per cent. Although caution must be exercised in the interpretation of these figures, the results do suggest that customers have noticed improvement in some services. 52 Improved value for money cannot be consistently demonstrated as the basic information needed to show this is lacking. However, some steps have been taken to provide an improved basis for achieving value for money. This is reflected in the Audit Commission's assessment of value for money as part of the broader Use of Resources assessment, which showed that the Council has improved from level one to level two, which means adequate. Northampton Borough Council

48 16 Housing Progress Check How well does the service manage performance? 53 There is clear leadership for driving improvement, supported by a developing service planning framework, and a comprehensive service improvement plan for the housing service. A number of strategies and plans are being developed or are in place to support service improvement and tackle weaknesses in the service. Performance management has been strengthened and poor performance has been effectively tackled in some areas. Further improvements are needed to ensure that improvement actions are sufficiently outcome focussed, and that the range of performance managed is increased to provide a more comprehensive framework. 54 There is clear leadership for change and improvement by the political leadership and the Chief Executive. This is reflected in the strengthening of the corporate and service planning framework to provide clarity over the aims and objectives of the Council and by a willingness to take difficult decisions when necessary to move the organisation forward. 55 There is a comprehensive service improvement plan, developed in April 2007, which is acting as the driver to improve services. It pulls together all the recommendations from previous inspection reports, actions identified through a self assessment against the KLOEs and any other priorities identified. Progress against the plan has been monitored monthly and, although some dates for implementation have been rescheduled, progress is being made in delivering the actions. 56 A service plan for 2008/09 is being developed with service managers and team leaders from a list of identified priorities. This is being carried out in an inclusive way and is increasing ownership of the plan. The plan is bringing together all the elements of the restructured housing service to reflect its re-establishment as a housing directorate. The service improvement plan will be part of the service plan so that it can be delivered and managed through the service planning framework, allowing the corporate objectives to be cascaded down through the organisation to teams and individual staff members. 57 There are some weaknesses around the service improvement plan in relation to how well they link to other plans, and in ensuring that the actions proposed are outcome focused with appropriate measures to assess achievement. Incorporation into a strengthened service planning framework will help with the former by ensuring plans and strategies are clearly linked. Further work is needed to develop customer focused outcomes for the various actions. 58 A number of strategies and plans are in development, with some in place, to support service improvement, and address weaknesses in the service. These include: the Housing Revenue Account Business Plan currently in development but almost complete; the Asset Management and Investment Plan currently in development and soundly based on up to date stock condition information; the Property Maintenance Business Plan in place and being implemented; Northampton Borough Council

49 Housing Progress Check 17 the Housing Equalities Action Plan in development; and the Resident Involvement Tenant Participation Action Plan in development. It too early for any outcomes to be seen from these plans but they are being developed in a robust way, and are based on relevant information and research. These plans are therefore capable of providing a firm basis for future service improvements. 59 The Council in recognition of the weaknesses in the repairs service commissioned the Association for Public Excellence (APSE) in 2007 to carry out an in depth analysis of the service and identify the improvement actions needed. This gave the Council a good understanding of the weaknesses that need to be addressed. APSE is now providing external expertise and working with managers to deliver a comprehensive reorganisation of the service. This is captured in the Property Maintenance Business Plan mentioned above which sets out how the service will be reorganised and improved over the next three years. 60 There are plans to secure improved value for money in the repair and improvement of the housing stock. Better procurement opportunities will be available with the development of the Council's asset management plans, allowing a strategic and planned approach. The investment plan is due to be in place by October with procurement arrangements due from January The improvements planned for the responsive repairs service are geared towards more effective and efficient ways of working. 61 The Council has put in place stronger arrangements for managing the performance of the housing service. A comprehensive performance report is discussed monthly by senior managers in housing covering key performance indicators, service standards, progress against the service improvement plan and learning from complaints. This is supported by the corporate performance management arrangements where key performance indicators, of which two are currently for housing, are reported monthly to the corporate management team and the Cabinet, based on a traffic light system to help identify areas of concern. In addition the Chief Executive holds monthly performance reviews with Directors and Corporate Managers, and the Leader of the Council and Portfolio Holder hold quarterly reviews, where the performance of the service is examined in detail and managers held to account. This approach is ensuring an appropriate focus on managing performance in the organisation. 62 Poor performance has been tackled in some areas. Particular focus has been given to improving performance in carrying out gas services and letting empty properties. This has resulted in significantly improved performance in both areas and demonstrates that the Council can effectively manage performance when it places sufficient attention and support. Northampton Borough Council

50 18 Housing Progress Check 63 Although managing performance has improved, performance management is not yet embedded in the organisation, and systems for managing performance at some operational levels are not comprehensive. There are gaps in the performance information gathered to effectively manage performance across all areas, and to escalate issues when performance is not meeting the required standard. Examples of where performance information is missing include, completing some of the repair priorities, repairs carried out on the first visit, waiting times for aids and adaptations, and time taken to let empty properties requiring major works. The Council has recognised that there are gaps in performance information and is developing a new suite of performance indicators to provide a more comprehensive framework within which to manage performance. 64 There are issues in ensuring that the performance information gathered is accurate. Although the information gathered has been validated for most areas of the housing service, this is not the case for the repairs service. Pending implementation of the new housing IT system for repairs, the information relies on extraction from different sources and the performance reported may not be accurate. These issues need resolving to ensure that the performance framework in place is comprehensive and robust. 65 A culture of performance management is beginning to develop. Complaints are used to actively learn from and make changes as a result. Visits and contact has been made with other organisations to find good practice and to apply this where relevant to the development of services. However, information on comparative performance remains fairly limited making it difficult for staff and customers in particular to judge how well their service performs. Does the service have the capacity to improve? 66 There are sufficient resources to deliver improved services, and the capacity to deliver these is being put in place. Restructuring arrangements are underway aimed at delivering the appropriate capacity to deliver improved services. Support for improvement is being provided by interim managers and external expertise. Staff are better informed, morale is improving and investment is being made in IT to support services. However, the arrangements for improving capacity are in their early days and the impact these will have cannot be assessed with certainty. There are also a number of factors which currently hinder the capacity to deliver improved services. Northampton Borough Council

51 Housing Progress Check There is sufficient financial capacity to deliver improved services and invest in improving tenants' homes in the shorter term, although there will challenges to be addressed in the medium and longer term in order to maintain homes to the Decent Homes Standard. The Housing Revenue Account (HRA) is currently able to support the capital programme with revenue, and resources are also being increased for the capital budget from this year by including the retained capital receipts from Right to Buy sales. The HRA Business Plan being developed will clearly identify the resources available upon which the longer term housing investment plan can be developed. In addition the wider growth and regeneration plans being developed for the area will offer further opportunities for addressing asset management issues in the Council's own stock. 68 The skills and capacity to support service improvement are being put in place. Restructuring of the housing service to bring it back together under one Directorate are now well underway with the key post for Director of Housing advertised in June Recruitment to the three senior manager posts below this will follow. This will substantially increase the management capacity of the service at a senior level. Restructuring proposals for the repairs service are agreed and are aimed at strengthening management and supervision of the service, and creating area based services to reflect the developing corporate neighbourhood approach. Capacity for increasing the management of the housing investment function is also being increased through the restructuring and realignment of this element of the service with the wider housing strategic role. However, it will not be until these new arrangements are implemented that there can be certainty about the sustainability of the improvements made so far, and the impetus for future improvements. 69 Capacity to improve the organisation has been increased through interim senior managers to assist in delivering service improvement. This has been supported by additional external expertise brought in for specific areas, such as the review of the repairs service. This additional capacity has helped progress improvement in some key areas, and enabled more effective support for the permanent managers in carrying out their roles. Transitional arrangements from interim to permanent managers have been agreed, although the heavy reliance on interims remains a risk to the organisation. 70 A number of factors limit the capacity of the housing service in delivering its services. Corporate support providing services such as accountancy and human resources has been weak, with poor communications between services and a lack of shared goals. Changes in corporate support services are beginning to result in more effective relationships and support but this remains early days. Sickness levels also adversely impact on capacity, particularly in some areas, and this is compounded by vacancy levels. Procedures to address sickness absence are in place but require more consistent appliance, and restructuring will resolve the vacancy issues. In the meantime staff feel stretched and remain concerned over whether there will be adequate staffing resources to deliver the level and quality of services expected. Northampton Borough Council

52 20 Housing Progress Check 71 However, staff morale, although mixed, seems to be generally improving, with a cautiously optimistic view for future improvement. Communication in the organisation has improved with regular briefings, and a number of joint meetings now take place across the different aspects of the service, resulting in a better understanding of job roles and a common desire to work together to improve services for customers. 72 Delivering improved services to customers is being hindered because the Council and NTACT are not working productively together to ensure the appropriate level of resident involvement in the service. The current structure is largely dependent on the NTACT committee and a number of sub groups formed from the committee membership. The sub groups do not meet regularly and there are problems for the Council in resourcing these and, for the NTACT committee to provide attendees without overburdening individual committee members. The Council is actively seeking to increase the number of tenants wanting to be involved and has set up a 'Sounding Board' of about 2000 tenants who have indicated that they would like to be involved in some way, whether through telephone surveys, focus groups or attending NTACT meetings. However the NTACT committee and the Council are not pooling their expertise and resources in finding ways to involve the wider tenant base so that customers can have a real influence on the way in which priorities for the service are determined, and the way in which services are delivered and improved. 73 The Council is investing in IT to support service improvement. A new housing IT system is being implemented with most of housing services now on the system, with repairs due in July Many of the proposed improvements for the repairs service, particularly in relation to better performance information and information on which to assess productivity levels and value for money, are dependent on the successful implementation of this system. Once in place and embedded capacity will be increased as a result of improved automation. Northampton Borough Council

53 Agenda Item 9 Appendices 1 Item No.] Report Title CABINET REPORT Annual Report Customer Feedback AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: 4 TH August 2008 N0 Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) Yes Yes No Customer and Service Delivery Councillor Tony Woods All 1. Purpose 1. To receive the Annual Report of Customer Feedback for Recommendations 2.1 The Cabinet approve the contents of the Annual Report. 2.2 The Cabinet agree to receive quarterly trend analysis reports during Issues and Choices 3.1 Report Background The Annual Report of Customer Feedback has been compiled using available data from the Customer Relationship Management system. It is intended to provide a baseline assessment of the Council s current position and will inform future trend analysis. Jmd/committees/cabinet report template/25/07/08

54 The Annual Report provides high level statistical information of the profile of customer feedback. It highlights key issues and provides an overview of action taken to support a process of continuous improvement and learning. 3.2 Issues Customer Feedback is welcomed by the Council. This report provides an overview of progress to date. It is evident from the findings that further service improvements are required and plans are being implemented to address known issues The report provides a platform for further discussion and analysis with Members and Officers across the Council. 3.3 Choices (Options) The Officer recommendation is that the contents of this report are made available to Members and Officers in the Council The contents of this report inform future workshop/seminar sessions 4. Implications (including financial implications) 4.1 Policy There are no policy implications at this stage. 4.2 Resources and Risk There are currently no resource implications to the Council. 4.3 Legal There are no legal implications to the Council 4.4 Equality The report does not identify any specific issues with equalities and diversity Consultees (Internal and External) 4.5 Consultees The report has been received by Management Board. It has not been appropriate to undertake any consultation in writing this report. 4.6 How the Proposals deliver Priority Outcomes Jmd/committees/cabinet report template/25/07/08

