Yhn board 18 sept 2012 non confidential

Board Tuesday 18 September 2012 at 5.00pm Meeting to be held at YHN House, Benton Park Road, Newcastle upon Tyne.

Contact: Joanne Noble-Nesbitt (telephone: 0191 278 8624 email: joanne.noblenesbitt@yhn.org.uk)

AGENDA 1

Reminder to switch off mobile phones

2

Apologies for absence

3

Declarations of Interest

4

Items which Board Members wish to raise, not elsewhere on the agenda

Items for approval

Page No

Minutes 5

To approve the Minutes of the Meeting held 21 August 2012

1

Assistant Chief Executive/Director of Business 6

Investment Planning under the Self-Financing Regime

11

7

Business Strategy Update

27

Chair 8

Appointment of the Vice Chair

51

9

Re-appointment of the Audit Committee Chair

53

10

YHN Committee Review – Action List

57

11

Committee Membership and External Board Appointments

65

Chief Executive 12

Equality & Diversity Update

To follow

Items for Information 13i

Chief Executive’s Report

73

13ii

Officer Delegated Decisions: 10 August 2012 to 6 September 2012

77

13iii

Board Forward Plan

79

13iv

Petitions Monitoring

81

13v

Health & Safety Update – Quarter One 2012

83

13vi

Solar Photo Voltaic (PV) Panels Position Statement

13vii Minutes for Information

89 95

Exclusion of press and public To exclude the press and public during discussion of agenda item 14 because of the likely disclosure of confidential information. The definitions of what is considered confidential are contained within Section 16 of the Company’s Standing Orders.

Protect – not for publication Items for approval Minutes 14

To approve the Minutes of the Meeting held on 21 August 2012 Date of next meeting: 30 October 2012

101

5 Board 21 August 2012 (5.00pm to 6.40pm) Present: S Murphy (Chair), J Common, L Doherty, A Mirza, P Dutton, V Dunn, R Higgins, D Huddart , M Myers, JJ Reid, N Shukla, E Snaith L Stephenson, L Sutcliffe In attendance: J P Lee

Chief Executive (until 6.15pm)

S Breslin

Assistant Chief Executive and Director of Business

N Scott

Director of Tenancy Services

D Creighton

Executive Assistant to Chief Executive

J Noble-Nesbitt

Company Administrator and Board Support Officer

L Horsefield

Business Strategy Manager

A Allison

Head of Housing Management

M Burn

Head of Support & Care

I Gallagher

Head of Property Maintenance

D Gallagher

Senior Advice and Support Worker

J Wylie

Head of Business Services

Observer: H Emms B Rose

78

Newcastle City Council (‘NCC’) Tenant

WELCOME The Chair welcomed everyone to the meeting and noted that the agenda was quite light to allow members the opportunity to debate the Committee Review. It was noted that the Tenants Federation would not be represented at the meeting due to holidays.

79

APOLOGIES Apologies were received from J Purvis, J Yugire, J Turner, D Slesenger and R Atkinson.

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80

DECLARATIONS OF INTERESTS There were no declarations of interest arising.

81

ITEMS RAISED, NOT ON AGENDA 165 Estate Walkabout A Board Member asked for an update about a recent 165 Estate walkabout and what would be done to improve the Estate.

J Lee reported that YHN had arranged to meet with Northumbria police to discuss ways to tackle low level anti-social behaviour across the Estate. A paper would also be considered at the September Board meeting suggesting how YHN should spend its money which would include proposals about estate regeneration. Board members would be asked to decide how available funds should be prioritised.

J Lee commented that the views of NCC were also being sought and that these would be incorporated in the Board report.

Social Inclusion A Board Member remarked that where new developments were being built tensions continued to exist with those living around such developments who felt like ‘poor relations’ and noted the importance of community dynamics.

J Lee agreed with the comments and informed that when new developments were built a local lettings plan was also created to give local people the opportunity to move into the new homes. As the decent homes programme was coming to an end YHN was now in a position to consider spending money on other priorities such as estate regeneration. Board Members were reminded that there were only limited amounts of money to do this and that hard decisions would have to be made about how to best achieve successful interfaces between new and existing developments.

Your Choice Homes A Board Member raised concerns about the internet based application process and queried what help was given to tenants by the housing offices.

N Scott commented that the system had been designed so that tenants could ‘self-serve’ where possible. If, however, tenants came into a housing office and asked for support they would be helped to submit an application.

The Board Member replied that often people are reluctant to ask for help and that staff may make an assumption about someone’s IT skills. N Scott agreed to reiterate the message of offering support to tenants who came into the housing offices to use the Your Choice Homes on-line systems with his staff.

A Board Member commented that she had asked similar questions when shown the system and was advised that staff in the housing offices would assist tenants to use the system.

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82

5

MINUTES The minutes from the meeting held on 10 July 2012, were approved as an accurate record and signed by the Chair.

Matters Arising There were no matters arising.

83

YHN COMMITTEE REVIEW Submitted: Report by the Chair (previously circulated, copy attached to Official Minutes) The Chair thanked J Noble-Nesbitt for undertaking and writing the Committee Review. Her arrival had been timely and had provided a good opportunity for such a review of YHN’s committee governance to be undertaken. The Chair noted that the review had been a huge piece of work and that the report produced was comprehensive and readable as well as being a strong and authoritative summary.

The Chair also thanked all those who had contributed to the review. The Board were informed that the report was not being presented by an officer but by the Chair who had asked for the report to be undertaken. Officers had previously had the opportunity to input into the report and the purpose of today’s report was to give Board Members the opportunity to say what they thought should happen to the committees.

The Chair informed the meeting that he was not proposing to go through the report and its appendices but instead consider each of the individual issues and recommendations as set out in the Board cover report.

It was noted that many of the recommendations were non-contentious and common sense. The Board would be asked to agree these items although if anyone wanted to offer any comment they could do so. Following consideration of all the issues and recommendations, J Noble-Nesbitt would produce an action plan setting out the steps and timetable for the implementation of the outcomes from the review. This report would be considered at the next Board meeting.

Reducing the number of Board Members The issue considered by the Board was whether the number of YHN Board Members should be reduced and if so, by how many members? The Chair remarked that the benchmarking exercise had revealed that YHN had a large Board compared to other organisations which typically had a board of between twelve to fifteen people.

Comments/questions: A Board Member commented that this issue had previously been considered at a training event and the consensus was that a Board of eighteen plus an

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independent Chair enabled a lively debate. The Board worked will in its current formant although it was acknowledged that a smaller board would result in efficiencies and a cost saving.

A Board Member observed that the Board faced a number of challenges because of welfare reform and the localism agenda and that if it was to genuinely look after the interests of tenants it was important to have a good number of tenant board members. If the number of tenant board members was reduced then the number of councillors and independents would also need to be reduced to retain a balance.

The Chair commented that he did not sense any real support for a reduction in the number of Board Members. Whilst a reduction in numbers could make business easier it often made it more difficult to get a quorum. The main driver was that YHN had always prided itself on putting tenants at the heart of the organisation and to reduce the number of tenant Board Members would go against this ethos.

Reducing the number of committee members and officers The issue considered was whether the number of committee members and officers attending meetings should be reduced and if so, by how many? The Chair remarked that it was not his intention to debate whether the number of officers attending meetings should reduce as this was a matter for senior colleagues to decide. The Chair did comment that he had always been impressed at the number of officers who wanted to attend meetings and be close to YHN’s governance. It was also recognised that attendance at committee meetings allowed paper authors the opportunity to present their reports and provided learning and development opportunities.

Comments/questions: A Board Member suggested that the numbers should not be altered and an equal representation of the different constituent groups which made up the Board should also be evident across the committees.

It was agreed that if it was felt there were too many people attending meetings this should be managed by the Committee Chair and Lead Officer.

Chair and Committee Chair meetings The Chair commented that if the Committee Chairs felt there was a need to meet he would be happy to accommodate this. It was agreed that meetings should not be held unnecessarily and it was suggested that if necessary the Committee Chairs could meet in advance of the Remuneration Committee, of which they were all members, to discuss any arising issues.

Annual Committee self-appraisal The Chair remarked that this was something all committees should have been doing as it demonstrated robust governance. The Board agreed that annual self-appraisal system should be introduced.

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Board Champions The Chair observed that there was strong evidence from the external benchmarking exercise to show that other organisations found board champions to be very helpful. Personally the Chair was not persuaded as the use of champions could be seen by others as an opportunity not to consider the areas/issues assigned to an individual champion.

If the Board agreed they would like to use Board Champions then a document outlining the remit and areas of responsibility would need to be produced.

Comments/questions: A Board Member commented that Board Champions could be effective when there was a new issue to be considered but otherwise they did tend to let others think they were no longer responsible for areas/issues considered by Board Champions. There was also a danger that Board Champions would stray into operational matters. It was agreed that Board Champions should not be used.

Time Limited Committees The Board agreed that time limited committees should be used more effectively and that there was not a reluctance to use them if the need arose.

Frequency of Committee meetings The Chair remarked that it was difficult to determine what the frequency of committee meetings should be until the Board had had an opportunity to consider all of the recommendations in the report. The frequency of meetings would likely be determined once the structure of the committees was known.

The report included fifteen recommendations most of which were straightforward and required little discussions.

A Board Member remarked that she was disappointed to see no reference to equality and diversity (‘E&D’) in the report despite this being an issue raised at interview. Although E&D was considered by the SIAG committee, the issue was very rarely considered by the Board. As a consequence the Board had little sense of the E&D issues within the organisation.

J Lee reported that alongside the Committee Review a review of SIAG had also been undertaken. The purpose of the SIAG review was to consider what, if any, future role SIAG had within YHN. A paper on the SIAG review would be considered at a future Board meeting.

The Board Member commented that it was Board’s responsibility to decide how E&D matters should be managed within the organisation. J Lee commented that the Board report would make some proposals regarding E&D and that the proposals would also be reflected in the outcomes of the Committee Review.

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Two Board Members also endorsed the comments made acknowledging that Board should have a greater role in shaping YHN’s E&D strategy. It was also noted that a lot of work had been done with E&D within the organisation and that this had had a positive impact for tenants.

Performance Committee and new Business Development Committee The Chair commented that performance was now ingrained within YHN and that the Performance Committee had come to the end of its life. As the focus of the organisation now turned towards business development and oversight of commercial ventures it was important the Board had an understanding and oversight of such matters.

The Chair of the Performance Committee agreed that when the Committee was established there was a need for greater scrutiny of performance and that this was now well embedded within YHN. Both the Audit Committee and the Customer & Service Delivery Committee were the right place to consider performance in the future and that reporting should be done on an exceptional basis. A concern had been raised about the Committee not being strategic and the Chair of the Performance Committee commented that it was not always meant to be. The good work of the Committee’s members and officers was acknowledged.

The Chair noted that if any new performance related issues or requirements were identified in due course these could be managed by a time limited committee.

The Board agreed that it was appropriate to establish a new committee to consider business development matters.

Reassignment of work to Audit Committee and Customer & Service Delivery Committee The Board agreed with the proposal that matters previously considered by the Performance Committee should be reassigned to two existing committees. New terms of reference would be prepared.

Finance & Resources Committee The Chair observed that due to the increased importance of finance, as a result of self-financing, it was recommended that more financial matters be considered by the Board. The Chair of the Finance Committee agreed with the comments that were made about the Committee focusing on operational matters and that there had been little debate at meetings.

The escalation of financial matters to Board would allow other areas of the Committee’s remit such as IT and HR to be considered in more detail. The Board agreed that the remit of the Committee needed to be amended before any decisions could be made about its frequency.

Chair of the Audit Committee G Clark was appointed Chair of the Audit Committee in January 2011 when it was decided that the Audit Committee should be chaired by an independent

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chair. Feedback from the Committee was that G Clark had improved the performance of the Audit Committee and that the changes were appreciated by the Board. It was therefore proposed that G Clark e appointed Chair of the Audit Committee for a second term of office.

The Board approved resolutions 3.3.4 to 3.3.6 as set out on page 13 of the Board report.

The Chair informed that the review had identified that some high level procurements were not fully being brought to the Board’s attention. It was therefore proposed that a process be developed to enable the Board to have greater oversight of OJEU level procurements.

The Chair reported that a full review of the Board’s skills would be undertaken along with commentary from the recently completed Board appraisals to help determine upon which committees Board members should serve. Board Members were reminded that they could be asked to serve on a committee they were less comfortable with but that this helped the Board to have as many members as possible tuned in to more aspects of YHN’s work.

It was agreed that all Board Members would be offered basic financial training to help them understand the contents of financial reports.

A Board Member stated that she had previously found themed meetings at the Performance Committee to be very useful as they increased knowledge.

It was agreed that officers would think about how Board members knowledge could be increased.

The Board approved resolutions 3.3.10 to 3.3.15 as set out on pages 13 and 14 of the Board report.

The Chair again acknowledged the effort which had gone into producing the report. It was noted that the review had highlighted that nothing fundamentally was wrong with the organisation’s committee structure and that it was important YHN reviewed its governance structure from time to time.

Actions: Action Plan to be prepared for the next Board meeting setting out the dates for implementing the recommendations approved by the Board.

Officers to think about opportunities to increase Board Members knowledge of YHN service areas.

Frequency of committee meetings to be considered once new terms of reference approved for each committee.

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RESOLVED: i)

That the Board agreed that the Performance Committee be disbanded and that a new committee be created which would have responsibility for business development, oversight of existing commercial opportunities and scrutiny of contractual relationships.

ii)

That the Board agree that the assurance and challenge of key service targets which was undertaken by the Performance Committee be reassigned to the Audit Committee and Customer & Service Delivery Committee and that new terms of reference be prepared for those committees.

iii)

That the Board agreed that the frequency of Finance and Resources Committee meetings would be determined in due course once the remit of the Committee had been agreed.

iv)

That the Board agreed to the review, updating and amendment, as appropriate, of the following documents: a.

Committee remits (including the preparation of a remit for the new committee and revised terms of reference for the other committees);

b.

Scheme of Delegation;

c.

Financial Regulations; and

d.

Articles of Association.

v)

That the Board agreed that all governance documents be reviewed and checked to ensure the consistency of information and to ensure that the latest versions of all governance documents are published on YHN’s intranet and website.

vi)

That the Board agreed to update and reissue a glossary of acronyms and abbreviations commonly used around YHN to help Board Members understand such terms.

vii)

That the Board agreed that a process be developed, in conjunction with YHN’s Head of Development and Procurement and Head of Finance, to enable the board and/or a committee to approve OJEU level procurements. Such process would be reported to board in October 2012.

viii)

That the Board agreed a review of committee membership should be undertaken to ensure that the skills and knowledge of Board members are aligned with the new committee structure whilst being mindful of not changing committee membership just for the sake of it.

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ix)

That the Board agreed that basic finance training be offered to all Board members to help them understand the contents of the financial reports and information which will be presented to board and committees.

x)

That the Board agreed a review of the board/committee paper templates (including reports and minutes) to ensure that they are fit for purpose and standard across all committees and the production of a guidance document on the formatting and appearance of such documents.

xi)

That the Board agreed following a successful appraisal, the chair of the Audit Committee be appointed for a second term of office at the AGM in September 2012.

xii)

That the Board agreed that all committee chairs should report to the Board at least annually on the work of their committee to help inform Board members about the issues/deliberations of committees of which they are not a member.

xiii)

That the Board agreed that lead officers and committee chairs should have a greater role in setting agendas and determining their order.

xiv)

That the Board agreed that a person should also be identified for each committee or an individual for all committees who has responsibility for sense checking and formatting committee papers before they are sent to Democratic Services for issue.

xv)

That the Board agreed that there should be no changes to the number of Board Members or committee members.

xvi)

That the Board agreed that an annual self-appraisal of the committees by the members to test their effectiveness be introduced.

xvii) That the Board agreed to determine the frequency of committee meetings in due course.

