Mears LLP- Operational and Financial Performance Monitoring Report
North Lanarkshire Council · 15 February 2023
Back to Housing Committee — 15 February 2023 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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North Lanarkshire Council Report Housing Committee Does this report require to be approved? ☐ Yes ☒No Ref BL/MH/KD/HD Date 15/02/23 Mears LLP: Operational and Financial Performance Monitoring Report to 30 November 2022 From Brian Lafferty, Chief Officer, Housing Property Services E-mail HendryM@northlan.gov.uk DoohanK@northlan.gov.uk Telephone Michelle Hendry, 07960974797 Kevin Doohan, 07415477387 1. Background 1.1 In 2010 Morrisons Facilities Services Ltd successfully bid to become the Council’s strategic partner to deliver housing and corporate repairs over a 10-year period with the contract commencing on 21 January 2011. Mears PLC subsequently bought Morrisons Facilities Services Ltd as a going concern, so now own the 67% shareholding in the Mears Scotland LLP (Mears) strategic partnership and the inherent North Lanarkshire service contract. North Lanarkshire Council owns the remaining 33% of Mears Scotland LLP. Executive Summary This report outlines Mears Limited Liability Partnership (LLP) performance against its business objectives, Council priorities and the Housing and Corporate Repairs and Maintenance service delivery contracts and the financial performance for financial years 2022 and 2023. Recommendations It is recommended that committee: (i) Acknowledge Mears LLP’s operational performance for 2022/23 for both housing repairs and corporate repairs, from 1 April 2022 to 30 November 2022. (ii) Acknowledge Mears financial performance as of 30 September 2022, along with assurance, or otherwise of the financial standing of the ALEO by Financial Solutions. (iii) Acknowledge that the Head of Business Solutions submits a six-monthly composite report to the Audit and Scrutiny Panel confirming that governance and risk management arrangements are suitably robust within each ALEO/partner. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (1) Ensure a housing mix that supports social inclusion and economic growth
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1.2 At a strategic level, the MEARS Management Committee is responsible for governance and oversight of the LLP’s statutory responsibilities in relation to service delivery and management, staffing, financial control and reporting, health and safety, performance monitoring and risk management. The Management Committee meets quarterly and comprises up to four representatives from MEARS Scotland and two representatives from North Lanarkshire Council with these positions currently filled by a Councillor and the Chief Officer, Housing Management. Senior officers from both partners are also in attendance to provide professional, technical and financial reports. 1.3 The Council expected the partnership to secure local employment, source local supplies and services, and ultimately secure continuous improvement in the repair’s services delivered to North Lanarkshire residents and the council. 1.4 The Year 8 Best Value Service Review (BVSR) of the MEARS contract, reported to the Enterprise and Housing Committee in May 2018, included an assessment of the corporate property repairs service including: Revenue Works Orders, capital projects, Client-Contractor liaison arrangements; post-inspections; health and safety; and performance reporting. The review found that works are carried out safely and are conducted in accordance with the job specification, good industry practice and the relevant quality standards. The opportunity was identified, however, to improve feedback and ongoing communication between MEARS and the relevant Services to ensure that the customer was kept up to date on the progress of the repairs. Overall, the BVSR identified high levels of service delivery across the partnership, with only a small number of improvement actions identified, including the need for improved communications as referenced above. 1.5 Housing repairs, corporate property maintenance and capital investment proposals are all currently in-scope for delivery through the new North Lanarkshire Council Enterprise Project. To ensure continuity of service and enable anticipated inclusion of housing and corporate property maintenance within the North Lanarkshire Council Enterprise Project, the Housing and Regeneration Committee at its meeting on 20 May 2020 considered a report recommending that provision is made for annual extensions to the strategic partnership with MEARS, potentially up to January 2024. 