55 The report supports the Councils corporate priorities and outcomes. There is a specific target of 20% reduction of number of complaints included in the existing Corporate Plan. 4.7 Other Implications None identified. 5. Background Papers The Annual Report of Customer Feedback Kay Atkinson, Corporate Manager Customer Services Ext Jmd/committees/cabinet report template/25/07/08

56 Customer Feedback Annual Report Northampton Borough Council July

57 CONTENTS 1. Executive Summary 3 Page 2. Purpose of Report 4 3. Introduction 4 4. Customer Feedback Procedure 4 5. Summary of Total Feedback Received: 5 6. Corporate Performance 7 7. Analysis by Service Area 8 Streetscene & Property Maintenance 8 Development, Building Control 11 & Environmental Health Performance, IT & Improvement 13 Customer Services 14 Housing Services 16 Regeneration & Growth 19 Finance & Asset Management 21 Community Safety, Leisure 23 & Town Centre Operations Governance & Communications 25 Chief Corporate Legal Advisor/Solicitor Continuous Improvement & Learning Conclusion 29 2

58 EXECUTIVE SUMMARY The purpose of this report is to provide Cabinet with an overview of the Customer Feedback received by Northampton Borough Council between 1 st June 2007 and March 31 st The Customer Relationship Management (CRM) system became operational on June 1 st and provides the Council with a centralised data collection and management system on which to report Customer Feedback. The report provides an overview of statistical information by service area. It is not intended to provide detailed analysis of trends and action taken. This analysis occurs on a monthly basis at an operational level with the relevant Officers in each service area. It is proposed that from 1 st April 2008 to March 31 st 2009 Cabinet receive quarterly detailed reports of a trend analysis, learning and service improvements. The report predominately focuses on complaints received using Northampton Borough Council s Customer Feedback Procedure, it is not proposed to provide detailed information relating to Local Government Ombudsman complaints as the Council is currently awaiting receipt of the Annual Review Letter and a report of the findings will be presented to Cabinet in the near future. A total of 1331 stage 1 complaints have been made to Northampton Borough Council between June 1 st 2007 and March 31 st The top three areas where most complaints have been received are in: Housing Services (39% of total complaints received); Streetscene & Property Maintenance (38% of total complaints received)) and Community Safety, Leisure & Town Centre Operations (13% of total complaints received). This feedback, along with other positive feedback from our customers has been received and considered by service areas. Teams review the information on a weekly basis and discuss as part of their Management Team meetings, providing information corporately on key actions that reflect learning and service improvements locally. There is evidence of increased awareness, responsibility and accountability within teams, improved performance monitoring and management of complaints. This continues to be a high priority area for the Council with an ambition to improve customer satisfaction and achieve a 20% reduction target in the Corporate Plan to reduce the number of complaints received between April 1 st 2008 and March 31 st Continuous improvements are ongoing to develop a cultural change programme for all staff to support more effective complaint management and handling. Service specific workshops have been held in key service areas to identify opportunities for learning and service improvements. This report will be used as a baseline when presenting further reports to Cabinet. 3

59 PURPOSE OF REPORT The purpose of this report is to provide Cabinet with statistical information in relation to Customer Feedback received for the period between June 1 st 2007 and March 31 st The period covered in this annual report is from 1 st June This is due to the implementation of a news software system known as a Customer Relationship Management system (CRM) where information is captured centrally in the organisation and is used as a robust management information reporting tool across the Council with monthly challenge and discussion at all levels in the organisation. The report provides high-level statistical data, it is not intended to provide detailed analysis of trends and actions. This is conducted as part of the corporate performance management framework reviewed monthly by the Chief Executive, Director, Corporate Manager and Teams in service areas. Trend analysis reports will be presented to Management Board and Cabinet on a quarterly basis during These will contain detailed analysis of complaints, actions taken and learning in service areas. This annual report will be used as a comparator. This report does not contain any detailed statistical information relating to complaints received by the Local Government Ombudsman during this period. The Council is currently awaiting receipt of an Annual Review Letter, the findings of which will be reported to Cabinet in the near future. Reference will be made to key issues in service areas where relevant. INTRODUCTION At Northampton Borough Council we care about everybody who lives, works, visits or uses our services. Feedback from our customers offers the Council a chance to gain an accurate picture of the level of service produced within each service area. The Council is committed to providing the best level of service possible and uses feedback whether it is negative or positive to review our performance and take steps to address improvements for all of our customers as part of our commitment to continuous improvement across the organisation. CUSTOMER FEEDBACK PROCEDURE There is a Customer Feedback Procedure in place across the organisation designed to capture customer feedback from our customers. This feedback may be in the form of a comment, compliment or complaint. The feedback is recorded on a central database and managed by the Customer Liaison Team. Members of this team work closely with other colleagues across the Council to investigate and provide a full response to customers who contact the Council. The complaints procedure is a standard 3-stage procedure adopted by many other Local Authorities. Stage 1 - Local Resolution / Informal Our commitment to customers is to resolve as many complaints as possible straight away when customers visit, telephone, or write to us. When we are unable to resolve a complaint immediately, we will acknowledge it within 5 days and aim to provide the customer with a full reply with 10 working days. Stage 2 Formal Investigation If the customer is still unhappy with the response they have received at Stage 1 they can request a Management Investigation. Again we acknowledge Stage 2 complaint within 5 working days. We aim to provide a response to the customer within 20 days allowing Management to fully resolve any query. 4

60 Stage 3 Review If a customer remains unsatisfied with the responses received after Stage 1 and 2 they can request that the Chief Executive of the Council review the matter. An acknowledgement of the complaint is made within 5 working days and a response made within 20 working days. Ombudsman If a customer continues to be dissatisfied with the outcome of the investigation after following our complaints procedure, they are welcome to contact the Local Government Ombudsman, who can independently investigate the way the complaint has been handled at each stage. MP & Councillor Enquiries MP letters and enquiries are now received and managed directly by the Chief Executive office. Councillor enquiries are routed centrally via the Customer Liaison Team who work with other officers to ensure that a co-ordinated response is provided within 10 working days to Councillors. SUMMARY OF TOTAL FEEDBACK RECEIVED: FIGURE 1: Table of Total Feedback Received: Stage 1 Stage 2 Stage 3 MP Councillor Complaint Complaint Complaint Enquiry Enquiry Comments Compliments Total Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Total This table provides an overview of the total feedback received into the Council. The statistics run from 1 ST June st March 2008 following the introduction of a Customer Relationship Management system. It is noted that the numbers of cases steadily increased as staff captured onto a centralised database. It is observed that the numbers of feedback maintained a steady equilibrium with seasonal adjustments in November and December as cases reduced in the build up to Christmas, and therefore, increased significantly in January in the New Year. Service areas have used this information to identify causative factors, analyse trends and take appropriate action to reduce the number and types of complaints. 5

61 FIGURE 2: Profile of complaints received by service areas Stage 1, 2 & 3 Complaints Received By Service Area Chief Legal Solicitor 0% Housing Services 38% 39% Community Safety, Lesiure& Tow n Centre Operations Customer Services Development, Building Control and Environmental Health 1% Performance & IT 1% 2% 0% 3% 3% 13% Finance & Asset Management Governance and Communications Regeneration and Grow th Streetscene and Property Maintenance This pie chart shows the percentage of complaints received by each service area. It confirms that Housing Services is the area receiving 39% of total complaints, with Streetscene & Property Maintenance receiving 38% of total complaints and Community Safety, Leisure & Town Centre Operations receiving 13% of total complaints. An explanation for this is that these are key services that are used and accessed by our customers. It is interesting to note that other service areas who may have less direct contact with our customers have received fewer complaints. 6

62 CORPORATE PERFORMANCE: FIGURE 3: Table of corporate performance: Stage 1 Complaint - % Responded to within 10 working days Stage 2 Complaint - % Responded to within 20 working days Stage 3 Complaint - % Responded to within 20 working days Total - Responded to within target Jun % 100.0% 100.0% 65.9% Jul % 66.6% 0.0% 62.5% Aug % 55.6% 75.0% 71.9% Sep % 66.7% 62.5% 73.1% Oct % 69.2% 60.0% 74.2% Nov % 88.2% 100.0% 80.5% Dec % 65.2% 40.0% 76.8% Jan % 43.8% 50.0% 78.0% Feb % 78.6% 60.0% 80.8% Mar % 88.2% 66.7% 86.3% The following corporate performance targets are in operation: 100% of Stage 1 complaints responded to within 10 working days 100% of Stage 2 complaints responded to within 20 working days 100% of Stage 3 complaints responded to within 20 working days This table provides evidence of sustained improvement in our performance between 1 st June 2007 and March 31 st It does indicate the need for continued improvements corporately to meet our corporate target of 100%. Analysis of performance has indicated issues with individuals failing to update the CRM system when they have fully responded to a complaint in the agreed timescale, which if not entered on the central system will show on a report as being an overdue response. It has also been observed that performance has varied when staffing changes occur. A programme of training for named individuals with responsibilities for ensuring CRM system and performance is maintained is operational and has been evaluated as being beneficial by service areas. Additional improvements made during the year have been a review of the roles of the Customer Liaison Team, where named individuals are now allocated to each service area and attend team meetings, management teams on a regular basis to discuss issues, identify solutions and service improvements through influencing and negotiation with key individuals. This has had a positive effect in key service areas such as Housing and Streetscene & Property Maintenance where the majority of complaints are received. Analysis of increased number of stage 2 and stage 3 responses has been completed. The findings show that our customers are often dissatisfied with the quality of response received at stage 1, with a failure to fully address their points of complaint. Work is ongoing to address these issues with the relevant service areas through additional training and support. A cultural change development programme is being designed to support further improvements. 7

63 ANALYSIS BY SERVICE AREA: This section provides a breakdown of analysis of customer feedback in each service area. It provides some indication of the types of complaints received. Detailed analysis and information is reviewed by the service area as part of the corporate performance management framework. The statistical information for each service areas shows: The number of stage 1,2 & 3 complaints per month Breakdown of the nature of customer feedback received. The number and category of Local Government Ombudsman cases The number and category of MP and Councillor enquiries The number of comments The number of compliments STREETSCENE & PROPERTY MAINTENANCE ANALYSIS FIGURE 4: Bar chart showing monthly numbers: Jun- 07 Jul- 07 Streetscene & Property Maintenance Stage 3 Stage 2 Aug- 07 Sep- 07 Oct- 07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 Stage1 This bar chart shows a progressive increase between June and September. This is attributed to individuals using the CRM database rather than an increase in dissatisfied customers. There is evidence of significant improvements in analysis and management of complaints in this service area. 8

64 FIGURE 5: Pie chart showing nature of feedback: Nature of Stage 1, 2 & 3 Complaints - Streetscene and Property Maintenance 1% 9% 7% 1% 13% Staff Behaviour Delay in a Response Failure to Provide A Service 9% Management Decision None Given 37% Discrimination 1% 2% 0% 20% Information Request for Service Service Standard Comment Other The biggest issue for this service area are related to service standards. Examples of complaints received in this service area include: Repairs for example; wait for outstanding repairs, inadequate heating and repairs completed unsatisfactorily Waste operatives for example; lack of care taken with bins or recycling boxes and operatives not collecting waste materials dropped during collection Trees for example; length of time taken for inspection of reported problem trees and overhanging branches not being dealt with quickly Repair visits for example; alleged missed appointments, inappropriate behaviour from tradespersons and other damaged caused during repair Waste collection for example; regularly missed collections, delay in receiving replacement bins or recycling boxes and dislike of fortnightly collections 9

