Agenda and minutes

            Apologies for inability to attend were reported from the Right Honourable the Lord Mayor (Councillor Hartley) and Councillor Maginness.

            The minutes of the meeting of 23rd May were taken as read and signed as correct.  It was reported that those minutes had been adopted by the Council at its meeting on 2nd June.

            The Committee considered the undernoted report in relation to the Review of Public Administration:

“1.0       Relevant Background Information

1.1       As Members will recall, on 31st March, 2008 the Environment Minister, Arlene Foster MLA made a statement to the Northern Ireland Assembly on the final recommendations of the Review of Public Administration (RPA) and the future shape of Local Government within Northern Ireland. In her speech, the Minister stated that the current 26 District Councils would be reduced to 11 and a range of additional functions would transfer to Councils. 

2.0       Key Issues

2.1       Members will accept that the Minister’s announcement is only the start of the process and the size of the challenge ahead for local government cannot be underestimated. Ensuring that appropriate consideration is given to the outworking of the Review of Public Administration recommendations is crucial.

2.2       The fact that the focus to date of the local government sector has been very much on discussing the functions to transfer to local government, little attention has been given to the actual practicalities of how the restructuring and significant change process resulting from the RPA would be taken forward and managed whilst ensuring that business as usual and service standards are maintained. Whether or not the RPA produces the intended benefits depends as much on how effectively it is implemented as on the exact nature of the reform.

2.3       It is clear that a level of sophistication needs to be built into the RPA implementation process and active discussion between local government, Ministers and officials from transferring Departments must ensue to ensure that the practicalities attached to the reconfiguration of Councils from 26 to 11 and the transfer of new functions to emerging Councils is taken into consideration and informs the implementation process. 

2.4       There are a number of strands of work currently underway which seeks to provide greater clarity on the necessary process for the effective implementation of the RPA including the development of a detailed programme of work, the articulation of appropriate delivery structures and, importantly, how its delivery could be resourced. For example:

·         The DoE Local Government Reform Unit has commissioned Deloitte to prepare a Strategic Outline Business Case for Local Government Modernisation which it is intended would be used to make bids to DFP to secure necessary funding to support local government reform.

·         PriceWaterhouseCoopers has been appointed by the Society of Local Government Chief Executive’s (SOLACE) to develop a high level road map and practical framework to support the implementation and management of the RPA process. It is intended that this work would identify, from a sector perspective, the scope of work required, the key milestones in the process, possible delivery options for taking forward necessary strands of activity and the associated resource implications.

2.5       It is anticipated that these strands of work would be developed over the summer with the emerging findings becoming available in September.  This would provide greater clarity on the direction of the RPA process and would aid to inform the  ...  view the full minutes text for item 2a

            The Committee considered the undernoted report:

“Relevant Background Information

      Members will recall that, as part of the Council’s review of governance in June, 2007, a Licensing Committee was established to:

1.   bring about sustainable decision-making in regard to the grant, transfer or variation of Entertainments Licences and Amusements Permits in a more efficient time frame;

2.   address the concerns of the public in respect of licensing issues in a more timely manner;

3    assist Members in producing more robust decisions which were legally defensible;

4    reduce the time taken to arrive at a corporate decision in regard to licences and permits; and

5.   ensure that all parties could expect a full and proper hearing as provided for by the Human Rights Act 1998.

      In order to assist the Committee in these aims, the Council granted delegated authority for determining matters in relation to:

(i)      the grant, renewal, transfer, variation, suspension and revocation of Entertainments Licences and the grant, renewal, transfer, variation and revocation of Licences for Sex Establishments;

(ii)     the grant of Amusements Permits and Pleasure Permits and for the Registration of Societies in relation to the running of Lotteries;

(iii)    the designation of streets or parts thereof for the purpose of street trading and the grant, renewal, transfer, variation  and revocation of stationary, mobile and temporary street trading licenses and the setting of Licence fees

(iv)    the administration of the provisions of the Licensing (Northern Ireland) Order 1996 and Registration of Clubs (Northern Ireland) Order 1996 which relate to entertainments and liquor licensing in licensed premises and registered clubs; and

(v)     such other licensing matters as the Director of Health & Environmental Services considers appropriate to be addressed by the Committee.

