Agenda, decisions and minutes

Cabinet
Tuesday, 18 July 2017 2.00 pm

Venue: Ashcombe Suite, County Hall, Kingston upon Thames, Surrey KT1 2DN

Contact: Vicky Hibbert or Anne Gowing  020 8541 9938 Email: anne.gowing@surreycc.gov.uk

Webcast: View the webcast

Items
No. Item

115/17

Apologies for Absence

116/17

Minutes of Previous Meeting:

117/17

Declarations of Interest

    All Members present are required to declare, at this point in the meeting or as soon as possible thereafter

    (i)            Any disclosable pecuniary interests and / or

    (ii)           Other interests arising under the Code of Conduct in respect of any item(s) of business being considered at this meeting

    NOTES:

    ·         Members are reminded that they must not participate in any item where they have a disclosable pecuniary interest

    ·         As well as an interest of the Member, this includes any interest, of which the Member is aware, that relates to the Member’s spouse or civil partner (or any person with whom the Member is living as a spouse or civil partner)

    ·         Members with a significant personal interest may participate in the discussion and vote on that matter unless that interest could be reasonably regarded as prejudicial.

    Additional documents:

    Minutes:

    Mr Oliver declared an interest in relation to Items 6 and 17 and stated that he would leave the room during the discussion and voting on this item.

     

    Mr Kemp also declared an interest in relation to Item 11 but stated his intention to participate in the voting and discussion in relation to the item.

     

118/17

Procedural Matters

118/171

Members' Questions pdf icon PDF 273 KB

    (i)    The deadline for Member’s questions is 12pm four working days before the meeting (12 July 2017).

     

    Additional documents:

    Decision:

    There were three questions received from Members. The questions and responses are attached as Appendix 1.

    Minutes:

    Four questions were received. The questions and responses are attached as Appendix 1.

     

    Supplementary Questions

     

    Q1. In response to a request, from Mrs Watson, for the names of the unsafe care homes the Cabinet Member responded that he would need to check with the Legal Team and provide names after the meeting.  He also went on to state that a provider failure protocol was in place and that a safety team visits the care homes on a regular basis to ensure that problems highlighted by the Care Quality Commission were being corrected.  New residents would not be moved into an unsafe care home and as a last resort current residents could be moved out.

     

    Q3. In response to a supplementary question from Mr Essex the Leader confirmed that there was a forecast overspending of approximately £24m.  He also stated that annex 2 of the agenda report was welcome and that there were very stiff savings targets for the next few years and onwards.

     

119/17

Public Questions pdf icon PDF 338 KB

    The deadline for public questions is seven days before the meeting (11 July 2017).

     

    Additional documents:

    Decision:

    There were four questions received from the public. The questions and responses are attached as Appendix 2.

    Minutes:

    There were four questions received from the public. The questions and responses are attached as Appendix 2.

     

    Karin Barratt and Andrea Collings were invited to give their supplementary questions and they would be responded to together.

     

    Karin Barratt made the following points:

    ·         Budget options models for Beeches was drawn up with service users

    ·         When comparing costs of 1b with model 5 this was not far off from the preferred option of parents.

    ·         Was the £150k for spot purchasing on top of, or contained within, costs given?

    ·         The Disability Team seemed to be unaware of what was available for spot purchasing and she was having difficulty finding the right person to speak to about this.

     

    Andrea Collings made the following points:

    ·         The number of hours was not judged on need but on number of hours accessed.  There was a need to identify barriers to getting through the assessment process.

    ·         Short breaks were not advertised through the Council and it was mainly through word of mouth that parents got to hear of it.  She was concerned that Cabinet could not be confident of making a value for money decision.

    ·         Travel costs to venues outside of the county would need to be added on.

    ·         Many families would be happy to keep their children under children’s services until the age of 19 years when they finished school, rather than they transfer to adult services at 18 which was an additional cost.

     

     The Leader thanked Karin Barritt and Andrea Collings for the details statements and explained that the concerns raised would be picked up in the debate under item 6.

     

     

120/17

Petitions

121/17

Representations received on reports to be considered in private

122/17

Reports from Select Committees, Task Groups, Local Committees and other Committees of the Council pdf icon PDF 19 KB

123/17

Recommendations for awards of contracts and grants to provide Short Breaks in Surrey pdf icon PDF 569 KB

    High-quality, locally delivered short breaks make a huge difference to over 2,200 children and young people with special educational needs and/or disabilities (SEND) in Surrey each year. Short breaks enable children and young people to achieve better outcomes by having fun, seeing their friends and trying new activities, whilst also giving families a much needed break from caring. Alongside this, Surrey County Council (SCC) has a range of statutory duties and responsibilities that it needs to fulfil in relation to short breaks provision.

    This paper sets out proposed funding awards for a range of short breaks in Surrey, including overnight residential and play and leisure services, and specific grant-funded projects. Acknowledging the vital role played by short breaks, SCC has maintained the budget at £3.1 million, at a time of significant financial challenge.

    These proposals are the result of a countywide re-commissioning project, which has aimed to achieve better outcomes for families and better value for money for our residents. To do this we have co-designed and co-commissioned short breaks with families, in partnership with Family Voice Surrey. Families have worked with us to analyse need and review existing services, explore and design new options, and evaluate bids received by providers looking to deliver short breaks.