1.6 In relation to the contract extension, Mears are now in the second year, this commenced on 22 January 2022 until 21 January 2023. It should also be noted that the third year was approved at committee which is from 22 January 2023 to 21 January 2024. 1.7 In line with the role and nature of the strategic partnership vehicle, performance will continue to be reported to Committee during the extension periods. 1.8 In February 2020, the arrangements were revised, and individual Chief Officer’s now submit a six-monthly performance report to the relevant service committee confirming that the ALEO is delivering services as per our recommendations and expectations, and in accordance with the Service Level Agreement of contract works agreement. Colleagues in Financial Solutions provide the financial performance information along with assurance, or otherwise, in relation to the financial standing of the company. 1.9 In addition to this reporting, the Chief Officer for Business Solutions submits a six- monthly composite report to the Audit and Scrutiny Panel confirming that governance and risk management arrangements are suitably robust within each ALEO. Information is also provided by the Chief Officer of Financial Solutions relating to compliance with
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financial monitoring arrangements and identifying any matters which may result in financial risk to the council. This financial information is reported by exception. 2. Report 2.1 Performance Indicators 2.1.1 It was agreed that performance against these targets should be reported to committee on a six-monthly basis. As such a Partnership Performance report has been submitted on a scheduled basis, with the most recent considered by the previous committee at its meeting on 31 August 2022. 2.1.2 Appendix 1 provides year to date housing performance in 2022/23 with comparison figures from the previous year provided in Appendix 2. Emergency and non-emergency timescales for housing repairs are shown in Appendix 3. Appendix 4 provides year to date Corporate performance in 2022/23 with comparison figures from the previous year provided in Appendix 5. Emergency and non-emergency timescales for corporate repairs are shown in appendix 6. Further performance outcomes, demonstrating where Mears is supporting The Plan for North Lanarkshire are provided at Appendix 7. Appendices 8 and 9 provide financial performance and overall Standing as of 30 September 2022. 2.2 Housing Property Performance 2.2.1 The timescale in completing emergency repairs for all 3 linked contractors, year to date, is currently 3.23 hours. Mears year to date, average emergency timescales are 3.32 hours. The 2021/22 Scottish average was 4.20 hours. 2.2.2 The timescale for completing non-emergency repairs, for all 3 linked contractors, year to date, is currently 6.85 days. Mears average non-emergency timescales is 9.52 days. The 2021/2 Scottish average was 8.9 days. A full breakdown of year to date including emergency and non-emergency performance for all contractors as well as Mears only, is included in appendix 3. 2.2.3 It should also be noted that repairs carried out right first time has been reported at 97.42 % over the same period. The 2021/2 Scottish average was 88.3% 2.2.4 Current customer satisfaction level is 94.27% year to date. The 2021/22 Scottish average was 88.0%. We continue to receive various methods of surveys which include completed surveys online from tenants and at the post inspection stage of works, undertaken by our Technical Officers. We also receive results from Mears text message survey which was introduced January 2021. Customer satisfaction surveys continue to inform action and help ensure that any areas of dissatisfaction are immediately followed up. 2.2.5 Frontline resolutions - The number of Stage 1 complaints received for 2022/23 relating to all of Housing Property and Projects, have increased in comparison with the same period last year (see table 1 below). Of the complaints responded to year to date, a total of 67.68% have been upheld or partially upheld, in the same period last year 65.77% were upheld. 92.42% of complaints YTD have been responded to within SPSO timescales, in comparison to 98.66% of complaints in the same period in 2021/22. Forty six stage one complaints were received YTD in relation to Mears, they were responded to within timescale and 42 (91.30%) were upheld or partially upheld.
