Agenda Document Pack - Finance and Corporate Resources Committee - 06/12/2023
South Lanarkshire Council · 6 December 2023
Back to Finance and Corporate Resources Committee — 6 December 2023 and its agenda
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Council Offices, Almada Street Hamilton, ML3 0AA Tuesday, 28 November 2023 Dear Councillor Finance and Corporate Resources Committee The Members listed below are requested to attend a meeting of the above Committee to be held as follows:- Date: Wednesday, 06 December 2023 Time: 14:00 Venue: Hybrid - Committee Room 1, Council Offices, Almada Street, Hamilton, ML3 0AA The business to be considered at the meeting is listed overleaf. Yours sincerely Cleland Sneddon Chief Executive Members Lesley McDonald (Chair), Walter Brogan (Depute Chair), Celine Handibode (Depute Chair), Joe Fagan (ex officio), Alex Allison, Mathew Buchanan, Andy Carmichael, Maureen Chalmers, Margaret Cooper, Andrea Cowan, Maureen Devlin, Mary Donnelly, Grant Ferguson, Gladys Ferguson-Miller, Graeme Horne, Martin Hose, Katy Loudon, Hugh Macdonald, Catherine McClymont, Elaine McDougall, Mark McGeever, Richard Nelson, Mo Razzaq, John Ross, Graham Scott, Kirsty Williams Substitutes John Bradley, Archie Buchanan, Colin Dewar, Ross Gowland, Gavin Keatt, Susan Kerr, Ross Lambie, Martin Lennon, Richard Lockhart, Carol Nugent, Norman Rae, David Watson 1
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BUSINESS 1 Declaration of Interests 2 Minutes of Previous Meeting Minutes of the meeting of the Finance and Corporate Resources Committee held on 27 September 2023 submitted for approval as a correct record. (Copy attached) 5 - 12 3 Minutes of Appeals Panel Minutes of the meeting of the Appeals Panel held on 26 September and 9 November 2023 submitted for approval as a correct record. (Copy attached) 13 - 16 4 Minutes of Recruitment Committee Minutes of the meeting of the Recruitment Committee held on 30 October 2023 submitted for approval as a correct record. (Copy attached) 17 - 18 Monitoring Item(s) 5 Revenue Budget Monitoring 2023/2024 – Finance and Corporate Resources Report dated 19 October 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 19 - 28 6 Capital Budget Monitoring 2023/2024 - Finance and Corporate Resources Report dated 16 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 29 - 32 7 Finance and Corporate Resources – Workforce Monitoring – August and September 2023 Report dated 26 October 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 33 - 40 8 Council-wide Workforce Monitoring – August and September 2023 Report dated 26 October 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 41 - 62 9 Treasury Management Activity - Second Quarter Review Report dated 15 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 63 - 70 Item(s) for Decision 10 Non-Domestic Rates - Empty Property Relief Policy Report dated 17 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 71 - 84 11 Revenue Collection and Approval for Write Offs Report dated 17 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 85 - 90 12 Notification of Contracts Awarded 1 April 2023 to 30 September 2023 and Proposed Contract Award to Routes to Work South Report dated 1 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 91 - 96 2
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Item(s) for Noting 13 Early Retirement Voluntary Severance and Switch 2 Report dated 10 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 97 - 100 14 Common Good Update Report dated 15 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 101 - 106 15 Update of the Finance and Corporate Resources Risk Register and Risk Control Plan Report dated 24 October 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 107 - 122 16 Safety at Sports Grounds Issue of Special Safety Certificate for Fireworks Event New Douglas Park Report dated 6 November 2023 by the Executive Director (Finance and Corporate Resources). (Copy attached) 123 - 126 Urgent Business 17 Urgent Business Any other items of business which the Chair decides are urgent. For further information, please contact:- Clerk Name: Carol Lyon Clerk Telephone: 07385370065 Clerk Email: carol.lyon@southlanarkshire.gov.uk 3
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FINANCE AND CORPORATE RESOURCES COMMITTEE Minutes of meeting held via Confero and in Committee Room 1, Council Offices, Almada Street, Hamilton on 27 September 2023 Chair: Councillor Lesley McDonald Councillors Present: Councillor Alex Allison, Councillor Walter Brogan (Depute), Councillor Mathew Buchanan, Councillor Andy Carmichael, Councillor Maureen Chalmers, Councillor Margaret Cooper, Councillor Andrea Cowan, Councillor Maureen Devlin, Councillor Colin Dewar (substitute for Councillor Mary Donnelly), Councillor Grant Ferguson, Councillor Ross Gowland (substitute for Councillor Catherine McClymont), Councillor Celine Handibode (Depute), Councillor Graeme Horne, Councillor Martin Hose, Councillor Susan Kerr (substitute for Councillor Mo Razzaq), Councillor Katy Loudon, Councillor Hugh Macdonald, Councillor Elaine McDougall, Councillor Mark McGeever, Councillor Richard Nelson, Councillor John Ross, Councillor Graham Scott, Councillor Kirsty Williams Councillors' Apologies: Councillor Mary Donnelly, Councillor Joe Fagan (ex officio), Councillor Gladys Ferguson-Miller, Councillor Catherine McClymont, Councillor Mo Razzaq Finance and Corporate Resources P Manning, Executive Director; C Fergusson, Head of Finance (Transactions); M Husband, Head of IT Services; S Jessup, Administration Assistant; T Little, Head of Communications and Strategy; C Lyon, Administration Officer; G McCann, Head of Administration and Legal Services; M Milne, Head of Personnel Services; J Taylor, Head of Finance (Strategy) Chair’s Opening Remarks The Chair welcomed Councillor Williams and M Husband to their first meeting of the Finance and Corporate Resources Committee. 1 Declaration of Interests No interests were declared. Councillor Cowan joined the meeting during consideration of the above item of business 2 Minutes of Previous Meeting The minutes of the meeting of the Finance and Corporate Resources Committee held on 28 June 2023 were submitted for approval as a correct record. The Committee decided: that the minutes be approved as a correct record. 3 Minutes of Recruitment Committee The minutes of the meeting of the Recruitment Committee held on 8 September 2023 were submitted for approval as a correct record. The Committee decided: that the minutes be approved as a correct record. 2 5
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4 Revenue Budget Monitoring 2023/2024 – Finance and Corporate Resources A report dated 23 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted comparing the actual expenditure for the period 1 April to 11 August 2023 for Finance and Corporate Resources. As at 11 August 2023, there was a breakeven position against the phased budget, detailed in Appendix A to the report. The forecast to 31 March 2024 was a breakeven position. Virements were proposed to realign budgets and those movements were detailed in the appendices to the report The Committee decided: (1) that the breakeven position, as detailed in Appendix A of the report, be noted; (2) that the forecast to 31 March 2024 of breakeven be noted; and (3) that the proposed budget virements, as detailed in the appendices to the report, be approved. [Reference: Minutes of 28 June 2023 (Paragraph 6)] 5 Capital Budget Monitoring 2023/2024 - Finance and Corporate Resources A report dated 7 September 2023 by the Executive Director (Finance and Corporate Resources) was submitted advising of progress on Finance and Corporate Resources’ capital programme for 2023/2024 and summarising the expenditure position at 11 August 2023. The Finance and Corporate Resources’ capital programme for 2023/2024 was £5.333 million. Anticipated spend to date was £0.887 million and spend to 11 August 2023 totalled £0.884 million. This represented a minor underspend of £0.003 million. The Committee decided: that the Finance and Corporate Resources’ capital programme of £5.333 million, and expenditure to date of £0.884 million, be noted. 6 Finance and Corporate Resources – Workforce Monitoring – May to July 2023 A report dated 24 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the following employee information for Finance and Corporate Resources for the period May to July 2023:- attendance statistics occupational health statistics accident/incident statistics disciplinary hearings, grievances and Dignity at Work cases analysis of leavers and exit interviews staffing watch as at 10 June 2023 6
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The Committee decided: that the report be noted [Reference: Minutes of 28 June 2023 (Paragraph 9)] Councillor Nelson joined the meeting during consideration of the above item of business 7 Council-wide Workforce Monitoring – May to July 2023 A report dated 24 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the following Council-wide employee information for the period May to July 2023:- attendance statistics occupational health statistics accident/incident statistics disciplinary hearings, grievances and Dignity at Work cases analysis of leavers and exit interviews staffing watch as at 10 June 2023 The Head of Personnel Services referred to the commitment given to members at the meeting of this Committee in June 2023 in relation to equal opportunities and advised members that those discussions had now begun with the Chair of the Equal Opportunities Forum and the Equalities Team. The Terms of Reference for the Equal Opportunities Forum were also being reviewed. The aim was to refresh the current action plan and then provide an update to this Committee. She advised that, in addition to this, several meetings had been held between Council members of the Lanarkshire Firm Base, the Head of Administration and Legal Services and Councillor Horsham, as the Council’s Veterans’ Champion and joint Chair of the Group. The Firm Base Group had been created in partnership with North Lanarkshire Council following a request by the Royal Regiment of Scotland for an Armed Forces Covenant to be established. Councillor Horsham and the Head of Administration and Legal Services had been working with Corporate Personnel on an action plan and would report to the Corporate Management Team once this had been developed, following which a report would be presented to this Committee. A member referred to the general rise in absence figures in the economy, which were reported as days lost and asked how that compared to the Council as the figure here was reported as a percentage. The Head of Personnel Services advised that she did not have that information to hand. She advised that she was aware of different reporting methods in different organisations and the Council report was a combination of percentages and days lost information. This was currently being reviewed as it was important to get the overall picture and trends around the number of employees in a variety of ways. The Committee decided: that the report be noted. [Reference: Minutes of 28 June 2023 (Paragraph 10)] 8 Treasury Management Activity – 2023/2024 First Quarter Review A report dated 23 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the first quarter review of Treasury Management activity for 2023/2024. Details were given on:- market performance management of risk debt management and borrowing strategy next quarter investment plans investment activity treasury management indicators 7
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The Committee decided: that the report be noted. [Reference: Minutes of South Lanarkshire Council of 22 February 2023 (Paragraph 5)] Councillor Loudon joined the meeting during consideration of the above item of business 9 Prudential Indicators, Treasury Management Activity and Annual Investment Report 202/2023 A report dated 29 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the:- Treasury Management Activity and Prudential Code indicators for 2022/2023 proposed Annual Investment Report for 2022/2023 The Chartered Institute of Public Finance and Accountancy (CIPFA) Code of Practice for Treasury Management required the Council to prepare an annual report on its Treasury Management activities. The CIPFA Prudential Code required councils to prepare a series of financial indicators that demonstrated affordability, prudence and sustainability with regard to capital financing decisions. The Council’s Capital Programme included, within its funding package, planned borrowing. The Prudential Code provided a framework to assist the management of the financial implications and helped to demonstrate that borrowing was both affordable and prudent. The Council’s Treasury Management Activity Report for 2022/2023 and the Treasury Management and Prudential Code Indicators for 2022/2023 were attached as appendices 1 and 2, respectively, to the report. In terms of the Local Government Investments (Scotland) Regulations 2010, the Council was required to prepare an Annual Investment Strategy prior to the start of each financial year and an Annual Investment Report after the financial year end. Both documents required to be approved by the Council. The Annual Investment Strategy for 2022/2023 had covered the following areas:- permitted investments risk management borrowing in advance The Annual Investment Report, attached as Appendix 3 to the report, detailed the Council’s activity in each of those 3 areas for 2022/2023 and Appendix 4 detailed the permitted investments that the Council had approved for the financial year 2022/2023. No borrowing in advance was taken during 2022/2023. The Committee decided: (1) that the Treasury Management Activity Report for 2022/2023 and the 2022/2023 Treasury Management and Prudential Code Indicators be noted and referred to the Executive Committee for noting; and (2) that the 2022/2023 Annual Investment Report be endorsed and referred to the Executive Committee for endorsement prior to submission to the Council for formal approval in line with The Local Government Investments (Scotland) Regulations 2010. 8
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10 Revenue Collection and Approval of Write-Offs A report dated 8 September 2023 by the Executive Director (Finance and Corporate Resources) was submitted on:- collection performance for the financial year 2023/2024 to 31 August 2023 on revenue income which comprised Council Tax, non-domestic rates, sundry debts and arrears performance in the Business Rates Incentivisation Scheme (BRIS) the write-off of irrecoverable Council Tax, non-domestic rates, BID levy, sundry debt and Housing Rent and associated charges Details were provided on current collection targets. The Council was ahead of target but behind comparable performance from 2022/2023 in respect of Council Tax, non-domestic rates and sundry debt. In terms of arrears collection targets, the Council was ahead of target but behind comparable performance from 2022/2023 in respect of Council Tax and non-domestic rates. In respect of sundry debt, the Council was equal to target but behind comparable performance in 2022/2023. As previously advised to Committee, the BRIS scheme had been suspended for 2020/2021, 2021/2022 and 2022/2023 due to the impact of COVID-19. Further guidance and information was awaited from the Scottish Government with regards to reinstatement in 2023/2024, however, performance against the BRIS target continued to be closely monitored. It was proposed that the following debts be written off:- irrecoverable Council Tax accounts from 1993/1994 to 2023/2024 (including bulk write-off for 1996/1997) to the value of £1,956,152.04 relating primarily to prescribed debt, sequestrations and estates of the deceased irrecoverable non-domestic rates from 2021/2022 to 2023/2024 to the value of £435,848.83 relating primarily to debtors in liquidation, those who had ceased trading or had been sequestrated Business Improvement District (BID) levies totalling £347.17 administered by the Council on behalf of Hamilton, Carluke and Lanark BID companies sundry debts to a value of £203,392.20 former tenant rent arrears totalling £184,711.61 and Housing Benefit overpayments totalling £31,901.73 The Committee decided: (1) that the Council’s performance in the collection of revenues be noted; (2) that the current position in respect of the Business Rates Incentivisation Scheme be noted; and (3) that the write-off of the following irrecoverable debts be approved:- Council Tax debt from 1993/1994 to 2023/2024 to the value of £1,956,152.04 Non Domestic Rates from 2021/2022 to 2023/2024 totalling £435,848.83 BID levies totalling £347.17 sundry debts to a value of £203,392.20 house rent and associated charges totalling £216,613.34 [Reference: Minutes of 28 June 2023 (Paragraph 11)] 9
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11 Annual Procurement Report – 2022/2023 A report dated 8 September 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the Annual Procurement Report for 2022/2023. The Procurement (Scotland) Reform Act 2014 required contracting authorities to prepare and publish an Annual Procurement Report on their regulated procurement activities. The Act stated that the Report must include information under the following headings:- regulated procurement activity procurement strategy community wealth building and community benefits sustainable procurement and supported businesses future planning other information A summary of procurement activity was provided in the report and the Council’s Annual Procurement Report for 2022/2023 was attached as Appendix 1 to the report. Following a question from a member in relation to the sum of £50,000 for bridge maintenance, the Executive Director (Finance and Corporate Resources) advised that the £50,000 related to the level of provision under one contract and not the overall funding for bridge maintenance. The member also asked about the level of provision for flooding. The Head of Finance (Transactions) advised that he would contact the Roads Service to obtain the information and would feed back to the member. Officers responded to a member’s question on the report. The Committee decided: that the Annual Procurement Report for 2022/2023 be noted. [Reference: Minutes of 7 September 2022 (Paragraph 19)] 12 Governance of Charitable Trust Funds – 2022/2023 Position A report dated 28 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the status of the Trust Fund modernisation along with the financial status of the Charitable Trusts Funds administered by the Council. On 25 April 2018, this Committee approved a proposal to modernise the charitable trust funds. This included establishing governance arrangements as well as a formal constitution. 2 new charities, with modern and appropriate constitutions, had been established in December 2019, with the transfer of funds to those from the old trust funds subject to approval by the Office of the Scottish Charity Regulator (OSCR). The process of modernisation was ongoing and until that exercise was complete, reports on this matter would continue to be reported to this Committee. For the purposes of reporting to OSCR, the Council had grouped the individual trust funds into 3 as follows:- South Lanarkshire Council Charitable Trust South Lanarkshire Council Educational Trust East Kilbride Information Technology Centre Trust As previously reported to this Committee, OSCR had approved the re-organistion of 6 funds relating to the Leadhills area, 11 Hamilton area funds,17 Clydesdale area funds and 18 Educational funds. 10
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It was also noted that an application for the re-organisation of 1 Cambuslang and Rutherglen area fund had been submitted to OSCR on 5 August 2022 and work was ongoing on drafting the applications to OSCR for the re-organisation of the Rutherglen Mortified Money fund and 7 East Kilbride Area funds. As at the end of August 2023, OSCR had approved the following applications:- Cambuslang and Rutherglen Area Funds (30 August 2023) East Kilbride Area Funds (8 December 2022) Rutherglen Mortified Money (17 January 2023) John Adams Memorial Fund (12 June 2023) The John Adams Memorial Fund had been used historically to make payments to Hamilton Grammar School, therefore, the application had been to re-organise it by transferring the funds to The South Lanarkshire Council Educational Trust rather than The South Lanarkshire Council Charitable Trust. At its meeting on 3 October 2022, the Trustees of the East Kilbride Information Technology Centre Trust agreed that the remaining balance of the funds totalling £0.027 million be used to fund a new Digital Support Service for digitally excluded young people in the former East Kilbride District Council area. This was provided with the support of South Lanarkshire College and the fund had been used to purchase 38 laptops. The only funds which remained in the old trust funds were those of the Loudon Bequest, which would be transferred to The South Lanarkshire Council Charitable Trust as soon as approval was received from OSCR. During 2022/2023, no payments had been made from the South Lanarkshire Council Charitable Trust Fund or the South Lanarkshire Council Educational Trust as the process of reorganising the funds was underway. The opening balance of the 3 reported Charitable Trust Funds, as at 1 April 2022, totalled £1.161 million. Following the transfer of funds to the 2 new Trusts and the expenditure from The East Kilbride Information Technology Centre Trust, the balance as at 31 March 2023 was £0.935 million, being the remaining balance on The South Lanarkshire Council Charitable Trust. The accounts for the 3 funds, including those with no remaining funds as at 31 March 2023, were approved for Audit by the Risk and Audit Scrutiny Committee on 27 June 2023. The Audit was ongoing. The Committee decided: that the report be noted. [Reference: Minutes of 7 September 2022 (Paragraph 16)] 13 Finance and Corporate Resources Resource Plan: Quarter 4 Progress Report 2022/2023 A report dated 21 August 2023 by the Executive Director (Finance and Corporate Resources) was submitted on the Finance and Corporate Resource Plan Quarter 4 Progress Report for 2022/2023 for the period 1 April 2022 to 31 March 2023. The Resource Plan measures were rated using a traffic light system of red, amber or green as well as blue (BRAG) which indicated that an action had been completed. 11
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Details were provided on:- progress made in implementing the priority projects identified in the Resource Plan 2022/2023, as detailed in the Quarter 4 Progress Report, attached as Appendix 2 to the report key achievements made by the Resource to date, as detailed in Section 5.3 of the report areas for improvement and associated management actions, as detailed in Section 5.4 of the report measures which had changed from Quarter 2 to Quarter 4, as detailed in Appendix 3 to the report The Committee decided:- (1) that the Finance and Corporate Resource Plan Quarter 4 Progress Report 2022/2023, as summarised in paragraph 5.2. and attached as Appendix 2 of this report, be noted; (2) that the key achievements made by the Resource for the year, as detailed in paragraph 5.3. of this report, be noted; (3) that the areas for improvement and associated management actions, as detailed in paragraph 5.4. of this report, be noted; and (4) that the additional scrutiny of changes in measure status between Quarter 2 and Quarter 4, as summarised at paragraph 5.5. and detailed at Appendix 3 of this report, be noted [Reference: Minutes of 7 September 2022 (Paragraph 17)] 14 Safety at Sports Grounds – Re-issue of General Safety Certificate for the ZLX Stadium A report dated 6 September 2023 by the Executive Director (Finance and Corporate Resources) was submitted on action taken, in terms of Standing Order No 37(c) in view of the timescales involved, by the Executive Director (Finance and Corporate Resources), in consultation with the Chair and an ex officio member, to re-issue the reviewed General Safety Certificate for the North and West Stands, Hamilton Academical Football Club, ZLX Stadium, Cadzow Avenue, Hamilton. The revised format of the General Safety Certificate for the Grandstand at Hamilton Park had been approved by this Committee on 11 December 2013. A single certificate, in the same format, which covered both stands had been approved by this Committee on 10 November 2021. The certificate was required to be reviewed and re-issued annually. The Committee decided: that the action taken, in terms of Standing Order No 37(c), by the Executive Director (Finance and Corporate Resources), in consultation with the Chair and an ex officio member, to re-issue the reviewed General Safety Certificate for the North and West Stands, Hamilton Academical Football Club, ZLX Stadium, Cadzow Avenue, Hamilton, be noted. [Reference: Minutes of 7 September 2022 (Paragraph 23)] 15 Urgent Business There were no items of urgent business. 12