    We know that developments to short breaks services can be unsettling for families and we are committed to working with current and new providers to manage any changes as smoothly as possible. This report summarises the impact of our proposals on families in an Equality Impact Assessment and sets out mitigation of any negative impacts, informed by a recent six-week public engagement with families about the proposals.

    Due to the commercial sensitivity involved in the contract award process, the names of the providers are listed in this report; however, all financial details and a summary of evaluation scores have been circulated in a Part 2 report.

     

    N.B. An Annex containing exempt information is contained in Part 2 of the agenda – item 17.

     

    [The decisions on this item can be called in by the Children and Education Select Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the proposed contract and grant awards for short breaks in Surrey be approved.

     

    Reasons for Decisions:

     

          I.        The new proposals will enable families of children with SEND to achieve better outcomes from their short breaks, because they have been co-designed with families (supported by Family Voice Surrey) in response to what they told us was most important.

     

        II.        Current contracts for short breaks services are ending on 30 November 2017 and the Council has statutory duties to provide these services, so we have to secure future provision for families.

     

       III.        As a result of the legally compliant short breaks tender there will be a 4.5% increase in hours of play and leisure short breaks and these services will be provided more locally.

      IV.        Awarding block contracts and grants for a minimum of three years and four months will give families certainty about the short breaks offer, whilst also securing high-quality provision and value for money for the Council.

    [The decisions on this item can be called in by the Children and Education Select Committee]

    Minutes:

    The Cabinet Member for Education gave a very detailed introduction to this report that described how high-quality, locally delivered short breaks made a huge difference to over 2,200 children and young people with special educational needs and/or disabilities (SEND) in Surrey each year. Short breaks enabled children and young people to achieve better outcomes by having fun, seeing their friends and trying new activities, whilst also giving families a much needed break from caring. Alongside this, Surrey County Council (SCC) had a range of statutory duties and responsibilities that it needed to fulfil in relation to short breaks provision.

     

    The report also set out proposed funding awards for a range of short breaks in Surrey, including overnight residential and play and leisure services, and specific grant-funded projects. Acknowledging the vital role played by short breaks, SCC has maintained the budget at £3.1 million, at a time of significant financial challenge.

     

    Due to the commercial sensitivity involved in the contract award process, the names of the providers are listed in this report; however, all financial details and a summary of evaluation scores have been circulated in a Part 2 report as agenda item 17.

     

    It was explained that Surrey County Council (SCC) had a legal duty to review its contracts with providers of short breaks every 3-5 years. This allowed new providers to have the opportunity to bid and which could lead to improved provision coming from new ideas and input.

     

    The council were aware that changes in provision could cause uncertainty and it was recognised that this can be particularly difficult for families of children with special educational needs and disabilities. All parents have to have a high level of trust when they pass their children to the care of another person, but this was particularly so when the child or young person had special needs which may prevent them from speaking or acting for themselves.

     

    Short breaks were closely linked to the SEND 2020 Development Plan through which the development of independence in children and young people was encouraged. Changes can be for the better and, after a settling in period, many families should feel the benefit of the recommissioning which has been done in line with their suggestions following a wide ranging consultation process

     

    She explained what short breaks were and how many people used them and stressed the importance of the role played by short breaks in that the County Council had protected the budget of £3.1 million for short break services in Surrey when many other services are experiencing reduction.

     

    Council officers had worked with families at each stage of the process of recommissioning in order to use the opportunity to respond more fully to their needs. They would also continue to work with families of users of The Beeches to ensure that children settle into new places.  In response to a parent query she stated that if Beeches was to be leased at £0.6m this would need to come out of the £1.3m for the  ...  view the full minutes text for item 123/17

124/17

Surrey County Council's Cabinet Adoption of the Revised Surrey Approved Syllabus for Religious Education pdf icon PDF 135 KB

    The Agreed Syllabus for Religious Education (RE) must be reviewed by the local Standing Advisory Council on Religious Education (SACRE) at least every five years. This has been done and a new syllabus has been approved by the Surrey SACRE, however, before it is recommended to Surrey schools, it must be adopted formally by the County Council.

     

    [The decisions on this item can be called in by the Children and Education Select Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the 2017 revised Agreed Syllabus for Religious Education in Surrey be adopted.

     

    Reason for Decision:

     

    There had been a number of significant changes in curriculum delivery, content and in guidance from the Department of Education since the existing syllabus was adopted, rendering it no longer fit for purpose. There had been a complete review of the content by qualified teachers and the Advisor to the SACRE and the revised syllabus could now be recommended for adoption by schools in September 2017. The action being proposed will have benefits for the residents of Surrey in as much as teachers will be able to begin a new academic year by teaching a more relevant RE curriculum that complies with national guidance, prepares young people well for examination courses in RE, and more accurately reflects the values and beliefs of citizens in this country.

     

    [The decisions on this item can be called in by the Children and Education Select Committee]

    Minutes:

    The Cabinet Member for Education introduced the report that explained that the Agreed Syllabus for Religious Education (RE) must be reviewed by the local Standing Advisory Council on Religious Education (SACRE) at least every five years.