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APPOINTMENT OF VICE CHAIR J Noble-Nesbitt informed the Board that only one nomination had been received from Nitin Shukla, the current Vice Chair, indicating that he would like to be re-considered for the position as Vice Chair.

The Chair therefore proposed that Nitin Shukla be re-appointed as Vice Chair of YHN at the AGM in September 2012.

RESOLVED: i)

That the Board approved the re-appointment of Nitin Shukla as Vice Chair of YHN.

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5

85

ITEMS FOR INFORMATION RESOLVED – That the following items be received for information: i) ii) iii) iv) v)

Officers Delegated Decisions: 30 June 2012 to 9 August 2012; Board Forward Plan; Minutes of the Customer & Service Delivery Committee dated 14 May 2012; Minutes of the Performance Committee dated 22 May 2012; and Minutes of the Finance & Resources Committee dated 24 May 2012.

EXCLUSION OF PRESS AND PUBLIC RESOLVED – That in accordance with the organisation’s Access to Information provisions, the press and public were excluded from the meeting during the consideration of all further agenda items.

……………………………………………..

Mr S Murphy Chairman 18 September 2012

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Board 18 September 2012 Investment Planning under the Self-Financing Regime Report by Assistant Chief Executive and Director of Business For Decision 1.

Background information

1.1

On several occasions Board have considered the implications of selffinancing for YHN. Issues debated have included the impacts of debt repayment, the government-set debt cap, likely income levels and our aspirations to spend on services and properties.

1.2

In April 2012, Board received a presentation on self-financing which was followed by an interactive session on priorities for decision-making going forward. A 30 year business plan model had been populated with all relevant data, but there remained a need for a detailed investment plan for years two to five of self-financing, and the session was essentially designed to inform this.

1.3

Broadly the scenario presented to Board was one where subsidy no longer features in our finances and the requirement to direct resources to the delivery of the decent homes standard no longer applies. Previously the organisation had to make decisions about how to spend around 34% of its money; under self-financing this potentially rises to around 59%.

1.4

This change, whilst welcome, must also be viewed alongside a list of caveats. Already flagged in our Business Strategy are the challenges associated with a reduction in traditional funding streams and the negative impact of welfare reform. In addition the government have proscribed any borrowing which would take us above our debt cap of ÂŁ393 million. In February 2012 Board decided that we should actually keep our debt ÂŁ10 million below that cap, in order that we have a self-imposed financial safeguard.

1.5

Furthermore, the list of potential areas for expenditure is virtually boundless. During a time when the achievement of the Decent Homes Standard was mandatory and had been key to the creation of YHN, we

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have rarely had to deliberate about the relative merits of budgets for diverse schemes, properties, estates and services. A framework for this work is now necessary to ensure that spending is aligned with priorities across a fairly diverse spectrum.

1.6

This report seeks a decision from Board members on the principles to be applied when allocating budgets, and on the proportion of available finance that each of those budgets should be allocated.

2.

The basis of the proposal

2.1

The fundamental proposal is to divide the available finance into five budget blocks, and to order potential schemes within each block using a set of principles to be agreed or amended by Board today. In this way Board can be assured that they have approved both the overall priorities and the mechanisms for ensuring that money is directed towards priorities within those budget blocks.

2.2

As outlined at the April meeting, the proposed blocks are A. Standard housing investment; B. Environmental work and communal areas; C. Regeneration; Housing reprovision Non-housing assets Sheltered housing D. New build and acquisitions; and E. Services.

There is more detail about each of these blocks in paragraphs seven to eleven below.

3.

Financial model – existing provisions

3.1

In terms of services, the financial model upon which our 30 year projections have been made already includes provision for all of our current services plus a contingency sum of £1.2 million to mitigate against the impacts of welfare reform. Further information about risks to the financial model can be found at paragraph 11.2

3.2

In terms of investment in properties, the financial model upon which our 30 year projections have been made already contains £73.4 million which is provision for The maintenance of properties at the Decent Homes Standard through the replacement of elements of a property when they have reached the end of their expected lifespan. We sometimes refer to these as ‘lifecycle replacements’.

Health and safety work, for example asbestos treatment, lift failures

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and fire safety schemes and the replacement of unbonded walls.

Some of these may not be urgent and can be carried out in phased programmes.

The cyclical painting programme.

Disabled adaptations.

District and group heating upgrades.

Elements not covered by the Decent Homes Standard but nonetheless essential works to some properties such as soil stacks, bin chutes, communal electrics and plumbing.

3.3

It is recommended that these financial provisions are preserved, and that Board’s remaining decisions are about the use of any monies available over and above this committed expenditure.

4.

Financial Split

4.1

Our current financial projections suggest we could have up to £82m available in resources over the four year period 2013-2017 for the priority blocks identified earlier in this paper. This is an indicative projection and could be subject to change, for example should welfare reform have a greater adverse impact on the HRA than built into the projections.

4.2

As described in previous Board reports the first five years of self-financing were always going to be the most challenging due to the level of debt allocated to us and the imposed debt cap. Our debt cap was set at the same level as the initial debt we were allocated for self-financing; in other words there was no headroom given. The level of available resource will be monitored on a quarterly basis.

4.3

In order to achieve a more efficient programme it is proposed that this resource should be split as evenly as possible over the four years at approximately £20 million per year. To achieve a smooth programme it may be necessary to temporarily exceed the self-imposed borrowing limit (£10 million below the government imposed cap). It is proposed that where this occurs the position agreed by Board will be recovered by the end of the four year programme.

4.4

The financial split should not be applied too rigidly as it is recognised that on occasion flexibility may be needed across the boundaries to respond to specific circumstances and to enable rational works programmes.

Each block will contain a list of schemes or projects which could legitimately call on that budget. The list will be prioritised using the principles proposed below to ensure that resource is directed to priorities.

4.5

It is recommended that the available finance is split across the blocks in the following way: A. Standard housing investment – 30%

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B. Environmental work and communal areas – 30% C. Regeneration – 30% D. New build and acquisitions – 5% E. Services – 5% 4.6

Based on the projections at paragraph 4.5 above this would mean spending profiles of around £6 million each for blocks A, B and C annually and £1 million each for blocks D and E. It is recognised that there will remain lists of projects that cannot be serviced within these budgets. However, given the resource available, it is felt that these proportions will allow for some very positive inroads to be made into the highest priorities in each block.

4.7

It is also recommended that there is a process of quarterly monitoring by Board and an annual review by Board and the City Council. If necessary, this review will be where any shortfalls in funding or any changes in the operating environment are dealt with.

5.

Overarching principles

5.1

Key principles proposed for the investment programme as a whole are as follows: 1. All neighbourhoods will see a benefit from the investment programme over the four year span, though not necessarily from each block from within the programme.

2. Once the principles and the proportionality of the budgets are agreed, they will be used to create a programme for investment which will help support the strategic objectives of YHN and the feedback from the Board session in April 2012 including: the benefits of a planned and rational approach to refurbishment; the need to tie decisions back to empirical data, for example demographics, costs and demand; maximising the benefits for tenants whether it is through reducing fuel poverty, providing properties and services to vulnerable groups, or improving public amenities; spending to save and/or demonstrating a return on investment; and protecting and enhancing the environment.

5.2

The Delivery Plan of the Fairer Housing Unit (‘Better Homes, Better Places, Better Lives’) will also be strengthened by the programme for investment especially with regard to the vision which is to 'Create places and homes that people want to live in. We will ensure the mix and design of housing positively influences people's lives illustrating our commitment to health and well-being. We will ensure the quality and

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range of housing in the City matches people’s needs and aspirations particularly older and vulnerable people and families'.

The fairer housing priorities of ‘creating decent neighbourhoods’ and ‘tackling inequalities’ in particular will be supported.

6.

6.1

Community Involvement There will be a participative approach to investment delivery under selffinancing. This should involve tenants both locally and citywide depending on the type of initiative. There should also be a commitment to the wider community where schemes impact on them or where there may be a larger scale development or initiative. The details are to be worked up with tenants but it is proposed that they include: The involvement of the Tenants’ Investment Forum; Area-based events (supplemented by written information) on local projects and schemes as well as opportunities for involvement; Tenant involvement in options for schemes such as in design and tender evaluation; An element of participatory budgeting building on the positive practice developed in the ‘You’ve got the power’ events; and Individual choices for work to tenants’ homes.

6.2

Meaningful participation should include clarity about issues where no choices exist or where they are constrained. Where work is necessary to comply with the Decent Homes Standard, or health and safety requirements for example, honesty about this necessity is helpful to relationships with stakeholders.

7.

Standard Housing Investment

7.1

This refers to the standard refurbishment of properties to keep them sound, to prevent obsolescence and to comply with our statutory responsibilities.

7.2

Key principles proposed 1. It is proposed that essential works as described at paragraph 3.2 above that are already accounted for in the business model are preserved.

2. In addition, there are other works which although not essential, are highly desirable. The proposed types of work to be prioritised and programmed under this heading are The replacement of all remaining single glazing with double glazed windows.

Reduced lifecycle expectations (i.e. shorter replacement periods), ‘spend to save’ work identified through analysis of repairs and

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maintenance data, notably the need for substantial roof replacement schemes to prevent leaks.

Elements outside the defined Decent Homes Standard which are at the end of their useful life (balconies, soffits, rainwater goods etc.).

A bathroom replacement programme, as we have routinely only replaced individual items based on their condition.

Outstanding priorities from the Tenants’ Investment Priorities Survey , notably soundproofing.

Measures to improve the energy efficiency of properties and reduce fuel poverty.

3. Based on known tenants’ priorities it is proposed to accelerate all remaining double glazing programmes for completion by 2015 instead of 2023. It is anticipated that this will involve work to 2482 properties from April 2013 to March 2015 at an approximate cost of £8.6 million.

4. All other work within this block will be prioritised according to condition and urgency.

8.

Environmental work and communal areas

8.1

We know from many sources that the condition and aesthetic appearance of the environment outside tenants’ homes is rated as being of very high importance to them. This applies to the communal areas of flats as much as it does to the hard and soft landscaping of estates.

8.2

We have developed a way of scoring schemes to allow us to rank and prioritise them even when they are quite different in nature. This scoring method was approved by Board and is called the Priority Investment Calculator, commonly referred to as the PIC process. This process works well. A blank copy of the PIC template is appended to the report at Appendix One. However as we have applied it in response to requests, rather than based on comprehensive surveys there is a possibility that we have overlooked schemes that are important, in other words ones that would have scored highly on the PIC, if we had known about them.

Schemes undertaken in recent years have tended to be small scale and relate to locally raised issues.

8.3

Key principles proposed 1. Expenditure should be on the highest priorities citywide using the PIC process.

2. We need to understand the comprehensive list of potential schemes, even though we will not be able to deliver them all. Only by knowing the full list can we be sure that we are directing resources to the highest priorities.

3. Issues covered by Service Level Agreements (SLAs) should continue

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to be dealt with through that mechanism.

4. All schemes need to demonstrate an evaluation of the future impact on the SLA including a consideration of the opportunity to spend to save with regard to the SLA and other budgets.

5. This block needs to include finding solutions to problematic hard and soft landscaping even when these are a on a large scale and are exacerbated by inherent design issues.

6. Our approach should be based on a shared understanding of the issues and the best use of the skills and expertise that we have, as well as on an increased emphasis on surveys.

7. An amount of money should be set aside and be locally available to allow for proactive responses to tenants’ issues in the neighbourhoods.

There are a range of options for how this could be delivered, which will be decided with tenants if the principles are agreed.

8. Communal areas in blocks of flats are equally as important as external environmental issues and require a programmed approach based on an agreed specification. The specification will consider lighting, flooring, decoration, windows, entrances and redundant concierge lodges.

9.

Regeneration: housing reprovision

9.1.1

Although some of our stock is of a high standard, and all will be ‘decent’ by the year end, we still have a significant number of properties that are not ideal for 21st century living. Although most stock is currently lettable, we should not confuse that with genuine high demand and should retain an aspiration to replace poorer stock with a better quality product. Welfare reform is likely to mean that we will need to re-configure stock also.

9.1.2

Key principles proposed 1. We need a robust framework to identify the top priorities for the reprovision of stock. The starting point should be the ‘net present value’(NPV) of properties which takes into account quantitative data on rents, void periods, repair costs and so on, and can then be overlaid with more qualitative information.

2. When there is an indication that properties may not be viable, a range of factors need to be taken into account to help with a decision on what to reprovide; we need to understand: The usefulness of the site; some may have a capital value that could cross subsidise provision elsewhere.

Local amenities.

The absence or presence of stock types in the near vicinity (NCC

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and other social landlords).

Fine grained qualitative information on real demand underpinning quantitative data on apparent demand.

3. There is a related issue with the work on sheltered housing as we may seek to replace sheltered schemes with other types of general needs stock, such as single persons’ accommodation.

9.2

Regeneration: Non-Housing Assets including garages, community flats, office accommodation, community buildings and HRA shops

9.2.1

Historically the Housing Revenue Account has supported the upkeep of a range of non-housing assets. Sometimes these have necessitated considerable expense, which, by definition, means that the money is diverted away from our housing stock. Notwithstanding the fact that these assets carry an expense, they all have a role to play in the delivery of services.

9.2.2

Key principles proposed – garages 1. We need to end up with a sustainable portfolio of garages which are worth the inherent maintenance costs.

2. A range of factors contribute to the assessment of garages’ viability including blight, disrepair, costs to repair, demand, size, local car ownership and space for parking outside homes.

3. Taking into account the above list, the sites that are the least and most sustainable have already been identified. Those that are the least sustainable should now be programmed for demolition, dealing with any health and safety issues as the first priority.

4. The second priority for demolition would be those where the site has some value for new build, though it is recognised that there are few of these and most sites are constrained.

5. Those that have been identified as sustainable should be appropriately maintained and included in the painting programme.

6. The sites for which there is no finite conclusion yet need further analysis with a view to them being identified as either for demolition or as sustainable.

9.2.3

Key principles proposed – community flats, community buildings and office accommodation 1. These all need to be surveyed in order that maintenance can be planned and costs anticipated.

2. A finite budget should be set aside and centrally managed to ensure spend on priorities with particular emphasis on the delivery of our duty of care with regard to health and safety.

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9.2.4

Key principle proposed – HRA shops Where there is a potential value connected to the sale of the freehold, this should be pursued with the receipt set aside for regeneration.

9.3

Regeneration: sheltered housing

9.3.1

We have 25 sheltered schemes in the city containing 838 individual homes. The schemes were built between 1924 and 1985 and for a time the model was popular. Now, although the properties can be let, the space standards are generally considered to be far from ideal. Almost all have very small kitchens and 292 are bedsits.

Demographic projections show that we need to continue to provide accommodation tailored for older people, and also indicate that we will need an offer for an aging population with increasingly complex needs.

9.3.2

Key principles proposed 1. Just because properties are lettable, does not mean that they are fit for the 21st century. We should not have to coax or persuade people that what they want what is on offer, it should be an attractive offer in itself.

2. Ultimately we want to have no bedsits. This means that we will, over time, have fewer, but better quality properties for older people. This needs to dovetail with the City Council’s plans for increased but mixed provision across a range of models.

3. Changes to the stock also need to be managed alongside any changes to the service delivery model.

4. The supply of units should be more geographically balanced across the city.

5. We need to conclude work to identify an approach to every one of our sheltered schemes that includes: the conversion of schemes in close proximity to one another into larger flats with a shared service offer. demolition of the worst performing schemes with the provision of a small number of two bedroom bungalows on the footprint. the conversion of some properties into general needs flats to help with the impacts of welfare reform. the identification of poor performing schemes on land with capital value, so that sale can be considered to cross subsidise provision elsewhere. schemes that would benefit from conversion to larger units. the identification of schemes which can simply be maintained as they are in the medium to long term.

