Policy And Resources Committee - 13/01/2020

At a MEETING of the POLICY AND RESOURCES COMMITTEE held at Dundee on 13th January, 2020.

Present:-

BAILIES

COUNCILLORS

Bailie Willie SAWERS, Depute Convener, in the Chair.

The minute of meeting of this Committee of 9th December, 2019 was held as read.

Unless marked thus * all items stand delegated.

I DECLARATION OF INTEREST

Councillor Marra declared a non-financial interest in Article IV by virtue of his employment with the University of Dundee which prepared research material for the Dundee Drugs Commission.

II MINUTES

(a) PENSION SUB-COMMITTEE AND THE PENSION BOARD - 23RD SEPTEMBER, 2019

(b) PERSONNEL APPEALS SUB-COMMITTEE - 12TH NOVEMBER, 2019

The minutes of meetings of the above Sub-Committees, copies of which are appended hereto, were submitted for information and record purposes (Appendices I and II).

III LOCAL GOVERNMENT (SCOTLAND) ACT 1973 - VOTING RIGHTS

The Committee acceded to a request for a deputation to address the Committee relative to this matter. After the deputation had stated their case and answered questions from members of the Committee, they were thanked for their attendance and withdrew.

It was reported that this item had been placed on the agenda at the request of Councillor Murray.

Councillor Murray, seconded by Councillor Lynn, moved approval of the undernoted:-

- Committee notes that the Scottish Government have recently clarified their interpretation of the Local Government (Scotland) Act 1973. The Scottish Government have also confirmed that, while the Act states that: where an education authority appoints a Committee to discharge their functions, the Local Government (Scotland) Act 1973 requires Councils to appoint members to that Committee, including religious representatives, voting rights on Committees are a matter for each local authority.

- Committee agrees that, with effect from the next meeting of the Children and Families Services Committee, only elected members of the Council, with a mandate from the electorate, should be allowed to vote on any Council Committee or Sub-Committee.

As an amendment, Bailie Sawers, seconded by Councillor Ross, moved that the Committee agree to maintain the status quo.

On a division, there voted for the motion - Councillor Murray and Councillor Lynn (2); and for the amendment - Lord Provost Borthwick, Depute Lord Provost Campbell, Bailies Sawers, Roberts, Keenan, Wright, Scott and Macpherson, Councillors Cordell, Dawson, Flynn, Hunter, Rendall, Rome, Ross, Short, Smith, Cruickshank, McCready, McIrvine, Malone, Marra, Richardson, Hay, Scott and Duncan (26) - whereupon the amendment was declared carried.

IV DUNDEE ALCOHOL AND DRUG PARTNERSHIP ACTION PLAN

There was submitted Report No 21-2020 by the Chief Executive presenting the recommendations of the independent Dundee Drug Commission and the action plan developed by the Dundee Alcohol and Drug Partnership.

The Committee:-

(i) endorsed the Dundee Alcohol and Drug Partnership (ADP) Action Plan for Change appended to the report;

(ii) agreed to the appointment of two elected members to the Dundee Alcohol and Drug Partnership as per paragraph 4.2.8 of the report (one member of the Administration and one member of the Major Opposition Group); and

(iii) agreed to ask the Dundee Partnership to ensure an ongoing role for a re-convened Dundee Drug Commission to review progress since the publication of their 2019 report.

V REVENUE MONITORING 2019/2020

There was submitted Report No 4-2020 by the Executive Director of Corporate Services providing elected members with an analysis of the 2019/2020 projected revenue outturn as at 30th November, 2019 monitored against the adjusted 2019/2020 revenue budget.

The Committee:-

(i) noted that the overall General Fund 2019/2020 projected revenue outturn as at 30th November, 2019 was projecting an overspend of 943,000 against the adjusted 2019/2020 revenue budget;

(ii) noted that the Housing Revenue Account as at 30th November, 2019 was projecting an underspend of 939,000 against the adjusted HRA 2019/2020 revenue budget;

(iii) agreed that the Council Management Team would take every reasonable action to ensure that the 2019/2020 revenue expenditure was below or in line with the adjusted revenue budget;

(iv) instructed the Executive Director of Corporate Services, in conjunction with the Council Management Team, to continue to monitor the Council's 2019/2020 projected revenue outturn and to implement a recovery plan to reduce the projected overspend;

(v) noted that the Scottish Government had introduced enhanced financial flexibility arrangements that allowed local authorities to vary proper accounting practice and use capital receipts to fund qualifying expenditure on a transformation project; and

(vi) agreed that costs associated with the Voluntary Early Retirement and Voluntary Redundancy schemes, up to a maximum amount of 0.750m in 2019/2020, were met from the 1.5m of capital receipts already set aside.

