Period 11 2011/12 (05 February 2012)
1.360 8.790 64.050 23.609 13.918 65.791
Projected Variance (favourable) / adverse £m 0.175 0.000 (0.606) 0.089 (0.008) (1.852)
Revised Annual Budget £m Resources PPP Schools Community Support Facilities Management Social Work
Educational & Social Services Key Points:
Resources The variance mainly relates to additional teaching costs in relation to the annual Pupil Roll Adjustment, following the school census in September 2011. Schools The variance principally relates to school carry forwards which head teachers anticipate earmarking and carrying forward at the year end. Facilities Management Additional work on necessary welfare facilities has been undertaken by the contractor at Grange Academy. The most cost effective option for the Council was to pay the cost upfront and accordingly a sum of £0 £0.109m 109m has been met from the Facilities Management budget. Social Work The re-ablement activities that are being rolled out across the service have resulted in a reduction in residential and nursing placements. An increased underspend is now projected in care at home costs, with budgetary provision that was made increased expenditure over the winter months not being required. The previously reported underspend within Equipment and Adaptations has reduced to £0.035m, as the action plan put in place to address the issues is implemented. Savings are being generated as a consequence of the timing of filling vacancies associated with the Childrens and Families service redesign. Children and Families Services have however, very recently been required to organise emergency childcare placements. These placements could result in significant additional costs however the extent and nature of their needs have still to be fully established.
Central Management Support Finance Human Resources Corporate Infrastructure Democratic Services Legal, Procurement & Regulatory Council Tax HB/CTB HB/CT Benefit Subsidy D bt Charges Debt Ch
0.168 2.527 2.083 10.973 3.861 2.748 (48.787) 50.539 (50.280) 19 223 19.223
Projected Variance (favourable) / adverse £m 0.000 (0.333) 0.013 (2.848) (0.233) (0.147) 0.271 0.000 (0.361) 0.000 0 000
Finance & Corporate Support
Revised Annual Budget £m
Revenue Key Points: Finance There are a number of vacancies across the service pending the implementation of the management review, anticipated savings across supplies and services, and additional benefits grants have been received from the DWP in relation to legislative changes. Corporate Infrastructure The variance mainly relates to repairs within the Property Maintenance function with the budget fully committed but the work not anticipated to be complete at the year end. Any financial underspend as a result of timing issues would require to be earmarked at the year end in order to allow the finalisation of the work in 2012/13. An anticipated shortfall in fees from the timing of work in respect of the capital programme is partly offset by vacancies pending the implementation of the management review. Democratic Services Vacancies within the Policy, Planning and Performance division, a reduction in supplies and services, including local area grants, and an underspend in relation to the Development Fund have resulted in a favourable variance. The service anticipates that there may be a need to earmark for costs to be incurred in the next financial year. Legal, Procurement & Regulatory Additional income to cover Licencing Board expenses and reduced expenditure principally on Tobacco Sales Enforcement, Chemist and ASB Night Noise are partly offset by the costs of a temporary solicitor and other service expenditure.
0.437 10.917 0.054 24.931 3.615 12.946 9.891
Projected Variance (favourable) / adverse £m (0.005) 0.005 0.000 0.000 (0.325) 0.043 (0.339)
Revised Annual Budget £m Central Management Support Leisure Services Emergency Planning Police & Fire Planning & Economic Development Roads & Transportation General Fund Housing
Neighbourhood Services Key Points:
Planning & Economic Development The variance mainly relates to reduced expenditure on the Employability and Future Jobs Fund contracts, with a balance of £0.241m required to be earmarked by the department to meet future commitments. There are a number of vacancies pending implementation of the management review, partly offset by additional expenditure in relation to business grants and reduced building warrant fee income. The variance in relation to Planning income has reduced following a review of income targets as part of the line by line review of departmental revenue budgets. Had the review not taken place, the under recovery of income would have been £0.784m primarily resulting from adverse variances in Planning Fees of £0.318m and Building Warrant Fees of £0.443m. General Fund Housing The variance reflects additional trade waste income, reduced employee costs due to the timing of vacancies and reduced overtime and special payments. An overall reduction in expenditure relating to temporary accommodation adds to the underspend.