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6. This plan will be designed using NPV information to help prioritise in the first instance.

10.

New build and acquisitions

10.1

One of our successes, in conjunction with the City Council and Leazes Homes, has been the delivery of a programme of new build properties.

This programme coupled with a small number of acquisitions has been helping to diversify and improve our offer over recent years.

10.2

Key principles proposed 1. YHN should provide products for which there is a need, but which are not always available in the market.

2. We should build or acquire property that responds to demographic data, and meets the needs of the city in terms of property type and location.

3. Homes should be built on previously developed land where possible.

4. New properties will be built to Code for Sustainable Homes level 3 as a minimum and exceed it when viable.

5. Employment and training targets and initiative will be built into new build and stock acquisition projects.

6. YHN will support Leazes Homes in the delivery of government funded schemes for new build, empty homes and mortgage rescue.

11.

Services

11.1

Our financial model is based on us continuing to deliver our current services. However, there is a need to identify a financial provision for services in the future. This is primarily due to the significant risks to our finances from welfare reform and a reduction in traditional forms of funding.

11.2

Welfare reform places approximately ÂŁ3.4 million of annual income at risk from the impacts of the under occupation penalties to Housing Benefit.

This takes effect from April 2013. At the same time new rules on benefit reductions for people with non-dependents in the household will continue.

11.3

Looking further ahead, the introduction of Universal Credit places even greater uncertainty on our income levels. The guidance on this is complex and government consultation has not yet concluded. For the purposes of this report it is useful simply to note that the financial landscape is changing.

11.4

Board members are already aware that Supporting People funding is under review at the City Council. A range of our services are currently

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funded this way.

In addition, provision for the development of new services, if necessary is prudent.

11.5

Key principles proposed 1. It is our desire to continue to provide all of our current services.

2. We will continue to conduct an appropriate programme of service reviews to identify more efficient and effective ways of working.

3. Efficiencies are expected from all parts of the organisation and will be used.

4. We need to develop a model for measuring the relative value and cost of individual services, to include a measure of the social return on investment so that if service levels have to be reduced at any point we have a shared understanding of priorities.

12.

The Business Implications

12.1

Mission and Strategic Objectives: All our strategic objectives are affected by the decisions coming out of this report. The proposed approach is intended to facilitate their achievement.

12.2

Value for money/efficiencies: The continued drive for efficiency will help to maximise the amount that is available for the priorities outlined. Our approach is contained in the YHN Value for Money Strategy.

12.3

Resources (financial, property, technological or human): The central subject of the report is the optimal use of financial resources. The overall ambition is for an agreed approach to the use of resources based on sets of principles within which detailed, prioritised programmes can be developed.

12.4

Impact on services/performance: The actual level of performance achieved and services delivered will be constrained in part by the available finance. However the approach is intended to provide the best results within those parameters.

12.5

Outcomes for tenants/leaseholders: Tenants and leaseholders should see essential services retained and other desirable projects delivered in a planned and prioritised way.

12.6

Risk (reputation, relationship): The most significant risk is to the financial model coming from welfare reform impacts and the reduction of funding streams. The approach suggested means that projects will be undertaken according to priority, and no area of the business will be overlooked while resources are channelled in other directions.

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12.7

Environmental: Energy efficiency is specifically referenced in terms of standard housing investment and new build. Wider environmental impacts are inherent in all of the proposals.

12.8

Legal: None arise directly from this report. Issues such as welfare reform, procurement, and construction all operate within legal parameters.

12.9

Equality and Diversity and Community Cohesion: None arise directly from this report. When the principles are translated into programmes of work, the needs of individuals and of communities will need bespoke consideration.

12.10

Stakeholder Involvement/consultation: The report builds on previous interactions with board members.

We have a wide range of information about tenants’ views from activities such as service user focus groups, surveys, mystery shopping, tenant inspections and the Tenant Investment Forum.

12.10.1

Presentations have been given to both officers and elected members at the City Council. The political administration asked that we highlight the following four issues.

The involvement and empowerment of local people is central to the Council’s ethos. All opportunities for local people to shape decisions and influence outcomes should be explored and exploited to their full potential, for the programme to have optimal impact.

The Council has ambitious aspirations for new build to deliver against social and economic objectives. Therefore, if additional resources or funding streams emerge, Board is encouraged to direct them towards this budget block, to enhance the lives of individuals and communities.

Additionally it was thought that the process of annual review was an important one, as it will allow ongoing evaluation of the programme.

Within this review process the need for flexibility to adapt to what is likely to be a changing environment should not be under-estimated.

Where feasible, NCC and YHN budgets should be aligned to ensure the best possible outcomes for tenants.

12.10.2

Senior officers at the Council raised no issues of principle or policy.

Future work on programming will seek to join up with the Council’s delivery plans to ensure that outcomes are complementary and positive.

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13.

Recommendations

13.1

The Board is recommended to agree the principles contained in the report as identified in clauses 7.2, 8.3, 9.1.2, 9.2.2, 9.2.3, 9.2.4, 9.3.2, 10.2 and 11.5.

14.

Implementation

14.1

Work will progress to develop a more detailed programme based on the principles as agreed or amended by Board.

Background Papers Self-financing: moving forward business plan presentation, 17 April 2012.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Sheila Breslin, Assistant Chief Executive and Director of Business on 0191 2788707 or email sheila.breslin@yhn.org.uk

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PRIORITY INVESTMENT CALCULATOR 

Please copy tick box as appropriate

Date of PIC creation:

Budget : (Please enter Budget Head/Holder)

Project Title

Budget Head: Relevant section of the HIP

Project Detail

Internal Reference

Budget Holder: Proposer / Key Contact

No. homes YHN resource bid

£0

Total resource requirement

£0

External funding contribution

£0

1 Health & Safety Implication

No direct H&S risk to tenant/leaseholder/public/YHN Low H&S risk to tenant/leaseholder/public/YHN Medium H&S risk to tenant/leaseholder/public/YHN High H&S risk/impact to tenant/leaseholder/public/YHN Other legal requirement identified e.g. DDA / HHSRS

20 0

Will the effect of doing or not doing this project pose a H&S risk to either tenant / leaseholder, public domain or YHN? Is the project to improve H&S e.g. bulging chimney stack?

1

Tick one only

3 5

Tick if identified

1

Tick?

0

2 Landlord Responsibilities/Legal Requirement

Positive impact on social inclusion Improvement to SAP Rating (energy efficiency rating) Meets tenant aspirations (Tenants Investment Priorities)

Clarify on all items where 'Marginal' v 'Significant' and 'Measurable'.

#VALUE!

12 This section is intended to cover legal & moral implications and requirements. Items identified may need better qualification and guidance on obligations of YHN in certain areas e.g. Does this comply with Section 17 of the Crime and Disorder Act - support crime prevention in the area.

Is there any other specific reference point?

1 1

Tick all relevant matches

Previous commitment to tenants/leaseholders Best practice - to be specified [see note]:

1 1 1

0 3 YHN Strategic Objective

Support & care to communities Three star excellent service A quality workforce Refurb & Build All four objectives

0

1 1

Does this project meet the Strategic Objectives of YHN? How can we show 3* service - achieved and what is to improve/do we strive to improve?

1

Tick all relevant matches

1 1 1

0 4 Invest to Save

Reduces housing management costs/time Reduces void losses Reduces responsive repairs costs/lifecycles Reduces short-term capital modern homes requirement All above applicable

0

10 1 1

Tick all relevant matches

Will this project bring about a reduction on expenditure in the area. Is there a measurable reduction in the items noted?

1 1 1

0 5 Revenue Impact

Increases revenue stream & creates cashable efficiencies Increases revenue stream Creates cashable efficiencies Neutral impact Increases revenue costs

3

Are there any revenue benefits/implications? Will this project bring about a reduction or increase on REVENUE/R&M expenditure in the area. Effect on Housing subsidy or service charges?

1

Tick one only

1 0 -2

Tick?

6 Environmental Impact

Negative impact Neutral impact Positive impact Significant positive impact

Measurable improvement on 'Impact of Investment ' Positive effect on sustainability scoring Reduction in fuel poverty

#VALUE!

10 Will this project have an impact on the surrounding environment? Will it be a positive or negative impact e.g. creating communal greenspaces - removing communal green spaces? Will this project bring energy cost savings?

-2 1

Tick one only

3 5

Tick?

7 Sustainability

0

10

#VALUE!

12 Will this project effect sustainability/turnover of the property/estate/area? Effect on health/crime/education etc-as per NNIS scores - Need to factor NNIS into Sustainability scoring?

1

Tick all relevant matches

1 1

0 8 Programme Alignment Benefits

Volume Efficiencies Match with modern homes programme Match with third party programmes

0

10 Has or can this project be aligned with other/larger programmes to maximise efficiencies and resource i.e. Modern Homes, BNG, NCC projects etc?

1

Tick all relevant matches

1 1

0 9 No. of homes to benefit directly from initiative

<10 homes 10 - 30 homes 31 - 75 homes 76 - 100 homes >100 homes 10 Average per unit cost

<£1,000 p.u. £1,000 - £5,000 p.u. >£5,000 p.u.

11 Resource Implications

External flexible funding source External fixed funding source 12 Other considerations

Will this provide new stock?

Is there unsatisified demand in the immediate area?

Will this project bring benefits to our customers - current and potential?

0

4 1 2

Tick one only

A direct measure of the number of properties directly effected (positively) by this project

3 4 5

Tick? #DIV/0!

3

#VALUE!

3

Tick one only

Calculated via details input above.

2 1

Tick?

#VALUE!

0

0

3 Tick all relevant matches

Higher score for bringing in external funding. Also, is this a bid in an already maxed out budget?

1 1

5 1

Tick all relevant matches

Are there any other consideration for this project - is there innovation or benefit?

1 1

0 TOTAL

0 #VALUE!

Comments / extra clarification or follow up needed

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Board 18 September 2012 Business Strategy Update Report by Assistant Chief Executive and Director of Business For Decision 1.

Background information

1.1

The Board originally agreed the Business Strategy (‘the Strategy’) in September 2009. The title chosen was ‘Stepping up; improving on excellence in challenging times’. At that time the thrust of the Strategy was to find ways to improve on the services that had been rated as ‘three stars’ by the Audit Commission, which was the highest rating on their scale.

YHN’s mission ‘to be the best housing provider in the North East’ and our strategic objectives were supported by the Strategy.

1.2

The construction industry was starting to slow down at that point, and a commitment to continue to find ways to build new housing stock in an economic downturn was also a core theme.

Fundamentally the Strategy is achieved by the sum of other parts, namely through the delivery of other key, corporate strategies and targets. An update on the progress of these key deliverables is appended to this report at Appendix One.

1.3

In November 2010 there was a special session for Board Members to consider the implications of the coalition’s comprehensive spending review (‘CSR’) for the Business Strategy. The title of the Strategy was still found to be relevant, perhaps even more so, and YHN’s mission and strategic objectives were left unchanged as a result of this session.

1.4

Consideration of the CSR implications led to a refresh of the Strategy.

Rather than it being completely re-written, in July 2011, the Board agreed an addendum to the original document. This identified three challenges to our financial viability; a reduction in funding sources, welfare reform and the introduction of the self-financing regime.

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1.5

Further interactive sessions have included a presentation on diversification and marketing by a consultant called Richard Beevers, a presentation on developments in the ALMO community by the Chief Executive of the Housing Quality Network, and various sessions on self-financing.

1.6

Broadly speaking, Board Members have encouraged officers to continue to embrace operating more like a business, but without detriment to any of our services or social and ethical commitments.

1.7

This report provides the Board with an update on activity to support the Business Strategy, seeks comments on work to date and approval for future activity.

2.

Support for income generation

2.1

Diversification

2.1.1 Obviously one way to provide for financial viability is to increase the income to the organisation. The Richard Beevers presentation provided a useful steer to understand how best to focus this kind of effort. He provided matrices to evaluate business ideas at their most fundamental level to ensure a fit with our values, objectives and skills base. He also encouraged us to be clear about our competitors and our offer and why we would succeed in the market. He impressed on us the need for a passion and understanding of the service or product.

2.1.2 We now have a staged approach to business development proposals using a template that incorporates the principles above. The advantage of this approach is that abortive work (for example on financial modelling) is preempted by an initial rounded view of the appropriateness of the proposition.

More importantly this reduces the possibility of straying into areas that are beyond our capability risking both money and reputation. Conversely ideas that â&#x20AC;&#x2DC;passâ&#x20AC;&#x2122; this stage can be worked up into more comprehensive cost benefit analyses.

2.1.3 Proposals currently going through this staged process are: The potential absorption of a local landscaping firm into YHN; and The possibility of acting as a managing agent for private rented property.

It is anticipated that these cases will be the subject of reports to the new business focussed committee once it is created.

2.2.

Support for trading

2.2.1 Among the conclusions of a review of our Business Strategy function were that: we were investing too much resource on monitoring services rather than helping them; and

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trading services were struggling to accommodate the competing demands of service provision with identifying tendering opportunities and completing bids.

2.2.2 To resolve this situation, processes and roles have been revised. A small panel of people, including finance and policy staff, now help with these processes. This is a recent development and it is too soon to say how much difference this will make in financial terms, but the early feedback from the service managers is very positive.

2.3.

Marketing

2.3.1 Since October 2011 some resource has been refocused to include marketing activity on behalf of the Community Care Alarm Service (‘CCAS’), Newcastle Furniture Service (‘NFS’) and Palatine. Our aim was to improve the way the products and services are presented and brought to market, as this will help us to develop income from existing customers and to access new markets.

2.3.2 Activity to date has concentrated on NFS and Palatine, although work is now underway with CCAS to better understand the marketplace, competition and stakeholders. Palatine has undergone differentiation and rebranding of the contract and retail elements of the business and early indications are positive. The new retail brand, 1907, has improved the customer experience at the Westerhope showroom. There is also a new e-commerce website designed to raise income levels. A marketing plan is in place to help increase customer volume and make the retail element profitable. NFS is continuing to work through a list of strong prospects identified through the marketing activity, but may be unable to finalise some contracts until the government's plans for housing benefit eligibility are made clearer.

2.3.3 The process referred to at 2.2 above involves, at its second stage, marketing activity such as competitor analysis and consideration of target market segments. This will then feed through into pricing policy and publicity planning.

2.4

Target for income generation

2.4.1 The Top 20 targets for 2012/13 include one to generate a minimum of £907,000. This is monitored by the Performance Committee. By the end of quarter one £237,256 had been generated, which means that we are on course to achieve the target at year end.

3

Reduction in expenditure

3.1

Clearly reducing expenditure is the other side of the coin to income generation and is equally vital to maintaining a healthy financial position.

Over the past few years our approach to efficiency has been reflected primarily in the Value for Money Strategy, the Environmental Sustainability Strategy and through internal processes which we call ‘business and

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financial planning’ which culminate in the writing of the Delivery Plan.

3.2

We recently detailed our approach to efficiency in a cascaded Team Brief.

This illustrated the main corporate drives and also spelt out the expectations of all staff. Staff were reminded that efficiency does not automatically equate to reduced jobs or services, but encompasses maintaining services for less resource or expanding them within the same resource.

3.3

Some of the bigger picture work that has generated efficiency includes procurement, service reviews and restructures, service level agreement (SLA) management and a reduction of bought-in services.

3.4

From financial updates to Board, members may be aware that in 2011/12 procurements saved us £273k in revenue and around £4.3 million in capital.

Service reviews saved over £1.5 million. In total over £6.5 million was identified in efficiencies.

3.5

The Team Brief equated potential savings to jobs, improvements to properties and new build in order to impress upon people the collective impact that individuals can make by avoiding unnecessary waste.