    She explained how RE encourages understanding of different faiths and from understanding comes deeper tolerance and sensitivity. In the prevention of radicalisation, the idea that one’s beliefs are understood and acknowledged has an important part to play. In this context the work of SACRE was very important.  She thanked County Councillors Colin Kemp, Mike Goodman and Keith Taylor as well as Margaret Hicks (retired) who were on SACRE and worked on the syllabus.

     

    The key changes to the syllabus were outlined on page 68 of the agenda which were all practical changes to ensure a flow through the education system giving coherence and logical flow being essential if children were to have a clear understanding of the beliefs of others and to succeed in the examination system.

     

    The new syllabus must be adopted formally by the County Council before it is recommended to Surrey schools.

     

    The resolution was unanimous.

     

    RESOLVED:

     

    That the 2017 revised Agreed Syllabus for Religious Education in Surrey be adopted.

     

    Reason for Decision:

     

    There had been a number of significant changes in curriculum delivery, content and in guidance from the Department of Education since the existing syllabus was adopted, rendering it no longer fit for purpose. There had been a complete review of the content by qualified teachers and the Advisor to the SACRE and the revised syllabus could now be recommended for adoption by schools in September 2017. The action being proposed will have benefits for the residents of Surrey in as much as teachers will be able to begin a new academic year by teaching a more relevant RE curriculum that complies with national guidance, prepares young people well for examination courses in RE, and more accurately reflects the values and beliefs of citizens in this country.

125/17

Sunbury Manor Secondary School, Sunbury on Thames pdf icon PDF 226 KB

    There is a forecast need for additional Secondary Places in Spelthorne by 2020. Many Primary Schools within the vicinity of Sunbury Manor Secondary School have had bulge classes and permanent expansions, consequently the need for additional Secondary School places is emerging.

     

    This paper provides the Business Case for the expansion of Sunbury Manor School, a standalone academy. The school currently operates as an eight Form of Entry (Published Admission number of 240 and a total school capacity of 1200 places) co-educational 11-16 school with a specialist centre for pupils with communication and interaction needs. The school is currently rated ‘Good’ by Ofsted.

     

    The proposal is to expand the school by one 1 form of entry to 9 forms of entry per year from September 2020. A form of entry is normally 30 students. The school would change its Published Admission Number from 240 to 270 and grow incrementally over a five year period to total school capacity of 1350 places. This will provide in total an additional 150 secondary places in the Sunbury area of Spelthorne.

     

    The expansion will enable Surrey County Council to meet the forecast demand for secondary school places in Spelthorne borough. Any existing surplus places at the school are in upper years, as the larger intake years (year 7 pupils) replace these smaller older year groups these vacant places will be reduced.

     

    N.B. An Annex containing exempt information is contained in Part 2 of the agenda – item 18.

     

    [The decisions on this item can be called in by the Corporate Services Select Committee and/or the Children and Education Select Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That, subject to the agreement of the detailed financial information for the expansion as set out in Part 2 of this agenda as agenda item 18, the business case for the provision of an additional form of entry (30 places per year) providing, in total, 150 secondary places at Sunbury Manor School from September 2020 be approved.

     

    Reason for Decision:

     

    The proposal supports the Authority’s statutory obligation to provide sufficient school places to meet the needs of the population in Spelthorne Borough by providing Year 7 places when and where they are needed.

     

    [The decisions on this item can be called in by either the Corporate Services Select Committee and/or the Children and Education Select Committee]

     

    Minutes:

    The Cabinet Member for Education presented the report that detailed a forecast need for additional Secondary Places in Spelthorne by 2020. Many Primary Schools within the vicinity of Sunbury Manor Secondary School had had bulge classes and permanent expansions; consequently the need for additional Secondary School places was emerging.

     

    This report provided the Business Case for the expansion of Sunbury Manor School, a standalone academy. The school currently operated as an eight Form of Entry (Published Admission number of 240 and a total school capacity of 1200 places) co-educational 11-16 school with a specialist centre for pupils with communication and interaction needs. The school was currently rated ‘Good’ by Ofsted.

     

    The proposal was to expand the school by one 1 form of entry to 9 forms of entry per year from September 2020. A form of entry is normally 30 students. The school would change its Published Admission Number from 240 to 270 and grow incrementally over a five year period to total school capacity of 1350 places. This would provide, in total, an additional 150 secondary places in the Sunbury area of Spelthorne.

     

    The expansion would enable Surrey County Council to meet the forecast demand for secondary school places in Spelthorne borough. Any existing surplus places at the school are in upper years, as the larger intake years (year 7 pupils) replace these smaller older year groups these vacant places will be reduced.

     

    The resolution was unanimous.

     

    RESOLVED:

     

    That, subject to the agreement of the detailed financial information for the expansion as set out in Part 2 of this agenda as agenda item 18, the business case for the provision of an additional form of entry (30 places per year) providing, in total, 150 secondary places at Sunbury Manor School from September 2020 be approved.

     

    Reason for Decision:

     

    The proposal supports the Authority’s statutory obligation to provide sufficient school places to meet the needs of the population in Spelthorne Borough by providing Year 7 places when and where they are needed.