65 MP & COUNCILLOR ENQUIRIES FIGURE 6: Breakdown of MP & Councillor enquiries: MP & Councillor Enquiries 9% 8% Request for Information Request for Service Complaint 83% In total Streetscene & Property Maintenance received 204 MP & Councillor enquires which represents 23.5 % of the total number of enquiries received. The most common request were for street cleansing or fly tipping clearance, other requests include request for repairs on behalf of tenants and reporting shrubs and hedges, which require cutting. COMMENTS In total Street scene and Property Maintenance received 360 comments, which represents 40% of the total number of comments received. COMPLIMENTS In total Streetscene and Property Maintenance received 45 compliments. This represents 15.5% of the total number of compliments received. Some examples of compliments that the service area have received over the last year include: Congratulate your team on a JOB WELL DONE!!! The guys did a wonderful job. Very pleased with the work that was done. 10

66 DEVELOPMENT, BUILDING CONTROL & ENVIRONMENTAL HEALTH ANALYSIS FIGURE 7: Bar chart showing monthly numbers: 6 Development, Building Control & Enviromental Health Stage 3 Stage 2 Stage Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 This bar chart indicates that customers have not been satisfied with the stage 1 response received, escalating to stage 2 and stage 3. The reasons for this are include the fact that customers are not happy with the management decision, which is in accordance with regulation and policy. FIGURE 8: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Development, Building Control and Environmental Health 6% 3% 0% 9% 3% 0% 34% 12% 18% 15% Staff Behaviour Delay in a Response Failure to Provide A Service Management Decision None Given Discrimination Information Request for Service Service Standard Comment Other The biggest issues for this service area are related to management decision. Examples of complaints received in this service area include: Planning Permission Objections: Objections to planning permissions that have been granted for example; proposed commercial developments within 11

67 residential areas, planning permission granted to neighbours, closure of popular local venues Lack of action in response to complaints for example; no action taken following reports of noisy neighbours and s not responded to Appealing planning permission decisions for example requesting planning applications to be reassessed by committee Building control cost of planning document photocopies and length of time taken to receive copies of certificates Environmental Health for example; staff members acting inappropriately, wait for visit from pest control and poor handling of noise complaints MP & COUNCILLOR ENQUIRIES FIGURE 10: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 5% Request for Information Request for Service Complaint 42% 53% In total Development, Building Control & Environmental Health received 73 of MP & Councillor enquires which represents 8.3% the total number on enquiries. The most common enquiry was relating to planning permissions granted and concerns regarding matters of public health and safety. COMMENTS In total Development, Building Control and Environmental health received 37 comments, which represents 4.5% of the total comments received. COMPLIMENTS In total Development, Building control and Environmental Health received 34 compliments, which represent 12% of the total number of compliments. There was a significant drop around the Christmas period. Some examples of compliments that the service area have received over the last year include: extremely helpful - clear, concise and well-thought out Thank you for prompt response to pest control query 12

68 PERFORMANCE, IT AND IMPROVEMENT ANALYSIS FIGURE 11: Bar chart showing monthly numbers Performance, IT & Improvement Stage 3 Stage 2 Stage1 0 Jun- 07 Jul-07 Aug- 07 Sep- 07 Oct- 07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 This service area only received 2 complaints in the period of June 2007 to March Both these complaints were dealt with, within the target response dates and were related to failure to provide service feedback. The two key issues identified by the above complaints were: Problems with website No response to message left on answering machine MP & COUNCILLOR ENQUIRIES In total Performance, IT and Improvement received 1 of MP & Councillor enquires which represents 0.15% the total number on enquiries. This enquiry related to need to update online telephone directory. COMMENTS In Performance, IT and Improvement total received 8 comments, which represents 0.9% of the total comments received COMPLIMENTS In total Performance & IT received 11 compliments, which represents 4% of the total number of compliments. There has been no significant tends when compared monthly. Some examples of compliments that the service area have received over the last year include:.teams provided a professional service..would like to compliment Northampton Borough Council for their brilliant website Please convey my thanks to your team for another excellent job." Not only did they assist in delivering and ensuring every PC & telephone was operational 13

69 CUSTOMER SERVICES ANALYSIS FIGURE 12: Bar chart showing monthly numbers Customer Services Stage 3 Stage Jun- 07 Jul- 07 Aug- 07 Sep- 07 Oct- 07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 Stage1 This bar chart indicates that complaints are satisfactorily resolved at stage 1 with no escalations to stage 2 or 3 and are low in numbers. This supports behaviours of staff that seek to resolve complaints informally at point of contact in face-to-face or telephone operations. FIGURE 13: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Customer Services Staff Behaviour Delay in a Response 2% 2% 14% 2% 14% Failure to Provide A Service Management Decision None Given Discrimination Information 50% 0% 7% 0% 0% 9% Request for Service Service Standard Comment Other The biggest issues for this service area are related to service standard. Examples of complaints received in this service area include: Contact Centre for example; unhelpful staff, incorrect information given, long wait for answer and errors made by staff 14

70 Correspondence for example; unfranked post resulting in charge and letters insufficiently closed containing sensitive information Mislaid documents for example; probate documents, supporting documents and housing applications Out of Hours for example, unable to get through on the telephone and poor customer services from operatives Council Tax/Benefits complaints various cases regarding information received from staff. MP & COUNCILLOR ENQUIRIES FIGURE 14: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 45% 22% Request for Information Request for Service Complaint 33% In total Customer Services received 9 MP & Councillor enquires which represents 1.5% the total number on enquiries. The most common enquiry was requesting contact centre to contact customer regarding repairs. COMMENTS In total Customer Services received 26 comments, which represents 2.9% of the total comments received. COMPLIMENTS In total Customer Services received 96 pieces of positive feedback, which represents 33% of the total number of compliments. There was a significant increase around the Christmas period Some examples of compliments that the service area have received over the last year include:.extremely helpful, patient and polite..good polite efficient service - very helpful We have been "wonderful in dealing with things so far - thank you.helpfulness of staff at Town Hall / OSS ' Polite, nothing too much trouble' 15

71 HOUSING SERVICES ANALYSIS FIGURE 15: Bar chart showing monthly numbers 80 Housing Services Stage 3 Stage 2 Stage Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 This bar chart indicates that complaints are not being satisfactorily resolved at stage 1 and escalated to stage 2 & 3 of the complaints procedure. Analysis of responses have found that the quality of responses is poor, there is a failure to fully address points raised by complainant, use of abbreviations and technical jargon and failure to view the complaint from the customers perspective. FIGURE 16: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Housing Services Staff Behaviour Delay in a Response Failure to Provide A Service 34% 1% 3% 12% 5% Management Decision None Given Discrimination Information 23% Request for Service 5% 5% 1% 2% 9% Service Standard Comment Other 16

72 The biggest issues for this service area are related to service standard. Examples of complaints received in this service area include: Council Tax issues - for example; disputes over arrears, conflicting information given and mistakes during processing Inappropriate behaviour from staff - for example; behaviour of staff during home visits, complaints about wardens, or lack of sympathy from housing needs staff Housing Applications for example; mistakes during processing and time taken to complete process Benefits for example; overpaid benefits, suspending claims, and delay in receiving rent payments Housing allocation for example; being offered inappropriate accommodation, time taken to be allocated housing MP & COUNCILLOR ENQUIRIES FIGURE 18: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 25% 3% Request for Information Request for Service Complaint 72% In total Housing Services received 335 of MP & Councillor enquires which represents 38.5 % of the total number on enquiries. The most common request for information is for updates on housing applications on behalf of constituents or highlighting the urgency of individuals housing situation. COMMENTS In total Housing received 266 comments, which represents 30% of the total comments received. COMPLIMENTS In total Housing Services received 34 compliments, which represents 24% of the total number of compliments. There has been no significant tends when compared monthly. 17

73 Some examples of compliments that the service area have received over the last year include: Gratitude for helpful assistance of staff helpful, polite and informative gratitude for the kind and patient service received 18

74 REGENERATION & GROWTH ANALYSIS FIGURE 19: Bar chart showing monthly numbers 3 Regeneration & Growth Stage 3 Stage 2 Stage Jun- 07 Jul-07 Aug- 07 Sep- 07 Oct-07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 This bar chart confirms that this is a service with few complaints being received. The increased numbers of complaints in March were in relation to bus passes. FIGURE 20: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Regeneration and Growth Staff Behaviour Delay in a Response 25% 0% 24% Failure to Provide A Service Management Decision None Given Discrimination Information 13% 0% 25% 0% 13% Request for Service Service Standard Comment Other The biggest issues for this service area are related to service standard. Examples of key complaints received in this service include: bus passes, several complaints were raised including inability to apply online and delay in receiving new or replacement ones. 19

75 MP & COUNCILLOR ENQUIRIES FIGURE 21: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 25% Request for Information Request for Service 0% Complaint 75% In total Regeneration & Growth received 4 of MP & Councillor enquires which represents 0.5 % of the total number on enquiries. These enquiries were regarding to location of bus shelter and bus routes, community centre development, and concerns regarding unused land attracting youths and fly tipping. COMMENTS In total Regeneration & Growth received 8 comments, which represents 0.9% of the total comments received. COMPLIMENTS In total Regeneration & Growth received 9 compliments, which represents 3.5% of the total number of compliments. There have been no significant trends when compared monthly. Some examples of compliments that the service area have received over the last year include: planning department was 'very enjoyable thank you so much.. 20

76 FINANCE & ASSET MANAGEMENT ANALYSIS FIGURE 22: Bar chart showing monthly numbers 4 Finance & Asset Management Stage 3 Stage 2 Stage Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 The volume of complaints received in this service area remains low and unremarkable. FIGURE 23: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Finance & Asset Management 14% 5% 10% 10% Staff Behaviour Delay in a Response Failure to Provide A Service Management Decision None Given Discrimination Information 28% 5% 0% 10% 0% 18% Request for Service Service Standard Comment Other The biggest issues for this service area are related to service standard. Examples of key complaints received in this service include: Requests for compensation for example; damages caused by NBC vehicle, poor repairs and maintenance and costs incurred due to delay in repairs and poor service Accounts payable for example mislaying and errors in cheques 21

77 Service requests for lighting on public footpaths MP & COUNCILLOR ENQUIRIES MP & Councillor Enquiries 0% Request for Information Request For Service Complaint 50% 50% The MP and Councillor enquiries included request for information regarding public spaces, empty land or car parks and Northampton Door to Door Service and whether it would be revived. COMMENTS In total Finance & Asset Management received 21 comments, which represents 2.4% of the total comments received. COMPLIMENTS In total Finance & Asset Management received 2 compliments. Extracts of compliments that Finance received are below.thank you to the team thank you to everyone involved in the heritage weekend 22

78 COMMUNITY SAFETY, LEISURE & TOWN CENTRE OPERATIONS ANALYSIS FIGURE 25: Bar chart showing monthly numbers Community Safety, Leisiure & Town Centre Operations Stage 3 Stage 2 40 Stage Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 This bar chart shows a pattern of increased number of stage 1 complaints. There are robust mechanisms in place to try and resolve complaints in full as early as possible. FIGURE 26: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Community Safety, Lesiure & Town Centre Operations Staff Behaviour Delay in a Response 1% 9% 7% 0% 14% Failure to Provide A Service Management Decision None Given Discrimination 36% 8% Information Request for Service Service Standard 1% 0% 1% 23% Comment Other The biggest issues for this service area are related to service standard. Examples of key complaints received in this service include: Leisure Centres for example low pool temperature, cleanliness and music being played too loud Events for example; balloon festival charging for entry, no warning about road closure for carnival and incorrect information received regarding planned events 23