Recent developments following the brief include: A car sharing resource on the intranet; The development of an efficiency forum made up of staff from across the organisation to monitor commitments and to generate and progress ideas; and A process to reduce under-spending budgets to resource priorities.

3.6

Target for efficiency

3.6.1 The Top 20 targets for 2012 -13 include one to achieve a 3% efficiency saving on the revenue base budget of £30 million. This is monitored by the Performance Committee. By the end of quarter one we had made £304,720 worth of efficiency savings equating to 1.02% of the budget which means we are on course to achieve the target at year end.

4.

Exploration of other models and structures

4.1

Board Members have expressed an interest in understanding other structures that might benefit YHN, for example the creation of a trading arm to help with new business and to protect the reputation of the YHN brand. A feasibility study of this is included in this year’s top 20 targets.

4.2

In response, officers have been increasing their knowledge base on the wider environment that we work in. The main way that this has been done has been through contact with experts and other organisations that have different operating models. Any proposal to change YHN’s type of entity, would necessitate significant consultation processes with NCC, customers and staff.

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4.3

Trading Arm

4.3.1 In May 2012 there was a site visit to the North West to hear from First Ark in Knowsley and Solutions SK in Stockport.

The First Ark group consist of four companies: First Ark Limited is the parent company; Knowsley Housing Trust is a Housing Association with 14,000 properties across Knowsley; KHT Services is a commercial company providing repairs and maintenance and a range of other services, and Vivark is a social enterprise currently under development.

4.3.2 Solutions SK is a trading company wholly owned by Stockport Metropolitan Council. The company was set up to deliver the Direct Labour Organisationâ&#x20AC;&#x2122;s work on behalf of the council and intended to trade externally.

The company has, like First Ark, made significant changes to create a more commercial environment.

4.3.3 The visits were extremely informative and the hosts shared a lot of detail with us about their approaches. Both organisations had invested considerable resource into setting up new structures involving revising terms and conditions, sourcing premises and legal consultancy but were yet to make any inroads into the kind of trading that YHN already carries out.

4.3.4 The overall conclusion by officers was that there may be advantages to a trading arm that we may wish to reconsider in the future, for example around the attractiveness to lenders, but at the current time these advantages are outweighed by the necessary resources that would be bound up with reorganisation, particularly in the light of the lack of successful trading on Knowsley and Stockport to date.

4.4

Co-operatives

4.4.1 Presentations have been given to managers by Co-operatives North East and by the Rochdale Housing Co-operative as part of our learning and development programme. Both organisations talked at length about the values of the co-operative movement.

4.4.2 In Rochdale the purpose of a mutual transfer revolved around the benefits to the community and to making a legal commitment to the public including retaining surpluses for service users. There were seen to be advantages of increased accountability and collaboration.

4.4.3 The principles behind the co-operative movement resonate with our own, particularly in the emphasis on customer empowerment and the concern for the community. In addition NCC is committed to being a co-operative council.

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4.4.4 The governance structure at Rochdale is still in shadow form and therefore has not been in operation long enough for an evaluation of its success in comparison to what we can achieve as an ALMO with regard to these principles. If in the future there is a compelling case to change our entity, then a co-operative could be given more detailed consideration. Currently the recommendation would be to continue to keep abreast of developments in this arena.

4.5

CoCo

4.5.1 The National Federation of ALMOs developed the CoCo model in June 2011. A CoCo is a community and council-owned organisation which would be jointly owned by a council, tenants and independents and would be set up to receive a transfer of housing stock from a local council. A covenant would be made between the CoCo and Council in which the CoCo agreed to service the Council’s housing debt, while CoCo could take advantage of the Council’s borrowing rates and avoid the need to raise money to repay that debt.

4.5.2 The theory is that the CoCo’s borrowing would be classified as private sector borrowing and would therefore not be subject to public sector borrowing restrictions. However the only CoCo that is in development has been negotiating with CLG and the Treasury for some time without conclusion, so this model remains basically untested.

4.6

All of the activity around exploring other structures and entities has been part of a learning and development programme to keep abreast of developments with our sector, partly in response to the ideas put forward by the Chief Executive of HQN. The work was not undertaken as a response to any urgent issues at YHN and, to date, no compelling case for change has emerged. All of the knowledge gained and contacts made will be useful if the legislative or operational environment changes in the future, however, or if Board require further analysis to be carried out.

4.7

The exploration of a trading arm is slightly different, inasmuch as carrying out a feasibility study into this particular structure is a Top 20 target for this year.

5.

YHN as a Contractor

5.1

Obviously YHN has always managed services on behalf of NCC, but now that the Byker Community Trust (‘BCT’) exists and Leazes Homes has its own stock, we need to increasingly understand our role as a contractor.

5.2

To this end we have established performance indicators with Leazes Homes and BCT and have set up joint meetings to deal with any issues in the delivery of these contracts.

It is envisaged that contract delivery may be of interest to the new business development committee when it is formed.

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6.

Welfare reform

6.1

As previously stated, the impact of welfare reform is one of the key challenges to the business outlined in the Business Strategy. This subject is of such significance that it warrants dedicated attention from the Board so a report on this will be brought to the October 2012 meeting.

7.

A revised strategy

7.1

Given the changing landscape that we operate in, it is now thought timely to review the Business Strategy document. This should also include a thorough look at our mission and strategic objectives and their continuing fitness for purpose, especially as some Board Members said that they had some reservations about them at the March 2012 Board Meeting when the Delivery Plan was discussed.

7.2

We are currently redesigning the business and financial planning process and will incorporate the review of the Business Strategy into the 2012/13 process. It is proposed that this will involve consulting with Board at a dedicated session later in the year.

The dedicated session would involve an update to Board Members on the main challenges that we face. An activity will then be carried out to identify what Members believe to be the strategic risks presented by these challenges and what our priorities should be over the next five years to ensure we respond effectively. The priorities will then be used to test the continuing relevance of our strategic objectives and mission statement. The outcomes of this session will be used to inform the draft strategy document which we will bring back to Board for approval in the new year.

8.

The Business Implications

8.1

Mission and Strategic Objectives: These are inherent throughout the report.

It is proposed that they may be revised following a review of the overall strategy.

8.2

Value for money/efficiencies: A description of the basis of our approach to efficiency is contained in the main body of the report.

8.3

Resources (financial, property, technological or human): Support for trading, and the consideration of new business opportunities have the optimisation of financial resources at their core.

8.4

Impact on services/performance: A monitor of the Business Strategy is appended at Appendix One.

8.5

Outcomes for tenants/leaseholders: Although we need to behave as a responsible business, Board Members have always been clear that we must not do so in any way that would have a detrimental outcome for tenants and leaseholders.

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8.6

Risk (reputation, relationship): Any decisions about the type of entity that YHN is would need full risk assessments, as do proposals for new business.

8.7

Environmental: No issues arise directly from this report though there is often read across to efficiency.

8.8

Legal: None arise directly from this report since there are no recommendations to change our currently operating model.

8.9

Equality and Diversity and Community Cohesion: None arise directly from this report.

8.10

Stakeholder Involvement/consultation: The report builds on previous interactions with Board Members.

9.

Conclusion and Recommendations

9.1

Board is recommended: to note and comment on any of the work and activity described in the report; to agree to a review of the Business Strategy, including the mission statement and strategic objectives to conclude before the end of March 2013; and to agree that alternative structures are not pursued at this point but that the work be considered within the Business Strategy review and revisited if a case for change emerges.

10.

Implementation

10.1

The areas of work referred to will continue to be progressed. Business and financial planning processes revisions will be implemented including a project plan to identify the date and format of the Board session.

Background Papers: The Business Strategy; Previous board reports on the Business Strategy; Team Brief presentation on efficiency; Note of visit to First Ark and Solutions SK; Presentations on co-operatives; and Note on CoCo model.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Sheila Breslin, Assistant Chief Executive and Director of Business on 0191 2788707 or email sheila.breslin@yhn.org.uk

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31/03/2013

31/03/2014

We will have achieved 100% level A’s in our Service Quality Framework (SQF) assessments for all Supporting People funded contracts.

We will deliver the key priorities of the YHN Skills to Work Strategy:

Continue to embed tackling worklessness into our organisational culture;

Target for completion

Key deliverable

Priority one: Support and care to communities

Customer and Service Delivery Committee

SQF assessments are carried out annually.

Performance Committee

39 out of 54 actions have been completed.

Of the remaining actions eight are on-going, three are not yet due and four are outstanding. Recovery actions for the outstanding actions have been identified

The Young People’s Service (YPS) were assessed in July 2012 and achieved 100% levels A’s.

We are awaiting dates for the 2012/13 assessments of the Community Care Alarm Service (CCAS) and the Advice and Support Service.

During 2011/12 we achieved 100% level A’s in all SQF assessments.

Update on progress

Monitored by

Please find below an update against the key deliverables outlined in ‘Stepping Up; Improving on Excellence in Challenging Times’, YHN Business Strategy 2011-2014.

Appendix One YHN Business Strategy 2011-2014 – update on progress against key deliverables

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A workforce committed to eliminating financial exclusion; Empower and equip our residents to make

We will deliver the key priorities of the YHN Financial Inclusion Strategy:

Work in partnership to improve access to pre-employment training and support; Improve the employability of residents and local people, and Get people into work.

31/03/2014

Customer and Service Delivery Committee

18 out of 35 actions have been completed and it is expected that the remaining 17

This strategy was updated in January 2012 as changes in the welfare system began to emerge.

Future possibilities for the Skills to Work Strategy have been considered by Customer and Service Delivery Committee and the agreed actions are currently being incorporated into the Skills to Work Strategy action plan.

Key achievements include: Employing 65 people through the Future Jobs Fund, 63% of whom went on to find employment; Employing 20 unemployed customers through the Your Homes Your Jobs scheme; Employing 10 apprentices during 2011/12; Securing ÂŁ120,000 through North East Procurement (NEP) during 2011/12, and Providing work experience placements to 20 students during 2011/12.

and put in place.

Promote wider understanding of community cohesion across all of YHN; Promote inclusivity and fairness in all our business activities; Involve tenants and other customers from diverse backgrounds, and Promote good practice and develop further opportunities for inter-community dialogue.

We will deliver the key priorities of the YHN Community Cohesion Strategy:

This strategy is currently being reviewed. The review will incorporate tenancy sustainment and outline the key deliverable we will take in response to the 2011 welfare reform.

informed and effective financial choices; Increase take up of contents insurance; Facilitate easier access to bank accounts; Work in partnership to promote access to affordable credit, and Maximise the income of our residents.

31/03/2013

Board

7

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Key achievements include: Delivering a team brief session on Community Cohesion in May 2011; Updating our diversity guide to address Community Cohesion, and Delivering staff training in demographic data collection and recording.

There are two actions due this year which have been incorporated into service plans and are being monitored by the relevant service manager.

All actions due by the end of 2011/12 have been completed.

Key achievements include Setting up the Financial Inclusion Team; Generating ÂŁ36,000 for customers through benefit take up campaigns, and Sending a comprehensive Welfare Reform Guide to every tenant.

actions will be completed within the timeframe of the strategy.

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We will carry out a review of the Estate Management Service.

Enable us to identify those most vulnerable, and Ensure our management of ASB demonstrates a clear focus on protecting people from harm and supporting victims and witnesses.

We will introduce an ASB risk assessment procedure. The procedure will require all ASB cases to be categorised as ‘personal’, ‘community’ or ‘environmental’, with priority given to personally motivated ASB. It will:

31/03/2012

30/09/2011

Customer and Service Delivery Committee

Wider Management Team

A Service Improvement Plan has been implemented to deliver the following outcomes: Improvement in the maintenance of estates; Improvement in the quality of garden maintenance for tenants who receive the garden care service; Increased satisfaction from tenants with estate services, and

A new Environmental Services Team has been created as a result of the review.

A review of the Estate Management Service was carried out and completed in March 2012.

The new procedure was rolled out within HASBET in October 2011. It will be rolled out within the Housing Management service from October 2012.

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The improvement plan is monitored through monthly meetings chaired by the Director of Tenancy Services. An update on progress made against the SIP will be reported to Customer and Service Delivery Committee in early 2013.

An SLA which demonstrates value for money.

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We will have achieved Level 3 - ‘Excellent’ across all five key areas within the Social Housing Equality Framework.

31/12/2011

31/03/2014

We will have achieved top quartile performance amongst ALMO’s in relation to key indicators.

Update on progress

Performance Committee

We achieved the ‘excellent’ level in December 2011.

The remaining two indicators are likely to be more challenging. However, both of these indicators are measured internally and relate to areas of work we are continually working to improve.

It is expected that top quartile results will be achieved for the ‘percentage of rent lost through dwellings being vacant’ as this was very narrowly missed in 2011/12 and is an indicator which has improved consistently over the past few years.

Performance At the end of 2011/12 we achieved top quartile in three Committee out of six key indicators. We have not yet achieved and top quartile for the following indicators: Management Team Average number of working days lost due to sickness absence; Percentage of rent lost through dwellings being vacant, and Satisfaction with the services / overall service provided.

Target for Status completion

Key deliverable

Priority two: Three star excellent services

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Be accessible - everyone will have a chance to get involved so that the views of our customers are equally represented.

Be meaningful - involvement is meaningful for our customers through empowerment, and meaningful for the organisation through directly shaping our service delivery.

We will deliver the key priorities of the YHN Customer Involvement Strategy:

Involve and empower our customers, using their insight to continuously improve our services; A customer focused culture; Provide information and accessible services our customers can use at a time and in a way that suits their needs; Deliver against our promises and deal effectively with problems if things go wrong, and Agree and monitor the timeliness and quality of our customer service standards with our customers.

We will deliver the key priorities of the YHN Customer Service Strategy:

31/03/2014

31/03/2014

Customer and Service Delivery Committee and Programme Board

Management Team

Key achievements include: Increasing membership to the Lesbian Gay Bisexual and Transgender (LGBT) involvement group to 22 members; Developing the ‘You’ve got the power’ event to be delivered annually; Improving the evaluation of involvement activities to ensure they deliver value for money,

79 out of 94 actions have been completed. The strategy has recently been updated and a new action plan developed.

Key achievements include: Achieving the corporate Customer Service Excellence (CSE) standard; Implementing the Customer Service Charter; Establishing the YHN Enquiry Centre, and Implementing a Customer Relationship Management (CRM) system.

28 out of 32 actions have been completed. The remaining actions are around establishing key numbers and implementing SMS technology. It is expected that all actions will be complete by 31/03/2014.

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We will review the entities of relevant services to enable us to maximise income generation opportunities.

A secure, reliable and efficient IT service; Access and customer service; Partnership and sourcing, and Using technology to enable productivity.

Deliver the key priorities of the YHN IT Strategy:

Demonstrate value for money.

Contribute towards ensuring we are accountable and transparent.

31/03/2012

31/03/2014

Programme Board

Finance and Resources Committee

Tender opportunities; Grant applications, and New business opportunities.

As a result of the recent Business Strategy service review the team has been restructured to create a Policy and Business Support service. This service is responsible for co-ordinating:

Key achievements include: Replacing YHN's telephone systems with Voice-over-IP (VOIP) systems; Migration to the Council's Microsoft Exchange email system; Implementing SharePoint, and Renegotiating our Service Level Agreement (SLA) with the Council which has significantly reduced implementation costs.

34 out of 43 actions have been completed. The remaining nine actions are due for completion during 2012 - 2014.

The IT Strategy was reviewed in March 2012 and an updated action plan agreed by Finance and Resources Committee in May 2012.

and Increasing demographic data collection through the use of â&#x20AC;&#x2DC;Get Involvedâ&#x20AC;&#x2122; forms.

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We will produce a sustainable 30 year business plan for Board approval.