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An analysis of all complaints received is undertaken by Local Homes to allow any re- occurring issues to be addressed and associated service improvement actions to be progressed. 2.2.6 Investigations- The number of Stage 2 complaints received for 2022/23, relating to all Housing Property and Projects service, has decreased in comparison to the same period last year (see table 1 below) A total of 57.14% of closed cases have been upheld or partially upheld which is a decrease in comparison to 77.27% upheld or partially upheld in the same period last year. 95.24% of complaints received as stage 2 complaints were responded to within SPSO timescale in comparison to 95.45% of complaints in the same period in 2021/22. There has been 6 stage 2 complaints received in relation to Mears within 2022/23 to date. They were responded to within timescales and 83.33% were upheld. 2.2.7 It should be noted that in relation to the number of complaints as a comparison to the number of emergency and non-emergency repairs, which equated to 72,234 from April to Nov 2022 this equates 0.3 as a % of complaints as a comparison. 2.2.8 Table 1 below shows Housing Property and Projects complaints received via Council between each financial year. Table 1 2022/23 2021/22 (for comparison) Q1 Q2 Q3 Oct & Nov only Q4 Total Q1 Q2 Q3 Q4 Total Stage 1 73 63 62 198 54 50 55 61 220 Stage 2 7 9 5 21 9 7 8 9 33 Total 80 72 67 219 63 57 63 70 253 2.3 Corporate Property Performance 2.3.1 The timescale in completing emergency repairs year to date, April 2022 to November 2022 is currently 4.19 hours. 2.3.2 The timescale for completing non-emergency repairs year to date is currently 8.47 days. A full breakdown of year to date, emergency and non-emergency performance is included in appendix 4. 2.3.3 98.15% of emergency jobs were completed within time scale YTD. This surpasses the 97% target. 2.3.4 Also surpassing the 97% target is the percentage of routine jobs completed within timescale which currently sit at 98.38% YTD. 2.4 Service Delivery Highlights A sample of service delivery highlights over the period include: • Careers talks at Braidhurst High and Dalziel High schools in September • Collaborative working with supply chain to donate paint to Mother & Baby unit in Airdrie • 22 New craft apprenticeships onboarded in Q2
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• 3 Kickstart employees successfully secured apprenticeships with Mears • 1 ‘No Limits’ placement secured employment with Mears upon successful completion of 52 week placement 2.5 Financial Impact – Public Accountability 2.5.1 To satisfy the Council’s duty to ensure the organisation delivering property repairs and upgrade services on its behalf is financially sound, the Council’s Section 95 Officer maintains appropriate and proportionate processes and procedures for scrutinising Mears financial performance. 2.5.2 The Council’s Legal Agreements with Mears specify the financial information which it must submit to the Council including an annual business plan, quarterly management accounts, audited financial statements etc., to enable Financial Solutions to assess and report any financial risk likely to arise as a result of the Council using Mears to deliver these services. 2.5.3 The Council expends both revenue and capital resources annually with Mears to deliver services which assist the Council in achieving its priority outcomes. Mears operated a financial year ending 31 December 2021 with the majority of its turnover anticipated from housing and property repairs, with the remainder representing capital and other works. Based on their audited accounts to 31 December 2021, members will wish to note that Mears LLP reported a trading profit of £1.181m on an annual turnover of £48.856m (2.4%). 2.5.4 As previously advised, the contract with Mears includes scope for the Council to receive additional financial benefits, all of which have been impacted during the year by the restrictions in place including: a) A “volume discount”, which gives the Council a 6.28% return on the value of relevant works awarded through the partnership. For the financial year 2022/23, the Council had budgeted to receive £1.9m which is fully projected to be achieved. b) The partnership agreement also makes provision for a Best Value Efficiency Saving (BVES) to be applied to the schedule of rates paid by the Council on 1st July each year. The BVES receivable is dependent on turnover achieved by Mears, with a rate of 2.75% applicable on works to the value