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APPEALS PANEL Minutes of meeting held in in Committee Room 2, Council Offices, Almada Street, Hamilton on 26 September 2023 Chair: Councillor Walter Brogan Councillors Present: Councillor Gerry Convery, Councillor Helen Toner Attending: Finance and Corporate Resources H Calley, Administration Officer; E Maxwell, HR Business Manager 1 Declaration of Interests No interests were declared. 2 Urgent Business There were no items of urgent business. 3 Exclusion of Press and Public The Panel decided: that, in terms of Section 50A(4) of the Local Government (Scotland) Act 1973, the press and public be excluded from the meeting for the next item of business on the grounds that it was likely that there would be disclosure of exempt information in terms of Paragraph 1 of Part I of Schedule 7A of the Act. 4 Appeal Against Dismissal The Panel considered an appeal (Ref 3/23) by an employee against their dismissal. The appellant was present and represented themselves. The Council was represented by a Personnel Adviser and called a witness. All parties were heard in relation to the appeal and then withdrew from the meeting. The Panel decided: that the grounds of the appeal had not been substantiated and the appeal be not upheld. 3 13
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APPEALS PANEL Minutes of meeting held in in Committee Room 5, Council Offices, Almada Street, Hamilton on 9 November 2023 Chair: Councillor Celine Handibode Councillors Present: Councillor Ralph Barker, Councillor Kenny McCreary Attending: Finance and Corporate Resources H Calley, Administration Officer; E Maxwell, HR Business Manager 1 Declaration of Interests No interests were declared. 2 Urgent Business There were no items of urgent business. 3 Exclusion of Press and Public The Panel decided: that, in terms of Section 50A(4) of the Local Government (Scotland) Act 1973, the press and public be excluded from the meeting for the next item of business on the grounds that it was likely that there would be disclosure of exempt information in terms of Paragraph 1 of Part I of Schedule 7A of the Act. 4 Appeal Against Dismissal The Panel considered an appeal (Ref 6/23) by an employee against their dismissal. The appellant was present and represented themselves. The Council was represented by a Personnel Adviser and called a witness. All parties were heard in relation to the appeal and then withdrew from the meeting. The Panel decided: that the grounds of the appeal had not been substantiated and the appeal be not upheld. 3 15
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RECRUITMENT COMMITTEE Minutes of meeting held in Committee Room 2, Council Offices, Almada Street, Hamilton on 30 October 2023 Chair: Councillor Joe Fagan Councillors Present: Councillor Alex Allison, Councillor Robert Brown, Councillor Maureen Chalmers, Councillor Gerry Convery (Depute), Councillor John Ross Attending: Finance and Corporate Resources S McLeod, Administration Officer; M Milne, Head of Personnel Services 1 Declaration of Interests No interests were declared. 2 Minutes of Previous Meeting The minutes of the meeting of the Recruitment Committee held on 4 October 2023 were submitted for approval as a correct record. The Committee decided: that the minutes be approved as a correct record. 3 Urgent Business There were no items of urgent business. 4 Exclusion of Press and Public The Committee decided: that, in terms of Section 50A(4) of the Local Government (Scotland) Act 1973, the press and public be excluded from the meeting for the next item of business on the grounds that it was likely that there would be disclosure of exempt information in terms of Paragraph 1 of Part I of Schedule 7A of the Act. 5 Post of Chief Executive The Committee proceeded to interview 2 candidates for the post of Chief Executive. The Committee decided: that Mr P Manning, Executive Director (Finance and Corporate Resources)/Depute Chief Executive, South Lanarkshire Council be appointed to the post of Chief Executive. [Reference: Minutes of 4 October 2023 (Paragraph 4)] 4 17
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Revenue Budget Monitoring 2023/2024 – Finance and Corporate Resources 1. Purpose of Report 1.1. The purpose of the report is to:- [p provide information on the actual expenditure measured against the revenue budget for the period 1 April 2023 to 6 October 2023 for Finance and Corporate Resources [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the breakeven position on the Finance and Corporate Resources’ revenue budget, as detailed in Appendix A of the report, and the forecast to 31 March 2024 of breakeven, be noted; and (2) that the proposed budget virements be approved. 3. Background 3.1. This is the third revenue budget monitoring report presented to the Finance and Corporate Resources Committee for the financial year 2023/2024. 3.2. The report details the financial position for Finance and Corporate Resources on Appendix A, along with variance explanations in Appendices B-H as appropriate. 4. Employee Implications 4.1. None. 5. Financial Implications 5.1. As at 6 October 2023, there is a breakeven position against the phased budget. The financial forecast for the revenue budget to 31 March 2024 is a breakeven position. 5.2. Virements are proposed to realign budgets. This has been detailed in Appendices C, F and H. 6. Climate Change, Sustainability and Environmental Implications 6.1. There are no implications for climate change, sustainability or the environment in terms of the information contained in this report. 5 19
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7. Other Implications 7.1. The main risk associated with the Council’s Revenue Budget is that there is an overspend. The risk has been assessed as low given the detailed budget management applied across the Resources. The risk is managed through four weekly Budget Monitoring Meetings at which any variance is analysed. In addition, the probable outturn exercise ensures early warning for corrective action to be taken where appropriate. 8. Equality Impact Assessment and Consultation Arrangements 8.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and therefore no impact assessment is required. 8.2. There is also no requirement to undertake any consultation in terms of the information contained in the report. Paul Manning Executive Director (Finance and Corporate Resources) 19 October 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, Effective, Efficient and Transparent Previous References Finance and Corporate Resources Committee, 27 September 2023 List of Background Papers Financial ledger and budget monitoring results to 6 October 2023 Contact for Further Information If you would like to inspect the background papers or want further information, please contact: Lorraine O’Hagan, Finance Manager (Strategy) Ext: 2601 (Tel: 01698 452601) E-mail: lorraine.o’hagan@southlanarkshire.gov.uk 20
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Appendix A SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Finance and Corporate Resources Summary Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 36,905 36,905 0 17,989 17,632 357 under 2.0% Property Costs 4,112 4,112 0 822 822 0 - 0.0% Supplies & Services 7,363 7,363 0 5,306 5,610 (304) over (5.7%) Transport & Plant 66 66 0 41 45 (4) over (9.8%) Administration Costs 7,870 7,870 0 3,857 3,941 (84) over (2.2%) Payments to Other Bodies 4,079 4,079 0 2,673 2,771 (98) over (3.7%) Payments to Contractors 259 259 0 46 58 (12) over (26.1%) Transfer Payments 65,650 65,650 0 29,646 29,646 0 - 0.0% Financing Charges 1,216 1,216 0 273 273 0 - 0.0% Total Controllable Exp. 127,520 127,520 0 60,653 60,798 (145) over (0.2%) Total Controllable Inc. (85,748) (85,748) 0 (35,021) (35,166) 145 over recovered (0.4%) Net Controllable Exp. 41,772 41,772 0 25,632 25,632 0 - 0.0% Variance Explanations Variance explanations are shown in Appendices B to H as appropriate. Budget Virements Virements are noted in Appendices C, F and H. 21
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Appendix B SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Finance – Strategy Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 3,038 3,038 0 1,505 1,428 77 under 5.1% 1 Property Costs 0 0 0 0 0 0 - n/a Supplies & Services 19 19 0 5 6 (1) over (20.0%) Transport & Plant 0 0 0 0 0 0 - n/a Administration Costs 111 111 0 3 8 (5) over (166.7%) Payments to Other Bodies 516 516 0 286 325 (39) - (13.6%) 2 Payments to Contractors 22 22 0 16 16 0 - 0.0% Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 16 16 0 2 2 0 - 0.0% Total Controllable Exp. 3,722 3,722 0 1,817 1,785 32 under 1.8% Total Controllable Inc. (1,604) (1,604) 0 (47) (47) 0 - 0.0% Net Controllable Exp. 2,118 2,118 0 1,770 1,738 32 under 1.8% Variance Explanations 1. Employee Costs The underspend reflects the turnover of staff to date, with any vacant posts being considered in line with service requirements. 2. Payments to Other Bodies The overspend reflects the uplift in external audit fees. 22
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Appendix C SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Finance – Transactions Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 12,879 12,879 0 6,390 6,136 254 under 4.0% 1 Property Costs 4,032 4,032 0 777 777 0 - 0.0% Supplies & Services 852 852 0 462 491 (29) over (6.3%) Transport & Plant 5 5 0 0 0 0 - n/a Administration Costs 1,672 1,672 0 981 1,035 (54) over (5.5%) 2 Payments to Other Bodies 1,608 1,608 0 991 1,029 (38) over (3.8%) a Payments to Contractors 237 237 0 30 38 (8) over (26.7%) Transfer Payments 65,650 65,650 0 29,646 29,646 0 - 0.0% Financing Charges 142 142 0 5 5 0 - 0.0% Total Controllable Exp. 87,077 87,077 0 39,282 39,157 125 under 0.3% Total Controllable Inc. (68,520) (68,520) 0 (30,786) (30,870) 84 over recovered (0.3%) 3 Net Controllable Exp. 18,557 18,557 0 8,496 8,287 209 under 2.5% Variance Explanations 1. Employee Costs The underspend reflects the level of turnover within the Service to date, with recruitment being considered in line with service requirements. 2. Administration Costs The overspend reflects additional postage costs required for service delivery. 3. Income The over-recovery reflects a greater number of procurement rebates than budgeted. Budget Virements a. Energy Bills Support Scheme & Alternative Fuels Payment: Net Effect £0.109m: Payments to Other Bodies £0.109m. 23
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Appendix D SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Audit Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 638 638 0 316 344 (28) over (8.9%) 1 Property Costs 0 0 0 0 0 0 - n/a Supplies & Services 7 7 0 0 0 0 - n/a Transport & Plant 0 0 0 0 0 0 - n/a Administration Costs 6 6 0 2 2 0 - 0.0% Payments to Other Bodies 1 1 0 0 0 0 - n/a Payments to Contractors 0 0 0 0 0 0 - n/a Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 4 4 0 0 0 0 - n/a Total Controllable Exp. 656 656 0 318 346 (28) over (8.8%) Total Controllable Inc. (282) (282) 0 (45) (45) 0 - 0.0% Net Controllable Exp. 374 374 0 273 301 (28) over (10.3%) Variance Explanations 1. Employee Costs The overspend reflects a lower than anticipated level of staff turnover. 24
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Appendix E SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Information Technology Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 5,217 5,217 0 2,474 2,311 163 under 6.6% 1 Property Costs 0 0 0 0 0 0 - n/a Supplies & Services 5,518 5,518 0 4,506 4,747 (241) over (5.3%) 2 Transport & Plant 4 4 0 0 0 0 - n/a Administration Costs 1,604 1,604 0 723 723 0 - 0.0% Payments to Other Bodies 0 0 0 0 0 0 - n/a Payments to Contractors 0 0 0 0 0 0 - n/a Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 631 631 0 94 94 0 - 0.0% Total Controllable Exp. 12,974 12,974 0 7,049 7,127 (78) over (1.0%) Total Controllable Inc. (7,748) (7,748) 0 (748) (748) 0 - 0.0% Net Controllable Exp. 5,226 5,226 0 7,049 7,127 (78) over (1.1%) Variance Explanations 1. Employee Costs The underspend reflects the level of turnover within the Service to date, partially offset by Fusion-related staffing costs. 2. Supplies & Services The overspend reflects the timing of expenditure, an element of which will be prepaid at the end of the year. 25
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Appendix F SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Personnel Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 8,815 8,815 0 4,167 4,206 (39) over (0.9%) 1, a, b, c Property Costs 62 62 0 43 43 0 - 0.0% c Supplies & Services 194 194 0 48 50 (2) over (4.2%) c Transport & Plant 14 14 0 3 3 0 - 0.0% c Administration Costs 1,002 1,002 0 624 641 (17) over (2.7%) a, c Payments to Other Bodies 456 456 0 376 379 (3) over (0.8%) a, b, c Payments to Contractors 0 0 0 0 4 (4) over n/a Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 40 40 0 2 2 0 - 0.0% c Total Controllable Exp. 10,583 10,583 0 5,263 5,328 (65) over (1.2%) Total Controllable Inc. (2,275) (2,275) 0 (1,263) (1,341) 78 over recovered (6.2%) 2, a, b, c Net Controllable Exp. 8,308 8,308 0 4,000 3,987 13 under 0.3% Variance Explanations 1. Employee Costs The overspend reflects the phasing of staffing costs to date and will be offset by anticipated external project income when received. 2. Income Over-recovery reflects income from Skills Development Scotland and Seniors Together. Budget Virements a. Kypemuir and Middlemuir Windfarm Renewable Projects: Net Effect £0.000m: Employee Costs £0.025m, Administration Costs £0.017m, Payments to Other Bodies £0.111m, Income (£0.153m). b. Quarter 1 No-one Left Behind Grant Claim: Net Effect £0.000m: Employee Costs £0.332m, Payments to Other Bodies £0.140m, Income (£0.472m). c. Budget realignment to reflect service delivery: Net Effect £0.000m: Employee Costs £0.312m, Property Costs (£0.051m), Supplies & Services (£0.001m), Transport & Plant (£0.004m), Administration Costs (£0.055m), Payments to Other Bodies (£1.055m), Financing Charges (£0.001m), Income £0.855m. 26
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Appendix G SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Administration, Legal and Licensing Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 3,755 3,755 0 1,865 1,969 (104) over (5.6%) 1 Property Costs 18 18 0 2 2 0 - 0.0% Supplies & Services 119 119 0 35 61 (26) over (74.3%) 2 Transport & Plant 14 14 0 10 11 (1) over (10.0%) Administration Costs 2,331 2,331 0 1,198 1,205 (7) over (0.6%) Payments to Other Bodies 678 678 0 353 353 0 - 0.0% Payments to Contractors 0 0 0 0 0 0 - n/a Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 32 32 0 5 5 0 - 0.0% Total Controllable Exp. 6,947 6,947 0 3,468 3,606 (138) over (4.0%) Total Controllable Inc. (2,668) (2,668) 0 (1,060) (1,043) (17) under 1.6% Net Controllable Exp. 4,279 4,279 0 2,408 2,563 (155) over (6.4%) Variance Explanations 1. Employee Costs The overspend reflects a lower than anticipated turnover achieved to date. 2. Supplies & Services The overspend reflects the costs of computer equipment required for service delivery. 27
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Appendix H SOUTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report Finance and Corporate Resources Committee: Period Ended 6 October 2023 (No.7) Communications and Strategy Services Annual Budget Forecast for Year Annual Forecast Variance Budget Proportion 06/10/23 Actual 06/10/23 Variance 06/10/23 % Variance 06/10/23 Note £000 £000 £000 £000 £000 £000 Budget Category Employee Costs 2,563 2,563 0 1,272 1,238 34 under 2.7% 1, a Property Costs 0 0 0 0 0 0 - n/a Supplies & Services 654 654 0 250 255 (5) over (2.0%) a Transport & Plant 29 29 0 28 31 (3) over (10.7%) Administration Costs 1,144 1,144 0 325 326 (1) over (0.3%) a Payments to Other Bodies 820 820 0 667 685 (18) over (2.7%) a Payments to Contractors 0 0 0 0 0 0 - n/a Transfer Payments 0 0 0 0 0 0 - n/a Financing Charges 351 351 0 165 165 0 - 0.0% Total Controllable Exp. 5,561 5,561 0 2,707 2,700 7 under 0.3% Total Controllable Inc. (2,651) (2,651) 0 (1,072) (1,072) 0 - 0.0% Net Controllable Exp. 2,910 2,910 0 1,635 1,628 7 under 0.4% Variance Explanations 1. Employee Costs The underspend reflects the level of turnover within the Service to date, with recruitment being considered in line with service requirements. Budget Virements a. Community Asset Transfer & Community Wishlist Funding: Net Effect £0.105m: Employee Costs £0.070m, Supplies & Services £0.020m, Administration Costs £0.002m, Payments to Other Bodies £0.013m. 28
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Capital Budget Monitoring 2023/2024 - Finance and Corporate Resources 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] provide information on the progress of the capital programme for Finance and Corporate Resources for the period 1 April 2023 to 6 October 2023 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the Finance and Corporate Resources capital programme of £5.333 million, and expenditure to date of £1.419 million, be noted. [1recs] 3. Background 3.1. This is the third capital monitoring report presented to the Finance and Corporate Resources Committee for the financial year 2023/2024. Further reports will follow throughout the year. 3.2. As noted in the last report to this Committee (27 September 2023), the budget for Finance and Corporate Resources for financial year 2023/2024 was £5.333 million. There has been no change to this budget since the last report to this Committee. 3.3. The report details the financial position for Finance and Corporate Resources in Appendix A. 4. Employee Implications 4.1. There are no employee implications as a result of this report. 5. Financial Implications 5.1. 2023/2024 Budget As detailed in Section 3.2, the 2023/2024 capital programme for Finance and Corporate Resources is £5.333 million. 5.2. Period 7 Position Anticipated spend to date was £1.471 million and spend to 6 October 2023 amounts to £1.419 million, resulting in Finance and Corporate Resources being £0.052 million behind programme. This is a minor timing issue only. 6 29
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6. Climate Change, Sustainability and Environmental Implications 6.1. There are no implications for climate change, sustainability or the environment in terms of the information contained in this report. 7. Other Implications 7.1. The main risk associated with the Council’s Capital Programme is that there is an overspend. The risk has been assessed as low given the detailed project management plans prepared and monitored for each project. The risk of overspend is managed through four weekly Investment Management Meetings. 8. Equality Impact Assessment and Consultation Arrangements 8.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and therefore no impact assessment is required. 8.2. There is also no requirement to undertake any consultation in terms of the information contained in the report. Paul Manning Executive Director (Finance and Corporate Resources) 16 November 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, Effective, Efficient and Transparent Previous References Finance and Corporate Resources Committee, 27 September 2023 List of Background Papers Financial ledger to 6 October 2023 Contact for Further Information If you would like to inspect the background papers or want further information, please contact: Lorraine O’Hagan, Finance Manager (Strategy) Ext: 2601 (Tel: 01698 452601) E-mail: lorraine.o’hagan@southlanarkshire.gov.uk 30
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Appendix A South Lanarkshire Council Capital Expenditure 2023-2024 Finance and Corporate Resources Programme For Period 1 April 2023 – 6 October 2023 Finance and Corporate Resources Total Original Budget £000 Budget Adjustments £000 Slippage £000 Total Budget £000 Budget to Date £000 Actual Expenditure £000 Information Technology Services 5,333 - - 5,333 1,471 1,419 TOTAL 5,333 - - 5,333 1,471 1,419 31
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Finance and Corporate Resources – Workforce Monitoring – August and September 2023 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] provide employment information for August and September 2023 relating to Finance and Corporate Resources [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the following employment information for August and September 2023 relating to Finance and Corporate Resources be noted:- attendance statistics occupational health accident/incident statistics discipline, grievance and Dignity at Work cases analysis of leavers and exit interviews staffing watch as at 9 September 2023 [1recs] 3. Background 3.1. As part of the Council’s performance management arrangements, regular workforce monitoring reports are submitted to Committee. This report for Finance and Corporate Resources provides information on the position for August and September 2023. 4. Monitoring Statistics 4.1. Attendance Statistics (Appendix 1) Information on absence statistics is analysed for the month of September 2023 for Finance and Corporate Resources. The Resource absence figure for September 2023 was 3.9%, this figure has increased by 0.1% when compared to last month and is 1.4% lower than the Council-wide figure. Compared to September 2022, the Resource absence figure has increased by 0.3%. Based on the absence figures at September 2023 and annual trends, the projected annual average absence for the Resource for 2023/2024 is 3.9%, compared to a Council-wide average figure of 5.5%. 7 33
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Managers follow the procedures outlined in the Maximising Attendance Policy to support employees to remain at work, or to return to work after a sickness absence. There are comprehensive employee supports in place and additionally, Personnel Services work in close partnership with line managers and Resource Management Teams on a case management basis to ensure that appropriate actions are taken. 4.2. Occupational Health (Appendix 2) In terms of referrals to occupational health, which include medical examinations and physiotherapy, overall, 38 referrals were made this period. This represents an increase of 1 when compared with the same period last year. 4.3. Accident/Incident Statistics There were no accidents/incidents recorded within the Resource this period, this figure has decreased by 1 when compared to the same period last year. 4.4. Discipline, Grievance and Dignity at Work (Appendix 2) During the period, 2 disciplinary hearings were held within the Resource. This figure has increased by 2 when compared to the same period last year. No appeals were heard by the Appeals Panel. 1 appeal was in pending. No grievance hearings were raised within the Resource, this figure has decreased by 1 when compared to the same period last year. No Dignity at Work complaints were raised within the Resource, this figure remains unchanged when compared to the same period last year. 4.5. Analysis of Leavers (Appendix 2) There were a total of 7 leavers in the Resource this period eligible for an exit interview, a decrease of 1 when compared with the same period last year. 2 exit interviews were conducted in this period, a decrease of 2 when compared to the same period last year. 4.6. When processing an employee termination, managers were asked to identify whether they intended to replace the employee who had left the Council. If they indicated that they did not intend to replace the employee, they were asked to select from the following options:- plan to hold for savings fill on a fixed term basis pending savings transfer budget to another post end of fixed term post 4.7. Appendix 2a provides a breakdown of vacant posts and whether these are being replaced or held for savings. In the period August to September 2023, 15 employees (13.06 FTE) in total left employment, managers indicated that 13 posts (11.06 FTE) were being replaced, 1 post (1.00 FTE) was being filled on a temporary basis and 1 post (1.00 FTE) was planning on being removed for savings. 5. Staffing Watch 5.1. There has been a decrease of 17 in the number of employees in post from 10 June 2023 to 9 September 2023. 6. Employee Implications 6.1. There are no implications for employees arising from the information presented in this report. 34