We will identify appropriate areas for shared services.

We will create a business development framework.

30/09/2011

31/12/2011

30/11/2011

Board

Programme Board

The final model was approved by Board on 20/09/11.

We presented our initial 30 year business plan model to YHN Board in May and July 2011.

Research has also been carried out into the potential of shared IT services. The research identified that it would not be practical for YHN to share IT services independently of Newcastle City Council (NCC), but that there is potential to share services in collaboration with NCC. NCC are currently assessing the potential to share IT services and so we will be working with them to identify how we can be part of this.

We have developed our service review framework to include a ‘compete’ element. The ‘compete’ element requires the service to consider alternative methods of delivery which includes shared services.

Management A business case toolkit has been developed and is Team being used to assess the feasibility of new business opportunities.

The Investment Delivery service has also recently been restructured. There is now a dedicated resource within this service to identify and respond to funding opportunities which have potential to improve our properties and estates.

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We will deliver the key priorities of the YHN Value for Money Strategy:

Collect income when it is due to prevent arrears; Provide accessible income services; Manage, collect and minimise arrears, and Ensure our income services provide excellent value for money.

31/12/2014

31/03/2015

31/03/2012

We will review treasury management arrangements.

We will deliver the key priorities of the YHN Income Management Service Strategy:

31/03/2012

We will develop and implement new governance arrangements.

Board and Finance and Resources

Finance and Resources Committee

Board

Board

18 out of 27 actions have been completed. Of the remaining actions, five are not yet due, two are ongoing and two are outstanding. Recovery actions for

Increasing the number of tenants paying by Direct Debit; Improving the collection of income streams including Former Tenantsâ&#x20AC;&#x2122; Arrears, rechargeable works and heating accounts, and Developing an approach to SMS technology to provide rent payment information and support.

Key achievements include:

11 out of 31 actions have been completed and 16 are on-going. The remaining actions are not yet due.

Revised treasury management arrangements have been agreed with Newcastle City Council (NCC) and were presented to Board in March 2012.

In response to the outcomes of the review, an action plan is being developed and is to be presented to Board in September.

Governance arrangements have been reviewed and the outcomes of the review were presented to Board on 21/08/2012.

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To position YHN as the leading provider of quality housing and excellent housing services in the North East;

We will deliver the key priorities of the YHN Communications Strategy:

Tenant involvement and empowerment; Home; Tenancy; Neighbourhood and community; Value for money, and Governance and financial viability.

We will produce an annual report to outline our compliance with the regulatory framework for social housing. This will detail how we meet the following national standards:

Continue to optimise the economy, efficiency and effectiveness of our services; Maximise opportunities to make efficiency savings through our procurement practices; Strengthen our existing value for money culture, and Advance the way we measure, report and monitor value for money.

31/03/2012

01/10/2011 01/10/2012 01/10/2013

The 2012/13 report is due to be published in September 2012.

The 2010/11 annual report was published in September 2011.

Key achievements include: Developing a Best Value service review toolkit; Delivering value for money training to Board members, and Continuing to exceed our target to make 3% efficiency savings each year.

the outstanding actions have been identified and put in place.

Key achievements include: Improving internal communication through the implementation of SharePoint;

Management 34 out of 88 actions have been completed. Of the Team remaining actions, 16 are on-going, 37 are not yet due and one is outstanding.

Board

Committee (through budget monitoring)

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Review and improve our key repairs and maintenance processes to enable us to deliver excellent services; Plan for the long term maintenance and investment needs of the housing stock, and Develop an effective consultation framework and act upon what our customers have already told us.

We will deliver the key priorities of the YHN Repairs and Maintenance Strategy:

To ensure two way communications are established with both staff and customers to enable continuous improvement; To raise YHNâ&#x20AC;&#x2122;s profile with local and national media, and To make information about YHN accessible to all of our different audiences.

31/12/2012

Customer and Service Delivery Committee

Key achievements include: Implementing a system to enable operatives to confirm appointment times prior to arrival; Monitoring the customer experience and implementing the identified improvements; Extending operating hours; Improving the way we use customer information to tailor the service we provide, and Improving the way we publicise performance information.

15 out of 16 actions have been completed. The remaining action is due for completion by 31/12/2012.

Improving the quality and consistency of communication, and Increasing the level of high profile press coverage.

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Developing our people; Developing our leaders and managers; Health and Wellbeing: ‘Happy, Healthy and Here’; A positive organisational culture; Rewarding and recognising our people, and Attracting, recruiting and retaining a quality workforce.

31/03/2014

We will deliver the key priorities of the YHN People Strategy:

Update on progress

Finance So far 21 out of 23 actions have been completed. and Recovery actions for the outstanding actions have been Resources identified and put in place.

Committee Key achievements include: Introducing a coaching and mentoring scheme; Achieving the ‘gold’ level of the Better Health at Work award; Introducing a suite of change management training, and Achieving ‘gold’ level of the Investors in People Accreditation.

Target for Status completion

Key deliverable

Priority three – A quality workforce

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Achieve a 6% reduction in our carbon footprint by 2013 against a 2005

We will deliver the key priorities of the YHN Environmental Sustainability Strategy:

Ensure the homes that we manage meet the Decent Homes standard; Keep homes decent and plan investment; A stock profile that meets the needs of the 21st century population (including new build); A high quality environment.

30/06/2014

We will deliver the key priorities of the YHN Asset Management Strategy:

31/03/2013 Customer and Service Delivery Committee

Customer and Service Delivery Committee

Target for Status completion

What we want to achieve

Priority four: Refurbishing and building homes

56 out of 88 actions are complete. Of the remaining 32 actions, 15 actions are due between March 2013 and December 2013, and 17 actions are outstanding.

Recovery actions for the outstanding actions have been identified and put in place.

Key achievements include: Bringing 13,864 properties up to the Decent Homes standard since 2009/10; Developing a Net Present Value (NPV) process to assess the long term profitability of our assets and aid future investment decisions, and Building 299 new properties since 2009/10 (183 social rented, 14 shared ownership, 102 outright sale).

56 out of 86 actions have been completed and nine actions are not yet due. The remaining 21 actions are no longer relevant. This strategy is currently being reviewed in response to changes in funding and will be aligned with the investment priorities which are recommended to be agreed by Board in September 2012.

Update on progress

baseline; Reduce the environmental impact of the housing stock we manage and build, and Inform and encourage behavioural change by our tenants and staff.

Key achievements so far include: educing our carbon footprint by 22%; Installing solar PV panels to benefit 1012 properties, and Installing External Wall Insulation to 108 properties.

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Board 18 September 2012 Appointment of Vice Chair Report by Chair For Decision 1

Introduction

1.1

On 10 July 2012 Board Members were invited to nominate themselves for the position of Vice Chair for the period 2012/13.

2

Background

2.1

When the Board was established in 2004 two Vice Chairs were appointed and this practice continued until March 2010 when, following the resignation of a board member who had filled one of the positions of Vice Chair, the Board decided to operate with one Vice Chair.

2.2

Having one Vice Chair has worked well, with the present Vice Chair providing support to me as required and in addition carrying out other duties required of him as Vice Chair.

2.3

The appointment of one Vice Chair has also represented a financial saving in board member payments.

3

Vice Chair

3.1

The responsibilities of the Vice Chair are: 3.1.1 to assist and support the Chair in fulfilling his/her duties and responsibilities; 3.1.2 to deputise for the Chair in his/her absence; 3.1.3 to assume responsibility for a particular area of responsibility or interest as may be agreed by the Board, such as chairing committees; 3.1.4 to meet with the Chair and Chief Executive as required in between Board meetings; and 3.1.5 to undertake such other duties as may be delegated to them by Board.

3.2

As operating with one Vice Chair has worked it is proposed that YHN continues this practice. In the event that the responsibilities of the Vice Chair increase as the organisation grows and develops, then the appointment of a Page 51 of 104

8

second Vice Chair could be considered.

4

Nomination for Vice Chair. Process for appointing Vice Chairs

4.1

Only one Board Member, the existing Vice Chair, Nitin Shukla put himself forward for the position of Vice Chair.

5

Business Implications

5.1

The work of the Board contributes to all of our strategic objectives. There are no implications in this report that adversely affect the work of the Board. The Vice Chair will continue to support the Chair as required and the level of current duties can be undertaken by one person without detriment to the Boardâ&#x20AC;&#x2122;s decision making. Should the responsibilities of Vice Chair increase during the coming year, then the appointment of a second Vice Chair would be considered.

6

Recommendations

6.1

The Board is asked to approve the re-appointment of Nitin Shukla as the Vice Chair of YHN. The appointment will be effective from 18 September 2012 until September 2013.

7

Next Steps

7.1

The appointment of Vice Chair will be formally noted in the minutes.

Background papers: Articles of Association.

Contract Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt by telephone on 0191 278 8624 or email joanne.noble-nesbitt@yhn.org.uk

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Board 18 September 2012 Re-appointment of the Audit Committee Chair Report by Chair For Decision 1.

Background information

1.1

In January 2011 the Board approved the appointment of an independent Chair of the Audit Committee. Mr G Clark was appointed as Chair of the Audit Committee with effect from 25 January 2011 until YHN’s AGM in September 2012.

2.

Re-appointment Of Audit Committee Chair

2.1

Mr Clark presented a report on the work of the Audit Committee to Board on 6 March 2012. The report highlighted that attendance at the Committee had improved, that Board members had considered a broad range of assurance areas since Mr Clark’s appointment and that the Committee had been very robust in its approach and had carried out their duties in a challenging manner.

2.2

The Chair and Board Members agreed that Mr Clark had made a positive contribution and that his appointment had been affective.

2.3

Following a successful appraisal with the Chair of the YHN Board in July 2012, the Chair recommended that Mr Clark should be re-appointed for a second term of office effective from the AGM on 18 September 2012.

2.4

It is proposed that Mr Clark will continue to be paid a special responsibility allowance of £1,000 per annum. The fee will be paid on assumption that the Mr Clark continues to perform the duties of the Chair of the Audit Committee as set out in YHN’s Scheme of Delegation.

3.

The Business Implications

3.1

Mission and Strategic Objectives: The work of the Audit Committee makes a significant contribution towards the effective governance of YHN.

3.2

Value for money/efficiencies: The Board relies on the Audit Committee to review financial reporting and to appoint and provide oversight of the work of Page 53 of 104

9

both the internal and external auditors. The Audit Committee also plays a key role in risk management and ensuring that there are suitable arrangements in place to promote efficiency and value for money. It is important that the work of the Audit Committee is led by an effective Chair.

3.3

Financial Implications: The payment of a special responsibility allowance will be met from an existing budget allocation. There is no proposal to increase the payment for the period 2012/13.

3.4

Impact on services/performance: The appointment of an external and independent Chair, who is not a member of the Board, will provide YHN with an independent and objective approach to overseeing the work of the Audit Committee as well as ensuring that YHN’s practices and processes are efficient and effective.

3.5

Outcomes for tenants/leaseholders: The Audit Committee will have access to good quality information, advice and support to ensure that services are delivered to meet the needs of YHN’s customers and stakeholders.

3.6

Risk (reputation, relationship): There are risks to YHN if the organisation does not have a governance structure that ensures robust public accountability and appropriate service delivery. The role of the Audit Committee is to enhance confidence in the integrity of YHN’s processes and procedures relating to internal control and corporate reporting.

3.7

Environmental: There are no environmental implications.

3.8

Legal: The appointment is made in accordance with YHN’s Governance procedures.

3.9

Equality and Diversity and Community Cohesion: All three of the constituent groups that make up Board membership are represented on the Audit Committee.

3.10 Stakeholder Involvement/consultation: None.

4.

Conclusion and recommendations

4.1

The Board are asked to: 4.1.1. Endorse the appointment of Mr G Clark as Chair of the Audit Committee for the period 18 September 2012 until the date of the next AGM in 2013; and 4.1.2 Agree that a special responsibility allowance of £1,000 per annum continue to be paid to Mr Clark for the period of his appointment.

5.

Implementation

5.1

The Board Support Officer will prepare a new letter of appointment for the Chair of the Audit Committee and make arrangement for Mr Clark to have an Page 54 of 104

annual appraisal in 2013.

Background Papers Board Report – Audit Committee dated 25 January 2011 Board Report – Audit Committee Annual report dated 6 March 2012 Board Minutes – 6 March 2012 Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt by telephone on 0191 278 8624 or email joanne.noble-nesbitt@yhn.org.uk

9

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Board 18 September 2012 YHN Committee Review – Action List Report by Chair For Decision 1.

Background information

1.1

At the last Board Meeting the Board considered the findings of the Committee Review and agreed seventeen recommendations. Attached is an Action Plan setting out the actions to be taken to implement the recommendations arising from the Committee Review.

2.

Committee Review Action Plan

2.1

Attached at Appendix One is an Action Plan which sets out the various actions to be completed to fully implement the recommendations from the Committee Review, which was considered by the Board on 21 August 2012.

2.2

The majority of the actions identified in the Plan will be completed between now and December 2012. There is a significant amount of work to be undertaken to ensure that the appropriate governance documents are put in place, including, new terms of reference for each of YHN’s committees. The majority of the actions will be undertaken by the Board Support Officer.

2.3

The first stage of implementing the recommendations from the Committee Review will be for the Board Support Officer to review and amend terms of reference for the existing committees and draft new terms for the new Commercial Committee. The drafts will then be considered by both YHN’s Management Team and each individual committee before being formally approved by the Board. It is proposed that the draft terms of reference will be approved by the Board at the December 2012 Board meeting.

2.4

Although terms of references for the committees are not due to be formally approved until December 2012 the committees should begin to meet at the earliest opportunity. Board Members will be informed of which committees they are members of at the Board meeting on 18 September 2012.

10 Page 57 of 104

2.5

There is a separate report on the Board agenda suggesting the way forward regarding equality and diversity. The report includes a specific reference to the SIAG.

3.

New Committee

3.1

At the last Board Meeting the Board approved the appointment of a new business development committee. It is proposed that the committee be known as the ‘Commercial Committee’.

3.2

The purpose of the new committee is to have responsibility for matters such as business development, oversight of existing commercial opportunities and scrutiny of contractual relationships.

4.

The Business Implications

4.1

Mission and Strategic Objectives: The implementation of the Action Plan will contribute towards YHN achieving its mission to be the best housing provider in the North East by ensuring that the organisation has robust governance procedures in place.

4.2

Value for money/efficiencies: The Action Plan will ensure that the committee process is efficient and effective.

4.3

Financial Implications: Elevating financial matters to Board level will ensure that the Board has greater oversight and scrutiny of financial matters. This is important with the introduction of self-financing.

4.4

Resources (financial, property, technological or human): No additional resource is required to implement the recommendations of the Committee Review. All identified actions will be undertaken by the Board Support Officer.

4.5

Impact on services/performance: The implementation of recommendations from the Committee Review, as identified in the Action Plan, will have a positive impact on the performance of YHN’s committees. They will focus on matters at the heart of the organisation and help shape the future of YHN.

4.6

Outcomes for tenants/leaseholders: The Action Plan contains a number of actions which help the committees make robust decisions, which will indirectly improve the quality and range of services provided to tenants and leaseholders.

4.7

Risk (reputation, relationship): The Committee Review has demonstrated that YHN takes corporate governance seriously and that the Board is continually striving to improve its governance structure.

4.8

Environmental: None.

4.9

Legal: The Action Plan will help ensure that YHN’s committee structure is robust and fit for purpose. Effective committees will help to improve the Page 58 of 104

quality of decisions taken by the YHN Board and ensure that both the Board and its Committees have strong oversight of issues such as finance, risk, equality and diversity and corporate responsibility.

4.10 Equality and Diversity and Community Cohesion: An action from the Review and the SIAG Review, which is also being undertaken, will ensure that Board Members have greater oversight and decision making abilities about YHN’s Equality & Diversity Strategy and its implementation.

