Period 4 2012/13 (29 July 2012)
Revenue Revised Annual Projected Variance Budget (favourable) / adverse £m £m Resources Schools Community Support Facilities Management Building Learning Communities Children & Families / Criminal Justice Community Care
7.240 59.955 25.213 14.628 9.059 16.200 47.601
(0.022) (0.004) 0.001 (0.226) 0.000 (1.113) (0.576)
Educational & Social Services
Key Points: CHILDREN AND FAMILIES / CRIMINAL JUSTICE The variance is mainly due to savings from the timing of filling vacancies, slippage on the internal foster care element of the Children and Families service re-design and less than budgeted external foster care allowances. In addition, a projected saving on secure accommodation placements has been incorporated in the figures on the basis that no additional costs will be incurred other than the current twelve week placement. These savings are partially offset by additional client assistance payments, car mileage and allowances, mobile telephony costs and client supplies within the children’s residential houses. At this stage it has been anticipated that, with the exception of slippage on foster care, the balance of the Children and Families re-design funding will be utilised in full. COMMUNITY CARE The variance is mainly due to savings from the timing of filling vacant posts, reduced internal care at home service costs and additional income from charges to clients for care at home and residential and nursing care services. These savings are partially offset by additional self directed services (Direct Payments) costs and additional car mileage and allowances. It is anticipated at this early stage of the financial year that the adult care placements budget will be utilised in full (including funds set-aside for the Ross Court facility). In addition, it is anticipated that funds earmarked for the Council’s required contribution to the Older People’s Change Fund will also be utilised in full. FACILITIES MANAGEMENT The underspend arises principally from the timing of the filling of vacant posts and lower than anticipated overtime costs.
Revised Annual Projected Variance Budget (favourable) / adverse £m £m Central Management Support Finance Human Resources Corporate Infrastructure Democratic Services Legal, Procurement & Regulatory Council Tax HB/CTB HB/CT Benefit Subsidy Debt Charges
0.168 2.647 1.942 9.771 3.676 2.660 (48.494) 53.856 (53.776) 19.450
0.000 (0.170) (0.070) 0.053 (0.048) 0.000 0.000 0.000 (0.300) 0.000
Finance & Corporate Support
(8 100) (8.100)
(0 535) (0.535)
Revenue Key Points: FINANCE The variance principally relates to the timing of the implementation of the review of management structure approved by Cabinet in June last year. The service is continuing towards the staff restructuring agreed in the review but anticipates employee costs savings will be achieved this year. HUMAN RESOURCES The variance is as a result of savings on employee costs due to the timing of the filling of vacancies and management action in preparation of future year’s efficiency requirements.
Revised Annual Projected Variance Budget (favourable) / adverse £m £m Central Management Support Leisure Services Emergency Planning Police & Fire Planning & Economic Development Roads & Transportation Housing & Environment Service
0.504 8.026 0.051 24.931 3.184 10.414 14.020
(0.053) (0.163) (0.011) 0.000 0.418 0.043 (0.685)
Key Points: CENTRAL MANAGEMENT Variance mainly relates to managed savings in Supplies and Services, along with savings in training and other employee related expenses, partly offset by lower staff turnover. LEISURE SERVICES Variance mainly relates to turnover and staff vacancies, savings on sessional staff, overtime and additional Registration income. This is partly offset by increased expenditure on equipment, materials and show development and reduced Libraries income. PLANNING AND ECONOMIC DEVELOPMENT This variance mainly relates to a shortfall in income relating to Building Warrants, Planning Fees, Letters of Comfort and Other Fees and Charges. This is partly offset by managed reductions in Supplies and Services expenditure. HOUSING AND ENVIRONMENT SERVICE This variance mainly reflects managed savings in anticipation of the 2013/14 saving targets as well as savings in landfill charges, removals and storage and network costs along with additional Trade Waste, Recycling and Street Cleansing income. This is partly offset by additional costs in relation to the implementation of revised work practices within Waste Management, an Environmental Hit Squad, a provision for bad debts, fuel, tyres, non-routine vehicle repairs and shortfalls in income relating to homeless rents, furnished tenancies, cemeteries, golf and skip hires.