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7. Financial Implications 7.1. All financial implications are accommodated within existing budgets. 8. Climate Change, Sustainability and Environmental Implications 8.1. There are no Climate Change, Sustainability and Environmental Implications in terms of the information contained within this report. 9. Other Implications 9.1. There are no implications for risk in terms of the information contained within this report. 10. Equality Impact Assessment and Consultation Arrangements 10.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and therefore no impact assessment is required. 10.2. There was no requirement to undertake any consultation in terms of the information contained in this report. Paul Manning Executive Director (Finance and Corporate Resources) 26 October 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Fair, open and sustainable Ambitious, self aware and improving Excellent employer Focused on people and their needs Working with and respecting others Previous References Finance and Corporate Resources, 27 September 2023 List of Background Papers Monitoring information provided by Finance and Corporate Resources Contact for Further Information If you would like to inspect the background papers or want further information, please contact: - Elaine Maxwell, HR Business Manager Ext: 4647 (Tel: 01698 454647) E-mail: Elaine.Maxwell@southlanarkshire.gov.uk 35
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 2.6 2.8 3.6 April 0.0 0.0 0.0 April 2.6 2.8 3.6 April 4.3 5.6 5.1 May 3.3 3.2 3.9 May 0.0 0.0 0.0 May 3.3 3.2 3.9 May 4.9 5.4 5.1 June 3.5 4.0 4.2 June 0.0 0.0 0.0 June 3.5 4.0 4.2 June 4.7 5.3 4.7 July 3.3 3.9 3.5 July 0.0 0.0 0.0 July 3.3 3.9 3.5 July 4.0 4.6 3.8 August 3.6 4.1 3.8 August 0.0 0.0 0.0 August 3.6 4.1 3.8 August 4.7 4.4 4.1 September 4.0 3.6 3.9 September 0.0 0.0 0.0 September 4.0 3.6 3.9 September 6.4 5.4 5.3 October 3.6 3.8 October 0.0 0.0 October 3.6 3.8 October 6.3 5.8 November 4.3 3.4 November 0.0 0.0 November 4.3 3.4 November 6.9 6.5 December 3.8 4.3 December 0.0 0.0 December 3.8 4.3 December 6.9 7.0 January 3.8 4.3 January 0.0 0.0 January 3.8 4.3 January 7.0 5.8 February 3.4 3.8 February 0.0 0.0 February 3.4 3.8 February 6.6 5.9 March 3.4 3.8 March 0.0 0.0 March 3.4 3.8 March 7.9 6.4 Annual Average 3.6 3.8 3.9 Annual Average 0.0 0.0 0.0 Annual Average 3.6 3.8 3.9 Annual Average 5.9 5.7 5.5 Average Apr-Sep 3.4 3.6 3.8 Average Apr-Sep 0.0 0.0 0.0 Average Apr-Sep 3.4 3.6 3.8 Average Apr-Sep 4.8 5.1 4.7 914 0 914 16326No of Employees at 30 September 2023 Resource Total No of Employees at 30 September 2023 Appendix 1 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Finance and Corporate Resources No of Employees at 30 September 2023 No of Employees at 30 September 2023 APT&C Council WideManual Workers 36
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Aug - Sep Aug - Sep 2022 2023 MEDICAL EXAMINATIONS Number of Employees Attending EMPLOYEE COUNSELLING SERVICE Total Number of Referrals PHYSIOTHERAPY SERVICE Total Number of Referrals REFERRALS TO EMPLOYEE SUPPORT OFFICER 15 13 REFERRALS TO COGNITIVE BEHAVIOUR THERAPY 0 0 TOTAL 37 38 Aug - Sep Aug - Sep 2022 2023 Minor 1 0 Total Accidents/Incidents 1 0 Aug - Sep Aug - Sep 2022 2023 Total Number of Hearings 0 2 Appeals Pending 0 1 Time Taken to Convene Hearing August - September 2023 0-3 Weeks 4-6 Weeks Over 6 Weeks 1 1 0 Aug - Sep Aug - Sep 2022 2023 Number of Grievances 1 0 Number Resolved at Stage 2 1 0 Aug - Sep Aug - Sep 2022 2023 Number of Incidents 0 0 Aug - Sep Aug - Sep 2022 2023 Career Advancement 2 1 Disatisfaction with terms and conditions 0 1 Personal Reasons 2 0 Number of Exit Interviews conducted 4 2 Total Number of Leavers Eligible for Exit Interview 8 7 Percentage of interviews conducted 50% 29% ANALYSIS OF REASONS FOR LEAVING ****Physical violent incidents are included in the "Specified" figures, where applicable, to provide the "Total Specified" figures. ****Physical violent incidents and ***** Verbal Violent Incidents are included in the "Over 3-day or Over 7-day" figures, where applicable, to provide the "Total Over 3-day or Over 7-day" figures. ****Physical Violent Incidents and ***** Verbal Violent Incidents are included in the "Minor" figures, where applicable, to provide the "Total Minor" figures. RECORD OF DISCIPLINARY HEARINGS RECORD OF GRIEVANCE HEARINGS RECORD OF DIGNITY AT WORK 11 17 CAUSE OF ACCIDENTS/INCIDENTS *A Specified Injury is any fracture (other than to the fingers, thumbs or toes), amputation, loss of sight, serious burns, crushing injury, scalping, loss of consciousness caused by asphyxiation/ head injury, a chemical or hot metal burn to the eye or penetrating injury as defined by the HSE. **Over 3 day / over 7day absence is an injury sustained outwith specified injury category that results in a period of absence of absence as defined by the HSE. ***Near Miss - Any unexpected, unplanned occurrence (except Dangerous Occurrences) that does not lead to injury of persons, damage to property, plant or equipment but may have done so in different circumstance. Appendix 2 11 8 0 0 FINANCE & CORPORATE RESOURCES 37
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FTE H/C FTE H/C Terminations/Leavers 13.06 15 36.96 44 Being replaced 11.06 13 33.56 40 Filling on a temporary basis 1.00 1 1.00 1 Plan to transfer this budget to another post 0.00 0 0.00 0 End of fixed term contract 0.00 0 0.00 0 Held pending service Review 1.00 1 2.40 3 Plan to remove for savings 0.00 0 0.00 0 Appendix 2a Reason Cumulative totalAugust - September 2023 38
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As at 9 September 2023 Total Number of Employees F/T P/T F/T P/T 196 15 400 230 Chief Officer Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 Grade 6 Fixed SCP Teacher TOTAL 8.00 111.26 357.34 213.64 50.28 21.30 0.00 0.00 0.00 761.82 As at 10 June 2023 Total Number of Employees F/T P/T F/T P/T 203 17 410 228 Chief Officer Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 Grade 6 Fixed SCP Teacher TOTAL 5.00 119.63 359.13 216.05 53.07 24.30 2.00 0.00 0.00 779.18 Appendix 3 JOINT STAFFING WATCH RETURN FINANCE AND CORPORATE RESOURCES *Full - Time Equivalent No of Employees Salary Bands 841 MALE FEMALE TOTAL *Full - Time Equivalent No of Employees Salary Bands MALE FEMALE TOTAL 858 39
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Council-wide Workforce Monitoring – August and September 2023 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] provide employment information relating to the Council for the period August and September 2023 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the following employment information for the period August and September 2023 relating to the Council be noted:- attendance statistics occupational health accident/incident statistics discipline, grievance and Dignity at Work cases analysis of leavers and exit interviews recruitment monitoring staffing watch as at 9 September 2023 [1recs] 3. Background 3.1. As part of the Council’s performance management arrangements, regular workforce monitoring reports are submitted to the Committee. This report for the Council provides information on the position for the period August and September 2023. 4. Attendance Statistics 4.1. Information on absence statistics for the Council and each Resource, as analysed for September 2023, is provided in Appendices 1 to 8. Points to note are:- The Council’s absence rate for September 2023, shown in Appendix 1, is 5.3%, which represents an increase of 1.2% when compared with last month and the figure has decreased by 0.1% when compared to September 2022. When compared to September 2022, the APT&C absence rate remains unchanged at 5.2%, the teachers’ figure has increased by 0.1% and the manual workers’ figure has decreased by 0.4%. Based on annual trends and the absence rate to September 2023, the projected average absence rate for the Council for the financial year 2023/2024 is 5.5%. 8 41
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In comparison to September 2022 (Appendix 8):- Psychological and musculoskeletal conditions are the main reasons for absence. Total days lost due to psychological conditions have decreased by 170 days. Total days lost due to musculoskeletal conditions have decreased by 340 days. Total days lost due to respiratory conditions have increased by 102 days. Total days lost due to stomach, bowel, blood and metabolic disorders have decreased by 18 days. Managers follow the procedures outlined in the Maximising Attendance Policy to support employees to remain at work, or to return to work after a sickness absence. There are comprehensive employee supports in place and additionally, Personnel Services work in close partnership with line managers and Resource Management Teams on a case management basis to ensure that appropriate actions are taken. 5. Occupational Health 5.1. Information on Occupational Health for the period August to September 2023 is provided in Appendix 9. during the period there were 250 employees referred for a medical examination, an increase of 31 when compared to the same period last year. Both musculoskeletal and psychological conditions continue to be the main reason for medical referrals. a total of 396 employees attended physiotherapy treatment, showing an increase of 38 when compared to the same period last year. Of the 396 employees referred, 69% remained at work whilst undertaking treatment. during this period 314 employees were referred to the Employee Support Officer, showing a decrease of 18 when compared with the same period last year. Of the referrals made this period, 86% related to personal reasons. 110 employees were referred to the PAM Assist counselling service this period, showing an increase of 17 when compared with the same period last year. All the referrals made this period were from management and none were made directly by employees. Personal reasons accounted for 62% of the referrals made, 23% were for work related reasons and 15% was for other reasons. 2 employees were referred for Cognitive Behavioural Therapy this period, a decrease of 1 when compared to the same period last year. 6. Accidents/Incidents 6.1. The accident/incident report for August to September 2023 is contained in Appendix 10. the number of accidents/incidents recorded was 244, this figure has decreased by 68 from the same period last year. there were 5 specified injuries recorded, this figure has increased by 3 from the same period last year. there were 231 minor accidents/incidents, this figure has decreased by 67 from the same period last year. there was 1 accident resulting in an absence lasting over 3 days during the period, this figure has decreased by 3 from the same period last year. there were 7 accidents resulting in an absence lasting over 7 days during the period, this figure has decreased by 1 from the same period last year. 42
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7. Discipline, Grievance, Dignity at Work Hearings and Mediation Referrals 7.1. Information on Disciplinary, Grievance Hearings, Dignity at Work and Mediation Referrals for August to September 2023 is contained in Appendices 11, 12a and 12b. in total, 28 disciplinary hearings were held across Resources within the Council, this figure has increased by 8 when compared to the same period last year. action was taken in 24 of these cases. No appeals were raised against the outcomes. our target is to convene disciplinary hearings within 6 weeks, 86% of hearings met this target. during the period, 1 appeal was heard by the Appeals Panel, which was not upheld and 2 were withdrawn. at the end of September, 7 Appeals Panels were pending. during the period, 1 grievance case was raised. during the period, 5 Dignity at Work cases were raised. during the period, 1 referral for mediation was submitted. 8. Analysis of Leavers and Exit Interviews 8.1. Information on the number of leavers and exit interviews for the period August to September 2023 is contained in Appendix 13. Exit interviews are conducted with employees who leave voluntarily. Labour Turnover Using information compiled from Resources and Staffing Watch information as at 9 September 2023, the Council’s turnover figure for August to September 2023 is as follows:- 174 leavers eligible for exit interviews/15,157 employees in post = Labour Turnover of 1.1%. Based on the figure at September 2023, the projected annual labour turnover figure for the financial year 2023/2024 for the Council is 5.1%. 8.2. Analysis of Leavers and Exit Interviews there were a total of 174 employees leaving the Council that were eligible for an exit interview, a decrease of 34 when compared with the same period last year. there were a total of 55 exit interviews conducted which is a decrease of 23 when compared with the same period last year. 8.3. When processing an employee termination, managers are asked to identify whether they intend to replace the employee who had left the Council. If they indicate that they do not intend to replace the employee, they are asked to select from four options:- plan to hold for savings fill on a fixed term basis pending savings transfer budget to another post end of fixed term contract 43
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8.4. Appendix 13a provides information relating to vacant posts and whether these are being replaced or held for savings. From August to September 2023, 531 employees (386.20 FTE) left employment. Managers indicated that 491 posts (377.29 FTE) would be replaced, 32 posts (3.00 FTE) were being filled on a temporary basis, 2 posts (2.00 FTE) were due to the end of fixed term contracts, 3 posts (2.38 FTE) were being left vacant pending savings or service reviews and 3 posts (1.53 FTE) are planning to be removed for savings. 9. Recruitment Monitoring 9.1. Information on Recruitment Monitoring for August to September 2023 is contained within Appendix 14. From an analysis of Equal Opportunities Monitoring Forms, the main points to note are:- overall, 2551 applications and 2388 completed Equal Opportunities Monitoring Forms were received of those applicants who declared themselves as disabled (104), 44 were shortleeted for interview and 5 were appointed. of those applicants of a black/ethnic minority background (306), 61 were shortleeted for interview and 10 were appointed. of those applicants who are veterans (19), 13 were shortleeted for interview and no one was appointed. 10. Staffing Watch 10.1 There has been an increase of 85 in the number of employees in post from 10 June 2023 to 9 September 2023. Details of the staffing watch are contained in Appendix 15. 11. Employee Implications 11.1. There are no implications for employees arising from the information presented in this report. 12. Financial Implications 12.1. All financial implications are accommodated within existing budgets. 13. Climate Change, Sustainability and Environmental Implications 13.1. There are no climate change, sustainability or environmental implications arising from the information presented in this report. 14. Other Implications 14.1. There are no implications for risk in terms of the information contained within this report. 15. Equality Impact Assessment and Consultation Arrangements 15.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and therefore no impact assessment is required. 44
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15.2. There was no requirement to undertake any consultation in terms of the information contained in this report. Paul Manning Executive Director (Finance and Corporate Resources) 26 October 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Fair, open and sustainable Ambitious, self-aware and improving Excellent employer Focused on people and their needs Working with and respecting others Previous References Finance and Corporate Resources Committee – 27 September 2023 List of Background Papers Monitoring information provided by Resources Contact for Further Information If you would like to inspect the background papers or want further information, please contact: - Elaine Maxwell, HR Business Manager Ext: 4647 (Tel: 01698 454647) E-mail: Elaine.Maxwell@southlanarkshire.gov.uk 45
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 4.1 5.2 5.2 April 2.5 2.7 2.8 April 6.2 8.8 7.0 April 4.3 5.6 5.1 May 4.7 5.0 5.1 May 3.2 3.6 3.2 May 6.7 7.6 6.2 May 4.9 5.4 5.1 June 4.4 5.0 4.9 June 2.6 2.6 2.2 June 7.0 8.1 6.5 June 4.7 5.3 4.7 July 4.1 4.5 4.0 July 1.1 1.4 1.1 July 6.3 7.4 5.8 July 4.0 4.6 3.8 August 4.6 4.3 4.2 August 2.0 1.4 1.3 August 7.3 7.4 6.2 August 4.7 4.4 4.1 September 6.1 5.2 5.2 September 4.4 2.8 2.9 September 8.5 8.0 7.6 September 6.4 5.4 5.3 October 6.0 5.7 October 4.1 3.4 October 8.7 8.1 October 6.3 5.8 November 6.5 6.3 November 5.6 4.7 November 8.7 8.6 November 6.9 6.5 December 6.2 6.7 December 6.1 5.3 December 8.8 8.9 December 6.9 7.0 January 6.7 5.2 January 3.9 4.3 January 10.1 8.0 January 7.0 5.8 February 6.5 5.7 February 3.7 4.1 February 9.5 7.9 February 6.6 5.9 March 8.0 6.2 March 4.3 4.6 March 11.3 8.3 March 7.9 6.4 Annual Average 5.7 5.4 5.4 Annual Average 3.6 3.4 3.3 Annual Average 8.3 8.1 7.4 Annual Average 5.9 5.7 5.5 Average Apr-Sep 4.7 4.9 4.8 Average Apr-Sep 2.6 2.4 2.3 Average Apr-Sep 7.0 7.9 6.6 Average Apr-Sep 4.8 5.1 4.7 7707 4036 4583 16326No of Employees at 30 September 2023 Appendix 1 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Council Wide APT&C Teachers No of Employees at 30 September 2023 No of Employees at 30 September 2023 Manual Workers Council Wide No of Employees at 30 September 2023 46
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 2.3 4.4 3.6 April 5.7 7.3 6.3 April 5.2 6.9 6.0 April 4.3 5.6 5.1 May 2.7 3.9 3.7 May 6.4 6.8 6.3 May 5.9 6.3 5.9 May 4.9 5.4 5.1 June 2.8 3.5 4.3 June 6.6 7.2 5.9 June 6.0 6.7 5.7 June 4.7 5.3 4.7 July 2.9 3.9 2.3 July 5.3 5.9 4.6 July 4.9 5.6 4.3 July 4.0 4.6 3.8 August 2.9 3.4 3.0 August 6.4 6.6 5.2 August 5.9 6.1 4.9 August 4.7 4.4 4.1 September 3.4 3.1 2.5 September 8.2 7.9 7.1 September 7.5 7.1 6.4 September 6.4 5.4 5.3 October 3.8 5.1 October 7.9 7.5 October 7.3 7.1 October 6.3 5.8 November 3.5 4.2 November 8.0 8.3 November 7.3 7.7 November 6.9 6.5 December 4.2 3.7 December 8.0 8.8 December 7.4 8.0 December 6.9 7.0 January 3.6 2.6 January 9.6 7.4 January 8.6 6.7 January 7.0 5.8 February 4.4 3.6 February 9.5 7.4 February 8.7 6.9 February 6.6 5.9 March 6.0 3.9 March 11.0 7.9 March 10.2 7.3 March 7.9 6.4 Annual Average 3.5 3.8 3.5 Annual Average 7.7 7.4 6.9 Annual Average 7.1 6.9 6.4 Annual Average 5.9 5.7 5.5 Average Apr-Sep 2.8 3.7 3.2 Average Apr-Sep 6.4 7.0 5.9 Average Apr-Sep 5.9 6.5 5.5 Average Apr-Sep 4.8 5.1 4.7 531 2942 3473 16326 Appendix 2 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Community and Enterprise Resources APT&C Council WideManual Workers Resource Total No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 47
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 4.8 5.5 5.0 April 2.5 2.7 2.8 April 3.5 4.0 3.8 April 4.3 5.6 5.1 May 5.7 5.5 5.4 May 3.2 3.6 3.2 May 4.4 4.5 4.2 May 4.9 5.4 5.1 June 4.7 5.1 4.8 June 2.6 2.6 2.2 June 3.5 3.7 3.4 June 4.7 5.3 4.7 July 3.4 3.8 3.4 July 1.1 1.4 1.1 July 2.1 2.5 2.2 July 4.0 4.6 3.8 August 3.8 3.6 4.0 August 2.0 1.4 1.3 August 2.8 2.4 2.5 August 4.7 4.4 4.1 September 6.4 5.8 5.9 September 4.4 2.8 2.9 September 5.3 4.1 4.3 September 6.4 5.4 5.3 October 6.6 6.5 October 4.1 3.4 October 5.2 4.8 October 6.3 5.8 November 8.0 7.9 November 5.6 4.7 November 6.7 6.2 November 6.9 6.5 December 8.0 8.5 December 6.1 5.3 December 7.0 6.8 December 6.9 7.0 January 8.1 6.1 January 3.9 4.3 January 5.8 5.1 January 7.0 5.8 February 7.2 6.8 February 3.7 4.1 February 5.3 5.4 February 6.6 5.9 March 9.5 7.0 March 4.3 4.6 March 6.7 5.7 March 7.9 6.4 Annual Average 6.4 6.0 5.9 Annual Average 3.6 3.4 3.3 Annual Average 4.9 4.6 4.5 Annual Average 5.9 5.7 5.5 Average Apr-Sep 4.8 4.9 4.8 Average Apr-Sep 2.6 2.4 2.3 Average Apr-Sep 3.6 3.5 3.4 Average Apr-Sep 4.8 5.1 4.7 3502 4036 7538 16326No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 Appendix 3 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Education Resources Council WideAPT&C Teachers Resource Total 48
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 2.6 2.8 3.6 April 0.0 0.0 0.0 April 2.6 2.8 3.6 April 4.3 5.6 5.1 May 3.3 3.2 3.9 May 0.0 0.0 0.0 May 3.3 3.2 3.9 May 4.9 5.4 5.1 June 3.5 4.0 4.2 June 0.0 0.0 0.0 June 3.5 4.0 4.2 June 4.7 5.3 4.7 July 3.3 3.9 3.5 July 0.0 0.0 0.0 July 3.3 3.9 3.5 July 4.0 4.6 3.8 August 3.6 4.1 3.8 August 0.0 0.0 0.0 August 3.6 4.1 3.8 August 4.7 4.4 4.1 September 4.0 3.6 3.9 September 0.0 0.0 0.0 September 4.0 3.6 3.9 September 6.4 5.4 5.3 October 3.6 3.8 October 0.0 0.0 October 3.6 3.8 October 6.3 5.8 November 4.3 3.4 November 0.0 0.0 November 4.3 3.4 November 6.9 6.5 December 3.8 4.3 December 0.0 0.0 December 3.8 4.3 December 6.9 7.0 January 3.8 4.3 January 0.0 0.0 January 3.8 4.3 January 7.0 5.8 February 3.4 3.8 February 0.0 0.0 February 3.4 3.8 February 6.6 5.9 March 3.4 3.8 March 0.0 0.0 March 3.4 3.8 March 7.9 6.4 Annual Average 3.6 3.8 3.9 Annual Average 0.0 0.0 0.0 Annual Average 3.6 3.8 3.9 Annual Average 5.9 5.7 5.5 Average Apr-Sep 3.4 3.6 3.8 Average Apr-Sep 0.0 0.0 0.0 Average Apr-Sep 3.4 3.6 3.8 Average Apr-Sep 4.8 5.1 4.7 914 0 914 16326No of Employees at 30 September 2023 Resource Total No of Employees at 30 September 2023 Appendix 4 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Finance and Corporate Resources No of Employees at 30 September 2023 No of Employees at 30 September 2023 APT&C Council WideManual Workers 49
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 3.2 5.5 5.7 April 3.6 10.6 6.9 April 3.3 7.6 6.2 April 4.3 5.6 5.1 May 2.9 4.5 4.9 May 4.2 8.1 6.1 May 3.4 6.0 5.4 May 4.9 5.4 5.1 June 3.5 4.9 5.4 June 6.2 8.5 6.8 June 4.6 6.4 6.0 June 4.7 5.3 4.7 July 4.0 5.5 5.0 July 5.7 8.9 8.1 July 4.7 6.9 6.2 July 4.0 4.6 3.8 August 4.9 4.7 5.1 August 7.9 7.1 8.5 August 6.2 5.7 6.4 August 4.7 4.4 4.1 September 5.8 4.5 4.7 September 8.1 6.3 7.8 September 6.8 5.2 6.0 September 6.4 5.4 5.3 October 5.2 4.3 October 9.0 7.8 October 6.8 5.8 October 6.3 5.8 November 5.7 4.6 November 9.2 7.8 November 7.2 5.9 November 6.9 6.5 December 4.6 4.4 December 9.5 7.2 December 6.7 5.6 December 6.9 7.0 January 5.2 4.5 January 8.8 5.5 January 6.7 4.9 January 7.0 5.8 February 6.4 4.4 February 8.5 6.2 February 7.3 5.1 February 6.6 5.9 March 7.8 5.3 March 10.7 6.8 March 9.0 5.9 March 7.9 6.4 Annual Average 4.9 4.8 4.9 Annual Average 7.6 7.6 7.1 Annual Average 6.1 5.9 5.8 Annual Average 5.9 5.7 5.5 Average Apr-Sep 4.1 4.9 5.1 Average Apr-Sep 6.0 8.3 7.4 Average Apr-Sep 4.8 6.3 6.0 Average Apr-Sep 4.8 5.1 4.7 881 566 1447 16326No of Employees at 30 September 2023No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 Appendix 5 Housing & Technical Resources Resource Total Absence Trends - 2021/2022, 2022/2023 & 2023/2024 APT&C Manual Workers Council Wide 50
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2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 2021 / 2022 2022 / 2023 2023 / 2024 % % % % % % % % % % % % April 4.5 6.2 6.5 April 9.6 12.6 9.4 April 6.2 8.3 7.4 April 4.3 5.6 5.1 May 5.0 5.7 5.8 May 9.3 10.1 8.4 May 6.5 7.1 6.6 May 4.9 5.4 5.1 June 3.9 5.9 5.5 June 7.6 11.3 8.6 June 5.2 7.6 6.5 June 4.7 5.3 4.7 July 6.1 6.0 5.4 July 10.3 11.8 8.8 July 7.5 7.9 6.5 July 4.0 4.6 3.8 August 7.3 6.0 4.8 August 10.2 10.8 8.6 August 8.2 7.5 6.0 August 4.7 4.4 4.1 September 7.6 5.9 5.6 September 10.3 9.6 9.3 September 8.5 7.1 6.8 September 6.4 5.4 5.3 October 6.9 5.8 October 11.3 10.4 October 8.4 7.3 October 6.3 5.8 November 6.2 6.0 November 10.8 10.4 November 7.7 7.4 November 6.9 6.5 December 5.5 6.4 December 11.1 10.6 December 7.3 7.7 December 6.9 7.0 January 7.4 5.2 January 13.0 12.0 January 9.2 7.4 January 7.0 5.8 February 7.5 5.8 February 10.1 11.0 February 8.3 7.5 February 6.6 5.9 March 8.0 7.0 March 12.8 10.9 March 9.5 8.2 March 7.9 6.4 Annual Average 6.3 6.0 5.8 Annual Average 10.5 11.0 9.9 Annual Average 7.7 7.6 7.1 Annual Average 5.9 5.7 5.5 Average Apr-Sep 5.7 6.0 5.6 Average Apr-Sep 9.6 11.0 8.9 Average Apr-Sep 7.0 7.6 6.6 Average Apr-Sep 4.8 5.1 4.7 1879 1075 2954 16326No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 No of Employees at 30 September 2023 Appendix 6 Absence Trends - 2021/2022, 2022/2023 & 2023/2024 Social Work Resources APT&C Council WideResource TotalManual Workers 51