4.11 Stakeholder Involvement/consultation: All Directors and Board Members were invited to participate in the Review by way of questionnaire or interview.

The Board also debated at length the findings of the Review and has helped to shape the attached Action Plan.

5

Conclusion and recommendations

5.1

The Board are asked to: 5.1.1 approve the Action Plan (as attached at Appendix One); and 5.1.2 agree that the new business development committee be known as the ‘Commercial Committee’.

6.

Implementation

6.1

Actions identified in the Action Plan will be implemented in accordance with the dates as set out in the Plan.

Background Papers: YHN Committee Review – 21 August 2012.

Minutes from the Board Meeting – 21 August 2012.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt by telephone on 0191 278 8624 or email joanne.noble-nesbitt@yhn.org.uk.

10 Page 59 of 104

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Committee Review â&#x20AC;&#x201C; Action Plan No

Actions

Date Due

Date completed

1.

1

Performance Committee Agree to formally disband the Performance Committee.

N/A

21.08.12

2.

2.1

Commercial Committee Agree to formally create a new business development committee.

N/A

21.08.12

2.2

Name of the new committee (i.e. the Commercial Committee) to be agreed.

2.3

JNN to draft new terms of reference.

2.4

Draft terms of reference to be reviewed by MT

Early October 2012

2.5

Draft terms of reference to be reviewed by the Commercial Committee members

By end of November 2012

2.6

Frequency of the committee to be determined.

October 2012

2.7

New terms of reference to be approved by the Board.

11.12.12 Board Meeting

3.

Customer & Service Delivery Committee/Audit Committee and Finance & Resources Committee JNN to review and amend terms of reference for the each of the aforementioned committees.

3.1

3.2

Draft terms of reference to be reviewed by MT and each aforementioned committee.

3.3

Draft terms of reference to be reviewed by the members of the aforementioned committees.

3.4

New terms of reference to be approved by the Board.

3.5

Frequency of the Finance & Resources Committee to be determined.

18.09.12 Board Meeting 30.09.12

30.09.12

Early October 2012 By end of November 2012 11.12.12 Board Meeting October 2012

10 Page 61 of 104

4.

4.1

Governance Documents JNN to review and amend Articles of Association.

30.11.12

4.2

JNN to review and amend Scheme of Delegation.

30.11.12

4.3

Amended Scheme of Delegation and Articles of Association to be approved by the Board.

4.3

Review and amend Financial Delegations. (* in conjunction with Finance Service Review)

11.12.12 Board Meeting January 2013*

4.4

Amended Financial Regulations to be approved by the Board.

Spring 2013

4.5

All revised governance documents to be published on YHNâ&#x20AC;&#x2122;s intranet (please note Financial Regulations will be published in 2013).

31.12.12

4.6

All revised governance documents to be published on YHNâ&#x20AC;&#x2122;s website (please note Financial Regulations will be published in 2013).

31.12.12

4.7

All YHN board members to be issued with copies of revised governance documents.

January 2013

5.

5.1

Membership New committee membership to be agreed.

5.2

Lead officers and support officers for the committees to be agreed.

5.3

Basic finance training to be offered to all board members.

Spring 2013

6.

6.1

Templates JNN to review of board and committee paper templates.

November 2012

6.2

JNN and LF to produce template for board finance paper(s).

November 2012

6.3

Production of a guidance document to help paper authors and those responsible for formatting such documents.

31.12.12

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18.09.12 Board Meeting 30.10.12

7.

7.1

7.2

Annual Report of Committee Chairs Dates to be agreed for committee chairs to report to Board at least annually on the work of their committees.

Format for such reports to be prepared.

31.12.12

31.12.12

7.3

Draft a template for the annual consideration of external board appointments.

31.12.12

8.

8.1

Formatting papers Person(s) identified for sense checking papers before they are sent to Democratic Services for issuing.

8.2

If necessary training to be offered to those identified to help them understand the sense checking process.

9.

9.1.

Annual Self-Assessment Process JNN to develop an annual committee selfassessment process and templates.

9.2

Process to be approved by the Board.

January 2013

9.3

Self-assessment appraisals to be introduced

Spring 2013

10.

10.1

Miscellaneous Glossary of acronyms and abbreviations commonly used around YHN to be reviewed and reissued to board members.

10.2

Process to enable Board and/or Committees to approve OJEU procurements to be developed.

30.10.12

10.3

Circulate committee dates to board members and officers.

30.11.12

10.4

Publicise committee dates on extranet and website.

30.11.12

10.5

Outcomes of Committee review to be discussed with Democratic Services at NCC.

25.09.12

31.12.12

31.12.12

December 2012

31.12.12

10 Page 63 of 104

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11 Board 18 September 2012 Committee Membership and External Board Appointments Report by Chair For Decision 1.

Background information

1.1

At the last Board Meeting, the Board reviewed the findings from the Committee Review and agreed: that a new committee should be created (which is proposed to be called the Commercial Committee); and that the Performance Committee be disbanded.

As a result of the decisions it is therefore necessary for changes to be made to membership of YHN’s committees.

1.2

In accordance with the process introduced last year the Vice Chair and I have reviewed committee membership and who should chair YHN’s four committees for the period September 2012 to August 2013.

1.3

This report also includes recommendations for external board appointments, for the period September 2012 to August 2013, for organisations such as the Byker Community Trust and Joint Consultative Committee (‘JCC’).

2.

Committee structure

2.1

Following decisions taken at the last Board Meeting, YHN will have five committees: Commercial Committee; Customer & Service Delivery Committee; Finance and Resources Committee; Audit Committee; and Remuneration Committee.

2.2

Terms of Reference for the Committees are currently being drafted by the Board Support Officer and will be shared in due course with the Management Team, each committee and finally the Board for approval. The dates for the approval process have been set out in the Board paper titled ‘Committee Page 65 of 104

Review Action Planâ&#x20AC;&#x2122; which will also be considered on 18 September 2012.

3.

Committee Membership

3.1

My proposals for committee membership are set out in Appendix One. The changes take into account the appointment of new Board Members and preferences of Board Members as discussed during the recent Board appraisal meetings.

3.2

As mentioned at the previous Board Meeting it has not been possible to accommodate all Board Member committee preferences. If Board Members are less familiar with the role and remit of any of the committees they have been assigned too training can be provided to help them develop their skills and knowledge.

4.

Committee Chairs

4.1

The proposals for committee chairs are included in Appendix One. Due to changes to the committee structure it has been necessary to change the Chairs of some committees. It is again proposed that Committee Chairs will serve for a period of two years to provide opportunities for other Board Members.

4.2

I would ask Members to bear in mind the desirability of giving all Members, whatever their constituent group development opportunities, as and when they decide on their committee vice chair appointments.

4.3

Following his re-appointment, George Clark will remain as the independent Chair of the Audit Committee.

5.

Terms of Reference

5.1

Terms of Reference for each committee are currently being revised by the Board Support Officer to ensure that the key elements of business are properly captured across all YHNâ&#x20AC;&#x2122;s committees. The draft Terms of Reference will be considered by each committee at the earliest opportunity.

Each committee will have the opportunity to make amendments to their draft Terms of Reference.

5.2

Once each Committee has considered and approved their draft Terms of Reference the Board will be asked to approve all revised Terms of Reference along with other revised and amended governance documents.

6.

External Board Appointments

6.1

A recommendation from the Committee Review was that the Board be invited to consider and approve on an annual basis all external board appointments.

6.2

It is therefore proposed that the following Board Members represent YHN externally during the period September 2012 to August 2013: Byker Community Trust Limited â&#x20AC;&#x201C; Elaine Snaith (with effect from 1 October 2012) Page 66 of 104

Leazes Homes Limited – Judith Common (with immediate effect) Palatine Steering Group – Ammar Mirza (with immediate effect) JCC – Lynn Stephenson and Paul Dutton (with immediate effect) 6.3

I was the initial YHN board representative for both the Byker Community Trust Limited and Leazes Homes Limited. As both organisations are now established I feel the time is right to ask a fellow Board Member to externally represent YHN. It is also beneficial for other members to represent YHN externally.

6.

Attendance

6.1

Board Member attendance at board and committee meetings for the period September 2011 to August 2012 is attached at Appendix Two.

7.

The Business Implications

7.1

Committees contribute to the good governance of the organisation and it is important that there is a relevant home for all areas of business and that Members contribute effectively to decision making.

7.2

Where Members are not able to attend meetings and have concerns about particular issues, they have a duty to make sure that they raise this either by contacting the Chair or Lead Officer.

8.

Recommendations

8.1

The Board is asked to:

8.2

agree the committee membership and appointment of committee chairs as set out in Appendix One; agree the external board appointments as set out in clause 6.2 above for the period September 2012 to August 2013; note that committees should review and approve their draft Terms of Reference, once they have been prepared by the Board Support Officer; and note the record of Board Member attendance for the period September 2011 to August 2012 as attached at Appendix Two.

9.

Implementation

9.1

Committee membership will take effect from 18 September 2012.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Steve Murphy by email steve.murphy@yhn.org.uk

Page 67 of 104

11

Appendix One Committee Membership from 18 September 2012 George Clark â&#x20AC;&#x201C; Independent Chair John Reid Paul Dutton Judith Common David Slesenger Matthew Myers Nitin Shukla Lynn Stephenson Ammar Mirza

Audit Committee

1.

2.

3.

4.

5.

6.

7.

8.

9.

Customer & Service Delivery Committee

1. Lynn Stephenson - Chair 2. Tony Moore 3. Doreen Huddart 4. Louise Sutcliffe 5. Julie Purvis 6. John Reid 7. Jane Yugire 8. Rob Higgins 9. Phil Dibbs 10. Paul Dutton 11. Veronica Dunn

Finance & Resources Committee

1.

2.

3.

4.

5.

6.

7.

8.

Elaine Snaith - Chair David Slesenger Doreen Huddart Lisa Doherty Julie Purvis Jane Yugire Tony Moore Matthew Myers

Commercial Committee

1.

2.

3.

4.

5.

6.

7.

Ammar Mirza - Chair Phil Dibbs Judith Common Elaine Snaith Lisa Doherty Rob Higgins Nitin Shukla

Remuneration Committee

1 2 3 4 5

Steve Murphy â&#x20AC;&#x201C; Chair Board Vice Chair Chair, Customer & Service Delivery Committee Chair, Finance & Resources Committee Chair, Business Development Committee

Page 68 of 104

Appendix Two - Board Member attendance September 2011/August 2012 Board

Audit

P Dutton L Doherty J Purvis J Reid J Turner J Yugire

9 9 8 10 9 8

3

R Higgins G Keating* D Slesenger M Myers G Pattison* J Stokel-Walker*

10 4 7 10 5 4

Committees Customer Finance & & Service Resources Delivery

Performance

No of meetings

3

0 1 3

3 6 5 6

7 7

7 8

8 6

6 1

6 3

5 0 0

0 1

8 3 7 7 1 5 8 6 8 9 2 7 9 2 4 10 2 6 * All retired from the Board in May 2012 Note: The number of board meetings includes nine board meetings and one special meeting in January 2012.

J Common R Harral A Mirza N Shukla E Snaith L Stephenson

The attendance of board members who joined the Board during the year is: Committees Board Audit Customer Finance & Performance & Service Resources Delivery 3 1 L Sutcliffe 2 0 0 V Dunn 3 1 0 D Huddart

Page 69 of 104

11

Page 70 of 104

Board 18 September 2012 Items for Information 1.

Introduction

1.1

The attached reports are for information: (i)

Chief Executiveâ&#x20AC;&#x2122;s Report.

(ii)

Officer Delegated Decisions 10 August 2012 to 6 September 2012.

(iii)

Board Forward Plan.

(iv)

Petitions Monitoring.

(v)

Health & Safety Update â&#x20AC;&#x201C; Quarter One 2012.

(vi)

Solar Photo Voltaic (PV) Panels Position Statement

(vii)

Minutes: Customer & Service Delivery Committee dated 23 July 2012.

2.

Recommendation

2.2

The Board is asked to receive these items for information.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt by telephone on 0191 278 8624 or email joanne.noble-nesbitt@yhn.org.uk

Page 71 of 104

13

Page 72 of 104

Board 18 September 2012 Chief Executive’s Report Report by Chief Executive For Information

1.

Introduction

1.1

This report aims to bring Board Members up to date with some of the activity that YHN has recently been involved with along with national developments that may be of interest to Board Members.

2.

Ending expensive social tenancies –

2.1

This recent report from the Government think tank ‘the Policy Exchange’ (http://www.policyexchange.org.uk/publications/item/ending-expensive-socialtenancies?category_id=24) sets out its proposals for how government could deliver at no extra cost: A fairer welfare system; More homes; Lower council waiting Iists; and Higher growth.

2.2

The main thrust of the report is the suggestion that putting the highest-value properties on the market when they become vacant could generate £4.5bn to build up to 170,000 new social homes a year.

2.3

The report says properties worth more than the average house price for an area account for one in five of the social housing stock. It is estimated that 816,000 homes have a total value of £159bn, with £71.9bn of those properties being in London. About 3.5% of the buildings become vacant each year and, after debts are paid off, the properties would raise £4.5bn. It is suggested that the money should be set aside to build additional homes, and recommends introducing spending guidelines to ensure stock-quality standards are driven higher

2.4

Board Members should be aware of the following response I suggested following a media enquiry immediately after the announcement. It highlights some of my concerns about this proposal:

Page 73 of 104

13i

‘Yet again this is a piece of policy that originates from issues predominantly in London and the South East that shows little understanding of the position elsewhere. One only has to look at the pictures on page 28 of the document to understand why members of the public might be in favour of this. The over simplification of the issues and proposed resolution based on simple maths being another reason.

Whilst ‘sell one build one’ in the way proposed may work in areas where property has a high value, it is unlikely to work here for a whole host of reasons, mainly the value of homes and the rate at which they would become available. There is however a possibility that you could create a fund from the sale of a small number of homes that over time could be used towards re-provision. However, land is not always available where you want it to be – where are all the brownfield sites that would be needed?

Here in Newcastle and I would suspect elsewhere, most of the more desirable and more expensive properties have already been sold under Right To Buy, which is the biggest contributory factor to the shortage of social housing.

We have sympathy with the idea that people in subsidised housing should not be able to access properties generally out of the reach of most working people, but the assumption that social housing tenants are able to pick and choose where they live where as only working people have to make compromises is just not the case.

We shouldn’t lose sight of the historical context here either. Many of these types of properties are in areas that were previously neglected or unwanted by the private sector and came under Local Authority control because they were abandoned, near dereliction or run as badly managed Houses in Multiple Occupation. It is only with the later gentrification of areas such as Notting Hill in London and Jesmond in Newcastle, following the active promotion of houses as a market commodity and a way to make money, in the late 80’s and 90’s that these areas are now popular with people other than social housing tenants or those at the lower end of the private rented sector.

What we need to do, amongst other things, is reactivate a sensible approach to home ownership based on houses being principally homes rather than investments rather than to say that a group of people are now not good enough to live in these areas. Although the author presents an argument to the contrary, this policy is counter intuitive to the idea of mixed communities and has the potential to reproduce the monolithic estates of social housing that we have spent years trying to get away from.

This will do little to encourage the Government’s stated objectives around social mobility and aspiration. The author uses the word ‘deserving’ a number of times in the report – do we really want a society where people are labelled as undeserving just by virtue of their tenure or to go back to the times where we distinguished between the deserving and undeserving poor.

The author’s proposal seeks to present this policy as a fillip to the economic crisis and particularly the construction industry and in the last line of the report says ‘… the only real question is why the civil service has not proposed this policy already…’

– I would suggest that this might well be because even they can recognise that it shouldn’t always be the poorest that have to pay.’