of £30m, a further 4.69% applicable on works between £30m and £35m, and any turnover in excess of £35m attracting additional BVES of 7.69%. Recognising the Council’s 2022- 23 budget of £33.9m for housing repairs, the partnership expected to deliver a minimum benefit of £0.825m. c) Scope also exists for the Council to receive dividends from this partnership arrangement. However, as a result of the previous cumulative negative trading position, there have been no dividends declared to date. d) In return for satisfactory service delivery and effective financial performance through the LLP, Mears PLC is entitled to receive a management fee which comprises both fixed and variable elements and is partially linked to the level of works delivered through the contract. 2.6 Financial Performance as of 30 September 2022
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2.6.1 Mears Financial year runs from January to December. The LLP is budgeting to receive a net profit of £1.833m on a turnover of £49.989m (3.7%). The 2022 budget submission was based upon normal trading forecasts following the conclusion of the defined service agreement. The budget is based on the pre-defined service delivery run rates, taking into consideration anticipated reductions in some planned work streams. Existing agreements on Covid19 support are included in the first quarter to March 2022. 2.6.2 The mix of turnover traded to November 2022 has had more of a bias towards routine repairs than originally envisaged. Planned works have been re-prioritised to ensure the routine works are being completed. The partnership was also heavily involved in the Ukraine Towers Project which is about to conclude with the work mix returning to expected levels. 2.6.3 Based on Mears financial statements to 30 September 2022, it should note that the company accounts are showing a net profit of £1.655m on a turnover of £41.993m (3.94%). Details of performance against budget to 30 September 2022 are detailed in Appendix 8. 2.6.4 It should be noted that the partnership has experienced difficult trading conditions during quarters 1-3. This is due to the challenging issues within the market, where material prices are increasing and in instances difficult to procure. It should also be noted that recruitment is proving challenging due to a demand on labour across the construction industry. 2.7 Overall Financial Standing – Balance Sheet as of 30 September 2022 2.7.1 Appendix 9 provides key balances to give members an update on the overall financial standing of the company. Key balances and indicators worthy of specific note include: a) The company had cumulative net assets of £2.260m b) A comparison of current assets to current liabilities equated to a current net asset of £3.959m and a current ratio of 1.35. A current ratio less than 1 is an indication that the company may experience difficulty in meeting its obligations. The partnership ratio is above 1, however there is a continued reliance upon the parent company’s rolling facility which is up to a maximum of £8.000m. c) The intra Group loan account stood at £1.731m on 30 September 2022. 3. Measures of success 3.1 These reports detail the activities which are expected to support delivery of the council’s priority outcomes, as well as the organisation’s performance against these. This should ensure elected members have sufficient information to assess how Mears’ service delivery supports the council in delivering against The Plan for North Lanarkshire, as well as producing a high level of service delivery, legal compliance and customer satisfaction. 4. Supporting documentation 4.1 Appendix 1 – Mears Housing Performance 22/23 4.2 Appendix 2 – Mears Housing Performance 21/22 4.3 Appendix 3 – Housing emergency and non-emergency performance 22/23
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4.4 Appendix 4 – Mears Corporate Performance 22/23 4.5 Appendix 5 – Mears Corporate Performance 21/22 4.6 Appendix 6 – Corporate emergency and non-emergency performance 22/23 4.7 Appendix 7 – Mears Contribution to The Plan 4.8 Appendix 8 - Financial Performance as of September 2022 4.9 Appendix 9 – Overall Financial Standing as of September 2022 Brian Lafferty Chief Officer, Housing Property Services
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts have been discussed and agreed with Financial Solutions? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? There is a risk with market forces as outlined in section 2.6.4 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts have been discussed and agreed with People and Organisational Development? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts have been discussed and agreed with Legal and Democratic Solutions? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact