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Appendix 7 Absence by long and short term From: 1 July 2023 to 30 September 2023 Community and Enterprise 3473 1.5 2.8 4.3 1.9 3.0 4.9 2.6 3.8 6.4 Education 7538 0.3 1.9 2.2 1.2 1.3 2.5 2.1 2.2 4.3 Finance and Corporate 914 1.3 2.2 3.5 1.2 2.6 3.8 1.3 2.6 3.9 Housing & Technical 1447 1.6 4.6 6.2 2.1 4.3 6.4 2.2 3.8 6.0 Social Work 2954 1.6 4.9 6.5 1.8 4.2 6.0 2.4 4.4 6.8 Council Overall for July 2023 to September 2023 16326 0.9 2.9 3.8 1.5 2.6 4.1 2.2 3.1 5.3 Resource No of employees July 2023 Total Short Term % Total Long Term % Resource Total Absence % Resource Total Absence % August 2023 Total Short Term % Total Long Term % September 2023 Total Short Term % Total Long Term % Resource Total Absence % 52
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From : 1 September 2023 - 30 September 2023 Total WDL % Total WDL % Total WDL % Total WDL % Total WDL % Musculoskeletal 1299 29 910 14 37 6 509 30 750 21 3505 21 Psychological 1385 31 2052 32 339 51 529 31 1294 37 5599 33 Stomach, Bowel, Blood, Metabolic Disorders 314 7 698 11 91 14 172 10 347 10 1622 10 Respiratory 559 12 1319 21 64 10 212 13 340 10 2494 15 Other Classification 954 21 1385 22 131 20 262 16 788 22 3520 21 Total Days Lost By Resource 4511 100 6364 100 662 100 1684 100 3519 100 16740 100 Total Work Days Available From : 1 September 2022 - 30 September 2022 Total WDL % Total WDL % Total WDL % Total WDL % Total WDL % Musculoskeletal 1720 33 821 13 95 14 468 31 741 20 3845 22 Psychological 1349 26 2172 35 304 44 425 28 1519 42 5769 33 Stomach, Bowel, Blood, Metabolic Disorders 522 10 605 10 54 8 120 8 339 9 1640 9 Respiratory 754 14 968 15 116 17 203 13 351 10 2392 14 Other Classification 923 18 1714 27 127 18 314 21 695 19 3773 22 Total Days Lost By Resource 5268 100 6280 100 696 100 1530 100 3645 100 17419 100 Total Work Days Available *WDL = Work Days Lost 70496 148332 17154 Percentage Housing and Technical Resources Education Resources Finance and Corporate 28292 51869 Appendix 8 Attendance Monitoring Absence Classification Reasons Community and Enterprise Resources Social Work Resources Total WDL By Reason REASONS Community and Enterprise Resources Education Resources Finance and Corporate Housing and Technical Resources Social Work Resources 51511291891920215142173684 PercentageTotal WDL By Reason 53
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Appendix 9 Teachers Others 77 15 26 8 55 69 81 12 19 11 25 71 Aug - Sep 2022 Aug - Sep 2023 Aug - Sep 2022 Aug - Sep 2023 Aug - Sep 2022 Aug - Sep 2023 95 110 75 78 0 0 63 57 115 132 2 1 82 75 15 13 0 0 11 17 19 20 0 0 36 50 108 71 Social Work 0 0 71 87 332 314 Not Disclosed 1 1 358 396 Total 3 2 M S M S M S M S M S M S Total (Aug - Sep 2023) 25 0 0 0 68 0 0 0 17 0 110 0 Total (Aug - Sep 2022) 23 0 0 0 62 0 0 0 8 0 93 0 Total 110 93 M = MANAGEMENT REFERRAL S = SELF REFERRAL Total Referrals (Aug - Sep 2022) No of Employees Referred For Cognitive Behavioural Therapy Analysis of Counselling Referrals by Cause Reason Work Stress Addiction Personal Anxiety/ Depression Bereavement No of Employees Referred For Physiotherapy Total Referrals (Aug - Sep 2023) From: 1 August - 30 September 2023 comparison with 1 August - 30 September 2022 Medical Referrals Community and Enterprise Education Finance and Corporate Housing & Technical Social Work Totals Total (Aug - Sep 2023) 250 Total (Aug - Sep 2022) Finance and Corporate Housing and TechnicalFinance and Corporate Housing and Technical 219 No of Employees Referred To Employee Support Officer Education Finance and Corporate Education Social Work Housing and Technical Resource Community and Enterprise Total Occupational Health Reports Total Social Work Resource Community and Enterprise Education (Teachers) Education (Others) Total Resource Community and Enterprise 54
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2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 2023 Specified Injury 0 1 2 3 0 0 0 0 0 1 2 5 Violent Incident: Physical 0 0 0 0 0 0 0 0 0 0 0 0 Total Specified Injury* 0 1 2 3 0 0 0 0 0 1 2 5 Over 7-day 5 2 1 1 0 0 1 2 1 2 8 7 Violent Incident: Physical 0 0 0 0 0 0 0 0 0 0 0 0 Violent Incident: Verbal 0 0 0 0 0 0 0 0 0 0 0 0 Total Over 7-day** 5 2 1 1 0 0 1 2 1 2 8 7 Over 3-day 1 0 1 0 0 0 1 1 1 0 4 1 Violent Incident: Physical 0 0 0 0 0 0 0 0 0 0 0 0 Violent Incident: Verbal 0 0 0 0 0 0 0 0 0 0 0 0 Total Over 3-day** 1 0 1 0 0 0 1 1 1 0 4 1 Minor 16 15 8 9 1 0 1 3 9 8 35 35 Near Miss 3 2 2 0 0 0 0 3 0 0 5 5 Violent Incident: Physical 6 11 208 147 0 0 0 0 6 8 220 166 Violent Incident: Verbal 1 6 34 12 0 0 2 3 1 4 38 25 Total Minor*** 26 34 252 168 1 0 3 9 16 20 298 231 Total Accidents/Incidents 32 37 256 172 1 0 5 12 18 23 312 244 *A Specified Injury is any fracture (other than to the fingers, thumbs or toes), amputation, loss of sight, serious burns, crushing injury, scalping, loss of consciousness caused by asphyxiation/ head injury, a chemical or hot metal burn to the eye or penetrating injury as defined by the HSE. **Over 3 day / over 7day absence is an injury sustained outwith specified injury category that results in a period of absence of absence as defined by the HSE. *** A minor injury is an injury not covered by " Over 7-day", "Over 3-day" or "Specified". Comparison Cause of Accidents/ Incidents to employees Appendix 10 Social Work TOTALCommunity and Enterprise Education From: 1 August - 30 September 2023 comparison with 1 August - 30 September 2022 Finance and Corporate Housing & Tech Analysis of Accidents/ Incidents 55
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APT&C Manual / Craft Teachers Total APT&C Manual / Craft Teachers Total Community and Enterprise 0 15 N/A 15 0 0 N/A 0 0 15 N/A 15 11 3 1 93% 15 Education 0 3 2 5 0 2 1 3 0 1 1 2 2 0 3 40% 5 Finance and Corporate 2 0 N/A 2 0 0 N/A 0 2 0 N/A 2 1 1 0 100% 2 Housing and Technical 0 3 N/A 3 0 1 N/A 1 0 2 N/A 2 2 1 0 100% 3 Social Work 0 3 N/A 3 0 0 N/A 0 0 3 N/A 3 2 1 0 100% 3 Total (Aug - Sep 2023) 2 24 2 28 0 3 1 4 2 21 1 24 18 6 4 86% 28 Total (Aug - Sep 2022) 2 17 1 20 0 2 0 2 2 15 1 18 11 4 5 75% 20 APT&C Manual/ Craft Teachers Total APT&C Manual/ Craft Teachers Total APT&C Manual/ Craft Teachers Total Total (Aug - Sep 2023) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Total (Aug - Sep 2022) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 *Resources nil responses are not included in figures Appeal's Panel From: 1 August - 30 September 2023 Appeal's Panel Total 10 Appendix 11 Outcome of Appeals Not Upheld From: 1 August - 30 September 2023 comparison with 1 August - 30 September 2022 Appeals pending to date Record of Disciplinary Hearings No of weeks to convene Disciplinary Hearing Total 7 % Held within 6 Weeks No of Appeals No Action APT&C 4-6 6+3Teachers Total No of Disciplinary Hearings Upheld APT&C Upheld in Part Teachers 1 Resource Resource Action Taken Upheld Upheld in Part Manual/ Craft Outcome of Disciplinary Hearings Manual/ Craft 2 Withdrawn 0 Not Upheld Total Appeals Pending 56
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Appendix 12a Record of Grievances From: 1 August - 30 September 2023 comparison with 1 August - 30 September 2022 Grievances No of Grievances No Resolved at Stage 1 No Resolved at Stage 2 No Resolved at Stage 3 Still in Process Total (Aug - Sep 2023) 1 0 1 0 0 Total (Aug - Sep 2022) 6 2 4 0 0 Dignity at Work Dignity at Work No of Incidents No Resolved at Informal Stage No Resolved at Formal Stage No of Appeals Appeals in Process Still in Process Total (Aug - Sep 2023) 5 0 0 0 0 5 Total (Aug - Sep 2022) 2 0 2 0 0 0 From: 1 August - 30 September 2023 comparison with 1 August - 30 September 2022 57
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Appendix 12b Referrals for Workplace Mediation Workplace Mediation Aug-23 Sep-23 No of Referrals 0 1 *No of Successful Cases 0 0 *No of Unsuccessful Cases 0 0 No of cases unsuitable for mediation 1 0 Workplace Mediation Aug-22 Sep-22 No of Referrals 3 0 *No of Successful Cases 1 0 *No of Unsuccessful Cases 0 0 No of cases unsuitable for mediation 1 1 As at September 2023 *successful/unsuccessful case outcomes may be shown outwith the month they were referred. 58
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Appendix 13 From 1 August - 30 September 2023 Reason for leaving Community and Enterprise Education Finance and Corporate Housing & Technical Social Work Total % Career Advancement 2 13 1 3 9 28 51% Personal Reasons 2 2 0 1 2 7 13% Further Education 0 4 0 0 0 4 7% Child Caring / Caring Responsibilities 2 0 0 0 0 2 4% Disatisfaction with terms and conditions 1 0 1 0 0 2 4% Moving outwith area 0 2 0 0 0 2 4% Poor relationship with managers / colleagues 2 0 0 0 0 2 4% Other 4 2 0 0 2 8 15% Number of exit interviews conducted 13 23 2 4 13 55 Total no. of leavers per Resource eligible for an exit interview 51 83 7 10 23 174 % of leavers interviewed 25% 28% 29% 40% 57% 32% From 1 August - 30 September 2022 Number of exit interviews conducted 7 41 4 5 21 78 Total no. of leavers per Resource eligible for an exit interview 47 106 8 11 36 208 % of leavers interviewed 15% 39% 50% 45% 58% 38% * Note these totals include temporary employees Analysis of leavers and exit interviews 59
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Resource Total FTE* Total H/C** FTE H/C FTE H/C FTE H/C FTE H/C FTE H/C FTE H/C Community & Enterprise 59.75 108 57.75 106 0.00 0 0.00 0 2.00 2 0.00 0 0.00 0 Education 263.92 319 261.39 316 1.00 1 0.00 0 0.00 0 0.00 0 1.53 2 Finance & Corporate 13.06 15 11.06 13 1.00 1 0.00 0 0.00 0 1.00 1 0.00 0 Housing & Technical 17.06 20 17.06 20 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 Social Work 32.41 69 30.03 36 1.00 30 0.00 0 0.00 0 1.38 2 0.00 1 Total 386.20 531 377.29 491 3.00 32 0.00 0 2.00 2 2.38 3 1.53 3 Cumulative Grand Total 722.15 994 694.78 927 5.29 37 0.95 1 7.30 11 12.30 15 1.53 3 Appendix 13a August to September 2023 Number of leavers Replace Employee Filling on a temp basis Plan to transfer this budget to another post End of fixed term post Leave vacant pending savings or service review Plan to remove for savings 60
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Appendix 14 Applied Interviewed Appointed % of Applicants interviewed % of Applicants appointed % of Interviewees appointed 2388 850 239 36% 10% 28% 828 299 59 36% 7% 20% 1564 492 135 31% 9% 27% 104 44 5 42% 5% 11% 1922 628 156 33% 8% 25% 852 171 47 20% 6% 27% 2066 728 187 35% 9% 26% 306 61 10 20% 3% 16% 19 13 0 68% 0% 0% Applied Interviewed Appointed % of Applicants interviewed % of Applicants appointed % of Interviewees appointed 2151 991 378 46% 18% 38% 879 408 150 46% 17% 37% 1260 578 228 46% 18% 39% 79 41 10 52% 13% 24% 1602 708 266 44% 17% 38% 518 271 106 52% 20% 39% 2004 949 372 47% 19% 39% 118 30 1 25% 1% 3% 33 25 0 76% 0% 0% Total Number of appointments: 413 Total Number of applications received: 2210 Total No of Male Applicants Total No of Disabled Applicants Total No of applicants aged under 50 701 2551 Total Number of Equal Opportunities Monitoring forms received: 2388 Total Number of posts recruited for: *Black/Ethnic Minority applicants includes Mixed, Asian, Black and other backgrounds. Total Number of Equal Opportunities Monitoring forms received: 2151 Total No of applicants aged over 50 Total Number of posts recruited for: Total No of Veteran applicants Total EO Forms Received Total No of White applicants Total No of Black/Ethnic minority applicants* Total No of Male Applicants Total No of Female Applicants Total No of Disabled Applicants Total No of applicants aged under 50 Gender / Disability / Age *Black/Ethnic Minority applicants includes Mixed, Asian, Black and other backgrounds. Total No of White applicants Total No of Black/Ethnic minority applicants* Recruitment Monitoring Analysis of Gender, Disability, Ethnicity and Age From : 1 August - 30 September 2023 From : 1 August - 30 September 2022 251 Total Number of applications received: Total Number of appointments: 273 Total No of Veteran applicants Total No of applicants aged over 50 Total No of Female Applicants Gender / Disability / Age Total EO Forms Received 61
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Resource Total F/T P/T F/T P/T Total Chief Officer Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 Grade 6 Fixed SCP Teacher Community & Enterprise Resources 3140 1248 260 204 1428 2213.56 5.00 1535.63 371.38 236.50 44.05 16.00 0.00 5.00 0.00 Education - Others 3296 130 94 672 2400 2414.69 4.00 1185.77 951.66 144.40 49.60 10.00 0.00 62.46 6.80 Education - Teachers 3923 700 81 2235 907 3539.95 0.00 0.00 0.00 0.00 0.00 1.00 0.00 6.60 3532.35 Finance & Corporate Resources 841 196 15 400 230 761.82 8.00 111.26 357.34 213.64 50.28 21.30 0.00 0.00 0.00 Housing & Technical 1286 802 25 332 127 1228.24 3.00 205.10 623.16 357.38 29.60 10.00 0.00 0.00 0.00 Social Work Resources 2756 199 207 1004 1346 2411.06 3.00 350.14 1461.14 529.23 36.80 30.75 0.00 0.00 0.00 9029.37 (excluding Teachers) Total All Staff 15242 3275 682 4847 6438 12569.32 23.00 3387.90 3764.68 1481.15 210.33 89.05 0.00 74.06 3539.15 Resource Total F/T P/T F/T P/T Total Director Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 Grade 6 Fixed SCP Teacher Community & Enterprise Resources 3140 1263 250 201 1426 2215.82 5.00 1548.64 363.88 231.25 46.05 16.00 0.00 5.00 0.00 Education - Others 3322 130 100 675 2417 2438.98 3.00 1198.09 966.21 142.86 47.60 9.00 1.96 62.66 7.60 Education - Teachers 3840 680 72 2222 866 3471.40 0.00 0.00 0.00 0.00 0.00 0.00 0.00 6.60 3464.80 Finance & Corporate Resources 858 203 17 410 228 779.18 5.00 119.63 359.13 216.05 53.07 24.30 2.00 0.00 0.00 Housing & Technical 1288 805 27 329 127 1229.17 3.00 204.26 628.88 352.43 30.60 10.00 0.00 0.00 0.00 Social Work Resources 2709 206 198 979 1326 2370.75 3.00 361.42 1417.31 523.46 33.80 31.76 0.00 0.00 0.00 9033.90 (excluding Teachers) Total All Staff 15157 3287 664 4816 6390 12505.30 19.00 3432.04 3735.41 1466.05 211.12 91.06 3.96 74.26 3472.40 QUARTERLYJOINT STAFFING WATCH RETURN : NUMBER EMPLOYED ON 9 SEPTEMBER 2023 Analysis by Resource Analysis by Resource Appendix 15 Total Number of Employees Full-Time Equivalent Male Female Salary Band Total Number of Employees Full-Time Equivalent Male Female Salary Band QUARTERLYJOINT STAFFING WATCH RETURN : NUMBER EMPLOYED ON 10 JUNE 2023 62
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Treasury Management Activity – 2023/2024 Second Quarter Review 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] provide a second quarter review of Treasury Management Activity for 2023/2024 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the contents of this report be noted. [1recs] 3. Background 3.1 In order to provide members with information on the Council’s Treasury Management activities, a quarterly report is presented to this Committee. This report covers the period 1 April 2023 to 30 September 2023. 4. Market Performance 4.1. At the time of writing the base rate was 5.25% and the Bank of England Asset Purchase Programme (commonly referred to as its policy of quantitative easing) was £751 billion. The Council’s Treasury Management Advisers are predicting that the base rate has now peaked and will begin to fall during the second quarter of 2024/2025. 5. Debt Management and Borrowing Strategy 5.1. The Council began the year with debt of £1,036.302 million with fixed rate loans from the Public Works Loans Board (PWLB) making up 99.18% of the debt. 5.2. Table 1 shows the movement in borrowing from 1 April 2023 to 30 September 2023. Short term borrowing reflects borrowing which will mature in the coming year, or where the debt can be recalled in the coming year. 9 63
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Table 1 – Movement in Borrowing to 30 September 2023 Balance at 01/04/2023 £m New Borrowing £m Debt Maturing £m Debt Repaid £m Balance at 30/09/2023 £m Increase/ Decrease in Borrowing £m Short Term Borrowing 21.770 0.000 (21.770) 0.00 0.000 (21.770) Long Term Borrowing 1,014.532 0.000 0.00 0.00 1,014.532 0.000 TOTAL BORROWING 1,036.302 0.000 (21.770) 0.00 1,014.532 (21.770) 5.3. In 2012/2013, HM Treasury introduced a “certainty rate” to enable eligible local authorities to access cheaper PWLB funding, with a 20 basis point (0.20%) reduction on the standard rate. South Lanarkshire Council has access to this reduced rate. 5.4. The Council has an expected funding requirement of £266.257 million for 2023/2024 including £166.307 million carried over from 2022/2023. The report to South Lanarkshire Council on Service Concessions in January 2023 introduced a strategy that recognised the level of reserves and cash balances held by the Council to reduce the need to borrow for this funding requirement. After taking these into account, the Council has an expected borrowing requirement of £73.855 million for 2023/2024. 5.5. The Executive Director (Finance and Corporate Resources), under delegated powers, will continue to take the most appropriate form of borrowing depending on the prevailing interest rates at the time, taking into consideration the differential between investment earnings and debt costs that remains high. 5.6. No borrowing has been taken so far in the current financial year. Instead, cash balances have been used to fund capital spend. Borrowing to replace these balances will be required going forward. 6. Investment Activity 6.1. On a daily basis, the Treasury Management section within Finance and Corporate Resources manages the Council’s cash balances. These balances can result from day-to-day cash flow situations where income has been received before expenditure has taken place, and from the balances held in earmarked reserves for use at a later date. It is the responsibility of the section to manage these funds. The primary consideration when making deposits is the security of funds. Secondary to this, consideration is given to ensuring we have access to funds when necessary, and that these funds are working as well as they can for the Council. 6.2. The Prudential Indicators, Treasury Management Strategy and Annual Investment Strategy Report for 2023/2024 was approved by South Lanarkshire Council on 22 February 2023. This included details of permitted investments for the Council. 6.3. Prior to depositing funds with any bank or building society, checks are made with the Council’s treasury adviser, Link Asset Services, that the institution is considered safe and that any deposit conforms to their recommended time duration as determined by their Rating Methodology. This methodology uses credit ratings, rating watches and outlooks and credit default swap (CDS) prices to establish a suggested time duration for deposits. 64
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6.4. Deposits made in the period 1 April 2023 to 30 September 2023 totalled £895.355 million. This is the cumulative deposits placed over this period. This is broken down per sector and institution in Table 2. 83.79% of these deposits were made with the UK Government through the Debt Management Office (DMO) deposit facility. 6.5. In order to manage their cash flow over the short term, local authorities, as part of normal treasury management activity, will place money on deposit with other local authorities. Deposits placed with other local authorities account for 13.96% of deposits. The remaining 2.25% was placed in instant access call accounts with Bank of Scotland and The Royal Bank of Scotland. Table 2 – Investment Activity 1 April 2023 to 30 September 2023 Counterparty Deposit Totals (£m) % of Total Deposits Average Interest Rate Deposits in UK Government Debt Management Account Deposit Facility 750.200 83.79% 4.73% Total Deposits in UK Government 750.200 83.79% 4.73% Deposits in UK Local Authorities 125.000 13.96% 4.99% Deposits in UK Banks and Building Societies: Bank of Scotland 17.855 1.99% 4.47% Royal Bank of Scotland 2.300 0.26% 1.00% Total Deposits in UK Banks and Building Societies 20.155 2.25% 4.07% Total Deposits 01/04/2023 to 30/09/2023 895.355 100.00% 4.75% 6.6. The average interest rates achieved from the deposits are also shown in Table 2. Interest rates achievable for deposits have been increasing, however there is still a differential between these and the rates at which the Council can borrow. 6.7. Actual deposits as at 30 September 2023 totalled £247.801 million. 7. Management of Risk 7.1. It is recognised that no Treasury Management activity is without risk and practices are put in place in order to limit risk. As noted in section 6.2, the Treasury Management Strategy was approved in February 2023 and set a framework for Treasury Management activities in 2023/2024. It also set limits on debt and investments in order to mitigate risks. 7.2. The Annual Investment Strategy for 2023/2024, also approved in February 2023, included details on how risk would be managed for all permitted investments. This included criteria for placing deposits with the Debt Management Office (DMO), UK Local Authorities, Banks and Building Societies and Money Market Funds. 65
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7.3. Part of the criteria for counterparties is meeting minimum credit ratings with the three main rating agencies. A credit rating evaluates the credit worthiness of an organisation. It is an evaluation made by a credit rating agency of the organisation’s ability to pay back the debt and the likelihood of default. 7.4. Tables 3 to 5 show a breakdown of deposits with details of the credit ratings of banks and building societies used from 1 April 2023 to 30 September 2023. Deposits with the DMO are with the UK Government and so have a rating equivalent to the UK’s sovereign rating. Deposits with local authorities are considered to be of very high credit quality. Table 3 – Fitch Ratings Long Term Rating Short Term Rating Deposits Totals Percentage of Total Deposits Deposits with DMO / UK Government (AA-) 750.200m 83.79% Deposits with Local Authorities 125.000m 13.96% A+ F1 20.155m 2.25% Total 895.355m 100.00% Table 4 – Moody’s Ratings Long Term Rating Short Term Rating Deposits Totals Percentage of Total Deposits Deposits with DMO / UK Government (Aa3) 750.200m 83.79% Deposits with Local Authorities 125.000m 13.96% A1 P-1 20.155m 2.25% Total 895.355m 100.00% Table 5 – Standard and Poor’s Ratings Long Term Rating Short Term Rating Deposits Totals Percentage of Total Deposits Deposits with DMO / UK Government (AA) 750.200m 83.79% Deposits with Local Authorities 125.000m 13.96% A+ A-1 17.855m 1.99% A A-1 2.300m 0.26% Total 895.355m 100.00% 7.5. The tables above show that 97.75% of deposits were made with counterparties of very high credit quality (DMO/UK Government and other local authorities). The remaining 2.25% were deposits in instant access accounts with Bank of Scotland and The Royal Bank of Scotland. 7.6. The graph at Appendix 1 shows the duration of deposits made from 1 April 2023 to 30 September 2023. The graph shows that, since 1 April 2023, all deposits have been made for 1 year or less. The maximum maturity period of 183 days was for a deposit of £5.000 million. 66