Central Services NET EXPENDITURE 2
Revenue Revised Annual Budget £m Funded by Aggregate external finance Transfer from Capital Fund Contribution from Repairs and Renewals Utilisation of Previous Years Balances
Projected Variance (favourable) / adverse £m
(238.800) (0.772) (2.500) (4.153)
0.000 0.000 0.000 0.000
Transfer to uncommitted general fund
Housing Revenue Account Expenditure Income
Total Income Surplus for the year - departmental c/fwd
Net Expenditure Key Points: Housing Revenue Account
The expenditure variance includes £1.300m budgeted for in relation to a legal settlement. This however was charged to the HRA in the previous financial year and is therefore no longer required for this purpose. In addition, changes to the Housing Capital programme due to asbestos related issues and reprioritisation of maintenance work has resulted in expenditure being incurred later than planned. The reprioritisation of maintenance work as a result of the delays in the capital programme has resulted in projected income being under recovered by £0.825m, partly offset by an insurance recovery of £0.188m in relation to frost damage work.
Opening Balances £m General Fund Balances Uncommitted Committed and Departmental
Projected Movement £m
Projected Closing Balance £m
Total (all uncommitted)
Unmet Savings Departments require to find alternative savings to offset any unmet savings. Cabinet approval will be required where service levels are affected.
Achieved To Date
Educational & Social Services Change advertising arrangements to reduce advertising costs for teachers £ 17,250 posts Comment: New arrangements are in place. However, additional costs have been incurred relating to Head of Schools and three Senior Education Managers posts per the E&SS Management Review. Deletion of 16+ Learning Choices Co-ordinator post, following cessation of £ 18,055 external funding support Comment: Postholder retired in August rather than March - saving will not be achieved as a result of timing delay. Review of day services including redesigned management arrangements 25,000 from 3 to 2 teams and utilise new Kilmarnock facility to provide more efficient £ 200,000 £ and effective models of support. Comment: The original saving relates to set up of new day care centre which will not occur until 2013. Offsetting savings have been realised in other areas of the budget. Relocate Muirkirk Nursery Class into Muirkirk Primary School and close £ 11,369 £ Muirkirk Nursery Class Building from August 2011, subject to all necessary statutory consultations. Comment: Cabinet agreed at their meeting on 25 January 2012 to undertake the relocation of the nursery class, and to declare the existing nursery class building surplus as of August 2012. £ 50 000 £ 50,000 Review Youth Work Provision Provision across across the the authority authority Comment: An option appraisal is being undertaken. Savings will not be made in the current financial year. Reduce the number of classroom assistant numbers by 10 FTE in academic £ 91,000 £ session 2011/12 Comment: The number of classroom assistants is being carefully monitored and has reduced overall in the last 3 years. Managers continue to take action reduce the number in the longer term.
Finance & Corporate Support £ 100,000 £ 50,000 Surplus Property security costs Comment: Closure of Lugar offices was originally anticipated for September 2011, but will now remain open until March 2012. Security costs have already reduced and this will continue - it is expected that £50k will be realised in the current year.
Neighbourhood Services £ 28,540 £ Additional Income from parking charges (car parks) Comment: There has been a 10% reduction in car park usage from last year, which is broadly similar to other authorities who were contacted. There are no concerns with enforcement with an increase in notices issued compared to last year. Increase parking charges for on-street parking from 15 pence to 20 pence £ 52,190 £ per quarter hour Comment: 10% reduction in on-street usage. Regular meetings are held with the Police who report an increased level of enforcement action compared to 2010/11. £ 55,120 £ Introduce standard charging for all bulky uplifts Comment: New charges became effective 1 April 2011. Current projections suggest the increased income target will not be met. Charges will be removed with effect from 1 April 2012. There are no changes to this list since the period 9 position.