Central Services NET EXPENDITURE
Revenue Revised Annual Projected Variance Budget (favourable) / adverse £m £m Funded by Aggregate external finance Transfer from Uncommitted General Fund
Total Funding Surplus for the year - departmental c/f Transfer to uncommitted general fund
Housing Revenue Account Expenditure Income
Key Points: HOUSING REVENUE ACCOUNT There is a favourable variance in employee p y costs due to the timing g of the filling g of vacancies within Housing g together with a saving in the void rent loss budget following an increase to reflect actual let times during 2011/12. In addition, there is an underspend in third party payments mainly as a result of savings in environmental works partially offset by additional costs in relation to Bellsland Place. There are also savings in debt financing costs and higher than anticipated income due to additional recharges to capital and grant income related to the purchase of hybrid vehicles. Opening Balances £m General Fund Balances Uncommitted Committed and Departmental
Projected Movement £m
Projected Closing Balance £m
Total (all uncommitted)
2012/13 SAVINGS Executive Directors currently anticipate that all 2012/13 saving targets will be achieved. The current position at period 4 is that 63% of actions (33) have been fully met, and 37% (19 actions) are in progress and on course to be achieved.
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 Loudoun Academy Leisure Centre Muirkirk Nursery / Library Auchinleck Community Facilities School - Knockroon Galston Community Facilities Galston Office Facilities General Projects
Budget Allocation (£m)
Expenditure to Date (£m)
Forecast Expenditure (£m)
1.750 2.500 10.000
0.029 0.109 5.344
1.750 2.500 11.500
1.320 1.100 10.000 1.050 0.500 4.900 10.500 1.000 2.800 1.231
0.709 0.953 7.769 0.000 0.007 1.257 0.000 0.987 0.130 0.036
1.320 1.100 9.000 1.050 0.500 4.900 10.500 1.050 2.800 1.231
Complete Design/Tender Design/Tender Construction Construction
Complete Complete Development Construction Construction Development
Construction N/A N/A
Need to Know: Willowbank School Roofing works are well advanced, with external and internal blockwork largely completed. Mechanical and electrical service installations are on-going; the specialist hydrotherapy pool is also at an advanced stage. External landscaping works have commenced on site. The Project Team continue to explore measures to absorb the delay within the remaining programme, however, folowing discussions with Education colleagues the contractor is now targeting a phased handover for Easter 2013. As the project has developed and the impact of delays quantified the indications are, as noted in previous reports, that the overall costs will exceed 10% of the orginal budget. It is anticipated that the additional cost for the project can be contained within the overall Schools Capital Programme. New Cumnock Nursery and Primary School Works are progressing well on site, finishes to existing school are on-going with internal and external works to the nursery nearing completion. Indications are that construction works may be completed well ahead of schedule with potential for the school to move after the October school holiday and also that overall costs may be below the approved budget allocation. Gargieston Primary School Construction works were completed on schedule by 6 July. Final preparations are on-going with the new facilities being available to staff and pupils from the start of the new term in August 2012. Indications are that the overall costs will be below the approved budget allocation. Flowerbank Nursery / Kilmarnock Day Centre Tender documents were issued 13 July, returning 29 August. Currently anticipated that start on site for Kilmarnock Day Care project will be late October; the Flowerbank Nurary project start dependent on the completion of the Willowbank SEN project. Galston Office Facilities Following initial concerns relating to the structural frame of the Co-op building carried out after the decant of Social Services, a structural assessment indicated problems with the concrete used within the building. A further more detailed report including costs relating to possible remediation is anticipated late August. At has been agreed that in light of the latest developments the current project is suspended, pending completion of a further more detailed option appraisal exercise.
