City Governance Committee - 21/08/2023

At a MEETING of the CITY GOVERNANCE COMMITTEE held remotely on 21st August, 2023.

Present:-

BAILIES

COUNCILLORS

Councillor John ALEXANDER, Convener, in the Chair.

Unless marked thus * all items stand delegated.

I DECLARATION OF INTEREST

There were no declarations of interest.

II MINUTES

(a) PENSION SUB-COMMITTEE AND PENSION BOARD - 20TH MARCH, 2023

(b) RECESS SUB-COMMITTEE - 10TH JULY 2023

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

III ROYAL BANK OF SCOTLAND - BROUGHTY FERRY BRANCH PROPOSED CLOSURE

This item was placed on the agenda at the request of Councillor Duncan who requested that the Committee agree to object to the proposed closure given its adverse effect on the local community.

Thereafter, the Committee resolved as follows:-

The proposed closure of the Royal Bank of Scotland Broughty Ferry branch will have a seriously detrimental impact on its customers and the local community.

Committee therefore instructs that the Chief Executive writes to Paul Thwaite, Chief Executive Officer of the NatWest Group making clear the City Councils strong opposition to this proposed closure and requesting that the matter is taken back to the NatWest Group Board of Directors for further consideration given the high level of customer opposition to the closure.

Given that the City Council itself banks with Royal Bank of Scotland, Committee also instructs officers to engage with its Royal Bank of Scotland business relationship manager locally to make clear the Councils opposition to the proposed closure of this bank branch.

IV CHIEF EXECUTIVE SERVICE - SERVICE PLAN 2023/2028

There was submitted Report No 119-2023 by the Chief Executive, presenting the Service Plan for the Chief Executives Service for the period 2023/2028.

The Committee agreed to approve the Chief Executives Service Plan for the period 2023/2028 as detailed in the Appendix of the report.

V CAPITAL EXPENDITURE MONITORING 2023/2024

There was submitted Report No 212-2023 by the Executive Director of Corporate Services, appraising of the latest position regarding the Council's Capital Plan 2023/2028.

The Committee agreed to note the latest position regarding the Council's Capital Plan 2023/2028 as outlined in the report.

VI REVENUE MONITORING 2023/2024

There was submitted Report No 211-2023 by the Executive Director of Corporate Services, providing an analysis of the 2023/2024 projected revenue outturn as at 31st May 2023 and the impact on the Councils overall balances position.

The Committee agreed:-

(i) to note that as at 31st May, 2023, the General Fund was projecting an overall overspend of 1.822m against the adjusted 2023/2024 Revenue Budget and the impact this had on the projected Councils General Fund Balances;

(ii) to note the budget adjustments totalling 0.050m and detailed in the second column of Appendix A of the report as virements to the previously approved Revenue Budget;

(iii) to note that as at 31st May, 2023, the Housing Revenue Account (HRA) was projecting breakeven against the adjusted HRA 2023/2024 Revenue Budget and the impact this had on the element of the projected Renewal and Repair Fund balance earmarked to HRA;

(iv) to note the position on ring-fenced grants expenditure outlined in Appendix B of the report;

(v) to note that the Chief Executive, in consultation with the Executive Directors, would continue to take appropriate steps to manage current and recurring revenue expenditure, including reviewing vacancies and any new recurring commitments;

(vi) to note the key strategic, operational and financial risks being faced by the Council outlined in Appendix C of the report; and

(vii) to note the current position on Leisure and Culture Dundee (LACD), as set out in Section 7.3 of the report and to extend the financial support, approved in October, 2022 until 31st March, 2024.

VII RECORDS MANAGEMENT POLICY

There was submitted Report No 226-2023 by the Executive Director of Corporate Services, proposing the adoption of an updated Dundee City Council Records Management Policy.

The Committee agreed to approve the updated Records Management Policy, as detailed in Appendix A of the report and place the policy on the Councils internet and intranet sites.

VIII RISK MANAGEMENT - REVIEW OF POLICY AND STRATEGY

There was submitted Report No 227-2023 by the Executive Director of Corporate Services, presenting the scheduled review of the Councils Risk Management Policy and Strategy and the interim review of the Councils Corporate Risk Register (CRR).