Page 74 of 104

2.5

A quick calculation based on the report’s definitions of what would be classed as expensive in this region suggests YHN has about 1,500 such properties. This equates to about 5% of the stock as the report suggests and the biggest grouping is two bedroomed properties such as flats, houses and bungalows.

2.6

A further issue of concern is, and again using the definition of ‘an expensive property’ in the region, it is likely that in Newcastle, the value of any properties built as part of a mixed development would be worth more than those being sold off to pay for them, excepting those built in very low value areas, where there would be then issues of demand. So it would seem that here in Newcastle the objectives of this policy to sell properties to directly re-provide and increase availability in the way intended is unachievable, as in all probability we would have to sell three to build two and this would result in a net loss.

2.7

It is yet unclear how much mileage there is in this proposed policy but I will keep members updated with any firm proposals arising out of it.

3

Byker Community Trust

3.1

The Trust has now appointed to the pivotal post of Financial Controller. Phil Ambrose who started in post on 13 August 2012, comes from a previous position as the Finance Director for a large voluntary organisation in the City and has previously worked for the East End Partnership based on Shields Road. He brings with him a wealth of financial expertise and knowledge of working in a community orientated organisation. This is another step in ensuring that the Trust can successfully move forward and developing a relationship between the Trust and YHN of client and contractor.

3.2

The Trust now has six members of staff based at its offices on the estate.

Jill Haley Chief Officer Richard Beedle Project Co-Ordinator Phillip Ambrose Financial Controller

Michelle Bell Principal Project Officer Jenny Bond Office Manager Steve Howells Business Administration Apprentice

The contact details are: Byker Community Trust 23 Raby Cross Byker Newcastle Upon Tyne Tyne & Wear NE6 2FF

Tel (0191) 290 3910 Email: firstname.lastname@bykerct.co.uk Website: www.bykercommunitytrust.org

4

Welfare Reform

4.1

The Welfare Reform Act received royal assent in March 2012 and the Government, through the Department of Work and Pensions (‘DWP’), has been consulting and introducing regulatory changes in the welfare system since that time. The Government aims to reduce the welfare benefits bill by £18 billion a year by 2014/15 and a further £10 billion by 2016. The overall aim is to make it pay to work rather than live on benefits.

Page 75 of 104

13i

4.2

The Welfare Reform Act will introduce several measures which will have a significant impact on individual tenants of working age, on Newcastle City Council as a landlord and YHN as the manager of the stock.

The most significant of these include: Direct payment of all benefits through Universal credit; Reductions to the housing element of universal credit for people under occupying their homes; An increase in the charge that takes account of any non- dependants in the home; A cap on the amount of total benefit that one family can be awarded; Changes to service charge eligibility; and Local Authorities taking over responsibility for the Social Fund a discretionary fund to provide crisis loans and grants to qualifying individuals and families on low incomes.

There are also a range of other changes contained within the Welfare Reform Act that will impact on our customers and business including reductions in Council Tax support and the replacement of Disability Living Allowance with Personal Independence payments.

4.3

YHN is taking appropriate actions to mitigate against the impact of the Welfare Reform Act provisions but this is being hindered by a lack of detailed information and guidance from DWP, rumours about their readiness for the change and therefore uncertainty about implementation dates and additionally, as yet, no information about the outcomes from the pilots and pathfinder projects from which to learn.

4.4

In order to increase capacity and inject some impetus into YHNâ&#x20AC;&#x2122;s response to the reforms, Diane Creighton was seconded as Project Manager Welfare Reform on 13 August 2012 following a recruitment process. She will take on this role in a full time capacity when arrangements are made to cover her current post.

4.5

I will be bringing a full report on Welfare Reform to Board in October that details what has happened so far, what the major issues are and what our approach will be going forward.

5

Next Steps

5.1

Any future development in the aforementioned issues will be reported to Board in due course.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Diane Creighton by telephone on 0191 278 8701 or email diane.creighton@yhn.org.uk

Page 76 of 104

Page 77 of 104

9 April 2012

Neil Scott – Director of Tenancy Services

1.

13ii

To approve the establishment of an OJEU compliant framework to replace the current arrangements within Palatine for the procurement of materials. The cost is built in to Palatine’s budget.

Authorised Subject Date

Directorate/ Delegated Officer

No

Cost - £180,000 per annum.

Cost/Budget Provision

All Wards

Ward

Delegated Decisions – Schedule of non-confidential Delegated Decisions taken between 10 August 2012 to 6 September 2012

Board 18 September 2012

Page 78 of 104

Board 18 September 2012 Board Forward Plan 1

Board Forward Plan

1.1

This Board Forward Plan lists the reports known at the present time that will be presented to the Board meeting on 30 October 2012.

1.2

District Group Heating & Meter Installation

Non-Confidential

Revised 30 Year Business Plan

Non-Confidential

Supporting People Update

Non-Confidential

Welfare Reform

Non-Confidential

Health & Safety Policy Update

For Information

Safeguarding Adults & Children â&#x20AC;&#x201C; Annual Update

For Information

Board is asked to note this information.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt, Company Administrator & Board Support Officer by telephone on 0191 278 8624 or email joanne.noblenesbitt@yhn.org.uk

Page 79 of 104

13iii

Board Report

Page 80 of 104

Board 18 September 2012 Petitions Monitoring

Petitioners:

9 residents of Waverley Road, Cruddas Park

Received:

29 August 2012

Issues:

The petition was received from nine residents of Waverley Road, Cruddas Parkwho wanted to make a formal complaint about the noise levels from a certain property.

Response:

The petitioners were advised in a letter dated 31 August 2012 that the matter was being dealt with by the Cruddas Park Community Housing Manager.

All petitioners have been issued with incident diary booklets to enable them to gather details and accounts of the disturbances.

An update on progress of this matter will be given to the Board in due course.

Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Joanne Noble-Nesbitt, Company Administrator & Board Support Officer by telephone on 0191 278 8624 or email joanne.noblenesbitt@yhn.org.uk

Page 81 of 104

13iv

Response: 31 August 2012

Page 82 of 104

Board 18 September 2012 Health & Safety Update – Quarter One 2012 Report by Assistant Chief Executive and Director of Business For information 1.

Background information

1.1

This report provides the Board with a health and safety update for quarter one of 2012/13 (covering the period April to June).

1.2

The Health and Safety Policy is currently under review and will be reported to Board in October 2012.

2.

Accidents and Incidents

2.1

There were eight accidents to employees reported during the period. None resulted in the employees losing more than seven days from work so do not require reporting to the Health & Safety Executive (‘HSE’).

Reportable type of accidents: None.

Non reportable type accidents: One – Manual handling injuries.

One – Struck by moving or falling object.

One – Another kind of accident.

Four – Slip, trip or fall.

One – Contact with moving machinery.

Other recorded accidents/incidents One – Tenant – slip/trip/fall.

Page 83 of 104

13v

2.2

There were fifteen incidents involving employees reported during the period.

None of the reported incidents were reportable to the HSE or the Local Authority (‘LA’).

Four – Involved verbal abuse.

One – Inappropriate behaviour (over familiar etc.).

Four – Aggressive / intimidating behaviour.

One – Information received from police.

Five – Recorded as a potential risk.

Incidents – Non- employees of YHN There were two incidents reported: One – Inappropriate behaviour (over familiar etc.).

One – Aggressive / intimidating behaviour.

2.3

Reporting of injuries, Diseases and Dangerous Occurrences Regulations 1995 (RIDDOR) As from April 2012, RIDDOR’s over three day injury reporting requirement changed. The trigger point for the absence from work following an injury, increased from over three to over seven days incapacitation (not counting the day on which the accident happened). Incapacitation means that the worker is absent or is unable to do work that they would reasonably be expected to do as part of their normal work.

The deadline by which the over seven day injury must be reported to the HSE will increase from ten to fifteen days from the day of the accident.

Data will now be recorded for over seven day accidents to allow a trend trail to be produced.

Accident Stats – Quarter One (Apr-Jun) and non-reportable (NR) Accident Category 2012/13 – Quarter one (Apr-June) Contact with moving machinery 1 Struck by moving, flying, falling object 1 Struck by moving vehicle Struck something fixed or stationary Injured while handling, lifting, carrying Slipped, tripped or fall on same level 4 Fall from height Contact with electrical discharge Injured by animal Physically assaulted by a person Another kind of accident 1 Manual Handling 1

Page 84 of 104

13v

3.

Health and Safety Inspection Programme

3.1

No inspections were carried out during the period. A Health and Safety Officer has now been appointed to increase the team resources. The vacant position of Health and Safety Manager is also being advertised. These measures will increase resources and allow for inspections to reconvene in quarter two.

4.

Health and Safety Training

4.1

The following health and safety related training courses were held during the period.

Training Course Asbestos Awareness (in-house) Asbestos Awareness (MIS) Dealing With Difficult Situations DSE (Display Screen Equipment) Emergency First Aid at Work (1day) Joint Emergency First Aid at Work / Sharps Manual Handling (trained by NFS) Scaffold Inspection TOTAL NUMBERS

4.2

No. sessions

No. staff trained

1 1 1 2 1 1 2 1 10

7 16 12 29 6 7 10 8 95

Feedback is requested from all delegates and is reviewed to continually improve delivery and content of training courses. All health and safety training records for employees are maintained by the health and safety team.

Page 85 of 104

5.

Fire Risk Assessment Programme

5.1

The Fire Safety Officer is continuing a prioritised programme of fire risk assessments to ensure compliance with the Regulatory Reform (Fire Safety) Order 2005. There have been two fire risk assessments completed in the period: Deneside Flats; and The Financial Inclusion Team offices, Banbury Road.

5.2

The recommendations from each risk assessment are tracked and monitored to ensure progress is made on improving fire safety arrangements in each premise.

6.

Fire Improvement Programme

6.1

Continuing trends of communal main bin room fires have caused concern.

A pilot sprinkler system within one of the main bin rooms is being considered. A programme of fire alarm installation has been actioned. In addition, in a preventative approach is being taken and YHN are investigating how to address the root cause.

6.2

As part of the fire alarm improvements within sheltered accommodation, the Community Care Alarm Service is carrying out call challenging assessments. Call challenging will reduce false alarms. Call challenging is a method of checking the legitimacy of a call upon the emergency services.

7.

Fire Safety

7.1

Tyne and Wear Fire & Rescue Authority and YHN are maintaining quarterly meetings to discuss any concerns/issues and best practice/the way forward.

This meeting is proving valuable to both parties.

7.2

A new fire evacuation procedure for high rise blocks has been developed with new signage to be installed within the blocks. All tenants will be provided with the new procedure, and staff will be briefed.

8.

Construction, Design and Maintenance (‘CDM’)

8.1

The Acting Health & Safety Manager is fulfilling the role of CDM Coordinator within Assets & Programming. Information is forwarded to the client, Newcastle City Council (‘NCC’), on a monthly basis for notifiable projects to ensure both YHN & NCC are fulfilling their duties under the CDM regulations.

16 notifiable projects are on-going (notified to HSE); 33 non-notifiable projects are on-going; and Nine notifiable projects are on-going (notified to HSE) where the client is Leazes Homes.

Page 86 of 104

8.2

The Acting Health & Safety Manager jointly reviews and signs a contract acceptance form with Atkins & Capita (consultants) the CDM Co-ordinators.

This acceptance form is for each individual estate which advises that the Construction Phase Plan is of an acceptable standard, which allows the constructors to start works on that specific site under the Modern Homes programme.

9.

Asbestos Management

9.1

Approximately 95% of properties under the decent homes programme have been surveyed and communal areas in sheltered schemes and multi storeys have been surveyed. The Acting Health & Safety Manager is carrying out the monitoring of the asbestos left insitu in communal areas as required under the control of Asbestos Regulations 2006 (CAR).

10.

Legionella Management Update

10.1

YHN appointed Hertel in October 2011 to manage water hygiene on behalf of the organisation. Hertel are currently updating water hygiene risk assessments for all YHN managed high rise properties, sheltered accommodation and offices. Any actions identified during the risk assessments are prioritised and actioned by YHNâ&#x20AC;&#x2122;s Property Maintenance team.

10.2

Since October 2011 Hertel have been carrying out monthly temperature monitoring at all high rise, sheltered accommodation and office accommodation to ensure that any deficiencies in water supplies are identified immediately and mitigation measures introduced until the source of the deficiency is located and resolved.

10.3

YHN and Hertel hold monthly performance and update meetings to ensure that we are compliant with the HSEâ&#x20AC;&#x2122;s Approved Code of Practice & Guidance (L8 - The control of legionella bacteria in water systems).

11.

The Business Implications

11.1

Mission and Strategic Objectives: Health and safety management contributes to our strategic objectives of investing in support and care to communities and a quality workforce. It is also a key element of refurbishing and building homes.

11.2

Value for money/efficiencies: The effective management of health and safety reduces the likelihood of accidents occurring and leading to staff absences or construction related delays.

11.3

Resources (financial, property, technological or human): Current and planned activity is to be contained in existing budgets. Properties and people are protected by this area of work. The management of health and safety reduces the risk of financial loss through litigation.

Page 87 of 104

13v

11.4

Impact on services/performance: The Health and Safety Policy will contain measurable performance indicators.

11.5

Outcomes for tenants/leaseholders: Tenants and leaseholders benefit from a safer environment.

11.6

Risk (reputation, relationship): Mitigation against risk is managed through a continued programme of risk assessments and audits.

11.7

Environmental: There are no specific environmental issues to consider but some health and safety measures do have a positive impact on the environment.

11.8

Legal: Health and safety is subject to a comprehensive legislative framework. Punitive penalties exist for failures.

11.9

Equality and Diversity and Community Cohesion: There are no implications in the content of this report. Issues such as the evacuation of disabled people in the incidence of fire are dealt with in more detailed procedural guidance.

11.10

Stakeholder Involvement/consultation: The Health and Safety Policy will be subject to consultation.

12.

Conclusion and recommendations

12.1

The Board are asked to accept this report as an on-going update of operational health and safety issues.

13.

Implementation

13.1

Quarterly update reports for information will continue to be included in the Board forward plan.

The policy development work will be concluded and reported to the Board in October 2012.

Background Papers YHN Board, Health & Safety Update â&#x20AC;&#x201C; 17 April 2012 Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact David Langhorne by telephone on 0191278 7701 or email david.langhorne@yhn.org.uk

Page 88 of 104

Board 18 September 2012 Solar Photo Voltaic (PV) Panels Position Statement Report by Assistant Chief Executive and Director of Business

1.

Background information

1.1

This report provides an update on YHN’s position on solar PV as requested by members at a previous meeting.

1.2

Solar PV is a microrenewable technology, generating electricity from sunlight.

It is eligible for a Feed-In-Tariff (‘FIT’) payment for each unit of electricity generated (even if used onsite), and a smaller ‘export’ payment where electricity is exported back to the national grid.

1.3

Changes in the value of FIT payments since the beginning of the financial year mean that the solar PV is unlikely to be an attractive financial opportunity for most investors.

1.4

Solar PV does retain an attraction for YHN in terms of fuel poverty and environmental sustainability performance; the electricity generated can be passed to tenants for free and has lower carbon dioxide emissions associated than other generation options such as fossil fuels, therefore can contribute positively to reducing the carbon footprint of our housing stock.

1.5.

To date YHN has installed PV systems to benefit over 1,000 properties, including: 99 systems at new build properties; 500 systems retrofitted to existing individual properties; and 413 systems at mid- and high- rise properties to supply communal lighting, lifts and external lighting. YHN House is also included within this number.

In deploying these systems YHN has exceeded the target of 1,000 systems as set in our Environmental Sustainability Strategy.