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8. Next Quarter Investment Plans 8.1. The current investment framework will be continued in the next quarter. Deposits will continue to be placed with the institutions where their ratings are consistent with the Council’s approved criteria. Deposits will also continue to be placed with the DMO and UK local authorities. 8.2. Treasury Bills will be used when they return a higher yield than deposits in the DMO for the same, very low risk. 8.3. We will continue to work with our Treasury Management Advisers, Link, to ensure we gain all information available on counterparties before any deposits are made. 9. Treasury Management Indicators 9.1. The purpose of these indicators is to contain the activity of the treasury function within certain limits, thereby managing risk and reducing the impact of an adverse movement in interest rates. However, if these are set to restrictive limits, they will impair the opportunities to reduce costs or improve performance. The indicators are detailed in sections 9.2 to 9.5. 9.2. Limits for External Debt: The operational and authorised limits for external debt for 2022/2023 were set in the Prudential Indicators, Treasury Management Strategy and Annual Investment Strategy 2023/2024 approved by South Lanarkshire Council on 22 February 2023. These are shown in Table 6, along with a column showing the difference between the actual debt level and the limits (headroom). Table 6 – Limits for External Debt Estimate as per 2023/24 Strategy Minimum Headroom to Limits in period Headroom as at 30/09/2023 £m £m £m Operational Limit for external debt 1,270.000 233.698 255.468 Authorised Limit for external debt 1,290.000 253.698 275.468 9.3. The indicator shows that we have not breached the operational and authorised limits to 30 September 2023. There has been a minimum level of headroom of £253.698 million between actual and authorised level for external debt in the period to 30 September 2023. 9.4. Limits on Maturity Structure: By setting limits on the maturity structure of borrowing, the exposure to large concentrations of debt needing to be replaced at the same time in the future at currently unknown rates can be limited. This effectively places a limit on exposure to longer term interest rate movement. This is shown in Table 7. 67
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Table 7 – Limits on Maturity Structure Maturity Structure of Borrowing Upper Limit Lower Limit Maximum for period to 30/09/23 Actuals as at 30/09/23 Under 12 months 30.00% 0.00% 2.10% 0.00% 12 months and 24 months 30.00% 0.00% 3.33% 3.33% 24 months and 5 years 50.00% 0.00% 25.66% 25.66% 5 years and 10 years 60.00% 0.00% 33.13% 33.13% 10 years and 20 years 60.00% 0.00% 4.29% 4.29% 20 years and 30 years 70.00% 0.00% 11.35% 11.35% 30 years and 40 years 80.00% 0.00% 22.24% 22.24% 40 years and 50 years 90.00% 0.00% 0.00% 0.00% 50 years and above 90% 0% 0.00% 0.00% 9.5. The indicator shows that the upper limits for all maturity profiles have not been breached to 30 September 2023. 10. Employee Implications 10.1. There are no employee implications. 11. Financial Implications 11.1. The current rate of interest receivable remains relatively low but has increased over recent months. Any deposit interest received offsets Loan Charges made to the Council’s Revenue budget. 11.2. The costs of borrowing for capital expenditure have been built into the long-term Revenue Budget Strategy. 12. Climate Change, Sustainability and Environmental Implications 12.1. There are no implications for climate change or sustainability in terms of the information contained in this report. 12.2. There is also no requirement to carry out an environmental impact assessment in terms of the information contained within this report. 13. Other Implications (Including Environmental and Risk Issues) 13.1. Section 7 of this report provides details of how investment risk is managed. 14. Equality Impact Assessment and Consultation Arrangements 14.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and, therefore, no impact assessment is required. 14.2. There is no requirement to carry out any consultation in terms of the information provided in this report. Paul Manning Executive Director (Finance and Corporate Resources) 15 November 2023 68
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Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Previous References Service Concessions, South Lanarkshire Council, 18 January 2023 Prudential Indicators, Treasury Management Strategy and Annual Investment Strategy 2023/2024, South Lanarkshire Council, 22 February 2023 Treasury Management Activity – 2023/2024 First Quarter Review, 27 September 2023 List of Background Papers None Contact for Further Information If you would like to inspect the background papers or want further information, please contact: Jackie Taylor, Head of Finance Ext: 5637 (Tel: 01698 455637) E-mail: jackie.taylor@southlanarkshire.gov.uk 69
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0 10 20 30 40 50 60 Call 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 26 27 28 29 30 31 32 34 35 36 37 38 39 40 41 42 43 44 45 46 48 49 50 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 70 71 72 73 91 92 93 94 95 121 123 125 126 127 152 153 173 182 183 £m Days Maturity of Deposits Placed 1 April 2023 ‐ 30 September 2023 Appendix 1 70
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Non-Domestic Rates - Empty Property Relief Policy 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] outline proposed changes to the Council’s Non-Domestic Rates Empty Property Relief (EPR) policy and seek approval to implement the revised policy from 1 April 2024 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that South Lanarkshire Council implements the revised Non-Domestic Rates policy as detailed at Appendix 3 from 1 April 2024; and (2) that the EPR Policy to be adopted by South Lanarkshire Council from 1 April 2024, as outlined at section 5, be endorsed and referred to the Executive Committee for approval. [1recs] 3. Background 3.1. Non-Domestic Rates are a tax on non-domestic properties to help fund essential council services. Empty Property Relief provides certain rates relief on unoccupied non-domestic properties and prior to April 2023 the scheme was operated at a national level. It was mandatory and fully funded by the Scottish Government (SG) through the Local Government Financial Settlement. 3.2. EPR was devolved from SG to local authorities from 1 April 2023, following the repeal of Section 24, of the Local Government (Scotland) Act 1966. This included the transfer of £105 million annually across all councils, fixed until the next revaluation in 2026. The Council’s annual allocation from 2023/2024 is £2.183 million. Each council now has autonomy to design their own scheme to best meet their needs. 3.3. The Council’s policy on EPR was approved by the Executive Committee on 1 March 2023 for implementation from 1 April 2023. This policy mirrored the previous legislation due to the short time frame given to consider potential changes and uncertainty of the impacts of the 2023 NDR revaluation. A commitment was given to review the policy and report back to the Finance and Corporate Resources Committee during 2023/2024 with any proposed alterations. 10 71
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4. Current position 4.1. The current policy for awarding EPR is:- occupied industrial property - eligible for 100% relief for the first 6 months since becoming unoccupied, and 10% thereafter Other (non-industrial) unoccupied property - eligible for 50% relief for the first 3 months since becoming unoccupied and 10% thereafter Unoccupied properties which meet any of the following criteria - 100% relief indefinitely listed building rateable value is under £1,700 the ratepayer is a trustee for sequestration, a liquidator or executor cannot be occupied by law under a compulsory purchase order the property has no buildings the ratepayer is in administration (or subject to an administration order) the ratepayer is a company or partnership being wound up 4.2. Recent analysis highlighted that there are currently 478 empty properties in South Lanarkshire with the Council being the ratepayer for 98 of these properties. Of the current empty properties 347 (73%) have been empty for more than 12 months, with 61 belonging to the Council. 4.3. In the most recent complete financial year 2022/2023, EPR of £1.721 million was awarded against the following relief categories, with properties where the Council is the ratepayer receiving £0.155m of this total:- Table 1: Total EPR awarded in 2022/2023 CATEGORY 2022/23 £000 Industrial 408 Other (Non-Industrial) 405 Insolvency 548 Listed buildings 182 No buildings 121 Rateable Value < £1,700 45 Deceased 12 TOTAL 1,721 4.4. The current projection for 2023/2024 is £2.820 million which represents a significant overspend on the budget of £2.183 million of £0.637 million because of the East Kilbride Shopping Centre entering administration in November 2022. Any overspend will require to be funded by the council although discussions have commenced with COSLA and SG regarding any scope for additional funding to be provided to mitigate the financial impact of this major unforeseen event. 5. Proposed policy 5.1. It is proposed that the Council revises the EPR policy to promote the occupation of empty properties to deliver economic and social benefits in South Lanarkshire and also to reduce the cost to the Council during a period of significant financial pressure on budgets. 72
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5.2. Re-occupation of properties would stimulate economic growth providing improved employment opportunities, increased spend in local businesses such as shops and cafes and a decreased risk of vandalism and anti-social behaviour. This proposed policy also delivers a fairer system which still provides relief to empty property ratepayers but incentivises re-occupation by ending open ended exemptions and reliefs for most empty properties. Instead, a 12-month time limit will be placed on any such award. 5.3. The proposed policy also removes the favourable empty relief terms offered to industrial categorised properties such as factories, warehouses, workshops and stores as opposed to commercial properties such as shops and offices. Analysis in South Lanarkshire has highlighted that commercial properties have on average remained unoccupied for longer than industrial reflecting the particular difficulties faced by this sector in the current economic climate. Industrial properties will therefore receive the same EPR as commercial, at the previous commercial rate, restricted for 12 months. 5.4. It is also proposed the 100% indefinite relief currently provided to listed buildings is replaced with 50% relief for the first 3 months, followed by 10% relief for 9 months. There would be no relief after 12 months. This would align with the proposed relief for commercial and industrial properties and incentivise owners of listed buildings to bring them back into use. 5.5. The duty on business owners to apply for relief timeously and ensure they receive accurate bills is reflected in the new policy. It is therefore proposed that backdating EPR is restricted to the current year as opposed to the current policy where backdating can be awarded up to the preceding 6 financial years. 5.6. Implementation of the new policy would commence from 1 April 2024 for all empty properties. However, for existing ratepayers affected by the policy change, entitlement will be dependent on how long the property has been empty. For example, a listed building which previously received 100% relief which has been unoccupied for 2 months at 1 April 2024 will be entitled to a further month at 50% relief and then 10% for up to a further 9 months. If, however the property has been empty for more than 3 months at 1 April 2024, entitlement from this date would only be for 10% relief. 5.7. For anti-avoidance reasons, any period of occupation of less than 6 months is disregarded for the purposes of awarding EPR. This is consistent with the current policy and therefore represents no change. 5.8. It is proposed that a full review of the new policy would be undertaken in 2027/2028, after 3 full years of operation. This could be undertaken earlier if the circumstances required this. 5.9. A comparison of the proposed EPR policy with the existing policy, including the justification for the proposed changes is provided at Appendix 1 with the full policy in Appendix 2. 6. Employee Implications 6.1. There are no employee implications. 73
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7. Financial Implications 7.1. It is extremely difficult to accurately predict the reduced spend on EPR under the proposed new EPR policy due to the unpredictability of business behaviour. However, an indication of the potential financial benefits of the new policy could be provided by comparing the value of the last full year for EPR awards (i.e., 2022/2023) against what it would have been under the new policy. 7.2. As detailed at Appendix 2, the level of savings from this comparison is estimated to be £0.559 million. Offsetting the additional charges that would be levied on Council owned properties of £0.136 million provides an estimated net benefit of £0.423 million. This net benefit is expected to be impacted by collection levels, considered challenging to quantify. 8. Climate Change, Sustainability and Environmental Implications 8.1. It is expected that this proposed policy would encourage the occupation of empty properties, some of which may be in a state of disrepair, and therefore reduce the blight on communities that these properties cause. This would have a positive environmental impact and could contribute to a reduction in vandalism and anti- social behaviour. 9. Other Implications 9.1. The devolution of EPR to councils introduces a new financial risk to councils. Changes in business behaviour and economic conditions are likely to impact the level of EPR being awarded and therefore the levels of costs incurred. This risk is increased in the event a major business entering administration with the proposed changes to EPR policy mitigating the financial risks to some extent. The financial risk is mitigated to some extent from the proposals included in the report that are expected to reduce the EPR costs to the Council. 9.2. There may be a legal risk associated with changing the EPR policy, as businesses, individuals or representative groups could challenge any proposed changes to the policy. The consultation that has been completed offers a level of mitigation. 9.3. The proposed policy changes will be communicated to businesses using the Council’s website and social media platform. 10 Equality Impact Assessment and Consultation Arrangements 10.1. An Equality Impact Assessment has been carried out and no negative impact on any specific equality group has been identified. 10.2. A consultation exercise has been undertaken with responses received from the Federation of Small Businesses, the Hamilton Business Improvement District and property consultants, seeking views on the councils current EPR policy and potential areas for change. In summary, there was support for treating industrial and commercial properties the same and agreement that time limited relief adequately incentivised ratepayers to proactively utilise space with concern also shown towards listed buildings laying empty indefinitely. Shorter rates relief for industrial properties was considered the best way to generate greater revenue. 74
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10.3. A Members’ awareness session was also undertaken on 14 November 2023 to inform Members of the proposed new policy and seek views. Paul Manning Executive Director (Finance and Corporate Resources) 17 November 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Previous References Executive Committee, 1 March 2023 List of Background Papers None Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Craig Fergusson, Head of Finance (Transactions) Ext: 4951 (Tel: 01698 454951) E-mail: craig.fergusson@southlanarkshire.gov.uk 75
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Appendix 1 Empty Property Relief – Current and New Policy from 1 April 2024 Property Category Qualifying Properties Current Policy New Policy Justification Commercial Properties such as shop and offices. 50% relief for the first 3 months, followed by 10% relief indefinitely. 50% relief for the first 3 months, followed by 10% relief for 9 months. No relief after 12 months. Relief restricted to 12 months maximum to incentivise owners to bring the property back into occupation. Industrial properties Properties such as factories, warehouses, workshops and stores. 100% relief for the first 6 months, followed by 10% relief indefinitely. 50% relief for the first 3 months, followed by 10% relief for 9 months. No relief after 12 months. To align with the proposed relief provided to commercial properties. No justification for different approach. Listed Buildings Listed buildings, ancient monuments, and properties in a preservation area. 100% relief indefinitely. 50% relief for the first 3 months, followed by 10% relief for 9 months. No relief after 12 months. Current policy is not incentivising owners of listed buildings to bring them back into use. No justification for treating empty listed buildings differently from commercial. Insolvencies Properties where the ratepayer is in administration or subject to a winding up order, or the ratepayer is the trustee under a trust deed or sequestration or is a liquidator. 100% relief indefinitely. No change. Payment of charges unlikely. Properties with a rateable value of £1,700 or less Property with a rateable value of £1,700 or less. 100% relief indefinitely. 50% relief for the first 3 months, followed by 10% relief for 9 months. No relief after 12 months. No justification for treating properties with a rateable value of £1,700 or less differently from commercial properties with a rateable value above this threshold. 76
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No buildings There are no buildings on site such as yards, ground, car spaces. 100% relief indefinitely. 50% relief for the first 3 months, followed by 10% relief for 9 months. No relief after 12 months. No justification for treating vacant land differently from empty buildings. Current policy may encourage the demolition of buildings to take advantage of preferential relief terms for vacant land. Occupation is prohibited by law Where a statutory notice has been served preventing occupation of the property. 100% relief indefinitely. No change. Payment of charges unlikely. Properties under a compulsory purchase order Property currently under a compulsory purchase order. 100% relief indefinitely. No change. Payment of charges unlikely. Ratepayer is deceased Property where the liable ratepayer is deceased. 100% relief indefinitely. No change. Payment of charges unlikely. Backdating of empty property relief Where the claim is out-with the current financial year. Empty property relief can be awarded up to 6 years prior to the current year. Relief can only be awarded for the current financial year for all empty properties apart from those categories receiving 100% EPR. No change for properties in receipt of 100% EPR. It is the responsibility of an owner to apply for EPR timeously to ensure accurate billing. Empty relief after re-occupation for non-exempt categories Where a property becomes empty after a period of occupation. Any period of occupation of less than 6 months is disregarded for the purposes of awarding EPR. No change. Anti avoidance measure. Note: In this policy, 3 months equates to 92 days, 6 months equates to 183 days and 9 months equates to 273 days, or 274 days in a leap year. Review period for new policy – 3 years (or earlier in the event of exceptional circumstances). 77
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Appendix 2 Empty Property Relief Estimated savings based on 2022/23 actual cost CATEGORY Current Policy Proposed Policy Difference Reduction in EPR 2022/23 2022/23 2022/23 £000 £000 £000 % Industrial 408 212 212 50% Commercial 405 354 51 13% Insolvency 548 548 - - Listed buildings 182 19 163 90% No buildings 121 12 109 90% Rateable value < £1,700 45 5 40 89% Deceased 12 12 - - 1,721 1,162 559 32% 78
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Appendix 3 Finance and Corporate Resources Transactions Service Non-Domestic Rates Empty Property Relief Policy Subject: Relief for unoccupied non-domestic properties Date: November 2023 Reason for change: Planned review of current policy Index Page 1. Introduction 2 2. Definition of an unoccupied property 2 3. Eligibility and level of relief 2 3.1 Levels of relief 2 3.2 100% relief and exempt categories 2 - 3 3.3 Short term partly unoccupied properties 3 - 4 3.4 Other unoccupied properties 4 3.5 Re-occupation rule 4 3.6 Retrospective relief applications 4 4. Documentary evidence 4 -5 5. Unoccupied repossessed property 5 6. Seasonal occupation 5 7. Showhouses 5 8. Retrospective claims 5 9. Avoidance of rates charges 5 10. Further information and guidance 5 79
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1. Introduction This revised policy becomes effective from 1 April 2024. Empty Property Relief (EPR) provides rates relief on unoccupied non-domestic properties for ratepayers. This policy sets out the qualifying criteria for EPR and the level of relief available, including the timescales. The policy also details how eligibility is determined. 2. Definition of an unoccupied property For the purposes of awarding relief, the following criteria must be met before a property is considered to be unoccupied: • there should be no physical occupation by any person, for any purpose • the premises must not be open or available to the public • there should be no stock left on the premises* • there should be no moveable items left on the premises such as furniture, equipment, tools or moveable equipment or machinery*. • the premises, or windows of the premises, must not be used to advertise or promote any other business or property. *Except where these items have been abandoned by a tenant and the claim for relief is submitted by the landlord. 3. Eligibility and level of relief 3.1 There are 3 levels of relief that can be awarded: ▪ Devolved Empty Property Relief • 100% relief (exemption) • 50% relief for the first 3 months (92 days) followed by 10% relief for 9 months (273 days). ▪ Scottish Government Empty Property Relief • 100% relief for a maximum of 3 months (92 days) for partially unoccupied industrial property. 3.2 100% relief and exempt categories Properties which fall into one of the defined exempt categories listed below are eligible for 100% relief and are exempt from payment of rates during an unoccupied period for an unlimited time. Where a property in this category remains empty, a new relief application must be made at the beginning of each financial year. 3.2.1 Insolvencies Exemption can be awarded under this category when the person entitled to possession of the property is so entitled because they are: • a trustee under a trust deed for creditors • a trustee under an award of sequestration • a liquidator under section 112 or section 145 of the Insolvency Act 1986 80
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3.2.2 Owner is a company or partnership in administration Exemption is awarded where the ratepayer is the property owner and is a company or limited liability partnership which is subject to an administration order under part II of the Insolvency Act 1986 or is in administration within the meaning of paragraph 1 of schedule B1 of the Insolvency Act 1986. 3.2.3 Owner is a company or partnership being wound up Exemption is awarded where the ratepayer is the property owner and is a company or limited liability partnership being wound up in terms of the Insolvency Act 1986. 3.2.4 Executors Exemption can be awarded under this category when the person entitled to possession of the property is so entitled because they are the executor of the estate of a deceased ratepayer. 3.2.5 Properties under a Compulsory Purchase Order Exemption should be awarded under this category where the ratepayer can provide proof from either South Lanarkshire Council or any Scottish Government department indicating that they have, or intend to, compulsorily purchase the premises. Exemption can be awarded from the date that notice is served on the ratepayer which is likely to be an earlier date than the actual date of the compulsory purchase. 3.2.6 Properties where occupation is prohibited by law Exemption will be awarded under this category where a statutory notice has been served prohibiting the use of the building for any purpose. Exemption will apply from the date shown on the notice. 3.3 Short term partly occupied properties This relief has not been devolved to local authorities and remains available in terms of the existing regulations. In certain circumstances, unoccupied relief can be awarded where only part of a property is occupied. This relief is restricted to a maximum of 100% relief for 3 months (92 days) on the unoccupied part and can only be awarded once. The criteria which must be met before relief can be awarded is as follows: • the property must be industrial (see definition below) • applications can only be considered for the current financial year • the rateable value of the unoccupied area must be at least 5% of the total rateable value • relief cannot be applied for periods of less than 1 month • relief cannot be applied for periods of more than 3 months (92 days) • The claim must be submitted whilst the area remains unoccupied A plan of the premises, indicating the unoccupied area, must be sent to the council with the completed application form. The Lanarkshire Valuation Joint Board will determine the rateable value of the unoccupied area and relief will be awarded on this basis. 81