Capital Budget Allocation (£m)
Expenditure to Date (£m)
Forecast Expenditure (£m)
All Weather Synthetic Sports Pitches
Depot Improvements Dean Road Bridge
Kilmarnock Town Centre Regeneration (Johnnie Walker Bond)
Kilmarnock Town Centre Regeneration (Civic Centre)
10.500 3.466 1.607 3.837
9.731 2.178 0.039 0.010
10.500 4.142 1.607 3.837
Finance & Corporate Support General Projects Neighbourhood Services Palace Theatre / Grand Hall Ayrshire Athletics Arena
Kilmarnock Town Centre Regeneration (Opera House) Cumnock Town Centre (Office) Cumnock Town Centre (Retail) Moorfield Industrial Estate Phase 1 Moorfield Industrial Estate Phase 2 Council House Building Programme (Phase 4) General Projects Housing Investment Programme
Need to Know: Ayrshire Athletics Arena Construction works were completed on site on 25 May, with the official opening event being held on 8 June 2012. Current indications are that the final costs may exceed budget by up to £0.200m subject to agreement of the final account. The additional costs have primarily arisen from works to relocate the cricket pitch which were more than previously anticipated, incorporation of a footpath around the track and other required changes in specification / design elements. All Weather Sports Pitches The tender was awarded on 9 July in respect of the Loudoun Academy and Auchinleck Academy schemes. Construction works commenced on site for both projects on 6 August, with an anticipated completion by October / November 2012. The proposed scheme at Dalmellington is currently on hold pending further discussions with the local football team. Dean Road Bridge Further progress on the Dean Road bridge project is dependent on resolution of all outstanding legal issues with private owners. If agreement can be reached, the works will have to be re-tendered. KilmarnockTown Centre Regeneration (Civic Centre) The tender was awarded 2 August with an anticipated start on site mid August; completing late March 2013. Further proposals are currently being developed in respect of the “shop front” facades of both the Civic Centre North and South buildings. Housing Investment Programme Works on the current re-roofing works have now been completed. The render works are currently anticipated to complete by the end September which is later than planned due to unforseen issues with water damaged insulation which required to be removed. The next phase of the render programme is due to commence mid August 2012, with a further phase of roofing works due to commence late August 2012. All other elements of the programme are progressing according to schedule.
People Period 4
Number of Number of Days lost per staff working employee absent days lost 0.10 2.0 1 0.65 335.0 46 0.66 1794.0 202 0.00 0.0 0 0.91 1216.5 147
Number of employees Chief Executive’s Office and Internal Audit Finance & Corporate Support. Educational & Social Services (LGE). Educational & Social Services (Teachers).* Neighbourhood Services.
20 515 2,707 4 1,331
East Ayrshire Council
* Number of employees excluding teachers on summer leave.
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
Qrt 1 2012/13
Period 4 10 10 20
Grievances (Period 4): Chief Executive's Office Finance and Corporate Support Educational and Social Services Neighbourhood Services Total
Stage 1 0 0 0 0 0
Disciplinary Action (Period 4): Chief Executive's Office Finance and Corporate Support Educational and Social Services N i hb h d Services Neighbourhood S i Total
Verbal / Written 0 0 0 2 2 6
Stage 2 0 0 1 0 1
Stage 3 0 0 0 0 0
Stage 4 0 0 0 0 0
0 0 0 0 0
0 0 1 0 1
0 0 0 0 0
People Top 5 Reasons for Absence (Council Wide) 30.0%
0.0% Injury – Non Work Related
Stress/Debility ‐ Personal
Occupational Health Referrals (Period 4) 35
30 25 20 15
0 Physiotherapy New Referral Referrals
Key Points: The capturing of absence statistics by financial period was introduced in period 4 2012/13. As a result no trend information is currently available. Further, the change to the indicator from the “percentage of working days lost” to the “number of days lost per employee” has removed the ability to generate precise year to date statistics. The projection for 2012/13 absence, based on the period 4 actual, is currently 9.5 days lost per employee.