     

126/17

Monthly Budget Monitoring Report pdf icon PDF 134 KB

    Surrey County Council takes a multiyear approach to its budget planning and monitoring, recognising the two are inextricably linked. This report presents the Council’s financial position as at 30 June 2017 (month three).

     

    Please note that the Annex to this report will be circulated separately prior to the Cabinet meeting.

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the report be noted, including the following:

     

    1.       Early forecast revenue budget outturn for 2017/18, ahead of identifying

    mitigating actions, was £24m overspend, as detailed in Annex, paragraph 1 of the submitted report. This includes: £9m savings to be identified, £7m savings considered unachievable, and £11m service pressures.

     

    2.       Forecast savings for 2017/18 total were £88.5m against £104.0m target, as set out in the Annex, paragraph 28 of the submitted report.

     

    3.       The Section 151 Officer’s commentary and the Monitoring Officer’s Legal

    Implications commentary, as set out in paragraphs 15 to 18 of the submitted report.

     

    4.       That the following revenue budget virements, as detailed in the Annex, paragraph 27 of the submitted report be approved:

    · £6.9m from Central Income & Expenditure to Budget Equalisation Reserve;

    and

    · £0.12m from Budget Equalisation Reserve for sums carried forward to

    support corporate apprenticeships.

     

    5. That the following capital budget carry forward, funding adjustment and re-profile requests be approved:

     

    · £45.9m net movement on the Property service capital budget comprising

    £10.0m carried forward from 2016/17 and £55.9m rescheduled from 2017/18

    to the remaining years of the capital programme, as set out in the Annex, paragraph 45) of the submitted report.

     

    · £1.0m net movement on the Information Technology and Digital capital

    budget, comprising £0.9m carried forward from 2016/17 and £0.1m brought

    forward from the remaining years of the capital programme, as set out in the Annex,

    paragraph 46 of the submitted report.

     

    Reasons for Decisions:

     

    This report is presented to comply with the agreed policy of providing a monthly budget monitoring report to Cabinet for approval and action as necessary.

     

    [The decisions on this item can be called in by the Overview and Budget Select Committee]

     

    Minutes:

    The Leader of the Council presented the budget monitoring report for the third month of the 2017/18 financial year, covering the period up to 30 June 2017. 

     

    He explained that in February the council had set its budget for 2017/18 in the face of significant rising demand pressures (particularly in social care); falling Government funding and continuing restraint on the ability to raise funds locally. To balance 2017/18’s budget the council had to make plans to deliver unprecedented £104m savings. This challenge came on top of making over £494m savings since 2009.

     

    He said that after three months of the new financial year, services have already achieved over £38m of savings with another £30m on track for delivery. While this early progress was good, £6m savings were considered at serious risk and £7m of savings were considered to be unachievable in 2017/18 (including nearly £3m each in Early Help and Waste Disposal, plus £1m due to delays in Fire & Rescue Service savings). Whilst £9m of savings had yet to be identified fully, Cabinet Team and Senior Management had held discussions which were progressing.

     

    He also explained that in setting the 2017/18 budget, the council faced significant demand and cost pressures, mostly in social care.  The first three months of this financial year had seen pressures intensify above what was expected even a short time ago.   For example, in Children’s Services, increasing demand was adding a further £9m pressure. In Public Health, retendering of a major contract was adding £2m pressure.

     

    He said that whilst there were some offsetting forecast underspends, such as in Schools and SEND, at this early stage of the financial year and before the council has identified mitigating actions, the combined impact of the lower savings and rising demand was £24m forecast overspend for 2017/18.

     

    He stated that the report showed there was some way to go before a sustainable medium term financial plan was achieved. There were many reasons for the need to restore the financial position and as pointed out by the Section 151 and Monitoring Officers, was the requirement of the Local Government Finance Act to ensure our spending does not exceed our resources.  Given the gravity of this forecast position, it was vital that members and officers continue to identify and implement ways to mitigate the impact of savings shortfalls and service pressures. The council needed to identify and implement alternative savings and cost reductions quickly to address the ongoing issues affecting the 2017/18 budget and the council’s future financial sustainability.

     

    Other Cabinet Members were invited to highlight the key points and issues from their portfolios, as set out in the annex to the report.

     

    The resolution was unanimous.

     

    RESOLVED:

     

    That the report be noted, including the following:

     

    1.    Early forecast revenue budget outturn for 2017/18, ahead of identifying mitigating actions, was £24m overspend, as detailed in Annex, paragraph 1 of the submitted report. This includes: £9m savings to be identified, £7m savings considered unachievable, and £11m service pressures.

     

    2.    Forecast savings  ...  view the full minutes text for item 126/17

127/17

Leadership Risk Register pdf icon PDF 133 KB

    The Surrey County Council Leadership risk register is presented to Cabinet each quarter and this report presents the Leadership risk register as at 30th June 2017.

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the content of the Surrey County Council Leadership risk register (Annex 1 to the report) was noted and the control actions put in place by the Statutory Responsibilities Network endorsed.

     

    Reason for Decision:

     

    To enable the Cabinet to keep Surrey County Council’s strategic risks under review and to ensure that appropriate action is being taken to mitigate risks to a tolerable level in the most effective way.