The Committee agreed:-

(i) to note the content of the report; and

(ii) to remit the report to a meeting of the Scrutiny Committee for further consideration.

IX NON-DOMESTIC RATES EMPTY PROPERTY RELIEF OPERATIONAL POLICY

There was submitted Report No 224-2023 by the Executive Director of Corporate Services, detailing a proposal to revise the Councils Non-Domestic Rates Empty Property Policy. The proposal would remove open ended exemptions and reliefs for all empty properties and instead place a six month time limit on any such award.

The Committee agreed:-

(i) to note the content of the report; and

(ii) to approve the proposed changes to the Councils Non-Domestic Rates - Empty Property Policy to come into operation from 1st April, 2024.

X AMENDMENT TO ARRANGEMENTS FOR FREE SCHOOL MEAL HOLIDAY SUPPORT

There was submitted Report No 223-2023 by the Executive Director of Corporate Services, recommending an amendment to the arrangements for free school meal holiday support.

The Committee agreed:-

(i) to approve the expansion of the free school meal holiday support payment eligibility criteria to include Primary 4 and Primary 5 pupils of families in receipt of a school clothing grant; and

(ii) to increase the value of free school meal holiday support payments for Primary 1 to sixth year pupils from 2.25 per day to 2.40 per day for 64 days of school holidays.

XI IT SERVICE MANAGEMENT SYSTEM

There was submitted Report No 225-2023 by the Executive Director of Corporate Services, asking the Committee to consider the purchase of a new cloud IT Service Management system.

The Committee agreed:-

(i) to the Council entering a new contract for an IT Service Management System; and

(ii) to remit the Head of Customer Services and IT to purchase an IT Service Management System, following a compliant procurement process using Crown Commercial Services G-Cloud framework.

John ALEXANDER, Convener.

At a JOINT MEETING of the PENSION SUB-COMMITTEE of the POLICY AND RESOURCES COMMITTEE AND THE PENSION BOARD held remotely on 20th March, 2023.

APPENDIX I

Present:-

PENSION SUB-COMMITTEE

BAILIES

COUNCILLORS

PENSION BOARD

Bailie Willie SAWERS, in the Chair.

I DECLARATION OF INTEREST

There were no declarations of interest.

II APOLOGIES

The Sub-Committee and Board noted apologies had been received from Councillor Crichton and Kenny Dick.

III MINUTE OF PREVIOUS MEETING

The minute of meeting of 12th December, 2022 was submitted and approved.

III(a) APPOINTMENT OF CHAIRPERSON OF PENSION BOARD

It was agreed by the Sub-Committee and Board that in accordance with the Public Service Pensions Act 2013, Arthur Nicoll be appointed to the post of Chair of the Pension Board for the period of 12 months.

Thanks were extended to Kenny Dick for his holding of this position for the previous period.

IV RISK REGISTER

There was submitted Report No 86-2023 by the Executive Director of Corporate Services, seeking approval for the Quarterly Risk Register for Tayside Pension Fund which was updated on 1st March, 2023, noting that there were no changes to risk profile since the previous report.

The Sub-Committee and Board approved the Quarterly Risk Register for Tayside Pension Fund, noting the revisions made.

V TAYSIDE PENSION FUND PROCUREMENT POLICY

There was submitted Report No 87-2023 by the Executive Director of Corporate Services, introducing the Procurement Policy of Tayside Pension Fund which set out the minimum standards and requirements for managing outsourcing and third-party service providers across the key stages of the outsourcing lifecycle, and the criteria for assessing value for money of the functions and activities that were outsourced to third parties.

The Sub-Committee and Board approved the policy which was subject to annual review and noted the content of the report.

VI TRAINING AND ATTENDANCE POLICY AND TRAINING PLAN 2023/2024

There was submitted Report No 88-2023 by the Executive Director of Corporate Services, presenting Tayside Pension Funds Training and Attendance Policy as detailed in Appendix 1 of the report which was subject to annual review, and the Training Plan for 2023/2024.

The Sub-Committee and Board:-

(i) approved the policy, noting that there were no changes to the requirements; and

(ii) approved the Training Plan for 2023/2024, noting that any training requirements not met in the prior year be carried forward to the 2023/2024 Plan, and that following a training needs analysis, training would be tailored to focus on individual needs as per audit recommendations.