79 Community safety for example; security of alleyways and private access roads and antisocial behaviour Town Centre management for example; poor provision of parking, repairs needed within Bus Station and cleanliness of town centre facilities Christmas decorations for example; the lack of lights and poor quality of decorations MP & COUNCILLOR ENQUIRIES FIGURE 27: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 11% 22% Request for Information Request for Service Complaint 67% Of the four MP & Councillor Enquiries received there were two requesting installation of CCTV cameras, one regarding the ice rink provided during festive period and congestion around Derngate theatre after a show. COMMENTS In total Community Safety, Leisure & Town Centre Operations received 88 comments, which represents 10% of the total comments received. COMPLIMENTS In total Community Safety, Leisure & Town Centre Operations received 39 compliments, which represents 13.5% of the total number of compliments. There have been no significant tends when compared monthly. Some examples of compliments that the service area have received over the last year include:.i always find all the reception staff to be friendly & helpful..really good place and you get your value for money..very helpful and courteous this made my visit a pleasant one 24

80 GOVERNANCE & COMMUNICATION ANALYSIS FIGURE 28: Bar chart showing monthly numbers 3 Governance & Communications Stage 3 Stage 2 Stage Jun- 07 Jul-07 Aug- 07 Sep- 07 Oct-07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 The volume of complaints received in this service area remains low and unremarkable. FIGURE 29: Pie chart showing nature of feedback Nature of Stage 1, 2 & 3 Complaints - Governance and Communications Staff Behaviour Delay in a Response 24% 0% 37% Failure to Provide A Service Management Decision None Given Discrimination 13% 0% 13% 0% 13% 0% Information Request for Service Service Standard Comment Other The biggest issues for this service area are related to service standard. Examples of key complaints received in this service include: Taxi drivers - being poorly screened and regulated Access - difficulty booking community centre Access - difficulty contact legal team 25

81 MP & COUNCILLOR ENQUIRIES FIGURE 30: Breakdown of MP & Councillor Enquiries MP & Councillor Enquiries 14% 36% Request for Information Request for Service Complaint 50% The MP & Councillor enquiries mainly consisted on requests for information regarding committee meetings. COMMENTS In total Governance & Communication received 18 comments, which represents 2% of the total comments received. COMPLIMENTS In total Governance & Communication received 8 pieces of positive feedback, which represents 1.5% of the total number of compliments. Some examples of compliments that the service area have received include:..thank you for the tickets to Northampton town football club.many thanks for all their hard work. 26

82 CHIEF CORPORATE LEGAL ADVISOR/SOLICITOR ANALYSIS FIGURE 31: Bar chart of monthly numbers: Chief Legal Advisor to The Council Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Stage 3 Stage 2 Stage1 For this service area there were only 3 stage 1 complaints recorded in July, November and February. Of these 2 were classed as Failure to Provide a Service and 1 was related to Staff Behaviour. These complaints were regarding either private hire licensing or poor handling of sensitive information. MP & COUNCILLOR ENQUIRIES In total Chief Corporate Legal Advisor/Solicitor received 2 enquries, which were regarding ownership of land and licensing for Residents Association. Both enquiries were in relation to requests for service. COMMENTS In total 8 comments were received in the reporting period. COMPLIMENTS This service area has not received any compliment the explanation for this is that this service area has very little communication with the general public and when required to do so it is in a legal role acting on behalf of the Council. 27

83 CONTINUOUS IMPROVEMENT & LEARNING The Council is on a journey of continuous improvement and has used data from customers to gain an increased understanding of where we have satisfied our customers and where improvements are required. This continues to remain a high priority for the Council with the aim of providing our customer with a positive experience every time they come into contact with any member of staff, department or service. A summary of the improvements and learning is detailed below: Weekly management reports are generated from the CRM system. This provides Corporate Directors, Managers and team members with details and status of complaints within their teams for action. Monthly summary reports are generated from the CRM system. This provides individuals with a profile of the monthly customer feedback. Review and analysis of customer feedback at Directorate and Management Team meetings. This provides an opportunity for discussion and debate, learning and sharing of best practice. Management Board has received a monthly report. Quarterly report of trend analysis to Management Board and Cabinet will provide details of trends against comparative baseline. It will be used to identify opportunities for service improvements through learning and action. Learning logs are completed monthly by teams. They are useful in capturing the actions taken and outcomes for trend analysis and continuous improvement Local Government Ombudsman case reviews were introduced in January These are completed when the Ombudsman discontinues an investigation. 14 have been completed to date. A summary of the key learning points that have been implemented following these reviews include@ 1. Review of policies and implementation/evidence of improvements 2. Improved monitoring systems implemented. 3. Revised processes and system improvements to improve accuracy 4. Improved investigation of complaints 5. Quality checks and monitoring 6. Increased ownership and responsibility 7. Improved customer awareness and focus 8. New procedures developed 9. Improved team communication and working 10. Learning from mistakes Awareness raising: Achieved through improved working across teams, departments. Workshops and presentations made to specific service areas as part of improvement agenda. Attendance at Management Team meetings to focus on performance and opportunities for improvement. Training in use of CRM system. Letter writing workshops held and planned. Best practice guidance notes being developed. 28

84 Resources. review of roles and function of Customer Liaison Team. Deployment of named resources to work with service areas. Work is in progress to develop and implement a corporate cultural change programme to further improve our ability to manage and learn from customer feedback. CONCLUSION This report has provided a high level overview of Customer Feedback received during It provides Cabinet Members with an increased understanding of service specific issues and the corporate picture. This data provides the baseline for future reports and trend analysis. There is an acknowledgement that the level of complaints received is too high. The number of Local Government Ombudsman complaints received also remains high. The authority now has robust management information that is being used to analyse, take action and seek improvements to reduce future occurrence. It is expected to see a reduction in the number of complaints being received as investment in a cultural change programme positively impacts across the organisation and results in an improved customer journey and experience. 29

85 Agenda Item 10 Appendices Item No. Report Title CABINET REPORT Annual Letter of Local Government Ombudsman AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: 4 th August 2008 No Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) No Yes No Customer and Service Delivery Councillor Tony Woods All 1. Purpose 1. To receive the Annual Letter from Local Government Ombudsman for 2007/08 2. Recommendations 2.1 The Cabinet note the content of the Annual Letter 3. Issues and Choices 3.1 Report Background The Council has now received the Annual Letter from the Local Government Ombudsman for the period April 1 st 2007 March 31 st The Local Government Ombudsman has received a total of 69 complaints. This is an improvement compared to the 116 reported in 2006/07. The majority of complaints continue to be in relation to Housing, there is a noticeable reduction planning & building control. Jmd/committees/cabinet report template/25/07/08

86 There has been 1 report of maladministration against the council, where the Local Government Ombudsman has concluded an investigation and issued a formal report finding maladministration causing injustice This is an increase of 1 from 2006/07. There have been 18 cases of local settlements, where decisions have been made to discontinue the investigation because the authority has agreed to take some action which is considered by the Ombudsman as a satisfactory outcome for the complainant. This is a decrease of 4 from 2006/07. There have been 11 cases of No maladministration, where the Ombudsman has discontinued an investigation by letter because there is none or insufficient evidence of maladministration. This figure remains the same as 2006/07. There have been 9 cases of decisions by letter to discontinue the investigation where the Ombudsman has exercised their discretion not to pursue the complaint. This is a decrease of 7 from 2006/ cases reported were outside of the Ombudsman s jurisdiction. This is an increase of 4 from 2006/ cases were decisions that the complaint is premature and has not been investigated in accordance with local authority procedures. This is a decrease of 13 from 2006/07. The response times for first enquiries has increased to complaints relating to Ecton Lane. This includes 3.2 Choices (Options) The Officer recommendation is that the contents of this report are made available to Members and Officers in the Council The contents of this report inform future workshop/seminar sessions 4. Implications (including financial implications) 4.1 Policy There are no policy implications at this stage. 4.2 Resources and Risk There are currently no resource implications to the Council. 4.3 Legal There are no legal implications to the Council 4.4 Equality Jmd/committees/cabinet report template/25/07/08

87 4.4.1 The report does not identify any specific issues with equalities and diversity Consultees (Internal and External) 4.5 Consultees This is an external letter from the Local Government Ombudsman How the Proposals deliver Priority Outcomes The report supports the Councils corporate priorities and outcomes. There is a specific target of 20% reduction of number of complaints included in the existing Corporate Plan. 4.6 Other Implications None identified. 5. Background Papers Local Government Ombudsman Annual Letter Kay Atkinson, Corporate Manager Customer Services Ext Jmd/committees/cabinet report template/25/07/08

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89 The Local Government Ombudsman s Annual Letter Northampton Borough Council for the year ended 31 March 2008 The Local Government Ombudsman (LGO) provides a free, independent and impartial service. We consider complaints about the administrative actions of councils and some other authorities. We cannot question what a council has done simply because someone does not agree with it. If we find something has gone wrong, such as poor service, service failure, delay or bad advice, and that a person has suffered as a result, the Ombudsmen aim to get it put right by recommending a suitable remedy. The LGO also uses the findings from investigation work to help authorities provide better public services through initiatives such as special reports, training and annual letters.

90 Annual Letter 2007/08 - Introduction This annual letter provides a summary of the complaints we have received about Northampton Borough Council. We have included comments on the authority s performance and complainthandling arrangements, where possible, so they can assist with your service improvement. I hope that the letter will be a useful addition to other information your authority holds on how people experience or perceive your services. Two attachments form an integral part of this letter: statistical data covering a three year period and a note to help the interpretation of the statistics. Complaints received Volume We received 69 complaints against your Council, approximately half the number received last year and closer to numbers in Character Complaints about housing (20) and public finance (14) remain at a similar level to last year. The number of complaints about planning and building control (15) and benefits (10) have almost halved from last year and are close to the number received in these categories in One complaint was received about adult care services. In the other category we received four complaints about antisocial behaviour, two each about leisure and recreation and waste management and one about miscellaneous matters. Decisions on complaints Reports and local settlements When we complete an investigation we issue a report. I issued one report on housing benefit matters against your Council this year. I identified a series of errors on the Council s part in dealing with benefit claims while the complainant was in and out of work due to serious illness. There were delays in considering backdated and other claims. The Council went on to take recovery action, including repossession proceedings and instructing bailiffs. Six appearances at court were required before the case was dropped and throughout the Council had failed to check benefit entitlement. The Council has now taken action to improve its handling of claims and agreed to make a payment of 2,500 in compensation. A local settlement is a complaint where, during the course of our investigation, the Council has agreed to take some action which we consider is a satisfactory response to the complaint. The investigation is then discontinued. In 2007/08 the Local Government Ombudsmen determined some 27% of complaints by local settlement (excluding premature complaints - where councils have not had a proper chance to deal with them - and those outside our jurisdiction). Eighteen complaints were settled locally and a total of 8,544 was paid in compensation. A complaint about antisocial behaviour was settled locally. The behaviour of a member of the complainant s family and his friends caused neighbours to make complaints. As a result, his mother turned him away from home after which the situation calmed down. Not long after, she applied to another Council area for housing. When that Council made enquiries to your housing department, it