YHN has delivered 400 of these schemes in partnership with City Build but for these schemes we do not retain any FIT or export payments. Similarly, Page 89 of 104

13vi

For information

as both new build properties and an early pilot scheme in Newbiggin Hall have received grant funding FIT and export payments cannot be claimed either. These schemes do, of course benefit the tenants.

At the remaining 488 sites these incomes streams are being claimed. It is expected that over the next 25 years this scheme will generate over 9.7 megawatts of electricity and a net income of ÂŁ2.3million which can be reinvested across the wider stock.

2.

Issues and concerns

2.1

The restructure to FITs at the beginning of the financial year and consequent reduction in FIT payments since then has to an extent eroded the business case for proceeding with further PV schemes.

Recent evidence demonstrates that the cost of PV systems has fallen, in response to the FIT restructure. This could mean that in some cases further PV schemes could still be viable. A separate report to Management Team will set the case for this.

2.2

Among YHN tenants there appears to be a high level of interest in solar PV; the most recent schemes delivered with City Build have seen a very low number of omissions at suitable properties and a high volume of telephone enquiries were received during the scheme.

However, the value for money position on solar PV is not as attractive as some other environmental sustainability options. For example, loft and cavity insulation both have much shorter payback times than solar PV, while upgrading inefficient boilers to A-rated combination boilers should also have more obvious benefits to tenants.

2.3

A further concern linked with solar PV is the fact that installation can be seen as inequitable as its feasibility is linked to the property rather than the person living in it.

Solar PV can only feasibly be installed at properties with an Energy Performance Certificate (â&#x20AC;&#x2DC;EPCâ&#x20AC;&#x2122;) Rating of A, B, C or D, in addition to having a roof that is suitably orientated (South, South East, South West) and of sound structural integrity.

3.

The possibilities

3.1

It is likely that as a result of changes to the market any future opportunities are likely to be relatively short-term and requiring a rapid response for YHN to take advantage.

3.2

In order to be ready to respond to opportunities YHN has already assessed its stock data to identify the most suitable properties. Some further work may be needed, e.g. to complete EPC assessments etc, but this will not take place until schemes have been confirmed.

When considering possible schemes we will also assess suitable properties with regards secondary criteria, e.g. indices of multiple deprivation or fuel poverty statistics. This should provide some restitution on the equality and Page 90 of 104

diversity issue raised earlier in section 2.3.

3.3

Solar PV is likely to be funded through either ‘self-finance’ or ‘PV for free’. A brief overview of each of these mechanisms is given below.

Self-Finance Schemes YHN would select suitable properties and arrange for installation to take place. FIT and export payments would be collected by YHN with tenants receiving free electricity. However, the restructure of the FIT and export payments means that this route is not as financially attractive as had been the case previously; payback is expected in nine to ten years (i.e. as with previous schemes), with a net income thereafter for ten years.

Prior to the tariff restructure it was relatively common for third parties to approach social landlords and offer a small payment for siting PV panels on suitable stock. The payment is no longer offered, but schemes offering free electricity only are still available to a smaller extent than previously. In this type of scheme YHN would assist in selecting appropriate properties but would not collect any FIT or export payments, although tenants would receive free electricity.

4.

Solar PV going forward

4.1

Whilst solar PV is no longer attractive purely as a financial investment opportunity, it could still have a role to play in tackling fuel debt and poverty; this requires a strategic approach to be taken to PV deployment, i.e. making sure eligibility criteria are met and other factors like fuel poverty rates or Indices of Multiple Deprivation are considered.

To aid this approach we must understand more about how well our existing PV installations perform, both in terms of electricity generated and impact on electricity bills. To this end YHN are monitoring the electricity generated; this will be most useful once the organisation has collected a full year’s worth of data. This is expected to be in March 2013 at the earliest. We will also look to revisit previous installations to identify the impact from a tenant’s perspective.

4.2

Solar PV will continue to play a role in our new build programme, providing a cost effective route to achieving higher Code For Sustainable Homes standards.

PV for free schemes will not be supported outside of YHN endorsed strategic schemes due to risks to both YHN and our tenants, i.e. roof damage during installation, maintenance responsibilities, Right-to-Buy issues etc.

4.3

Across both new builds and existing homes we believe that the appropriate technology should be used onsite to support our tenants. This means that in some cases other renewable technologies or energy efficiency measures may provide better value for money and will be deployed in preference to Solar PV.

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PV for free schemes

5.

The Business Implications

5.1

Mission and Strategic Objectives: Solar PV supports our strategic objective of investment in refurbishing and building homes.

5.2

Value for money/efficiencies: The installation of solar PV will be subject to a detailed financial analysis of payback periods. The market is continually tested to ensure YHN take full advantage of the decreasing material costs.

5.3

Financial Implications: Over a 20 year life solar PV can provide financial payback, providing eligibility requirements are met.

5.4

Resources (financial, property, technological or human): None immediately rise from this report.

5.5

Impact on services/performance: Installation of solar PV will contribute towards YHNâ&#x20AC;&#x2122;s commitment to reducing fuel poverty.

5.6

Outcomes for tenants/leaseholders: PV will assist in reducing fuel bills and reducing dependence on non-renewable fossil fuels.

5.7

Risk (reputation, relationship): As feed in tariffs drop there will come a point where solar PV installations are no longer financially viable.

5.8

Environmental: Deployment of solar PV reduces the environmental impact of our stock by ensuring that dwellings with PV require less energy from nonrenewable sources, thereby reducing the carbon footprint.

5.9

Legal: Contractual agreements with tenants are signed before the installation of solar PV. The agreement acknowledges that should a Right to Buy application progress the ownership of the panels are included within the purchase.

5.10 Equality and Diversity and Community Cohesion: Solar PV does present some potential equality and diversity issues as the installations are only undertaken on properties with south facing roofs in certain geographic areas.

Mitigation is described at 3.2.

5.11 Stakeholder Involvement/consultation: As with other investment programmes tenants are consulted individually in advance of any works.

6.

Recommendations

6.1

This report has summarised our involvement and activity on solar PV to date.

So far we have met our own target of installing 1,000 solar PV systems, but the increasing concerns around fuel poverty and climate change mean further opportunities should be welcomed if they present value for money.

6.2

The Board is asked to accept the information in this report as a guide for our future development in this area.

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7.

Implementation

7.1 The Assets and Programming Section have feasibility studied our stock for potential future solar PV schemes.

Indicators such as fuel poverty, deprivation and vulnerability, and the property heating type will be used to prioritise the schemes should future opportunities arise.

7.2 Any further solar PV development will be managed through the Environmental Sustainability Action Plan. Regular updates on this are provided to Customer and Service Delivery Committee.

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Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Dave Henry by telephone on 0191 278 8607 or email david.henry@yhn.org.uk

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Customer and Service Delivery Committee 23 July 2012 (4.30 - 5.40 pm) Present: L Stephenson (Chair), A Mirza, M Myers, R Higgins, J Purvis, J Yugire, J Turner and J Reid

N Scott D Langhorne M Burn L Horsefield H Horan S Campbell A Allison W Keilty I Gallagher M Lambert K Harrison J Cavanagh G Haggerston

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- Director of Tenancy Services, YHN - Head of Assets and Programming, YHN - Head of Support and Care, YHN - Business Strategy Manager, YHN - Customer Involvement Officer, YHN - Employability Manager, YHN - Head of Housing Management, YHN - Head of HR and Customer Service, YHN - Head of Property Maintenance, YHN - Newcastle Tenants and Residents Federation - Newcastle Tenants and Residents Federation - Newcastle Tenants and Residents Federation - Democratic Services, Newcastle City Council

APOLOGIES FOR ABSENCE There were no apologies for absence.

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DECLARATIONS OF INTEREST IN ANY ITEM TO BE DISCUSSED AT THE MEETING There were no declarations of interest made.

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MINUTES OF MEETING HELD ON 14 MAY 2012 The minutes of the meeting held on 14 May 2012 were agreed as a correct record and signed by the Chair.

Matter Arising:(a)

Repairs and Maintenance Strategy Action Plan Six Monthly Update (minute no 43 refers)

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In Attendance:

2

A member indicated that he was to attend a meeting at Tynedale House later in the week and as the handyperson scheme may be useful to the residents there, asked for information leaflets about the scheme to take along. I Gallagher advised that leaflets and posters had been produced, but he would also be happy to come to the meeting - Action It was reported that painting and decorating was now being carried out and cost £10 per hour per operative. The charge was therefore £20 per hour and it took 1 day to paint a room. Progress would be reported back to Committee at a future date – Action.

In response to a question from the Chair, it was reported that the service was funded by Supporting People and YHN and therefore free of charge to all vulnerable adult tenants. The definition of vulnerable adult was any adult in receipt of benefit.

There previously had not been a demand for the handyperson service, despite being promoted on a number of occasions, and hence the £20,000 budget was underspent. It had therefore been decided to use this underspend for painting and decorating work.

A member referred to a scheme run by the City Council where its employees and YHN employees could have work done by Council staff and pay for the work with a pay plan. It was indicated that this was a different service to the handyperson scheme.

It was noted that the handyperson operatives were employed by Mears, not YHN. A member queried whether YHN could provide this service. N Scott questioned whether YHN could do it cheaper, and in any event would have to tender for the contract when it came up for renewal.

The Chair suggested that Mears could perhaps take on apprentices.

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ACTION LIST AND WORK PLAN Previously circulated and copy attached to Official Minutes. (a)

Work Plan

N Scott advised that there was a late addition to the workplan – Estate Walkabouts and Inspections. The process was being reviewed and a report would be brought to the September meeting – Action (b)

Action List

Noted.

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SKILLS TO WORK STRATEGY UPDATE Submitted: Report by Head of Support and Care (previously circulated and copy attached to Official Minutes)

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M Burn, Head of Support and Care, presented the report which provided an update on the work undertaken as part of the Skills to Work Strategy action plan since January 2012.

The Skills to Work Strategy was very important given the forthcoming welfare reform changes; 20 YHN customers had Your Homes Your Jobs placements, of whom 7 were still employed as part of the programme, 12 had completed their 6 months and 1 had resigned; The programme had saved around £20,000 on expenditure for YHN; Challenges for those taking part had been considerable and were mainly of a financial nature around coming off benefits. To assist the participants were, for example, all paid the over 25 rate of minimum wage and the Community Environmental Assistant roles had been given travel passes. However they were still only slightly better off than being on benefits. In response to a question, it was indicated that the reason why one person had resigned was linked to their financial position and repayment of debts; With regard to the YHN Apprenticeship Programme, there was now a full complement of 10 apprentices within a range of roles. The next intake was in December 2012 and consideration would be given to promotion to ensure candidates from all areas of the city were considered; A lot of positive press publicity had been achieved about the Apprenticeship Programme; YHN were also working with Enterprising Newcastle around helping tenants start up their own businesses. Two workshops were to be held in September to promote this; The Young Enterprise project was producing structured learning for 7-8 year olds; There were a number of possibilities being worked on through Jobs from Procurement, and reference was made to the Chair’s earlier comment about the possibility of Mears taking on apprentices Committee’s attention was also drawn to the Walker Learning Hive and United for Employment.

In conclusion it was felt that the Skills to Work Strategy had, over the last 12 months, been successful.

Comments were invited from Committee members and the following points were made – Reference was made to events around education, training and employability at which the Open University had been publicised and it was queried whether this would be worth exploring and linking with; Some people struggled with telephone skills and it was queried whether there was scope to role out telephone training generally for YHYJ/Apprentices; Was there any scope for developing the theme of community payback?;

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The following key points were noted for the Committee’s information:-

4

Disappointment was expressed that YHN were having to encourage contractors to bring benefits in terms of training and jobs to the city’s residents rather than being able to enforce; A member was pleased to see the CEA’s involvement in the work at Syd’s hut; Some residents were worried about coming off benefits, as they had never had experience of working; Some residents felt they were better off not working; There had been very few applications from the inner west area; It had to be ensured that the Your Homes Your Jobs employees were not being used to replace other staff’s jobs A lot of young people had become disillusioned with job schemes, such as YTS; It was suggested that consideration be given to preparing a case study around one of the customers who had gone through the programme – Action.

In response to members’ questions, it was noted that – Health and Safety was included in the apprentices’ induction.

Most office based apprenticeships were for 1 year, and they were supported through this year. A lot of time was invested in mentoring and supporting them; It was difficult to get apprenticeships for plumbing etc; The qualification for being considered for an apprenticeship was that the person lived on a YHN estate, and was long term unemployed (over 6 months); Community Environmental Assistants had originally been placed near their homes, but as they now had travel passes could be based away from their local area; The YHYJ employees could be any age (Apprentices were 16/17 years of age), and there had been an overwhelming response to the vacancies from all ages and all areas; The benefits of working were that the people were taken out of the benefit system and in control of their own destiny; The upcoming cuts in benefits may mean more residents had to participate in schemes such as Skills to Work, and therefore perhaps YHN needed to take on more.

YHN had the resources to run the scheme now, but the amount of resources in the future was not known; Training was bespoke to the area the employees were working in; YHN contractors could be required to take on some local people under the contract, but could only be asked to consider taking on YHN customers rather than being forced to do so.

Officers suggested that an update be presented to Committee in September around some of the issues raised, such as phone training, payback etc, with a full report in 6 months time - Action.

RESOLVED – That

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(a) (b) 54

an update be presented to Committee in September around some of the issues raised, such as phone training, payback etc; and a full update report be submitted in 6 months.

COMPLAINTS AND COMPLIMENTS QUARTER 1 REPORT Submitted: Report by Head of Customer Service and Improvement (previously circulated and copy attached to Official Minutes).

Wilf Keilty introduced the report and indicated that Linda Henderson Gray of the Customer Service Team was meeting with Newcastle Tenants and Residents Federation the following week to discuss satisfaction on a geographic level, and would update Committee in September – Action.

Discussions were taking place regarding carrying out telephone surveys as the response rate to questionnaires was low.

It was indicated that there was a lot of work carried out to break down the demographic information and members were requested to agree to the report being submitted annually, as happened with Remedies. However the targets would still be continued.

A member indicated that he was pleased to see the low number of informal complaints regarding staff even though they had to deal with difficult situations.

RESOLVED – That demographics for satisfaction be reported on an annual basis rather than quarterly (in quarter 4) 55

INVESTMENT PROGRAMME UPDATE - QUARTER 4 2011/12 Submitted: Report of Head of Assets and Programming (previously circulated and copy attached to Official Minutes).

A member queried whether there would be provision in any future investment programme for residents to have a say in what the local priorities were for their area, if there were only money to carry out one type of work. In response N Scott advised that a report was to taken to Board in September regarding devolving influence down to local level. Priorities could then be firmed up for taking this forward.

RESOLVED – That the report be received.

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ENVIRONMENTAL SUSTAINABILITY STRATEGY UPDATE Submitted: Report by Head of Assets and Programming (previously circulated and copy attached to Official Minutes).

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Members were advised that the targets for acknowledging and responding to formal complaints had been achieved.

6

A member queried whether there were any plans to follow up on the successful acquisition of funding for Pendower Estate. In response S Campbell indicated that this had been opportunistic funding but officers would keep looking for anything further. Household bills in the area would be monitored as well.

Reference was made about linking into the Benwell and Scotswood Housing and Environment Forum, and S Campbell indicated that he would pick this up – Action RESOLVED – That the report be received.

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REVIEW OF PROPERTY DESIGNATIONS - SUMMARY REPORT Submitted: Report by Head of Housing Management (previously circulated and copy attached to Official Minutes).

RESOLVED – That the report be received.

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CUSTOMER INSIGHT UPDATE Submitted: Report by Business Strategy Manager (previously circulated and copy attached to Official Minutes).

RESOLVED – That the report be received.

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DATE AND TIME OF NEXT MEETING 4.30pm on Monday 3 September 2012 at YHN House, Benton Park Road, Newcastle upon Tyne.

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