      In addition, the Director of Health and Environmental Services has delegated power in relation to the issue (but not refusal) of permits and licences where no adverse representations have been made and the Police Service of Northern Ireland has not offered any objections to the application.  The Director, in consultation with the Director of Legal Services, also has the option of referring back for further consideration any decision made by the Committee.  This power is supposed to be employed in situations where relevant information, which it is considered would have impacted on the Committee’s decision had it been known at the time or where legal advice can demonstrate that a decision taken is likely to be overturned on appeal, becomes available after the Committee has made a decision.

      At the Strategic Policy & Resources Committee meeting on 23rd May and again at the Council meeting on 2nd June, a degree of concern was expressed by a number of Members at the use of the Licensing Committee’s delegated authority.  The Committee requested that a report on these matters be submitted for consideration at its meeting on 20th June.

Key Issues

In considering the matter, there would appear to be three main options open to the Committee.  The first option is to continue as at present with full delegated  ...  view the full minutes text for item 3a

            The Committee was advised that the undernoted requests for the provision of hospitality had been received:

            The Committee adopted the recommendations.

            The Committee was reminded that, at its meeting on 23rd May, it had agreed to defer consideration of a report seeking authority to invite tenders for the replacement of the Lord Mayor’s vehicle to enable a further report providing details on the cost efficiency of renewing the vehicle after three years, five years and ten years to be submitted to the meeting scheduled to be held on 20th June.

            Accordingly, the Head of Committee and Members’ Services submitted a report which provided details in this regard.

            After discussion, it was

            Moved by Councillor Rodway,

            Seconded by Councillor Crozier,

      That the Committee agrees to rescind the decision of the former Policy and Resources Committee of 16th November, 2001 to replace the Lord Mayor’s vehicle after every three years and accordingly that it be replaced every five years.

            On a vote by show of hands five Members voted for the proposal and eight against it was accordingly declared lost.

            The Committee agreed to approve the invitation of tenders for the replacement of the Lord Mayor’s vehicle on a similar, though updated, specification to the current car and that the vehicle be renewed every three years thereafter.

            The Head of Committee and Members’ Services informed the Committee that it had been the practice for the Entertainment and Personal Allowances paid to the Lord Mayor, the Deputy Lord Mayor and the High Sheriff to be reviewed annually to take into account increases in the cost of living and other factors.

            Accordingly, he recommended that the Committee approve the increasing of the Lord Mayor’s Personal and Entertainments Allowances to £33,200 and £24,700 respectively and the Deputy Lord Mayor’s and the High Sheriff’s Personal and Entertainments Allowances to £5,000 and £700 respectively.  All of the recommended increases in the Allowances represented an inflationary increase of 3% approximately.

            The Committee adopted the recommendation.

            The Committee was advised that the Local Government (Account and Audit) Regulations 2006 and the Local Government (Account and Audit) (Amendment) Regulations 2006 required the Council to publish a statement of Internal Control along with the Annual Accounts for the year ended 2007/08.  Subsequently, however, on 29th February, 2008, the Department of the Environment had issued circular guidance which required public bodies, in line with Local Authorities in England, to prepare an Annual Governance Statement in 2007/08, without having previously completed a Statement of Internal Control.  The Statement was consistent with the principles of the Chartered Institute of Public Finance Accountants and the Society of Local Authority Chief Executives’ Framework entitled “Delivering Good Governance in Local Government”.

            The Director of Corporate Services reported that some aspects of the Statement of Internal Control would be carried forward to the Annual Governance Statement.  However, the aforementioned Statement provided additional requirements and therefore Local Government bodies were required to disclose one of the following in relation to the additional requirements:

·         compliance;

·         intention to comply by 1st April, 2009 (or earlier); or

·         intention not to comply fully and the reasons why.