HEALTH AND SAFETY
Health and Safety Reportable Incidents 10 8
RIDDOR ‐ Fatality
RIDDOR ‐ Employees' Injuries
RIDDOR ‐ Dangerous Occurrence
RIDDOR ‐ Reportable Disease
2 2 Period 4 RIDDOR ‐ Others' Injuries
RIDDOR - The Reporting of Injuries, Diseases and Dangerous Occurrences Regulations 1995
Key Points: There were 22 RIDDOR reportable accidents/incidents during periods 1 to 4 (2012/13). The causes of the 22 incidents were: Slips-Trips-Falls (15) Chemical/Gas/Electricity (2) Step on/Striking Object (2) Dangerous Occurrence (1) Sports and Activities (1) Other (1). The one Dangerous Occurrence related to in incident where an East Ayrshire Council tipper vehicle, which had the tipper fully extended at the time, came into contact with and brought down two 11kV overhead power cables. At the time the incident occurred the rear of the tipping vehicle was hitched to and being pulled along by, a chipping machine which had been sub contracted from Borders Council. Both vehicles formed part of a convoy. As the 2 cables had been brought down, this incident was reportable to the HSE as a Dangerous Occurrence. No No-one one was seriously injured during this incident.
Non Reportable Incidents 250 200 150 100 50
0 Period 1
Period 2 Non‐Reportable: Employees' Injuries
Period 3 Non‐Reportable: Others' Injuries
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 period. As a result, historic information is subject to a degree of change. Near misses are excluded from the analysis. These figures include 61 Near Misses as reported during periods 1 to 4 (2012/13). The main 3 causes of accidents/incidents (Appendix 4) account for 66% of all non-reportable accidents/incidents. These were Slips-Trips-Falls (122 – 19%) Step on/Striking Object (63 – 10%) and Violence and Aggression (244 – 37%)
Health and Safety Location of Non- Reportable Incidents 29.2%
Sport and Activity Centres
Special Educational Establishments
Hostels Sheltered Housing
Key Points: As above, the 3 main causes of incidents are Slips-Trips-Falls, Step on/Striking Object and Violence and Aggression.
Violence & Aggression Reporting 100 90 80 70 60 50 40 30 20 10 0
30 20 10 0
9 5 2
Period 1 Period 2 Period 3 Period 4 Finance & Corporate Support Neighbourhood Services Educational and Social Services
Percentage of incidents reported with five days (YTD) 100% 80% 60% 40%
0% Finance & Corporate Support
Educational and Social Services
Average number of days to report incidents
Health and Safety Key Points: It is noted that, of the 675 total Accidents/Incidents, 363 (54%) reports took more than 5 days to reach the Safety Section (highest number of days being 107 and 102). As the implementation of SHE Electronic Reporting System is further introduced to all Departments, the specified timeframe to report an incident electronically will be reduced to 3 days. Consequently it is anticipated that the overall average number of days to report an incident will decrease, in line with the 5day requirement. Number of days lost to work related stress 400 300 229 200 100 0
111 21 April Finance & Corporate Support
May Neighbourhood Services
22 20 Period 4 Educational and Social Services
*Note that April to June are monthly periods whereas Period 4 has moved to a 4 weekly reporting period
Key Points: It will be noted that there have been 4 incident investigations carried out by the Health and Safety Section over this reporting period (Quarter 1 2012/13) which is a significant reduction from the 12 investigations carried out during the previous reporting period (Quarter 4 2011/12). This reduction is due to the introduction of a revised method of collecting data by the Health Safety Section in connection with incident investigations. All interviews conducted previously in connection with an incident were treated as separate investigations for the purposes of reporting whereas reporting figures now are clearly linked to the number of investigations carried out, regardless of the number of interviews undertaken as part of the overall investigation.
Business Briefing Educational & Social Services School Attendance Rate. Exclusion rate per 1,000 pupils (all sectors).