91 was incorrectly informed that action was about to be taken for nuisance and that the complainant was about to be evicted for rent arrears. The other Council was not advised that the amount of arrears was being contested by the complainant. As a result the complainant was taken off the other area s housing list. Your Council agreed to settle the complaint by writing to the other Council, confirming that the nuisance issues had been resolved and clarifying the rent situation. It also agreed to make a payment of 150. In a homelessness complaint, the complainant had applied to the Council for assistance because she could not remain in her tenancy due to domestic violence. The Council did not consider this as a homelessness application and told the complainant it could not help her on the basis that her tenancy was still available and reasonable for her to occupy. It was pointed out to your Council that it had not complied with the statutory requirements for assessing homelessness applications and that it had denied the complainant a right of appeal against a decision and that I have found this to amount to maladministration in the past. I am pleased that this led your Council to apologise to the complainant, to make her a payment of 1000, to arrange a homelessness interview, to monitor approaches to the service and to report on outcomes. Last year I highlighted concerns about the Council s handling of benefit claims. The five complaints settled locally this year do not demonstrate a significant improvement although I am aware that the Council has undertaken a review of its service and I hope that improvements will be seen this year. Failures in assessing claims and providing clear explanations of decisions were compounded by significant delays in referring appeals to the Tribunal Service in four complaints. I take the view that the fairest way of resolving disputes about entitlement is before an independent tribunal and the Council s failings in this respect are unacceptable because complainants were denied their statutory right of appeal (in two cases for more than two years) and were caused significant distress and uncertainty. Officers failed to grasp the essential issues highlighted by the complaints including the need to reconsider entitlement thoroughly when a claimant s personal circumstances change, and the need to act proportionately when recovery action is taken. To settle the complaints, the Council agreed to take appropriate action in each case and made payments of 1,500, 1200, 500 and 100 to the complainants in compensation. Six complaints about housing matters were settled locally. A request for a housing transfer was wrongly treated as a request for housing repairs and there was a consequent delay in awarding points appropriately. The Council then failed to follow its antisocial behaviour policies properly and did not consider whether further points should be awarded. The complainant had to endure unsatisfactory living conditions for a year longer than necessary. The Council apologised, made a payment of 750 and undertook to review its procedures. Of two complaints about housing repairs I draw attention to one where the complainant understood that the works were being carried out to remedy fair wear and tear. The Council then sent her an invoice but it had not sought her prior agreement in writing to the proposed works nor made it clear that she would have to pay. The complainant appealed but no records were kept of what was said or the basis for the decision made. The Council accepted that there was confusion, refunded half the costs ( 352), reviewed its procedures and undertook to ensure that tenants would be advised in writing if works are re-chargeable. Two complaints about managing tenancies were received and I draw your attention to the complaint brought by a man who has mental health difficulties. He had to give up his tenancy following prolonged stays in prison and hospital. The Council had agreed to store his possessions but later destroyed them while the complainant was in hospital. I found that your Council had failed to provide written clarification of the terms on which the goods were being stored, to make a detailed inventory or to give notice of the intention to dispose of the goods. The complainant decided to accept the Council s offer of settlement of 2,250. I am pleased to note that your Council accepted my advice and has produced a new policy on the disposal of tenants property.

92 The remaining complaints raised no issues of significance. I am grateful to the Council for its assistance in settling these complaints. Other findings Seventy-five complaints were decided this year. Of these, 25 were determined as premature and referred back to your Council for consideration under its complaints procedure. The local settlements referred to above account for just over a third of all decisions made. Eleven complaints were outside my jurisdiction and the remaining 20 were not pursued, either because no evidence of maladministration was seen or for other reasons, mainly because no significant injustice flowed from the fault alleged. Your Council s complaints procedure and handling of complaints Last year I noted that the Council had devoted significant resources to overhauling its complaints procedures and I was hopeful that this year would see a marked improvement in overall performance. There has been some change for the better but while the overall number of complaints has fallen, the number of premature complaints is still higher than the national average, which this year is 27%. I know that the Council has included a link to its complaint process on its Home Page but it may be that accessibility is hampered by internal difficulties in recognising that a complaint has been made. My officers also report some reluctance on the part of your Council to accept fault when it is identified. There is still work for the Council to do here in valuing the learning experience of complaints and feeling confident enough to admit fault. My officers are willing to provide advice and assistance wherever this may be helpful and I would urge your Council to take advantage of this to build upon the progress made this year. Liaison with the Local Government Ombudsman I ask all councils to respond to my enquiries within 28 calendar days, including bank holidays and weekends. Last year I asked your Council to try to make improvements because its average response time was 48 days. This year we made 34 enquiries and your response time increased to 48.2 days. Only nine responses were received within 28 days. Again, I know your Council is keen to make improvements and my staff will do all they can to help, but much more effort still needs to be put into this important function Some of your Council s responses have been described as confused by my officers and I urge your Council to ensure that files are reviewed by senior managers before responses are sent to me. This will save both our offices from additional work resulting from further enquiries and will benefit complainants. I welcomed the opportunity to meet with you, the Council s Leader and Deputy Leader in September 2007 to discuss the way forward. We had a helpful discussion. I appreciate that your Council has seen further changes in senior management in the last year. Mrs Hedley, Assistant Ombudsman, will be pleased to make a further visit after this letter is published, if you would find that helpful. Training in complaint handling Part of our role is to provide advice and guidance about good administrative practice. We offer training courses for all levels of local authority staff in complaints handling and investigation. This year we carried out a detailed evaluation of the training with councils that have been trained over the past three years. The results are very positive. The range of courses is expanding in response to demand. In addition to the generic Good Complaint Handling (identifying and processing complaints) and Effective Complaint Handling (investigation and

93 resolution) we can run open courses for groups of staff from different smaller authorities and also customise courses to meet your Council s specific requirements. It may be that a seminar on how to respond to our enquiries might be helpful. In January of this year, we delivered a good complaint handling Course to some of your officers and I hope participants derived benefit from the knowledge and expertise of the trainers. I have enclosed some information on the full range of courses available together with contact details for enquiries and any further bookings. We also offer a seminar for complaint managers and if you would like any of your officers to participate please contact my personal assistant, Mrs McCaig (l.mccaig@lgo.org.uk). LGO developments We launched the LGO Advice Team in April, providing a first contact service for all enquirers and new complainants. Demand for the service has been high. Our team of advisers, trained to provide comprehensive information and advice, have dealt with many thousands of calls since the service started. The team handles complaints submitted by telephone, or text, as well as in writing. This new power to accept complaints other than in writing was one of the provisions of the Local Government and Public Involvement in Health Act, which also came into force in April. Our experience of implementing other provisions in the Act, such as complaints about service failure and apparent maladministration, is being kept under review and will be subject to further discussion. Any feedback from your Council would be welcome. Last year we published two special reports providing advice and guidance on applications for prior approval of telecommunications masts and citizen redress in local partnerships. I would appreciate your feedback on these, particularly on any complaints protocols put in place as part of the overall governance arrangements for partnerships your Council has set up. Conclusions and general observations I welcome this opportunity to give you my reflections about the complaints my office has dealt with over the past year. I know that we had both hoped that I would be able to comment much more positively on the Council s performance this year. There has been some improvement on which your Council can build and I hope that you find the information and assessment provided useful. J R White Local Government Ombudsman The Oaks No2 Westwood Way Westwood Business Park Coventry CV4 8JB June 2008 Enc: Statistical data Note on interpretation of statistics Leaflet on training courses (with posted copy only)

94 Notes to assist interpretation of the LGO s local authority statistics 2007/08 1. Complaints received This information shows the number of complaints received by the LGO, broken down by service area and in total within the periods given. These figures include complaints that are made prematurely to the LGO (see below for more explanation) and that we send to the council to consider first. The figures may include some complaints that we have received but where we have not yet contacted the council. 2. Decisions This information records the number of decisions made by the LGO, broken down by outcome, within the periods given. This number will not be the same as the number of complaints received, because some complaints are made in one year and decided in the next. Below we set out a key explaining the outcome categories for 2007/08 complaints. MI reps: where the LGO has concluded an investigation and issued a formal report finding maladministration causing injustice. LS (local settlements): decisions by letter discontinuing our investigation because the authority has agreed to take some action which is considered by the Ombudsman as a satisfactory outcome for the complainant. M reps: where the LGO has concluded an investigation and issued a formal report finding maladministration but causing no injustice to the complainant. NM reps: where the LGO has concluded an investigation and issued a formal report finding no maladministration by the council. No mal: decisions by letter discontinuing an investigation because we have found no, or insufficient, evidence of maladministration. Omb disc: decisions by letter discontinuing an investigation in which we have exercised the Ombudsman s general discretion not to pursue the complaint. This can be for a variety of reasons, but the most common is that we have found no or insufficient injustice to warrant pursuing the matter further.

95 3. Response times These figures record the average time the council takes to respond to our first enquiries on a complaint. We measure this in calendar days from the date we send our letter/fax/ to the date that we receive a substantive response from the council. The council s figures may differ somewhat, since they are likely to be recorded from the date the council receives our letter until the despatch of its response. 4. Average local authority response times 2007/08 This table gives comparative figures for average response times by authorities in England, by type of authority, within three time bands.

96 Agenda Item 11a Appendices 3 Item No. CABINET REPORT Report Title GENERAL FUND BUDGET MONITORING 2008/09 POSITION AS AT THE END OF JUNE 2008 AGENDA STATUS: PUBLIC Cabinet Meeting Date: Key Decision: Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) 4 August 2008 YES YES YES NO Governance and Improvement Malcolm Mildren Not Applicable 1. Purpose 1.1 This report identifies the projected outturn position for the current financial Year. Appendix 1 of the report provides further background information. The report also refers to management action being taken in response to the forecast and to minimise the impact on the Council s general fund reserves at the end of the financial year. 2. Recommendations 2.1 Cabinet to note the report and the forecast overspend. 2.2 Cabinet approve the virement of the brought forward amounts for continuing 2007/08 LABGI funded schemes from the Corporate Initiatives (LABGI) reserve, comprising: 101,000 for feasibility studies in Regeneration (as detailed below) 55,000 for the Leisure Strategy 30,000 for the Car Parking Strategy Jmd/committees/cabinet report template/28/07/08

97 5,000 for the Greyfriars Bus Station Demolition 11,000 for the St Johns Masterplan 7,000 for Links View Drainage; 26,000 for Delapre Abbey. 2.3 Cabinet approve use of Corporate Initiatives (LABGI) reserve as follows: 9,700 from the for additional investigation works regarding garden flooding at Links View area of Parklands. 55,000 for the market square project of which 35k will be for an Events/Venue manager for 1 year and 20k for a designer. 20,000 for the Fish Market payment to Northampton Arts Collective (NAC). 6,000 for Chamber Business Alliance Group membership in 2008/9 and 9,000 in 2009/10 5,000 contribution to Milton Keynes South Midlands (MKSM) 2.4 Cabinet approve the virements from the Service Improvements reserve as follows: 28,000k for planning improvements work begun and approved in 2007/08. 4,350 from the Service Improvements reserve relating to the funding of member training costs. 2.5 Cabinet approve a virement of the 50,000 from the General Earmarked Reserve set aside at the year end for fees relating to the disposal of non HRA land. 3. Issues and Choices 3.1 Report Background The Council approved the General Fund Revenue Budget on 28th February The 2008/09 budget preparation process identified a substantial gap in funding. This was bridged by a combination of policy, efficiency and base budget savings of 6.98m. Of the savings built into the budget 5.38m related to ongoing savings that were approved as part of the 2007/08 budget setting process and 1.6m of new savings that were identified during the 2008/09 budget setting process It is important that the savings built into the budget are achieved to minimise the impact on both the Council s general reserves at the end of this financial year and the impact on future year budgets. It is intended that all policy, efficiency and base budget savings that were built into the approved budget will be monitored and reported separately this financial year together with the regular monitoring of the revenue budget. Should any of the savings be unachievable, management action will be taken to identify alternative savings or income. Jmd/committees/cabinet report template/28/07/08