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• Definition of an Industrial Property For the purposes of this policy, the definition of industrial property is: "industrial lands and heritages" means lands and heritages (other than retail lands and heritages) comprising one or more buildings which is, or all of which are,— (a) constructed or adapted for use in the course of a trade or business; and (b) constructed or adapted for use for one or more of the following purposes, or one or more such purposes and one or more purposes ancillary thereto:— (i) the manufacture, repair or adaptation of goods or materials; (ii) the subjection of goods or materials to any process; (iii) storage (including the storage or handling of goods in the course of their distribution); (iv) the working or processing of minerals; (v) the generation of electricity; "relevant lands and heritages" means any lands and heritages comprising one or more buildings or a part of a building; 3.4 All other properties Properties which do not fall into one of the categories above are entitled to 50% relief for 3 months (92 days) followed by 10% relief for 9 months (273 days). Where a property is receiving 50% relief on 31 March 2024 only the balance of the 3 months (92 days) relief at this rate will be applicable from 1 April 2024, followed by 9 months (273 days) at 10%. Where a property is receiving 10% empty property relief on 31 March 2024 it will be entitled to a further 9 months (273 days) relief at 10%. 3.5 Re-occupation rule Any period of occupation of less than 6 months (183 days) is disregarded for the purposes of awarding EPR, apart from claims for exemption. 3.6 Retrospective relief applications An award of empty property relief may have to be recalculated in the event that an application is received for a past period. This may result in the reduction of relief for the existing rate payer. 4. Documentary evidence 4.1 Documentary evidence is required in all cases unless: • the rateable value of the subject is £100 or less, or the property description is ‘ground’ or ‘premises’ • the unoccupied period is less than 1 month • the application for relief is completed by a trustee, liquidator or administrator in the case of insolvency • South Lanarkshire Council is the ratepayer. 82
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4.2 Examples of documentary evidence are: • Zero or minimal use energy bills for the unoccupied period. • Invoices and receipts for refurbishment works carried out on the property. • Evidence of the property advertised for sale or let. • Time stamped photographic evidence of the inside and outside of the property. • Preservation Orders • Governing body notice prohibiting occupation • Compulsory purchase order • Other evidence / verification that the property is / was unoccupied may be acceptable by the Council’s Non-Domestic Rates Team. 5. Unoccupied repossessed property Exemption can only be awarded where the property falls into one of the defined exempt categories in section 3 above. 6. Seasonal occupation Unoccupied relief is not available to the property types below as the rateable value has been adjusted to take account of seasonal occupation. • self-catering units • holiday cottages • markets • other outdoor or tourist attractions 7. Showhouses Showhouses, are entered into the valuation roll whether they are furnished or not and are not eligible for unoccupied property relief. 8. Retrospective claims Empty property relief claims will only be accepted for the current financial year, apart from claims made under an exempt category. 9. Avoidance of rates charges The Council reserves the right to reject an empty property relief application from a tenant/lease holder where it appears that the property owner has put the agreement in place for the purpose of avoiding liability for rates charges. 83
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10. Further information and guidance If you require further information or have any questions about the content of this procedure, please contact: Linda Buchanan Team Leader (Non-Domestic Rates and Sundry Income) Transactions Service Finance and Corporate Resources David Dale House Blantyre Telephone 01698 527442 linda.buchanan@southlanarkshire.gov.uk 84
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Revenue Collection and Approval for Write Offs 1. Purpose of Report 1.1. The purpose of the report is to:- advise Committee of Revenue Collection performance for financial year 2023/2024 to 31 October 2023 advise Committee of the position regarding the Business Rates Incentivisation Scheme (BRIS) for financial year 2023/2024 seek approval for write offs 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- (1) that performance in the collection of revenue be noted; (2) that the current position in respect of BRIS be noted; and (3) that write offs for the following be approved: - Council Tax £1,845,581.52 Non-Domestic Rates £237,386.31 BID Levy £1,818.76 Sundry Debt £174,223.76 Housing Rent and associated charges £1,919,032.48 School Meals Debt £7,309.25 3. Background 3.1. Responsibility for the collection of Council Tax, Non-Domestic Rates (NDR) and Sundry Debt is the responsibility of Finance and Corporate Resources. This report and the attached appendix provide information on collection performance and proposals for write off. 4. Current Collection Performance 4.1. The first table in Appendix 1 presents the collection performance for Council Tax, NDR and Sundry Debts for financial year 2023/2024. 4.2. The annual Council Tax collection target for 2023/2024 has been set at 95.2%. Council Tax collection is currently 69.63%, ahead of target by 0.17% but behind comparable performance in 2022/2023 by 2.73%. Due to the Scottish Government’s Cost of Living Award being allocated as an up-front cash payment at the beginning of 2022/2023, a comparison with the same period in 2023/2024 is not on a like-for- like basis. 11 85
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4.3. A Non-Domestic Rates (NDR) collection target of 97.0% has been set for 2023/2024. NDR collection is currently 61.3%, ahead of target by 0.2% and behind comparable performance in 2022/2023 by 2.6%. The reduction in comparable performance is due to the profile of payments received in comparison with the same period last year. 4.4. The 2023/2024 annual target for Sundry Debt collection has been set at 97.0%. Sundry Debt collection to 31 October 2023 was 97.3%, ahead of target by 0.3% and behind comparable performance in 2022/2023 by 0.7%. 5. Arrears Collection Performance 5.1. Arrears collection performance for Council Tax, NDR and Sundry Debt is presented in the second table of Appendix 1. 5.2. The 2023/2024 arrears annual target for Council Tax has been set at £3.000 million, with collection to 31 October 2023 of £2.018 million, ahead of target by £0.108 million (3.6%) but behind comparable performance in 2022/2023 by £0.390 million. 5.3. The 2023/2024 arrears target for NDR has been set at £2.000 million, with collection to 31 October 2023 of £1.942 million, ahead of target by £0.371 million (18.6%) but behind comparable performance in 2022/2023 by £0.633 million. 5.4. The 2023/2024 arrears target for Sundry Debt has been set at £9.519 million, with collection to 31 October 2023 of £7.913 million, equal to target but behind comparable performance in 2022/2023 by 7.8%. 6. Business Rates Incentivisation Scheme 6.1. The Business Rates Incentivisation Scheme (BRIS) is a Scottish Government initiative to incentivise growth of the local business tax base, with a view to increasing NDR income yields. 6.2. The Scottish Government sets annual targets for growth (buoyancy) and Councils who achieve their target retain 50% of the additional income generated above the target. The buoyancy target is a measure of the increase in the total rateable value of the non-domestic properties on the Valuation Roll (including certain categories of public undertakings). 6.3. Due to the impact of Covid-19, the Scottish Government previously confirmed that the scheme has been suspended for 2020/2021, 2021/2022 and 2022/2023. Further guidance and information is awaited from the Scottish Government with regards to reinstatement in 2023/2024. 7. Proposals for Write Off 7.1. Approval for write off of the following irrecoverable debts is requested from Committee. The Council has the power to write off accounts where the debtor is deceased, sequestrated, in liquidation or the debt is prescribed or where the debt is deemed uneconomical to pursue. 7.2. The proposed write off of Council Tax accounts dating from 1993/1994 to 2023/2024 totals £1,845,581.52, relating mainly to prescribed debt, sequestrations and estates of the deceased. This includes the bulk write off of prescribed debt for financial year 1997/1998. 86
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7.3. The value of accounts currently marked for write off in the Non-Domestic Rates system from rating years 2021/2022 to 2023/2024 totals £237,386.31. These debts are deemed to be irrecoverable because the debtor is in liquidation, has ceased trading or has been sequestrated. 7.4. Approval is sought for the write off of Business Improvement District (BID) Levies totalling £1,818.76, administered by the Council on behalf of the Hamilton, Carluke and Lanark BID companies. There is no financial impact on the Council for these write offs. 7.5. Following consultation and agreement with Resources, the proposed write off of Sundry Debt totals £174,223.76. Appendix 2 provides a breakdown of the proposed write-off over categories. 7.6. Approval is sought for the write off of former tenant rent arrears of £1,917,322.65 (including the final bulk write-offs for financial years up to 2017/2018) and factoring arrears of £1,709.83. 7.7. Approval is sought for the write off of school meal debt as outlined in the Executive Committee report dated 21 September 2022, ‘Cost of Living Supports’. As part of the review of school meal debt for the start of the new school session from August 2023, debt to be written off totals £7,309.25. This is in line with previous write off exercises in support of the cost of living and financial hardship exercise and cannot now be recovered. A provision has been made in the final accounts at 31 March 2023 to cover this write off. 7.8. A full list of all debts proposed for write off is held by the Executive Director (Finance and Corporate Resources). 8. Employee Implications 8.1. None. 9. Financial Implications 9.1. Provision has been made for the financial impact of all write offs. 10. Climate Change, Sustainability and Environmental Implications 10.1. There are no direct climate change, sustainability and natural environment implications arising from this report. 11. Other Implications 11.1. The main risk associated with the Council’s revenue collection is a failure to monitor collection rates and take effective corrective action where required, resulting in a significant reduction in collection performance and Council funding. The risk is managed through monthly performance reporting and review of performance at monthly Senior Management Meetings. 12. Equalities Impact Assessment and Consultation Arrangements 12.1. There is no requirement to carry out an impact assessment in terms of the proposals within this report. 87
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12.2. There is no requirement to undertake any consultation in relation to the content of this report. Paul Manning Executive Director (Finance and Corporate Resources) 17 November 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Ambitious, self-aware and improving Previous References Finance and Corporate Resources Committee - 27 September 2023 List of Background Papers System Reports from Council Tax, Non-Domestic Rates, Sundry Debt and Academy Housing Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Craig Fergusson, Head of Finance (Transactions) Ext: 4951 (Tel: 01698 454951) E-mail: craig.fergusson@southlanarkshire.gov.uk 88
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Appendix 1 SOUTH LANARKSHIRE COUNCIL REVENUES COLLECTION FOR PERIOD ENDING 31 OCTOBER 2023 Annual Budget Cash Target Actual Variance % Variance Budget to 31/10/23 to 31/10/23 to 31/10/23 to Notes £000's £000's £000's £000's annual budget FINANCIAL YEAR 2023/2024 Council Tax 154,330 112,602 112,871 269 over 0.17% Non-Domestic Rates 363,323 228,856 229,549 693 over 0.2% Sundry Debt 121,637 121,637 122,002 365 over 0.3% ARREARS Council Tax 3,000 1,910 2,018 108 over 3.6% Non-Domestic Rates 2,000 1,571 1,942 371 over 18.6% Sundry Debt 9,519 7,910 7,913 3 - 0.0% 89
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Appendix 2 BREAKDOWN OF PROPOSED SUNDRY DEBT WRITE-OFF Resource Service No. of Accounts Value (£) Housing & Technical Estates / H&T General / Property Services 8 4,997.67 Social Work Residential Services 39 96,109.50 Non Residential Services 468 68,738.88 Finance & Corporate Housing Benefit Overpayments 6 3,266.43 Sundry Income Team 2 365.28 Community & Enterprise Roads 2 746.00 Total 525 174,223.76 90
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Notification of Contracts Awarded: 1 April 2023 to 30 September 2023 and Proposed Contract Award to Routes to Work South 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] provide notification to Committee, in accordance with Standing Orders on Contracts, of contracts awarded by Finance and Corporate Resources during the period 1 April 2023 to 30 September 2023 seek approval for the award of a contract to Routes to Work South for 2023/2024 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- (1) that details of the contracts awarded be noted; and (2) that the contract award to Routes to Work South be approved. [1recs] 3. Background 3.1. It is a requirement of Clauses 21.8 and 22.5 of the Standing Orders on Contracts that details of the acceptance of all tenders above £50,000 be reported retrospectively to the relevant Committee for noting, other than those under Clause 21.3 where the award is not the lowest in a price only tender, or costs exceed the approved financial provision. In these instances, a report is submitted to the appropriate Committee and subsequent authority to award is granted by that Committee. 3.2. This report also seeks approval for a contract award to Routes to Work South (RTWS), as required under Standing Orders on Contracts. 4. Contract Awards 4.1. The details of contracts awarded for the period 1 April 2023 to 30 September 2023, on the basis of lowest offer and/or most economically advantageous offer submitted, is provided at Appendix 1. 5. Contract authorisation: Routes to Work South 5.1. Standing Order 3.7 of the Council’s Standing Orders on Contracts, requires Committee authority to be obtained for the award of a contact using the ‘Teckal’ exemption. 12 91
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5.2. A ‘Teckal’ contract is a legal exemption to the public procurement rules where a public authority does not have to tender a public contract and the contract can be awarded directly by the Council to a separate legal entity, in this case RTWS, subject to certain requirements being met. 5.3. The 3 requirements to justify the use of the ‘Teckal’ exemption for the award of this contract are:- the Council exercises control over RTWS similar to that it exercises over its own departments RTWS carry out over 80% of their activities for the Council; and there is no private sector ownership in RTWS All the relevant requirements to justify the award of this contract using the ‘Teckal’ exemptions are met. 5.4. RTWS is a registered company in Scotland with charitable status that delivers a range of employability programmes, supporting unemployed residents into further education, training and employment on behalf of South Lanarkshire Council. RTWS were established in 2001 and the Council is the sole member of the company. 5.5. Authorisation is sought for award of contract reference SLC/FC/23/065 to RTWS for a total value of £2,063,000, as set out below. Table 1 RTWS programme and contract deliverables 2023/24 Programme Value Funding source Gateway to Employment £943,000 Shared Prosperity Fund Making it Work £500,000 Tackling Child Poverty Youth Employability Groupwork £300,000 No-one Left Behind Pre-employment sector- based training £250,000 Tackling Child Poverty EK Hub £70,000 Shared Prosperity Fund Total £2,063,000 6. Employee Implications 6.1. There are no employee implications arising from this report. 7. Financial Implications 7.1. Appropriate budgetary provision is available for each of the contracts in Appendix 1. 7.2. The costs of the RTWS programmes detailed above for 2023/2024 are met entirely by the Council’s externally funded employability grants. 8. Climate Change, Sustainability and Environmental Implications 8.1. There are no Climate Change, Sustainability and Environmental Implications arising from the information presented in this report. 92
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9. Other Implications 9.1. There are no direct risks in terms of the information contained in this report. 10. Equality Impact Assessment and Consultation Arrangements 10.1. This report does not introduce a new policy, function or strategy nor recommend a change to an existing policy, function or strategy and therefore, no impact assessment is required. 10.2. There is also no requirement to undertake any consultation in terms of the information contained in this report. Paul Manning Executive Director (Finance and Corporate Resources) 1 November 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Previous Reference Finance and Corporate Resources Committee, 28 June 2023 List of Background Papers Standing Orders on Contracts Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Emma Smith, Corporate Procurement and Transactions Manager Ext: 5329 (Tel: 01698 455329) E-mail: emma.smith@southlanarkshire.gov.uk 93
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Appendix 1 Contracts Awarded by Finance and Corporate Resources over £50,000 in value Contractor CRN Value of Contract Awarded Date of Award Brief Description Contract Period Fujitsu Services SLC/PS/FINCOR/ 22/149 £411,509.40 07/04/2023 ConSol Annual Maintenance and Technical Support 01/04/2023 - 31/03/2024 (Extension 31/03/2025) Linets SLC/PS/FINCOR/ 23/015 £64,102.50 24/04/2023 Legal Online Research Package - Annual Subscription 01/04/2023 - 31/03/2026 Figtree systems (Europe) Ltd SLC/PS/FINCOR/ 21/133 £335,688.80 28/04/2023 Figtree Risk Management Information System 09/05/2023 - 08/05/2028 (Extension 08/05/2033) Disclosure Scotland SLC/FC/23/024 £825,000.00 03/05/2023 Disclosure Checks 01/05/2023 - 30/04/2033 South Lanarkshire College SLC/FC/23/021 £238,758.00 08/05/2023 Multiply Programme 08/05/2023 - 31/03/2025 (Extension 31/03/2026) Critiqom Ltd. SLC/PS/FINCOR/ 23/013 £3,643,014.00 26/05/2023 Provision of Volume Mailing and Associated Services 01/06/2023 – 30/06/2025 (Extension 30/06/2027) ID Computer Software Ltd SLC/PS/FINCOR/ 22/083 £62,530.00 26/05/2023 Grantvisor and BizVisor Software 01/04/2023 – 31/03/2026 (Extension 31/03/2028) Physicare SLC/PS/FINCOR/ 23/012 £420,000.00 07/06/2023 Provision of Employee Physiotherapy Services 08/06/2023 - 07/06/2024 (Extension 07/06/2025) 94
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Pam Wellbeing Ltd SLC/PS/FINCOR/ 21/050 £811,504.40 15/06/2023 Mini competition under Lot: 1 of Crown Commercial Services RM6182 Occupational Health, Employee Assistance Programme and Eye Care Services Framework 01/07/2023 - 30/06/2026 (Extension 30/06/2028) Capita Business Services Ltd SLC/PS/FINCOR/ 22/139 £2,163,904.00 30/06/2023 Integrated Housing & Property Management System (IHPMS) 01/07/2023 - 01/07/2030 (Extension 01/07/2033) Capita Business Services Ltd SLC/PS/FINCOR/ 22/081 £504,427.50 10/07/2023 Provision, Support and Maintenance of eLearning and Development Platform 01/08/2023 - 31/07/2024 (Extension 31/07/2025) Paper Shredding Services Ltd SLC/PS/FINCOR/ 22/007 £50,575.00 11/07/2023 Secure Destruction of Confidential Waste 11/07/2023 - 10/07/2026 (Extension 10/07/2028) Aon UK Ltd SLC/PS/FINCOR/ 22/070 £395,424.00 07/08/2023 Tenants Contents Insurance 01/10/2023 - 30/09/2026 Edenred (UK Group) Ltd SLC/FC/23/052 £178,471.23 25/08/2023 Employee Discounts Scheme 01/10/2023 - 11/08/2027 Gravitas Group Ltd SLC/FC/23/018 £203,125.00 25/08/2023 IT Project Delivery Management 28/08/2023 - 27/12/2024 (Extension 27/06/2025) Pilcher Consulting Services Ltd SLC/FC/23/064 £147,500.00 04/09/2023 IT Project Management Resource 30/08/2023 - 31/05/2024 Lyreco UK Ltd SLC/FC/23/039 £3,600,000.00 18/09/2023 General Stationery and Office Paper 01/07/2023 - 30/06/2027 (Extension 30/06/2028) APS Group (Scotland) Ltd SLC/PS/FINCOR/ 22/142 £75,000.00 22/09/2023 Blue Badge Digital Service Blue Badge Printing and Fulfilment Services 05/02/2023 - 04/02/2026 Totalmobile Ltd SLC/FC/23/022 £1,978,092.90 26/09/2023 Home Care Workforce Scheduling 16/10/2023 - 16/10/2026 (Extension 16/10/2027) A.M.1. Consulting Ltd SLC/FC/23/067 £486,178.00 28/09/2023 IT Implementation Resource 01/10/2023 - 31/05/2024 95
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Contract Extensions over £50,000 in value Contractor CRN Value of Contract Awarded Date of Extension Brief Description Contract Extension period E2E-Assure Ltd SLC/PS/FINCOR/ 17/061 £683,650.00 05/05/2023 Provision of ICT Managed Security 01/07/2023 - 30/06/2026 Gravitas Group Ltd SLC/PS/FINCOR/ 22/055 £163,002.00 20/06/2023 Provision of Capita Support 22/06/2023 - 21/12/2023 Claremont Office Furniture SLC/PS/FINCOR/ 17/103 £2,450,000.00 29/06/2023 Supply, Delivery and Installation of Office Furniture and Supported Needs Furniture 04/07/2023 - 03/07/2025 CRB Cunninghams Ltd SLC/PS/FINCOR/ 18/069 £527,353.91 30/06/2023 Cashless Catering Solution 01/07/2023 – 30/06/2025 Allpay.net Limited SLC/PS/FINCOR/ 20/003 £525,156.80 30/08/2023 Electronic Payment Services 01/09/2023 – 30/08/2024 Mastek Systems Company Ltd SLC/PS/FINCOR/ 21/089 £4,545,130.00 28/09/2023 Oracle SI partner 28/09/2023 - 22/09/2024 South Lanarkshire College SLC/PS/FINCOR/ 20/114 MC £208,888.00 28/09/2023 ACE Rural – Access Choices & Employability Non Contractual Extension 01/10/2023 – 30/09/2024 96
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Early Retirement, Voluntary Severance and Switch 2 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] advise Committee on activity related to early retirements, voluntary severances, re-employment of early retirees and re-deployments during the period 1 April 2023 to 30 September 2023 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the early retirements, voluntary severances, re-employment of early retirees, and redeployment of employees on the Switch 2 register during the period 1 April 2023 to 30 September 2023 be noted. [1recs] 3. Background 3.1. The Council analyses the number and associated costs of employees being released through early retirement and voluntary severance. This forms part of the ongoing monitoring process derived from the Audit Scotland report “Bye now pay later”. This report provides information on the Council’s position for the 6 month period 1 April 2023 to 30 September 2023. 4. Current Position Early Retirements (Efficiency of the Service/Voluntary Redundancy) and Voluntary Severance 4.1. During the period, no early retirements on the grounds of efficiency of the service; voluntary redundancy or voluntary severance were granted. This represents no change compared to the previous 6-month period. 4.2. During the period, no requests were made to re-employ early retirees who previously received an early exit package, and this represents no change when compared to the previous 6 month period. 5. Early Retirements – Ill Health 5.1. In terms of early retirement on the grounds of ill-health, there are no capitalisation costs to the Council. During the 6-month period, the following ill-health retirements were granted: 13 97