VI CAPITAL EXPENDITURE MONITORING 2019/2020

There was submitted Report No 3-2020 by the Executive Director of Corporate Services appraising the Committee of the latest position regarding the Council's updated Capital Plan 2019/2024.

The Committee noted the contents of the report.

VII BREXIT UPDATE

There was submitted Report No 6-2020 by the Chief Executive providing an update on developments regarding the UK's departure from the EU and on work being carried out to prepare for the implications thereof, and asking elected members to approve a draft response to the Scottish Government's consultation on the replacement of European structural funds.

The Committee:-

(i) noted the latest political developments in the Brexit process;

(ii) noted the work being carried out to prepare for the implications; and

(iii) approved the submission of a proposed response to the Scottish Government's consultation on the replacement of European structural funds, as set out in Appendix Two of the report.

VIII C2022 COMMERCIALISATION - ADVERTISING AND SPONSORSHIP

On a reference to Article V of the minute of meeting of this Committee of 25th June, 2018 there was submitted Report No 19-2020 by the Chief Executive updating the Committee on the progress of the C2022 Commercialisation Project and making proposals for next steps towards securing additional revenues for the Council through advertising and sponsorship opportunities.

The Committee:-

(i) agreed to a procurement exercise, as detailed as option 2 of the report, to engage an external commercial partner with the market expertise to identify and sell a portfolio of advertising/sponsorship options involving Council assets such as buildings, events and publications;

(ii) approved the draft revised Commercial Sponsorship policy, as appended to the report, to guide and support (i) above;

(iii) agreed the overall responsibility for advertising and sponsorship remain with City Development as this service was the owner of many of the related assets; and

(v) agreed to approach the three neighbouring Councils to consider an advertising and sponsorship partnership.

The Committee resolved under Section 50(A)(4) of the Local Government (Scotland) Act 1973 that the press and public be excluded from the meeting for the undernoted items of business on the grounds that they involved the likely disclosure of exempt information as defined in paragraphs 6 and 9 of Part I of Schedule 7A of the Act.

IX COMMERCIAL PROPERTY TRANSACTION AND GROWTH ACCELERATOR MODEL

There was submitted Report No 32-2020 by the Executive Director of City Development relative to the above.

The Committee approved the transaction on the terms and conditions detailed in the report.

X SUPPORT FOR MAJOR EVENT

There was submitted Report No 34-2020 by the Executive Director of City Development relative to the above.

The Committee agreed support for the event on the terms and conditions detailed in the report.

Willie SAWERS, Depute Convener.

At a JOINT MEETING of the PENSION SUB-COMMITTEE of the POLICY AND RESOURCES COMMITTEE AND THE PENSION BOARD held at Dundee on 23rd September, 2019.

APPENDIX I

Present:-

PENSION SUB-COMMITTEE

BAILIES

COUNCILLORS

PENSION BOARD

Bailie Willie SAWERS, in the Chair.

I DECLARATION OF INTEREST

No declarations of interest were made.

II MINUTE OF PREVIOUS MEETING

The minute of meeting of 24th June, 2019 was submitted and approved.

III TAYSIDE PENSION FUNDS RISK REGISTER

There was submitted Report No 309-2019 by the Executive Director of Corporate Services updating the Risk Register for Tayside Pension Fund.

The Sub-Committee and Board approved the updated Quarterly Risk Register for Tayside Pension Fund and noted that there had been no changes to the risk profile since the previous report.

IV PENSION ADMINISTRATION PERFORMANCE - QUARTERLY UPDATE

There was submitted Report No 310-2019 by the Executive Director of Corporate Services providing information on the relevant quarters operational performance in relation to Pension Administration.

The Sub-Committee and Board noted the content of the report.

V TAYSIDE PENSION FUND ACCOUNTS 2018/2019

(a) TAYSIDE PENSION FUNDS 2018/2019 ACCOUNTS AND AUDIT

There was submitted Report No 304-2019 by the Executive Director of Corporate Services reporting on the outcome of the external audit of Tayside Pension Funds for the year to 31st March, 2019.

The Sub-Committee and Board noted the content of External Auditors Annual Audit Report, in particular that Audit Scotland anticipated issuing an unqualified audit opinion.

(b) DRAFT AUDITED STATEMENT OF ACCOUNTS 2018/2019

The above report was submitted and noted. (Report No 305-2019).

(c) TAYSIDE PENSION FUND AUDIT OF 2018/2019 ANNUAL ACCOUNTS

The above report was submitted and noted. (Report No 306-2019).