98 3.2 Issues Budget Managers, in conjunction with Finance, have undertaken a review of the progress being made towards achieving the savings contained within the budget. Work has also been undertaken to identify any other emerging issues that cannot be contained within the approved budget with appropriate management action. Appendix 1 presents the identified variations from the approved budget that are giving rise to a forecast net overspend of 576k for services before management actions, or 101k including management actions Table 1: General Fund Provisional Outturn Summary (,000) RAG Directorate 2008/09 Original Budget 2008/09 Additional Budget 2008/09 Revised Budget* Projected Outturn Actuals - End May 2008 Projected Outturn Variance to Revised Budget - End May 2008 G Governance & Improvement*,000,000,000,000,000 14, ,729 14, R R Customers and Service Delivery 17, ,142 17, People, 8, ,462 8, Planning, and Regeneration Sub Total 40, ,333 40, Vacancy Savings Total 40, ,333 40, RAG (Red, Amber, Green) criteria were agreed by Management Board at their meeting on 16 August The criteria are detailed at Appendix k of the net projected overspend relates to policy and efficiency savings that Budget Managers have indicated still require further work. Appendix 2 contains details of the progress being made to achieve the savings Where savings have not yet been made or an overspend is forecast, management will prepare an action plan to ensure delivery. A proposed template for the action plans was discussed at Management Board on 6 September This is currently under review following trials with Corporate Managers k of the remaining overspend relates to vacancy savings that are not currently forecast to be achieved. It is anticipated that this will be achieved Jmd/committees/cabinet report template/28/07/08

99 due to natural turnover during the year. Management action will be taken to ensure that the required savings are delivered. This will be specifically monitored The remaining 30k overspend before action and funding virements relates to emerging issues identified by Budget Managers Management action and funding virements of 475k have been identified to offset part of the forecast overspends Overall these items give a forecast net overspend of 101k. Governance and Improvement The RAG status for Governance and Improvement is Green as the Directorate is forecasting an underspend. The reasons for the variance are explained below. Service Area Forecast Variance before Action Forecast Variance after Action,000,000 Chief Executive 0 0 N/A Performance and Improvement Governance Communications & Narrative (34) (34) Employee savings net of vacancy target (2) (2) Mainly employee savings net of vacancy target and additional income received by the service Legal and Democratic (1) (1) Employee savings net of vacancy target Finance and Asset Management (106) (106) See below Total (143) (143) Finance and Assets Employee savings net of vacancy target generate a forecast underspend of 239k Loss of commercial rent income 127k. Work is ongoing in relation to target savings included in this overspend forecast of 41k relating to additional commercial rental income that is not expected to be achieved. An action plan has been developed to sort out the 86k rental income deficit The remainder is made up of minor variations below 50k totalling a net 7k. Jmd/committees/cabinet report template/28/07/08

100 Customers and Service Delivery The RAG status for Customers and Service Delivery is Red as the Directorate is forecasting an overspend of more than 100k. The reasons for the variance are explained in the table below. Service Area Forecast Variance before Action Forecast Variance after Action Narrative Community Safety, Leisure, and Town Centre Operations,000,000 (120) (120) See below. Customer Services Employee budgets show an overspend of 62k (taking into account the vacancy target). An overspend of 100k relating to costs of outsourcing printing are to be recharged to services requesting printing. Streetscene & Property Maintenance See below Housing Services Mainly unachieved employee savings for the vacancy target Total Community Safety, Leisure, and Town Centre Operations Employee budgets show an overspend of 89k (taking into account the vacancy target). This is mainly due to the costs of covering sickness and vacancies in the parking service and appointment of the Leisure Duty Officers at a higher grade than budgeted. The Leisure employee costs need to be taken in context with the related income, which is likely to be over achieved, but the exact value is currently uncertain Net savings of 237k are forecast in Community Safety mainly relating to supplies and services and additional income on Building Safer Communities The remainder is made up of minor variations below 50k totalling a net 28k Work is ongoing in relation to car parks income, which therefore remains a risk area for this service. Jmd/committees/cabinet report template/28/07/08

101 Streetscene Employee budgets show an overspend of 370k (taking into account the vacancy target). This is mainly due to unachievable savings on Street Cleaning of 129k, 57k for unbudgeted cleaning staff costs on Public Conveniences, and insufficient forecast employee savings to meet the vacancy factor for this service During last year, 6 posts were deleted from the street cleansing establishment. However, the budget associated with these posts was fixed term and not on going revenue. Streetscene intend to manage the forecast overspend this year through not recruiting to posts when employees leave the Council. In addition, they intend to supplement this overspend with underspends within grounds maintenance and additional income through recycling Transport cost overspends of 52k for the 2 months continuation of trade waste services are offset by corresponding additional income of 98k Silt removal is now classified as hazardous waste, and costs more to remove, this has resulted in an overspend of 70k on Westbridge Depot This is partly offset by additional income of 54k mainly relating to vehicle washing The remainder is made up of minor variations below 50k totalling a net 51k. People, Planning & Regeneration The RAG status for People, Planning, and Regeneration is Red as the Directorate is reporting a forecast overspend of more than 100k. The reasons for the variance are explained in the table below. Service Area Forecast Variance before Action* Forecast Variance after Action* Narrative,000,000 Human Resources Reduced income for sheltered placements and unachieved employee savings for the vacancy target Regeneration and Growth (8) (8) See below Development: Building See below Control & Environmental Health Total Jmd/committees/cabinet report template/28/07/08

102 Human Resources Funding of 50k was set aside for the additional cost of the interim Corporate Manager in HR in the General Earmarked Reserve. Cabinet were asked to approve the supplementary estimate for the application of this funding at the meeting on 14 July, which had not yet taken place at the time of preparing this report. Development, Building Control, and Environmental Health Employee budgets show an overspend of 58k. This is mainly due to taking into account the vacancy target An income shortfall is forecast for Building Control relating to the effects of the economic downturn on building activity and competition from external inspectors Work is ongoing relating to additional income forecast in relation to DFG capital schemes The remainder is made up of minor variations below 50k totalling a net 55k. Regeneration and Growth Net employee savings of 90k are forecast, taking into account the vacancy target Overspends of 59k mainly relate to consultancy costs on regeneration projects The remainder is made up of minor variations below 50k totalling a net 23k. Other Areas for Information An emerging issue has been identified relating to the settlement of equal pay claims. Due to ongoing negotiations, no figures have yet been included in the budget monitoring for this As indicated above, managers have already taken action to minimise the overall net impact on Council finances. This includes identifying where there is scope for efficiencies without detriment to public service delivery, seeking additional external funding and capitalisation of specific costs. Managers must continue to rigorously assess areas in which further efficiencies can be achieved. Particular attention should be given to management of the employee establishment The report recommends the virement of the 50,000 from the General Earmarked Reserve for fees relating to disposals of property. This will be used to meet the costs of obtaining external professional advice (principally Surveyors and Legal fees) in connection with the disposal of property generating capital receipts (including major development projects), the grant of leases generating revenue income and in connection with obtaining expert advice clarifying the Council's legal position Jmd/committees/cabinet report template/28/07/08

103 Improvement Fund The opening balance on the Improvement Fund Reserve for 2008/9 is 215k. Less:,000 Improvement Fund Balance as at Requests for virements considered at 14 July Cabinet Funding for Performance Officers (60) Funding for Employment Solicitor (25) Total estimated Improvement Fund balance at At the year end 2007/08 28,000 was retained in the improvement fund relating to funding approved for planning service improvements in 2007/08. This work is to be completed in 2008/9 and this report requests approval to vire this funding from the reserve for the 2008/09 planning service improvements work A total of 10,350 is requested for member training, of which 6,000 is due to come from EMIP funding, and the remaining 4,350 is requested from the Improvement fund This will reduce the Improvement Fund balance to 126, Corporate Initiatives (LABGI) Earmarked Reserve The opening balance on the Corporate Initiatives Reserve for 2008/09 is 885,000. Less:,000 LABGI Balance as at Requests for virements considered at 14 July Cabinet Funding for Delapre Abbey* (3) Funding for Beckets Park/Midsummer Meadows (50) Waterside Enhancements Total estimated LABGI balance at At the end of 2007/08 a number of projects allocated funding from this reserve had not been completed and the funding was carried forward in the reserve for 2008/09. This report requests Cabinet approval to vire this money to the appropriate services as follows:,000 Links View Excess Water Study 7 Delapre Abbey 26 Feasibility Studies in Regeneration 101 Total This will reduce the balance on this reserve to an estimated 698, A number of requests for LABGI (Corporate Initiatives Reserve) funding have been brought forward for approval with the month 3 monitoring. Jmd/committees/cabinet report template/28/07/08

104 It was noted in Budget Monitoring report to Cabinet on 14 July 2008 (re: revenue position at end of May 2008) at , that 7,000 for feasibility studies relating to excess water in the Links View area of Parklands had been moved from 2007/8 budget to 2008/9. An initial consultants desktop based study has been completed at a cost of 2,129 and details have been supplied to the Portfolio holder. However, in order to substantiate initial conclusions in that report and to help to eliminate other possible causes, a series of site drainage surveys and intrusive ground investigations are recommended under the supervision of the same consultant engineers. The cost of this work is 14,545. In order to conclude these investigations using the well being powers of the Council, it is necessary therefore to allocate an additional 9,700 to cover all anticipated costs, over and above the balance of LABGI monies brought forward from 2007/8. It is recommended that this additional sum be allocated from the Corporate Initiatives (LABGI) Reserve In line with the Market Square report elsewhere on this agenda it is recommended that 55,000 be approved for Regeneration for the recruitment of and Events/Venue manager ( 35,000) and a designer ( 20,000) In addition, 20,000 is requested for the Fish Market to be paid to NAC. This will help to ensure that the Fish Market can stay open, retaining the visual arts offer that it brings and assisting with the retention of arts graduates within Northampton. It will also enable NAC to use this as leverage for other funding This will reduce the Corporate Initiatives Reserve balance to 623, General Fund Balances The opening General Fund Balance for 2008/09 is 2,751k, which is in line with the risk assessment of reserves Housing Revenue Account (HRA) A separate report detailing the HRA position appears elsewhere on the agenda. 3.3 Choices (Options) Cabinet is invited to note the report and the actions being taken to contain net expenditure to minimise the impact on the Council s reserves at the end of the financial year Consideration must be given as to if further management action can be taken to achieve those savings that have been identified by Budget Managers as unachievable Options for further constraining expenditure without detriment to front line service delivery must be considered corporately to address the projected net overspend Cabinet are asked to approve the supplementary estimates as detailed in the recommendations to this report. Jmd/committees/cabinet report template/28/07/08

105 4. Implications (including financial implications) 4.1 Policy The table at shows that the budget is forecast to be overspent by 101k. 4.2 Resources and Risk This report informs the Cabinet of the forecast revenue budget outturn as at the end of June There will be an ongoing impact on future year budgets of not achieving savings contained within the 2008/09 budget. 4.3 Legal There are no specific legal implications arising from this report. 4.4 Equality Not applicable 4.5 Consultees (Internal and External) Chief Executive, Directors, Corporate Managers, and Budget Managers have been consulted. 4.6 How the Proposals deliver Priority Outcomes Monthly budget monitoring relates to improving the CPA Use of Resources score, which contributes to the priorities of continuing to improve our weakest services and continuing to strengthen our financial management. 4.7 Other Implications Not applicable 5. Background Papers 5.1 Cabinet Reports 26 th June /08 General Fund Revenue Budget Outturn Position 14 th July 2008 Revenue Budget Monitoring to 31 May 2008 Isabell Procter, Corporate Director, ext 8757 Jmd/committees/cabinet report template/28/07/08