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Minutes:

    The Cabinet Member for Business and Property Services introduced the Surrey County Council Leadership risk register as at 30 June 2017.

     

    The Cabinet Member for Environment and Highways stated that closer links with borough colleagues be included under L4 on the register.

     

    In response to a query from the Cabinet Member for Health, regarding the retirement of the Chief Executive, the Leader explained that:

     

    ·    He had spoken with People, Performance and Development Committee and was to meet with them next week to look at the role of a new chief executive and following that meeting a job description would be drafted.

    ·    Potential candidates would be sought for far and wide to ensure quality of candidate and to get the right person for the job.

    ·    The process would be open, fair and transparent.

     

    RESOLVED:

     

    That the content of the Surrey County Council Leadership risk register (Annex 1 to the report) was noted and the control actions put in place by the Statutory Responsibilities Network endorsed.

     

    Reason for Decision:

     

    To enable the Cabinet to keep Surrey County Council’s strategic risks under review and to ensure that appropriate action is being taken to mitigate risks to a tolerable level in the most effective way.

128/17

Annual Report of the Shareholder Board pdf icon PDF 130 KB

    As part of its strategy to innovate in developing new models of delivery and to benefit from the freedoms introduced by the Localism Act, Surrey County Council has made investments and created trading companies to deliver income and efficiencies and in doing so has established a Shareholder Board, which reports annually to the Council.   The purpose of the Board is to safeguard the council’s interest as shareholder and to take decisions in matters that require the approval of the Council as owner of a company. 

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the Annual Report of the Shareholder Board, attached as Annex A to the submitted report, be endorsed and that the Cabinet present the report to Council at its meeting on 10 October 2017.

     

    Reasons for Decision:

     

    To inform the Council about the activities of the Shareholder Board. 

     

    The Shareholder Board has been established in accordance with best practice governance to ensure effective oversight and alignment with the strategic objectives and values of the Council.

     

    [The decisions on this item can be called in by the Overview and Budget Select Committee]

     

     

    Minutes:

    As part of its strategy to innovate in developing new models of delivery and to benefit from the freedoms introduced by the Localism Act, Surrey County Council had made investments and created trading companies to deliver income and efficiencies and in doing so has established a Shareholder Board, which reports annually to the Council.   The purpose of the Board was to safeguard the council’s interest as shareholder and to take decisions in matters that required the approval of the Council as owner of a company.  The Leader of the Council requested Cabinet approval for the Annual Report of the Shareholder Board, which would be presented to full County Council at its meeting on 10 October 2017.

     

    RESOLVED:

     

    That the Annual Report of the Shareholder Board, attached as Annex A to the submitted report, be endorsed and that the Cabinet present the report to Council at its meeting on 10 October 2017.

     

    Reasons for Decision:

     

    To inform the Council about the activities of the Shareholder Board. 

     

    The Shareholder Board has been established in accordance with best practice governance to ensure effective oversight and alignment with the strategic objectives and values of the Council.

     

129/17

Investment Board Annual Report pdf icon PDF 135 KB

    The Investment Strategy agreed by Cabinet in July 2013 was developed in response to the requirement for the Council to enhance its financial resilience in the longer term.  In facilitation of this strategy, Cabinet approved the business case for the creation of a property company and associated subsidiaries in May 2014 in order to achieve a balanced property portfolio (across sectors and geographies) to generate an income for the Council.  The property company, Halsey Garton Property Ltd, and its subsidiaries are referred to in this report as “the Halsey Garton Property Group” (HGP).

    The Investment Board was created in March 2017 to approve property investment acquisitions, property investment management expenditure, property investment disposals and the provision of finance to HGP for the purposes of the strategy.  Prior to this an Investment Advisory Board was in place to make recommendations for Cabinet decision.  This annual report providing details of the investment property portfolio forms part of these changed governance arrangements.

    N.B. An Annex containing exempt information is contained in Part 2 of the agenda – item 19.

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That the Annual Report of the Investment Board be endorsed.

     

    Reason for Decision:

     

    To inform the Cabinet about the activities of the Investment Board.  The Investment Board are responsible for the delivery of the agreed Investment Strategy.  The Investment Strategy was created by the Council to deliver an ongoing and resilient source of income to provide financial support to the Council’s front line services.  Investments undertaken as a result of the strategy agreed in 2013 are successfully delivering a net income stream to the council.  

     

    [The decisions on this item can be called in by the Overview and Budget Select Committee]

     

    Minutes:

    The Investment Strategy agreed by Cabinet in July 2013 was developed in response to the requirement for the Council to enhance its financial resilience in the longer term.  In facilitation of this strategy, Cabinet approved the business case for the creation of a property company and associated subsidiaries in May 2014 in order to achieve a balanced property portfolio (across sectors and geographies) to generate an income for the Council.  The property company, Halsey Garton Property Ltd, and its subsidiaries are referred to in this report as “the Halsey Garton Property Group” (HGP).