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Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for technology, has an assessment been carried out (or scheduled) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g., Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services.
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Appendix 1 MEARS HOUSING PERFORMANCE 2022/23 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Cat 1a - Emergency within Hours (95%) Total 1024 1315 1173 1144 1420 1322 1498 1476 % Within 99.61% 99.54% 99.49% 99.83% 99.72% 99.92% 99.33% 99.12% Cat 1b - Emergency Outwith Hours (95%) Total 735 658 749 645 706 667 772 728 % Within 99.86% 99.70% 99.33% 99.69% 99.86% 99.85% 99.35% 99.31% Cat 2 - Routine 3 Day Works (95%) Total 634 677 658 637 758 690 761 780 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Cat 3 - Routine 7 Day Works (95%) Total 1 1 2 3 3 1 3 4 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Cat 4 - Routine 20 Day Works (95%) Total 2283 2402 2544 2169 2578 2309 2128 2190 % Within 99.91% 99.71% 99.96% 99.95% 99.96% 99.96% 99.86% 100.00% Empty House Works - 3 Days (95%) Total 310 339 330 284 297 304 272 291 % Within 100.00% 95.87% 93.94% 98.59% 99.66% 100.00% 100.00% 100.00% Empty House Works - 10 Days (95%) Total 459 455 505 433 469 409 374 438 % Within 99.78% 94.95% 95.05% 98.61% 99.79% 100.00% 99.20% 100.00% Routine Works - P9 (95%) Total 3 0 0 1 2 2 1 3 % Within 100.00% N/A N/A 100.00% 100.00% 100.00% 100.00% 100.00% Glazing Pilot Works (95%) Total 112 141 96 115 143 176 108 116 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Priority P - Extended Priorities (95%) Total 199 232 286 225 195 200 69 134 % Within 100.00% 100.00% 99.65% 100.00% 98.46% 100.00% 100.00% 100.00% Adaptations - 40 Days (95%) Total 70 99 104 70 77 82 84 80 % Within 100.00% 98.99% 100.00% 100.00% 100.00% 100.00% 100.00% 98.75% Rotworks - 40 Days (95%) Total 43 64 59 63 50 51 48 45 % Within 100.00% 100.00% 100.00% 100.00% 96.00% 98.04% 100.00% 100.00% Priority T - 1 Day (100%) Total 246 294 199 211 254 309 356 397 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
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Appendix 2 MEARS HOUSING PERFORMANCE 2021/22 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Cat 1a - Emergency within Hours (95%) Total 1441 1491 1405 1391 1536 1539 1564 1536 1433 1301 1369 1419 % Within 99.38% 99.46% 98.72% 99.21% 99.35% 99.03% 99.42% 98.83% 99.44% 99.69% 99.34% 99.37% Cat 1b - Emergency Outwith Hours (95%) Total 910 966 779 928 947 762 907 766 824 826 791 724 % Within 99.78% 99.28% 99.61% 99.57% 99.37% 99.21% 99.67% 97.39% 99.51% 99.76% 99.12% 99.72% Cat 2 - Routine 3 Day Works (95%) Total 507 804 791 821 875 767 838 783 730 741 677 748 % Within 99.61% 100.00% 100.00% 100.00% 99.89% 100.00% 99.76% 99.87% 99.86% 100.00% 100.00% 100.00% Cat 3 - Routine 7 Day Works (95%) Total 1 1 0 1 0 0 1 1 0 0 1 1 % Within 100.00% 100.00% N/A 100.00% N/A N/A 100.00% 100.00% N/A N/A 100.00% 100.00% Cat 4 - Routine 20 Day Works (95%) Total 916 2491 2820 2145 2006 1905 1871 2360 1794 1853 1857 2149 % Within 100.00% 100.00% 99.96% 99.77% 99.85% 100.00% 99.95% 99.92% 99.94% 99.78% 99.84% 99.95% Empty House Works - 3 Days (95%) Total 479 442 487 513 512 427 474 524 494 459 490 427 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 99.79% 99.81% 100.00% 99.56% 99.80% 99.77% Empty House Works - 10 Days (95%) Total 500 448 503 491 476 578 498 548 478 467 541 434 % Within 100.00% 100.00% 99.80% 99.80% 100.00% 100.00% 100.00% 99.64% 100.00% 99.79% 99.82% 99.54% Routine Works - P9 (95%) Total 1 1 1 0 2 3 4 13 5 8 3 6 % Within 100.00% 100.00% 100.00% N/A 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Glazing Pilot Works (95%) Total 85 120 130 130 143 160 132 142 147 120 106 109 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 99.08% Priority P - Extended Priorities (95%) Total 154 154 232 349 527 599 671 836 291 192 195 189 % Within 99.35% 100.00% 99.57% 99.71% 100.00% 100.00% 100.00% 99.88% 100.00% 100.00% 100.00% 100.00% Adaptations - 40 Days (95%) Total 92 66 124 91 78 121 106 97 37 93 55 107 % Within 100.00% 100.00% 100.00% 98.90% 100.00% 99.17% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Rotworks - 40 Days (95%) Total 41 62 80 57 61 39 65 57 53 54 66 56 % Within 97.56% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% Priority T - 1 Day (100%) Total 387 307 280 283 341 391 355 394 414 411 324 314 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