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Resource No. of Early Retirements on ill health grounds Community and Enterprise 12 Education 12 Housing and Technical 4 Social Work 18 Total 46 5.2. The Local Government Pension Scheme (LGPS) regulations allow for 2 tiers of ill health retirement in situations where the member’s ill-health or infirmity of mind or body renders them permanently incapable of discharging efficiently the duties of their current employment. Tier 1 relates to members with no reasonable prospect of obtaining gainful employment before their state pension age. Tier 2 relates to members with a reasonable prospect of obtaining gainful employment before their state pension age. 5.3. During the 6 month period, 46 of the 51 ill health retirement requests made, were granted under the provisions of tier 1 and tier 2 of the Local Government and Scottish Teachers’ Pension Schemes. 5 applications resulted in no award being granted. 5.4. Annual Trend Analysis Annual Period 1/4/19- 31/3/20 1/4/20- 31/3/21 1/4/21- 31/3/22 1/4/22- 31/3/23 1/4/2023- 30/9/23 No. of ill-health retirements 37 43 46 69 46* *denotes 6 month period 5.4.1. Based on the ill health retirements awarded during the 6 month period, it is anticipated that the annual figure for 1 April 2023 to 31 March 2024 is likely to be higher when compared with the previous year. 6. Re-employment of Early Retirees 6.1. The re-employment of those who have been granted early retirement is monitored and approved centrally within Personnel Services. During the 6-month period, no requests for re-employment were made and this represents no change when compared to the previous 6-month period. 7. Switch 2 7.1. Switch 2 is monitored and approved centrally within Personnel Services. During the 6-month period, 17 employees were redeployed to suitable alternative posts within the Council as follows:- Resource No. of employees No. of modern apprentices Total Council Wide 3 5 8 Social Work 3 6 9 TOTALS 6 11 17 7.2. This is an increase of 3 in the total compared to the previous 6-month period. The 17 employees were placed into permanent roles. 98
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7.3. Annual Trend Analysis Annual Period 1/4/19– 31/3/20 1/4/20– 31/03/21 1/4/21– 31/03/22 1/4/22– 31/03/23 1/4/23- 30/9/23 No. of Switch 2 matches 47 43 90 28 17* *denotes 6 month period 7.4. Based on the number of redeployments during the period 1 April 2023 to 30 September 2023, it is anticipated that the annual figure for 1 April 2023 to 31 March 2024 is likely to increase compared to the previous year. 8. Flexible Retirement 8.1. The approval of those who have been granted flexible retirement is monitored centrally within Personnel Services. During the 6-month period, 85 requests were approved as detailed below with no cost to the Council. 8.2. Included in these figures are phased retirement and winding down applications from teachers. (These options are available to teachers within the SPPA guidelines and are similar to the LGPS flexible retirement scheme.) Resource No. of Flexible Retirements No. of Phased Retirements/ Winding Down Community and Enterprise 17 Education 16 14 Finance and Corporate 6 Housing and Technical 17 Social Work 15 Total 85 8.3. During the 6-month period, the average age of employees granted flexible retirement was 60 years, and this is a decrease of 1 year when compared with the previous 6 month period. 8.4. Flexible retirement refusals are monitored centrally within Personnel Services, Finance and Corporate Resources and no requests were declined during this period. 8.5. Annual Trend Analysis Annual Period 1/4/19 - 31/3/20 1/4/20 - 31/3/21 1/4/21- 31/3/22 1/4/22- 31/3/23 1/4/23- 30/9/23 No. of Flexible Retirements 159 125 126 128 85* *denotes 6 month period 8.6 Based on the 85 requests received during the period, it is anticipated that the number of requests received from 1 April 2023 to 31 March 2024 are likely to increase compared to the previous year. 9. Employee Implications 9.1. In respect of those employees refused ill-health retirement, incapability dismissals may have been considered. 99
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10. Financial Implications 10.1. There were no leavers in the period 1 April 2023 to 30 September 2023 for which early retirement/severance costs were incurred. 11. Climate Change, Sustainability and Environmental Implications 11.1 There are no climate change, sustainability or environmental implications. 12. Other Implications 12.1. The early release of employees across the Council must be properly managed to minimise the risk of adversely impacting service levels through the loss of vital skills and experience. In accordance with agreed policies, the redeployment of employees through the Switch 2 process continues to be considered as a matter of priority. 13. Equality Impact Assessment and Consultation Arrangements 13.1 This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and, therefore, no impact assessment is required. 13.2. Any early releases would be in line with agreed policies and procedures therefore no further consultation was required, however there were none during this period. Paul Manning Executive Director (Finance and Corporate Resources) 10 November 2023 Link(s) to Council Values/Priorities/Outcomes Excellent Employer Accountable, Effective, Efficient and Transparent Previous References Finance and Corporate Resources Committee 3 May 2023 List of Background Papers None Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Cheryl Cumming, Personnel Adviser Ext: 4235 (Tel: 01698 454235) E-mail: cheryl.cumming@southlanarkshire.gov.uk 100
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Common Good Update Report 1. Purpose of Report 1.1. The purpose of the report is to: [purpose] advise members of the Common Good Accounts for the year ended 31 March 2023 provide an update on the cyclical spend currently committed against the Common Good Repairs and Maintenance budgets for both Lanark and Hamilton [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s): [recs] (1) that the accounts for Common Good for the year ended 31 March 2023 (section 4), be noted; (2) that the cyclical spend committed against the Common Good Repairs and Maintenance budgets for Lanark and Hamilton (sections 5.1 and 6.1 respectively), be noted; and (3) that the use of the earmarked budget for St Nicholas Church Tower, Lanark Common Good (section 5.6), be noted. 3. Background 3.1. The Common Good is a fund of money/assets and is administered by a Scottish local authority in respect of each former burgh within the area of the local authority. 3.2. Common Good property is administered separately from other local authority assets for accounting purposes. What the authority can do with the assets is subject to a system of statutory control. This control has the potential to limit the extent to which the authority can dispose of or deal with the asset and on what terms. 3.3. The Common Good funds held within South Lanarkshire Council are Lanark, Biggar, Hamilton and Rutherglen. Accounts are prepared on an annual basis, as part of the Council’s year end process. The position for the year ended 31 March 2023 is detailed in section 4. 3.4. The Common Good Accounts in Lanark and Hamilton hold a number of properties. A proactive approach to maintenance supports the viability of these assets and reduces the risk to greater liability in the future. 14 101
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3.5. The Finance and Corporate Resources Committee, at its meeting on 2 October 2013, approved an annual cyclical maintenance plan of £15,000 for both Lanark and Hamilton Common Good properties. The Executive Director (Finance and Corporate Resources) has delegated authority to approve maintenance work up to the value of £15,000 per annum for each fund. If inspections highlight requirements to undertake investment which would be beyond routine maintenance, this will be considered separately for approval and will be the subject of a report to this Committee. 3.6. On 19 February 2008, Finance and Information Technology Committee approved an annual contribution of up to £2,500 will be made towards the cost of maintaining the tower. 3.7. In addition to the accounts position covered in section 4, this report will provide an up-to-date position on the planned maintenance and spend from the Lanark (Section 5) and Hamilton Common Good funds (Section 6). 4. Common Good Annual Accounts 2022/2023 4.1. Appendix 1 to the report shows the audited accounts for 2022/2023. These form part of the Council’s accounts that were approved at the Risk and Audit Scrutiny Committee on 31 October 2023. The accounts show the income and expenditure made against common good in the last year. 4.2. The Appendix shows that as at the end of 2022/2023, the Balance Invested in South Lanarkshire Council’s Loans Fund is £0.881 million. This is the cash that is held by the Council on behalf of the Common Good funds, and which is readily available to meet expenditure. Table 1 provides the details across the Funds. Table 1 - Advances to South Lanarkshire Council Loans Fund Fund Lanark Biggar Hamilton Rutherglen Total £m £m £m £m £m Balance 0.251 0.025 0.477 0.128 0.881 5. Lanark Repairs and Maintenance Budget – Planned Maintenance 2023/2024 5.1. As noted in 3.5. an annual budget of £15,000 is available for the maintenance of Common Good properties in Lanark. There are currently no commitments against this budget for 2023/2024. 5.2. St Nicholas Church Tower: Refurbishment works to the church and tower were carried out over a prolonged period between 2009 and 2012 to a specification agreed with Historic Environment Scotland (HES). As the recommended redecoration schedule for exterior painter work is between 2 and 5 years, the steeple was redecorated in 2016. After completion of the redecoration project, the steeple was programmed to receive an annual wash down to be implemented following expiry of the guarantee period. 5.3. The first annual washdown was carried out in May 2018 by a steeplejack company. However, in 2019 and 2020, tender exercises were unsuccessful either due to lack of market interest or the fact that the quotes did not represent value for money. 102
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5.4. As the church and tower are now beyond the recommended 5-year redecoration schedule, it is now intended to seek fresh advice from a Conservation Accredited Architect to identify the areas requiring repair to both the Church and Steeple. Due to past difficulties with obtaining contractors to carry out the annual washdown, the study would look at options for protecting the building in a more effective and economic way, with the aim of working jointly with the church to find a longer-term solution for the building, one that would eliminate the need for an annual wash down. 5.5. As noted in section 3.6, Finance and Information Technology Committee approved an annual contribution of up to £2,500 will be made towards the cost of maintaining the tower. As noted in section 5.3, this earmarked budget has not been utilised in recent years and the Common Good contribution to the architect’s costs, estimated at around £5,000, will be met from the unused allocation from the past 2 years. The outcome of this work will be brought back to Committee as appropriate. 5.6. Local Members and the Community Council have been advised of this proposal. 6. Hamilton Repairs and Maintenance Budget – Planned Maintenance 2022/2023 6.1. Again, as noted in 3.5. an annual budget of £15,000 is also available for the maintenance of Common Good properties in Hamilton. There is one commitment of approximately £12,213 for repair to the wall at the bottom of the Town Square (Palace Grounds) and to erect bollards to prevent further damage. 6.2. This would leave an unallocated balance of £2,787 in the Hamilton Common Good Maintenance budget for 2023/2024. 7. Employee Implications 7.1. None. 8. Financial Implications 8.1. All costs identified will be met from the Common Good funds held for Lanark and Hamilton. 9. Climate Change, Sustainability and Environmental Implications 9.1. There are no implications for climate change, sustainability or the environment in terms of the information contained in this report. 10. Other Implications 10.1. The ongoing repairs and maintenance support the viability of Common Good assets and reduces the Council’s risk to increased liabilities in the future. 11. Equality Impact Assessment and Consultation Arrangements 11.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy, and therefore, no impact assessment is required. 11.2. There is also no requirement to undertake any consultation in terms of the information contained in this report. Paul Manning Executive Director (Finance and Corporate Resources) 15 November 2023 103
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Link(s) to Council Values/Priorities/Outcomes Accountable, effective, efficient and transparent Previous References None List of Background Papers None Contact for Further Information If you would like to inspect the background papers or want further information, please contact: Jackie Taylor, Head of Finance Ext: 5637 (Tel: 01698 455637) E-mail: jackie.taylor@southlanarkshire.gov.uk@southlanarkshire.gov.uk 104
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Appendix 1 2022/2023 Annual Accounts Lanark Biggar Hamilton Rutherglen Total £000 £000 £000 £000 £000 Income and Expenditure Accounts Income for the Year 97 - 105 2 204 Expenditure for the Year (54) - (113) (1) (168) Surplus / (Deficit) to the Balance Sheet 43 - (8) 1 36 Balance Sheet Fixed Assets Property, Plant and Equipment 1,463 - 1,558 - 3,021 Investments Advances to South Lanarkshire Council Loans Fund 251 25 477 128 881 Debtors - - - - - Total Assets 1,714 25 2,035 128 3,902 Current Liabilities Creditors (4) - (14) - (18) Total Assets less Current Liabilities 1,710 25 2,021 128 3,884 Represented By: Common Good Account 1,168 25 1,421 127 2,741 Surplus / (Deficit) 43 - (8) 1 36 Amortisation of Revaluation Reserve 3 - 7 - 10 Gain / Loss on Revaluation - - - - - 1,214 25 1,420 128 2,787 Revaluation Reserve Opening Balance 492 - 530 - 1,022 Gain / Loss on Revaluation 7 - 78 - 85 Amortisation of Revaluation Reserve (3) - (7) - (10) Closing Balance 496 - 601 - 1,097 Total 1,710 25 2,021 128 3,884 105
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Update of the Finance and Corporate Resources Risk Register and Risk Control Plan 1. Purpose of Report 1.1. The purpose of the report is to:-[ urpose] present an update on the Risk Register and Risk Control Actions for Finance and Corporate Resources [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [ (1) that the contents of the Resource Risk Register are noted; and (2) that it be noted that the outstanding Risk Control Actions will be progressed by relevant officers [1recs] 3. Background 3.1. The Council’s Risk Management Strategy promotes consideration of risk in service delivery, planning and decision-making processes. The strategy requires Resources to record and review risks and control actions regularly. Finance and Corporate Resources follow the guidance in developing, monitoring, and updating the risk register on an ongoing basis. 3.2. The purpose of the register is to ensure that the Resource is fully aware of its top risks; that these risks are prioritised; and that controls are in place to eliminate or minimise the impact of the risks. 3.3. The Resource scores the risks in accordance with the council scoring mechanism, based on likelihood and impact. This results in risks being scored between one and twenty five (low – very high). 3.4. Risks are scored on their inherent score (risk if we do nothing) and their residual risk (risk after applying controls). 3.5. The last update of the Finance and Corporate Resources Risk Register was reported to Committee on 16 November 2022. 3.6. The Resource’s top risk register and risk control plan has been reviewed. This work was completed in August 2023. 15 107
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3.7. The Central Risk Management team annually review Resource compliance with the Risk Management Strategy. The outcome of the 2022/2023 review identified that Finance and Corporate Resources achieved 100 per cent compliance, scoring 45 out of a possible 45. 4. Resource Risk Management 4.1. Each Resource has a Resource Risk Management Group which has responsibility for the promotion and management of risk. 4.2. The Finance and Corporate Resources Risk Management Group continues to meet on a regular basis. 4.3. The work of the group over the last year has focused on the review and update of the Resource Risk Register and ensuring that the register reflected the Council Plan and individual Service Plans. 5. Risk Register 5.1. Work has been completed by the Resource Risk Group to finalise the review of the Resource Risk Register. The update considered risks at a Service level, as well as strategic council risks. 5.2. The Resource Risk Register will be monitored on an ongoing basis to allow new risks to be added and for the control measures and scores of the existing risks to be reviewed considering new information. 5.3. Risks can result from internal or external influences, with examples being the impact of projected funding cuts, legislative changes, or the impact of internal service changes. 5.4. The development process for the Resource Plan requires a risk assessment process to be undertaken as appropriate resulting in some actions within the Resource Plan having a corresponding risk identified within the risk register. 5.5. The main changes to the register are summarised below:- Six new risks are being reported:- Implications of the Scottish Fire and Rescue Service Unwanted Fire Alarm Signals Policy within the Council's non-domestic estate The existing cross-resource Council top risk ‘The Council fails meet statutory and legislative duties in respect of public protection’, has been expanded to include increased levels of service disruption to the Community Alarms Service. This risk is therefore included in the Finance and Corporate Resources risk register for the first time Gap in data analytical skills impacting the development of the internal audit function Insurance fund insufficient (medium level risk now scored as high level following review) Failure to provide an Administration Service (medium level risk now scored as high level following review) Loss of Administration IT Systems (medium level risk now scored as high level following review) 108
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The risk description on ‘Funding’ has been updated, to highlight that there will be continued pressures, which will require significant change and consideration of risk appetite, if we are required to manage services and demand with a diminishing resource; this remains the top risk for the Resource. The ‘National Care Service Bill’ risk has reduced from 16 to 12 given the lack of development at present, with the deadline for debating the Bill now delayed until next year. It has also recently been reported that an agreement has now been reached that means National Care Service staff will continue to be employed by councils, rather than transferring to new care boards. Councils will also be responsible for buildings and the delivery of services. This agreement significantly alters the risk and uncertainty faced previously. IT developments and functionality - no change to the overarching top risk, however there are four significant IT projects being progressed at present for the Capita Housing System, the SWIS+ replacement, Fusion, and a replacement H&S Accident Reporting System. Appropriate arrangements are in place to record and manage risks for these projects. The ‘health, safety and wellbeing of employees’ risk card removes reference to the increased requirements due to the pandemic. Whilst there has been no change to the ‘Community Wealth Building Strategy’ risk, an update of the Community Wealth Building risk register will be undertaken during 2023/2024. 5.6. Risks scored 15 to 25 are considered to be very high risks and risks scored 8 to 12 are considered to be high risks. Very high and high risks are monitored closely. The top risks identified for the Resource, that is those that are residually scored as being very high and high, are attached at Appendix 1. 5.7. Appendix 2 provides a comparison of risk scores for 2022 and 2023. This appendix also details changes in risk descriptions. 5.8. Risks evaluated residually as being medium or low risk will be monitored to ensure that they continue to be adequately managed. 6. Insurance Hotspots 6.1. There have been no specific insurance hotspot areas identified for Finance and Corporate Resources. 6.2. The Risk and Insurance Team are leading on corporate initiatives to mitigate against liability, motor, and property insurance claims. This includes a property insurer survey programme; a Health and Safety/training review undertaken by the Council’s claims handlers; and ongoing development of driving at work training, with support from Employee Development. 7. Horizon scanning 7.1. Through wider analysis, several areas that could pose potential threats and risks or are emerging issues and opportunities that could affect the council were identified. Areas identified are listed below:- Covid19 National Inquiry A public inquiry into the handling of Coronavirus (COVID-19) in Scotland commenced late July 2023. It is envisaged that as the Inquiry progresses, the council will receive a number of Section 21 notices, which will be time intensive in responding to. 109
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Martyn’s Law On 19th December 2022, the UK Government announced details of draft legislation called ‘Protect Duty.’ It followed the tragic events of the Manchester arena terrorist attack in which 21 people sadly lost their lives. This legislation has become known as Martyn’s law, in tribute of Martyn Hett, who was amongst the 21 victims. The aim of Protect Duty is to create and implement measures to increase public safety at certain venues, defined as publicly accessible locations. This is intended to improve protective security at public venues by bringing about overall awareness of terrorism, delaying attackers progress and assisting the emergency services. Health and Care (Staffing) Act 2019 (Effective from 1 April 2024) The Act places duties on health boards and care providers to ensure services have a suitably qualified and competent workforce, a range of professional disciplines, and appropriate staffing levels that will deliver high quality care to support the health, wellbeing and safety of people using services. The Act was passed by Parliament in 2019 but implementation was paused due to the pandemic. All the provisions within the Act will come into force at a time when providers are facing recognised national and local workforce supply challenges, along with an ageing workforce, recruitment, selection, and retention issues which are impacting on safe staffing levels. 7.2. These areas will continue to be monitored to ensure that the council is adequately prepared to respond where required. 8. Scope and appetite for risk 8.1. The Council aims to be risk embracing, that is it will accept a tolerable level of risk in seeking service efficiencies and in agreeing control measures. 8.2. The level of risk facing the Council is measured both before (inherent risk) and after (residual risk) consideration of controls. The Council should never carry a very high residual risk exposure as this would indicate instability, but a low residual risk exposure should also be avoided as this indicates lack of innovation. 8.3. The Council’s universal risk tolerance levels were updated as part of the review of the risk management strategy last year, with the ideal risk profile defined as:- No more than 10% of residual risks at a very high level No more than 15% of risks at a high level Around 50 to 60% of residual risks at a medium level No more than 30% of residual risks at a low level 110