VII PENSION ADMINISTRATION PERFORMANCE - QUARTERLY UPDATE TO 31ST DECEMBER 2022

There was submitted Report No 89-2023 by the Executive Director of Corporate Services, providing information on the recent quarters operational performance in relation to Pension Administration.

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

VIII TAYSIDE PENSION FUND - AUDIT SCOTLAND ANNUAL AUDIT PLAN 2022/2023

There was submitted Report No 90-2023 by the Executive Director of Corporate Services, providing a summary of the responsibilities and approach of Audit Scotland in respect of Tayside Pension Fund. for 2022/2023.

The Sub-Committee and Board:-

(i) noted the content of the report by Audit Scotland as detailed in Appendix 1 of the report; and

(ii) agreed to provide Audit Scotland with confirmation of any instances of actual, suspected or alleged fraud, as a requirement of the revised International Standard on Accounting (ISA) 240.

IX INTERNAL AUDIT RISK ASSESSMENT AND AUDIT PLAN 2023/2024

There was submitted Report No 91-2023 by the Executive Director of Corporate Services, setting out the risk assessment undertaken by PricewaterhouseCoopers (PwC) and detailing their Internal Audit plans for Tayside Pension Fund for 2023/2024.

The Sub-Committee and Board reviewed and approved the Internal Audit plan by (PwC) as detailed in Appendix A of the report.

X TAYSIDE PENSION FUND INTERNAL AUDIT REPORT - CONTRIBUTION MONITORING REVIEW

There was submitted Report No 92-2023 by the Executive Director of Corporate Services, detailing the Audit Report prepared by the Funds Internal Auditor, PricewaterhouseCoopers (PwC).

The Sub-Committee and Board agreed to note the content of the report on the audit exercise undertaken and to approve the management response.

XI TREASURY POLICY STATEMENT 2023/2024

There was submitted Report No 93-2023 by the Executive Director of Corporate Services, revising the Funds Treasury Policy Statement which was intended to govern all treasury activities carried out by Tayside Pension Fund.

The Sub-Committee and Board approved the policies and procedures laid out in the Treasury Policy Statement 2023/2024, as detailed in the Appendix of the report, noting that the Treasury Policy Statement must be revised annually, and there were no changes.

XII TREASURY MANAGEMENT STRATEGY 2023/2024

There was submitted Report No 94-2023 by the Executive Director of Corporate Services, reviewing the Treasury Management Strategy for Tayside Pension Fund.

The Sub-Committee and Board approved the Treasury Management Strategy.

XIII PENSION ADMINISTRATION STRATEGY

There was submitted Report No 95-2023 by the Executive Director of Corporate Services, setting out the Funds policy in respect of the standards required of both the Fund and the participating employers to ensure that statutory obligations were met and also to demonstrate effective and efficient service delivery. The strategy contained a variety of performance measures against which the Fund and participating employers were assessed, with performance reported to the Sub-Committee and Board.

The Sub-Committee and Board agreed the strategy contained in the report.

XIV TAYSIDE PENSION FUND COMMUNICATIONS POLICY

There was submitted Report No 96-2023 by the Executive Director of Corporate Services, presenting a communications policy as required by the Local Government Pension Scheme (Scotland) Regulations 2014.

The Sub-Committee and Board approved the revised Communications Policy which had been reviewed in conjunction with the Funds Administration Strategy, noting that personal appointments for members were no longer suspended.

XV ENVIRONMENTAL, SOCIAL AND CORPORATE GOVERNANCE POLICY

There was submitted Report No 97-2023 by the Executive Director of Corporate Services, reviewing the Tayside Pension Funds Environmental, Social and Corporate Governance Policy.

The Sub-Committee and Board approved the policy, noting that there were no changes.

XVI FUNDING STRATEGY STATEMENT 2023

There was submitted Report No 98-2023 by the Executive Director of Corporate Services, reviewing the Funding Strategy Statements for the Tayside Pension Fund.

The Sub-Committee and Board approved the statement, noting that there were no changes.

XVII STATEMENT OF INVESTMENT PRINCIPLES REVIEW

There was submitted Report No 99-2023 by the Executive Director of Corporate Services, reviewing the Statement of Investment Principles for Tayside Pension Fund.