    The Investment Board was created in March 2017 to approve property investment acquisitions, property investment management expenditure, property investment disposals and the provision of finance to HGP for the purposes of the strategy.  Prior to this an Investment Advisory Board was in place to make recommendations for Cabinet decision.  The annual report details the investment property portfolio and forms part of the changed governance arrangements. A further report providing more detailed portfolio information was provided as a part 2 confidential annex (agenda item 19).

     

    RESOLVED:

     

    That the Annual Report of the Investment Board be endorsed.

     

    Reason for Decision:

     

    To inform the Cabinet about the activities of the Investment Board.  The Investment Board are responsible for the delivery of the agreed Investment Strategy.  The Investment Strategy was created by the council to deliver an ongoing and resilient source of income to provide financial support to the council’s front line services.  Investments undertaken as a result of the strategy agreed in 2013 are successfully delivering a net income stream to the council.  

130/17

Award of contract for Property Investment Advisory Services pdf icon PDF 212 KB

    The Cabinet reviewed the Investment Strategy in March 2017 and confirmed its ambitions to grow the investment portfolio further in order to secure an income stream in support of the council’s services.  It was recognised that the strategy requires the support of a property investment advisor to provide the necessary skills and level of support required to expand the investment portfolio.

     

    This report seeks approval to award a contract for Surrey County Council under the Homes and Communities Agency (HCA) Framework Agreement for the provision of property investment advisory services to commence on 1 September 2017 as detailed in the recommendations. The role of the Investment Advisor will be to provide resource and necessary skills to undertake strategic property investment advice (Portfolio Management), advice on the acquisition and disposal of assets (Investment Management) and ongoing Asset Management services to support Finance, Property and Legal Services in meeting the objectives set by Cabinet in connection with the revised Investment Strategy.

     

    The report provides details of the procurement process, including the results of the evaluation process and, in conjunction with the Part 2 report, demonstrates why the recommended contract award delivers best value for money.

     

    Due to the commercial sensitivity involved in the contract award process the financial details of the recommended supplier has been circulated as a Part 2 report.

     

    N.B. An Annex containing exempt information is contained in Part 2 of the agenda – item 20.

     

    [The decisions on this item can be called in by the Corporate Services Select Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    That a contract is awarded to CBRE under the Homes and Communities Agency framework for three years from 1 September 2017 with an option to extend for one year.

     

    Reason For Decision:

     

    In March 2017 Cabinet set out its ambitions for the further growth of the Investment Portfolio and the procurement of a property investment advisor to provide the necessary skills and level of support required. The proposed procurement will support the Council to grow its portfolio and increase the level of income received from investments thereby enhancing its financial resilience over the longer term.

     

    [The decisions on this item can be called in by the Corporate Services Select Committee]

     

    Minutes:

    The Cabinet Member for Property and Business Services introduced the report that explained how Cabinet had reviewed the Investment Strategy in March 2017 and confirmed its ambitions to grow the investment portfolio further in order to secure an income stream in support of the council’s services.  It was recognised that the strategy requires the support of a property investment advisor to provide the necessary skills and level of support required to expand the investment portfolio.

     

    This report sought approval to award a contract for Surrey County Council under the Homes and Communities Agency (HCA) Framework Agreement for the provision of property investment advisory services to commence on 1 September 2017 as detailed in the recommendations. The role of the Investment Advisor was to provide resource and necessary skills to undertake strategic property investment advice (Portfolio Management), advice on the acquisition and disposal of assets (Investment Management) and ongoing Asset Management services to support Finance, Property and Legal Services in meeting the objectives set by Cabinet in connection with the revised Investment Strategy.

     

    The Cabinet Member for Property and Business Services highlighted details of the procurement process, including the results of the evaluation process and, in conjunction with the Part 2 report, demonstrated why the recommended contract award delivers best value for money.  He also explained that regular monitoring of performance would take place.

     

    The Leader stated that he was pleased there had been the amount of interest shown in this contract with 13 showing initial interest which led to 8 bidders.  He also stressed the need to increase the long term income stream for the council.

     

    Due to the commercial sensitivity involved in the contract award process the financial details of the recommended supplier has been circulated as a Part 2 report (agenda item 20).

     

    RESOLVED:

     

    That a contract is awarded to CBRE under the Homes and Communities Agency framework for three years from 1 September 2017 with an option to extend for one year.

     

    Reason For Decision:

     

    In March 2017 Cabinet set out its ambitions for the further growth of the Investment Portfolio and the procurement of a property investment advisor to provide the necessary skills and level of support required. The proposed procurement will support the Council to grow its portfolio and increase the level of income received from investments thereby enhancing its financial resilience over the longer term.

131/17

Winter Service Cost Savings Proposals pdf icon PDF 410 KB

    Winter Service is provided by Surrey County Council (SCC) to enable the residents of Surrey to carry out their everyday activities during periods of winter weather.  Preventing icy roads and keeping priority roads and footways usable during snowy conditions contributes to the corporate goals by keeping residents safe as they travel about and maintaining the availability of key routes so residents have choices on travel.  In addition the impact on the economy of severe weather is minimised. 

     

    In the Medium Term Financial Plan (MTFP) a reduction of £340,000 has been made to the Winter Service Budget.  This saving could not be realised in 2016/17 and therefore one off compensating savings had to be made by reducing levels of service in other Highways and Transport areas. In 2017/18 there have been further budget reductions against other Highways & Transport activities, which has resulted in reductions to levels of service and significantly reduced the opportunity to continue to find compensating savings.

