Agenda and decisions

A copy of the record of the previous decisions taken at Cabinet on 8 July 2016 are attached.

RECOMMENDED that the record of decisions taken at the Cabinet meeting held on 8 July 2016 be approved as a correct record to be signed by the Chair.

The Chief Executive will present the response report which is attached along with the Housing and Social Care Scrutiny Panel's published report which reviewed support services for people aged 16-25 living in isolation.  The HSC Scrutiny Panel was chaired by Councillor Darren Sanders.

RECOMMENDED that Cabinet notes the comments in relation to the Scrutiny Panel's recommendations at section 4 of the response report.

(The Leader undertook to circulate the panel's findings and the Chief Executive's response report to the appropriate Cabinet Members and Directors.)

DECISION: that Cabinet notes the comments in relation to the Scrutiny Panel's recommendations at section 4 of the response report.

The report by the Director of Children's Services seeks approval from the Cabinet for the "Stronger Futures" strategy to improve outcomes for children and families in Portsmouth through consistent application of effective, targeted, empowering approaches to helping families.

RECOMMENDED that Cabinet agree:

(1)       The "Stronger Futures 10 point plan" set out at appendix 1 for effective, proportionate support for children and families around health, wellbeing and safeguarding.

(2)       That the Cabinet Member for Adult Social Care and Public Health and the Cabinet Member for Children's Social Care are authorised to review and agree within the next three months the provider model and procurement process as appropriate for a refreshed integrated City Council early intervention offer bringing together current VCS contracts, Children's Centres and Public Health delivery.

(3)       That the council's contracts with Solent NHS for Health Visiting, School Nursing and Family Nurse Partnership are extended for a period of two years subject to the Cabinet Member for Adult Social Care and Public Health receiving a risk appraisal prepared by the Procurement Manager and City Solicitor; and that over the span of the Stronger Futures programme, arrangements are agreed to integrate delivery of these services operationally with the refreshed City Council early intervention offer.

DECISIONS the Cabinet agreed:

1)         The "Stronger Futures 10 point plan" set out at appendix 1 for effective, proportionate support for children and families around health, wellbeing and safeguarding.

(2)       That the Cabinet Member for Adult Social Care and Public Health and the Cabinet Member for Children's Social Care are authorised to review and agree within the next three months the provider model and procurement process as appropriate for a refreshed integrated City Council early intervention offer bringing together current VCS contracts, Children's Centres and Public Health delivery.

(3)       That the council's contracts with Solent NHS for Health Visiting, School Nursing and Family Nurse Partnership are extended for a period of two years subject to the Cabinet Member for Adult Social Care and Public Health receiving a risk appraisal prepared by the Procurement Manager and City Solicitor and subject to annual review of the contract value; and that over the span of the Stronger Futures programme, arrangements are agreed to integrate delivery of these services operationally with the refreshed City Council early intervention offer.

The necessary consultation with the relevant councillors took place before this urgent decision was taken by the Chief Executive on 24 June 2016. Details of the authorising memo are attached.

RECOMMENDED that the Cabinet note the urgent decision taken by the Chief Executive in response to the above matter in accordance with Standing Order 58 of the council's procedure rules. 

The Cabinet noted the urgent decision taken by the Chief Executive in response to the above matter in accordance with Standing Order 58 of the council's procedure rules. 

(NB This urgent decision is not subject to call-in)

The Chartered Institute of Public Finance and Accountancy’s (CIPFA) Prudential Code requires local authorities to calculate prudential indicators before the start of and after each financial year. Those indicators that the Council is required to calculate at the end of the financial year are contained in Appendix A of the report by the Director of Finance and Section 151 Officer.

The CIPFA Code of Practice on Treasury Management also requires the Section 151 Officer to prepare an annual report on the outturn of the previous year. This information is shown in Appendix B of the report.

RECOMMENDED TO COUNCIL that the following recommendations relating to Appendices A and B of this report be approved:

Appendix A - that the following actual prudential indicators based on the unaudited draft accounts be noted:

(a)    The actual ratio of non-Housing Revenue Account (HRA) financing costs to the non HRA net revenue stream of 11.9%;

(b)   The actual ratio of HRA financing costs to the HRA net revenue stream of 13.1%;

(c)    Actual non HRA capital expenditure for 2015/16 of £115,276,000;

(d)   Actual HRA capital expenditure for 2015/16 of £27,437,000;

(e)    The actual non HRA capital financing requirement as at 31 March 2016 of £280,516,000;

(f)     The actual HRA capital financing requirement as at 31 March 2016 of £154,734,000;

(g)   Actual external debt as at 31 March 2016 was £490,378,035 compared with £462,566,096 at 31 March 2015.

Appendix B - That the following actual Treasury Management indicators for 2015/16 be noted:

(a)   The Council’s gross debt less investments at 31 March 2016 was £118,551,000;

(b)   The maturity structure of the Council’s borrowing was

(c)   The Council’s sums invested for periods longer than 364 days at 31 March 2016 were:

(d)   The Council’s fixed interest rate exposure at 31 March 2016 was £220m, ie. the Council had net fixed interest rate borrowing of £220m

(e)    The Council’s variable interest rate exposure at 31 March 2016 was (£186m), ie. the Council had net variable interest rate investments of £186m.