Capital Budget Expenditure Allocation to Date (£m) (£m)
Finance & Corporate Support Council Chambers/Data Centre/London Road HQ General Projects Neighbourhood Services Palace Theatre / Grand Hall Stewarton Sports Facilities Ayrshire Athletics Arena Depot Improvements Dean Road Bridge Kilmarnock Town Centre Regeneration (Johnnie Walker Bond) Kilmarnock Town Centre Regeneration (Civic Centre) Kilmarnock Town Centre Regeneration (Opera House) Cumnock Town Centre (Office) Cumnock Town Centre (Retail) Council House Building Programme (Phase 2) Council House Building Programme (Phase 3) General Projects Housing Investment Programme
Forecast Expenditure (£m)
3.281 4.300 7.025 5.600 1.000
2.516 3.781 4.897 1.330 0.057
2.981 4.300 7.025 5.600 1.150
Construction Construction Development Tender
Key Points: Palace Theatre / Grand Hall All major roof and stonework repairs are complete with the exception of some minor works to the ground floor areas. Currently anticipated that all final internal works will be completed by February 2012. An official opening event was held on 24 February 2012. Ayrshire Athletics Arena Adverse weather conditions have caused some minor delays to the construction programme. Every effort is being made to absorb the delays during the remainder of the programme, however this is dependent on favourable weather conditions during the remaining winter period. First fix and some finishes nearing completion, external works on-going with progress dependent on weather conditions. All Weather Sports Pitches Schemes are being developed in respect of Loudoun and Auchinleck Academies and existing sports pitch in Dalmellington. Currently anticipated that projects will commence on site from July 2012, and will be completed on a staggered basis up until November 2012. Dean Road Bridge Tender documents have been returned and checked, however the award of contract has been held pending resolution of all outstanding issues relating to access to private gardens. Works are anticipated to start approximately 4 weeks after an award of contract. Cumnock Town Centre (Office) Building handed over to Council C in February 2012.
Capital Budget Expenditure Allocation to Date (£m) (£m)
Educational & Social Services Darvel Primary School and Nursery School Flowerbank Nursery Kilmarnock Area Day Centre Willowbank School New Cumnock Nursery and Primary School Patna / St Xavier’s Primary Schools Co-location Littlemill Primary School Sorn Primary School Gargieston Primary School Auchinleck Community Facilities School - Knockroon Galston Community Facilities Galston Office Facilities Galston TCRF Benrig Children's House General Projects
Forecast Expenditure (£m)
1.750 2.500 10.000
0.020 0.068 2.937
1.750 2.500 10.000
1.320 1.100 12.000 4.900 10.500 1.000 2.800 0.605 1.210 1.643 6 3
0.198 0.518 3.647 0.339 0.000 0.571 0.073 0.559 1.133 0.720 0 0
1.320 1.100 12.000 4.900 10.500 1.000 2.800 0.605 1.210 1.759 59
Construction Design/Tender Design/Tender Construction
Construction Construction Tender Development
Construction Tender Complete Complete N/A
Key Points: Willowbank School Secondary steelwork for the roof is nearing completion, external and internal blockwork progressing well. Roof works were due to commence shortly however the sub-contractor has recently gone into liquidation. Whilst this will have an impact on progress in terms of the building being effectively wind and water tight (now anticipated April 2012), it is unlikely to result in any further delay to the remainder of the programme. The sub-contractor for the doors & windows has also gone into liquidation, however it is understood that this will not impact adversely on the programme. The current projected completion date is December 2012, although it is possible that a degree of beneficial access to the building could be achieved on a phased basis from the start of the academic session 2012. If available, options to accelerate the programme to achieve an October 2012 completion will be explored, however this is dependent on a number of factors including favourable weather conditions allowing progress. Littlemill Primary School Works have commenced on site. Currently anticipated that all works will be completed by the start of the 2012/13 academic year. Sorn Primary School Works are progressing well on site. The windows and roof have been completed, with repointing, finishes and second fix on-going. Currently anticipated all works can be completed by April 2012. Galston Office Facilities Tender documents have been returned and a preferred contractor identified. However, final award cannot be made until issues relating to landlord consent for access and common repairs to the Co-op building are resolved. Further investigations relating to the structural frame of the Co-op building, which hi h were carried i d outt after ft the th decant d t off Social S i l Services S i staff, t ff have h also l highlighted hi hli ht d a number b off areas requiring further detailed investigation. It is likely that these issues will lead to further delays on the overall project. 5