            He stated that the Annual Governance Statement, copies of which had previously been circulated, had been prepared in line with the template which had been provided in the Accounts Directive issued by the Department of the Environment. This set out the following:

·         the scope of responsibility of the Council in relation to its Governance;

·         the purpose of the Governance Framework;

·         the Governance Framework in place;

·         the results of the review of effectiveness of the framework; and

·         significant governance issues to be disclosed.

            Over the previous year there had been considerable effort put into developing and implementing the key elements of a governance framework within the Council to meet the requirements of the Statement of Internal Control.  Significant progress had been made in terms of:

·         implementing a process whereby Directors, Heads of Service and senior officers signed annual assurance statements.  Those statements set out the risk control framework in place and disclosed any significant risks; and

·         implementing risk management and related processes, with the production of operational risk registers and action plans for all key services.

            However, since the statement covered the period 1st April, 2007 till 31st March, 2008 and the actual implementation of those key measures had not taken place until after the year end, the governance statement would have to include a disclosure that it would be the Council’s Intention to comply fully by 1st April, 2009 (or earlier) with the Chartered Institute of Public Finance Accountants’ Code of Governance Framework.

            The Committee approved the Annual Governance Statement.

            The Committee was advised that each year the Head of Audit, Governance and Risk Services presented an Annual Assurance Statement.  The Statement formed part of the Corporate Governance arrangements for the Council and, since the Council was responsible for the stewardship of public money, it was necessary to demonstrate that it had adequate and effective systems of risk management, governance and control.  The Annual Assurance Statement was a professional opinion on the adequacy and effectiveness of the Council’s internal control environment taking account of:

·         the key elements of the Council’s internal control arrangements, including risk management and governance arrangements;

·         the results of audit work undertaken in 2007/08 and the management responses/actions taken in respect of audit reports; and

·         future developments which might lead to improvements in internal control.

            Information to support the assurance statement had previously been circulated and included a summary of the audit work which had been undertaken, issues arising and the actions which had been taken by management to address the audit recommendations.

            The Committee approved the internal audit assurance statement for the period ended 31st March, 2008.

            The Committee deferred consideration of a report on the Annual Review of the Effectiveness of Internal Audit 2007/08 to enable it to be considered in the first instance by the Audit Panel.

            The Committee considered the undernoted report:

“Relevant Background Information

      Revenue Budget 2007/08

      At the monthly Meeting of Belfast City Council (BCC) held on the 1st February 2007 Council approved the minutes of the Strategic Policy and Resources Committee meeting of 19th January 2007 and determined an increase in the Revenue Estimates of the Council for the forthcoming financial year of 2.83% resulting in a Non-Domestic Rate of 21.16 pence and a Domestic Rate of 0.2423 pence in the pound. This amounted to departmental net expenditure of £107,879,710 exclusive of capital charges.

      Capital Programme 2007/08

      The draft Capital Programme for 2007/08 and future years outlines a programme of expenditure of £27,704,280 to be financed through loans and a further £3,371,200 to be financed through revenue contributions. This programme of expenditure was presented to the Council Improvement Board on 12 December 2006.

      The purposes of this report are as follows:

·         To inform Members of the corporate year end actual position as compared to budget for 2007/08.

·         To highlight for Members the key issues arising from this budget monitoring and to make recommendations for improvement.

·         To propose a financial reporting framework for 2008/09.

·         To discuss the financial planning process for 2009/10.

BCC Summary Revenue Outturn 2007/08

      Expenditure

      The Council’s net budget for the year was £107,879,710. Outturn for the year was £107,229,800 giving a net under-spend for the year of £649,910.This underspend is 0.60% of the budget set for 2007/080, representing a significant achievement. This successful outcome is the result of much hard work done by Financial Services, Departmental Business Support Managers and senior officers.

      Income

      Finalisation of rate income has shown a recent trend of significant variation. The finalisation in 2005/06 was £3.9m compared to a claw back of £630,000 in 2006/07. The fluctuation in the finalisation is due to Central Government miscalculating the estimated product of a penny (EPP) which was principally brought about by policy changes in respect of industrial de-rating and vacant properties. Consequently, in the 2007/08 final accounts no allowance has been made for additional income being received through the finalisation of rates process.