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Appendix 3 – Average timescales for housing emergency and non-emergency jobs Housing Emergency Repair Timescales – 2022/23 (All contractors) April May June July August September October November December January February March YTD Total Time Taken 6606:00:06 10351:42:04 7708:12:02 6623:05:03 8074:33:09 8269:07:00 8482:20:42 7961:08:58 64076:09:04 Total Jobs 2087 2303 2260 2202 2514 2377 2631 2476 18850 Average Timescale 3:09:55 4:29:42 3:24:39 3:00:28 3:12:43 3:28:44 3:13:26 3:12:55 3:23:57 Housing Non-Emergency Repair Timescales – 2022/23 (All contractors) April May June July August September October November December January February March YTD No. Of Non Emergency Repairs 6462 6413 6607 5259 6724 6481 7214 8224 53384 Total Number of Days Taken 48642 43119 45847 44211 48656 43097 44930 47411 365913 Average Length of Time Taken 7.53 6.72 6.94 8.41 7.24 6.65 6.23 5.76 6.85
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Housing Emergency Repair Timescales – 2022/23 (Mears only) April May June July August September October November December January February March YTD Total Time Taken 6054:14:06 7661:04:48 7032:53:33 5901:26:40 7231:48:56 7596:47:28 7746:02:48 7279:33:24 56503:51:43 Total Jobs 1759 1974 1923 1791 2127 1989 2280 2133 15976 Average Timescale 3:26:31 3:52:52 3:39:26 3:17:42 3:24:00 3:49:10 3:23:51 3:24:46 3:32:12 Housing Non-Emergency Repair Timescales – 2022/23 (Mears only) April May June July August September October November December January February March YTD No. Of Non Emergency Repairs 3419 3602 3596 3224 3845 3678 3721 3738 28823 Total Number of Days Taken 36847 33651 33514 31354 33428 34030 34569 37123 274516 Average Length of Time Taken 10.78 9.34 9.32 9.73 8.69 9.25 9.29 9.93 9.52
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Appendix 4 MEARS CORPORATE PERFORMANCE 2022/23 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Cat 1a - Emergency within Hours (95%) Total 228 277 235 124 218 215 216 272 % Within 99.12% 99.64% 99.57% 99.19% 98.17% 98.14% 99.54% 93.01% Cat 2 - Routine 3 Day Works (90%) Total 70 140 116 57 133 121 126 89 % Within 100.00% 99.29% 95.69% 96.49% 98.50% 100.00% 99.21% 97.75% Cat 3 - Routine 7 Day Works (90%) Total 79 135 77 41 77 118 126 169 % Within 100.00% 100.00% 97.40% 100.00% 97.40% 96.61% 99.21% 97.63% Cat 4 - Routine 20 Day Works (90%) Total 310 311 203 195 266 266 222 307 % Within 98.71% 97.75% 98.52% 98.97% 98.50% 98.12% 96.40% 99.35% Programmed Works (95%) Total 53 47 21 30 50 27 37 40 % Within 96.23% 97.87% 95.24% 100.00% 100.00% 100.00% 97.30% 97.50% Cyclic Works (95%) Total 22 27 35 78 91 36 37 76 % Within 95.45% 100.00% 100.00% 100.00% 100.00% 100.00% 97.30% 76.32%
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Appendix 5 MEARS CORPORATE PERFORMANCE 2021/22 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Cat 1a - Emergency within Hours (95%) Total 195 263 187 91 232 273 267 324 248 226 254 235 % Within 98.97% 98.86% 99.47% 98.90% 95.26% 99.63% 96.25% 99.07% 98.79% 97.79% 100.00% 98.30% Cat 2 - Routine 3 Day Works (90%) Total 71 152 114 49 130 149 141 129 95 93 120 79 % Within 95.77% 96.05% 92.98% 100.00% 98.46% 100.00% 99.29% 100.00% 100.00% 96.77% 100.00% 100.00% Cat 3 - Routine 7 Day Works (90%) Total 62 98 74 46 92 100 76 87 44 48 65 43 % Within 98.39% 97.96% 95.95% 100.00% 100.00% 98.00% 100.00% 100.00% 100.00% 95.83% 100.00% 100.00% Cat 4 - Routine 20 Day Works (90%) Total 329 316 365 242 300 395 440 458 309 286 309 237 % Within 97.57% 99.37% 97.53% 98.76% 96.67% 97.72% 99.32% 98.69% 99.03% 99.65% 100.00% 99.16% Programmed Works (95%) Total 6 12 15 16 18 46 76 60 46 58 68 43 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 97.37% 100.00% 100.00% 98.28% 100.00% 100.00% Cyclic Works (95%) Total 30 15 45 51 41 65 85 90 64 74 88 293 % Within 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 98.98%
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Appendix 6 – Average timescales for corporate emergency and non-emergency jobs Corporate Emergency Repair Timescales – 2022/23 (Mears only) April May June July August September October November December January February March YTD Total Time Taken 900:24:35 913:39:44 1005:37:14 454:07:45 1009:51:41 1501:03:25 1633:50:14 748:35:38 8167:10:16 Total Jobs 228 277 242 129 241 291 287 191 1886 Average Timescale 3:56:57 3:17:54 4:09:20 3:31:13 4:11:25 5:09:30 5:41:34 3:55:10 4:19:50 Corporate Non-Emergency Repair Timescales – 2022/23 (Mears only) April May June July August September October November December January February March YTD No. Of Non Emergency Repairs 550 688 612 481 540 566 631 448 4516 Total Number of Days Taken 6562 5565 4689 4701 3722 3522 5403 4067 38231 Average Length of Time Taken 11.93 8.09 7.66 9.77 6.89 6.22 8.56 9.08 8.47