106 Appendix 1 General Fund Controllable Revenue Budget - Forecast Outturn Variance 2008/2009 as at 30 June /2009 Original Budget 2008/2009 Use of Reserves 2008/2009 Virements 2008/2009 Current Budget Savings / Efficiency Target Included within 2008/09 Budget Savings / Efficiencies Target (Over) / Under Achieved Employee Savings / Efficiencies Target (Over) / Under Achieved Employees Forecast Net of Vacancy Factor Other Emerging Issues Forecast Outturn (Underspend) / Overspend before Management Action Management Action - Virement from Reserves Management Action Plans in Place Forecast Outturn following action plans & budget transfers Chief Executives Chief Executives Performance, IT & Improvement 2, , Governance & Communications 3, , Legal & Democratic 1, , Finance & Asset Management 6, , , ,729-2, Customers & Service Delivery Community Safety, Leisure & Town Centre Operations , Customer Services 2, , Streetscene & Property Maintenance 12, ,027-1, Housing Services - General Fund 1, , , ,142-3, People, Planning & Regeneration Human Resources 1, , Development - Building Control & Environmental Health 2, , Regeneration, Growth & Community Development 4, , , , Staff Turnover Savings Total General Fund Controllable Revenue Budget 40, ,333-6, Notes A positive variance indicates a budget overspend and a negative variance indicates a budget underspend Prepared by Finance P3 GF Appx 1 and 2Appendix 1

107 Which Saving Approved Agreed in 2007/08 Budget Setting Process Agreed in 2008/09 Budget Setting Process Agreed in 2008/09 Budget Setting Process Shortfall / (Excess) 000's 000's 000's 000's Building Control BD1 Increased income 2007/ The efficiency saving cannot be achieved as the Continually monitor Income with a view to Building Control Income has been affected by the establish income trend changes; also monitor downturn in economy and competition from Approved Inspectors expenditure to see if it can be reduced to meet the savings & efficiency target Downturn in activity Environmental Protection PS2 Environmental Health - cease nonmandatory activities, e.g. safe cycle routes, healthy eating 2007/ Post was deleted from Environmental Protection and redeployed to a budgeted post in Regeneration, Growth & Community Development in 2007/08. Therefore saving for 2008/09 has been achieved Private Sector Housing BD2 HIMO Licensing Income 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Private Sector Housing EF01 Private Sector Housing - deletion of vacant posts plus possible redundancy 2007/ The 2008/09 budgets include a reduction for this efficiency saving. Employees is currently showing an overspend of 5k for this area Monitor employees budget during 2008/09 Private Sector Housing PS01 Private Sector Housing - cease nonmandatory aspects of energy efficiency Building Control and Environmental Health 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. PEE001 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Building Control and Environmental Health PEE004 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Housing Services HSE001 Benefits 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Housing Services HSE002 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Housing Services HSE003 Homelessness Prevention 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Housing Services HSE004 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Arts Development PS24 Arts Development External income. This is offset by an additional expenditure budget that was created 2007/ The Expenditure Budget has been forecast at nil to offset the income that will not be achieved. The income will not be achieved, but the service will not spend the 50k expenditure budget to offset the unachieved income. CCTV BH4 CCTV Savings 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. This was achieved in Suppies and Services in 07/08. It is likely to be achieved in Building Safer Communities in 08/09. Christmas Lights PS09 Xmas Lights - cease provision by NBC 2007/08 & Additional 30k was allocated to the service

108 Community Safety, Leisure and Town Centre Operations organisations for Anti Social Behaviour unit. This is offset by an additional expenditure budget that was created in Director budget CEE002 Cessation of CASPAR project - merging with neighbourhood management it is anticipated that this will be achieved in 2008/ / This saving was identified by the Budget Manager during the 2008/09 Budget Setting Cross Cutting DC3 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Events and Arts PS04 Arts Development & Events - additional income through charges and staffing reorganisation 2007/08 & 2008/ The majority of this saving relating to income Corporate proposals for next year need to be targets assigned to the Balloon Festival. As part raised for consideration by management. of the 2008/09 budget setting process 216k was allocated to the budget to eliminate the income target. An additional 75k was allocated to fund the festival however that is not monitored as part of this document. Poor weather at the Balloon Festiva poor throughput and underachievem charge income and/or trade income. Events, Arts, Museums DC5 Events, Arts, Museums - S&S - Does this 2007/ Saving achieved in full in 2007/2008. Therefore require specific action to achieve? it is anticipated that this will be achieved in 2008/2009. Health Wellbeing and Access PS03 Health Wellbeing & Access - discontinue service 2007/ Post has been deleted in 07/08. Leisure Centres BD4 Leisure Service 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Leisure Centres PS05 Leisure Centre Charges 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Leisure Centres PS06 Leisure Centre Energy Costs - increased costs to be funded from further increase in charges 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Tourist Information PS07 Tourism - withdraw funding from Explore Northants. 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Town Centre Management EF02 Town Centre Mngmt/Community Safety efficiencies/income 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009.

109 not in place yet and the Leisure Manager is requesting that the posts are employed at a higher grade than originally anticipated. It is estimated that the posts will be filled in October but the Leisure team have confirmed that the full 28k saving is unlikely to be achieved. not in place yet and the Leisure Man requesting that the posts are employ higher grade than originally anticipat estimated that the posts will be filled but the Leisure team have confirmed 28k saving is unlikely to be achieve Community Safety, Leisure and Town Centre Operations CEE004 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Community Safety, Leisure and Town Centre Operations CEE005 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Leisure Centres Leisure Price Increases 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Administrative Services EF06 Admin Services non-staffing 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Cross Cutting Administration Services DC1 Cross-cutting savings as a result of OSS (i.e.. in other service areas) 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Customer Access EF05 Customer Access non-staffing 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Customer Services EF04 Customer Services posts 2007/08 & 2008/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Post Room EF07 Postages - increased (some overlap/duplication with above) Additionally there is a further 18k "shaving" of postage budget agreed between Ian Thompson and Clive Thomas. Total of 78k represents nearly 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Post Room OT2 Post Room 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Print Unit BH1 Print Unit, incl partnership wkg 2007/08 & 2008/ Management action is required to address issues relating to demand This is a customer driven service so any cost pressures arising from high demand for services will need to be addressed by the services making those demands. There is a risk that demand driven c exceed the authority's ability to deliv offset them. Print Unit EF03 Print Unit (links to above) 2007/08 & 2008/ Management action is required to address issues relating to demand This is a customer driven service so any cost pressures arising from high demand for services will need to be addressed by the services There is a risk that demand driven c exceed the authority's ability to deliv offset them.

110 Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Asset Management EF10 Finance & Asset Management vacancy freeze 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Asset Management EF11 Window cleaning reduced freq. 2007/ Certain contracts have ceased to result in savings to date. Progress needs to be made with all contracts to achieve all budgeted savings. Overall saving not made in a number of areas within the authority. Risk that the contracts that have not renegotiated may not be able to be n down in price. Audit OT3 Audit Fees/Internal Audit - only 38k re Internal Audit included in budget 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Council Tax PS12 Council Tax 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Cross Cutting EF08 Cease insurance cover on low risk areas. 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Debt Management MS1 Debt rescheduling 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Finance BD7 Increase in Commission re Insurance on Sold Flats 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Other Land and Buildings BD5 Increase of rent for small industrial units not increased for some years Other Land and Buildings BD6 Minor increase on main portfolio where reviews and lease renewals due 2007/ There is a back log of lease reviews, when fully Rent reviews to be completed within this financial A risk exists that if the rent reviews a processed, will result in increased rents and back year. rent. Reviews on target for 2008/09. There was completed in full in 2008/09, that the not be achieved. also a high level of vacancy rates at a number of Industrial Units. 2007/ There is a back log of lease reviews, when fully Rent reviews to be completed within this financial A risk exists that if the rent reviews a processed, will result in increased rents and back year. rent. Reviews on target for 2008/09. A number of completed in full in 2008/09, that the not be achieved. tenancies have been terminated with the properties remaining vacant. Other Land and Buildings BD8 Increase in Service charges for industrial units especially gas/electricity 2007/ Due to a higher level of vacancies reduced income from Service Charges. Service Charges are levied to recover costs and will be in line with any increase in utility costs. Increased Income therefore will be in line with increased expenditure and must be monitored closely.

111 Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Finance and Asset Management FAE004 Staff Agency Savings due to Vendor neutral contract 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Finance and Asset Management FAE005 NNDR Savings as a result of challenging NNDR on NBC properties 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Finance and Asset Management FAE006 VFM Postage Review 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Finance and Asset Management FAE007 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Cllr & Managerial Support, Meeting Services and Communications Unit EF12 Restructure Admin Support and delete vacant posts 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Community Centres PS27 Community Centres. This is offset by an additional expenditure budget that was created. 2007/ Income and expenditure budget of 50k set. Community Centres working party has been established. The 50k saving has not been achieved but this is offset by the 50k expenditure budget not being spent. Look into the community centres purpose against the councils priorities, assess their working arrangements and investigate the possibility of them becoming more self sufficient. All management contracts will be reviewed. Community Development EF21 Planning (delete vacant posts, rationalise grants admin and community development) 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Community Grants PS08 Royal & Derngate Grant - phased reduction in grant 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Community Grants PS14 Community Grants 2007/ Community Grants PS26 Next Grants allocation process will work 2007/ Saving achieved in full in 2007/2008. Therefore with reduced budget. This is offset by an additional expenditure budget that was created. it is anticipated that this will be achieved in 2008/2009. Cross Cutting EF13 Hospitality (excluding Mayoralty and residual corporate provision) 2007/ Ongoing budget monitoring. Board attention required to attribute responsibility for the achievement of this saving. Publicity EF14 Reduce Advertising Budget 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Risk of insufficient minimisation of h costs to deliver savings

112 it is anticipated that this will be achieved in 2008/2009. ICT EF17 HR/Payroll replacement system 2007/ Saving achieved in full in 2007/2008. Therefore Governance, Resources and Communications GCE004 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Homelessness BH5 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Homelessness DC2 Cease use of B&B for Homeless 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Housing Money and Advice PS11 Housing & Money Advice Merger - reconfigure service/integrate with OSS - reduction of 4 fte (vacant posts) 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Human Resources EF16 HR Division Restructure - 6 posts to go, replaced by 4 new posts (generally lower graded) 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Training EF15 Reduce Training Provision 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Human Resources HRE002 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Human Resources HRE004 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Licensing BD9 Increased Licensing Income - Based on 2006/07 experience. 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Legal & Democratic LDE002 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Legal & Democratic LDE003 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable.