     

    Surrey Highways officers and our contractor, Kier, have considered where savings could be made, primarily by changing ways of working, to ensure that as far as possible current levels of service are maintained.   We have been able to identify efficiencies that reduce costs whilst still retaining our ability to meet our statutory responsibilities and provide a resilient winter service.

     

    [The decision on this item may be called in by the Environment and Infrastructure Select Committee]

    Additional documents:

    Decision:

    RESOLVED:

     

    1.         That the policy changes, policy amendment and savings recommendation summarised in paragraph 17 of the report be approved.

    2.         the Environment and Infrastructure Select Committee recommendations as detailed within paragraph 14 of the report be noted.

     

    Reason for Decisions:

     

    To enable savings of £340,000 from the Winter Service Budget identified in the Medium Term Financial Plan to be realised.

     

    [The decisions on this item can be called in by the Environment and Infrastructure Select Committee]

     

    Minutes:

    Mr Stephen Cooksey was given the opportunity to speak to this item as a Member previously involved with the task group under the previous council.  He made the following statements:

     

    ·         Policy change 2 was rejected by the task group as it was thought that one mini gritter was not enough for the whole county.

    ·         If the grit bins were not surveyed how would it be known if they were being used or needed refilling.

    ·         Policy change 4 should be reviewed after one year to see if it was working.

    ·         That saving recommendation 3 should be removed unless local committees could change officer recommendations.

     

    The Cabinet Member for Highways introduced the report and responded to Mr Cooksey’s concerns as follows:

     

    ·         That the overall season length will be reduced in line with other authorities, but that the ability to react to an early cold spell will be still available.

    ·         The second mini gritter had not been widely used since it was added to the fleet and that routes have sufficient access for larger vehicles except in limited areas where a single mini gritter provides sufficient coverage and therefore felt comfortable having just the one mini gritter.

    ·         Members and the public reported when grit bins were empty and were encouraged to do so.  Grit bins reported as needing refilling would be refilled.  To stop surveying would save money and wasted journeys.

    ·         That policy changes 4 and 5 needed to be viewed together as each helped to deliver the other.  An in-house solution for software to manage grit bins is expected to be in place by next year.

    ·         A full list of routes that no longer meet the criteria as well as suggested changes for each area would be presented to every local/joint committee and not just chairmen, as it was recognised their local knowledge would be valuable in compiling the final gritting routes. 

    ·         The recommendations were supported by Environment and Infrastructure Select Committee with a few small amendments.

     

    RESOLVED:

     

    1.    That the policy changes, policy amendment and savings recommendation summarised in paragraph 17 of the report be approved.

     

    2.    That Environment and Infrastructure Select Committee recommendations as detailed within paragraph 14 of the report be noted.

     

    Reason for Decisions:

     

    To enable savings of £340,000 from the Winter Service Budget identified in the Medium Term Financial Plan to be realised.

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Leader / Deputy Leader / Cabinet Member Decisions/ Investment Board Taken Since the Last Cabinet Meeting pdf icon PDF 83 KB

    To note any delegated decisions taken by the Leader, Deputy Leader, Cabinet Members and Investment Board since the last meeting of the Cabinet.

    Additional documents:

    Decision:

    RESOLVED:

     

    To note the decisions taken by Cabinet Members / Investment Board since the last meeting as set out in Annex 1 to the report.

     

    Reason for Decision:

     

    To inform the Cabinet of decisions taken by Cabinet Members / Investment Board under delegated authority.

    Minutes:

    This Annex set out the decisions taken by individual Cabinet Members/Investment Board since the last meeting of the Cabinet. Members were given the opportunity to comment on them.

     

    RESOLVED:

     

    To note the decisions taken by Cabinet Members / Investment Board since the last meeting as set out in Annex 1 to the report.

     

    Reason for Decision:

     

    To inform the Cabinet of decisions taken by Cabinet Members / Investment Board under delegated authority.

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EXCLUSION OF THE PUBLIC

    That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting during consideration of the following items of business on the grounds that they involve the likely disclosure of exempt information under the relevant paragraphs of Part 1 of Schedule 12A of the Act.

    Additional documents:

    Decision:

    RESOLVED: That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting during consideration of the following items of business on the grounds that they involve the likely disclosure of exempt information under the relevant paragraphs of Part 1 of Schedule 12A of the Act.

     

    Minutes:

    RESOLVED: That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting during consideration of the following items of business on the grounds that they involve the likely disclosure of exempt information under the relevant paragraphs of Part 1 of Schedule 12A of the Act.

     

134/17

Recommendations for awards of contracts and grants to provide Short Breaks in Surrey

    This is the Part 2 annex relating to item 6.

     

    Exempt: Not for publication under Paragraph 3

     

    Information relating to the financial or business affairs of any particular person (including the authority holding that information)

     

    Decision:

    RESOLVED:

     

    That contracts and grants be awarded to the providers as detailed in the report for the provision of short breaks services to commence on 1 December 2017.

     

    Reason for Decision:

     

    See Minute 123/17.