The Cabinet supported the recommendations which are forwarded to Council for approval and are therefore not subject to call-in.

The purpose of the report by the Director of Finance and Section 151 Office is to review the current treasury management position and strategy and make recommendations to improve the strength and performance of the treasury management operation. This report seeks to further diversify the Council's investment portfolio by increasing the number of countries that the Council can invest in and by allowing investments with a BBB credit rating. Appendix A aims to inform members and the wider community of the Council’s current Treasury Management position and of the risks attached to that position.

The recommendations 1-9 need Council approval.

The Cabinet supported the recommendations which are forwarded to Council for approval and are therefore not subject to call-in.

The report by the Director of Finance & Information Service (S151 Officer), which is also submitted to Council, considers the government's offer of a four year funding settlement up to and including 2019/20 to any council that wishes to take it up.  Conditional upon acceptance by Government is the publication of an Efficiency Plan on the Council's website and the link being notified to the Department of Communities and Local Government (DCLG) by 14 October 2016.

RECOMMENDED that:

(1)  The government offer of a multi-year settlement to 2019/20 announced on 17 December 2015, be accepted

(2)  That in accepting the offer of a multi-year settlement, the Efficiency Plan clearly states that the Plan outlines the method by which the Council will pursue its necessary savings in response to both its cost pressures and government funding reductions but that there is no implied acceptance that those cost pressures and government funding reductions can be achieved through efficiencies alone without significant detriment to service provision.

The Cabinet supported RECOMMEDED to Council:

(1)       The government offer of a multi-year settlement to 2019/20 announced on 17 December 2015, be accepted

(2)       That in accepting the offer of a multi-year settlement, the Efficiency Plan clearly states that the Plan outlines the method by which the Council will pursue its necessary savings in response to both its cost pressures and government funding reductions but that there is no implied acceptance that those cost pressures and government funding reductions can be achieved through efficiencies alone without significant detriment to service provision.

(NB this is referred to Council and is therefore not subject to call-in._

The report by the Director of Finance & Information Service (S151 Office) considers the Council's Efficiency Plan which is proposed for endorsement and is required to be published on the Council's website and the link notified to the Department of Communities and Local Government (DCLG) by 14 October 2016 should the Council choose to accept the government's offer of a four year funding settlement up to and including 2019/20 (elsewhere on this agenda). The Efficiency Statement also includes a "Flexible Use of Capital Receipts Strategy" for endorsement.

RECOMMENDED that the Efficiency Plan is endorsed.

DECISION: that the Efficiency Plan is endorsed.

The report by the Director of Finance & Information Service updates members on the current Revenue Budget position of the Council as at the end of the first quarter for 2016/17 in accordance with the proposals set out in the "Portsmouth City Council - Budget & Council Tax 2016/17 & Medium Term Budget Forecast 2017/18 to 2019/20" report approved by the City Council on 9^th February 2016.

(The recommendations will need to be forwarded to Council for approval)

The Cabinet supported the recommendations which are forwarded to Council for approval and are therefore not subject to call-in.

“That, under the provisions of Section 100A of the Local Government Act, 1972 as amended by the Local Government (Access to Information) Act, 1985, the press and public be excluded for the consideration of the following item on the grounds that the report(s) contain information defined as exempt in Part 1 of Schedule 12A to the Local Government Act, 1972”.

The public interest in maintaining the exemption must outweigh the public interest in disclosing the information.

Under the Local Authorities (Executive Arrangements) (Meetings and Access to Information) England Regulations 2012, regulation 5, the reasons for exemption of the listed item is shown below.

Members of the public may make representation as to why the item should be held in open session.  A statement of the Council’s response to representations received will be given at the meeting so that this can be taken into account when members decide whether or not to deal with the item under exempt business.

(NB     The exempt/confidential committee papers on the agenda will contain information which is commercially, legally or personally sensitive and should not be divulged to third parties.  Members are reminded of standing order restrictions on the disclosure of exempt information and are invited to return their exempt documentation to the Local Democracy Officer at the conclusion of the meeting for shredding.)

To seek authority to enter into a 'sale and leaseback' transaction in relation to the Council's legal interest in land on White Hart Road, leased to Wightlink Ltd as depicted on the plan at appendix 1.

RECOMMENDED that Cabinet authorises:

(1)       The grants a new headlease and leaseback in land on White Hart Road, Portsmouth

(2)       A delegated authority to the Director of Property and the Director of Finance & Section 151 Officer, taking advice from the City Solicitor, and in consultation with the Leader of the City Council, to approve the completion of disposal in (1) above.

(3)       The reinvestment of the Capital receipt produced by the transaction into the property investment strategy, in order to spread risk and deliver an improved financial return.

DECISION that Cabinet authorised:

(1)       Granting a new headlease and leaseback in land on White Hart Road, Portsmouth.

(2)       A delegated authority to the Director of Property and the Director of Finance & Section 151 Officer, taking advice from the City Solicitor, and in consultation with the Leader of the City Council, to approve the completion of disposal in (1) above.

(3)       The reinvestment of the Capital receipt produced by the transaction into the property investment strategy, in order to spread risk and deliver an improved financial return.