People Jan 2012 Number of working days lost
Working Days Available
% working days lost
417.0 8,282.5 50,369.5 21,018.0 21,427.0
9 311 2,935 795 1,103
4 42 447 155 162
2.2% 3.8% 5.8% 3.8% 5.1%
Chief Executive’s Office and Internal Audit Finance & Corporate Support. Educational & Social Services (LGE). Educational & Social Services (Teachers). Neighbourhood Services. East Ayrshire Council
Number of staff absent
6,000 4,000 2,000 0
Leavers as a Percentage of Employees 5.0% 4.0% 3.0% 2.0% 1.0% 0.0%
Vacancies Advertised Restricted Open Total
Q3 2011/12 30 118 148
Grievances Qtr3 2011/12: Chief Executive's Office Finance and Corporate Support Educational and Social Services Neighbourhood Services Total
stage 1 0 0 0 0 0
Disciplinary Action Qtr3 2011/12: Chief Executive's Office Finance and Corporate Support Educational and Social Services g Neighbourhood Services Total
Verbal / Written 0 1 0 3 4
stage 2 0 0 1 1 2
stage 3 0 0 1 3 4
stage 4 0 0 0 1 1
0 0 1 0 1
0 0 0 0 0
0 0 2 0 2
People Percentage of Working Days Lost (Council Wide) 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% Apr
Top 5 Reasons for Absence (Council Wide) - January 2012 30.0%
0.0% Stomach/Abdo minal
Operations/Rec overy/Treatmen t
Stress/Debility – Personal
Occupational Health Referrals Dec Nov Oct Sep Aug Jul Jun May Apr
16 17 13 11 16
1 0 4
23 18 2
Short Term New Referral
Short Term Ongoing
Long Term New Referral
Long Term Ongoing
Key Points: The strike day held on 30 November 2011 has been excluded from these statistics to allow for comparison with previous months. Inclusion of the strike day would increase the November absence rate from 5.1% to 7.5%. The Managing Absence Policy and Procedures has been reviewed and will be issued shortly to the Trade Unions for consultation. Of the grievances identified on the previous page, none were upheld.
HEALTH AND SAFETY
Health and Safety Non Reportable Incidents 800 600 400 200 0
84 96 157 Q1
83 117 180
Non Reportable ‐ Employees
Non Reportable ‐ Pupil Injuries
Non Reportable ‐ Others
Key Points: As incidents are not necessarily reported to the Health and Safety Section before the quarterly statistics are produced, historic Health & Safety statistics require to be recalculated at the end of each quarter. As a result, historic information is subject to a degree of change. In terms of non reportable incidents, the top three causes of incidents account for 70% of all incidents. These were Violence and Aggression (162 incidents); Slip / Trip and Fall (105 incidents) and Step On / Striking Object (65 incidents). R Reportable t bl Incidents I id t 25 20 15 10 5 0
1 2 4 9 Q4
1 1 1 3
RIDDOR ‐ Employee Injuries
RIDDOR ‐ Pupil Injuries
RIDDOR ‐ Reportable Diseases
RIDDOR ‐ Dangerous Occurrences
RIDDOR ‐ Others Injuries
RIDDOR - The Reporting of Injuries, Diseases and Dangerous Occurrences Regulations 1995
Key Points: There were 19 reportable incidents in Quarter 3 of 2011/12. The causes of the 19 incidents were as follows: Slip, Trip and Fall (8 incident); Lifting/Moving and Handling (2 incidents); Step On/Striking Object (2 incidents); Physical Exercise (2 incident); Falling Object (1 incident); Vehicle (2 incidents); Dangerous Occurrence (1 incident) and Hand Tool / Equipment (1 incident). There was 1 dangerous occurrence reported during quarter 3. The Health and Safety Section continues to work closely with Services and establishments who report a high number of incidents, in identifying management action that is being taken in an effort to reduce the number of incidents; this includes implementation of tailored remedial actions, training courses and toolbox talks.
Health and Safety Location of Incidents (Qtr 3 2011) 54.9%
0.0% Sheltered Housing
Social Work establishments
Leisure Facilities and public places
Violence & Aggression Reporting (Apr '09 to Dec '11) 100 80 60 40 20 0 Dec‐11
Average number of Days to Report an Incident Unannounced visits undertaken Number of Incident Investigations % of properties with a Fire Risk Assessment % of training identified which has been completed Number of days lost to work related stress absence Number of managers and supervisors completed Stress Management Course
Qtr 1 7.8 97 19 77% 69% 1147
2011/12 Qtr 2 9.3 211 19 95% 70% 718.5
Qtr 3 9.1 175 18 100% 77% 809
Key Points: In quarter 3 of 2011/12, 175 unannounced visits were carried by Health and Safety Officers. On two occasions an immediate order to stop work was made, as operators were using equipment without appropriate safety protection. Further investigation indicated that appropriate protection was not available on site. Both contractors were spoken to by the Health and Safety Manager and advised that this was unacceptable. Follow up visits took place to confirm compliance, which was positively recorded. A separate contractor was removed from the approved list as a consequence of the contractor's Health and Safety paperwork failing the audit process. No other notable action was recorded for the remaining visits.