Key Points: School attendance figures for academic year 2011/12 have increase to 93.5%, which is 0.5% higher than academic year 2010/11 (93%). The upward trend in attendance has been achieved through the continued efforts of every school in East Ayrshire to deal with absence. East Ayrshire school attendance figures mirror the Scottish average. School pupil exclusion numbers have risen from 718 in 2010/11 to 769 in 2011/12 a rise of 51 exclusions in that year. The average number of days pupils are excluded from class remained constant at 2.2 days in both 2010/11 and 2011/12 with the figures for exclusions for the last three academic years being of similar magnitude. It is of note that current performance when compared to 5 years ago show that exclusion incidents were 10% higher and sessions lost were 23% higher in 2006/07 when compared to 2011/12. The improved performance in this area has been achieved through the implementation of a range of positive behaviour strategies and restorative and nurturing practices. At the start of the new academic year 2012/13 four new and upgraded school campuses have opened in East Ayrshire (Gargieston Primary and Nursery Class; Patna and St. Xavier's Campus; extended Darvel Primary and Nursery School; and the extended Sorn Primary School) with a formal opening ceremony for each school / campus taking place in the next two months. These 4 new buildings reflect the Council's commitment, through the School Estates Management Plan, to deliver high quality facilities to support the education of our young people and that meet the current and future needs of children and parents of East Ayrshire. SQA Results in East Ayrshire secondary schools have improved overall for the fifth year in a row. The tables below give a clear picture of an upward trend since the 2008 exam diet. Percentage of S4 pupils attaining 5 or more 2008 2009 Credit: Grades 1-2 29% 32% (SCQF Level 5) General: Grades 1-4 71% 75% (SCQF Level 4) Foundation: Grades1-6 89% 90% (SCQF Level 3)
Standard Grade awards 2010 2011 2012 29%
Percentage of S5 pupils attaining Higher Grade awards 2008 2009 2010 2011 2012 1+ Higher: A-C pass 35% 35% 41% 39% 46% (SCQF Level 6) 3+ Highers: A-C pass 18% 20% 22% 20% 24% (SCQF Level 6) 5+ Highers: A-C pass 8% 8% 9% 9% 10% (SCQF Level 6)
Period Finance and Corporate Support Percentage of Council Tax received. Period 4 Benefit Administration: Percentage of claims processed Period 4 within 14 days. Percentage of Freedom of Information requests Period 4 responded to in 20 working days. Percentage of Consumer Complaints completed within June 2012 14 working days. Trading Standards - Percentage of high risk and Period 4 medium risk premises inspected on time. YTD 2012/13 Average Website page views per day.
Key Points: The percentage of Council Tax received by the end of Period 4 is higher than expected due to the timing of direct debit runs. A further direct debit payment type has been added and this year's take up campaign has been undertaken. Direct debits have now increased to 29,979 (54.76%). The percentage of Freedom of Information requests responded to within 20 working days was above target for Period 4; however the number of requests being received continues to be high, with 63 requests responded to in Period 4 alone, alone and 274 responses issued in the year to date. date This equates to an average of 3 responses every working day.
Business Briefing The figures shown above in relation to consumer complaints show that performance was above target and that all premises inspections continue to be undertaken on time. Audit Scotland are undertaking a national review of Protecting Consumers. The audit will examine how well councils protect consumers from being treated unfairly or put at risk by the businesses they buy goods or services from. This will involve us examining most of the activities of trading standards and the food safety work of environmental health services. The Regulatory Services Team will assist Audit Scotland where requested. The new website continues to be well used, and the average number of website page views per day was above target for the first quarter of the financial year at nearly 50,000. This is a substantial increase when compared with the same quarter in the previous year when the number of page views per day was 41,909.
Neighbourhood Services Number of attendances at all leisure facilities. Car Parking Revenue.
Period 4 Period 4
249,695 £ 257,980
Percentage of housing repairs completed first time.
Number of void housing properties.