      When setting the rate for the year BCC was advised by DOE (Local Government Division) that the General Exchequer Grant would be £4,495,640. The actual grant received was £4,040,970 – £454,670 less than budget. The loss of grant was attributed to the impact of rating policy.

      After considering departmental outturn, the reduction in the General Exchequer Grant and the impact of finalisation on rate income the Council has a net under-spend on the year’s activity of £195,240 – Table 1.

      BCC Summary Capital Outturn 2007/08

      Expenditure on capital projects was £22,900,650 for the year. This high level of expenditure was driven by  ...  view the full minutes text for item 4d

            The Committee was advised that the Local Government (Accounts and Audit) Regulations (Northern Ireland) 2006 required the Council’s Statement of Accounts to be approved as soon as reasonably practical and in any event before 30th June immediately following the end of the financial year.

            The Director of Corporate Services submitted for the Committee’s consideration the Council’s Statement of Accounts and Financial Report for the year ended 31st March, 2008.  The report explained the Council’s finances during the previous financial year and its financial position at the end of that year.  The Director confirmed that the Statement of Accounts for the year ended 31st March, 2008 had been prepared in the form directed by the Department of the Environment and in his opinion presented fairly the income and expenditure and cash flows for the financial year and the financial position as at the end of the financial year.

            He explained that, during the year, the Council had reported a reduction on the District Fund Balance of £4,767,465.  This had reduced the credit balance on the District Fund Reserves to £10,367,397, which was approximately 6.8% of annual gross expenditure, or 8.9% of net operating expenditure. 

            The reduction had been made up as follows:

            The Council aimed currently to maintain the level of District Fund Reserves in the region of 5 to 10% of annual gross expenditure.  Currently the Chartered Institute of Public Finance and Accountants did not define a minimum or maximum level of reserves but rather felt it appropriate for Local Authorities, on the advice of their Finance Directors, to make their own judgement on such matters taking into account all the relevant local circumstances.

            The Director reported that the Council’s reserves were made up currently of the following:

            District Fund - £10,367,397

            The District Fund Reserves could be used to supplement income and any unexpected expenditure in future years.  £765,207 related to expenditure committed at the year-end.

            City Investment Fund - £2,075,000

            The City Investment Fund had been created to give a clear demonstration of the Council’s propensity to action and its wish to contribute to the vibrancy, prosperity, culture and attractiveness of the City.  The Strategic Policy and Resources Committee, at its meeting on 14th December, had agreed the cash flow requirements necessary to establish the fund and had indicated that in the 2007/08 financial year £1 million was to be allocated from reserves, with £1.075 million to come from rental income received following the result of a land tribunal case.

            Capital Receipts Reserve - £1,061,447

            These were capital receipts which had originated primarily from the sale of assets and which had not yet been used to finance capital expenditure.

            Repairs and Renewals Fund - £13,611,670

            This fund had been established under Section 56 of the Local Government Act (Northern Ireland) 1972 and had an approved limit of £22 million  ...  view the full minutes text for item 4e

            The Committee agreed to defer until its meeting scheduled to be held on 22nd August reports on rates issues and a Service Level Agreement with Land and Property Services.

            The Committee was reminded that, in April, 2007, the new domestic rating system had been introduced.  The new system had established a maximum capital value known as the cap, which had been set at £500,000, meaning that any property with a capital value of more than £500,000 was treated for rating purposes as if the value were £500,000.  In Belfast, approximately 1,100 properties had been valued at over £500,000.  In 2007/08 the loss in the district rate revenue as a result of the cap had been estimated to be £496,291.

            The Director of Corporate Services reported that the Minister for the Department of Finance and Personnel was now seeking views on a proposal to reduce the maximum cap from £500,000 to £400,000.  He pointed out that the consultation paper had estimated that a £400,000 cap would lead to a district revenue loss of £428,000 on top of the £496,291 which had been lost as a result of the £500,000 cap. Accordingly, he submitted for the Committee’s consideration the undernoted response to the consultation:

“BelfastCity Council Response

      This response follows the consultation paper and responds to each of the questions raised in the order in which they appear in the consultation document.