113 it is anticipated that this will be achieved in 2008/2009. ICT EF19 Electoral System implementation 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. ICT EF20 Freeze vacancies - Performance Officer plus Analyst/Programmer 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. ICT OT6 Telephones 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. Building Control PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. ICT PS13 Mobile Telephones 2007/ Corporate ongoing efficiency savings on mobile phones throughout the authority. Performance Management OT5 Deletion of vacant posts 2007/ Achieved the deletion of the vacant Research & Information Officer post in full in 2007/08. Therefore this will be achieved in 2008/2009. ICT PIE001 Mainframe Replacement Savings on Hardware and software 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. ICT PIE003 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. ICT PIE002 Recruitment cost savings 2008/ This saving was identified by the Budget

114 assumed 100k growth, removed in budget setting - equivalent to c2.5fte it is anticipated that this will be achieved in 2008/2009. Regeneration EF21 Planning (delete vacant posts, rationalise grants admin and community development) 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Regeneration, Growth and Community Development RGE001 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Regeneration, Growth and Community Development RGE002 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Performance, IT & Improvement Vacancy Factor Based on historic experience the saving is achieveable Human Resources Vacancy Factor Based on historic experience the saving is achieveable Regeneration, Growth & Community Development Community Safety, Leisure & Town Centre Ops Vacancy Factor Based on historic experience the saving is achieveable Vacancy Factor Based on historic experience the saving is achieveable Legal and Democratic Services Vacancy Factor Based on historic experience the saving is achieveable Finance & Asset Management Vacancy Factor Based on historic experience the saving is achieveable Governance & Communications Vacancy Factor Based on historic experience the saving is achieveable Customer Services Vacancy Factor Based on historic experience the saving is achieveable Building Control Vacancy Factor Based on historic experience the saving is achieveable Streetscene & Property Maintenance Vacancy Factor Based on historic experience the saving is achieveable Housing Services Vacancy Factor Based on historic experience the saving is achieveable Domestic Refuse Collection EF22 Managed vacancy factor - Streetscene 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009.

115 Grounds Maintenance SSS002 Reduction of Tools Budget 2008/ This saving was identified by the Budget Parks & Grounds Maintenance PS17 Grounds Maintenance - reduced frequency of grass cutting/maintenance of parks - loss of 9 fte staff Parks Savings - duplication - Ongoing impact of 2006/07 budget decision, I.e. 100k in 06/07 rising to 250k in 07/08. (8 fte) 2008/09 approved in the 2007/08 Budget Setting Process for 2008/09 was 240k. An additional 50k was awarded to the service to pay for 2 park rangers during the 2008/09 Budget Setting Process. Overspend due to severance costs and employee costs for first part of the year. 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Parks & Grounds Maintenance PS23 To be achieved from other SS services 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Public Conveniences PS20 Public Conveniences Other - closure of all public conveniences other than parks 2007/08 & 2008/ Saving achieved in full in 2007/2008. Additional funding of 100k was awarded to this service in the 2008/09 budget setting process with respect to investment in conveniences across the town. Saving and Efficiency target currently unachieved due to 2 staff still being employed giving an overspend of 46k. This is offset by savings on temporary staff of 15k. Public Conveniences PS21 Public Conveniences Sheep Street - closure 2007/ Saving and Efficiency target currently unachieved due to 2 staff still being employed giving an overspend of 46k, unbudgeted cleaner 20k and temp costs 6k. This is offset by savings on temporary staff of 15k. Recycling DC4 Material Recycling Facility 2007/ Saving achieved in full in 2007/2008. Therefore it is anticipated that this will be achieved in 2008/2009. Street Cleaning PS15 Street Cleaning - 10% reduction in service levels. 2007/ To be achieved from other SS services To be addressed by budget realignment Street Cleaning PS16 Weed Spraying - reduce frequency from 4 sprays to 2 sprays pa. 2007/ This saving will be achieved from with the Parks and Open Spaces budget. In doing so the service will exceed the target savings allocated the service. To be addressed by budget realignment Trade Refuse Collection BH3 Sale of Trade Refuse Operation 2007/ Sale being progressed. All budgets have been removed from the service Streetscene and Property Maintenance SSS004 Further Efficiencies identified by Budget Manager during 2008/09 budget setting process 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable. Streetscene and Property Maintenance SSE003 Recruitment cost savings 2008/ This saving was identified by the Budget Manager during the 2008/09 Budget Setting process and is currently deemed achievable.

116 2008/09 budget setting process -5, ,599-6,

117 Appendix 3 Red, Amber, Green (RAG) Criteria for Revenue Budget Monitoring The RAG status is based on the overall directorate position. Ideally there should not be any movement from green to red; amber should be used through effective monitoring for initially flagging the budget pressure so that it can be addressed. Red - Where the forecast directorate overspend is over 100, An action plan needs to be created and agreed. Amber - Where the forecast directorate overspend is over 50,000 (but under 100,000) - An action plan is in place and is being monitored. - An unexpected shift took place at the previous year end (over 200,000). Green - Estimated outturn on budget, nothing of concern. Notes i. Action Plans Where over 100k they will need portfolio member approval, and DMT where less than 100k. ii. Underspends unless there are adverse service implications or the underspend is significant and unplanned, underspends will be shown as Green.

118 Agenda Item 11b Appendices 1 Item No. Report Title AGENDA STATUS: CABINET REPORT HOUSING REVENUE ACCOUNT BUDGET MONITORING 2008/09 POSITION AS AT THE END OF JUNE 2008 PUBLIC Cabinet Meeting Date: Key Decision: Listed on Forward Plan: Within Policy: Policy Document: Directorate: Accountable Cabinet Member: Ward(s) 4 August 2008 NO YES YES NO Governance and Improvement Malcolm Mildren Not Applicable 1. Purpose 1.1 This report identifies the projected outturn position for the current financial Year for the Housing Revenue Account (HRA). Appendix 1 of the report provides further background information. The report also refers to management action being taken in response to the forecast and to minimise the impact on the Council s HRA working balances at the end of the financial year. 2. Recommendations 2.1 Cabinet to note the report and the forecast overspend of 22k on services. 2.2 Cabinet request further development of the monitoring report to go to the next Cabinet meeting to include Dwelling Rental and Garage Rental Income. Jmd/committees/cabinet report template/25/07/08

119 3. Issues and Choices 3.1 Report Background The Council approved the 2008/09 HRA Budget on 28th February The 2008/09 budget preparation process delivered a balanced budget. 3.2 Issues Budget Managers, in conjunction with Finance, have undertaken a review to identify any emerging issues that cannot be contained within the approved budget with appropriate management action. Appendix 1 presents the identified variations from the approved budget that are giving rise to a forecast net overspend of 22k for services It should be noted that Working Balances carried forward from outturn are lower than the budget by 1,064k. This variance was detailed in the HRA Budget 2007/08 Outturn Report presented to Cabinet on 26th June There was an additional 3m moved into earmarked reserves The overspend of 22k on controllable costs is mainly as a result of the expenditure that has been incurred to engage the services of external expertise, to review the sheltered housing Supporting People function and to provide the mediation service available to tenants. These costs were not included in the budget The Provision for Bad Debts is currently forecast as per the budget. However, Audit Committee have asked for a report on overall rent collection trends which will allow a revised forecast in the future Item 8 Interest on balances - as a result of greater than budgeted overall balances being held by the HRA (reported to Cabinet 26 th June 2008), it is anticipated that this will result in a higher level of interest becoming payable to the HRA. The level of this increase has yet to be quantified Housing Service structural review a fundamental review of the structure of the Housing Service is being undertaken. Full details are not yet available but it is currently anticipated that there will be no overall net increase in the cost of services An HRA Asset Management Strategy and Business Plan is currently being compiled. This may have an impact on the forecast outturn. This will be reported to a future cabinet meeting Rental Income work is currently being undertaken to develop a robust monitoring system, which will accurately reflect all of the complexities involved in the collection of rental income. This work will be included in future reports Garages Income a review of garage rental income is being undertaken to establish the anticipated level of income for the year, taking account of the current level of voids. This review will be reflected in future reports Repairs and Maintenance expenditure is dependent upon many factors including the value of void works required to maintain the progress achieved in void turnarounds, and the value of work that is able to be capitalised. It should also be noted that the Property Maintenance Service has been the subject of a structural review, which, if implemented, may impact upon the net Jmd/committees/cabinet report template/25/07/08

120 cost of the service. However, at this time it is anticipated that there will be no overall increase in costs. 3.3 Other Areas for Information An emerging issue has been identified relating to the settlement of equal pay claims. Due to ongoing negotiations, no figures have yet been included in the budget monitoring for this As indicated above, managers have already taken action to minimise the overall net impact on HRA working balances finances. This includes identifying where there is scope for efficiencies without detriment to public service delivery, seeking additional external funding and capitalisation of specific costs. Managers must continue to rigorously assess areas in which further efficiencies can be achieved. Particular attention should be given to management of the employee establishment. 3.4 HRA Capital Programme Reserve The opening balance on the Capital Programme Reserve for 2008/9 is 5m The Reserve has been set aside to fund future Capital Programmes and is considered prudent in order to support the delivery of the outcomes of the HRA Asset Management Strategy and the HRA Business Plan. 3.5 Leaseholder Capital Works Reserve The opening balance on the Leaseholder Capital Works Reserve for 2008/09 is 1m The Reserve was set up in 2007/08 (see Cabinet Report 26 th June 2008), in anticipation of the requirement for a sinking fund or similar mechanism to account for changes made for capital works and the actual costs of Capital repairs. The outcome of the Leaseholder charging review will be subject to a separate report later in the financial year. 3.6 HRA Working Balances The opening HRA Balance for 2008/09 is 5,631k. The forecast Outturn for the year is 5,783k, showing a net increase to the Working Balance of 152k. This represents a reduction of 22k from the budgeted increase of 174k (see Appendix 1). The forecast Outturn position will be subject to continued and increasing scrutiny as the financial year progresses and more detailed analysis is possible. 3.7 Choices(Options) Cabinet is invited to note the report and the actions being taken to contain net expenditure to minimise the impact on the HRA s working balances at the end of the financial year. Jmd/committees/cabinet report template/25/07/08

121 3.7.2 Options for further constraining expenditure without detriment to front line service delivery must be considered corporately to address the projected net overspend. 4. Implications (including financial implications) 4.1 Policy Appendix 1 shows that the budget is forecast to be overspent by 22k. 4.2 Resources and Risk This report informs the Cabinet of the provisional HRA budget outturn as at the end of June There will be an ongoing impact on future year budgets of not delivering services or overspending budgets. 4.3 Legal There are no specific legal implications arising from this report. 4.4 Equality Not applicable 4.5 Consultees (Internal and External) Chief Executive, Directors, Corporate Mgrs, and Budget Managers have been consulted. 4.6 How the Proposals deliver Priority Outcomes Monthly budget monitoring relates to improving the CPA Use of Resources score, which contributes to the priorities of continuing to improve our weakest services and continuing to strengthen our financial management. 4.7 Other Implications Not applicable 5. Background Papers 5.1 Cabinet Reports 26 th June 2008 HRA Budget Outturn Position 2007/08 Isabell Procter, Corporate Director, ext 8757 Jmd/committees/cabinet report template/25/07/08

122 Appendix 1 INCOME HOUSING REVENUE ACCOUNT FINANCIAL YEAR 2008/2009 PRODUCED 25/07/08 For Periods to / / / /2009,000's,000's,000's,000's Base Budget Actuals 30 June 08 Forecast Outturn Outturn Variance Rents - Dwellings Only -40,580-10,366-40,580 0 Rents - Non Dwellings Only -1, ,157 0 Service Charges -1, ,646 0 Other Income Total Income -43,383-11,319-43,383 0 EXPENDITURE Repairs and Maintenance 9,152 2,495 9,152 0 General Management 3, ,989 6 Special Services 3, , Rents, Rates, Taxes & Other Charges Increase in Bad Debt Provision Rent Rebate Subsidy Deductions 1, ,600 0 Housing Revenue Account Subsidy 8, ,993 0 Total Expenditure 27,685 3,995 27, Net Cost of Services -15,697-7,324-15, Net Recharges to the General Fund 6,220 2,073 6,220 0 Interest & Financing Costs Revenue Contribution to Capital 2, ,000 0 Major Repairs Allowance 7, ,831 0 Net Transfer From / (To) Working Balance , Working Balance B/fwd -6,695-5,631-5,631 1,064 Working Balance C/fwd -6,869-10,882-5,783 1,086