Key Points: The Ayrshire Athletics Arena officially opened its doors on Friday 8th June with the Olympic Torch visit. This hugely positive event connected to local athletes and torchbearers combined with a well timed open weekend and introductory club championship ensured a high level of public interest in the facility and resulted in an estimated 3,500 people visiting the arena over the 3 day period and a total of almost 5,000 by the end of p g, interest in the facilityy has been sustained byy a combination of children’s summer June. Since the opening, holiday activities alongside strong club use resulting in over 3,300 attendances at sports related activities within the facility in July. As the Autumn approaches the AAA is gearing up with an imaginative range of activities for people of all ages which will ensure that this positive start in terms of usage is maintained. Car parking income across all of the Council's car parks and on-street parking is down by 15% in P4 2012/13 compared to the same period in 2011/12 and down 19% compared to the services target of £316,840. It is anticipated that car parking income will remain below that predicted for 2012/13, this is as a result of the economic downturn and the introduction of a free Saturday car parking trial in Kilmarnock town centre, which started in April 2012. The trial has been initiated in an attempt to increase economic activity in Kilmarnock town centre at weekends. The volume of void housing stock varies naturally throughout the year. At P4 2012/13 the number of void houses not in the letting pool was 444 compared to 426 in P4 2011/12, this is an increase of 4.3%. The number of void properties has increased by 46 during P1-4 of 2012/13. The amount of void rent loss at P4 2012/13 is 6% above the target and Housing Services will continue to target void maintenance to reduce the number of voids and amount of rent loss due to voids. A series of business networking events, organised by Economic Development, over the spring and summer have attracted up to 30 businesses to each event and the use of social media by business advisers has increased the business network we are regularly engaging with from 300 to 650. Commitment of the business grants budget for 2012/13 is on target and will support the development of marketing strategies, new websites, product development and quality assurance standards and has the potential to deliver 70 new jobs in the longer term.
Risks Risk No.
Executive Economic climate Director of The level of grant funding available in the Finance and Corporate future will not support Support existing service levels.
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.
Executive Director of Finance and Corporate Support
Executive Director of Finance and Corporate Support
Depute Chief Health and Safety Exec / implementation of new Executive arrangements fails to Director of adequately address Neighbourho risk. od Services
Protection of Children Executive Director of and Vulnerable Adults - individuals are Educational and Social not adequately Services protected.
Overall Risk 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 and unquantifiable effects from the current issues within the Eurozone. Reviews of existing structures / financial controls / service delivery models are ongoing to maintain strong financial management across the Council. The Council's efficiency strategy sets out key actions to manage this risk with the 2012/13 budget agreed by the Council in December 2011. A transformation strategy, designed to ensure a sustainable platform on which to deliver services, was approved by the Council on 28 June 2012. 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. The anticipated downturn has been reflected in Council budgets with an income contingency identified for 2012/13. Financial inclusion services have been redesigned to minimise the impact on individuals and the impact of welfare reform is being assessed as more information becomes available and a report will be presented to Cabinet in the near future. Amber We consider the overall risk to be Medium as recent and imminent reforms to benefits, and job losses in the area is likely to have a severe impact on residents and indeed across Council services. With regard to SOA commitments, the Community Planning Partnership Board reviews progress on an annual basis; service structures are being redesigned to reflect changing workloads; Economic Development activities have been strengthened with particular focus on support for existing businesses and youth employment. A Community Planning Partnership Youth Employment Summit was held on 21 August 2012. Amber The overall risk is Medium recognising that there has been an increase in focus on Health and Safety. Failure in this area would have significant consequences for employees, service users and the Council. We have arrangements in place to manage health and safety across the Council these are kept under constant review. Strengthened operational arrangements agreed by Cabinet on 9 November 2011 are now in place and a new electronic reporting system is being rolled out. Amber The overall risk is Medium - the impact for individuals could be severe and would adversely impact on the Councilâ€™s reputation. These areas of activity are subject to regular scrutiny and review including a recent service inspection by the Care Inspectorate that, as reported to Governance and Scrutiny, indentified no significant risks. Targeted service redesign including work force and organisational development across the Council and partner agencies to support a continuous improvement agenda.
Amber We consider the overall risk to be Medium as there remains an element of Financial Risk - Equal uncertainty in respect of the total expected cost of resolving these, and potential Head of Pay and Equal Value future claims. Human Claims will have a A reasonable provision has been identified to fund claims which are being Resources significant financial managed by the Council with its external advisers. impact on the Council Amber The overall risk is Medium as the nature of the activity is such that new attacks are Fraud and Executive increasingly likely. misappropriation of Director of Enhanced procedures are in place to prevent and detect fraud, these were council resources Finance and recently escalated and information received from colleagues in other areas and the Council is faced Corporate anti-fraud networks is assessed as received. The Chief Executive chairs a with financial loss Strategic Anti-Fraud Steering Group which is reviewing the corporate approach. Support through fraudulent activities. Amber