Financial Impact (Section 2)

      At the present level of the cap, as the consultation paper indicates, only a relatively small number of taxpayers benefit involving a revenue loss of some £2.5m across Northern Ireland. Increasing the cap nearly doubles the amount of income foregone to some £4.7m.

      In relation to the financial impact we would simply make the point that unless the Government compensates local authorities for this loss in revenue the cost of the cap will be met by other ratepayers or by a reduction in services or by a combination of both.

      One point that does not appear to be mentioned in the consultation paper is the potential loss of benefit subsidy in relation to those ratepayers above the cap who are in receipt of housing benefit (rate rebate). Whereas this cost was being met by central government it will, under this proposal, have to be met by other ratepayers.

      The introduction of the capital value system of rating was intended to address the basic unfairness that had arisen over the years in relation to the incidence of the former rental value system. Having a cap reverses this intention and effectively offsets some of the rates burden from higher value properties to lower value properties.

Impact on District Councils

      If the figures quoted in the consultation paper are correct the impact on Belfast City Council ratepayers is significant and means that the district rate revenue loss associated with a £500,000 capital value cap in 2007/08 was £496,300.

      The consultation paper estimates that reducing the cap to £400,000 would lead to a further £428,200 reduction (using the same poundage). So the total loss in district rate revenue for Belfast of a £400,000 cap this year would have been £924,500

      Without compensation this is a  ...  view the full minutes text for item 4g

            The Committee was advised that vacant domestic properties were currently excluded from paying rates.  However, the Minister for Finance and Personnel was now seeking views on a proposal from the Executive to introduce from April, 2010 the rating of empty homes.  Views were being sought also on specific policy issues including exclusions, the possibility of phasing, whether an initial exemption period should be provided for and the interaction with other rating reliefs and allowances.

            The Land and Property Services Agency had established that approximately 13,500 properties had been listed as vacant throughout the City.  The introduction of the rating of empty homes would therefore raise additional revenue.  The Department of Finance and Personnel in its consultation paper had posed a number of questions and the following is a summary of the Council’s proposed response:

·         Rates currently are the City Council’s principal source of income accounting for some 74% of total expenditure and it is essential with ever increasing demands for improved services that the tax base is maintained and enhanced.

·         The increased taxation would encourage owners to find ways of making better use of the empty properties by, selling, re-letting or redeveloping the empty properties.

·         Empty properties enjoy the infrastructure services provided by the City Council whilst the owners do not currently contribute to the costs incurred by the local authority.

·         The Council supports the proposal that empty homes should be rated at 100% and does not support a tiered charge with the rate increasing after a period of time.  This level of liability will simplify administration and will be readily understood by taxpayers.

·         Should the Executive decide to introduce vacant rating in a phased way, the Council believes that the only reasonable phasing would be by a stepped liability starting with 50% in year one, 75% in year two and 100% in year three. It is essential, if this were to happen, that the full charge is not deferred for longer than three years because a charge lower than 100% would encourage owners to not report the occupancy of properties.

·         There should be an exemption for low value properties such as garages and caravans.  The Council does not believe a minimum capital value should be applied to derelict properties or those in disrepair as this would not encourage re-use or redevelopment of these properties.  These properties can be dealt with by a time-limited exemption.

·         It would not be unreasonable to have an initial exemption period for empty homes of six months.  The six month exemption period for new properties would commence upon issue of the completion notice.

·         Where appropriate, consideration should be given to some exemptions, particularly where the reason the property is vacant is beyond the control of the owner.  Social housing would also be excluded from the provisions of an empty property rate.

·         Reliefs, such as transitional relief and the maximum capital value reliefs, should continue to apply in relation to the rating of empty homes because they are related to the property not the  ...  view the full minutes text for item 4h

            The Committee agreed to defer consideration of the Audit Report on the Analysis of Staff Travel to enable it to be considered in conjunction with the report on the new travel policy which was due to be submitted to its meeting scheduled to be held on 22nd August.