The Sub-Committee and Board approved the statement, noting that there were no changes.

XVIII TAYSIDE PENSION FUND BUSINESS PLAN 2023/2024

There was submitted Report No 100-2023 by the Executive Director of Corporate Services, introducing the annual business plan for the Tayside Pension Fund.

The Sub-Committee and Board:-

(i) noted the information contained within the report; and

(ii) approved the 2023/2024 Business Plan which applied to the administration and management of the Tayside Pension Fund.

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.

XIX TAYSIDE PENSION FUND

(a) TAYSIDE PENSION FUND PERFORMANCE SUMMARY

There was submitted Report No 101-2023 by the Executive Director of Corporate Services, reviewing the investment performance of the Funds Investment Managers for the quarter to 31st December, 2022. The report compared investment performance of the Fund with the Funds specific benchmarks which consisted of various stock 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 OCTOBER, 2022 TO 31ST DECEMBER, 2022

There was submitted Report No 83-2023 by the Executive Director of Corporate Services, reviewing the investment activities of Tayside Pension Funds five Fund Managers for the quarter to 1st October, 2022 to 31st December, 2022 and summarising the transactions of each Fund Manager and showing the market values of the Pension Fund.

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

(c) QUARTERLY FUNDING REPORT AS AT 31ST DECEMBER, 2022

There was submitted Report No 102-2023 by the Executive Director of Corporate Services, reviewing the current funding level of the Fund as assessed by the Fund Actuary.

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

(d) SECURITIES LENDING 6 MONTH ACTIVITY TO 31ST DECEMBER, 2022

There was submitted Report No 103-2023 by the Executive Director of Corporate Services, presenting an update on Securities Lending activity for the period ended 31st December, 2022.

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

XX ALTERNATIVE INVESTMENT MANDATE PROCUREMENT EXERCISE

There was submitted Report No 104-2023 by the Executive Director of Corporate Services, presenting a recommended plan to enable successful selection and appointment of a diversified markets manager for Tayside Pension Fund.

The Sub-Committee and Board:-

(i) noted the content of the report; and

(ii) approved delegation of authority to Officers to progress.

XXI ANNUAL PERFORMANCE REVIEW TO 31ST DECEMBER, 2022

There was submitted Report No 105-2023 by the Executive Director of Corporate Services, considering the Isio report Annual Review of Investment Performance 2022, completed in February, 2023.

The Sub-Committee and Board noted the content of the Isio report as detailed in Appendix A.

XI PRESENTATION

Sabriayah Denham and Jason Freeman from GSAM gave a short presentation to the Sub-Committee and Board.

After Ms Denham and Mr Freeman had given their presentation and answered questions from members, the Chair thanked the presenters on behalf of members of the Sub-Committee and Board.

Willie SAWERS, Chair.

At a MEETING of the RECESS SUB-COMMITTEE held remotely on 10th July, 2023.

APPENDIX II

Present:-

BAILIES

COUNCILLORS

Bailie Willie SAWERS, Convener, in the Chair.

Unless marked thus * all items stand delegated.

I DECLARATION OF INTEREST

There were no declarations of interest.

II APPOINTMENTS

(a) CONVENERS OF STANDING COMMITTEES

On a reference to Article II of the minute of meeting of the Policy and Resources Committee held on 26th June, 2023, wherein it was agreed that the following Standing Committees be established.

(i) City Council

(ii) Children, Families and Communities

(iii) Climate, Environment and Biodiversity

(iv) Fair Work, Economic Growth and Infrastructure

(v) Neighbourhood Regeneration, Housing and Estate Management

(vi) City Governance

Conveners of Standing Committees

The Sub-Committee agreed to the above appointments.

(b) DEPUTE CONVENERS OF STANDING COMMITTEES

Reference was made to Article II of the minute of meeting of the Policy and Resources Committee held on 26th June, 2023, wherein it was agreed that the following Standing Committees be established.

(i) City Council

(ii) Children, Families and Communities

(iii) Climate, Environment and Biodiversity

(iv) Fair Work, Economic Growth and Infrastructure

(v) Neighbourhood Regeneration, Housing and Estate Management

(vi) City Governance

Depute Conveners of Standing Committees

The Sub-Committee agreed to the above appointments.