Business Briefing Educational & Social Services
Key Points: Local and national strategies aim to enable older people to continue living at home when it is safe and practical to do so. With an annual 3% growth in the number of older people aged over 75 years living in East Ayrshire, a traditional Social Work model would produce a similar increase in the number of older people residing in care homes. As part of the social work sustainability programme the Council increased its investment in professional community supports to implement an enablement model of service delivery, supporting and encouraging people to become as independent as possible and reducing dependences. Increased investment in moving and handling and Telecare services, alongside regular care support reviews, encourages residents to remain independent and reduces the need for long term Council support. As a result of this strategy, the number of residential and nursing home placements has been reduced, with 34 fewer placements in January 2012 than the same period last year. Period Finance and Corporate Support Invoices - percentage paid within 30 calendar days of receipt.
YTD 2011/12* YTD 2011/12** YTD 2011/12* YTD 2011/12*
Average website page views per day Freedom of Information - percentage of requests responded to in 20 working days. Percentage of Business Advice Requests completed within 14 days
* Year to date to Period 11/January 2011 **Quarter 1, 2 and 3 2011/12
Key Points: While the percentage of invoices paid within 30 calendar days of receipt was below target for January, it is worth noting that performance for the period was actually over 3% better than the same period in the previous year. Overall however, as the figures above show, the year to date position remains well above target. The average website views per day is well above the current target, and reflects continuing use of the new Council website. The percentage of Freedom of Information Requests responded to within 20 working days in January is slighlty above target at 91.8%; however, this still means there are a number of requests falling outwith the set response time. The number of requests received between
Business Briefing April and January was 578, with 509 of these completed within 20 working days giving a figure of 96.8 % for the year to date, which is just below the target figures of 90%. Trading Standards figures for the percentage of business advice requests completed within 14 days dropped below 100% for the first time this year. This was due to three requests which were received prior to the Christmas and New Year closure, and which were not completed until the New Year; however, it shoudl be noted that the percentage of consumer complaints completed within 14 days was well above the target figure at 84.1 % for January. The Corporate Enforcement Unit within Environmental Health continue to take forward their annual plan initiatives. Each month the unit will be conducting a special initiative over and above the daily duties of complaint response and pro-active patrols. The initiatives are based on historical complaints, current facts and officer's perceptions and experience of community need. A copy of the annual planner can be found on the Members' Portal. Period Target Result Status Neighbourhood Services YTD at P11 1,424,006 1,510,478 Number of attendances at all leisure facilities P11 2011 Car Parking Revenue £869,000 £805,849 Percentage of housing repairs completed first time P11 2011 95% 95% Number of void housing properties P11 2011 350 449 Rent lost due to voids P11 2011 £800,000 £903,619 Salt Usage (Tonnes) P11 2011 8,000 6,617
Key Points: Visits to East Ayrshire Leisure Services facilities are up by 6% at 1,510,478 in year to date in 2011/12 compared to 1,424,006 1 424 006 in the same period in 2010/11. 2010/11 This has been achieved through an innovative and extensive programme of events and activities for residents and visitors. It is anticipated that with the opening of the Stewarton Sports Centre in January 2012 and the new Ayrshire Atheltics Arena which is due to open in June 2012 will further increase the visitor numbers to Leisure Facilities in 2012/13. Car parking income across all of the Council's car parks and on-street parking is down by 7% in P11 of 2011/12 compared to the same period in 2010/11. It is anticipated that Car Parking Income will remain 510% below that predicted for 2011/12, with the downturn in income being attributed to the current economic climate. The roads service has also confirmed that the drop in income experienced in East Ayrshire is in line with other Councils. The increase in void properties during 2011/12 has been significantly influenced by an increasing number of tenants transferring to other houses as a result of the introduction of the new Common Allocation Policy agreed by Cabinet in September 2010, and implemented on 1 April 2011. Moreover, the 50 new Council houses completed during the last 12 months have each been let to existing Council tenants. At Period 11 this year the number of empty Council houses was 449, compared to 387 in the same period in 2010/2011. Repairs to empty properties have been prioritised by Housing Asset Services and this has reduced the number from 504 in the last period to its present level. This equates to a 10.9% drop in overall number of voids between Period 10 and Period 11. Over the same timeframe there has been a 15.6% reduction in the number of short term voids (properties vacant for less than 6 months) from 347 to 293. The rent loss due to voids at Period 11 represents 2.8% of the total rent due compared to 1.9% at the end of 2010/11. A number of significant planning applications have been received at the start of this year including: a new Sainsbury's supermarket at Queens Drive and the associated relocation of Kilmarnock Rugby Club; the erection of 60 houses as an enabling development at Rowallan Castle; formation of a bottling plant and storage bonds for Glen Catrine Bottlers at Hurlford; four applications for new open cast coal sites at Dalmellington, Cumnock and New Cumnock (2 apps.); three windfarm applications at: Sneddon Law, Moscow; Burnhead, Dalmellington; and at Ashmark, which is south of New Cumnock. Full details can be found on the Council's web site.