VI ACTIVE STEWARDSHIP ON CLIMATE CHANGE

There was submitted Report No 333-2019 by the Executive Director of Corporate Services providing details of engagement opportunities that Tayside Pension Fund could be part of in order to improve the Funds activities of responsible stewardship.

The Sub-Committee and Board agreed to authorise officers to:-

(i) join with other institutional investors in Climate Action+; and

(ii) join with other Scottish LGPS in collaborative engagements on plastics.

VII ANNUAL TREASURY MANAGEMENT ACTIVITY 2018/2019

There was submitted Report No 311-2019 by the Executive Director of Corporate Services reviewing the Treasury Management activities for the period 1st April, 2018 to 31st March, 2019.

The Sub-Committee and Board noted the information contained within the report.

The Sub-Committee and Board resolved under Section 50(A)(4) of the Local Government (Scotland) Act 1973 that the press and public be excluded from the meeting for the undernoted items of business on the grounds that they involved the likely disclosure of exempt information as defined in paragraphs 4, 6 and 11 of Part I of Schedule 7A of the Act.

VIII TAYSIDE PENSION FUND

(a) PERFORMANCE SUMMARIES

There was submitted Report No 312-2019 by the Executive Director of Corporate Services reviewing the investment performance of the Funds Investment Managers for the quarter 30th June, 2019. The report compared investment performance of the Fund with the Funds specific benchmarks which consist of various stocks and security market indices.

The Sub-Committee and Board noted the information contained therein with regard to the performance of the Tayside Main Fund and their Fund Managers.

(b) SUMMARIES OF INVESTMENTS AND TRANSACTIONS 1ST APRIL, 2019 TO 30TH JUNE, 2019

There was submitted Report No 282-2019 by the Executive Director of Corporate Services summarising investment rents and transactions during the period 1st April, 2019 to 30th June, 2019.

The Sub-Committee and Board noted the information contained therein with regard to the activities of the Tayside Pension Fund and its Fund Managers.

(c) QUARTERLY FUNDING REPORT

There was submitted Report No 313-2019 by the Executive Director of Corporate Services which considered a report reviewing the current funding level of the Fund as assessed by the Fund Actuary.

The Sub-Committee and Board noted the report by the Fund Actuary.

IX SECURITIES LENDING SIX MONTH ACTIVITY TO 30TH JUNE, 2019

There was submitted Report No 314-2019 by the Executive Director of Corporate Services presenting an update on Securities Lending activity for the period ended 30th June, 2019.

The Sub-Committee and Board noted the content of the report.

X PRESENTATION

Tom Wright and Claire Erskine-Murray from Bailie Gifford gave a short presentation to the Sub‑Committee and Board.

The Sub-Committee and Board noted the investment philosophy of Bailie Gifford and their long-term approach to investment which enabled recovery in the volatile market.

Furthermore, Bailie Gifford continued to seek sustainable growth opportunities to sustain long-term investment performance.

After Tom and Claire had given their presentation and answered questions from members, the Convener thanked the presenters on behalf of members.

Willie SAWERS, Convener.

At a MEETING of the PERSONNEL APPEALS SUB-COMMITTEE held at Dundee on 12th November, 2019.

APPENDIX Il

Present:-

Bailie Christina ROBERTS

COUNCILLORS

Bailie Christina ROBERTS, Convener, in the Chair.

The minute of meeting of this Committee of 23rd August, 2019 was held as read.

Unless marked thus * all items stand delegated.

The Sub-Committee resolved under Section 50(A)(4) of the Local Government (Scotland) Act 1973 that the press and public be excluded from the meeting for the undernoted items of business on the grounds that they involved the likely disclosure of exempt information as defined in paragraph 1 of Part I of Schedule 7A of the Act.

I DECLARATION OF INTEREST

There were no declarations of interest.

II APPEAL AGAINST DISMISSAL

It was reported that an appeal against dismissal from an employee of the Children and Families Service had been submitted.

The Sub-Committee heard the Councils representatives and witnesses and, thereafter, the Appellant and her representative.

After questions had been put and answers given by both parties to each other and the witnesses and by members of the Sub-Committee, the parties withdrew.

Thereafter, following careful consideration of all the information, the Sub-Committee agreed that the grounds of the appeal had been substantiated in part and the appeal be upheld to the extent that the Appellant be reinstated with effect from the date of dismissal. In place of dismissal, a Final Written Warning would be submitted to remain on file for a period of two years from the date of dismissal. The period from the date of dismissal to the date of the appeal was to be a period of unpaid suspension. The appellant would also be placed into another setting.

Bailie Roberts intimated her dissent from the foregoing decision.

Christina ROBERTS, Convener.