(c) SPOKESPEOPLE

Reference was made to Article II of the minute of meeting of the Policy and Resources Committee held on 26th June, 2023, wherein it was agreed that the following positions as Spokespeople be established.

(i) Culture, History and Sport

(ii) Alcohol and Drugs

(iii) Equalities

(iv) Fairness and Wellbeing

(v) Lead Member for Health and Social Care

(vi) Older People

Spokespeople

The Sub-Committee agreed to the above appointments.

(d) ROLE

Reference was made to Article II of the minute of meeting of the Policy and Resources Committee held on 26th June, 2023, wherein it was agreed that the following role be established.

(e) DEPUTE LEADER OF DUNDEE CITY COUNCIL

The Sub-Committee agreed to the appointment of Bailie Willie Sawers to the above position.

Bailie Macpherson asked that his dissent and that of the other members of the Liberal Democrat Group be recorded in relation to the foregoing decisions as they did not consider that change was required.

III APPOINTMENTS AND MEMBERSHIP OF STANDING COMMITTEES, LICENSING BOARD, LOCAL REVIEW BODY AND AD HOCSUB-COMMITTEES ETC

Reference was made to Articles III and VII of the minute of the Statutory Meeting of the City Council held on 23rd May, 2022.

The Sub-Committee agreed the following amendments to the list of Appointments.

IV STANDING ORDERS AND SCHEMES OF ADMINISTRATION FOR FINANCIAL REGULATIONS, TENDER PROCEDURES AND DELEGATION OFPOWERS TO OFFICERS

There was submitted Report No 206-2023 by the Chief Executive, seeking approval for an amended Order of Reference to Committees and to recommend that it be remitted to the Head of Democratic and Legal Services to review the Councils Standing Orders and Schemes of Administration for Financial Regulations, Tender Procedures and Delegation of Powers to Officers.

The Sub-Committee agreed:-

(i) to approve the Order of Reference to Committees as detailed in the Appendix of the Report; and

(ii) to remit the Head of Democratic and Legal Services to review the Councils Standing Orders and Schemes of Administration for Financial Regulations, Tender Procedures and Delegation of Powers to Officers, in consultation with the Council Leadership Team, and to report back with recommendations in due course.

Bailie Macpherson asked that his dissent and that of the other members of the Liberal Democrat Group be recorded in relation to the above decisions as they did not consider that change was required.

V MEMBERS SALARIES

There was submitted Report No 209-2023 by the Executive Director of Corporate Services, recommending a revised scheme of salaries for elected members to be effective from 10th July, 2023 to reflect the Councils new Committee structure.

The Sub-Committee agreed to approve the members' salaries as set out in Appendix A of the report effective from 10th July, 2023.

VI CONTRACT FOR MANAGED PRINT SERVICES

There was submitted Report No 205-2023 by the Executive Director of Corporate Services, providing an update on the development of a sourcing strategy for the competitive procurement exercise for Managed Print Services and to seek approval to commence a compliant procurement process, leading to award of contracts.

The Sub-Committee agreed:-

(i) to approve the commencing of a procurement exercise in respect of the project described, based on the sourcing strategy, summarised in the report; and

(ii) to delegate authority to the Executive Director of Corporate Services to award a contract to the successful bidder, following a tender process carried out in compliance with the Public Contracts (Scotland) Regulations of 2015.

VII MODULAR CLASSROOM AND TOILET ACCOMMODATION - ST JOHNS HIGH SCHOOL

There was submitted Report No 207-2023 by the Executive Director of City Development, providing an update on the development of a sourcing strategy for the tender process for either the hire or purchase of modular accommodation at St Johns High School, comprising four additional classrooms, to support the immediate requirement for additional Enhanced Support Area (ESA) provision, and additional pupil sanitary provision to satisfy His Majestys Inspectorate of Education (HMIe) report requirements, and to seek approval to commence a compliant tender process, leading to award of a contract.

The Sub-Committee agreed to delegate authority to the Executive Director of City Development to finalise the procurement strategy and award a contract to the successful bidder, following a tender process carried out in compliance with the Public Contracts.

Willie SAWERS, Convener.