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8.4. Table 1 below shows the top risks heat map, i.e. it details the total number of risks for each individual residual risk score. Table 2 below notes the overall risk profile for the top risks. Table 1 – Finance and Corporate Resources Risks Heat Map Likelihood 5 Almost Certain 2 4 Likely 4 4 3 Possible 7 8 5 2 Unlikely 2 11 7 5 1 Rare 4 9 9 1 Negligible 2 Minor 3 Moderate 4 Major 5 Catastrophic Impact Table 2 – Finance and Corporate Resources Risk Profile Risk Category Risk Rating Number of residual risks Percentage of residual risks 1 Very high 6 7.8% 2 High 22 28.6% 3 Medium 25 32.5% 4 Low 24 31.1% 77 100.0% 8.5. Despite the fact that the profile noted in Table 2 is out with the ideal universal risk exposure defined by the Risk Management Strategy, this risk exposure is reasonable given the number of high level risks currently being faced by the Resource. 8.6. Finance and Corporate Resources has ensured that all inherent risks scored at a very high and high level have cost effective control measures in place. Where further control measures are required, these are included within the Resource risk control plan. 8.7. The main changes to the risk profile from last year are:- 6 new risks being reported 3 risks have increased from medium to high 1 risk has moved from being very high down to high, “The Council is materially affected by the implications arising from the National Care Service Bill” No other changes to scoring has taken place 9. Risk Control Actions 9.1. One risk control action was due for delivery between April and September 2023 has been completed. 9.2. 7 actions due for completion during 2022/2023 have been completed. 58% (7/12) of control actions were completed on time against an overall Resource target of 90%. 5 actions have been carried forward. 111
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9.3. Details of the completion of risk control actions during 2022/2023 and 2023/2024 to date are contained in Table 3 below. Table 3 – Completion of risk control actions 2022/2023 2023/24 (as at 30 September 2023) Total number of actions due 12 9 Completed on time 7 1 Carried forward to 2023/24 5 - To be completed at a later date 0 8 9.4. Progress with completion of Resource Risk Control Actions is monitored by the Central Risk Management team. This is also reviewed by the Resource Risk Group. 9.5. There are currently 8 risk control actions due for completion during the remainder of 2023/2024 with a further 1 action due for completion in 2024/2025. The outstanding actions to mitigate risks within the Risk Control Plan will be progressed by the relevant officers. 10. Major projects, partnerships or change 10.1. Within Finance and Corporate Resources 4 partnerships have been identified. One of these is considered to be high risk, the Community Planning Partnership (CPP). The remaining 3 partnerships have been assessed as being low risk. 10.2. Appropriate risk management arrangements are in place for the CPP with regular reports on their risk register and action plan presented to the CPP Board. 11. Next steps 11.1. The Resource Risk Management Group will continue to meet on a regular basis. The risk register will be reviewed on an ongoing basis by the group to ensure that risks remain valid for the appropriate Service areas and to identify new areas of risk that affect the Resource. An update report will be provided to the Committee on an annual basis. 12. Employee Implications 12.1. Time will be required by the Resource Risk Management Group in the management of the Resource Risk Register and Risk Control Plan. 13. Financial Implications 13.1. There are no direct financial implications associated with the Resource’s top risks. There are a number of proposed risks which are classified under the heading of financial. Where this is the case, the appropriate controls and actions have been included in the risk control cards and progress will be monitored. 14. Climate Change, Sustainability and Environmental Implications 14.1. Sustainable development issues are included within the Council’s top risk register through being linked directly to the Council plan objective ‘make communities safer, stronger and sustainable’ 112
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15. Other Implications 15.1. Failure to demonstrate that risk is actively considered and managed cannot only lead to avoidable financial loss but could also affect delivery of services and could affect the Resources’ reputation. 16. Equality Impact Assessment and Consultation Arrangements 16.1. This report does not introduce a new policy, function or strategy or recommend a change to existing policy, function or strategy and therefore, no impact assessment is required. 16.2. Consultation on the content of this report has been undertaken with the Resource Management Team. Paul Manning Executive Director (Finance and Corporate Resources) 24 October 2023 Link(s) to Council Values/Priorities/Outcomes Accountable, effective and efficient Previous References Report to Finance and Corporate Resources Committee – 16 November 2022 – Update of Finance and Corporate Resources Risk Register and Risk Control Plan List of Background Papers None Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Craig Fergusson, Head of Finance (Transactions) Ext: 4951 (Tel: 01698 454951) E-mail: craig.fergusson@southlanarkshire.gov.uk 113
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Appendix 1 Finance and Corporate Resources Risk Register (as at 30 September 2023) Extract of risks with residual score category of Very High and High Risk Category Key risk Inherent Risk Score Sample of Controls Residual Risk Score 1 Very High (15-25) Reduction in external funding and fees/income received by the Council, as well as the increased demand for services including the residual impact of the pandemic, and the increased cost of services due to rising inflation and the cost- of-living crisis, results in increasing budget gaps. The Council is seeing considerable increases in prices in terms of energy, fuel and food costs reflecting the global economic environment. These will have an impact on the current and future years’ Budget Strategy. This may also affect the level of service that the council can provide. Council Top Risk 25 An embedded and systematic approach to savings identification Robust processes in place to report annual budget and Council Tax proposals to Elected Members Council’s approved long term financial strategy 20 The Council is unable to support households most impacted by the cost-of- living crisis resulting in increasing levels of poverty, debt, and damage to health Council Top Risk 25 Debt and money advice from the Money Matters Advice Service Provision of cash payments and energy advice Provision of crisis and community care grants from the Scottish Welfare Fund 20 114
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Implications of the Scottish Fire and Rescue Service Unwanted Fire Alarm Signals Policy within the Council's non- domestic estate Council Top Risk 25 Review of building evacuation plans Review of alarm systems to ascertain upgrade requirements. Funding made available to upgrade alarm systems External Contractor response to out of hours alarm activations 16 The council fails meet statutory and legislative duties in respect of public protection 20 Resilience response plans to respond to disruption to community alarm service 16 Disruption to council services as a result of industrial action Council Top Risk 20 National negotiations to resolve the pay issues Communications in place to residents affected via social media channels 16 The council fails to deliver the objectives of the Community Wealth Building Strategy Council Top Risk 20 Action plans prepared for each pillar Supplier Development Programme provides training to businesses on how to bid for contracts SLC are a living wage anchor organisation CWB Commission and Progress Groups in place to oversee progress and delivery of the Strategy 16 2 High (8-12) The council does not have the appropriate emergency / business continuity plans; contingency arrangements or partnerships in place to respond to/or recover from a pandemic/endemic event. Council Top Risk 25 Range of supports in place to allow agile working Wellbeing Hub – counselling; CBT; online activities Enhanced financial monitoring 12 115
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Failure to fulfil emergency response commitments befitting the Council’s status as a Category One (emergency) responder Council Top Risk 25 Media response policy IT business continuity plans Emergency Management Team 12 Procurement activity is affected by supply chain issues; a lack of resources; non- compliance or legal challenge 25 Procurement Strategy and action plan Contracts register in place Procurement Network Group 12 Fraud, theft, organised crime and cyber attacks Council Top Risk 20 Anti-Fraud and Corruption Strategy Whistle-blowing procedures Cyber security and information security training Dissemination of fraud alerts 12 Information Governance not subject to adequate control Council Top Risk 20 Awareness raising Information Governance Group in place Information Governance Strategy 12 Insurance fund insufficient 20 Formalised approach adopted to projection analysis Ongoing management of claims trends (hot spot reviews/management reports) 12 The council is materially affected by the implications arising from the National Care Service Bill Council Top Risk 16 Reports presented to Committee Monitoring of progress of the Bill through the Scottish Parliament 12 Historic childhood abuse Council Top Risk 16 Regular actuarial reviews of post insurance fund exposures undertaken to establish potential liability for the council 12 Failure to provide an Administration Service 16 Development of procedure notes, particularly for new practices Review and reallocate tasks/duties, streamline tasks, succession planning and staff development through job shadowing 12 116
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IT development and functionality does not keep pace with changing service requirements Council Top Risk 20 IT Asset Management Plan ICT Development Fund IT Programme Board 9 Lack of capacity and skills to meet increased service demands Council Top Risk 20 Workforce Strategy Performance Appraisal Process Learning and Development Strategy 9 Difficulties in placing insurance cover 16 Support from appointed insurance broker Sound experience in placing covers Regular reviews to ensure optimal balance between retention of risk and purchased covers 9 Loss of Administration IT Systems 12 Able to access IT back up Use local drives or revert to a manual process, if possible Meetings could be held in the traditional manner, i.e. in person 9 Inaccurate information relating to council services reported via media 12 Timeous response to media enquiries Guidelines on media enquiries contained within Corporate Standards Contact sheets provided to the media 9 Audit plan not delivered 12 Managed systematic approach to work allocation and monitoring arrangements Capacity planning 9 Failure to deliver the Modern Apprenticeship programme 12 Compliance process in place Commitment from senior management Appropriately trained and qualified staff available to delivery relevant internal programmes 9 117
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Gap in data analytical skills impacting the development of the internal audit function. 9 Formal strategy being developed for 2024/2025 (including a training plan). 9 Failure to ensure the health, safety and wellbeing of employees and the protection of service users and members of the public in the delivery of council services Council Top Risk 20 Occupational Health and Safety Management System embedded throughout the Council Risk assessments and safe systems of work developed and implemented Resource H&S Groups in place 8 Failure to achieve the outcomes of the Community Plan Council Top Risk 20 Partnership Progress Group established Community Engagement Manager and team in place Neighbourhood plans developed 8 Failure to achieve the outcomes of the Council Plan Council Top Risk 16 New Council plan approved in June 2022 and all plans, policies and strategies aligned with the new priorities and outcomes across the council Bi-Annual performance reporting and annual performance spotlights 8 Community Alarms - Failure to properly prepare and successfully transition from the current analogue service to a digital solution within the pre-determined timescale 20 Project plan in place Project Review Board established Sessions held to scope full organisation requirements 8 Failure to manage financial aspects of City Deal 25 Financial aspects reviewed for each business case at all stages of the project Assurance frameworks Specific project risk registers in place 8 118
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Appendix 2: Comparison 2023 and 2022 council top risk register Risk Category Risk Category Key risk 2022 Residual risk score 2023 Residual risk score Change in residual risk scores Changes to key risk descriptions 1 Very High (15-25) Reduction in external funding and fees/income received by the Council, as well as the increased demand for services including the residual impact of the pandemic, and the increased cost of services due to rising inflation and the cost- of-living crisis, results in increasing budget gaps. The Council is seeing considerable increases in prices in terms of energy, fuel and food costs reflecting the global economic environment. These will have an impact on the current and future years’ Budget Strategy. This may also affect the level of service that the council can provide. Council Top Risk 20 20 = Updated to highlight that there will be continued pressures, which will require significant change and consideration of risk appetite, if we are required to manage services and demand with a diminishing resource. The council is unable to support households most impacted by the cost-of-living crisis resulting in increasing levels of poverty, debt, and damage to health Council Top Risk 20 20 = Implications of the Scottish Fire and Rescue Service Unwanted Fire Alarm Signals Policy within the council's non-domestic estate Council Top Risk N/A 16 NEW Disruption to Council services as a result of industrial action Council Top Risk 16 16 = The Council fails meet statutory and legislative duties in respect of public protection Council Top Risk N/A 16 NEW Risk expanded to include the Community Alarm Service 119
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The Council fails to deliver the objectives of the Community Wealth Building Strategy Council Top Risk 16 16 = 2 High (8-12) The council does not have the appropriate emergency / business continuity plans; contingency arrangements or partnerships in place to respond to/or recover from a pandemic/endemic event. Council Top Risk 12 12 = Failure to fulfil emergency response commitments befitting the council’s status as a Category One (emergency) responder Council Top Risk 12 12 = Procurement activity is affected by supply chain issues; a lack of resources; non-compliance or legal challenge 12 12 = Fraud, theft, organised crime and cyber attacks Council Top Risk 12 12 = Information Governance not subject to adequate control Council Top Risk 12 12 = Insurance fund insufficient 6 12 Medium level risk now scored in high The council is materially affected by the implications arising from the National Care Service Bill Council Top Risk 16 12 Historic childhood abuse Council Top Risk 12 12 = Failure to provide an Administration Service 6 12 Medium level risk now scored in high 120
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IT development and functionality does not keep pace with changing service requirements Council Top Risk 9 9 = Lack of capacity and skills to meet increased service demands Council Top Risk 9 9 = Difficulties in placing insurance cover 9 9 = Loss of Administration IT Systems 6 9 Medium level risk now scored in high Inaccurate information relating to council services reported via media 9 9 = Audit plan not delivered 9 9 = Failure to deliver the Modern Apprenticeship programme 9 9 = Gap in data analytical skills impacting of development of the internal audit function. N/A 9 NEW Failure to ensure the health, safety and wellbeing of employees and the protection of service users and members of the public in the delivery of council services Council Top Risk 8 8 = Failure to achieve the outcomes of the Community Plan Council Top Risk 8 8 = Failure to achieve the outcomes of the Council Plan Council Top Risk 8 8 = Community Alarms - Failure to properly prepare and successfully transition from the current analogue service to a digital solution within the pre-determined timescale 8 8 = Failure to manage financial aspects of City Deal 8 8 = 121
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Report Agenda Item Report to: Finance and Corporate Resources Committee Date of Meeting: 6 December 2023 Report by: Executive Director (Finance and Corporate Resources) Subject: Safety at Sports Grounds – Issue of Special Safety Certificate for Fireworks Event – ZLX Stadium 1. Purpose of Report 1.1. The purpose of the report is to:- [purpose] advise on action taken, in terms of Standing Order No 37(c) because of the timescales involved, by the Executive Director (Finance and Corporate Resources), in consultation with the Chair and an ex officio member, to issue a Special Safety Certificate for the North and West Stands, HAFC Stadium Limited, ZLX Stadium, Cadzow Avenue, Hamilton for the purpose of holding a fireworks event on 5 November 2023 [1purpose] 2. Recommendation(s) 2.1. The Committee is asked to approve the following recommendation(s):- [recs] (1) that the action taken, in terms of Standing Order No 37(c) by the Executive Director (Finance and Corporate Resources), in consultation with the Chair and an ex officio member, to approve the issue of a Special Safety Certificate for the North and West Stands, HAFC Stadium Limited, ZLX Stadium, Cadzow Avenue, Hamilton for the purpose of holding a fireworks event on 5 November 2023, subject to the completion of a satisfactory site inspection, be noted. [1recs] 3. Background 3.1. In terms of the Fire Safety and Safety of Places of Sport Act 1987, a General Safety Certificate is required for a stand at a sports ground which can accommodate at least 500 spectators under cover to view the activities at the ground. A stand which falls within this classification is referred to as a “regulated stand”. 3.2. The ZLX Stadium (formerly known as New Douglas Park) had previously been identified as a sports ground with regulated stands and the current General Safety Certificate for the North and West Stands came into force on 4 August 2023. The General Safety Certificate listed primary and ancillary activities to which spectators could be admitted, however, events involving other activities viewed from the Stands required the issue of a Special Safety Certificate. 4. Application for Special Safety Certificate 4.1. An application for a Special Safety Certificate had been received from HAFC Stadium Limited to hold a fireworks event on 5 November 2023. 16 123
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4.2. The maximum number of persons to be admitted to the event, as specified in the Special Safety Certificate, was 4,900 (maximum spectators in North Stand is 2,274 / West Stand is 3,308). This reflected the maximum number of spectators which could be admitted to the North and West Stands in accordance with the current General Safety Certificate. 4.3. No modifications had been made to the North or West Stands for the purposes of the fireworks event. A number of adaptations, including the set-up of an amusement area, had been detailed in the Special Safety Certificate. 4.4 As the Special Safety Certificate was required to be issued prior to the event, the Executive Director (Finance and Corporate Resources), in consultation with the Chair and an ex officio member, approved the issue of the Special Safety Certificate for the North and West Stands, HAFC Stadium Limited, ZLX Stadium, Cadzow Avenue, Hamilton, for the purpose of holding a fireworks event on 5 November 2023, subject to the completion of a satisfactory site inspection. 4.5. A site inspection, attended by representatives of the South Lanarkshire Sports Grounds Safety Advisory Group, had subsequently taken place on 5 November 2023 to ensure that:- the organisers had completed the pre-event and event day checklists the site had been set up as per the Event Plan 4.6. The representatives present at the site inspection had been satisfied with the event arrangements and the Special Safety Certificate had been issued prior to the admission of spectators. 5. Employee Implications 5.1. None. 6. Financial Implications 6.1. The Council is authorised by regulations to charge fees for work reasonably done as a result of an application for the issue, amendment, replacement, transfer or cancellation of a safety certificate. 7. Climate Change, Sustainability and Environmental Implications 7.1. There are no climate change, sustainability or environmental implications arising from the information presented in this report. 8. Other Implications 8.1. There is a risk to the Council as the body responsible for administering safety certificates for sports grounds that any incident involving public safety where proper guidelines have not been followed could damage the Council’s reputation. This risk is mitigated by the requirements and conditions contained within the General Safety Certificate on ground management to implement measures within the Guide to Safety at Sports Grounds (sixth edition) to ensure the reasonable safety of persons attending the sports ground. The requirements of the General Safety Certificate for the North and West Stands also applied to the fireworks event. 8.2. Annual inspections and match day inspections are carried out at the ZLX Stadium which include checks of safety procedures, physical inspections of the Stands and checks of inspection and test certificates of various installations and equipment. 124
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8.3. In addition, relevant risk assessments specific to the fireworks event, including the identification of foreseeable hazards, evaluation of the risks associated with them, and mitigating measures to reduce the risks to an appropriate level, were undertaken and used to help develop the Event Plan, a copy of which had been required to be kept with the Special Safety Certificate. 8.4. As detailed at paragraphs 4.5 and 4.6, a site inspection had also been undertaken prior to the event. 9. Equality Impact Assessment and Consultation Arrangements 9.1. This report does not introduce a new policy, function or strategy or recommend a change to an existing policy, function or strategy and, therefore, no impact assessment is required. 9.2. Consultation had taken place with:- the South Lanarkshire Sports Grounds Safety Advisory Group which comprises of representatives of the following:- relevant services within South Lanarkshire Council NHS Lanarkshire Police Scotland Scottish Ambulance Service Scottish Fire and Rescue Service sports ground management/event management/ Safety Officer at Hamilton Academical Football Club a representative of Midnight Storm Fireworks a representative of Security Scotland (stewarding provider) Paul Manning Executive Director (Finance and Corporate Resources) 6 November 2023 Link(s) to Council Values/Priorities/Outcomes Focused on people and their needs Previous References 27 September 2023 - Re-issue of General Safety Certificate for the ZLX Stadium List of Background Papers General Safety Certificate for Regulated Stands – North and West Stands, ZLX Stadium, Cadzow Avenue, Hamilton Special Safety Certificate for the purpose of holding a fireworks event at New Douglas Park, Cadzow Avenue, Hamilton on 5 November 2023 Contact for Further Information If you would like to inspect the background papers or want further information, please contact:- Stuart McLeod, Administration Officer Ext: 4815 (Tel: 01698 454815 / 07385 370 117) E-mail: stuart.mcleod@southlanarkshire.gov.uk 125
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