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Appendix 7 Mears contribution to The Plan for North Lanarkshire Service Area Target Outcome/Purpose 2021/22 Actual Comments Q1 Q2 Q3 Q4 Improve Economic Opportunities and Outcomes OBJECTIVE: Provide supported routes out of unemployment or underemployment Number of trade and Modern apprenticeships Contribute to the long-term economic sustainability of North Lanarkshire 51 51 73 65 22 apprentices recruited in August 2022. Which will take us to 195 over the length of the contract. We currently have 8 apprentices which are due to complete their apprenticeship in Q3. All operatives will be offered a position within the team. OBJECTIVE: Help current and incoming businesses to grow and create employment Number of local suppliers Contribute to the long-term economic sustainability of North Lanarkshire. 34 suppliers with a spend of £7.12m 20 Suppliers with a spend of £2.4 m 19 Suppliers with a spend of £3.4m 16 Suppliers with a spend of £2.1m Local supply chain spend. Spend is per quarter (not cumulative). Q3 (only includes October and November activity – subject to change post completion of December). Improving the Health and Wellbeing of our Communities OBJECTIVE: Enable more people to live longer at home and to live as independently as possible Safer homes advice and installations To provide safety and security measures to vulnerable groups such as elderly and victims of domestic abuse. 1518 items fitted to 262 properties 279 items fitted to 50 properties 336 items fitted to 59 properties 236 Items fitted across 42 properties Q3 (only includes October and November activity – subject to change post completion of December).
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Schools work experience and engagement Provide young people with an opportunity to get an insight into a possible career 0 1 0 3 Buchannan High Trade Work experience resumed in Q3. Two additional placements for office work experience in Q3. Recruitment fairs/career talks Provide young people with an opportunity to get an insight into a possible career and routes to work 1 2 0 2 Braidhurst High Careers Event (28.09.22) Dalziel High Careers Event (28.09.22) Apprenticeship projects to support local communities Provides apprentices with the opportunity to work with local communities to add value to facilities as well as work with local groups and events to enable others to deliver community benefits within their area 0 2 0 8 8 Apprentices volunteered at St Andrews Hospice for Light Up a Life event. Enhance Participation, Capacity and Empowerment Across Our Communities OBJECTIVE: Improve community participation and engagement in the planning and delivery of services Housing Tenant Conferences Positively promote the partnership 0 0 0 1 Attended tenants conference at Airdrie Academy on 26 November 2022 Sporting Events Positively promote the partnership 0 0 0 0 Not applicable for 21/22. Best Value Efficiency Savings To positively support the partnership, deliver efficiencies to the Schedule of Rates payable via the works agreement. £1,512,762 £611,227 £326,281 £302,751 Q3 1st October – 16th December
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Appendix 8 MEARS Scotland LLP Financial Performance as at September 2022 Income & Expenditure 2022 2021 Budget Actual Variance to Budget Full Year Budget Actual Outturn £m £m £m £m £m Total Sales 39,072 41,993 2,921 49.989 48.856 Total Direct Costs 31,578 33,359 -1,782 40.405 39.753 Gross Margin 7,494 8,634 1,140 9.584 9.103 Operational % 19.2% 20.6% 39% 19.17% 18.63% Total Overheads 5,849 6,979 -1,130 7.751 7.922 Net Trading Profit 1,645 1,655 9.353 1.833 1.181 Profit % 4.2% 3.94% 0.3% 3.7% 2.4%
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MEARS Scotland LLP Appendix 9 Overall Financial Standing - Balance Sheet as at September 2022 Balances / Indicators 2022 YTD 2021 Final Outturn £m £m Total Fixed Assets 0.031 0.078 Stock 3.375 2.284 Trade & Other Debtors 0.656 0.408 Cash 11.305 7.727 Trade & Other Creditors -9.581 -6.113 Government Bodies - tax, VAT, NI -1.795 -2.079 Inter Company Trading loan -1.731 -1.663 Total Net Assets/ (Liabilities) 2.260 0.642 Current Ratio 1.35 1.27