Risks Risk No.
We consider the overall risk rating to be Medium as there remains uncertainty within the United Kingdom as to the longer term impact of the Comprehensive Spending Review on Public Sector finance across Scotland. Executive Reviews of existing structures / financial controls / service delivery models are Economic climate Director of ongoing to mantain strong financial management across the Council. The The level of grant funding available in the Finance and Council's efficiency strategy sets out key actions to manage this risk with the Corporate 2012/13 budget recently agreed by the Council. Work has commenced on the future will not support Support development of medium and long term financial strategies designed to ensure existing service levels. a sustainable platform on which to deliver services within available resources.
Economic climate The current economic position will have an impact on the income collected by the Council Economic climate The local economic position will have a direct impact on the residents of East Ayrshire and their demand for Council services.
Health and Safety implementation of new arrangements fails to adequately address risk.
Protection of Children and Vulnerable Adults - individuals are not adequately protected.
Financial Risk - Equal Pay and Equal Value Claims will have a significant financial impact on the Council
Fraud and misappropriation of council resources the Council is faced with financial loss through fraudulent activities.
Amber We consider the overall risk to be Medium as recent and imminent reforms to Executive benefits, and job losses in the area could have a severe impact across Council Director of services. Finance and The anticipated downturn has been reflected in Council budgets with an Corporate income contingency identified for 2012/13. Financial inclusion services are being redesigned to minimise the impact on individuals. Support Amber We consider the overall risk to be Medium as recent and imminent reforms to benefits, and job losses in the area could have a severe impact across Council services. Executive With regard to SOA commitments, the Community Planning Partnership Board Director of reviews progress on an annual basis - Council agreed the 2010/11 annual Finance and performance report at their September meeting; service structures are being Corporate redesigned to reflect changing workloads; Economic Development activities Support are being strengthened to nurture and develop local businesses and maintain / grow local jobs. Amber The overall risk is Medium recognising that there has been an increase in focus Depute Chief on Health and Safety. Failure in this area would have significant consequences for employees, service users and the Council. Exec / Executive We have arrangements in place to manage health and safety across the Director of Council - these are kept under constant review. Strengthened operational Neighbourho arrangements were agreed by Cabinet on 9 November, and appointments od Services have recently been made to key positions. Amber Executive The overall risk is Medium - the impact for individuals could be severe and Director of would adversely impact on the Councilâ€™s reputation. Educational These areas of activity are subject to regular scrutiny and review. and Social Sustainability actions will allow this risk to be proactively managed. Services Amber We consider the overall risk to be Medium as there remains an element of uncertainty in respect of the total expected cost of resolving these, and Head of potential future claims. Human A reasonable provision has been identified to fund claims which are being Resources managed by the Council with its external advisers. Amber The overall risk is Medium as the nature of the activity is such that new attacks Executive are increasingly likely. Director of Enhanced procedures are in place to prevent and detect fraud, these were Finance and recently escalated and are kept under constant review, especially in light of Corporate information received from colleagues in other areas and anti-fraud networks. Support Amber