     

    [The decisions on this item can be called in by the Children and Education Select Committee]

     

    Minutes:

    The Cabinet Member for Education highlighted the commentary from the S151 Officer.

     

    The decision was unanimous.

     

    RESOLVED:

     

    That contracts and grants be awarded to the providers as detailed in the report for the provision of short breaks services to commence on 1 December 2017.

     

    Reason for Decision:

     

    See Minute 123/17.

     

    Mr Oliver, having declared a prejudicial interest, left the room for this item.

     

135/17

Sunbury Manor Secondary School, Sunbury on Thames

Decision:

RESOLVED:

 

1.      That the business case for the project to expand Sunbury Manor School by 150 additional places, at a total cost, as set out in the Part 2 report be approved. The academy is providing a contribution, as detailed in paragraph 4 of the submitted report.

2.      That the arrangements by which a variation of up to 10% of the total value may be agreed by the Deputy Chief Executive and Strategic Director for Children, Schools and Families, in consultation with the Cabinet Member for Property and Business Services, the Cabinet Member for Education and the Leader of the Council be approved.

Reasons for Decisions:

 

The proposal delivers and supports the Authority’s statutory obligation to provide sufficient school places to meet the needs of the population in Spelthorne Borough.

 

[The decisions on this item can be called in by either the Corporate Services Select Committee and/or the Children and Education Select Committee]

 

 

Minutes:

This Part 2 report, in relation to item 6, contained information which is exempt from Access to Information requirements by virtue of paragraph 3 – Information relating to the financial or business affairs of any particular person (including commercially sensitive information to the bidding companies).  The information contained within may not be published or circulated and will remain sensitive until contract award in September 2017.

 

The decision was unanimous.

 

RESOLVED:

 

1.      That the business case for the project to expand Sunbury Manor School by 150 additional places, at a total cost, as set out in the Part 2 report be approved. The academy is providing a contribution, as detailed in paragraph 4 of the submitted report.

2.      That the arrangements by which a variation of up to 10% of the total value may be agreed by the Deputy Chief Executive and Strategic Director for Children, Schools and Families, in consultation with the Cabinet Member for Property and Business Services, the Cabinet Member for Education and the Leader of the Council be approved.

Reasons for Decisions:

 

The proposal delivers and supports the Authority’s statutory obligation to provide sufficient school places to meet the needs of the population in Spelthorne Borough.

 

136/17

Investment Board Annual Report

137/17

Award of contract for Property Investment Advisory Services

    This is the Part 2 annex relating to item 13.

     

    Exempt: Not for publication under Paragraph 3

     

    Information relating to the financial or business affairs of any particular person (including the authority holding that information)

    Decision:

    RESOLVED:

     

    That the information within the Part 2 report be noted, in conjunction with the recommendations made in the Part 1 report (item 13).

     

    Reasons for Decisions:

     

    Building on the existing property investment strategy approved in July 2013, in March 2017 Cabinet approved growth of the Investment portfolio and procurement of a property investment advisor to provide the necessary skills and level of support required to expand the portfolio.

     

    [The decisions on this item can be called in by the Corporate Services Select Committee]

     

     

     

    Minutes:

    The Cabinet Member for Property and Business Services commended this award of contract to Cabinet stating that it was self financing and fees were proportionate.  Members were pleased that quality had been considered above cost during the process.

     

    RESOLVED:

     

    That the information within the Part 2 report be noted, in conjunction with the recommendations made in the Part 1 report (item 13).

     

    Reasons for Decision:

     

    Building on the existing property investment strategy approved in July 2013, in March 2017 Cabinet approved growth of the Investment portfolio and procurement of a property investment advisor to provide the necessary skills and level of support required to expand the portfolio.

     

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Investment Disposal

    Exempt: Not for publication under Paragraph 3

     

    Information relating to the financial or business affairs of any particular person (including the authority holding that information).

     

    [The decisions on this item can be called in by the Overview and Budget Scrutiny Committee]

    Decision:

    RESOLVED:

     

    That Surrey County Council sells its investment in the company, as outlined in paragraph 15 of the submitted report and authority be delegated to the Chief Executive to agree such terms for the sale in consultation with the Leader and in consideration of the advice of the Director of Finance.

    Reasons for Decisions:

    The proposed sale of the Council’s shares will deliver a capital receipt in support of its capital programme and provide it with an option to take advantage of the financial flexibility in the use of the receipts for the funding of transformation expenditure should it choose to do so.

    [The decisions on this item can be called in by the Overview and Budget Select Committee]

     

     

     

    Minutes:

    The Leader commended this disposal to Cabinet and it was unanimously agreed.

     

    RESOLVED:

     

    That Surrey County Council sells its investment in the company, as outlined in paragraph 15 of the submitted report and authority be delegated to the Chief Executive to agree such terms for the sale in consultation with the Leader and in consideration of the advice of the Director of Finance.

     

    Reasons for Decision:

    The proposed sale of the Council’s shares will deliver a capital receipt in support of its capital programme and provide it with an option to take advantage of the financial flexibility in the use of the receipts for the funding of transformation expenditure should it choose to do so.

     

139/17

PUBLICITY FOR PART 2 ITEMS