            The Committee was reminded that the Development Committee, at its meeting on 14th May, had agreed to:

(i)      accept a Letter of Offer from the Department of Culture, Arts and Leisure for funding of £77,300 for the Community Festivals Fund;

(ii)     make available in the current financial year £120,000 for the Fund, subject to the Strategic Policy and Resources Committee agreeing to provide the finance required; and

(iii)    request that the Department increase the amount which it was providing to the Fund by £42,700 to match the Council’s proposed contribution.

            That decision had been ratified by the Council at its meeting on 2nd June.

            The Members were informed that the Development Committee had been advised that the Development Departmental Budget would not be able to provide the finance to match the funding offered by the Department of Culture, Arts and Leisure, since no provision had been made in the Revenue Estimates.  Therefore, in accordance with Financial Regulation E.14 that any proposal to incur expenditure which was not included within the estimates and which could not be covered by virement should be referred to the Strategic Policy and Resources Committee, the Development Committee had requested that the necessary finance be provided by the Strategic Policy and Resources Committee.

            The Committee agreed to increase from reserves the cash limits of the Development Committee by £120,000 in order to finance the Community Festivals Fund.

            The Committee considered the undernoted report:

“Relevant Background Information

      Approval was given in April 2007 for a review of the resources within the Good Relations Unit to address increased workload, both current and projected.  The business case for this identified that the role and responsibilities of the Unit had changed from those related to the development and promotion of the Council’s Good Relations strategy and equality agenda, to become as much one of a deliverer of key projects across the city including the inter-agency bonfire management and the Re?imaging Communities projects.  At the same time the major Conflict Resolution Project (funded through the Peace II EU programme) commenced.  Coupled with the increasing activity in the Good Relations grant-aid scheme, these responsibilities involved actions designed to effect real improvements within local communities through high-profile partnerships which also demonstrated the increasing validation of the Council’s leadership role within the City.

      In addition the business case identified a corporate desire to consolidate within the Unit the developing responsibilities for the Council in the context of increasing equality legislation, especially in the areas of race; disability and diversity generally.  This legislative programme reflects the government policy document ‘A Shared Future’ which called on public bodies ‘to set the pace on movement towards a shared society and … to lead by example.’ The Unit also had been given responsibility to develop the Peace III Plan for Belfast in relation to two of the main themes.

      It was quickly identified that the impact on the Unit of a successful bid under the Peace III proposals would be considerable but not yet fully quantifiable until the bid was developed and SEUPB made its decisions. It was agreed that work on the full review would be paused, particularly as some of the current pressure had been alleviated by the availability of additional funding from CRU (OFMDFM) for an additional Good Relations Officer.  As the grant-aid was not secured beyond a twelve month period and the structure of the Unit was under review, the additional resource was engaged for a fixed-term period of twelve months due to end in August 2008.

Key issues

      A number of recent developments now justify the completion of that review and the recommendations in this report;

1.   The Peace Plan for Belfast has been approved by SEUPB with the offer of £6.3m funding for the period till September 2011.  This requires the Council to put in place the mechanisms and resources, met by 100% grant-aid from the overall allocation,  to manage this funding stream in to the City;

2.   CRU has indicated that core funding of the fourth Good Relations Officer will continue.  This enables the Council to address the contractual term of this post

3.   The Council has projects within the Plan for which it is the actual implementing agent and not simply the funding stream manager. If these are to be delivered for the benefit of the City within the timeframe of available funding, the resources paid for by the  ...  view the full minutes text for item 5a

            The Committee was reminded that, at its meeting on 18th May, 2007, it had granted approval for the undertaking of a review of the resources required by the Legal Services Department.  Eversheds LLP, a leading legal practice with particular expertise in local government across the United Kingdom, had been commissioned to prepare a report.  The Director of Legal Services advised the Members that the key message outlined in the report stated that “the lawyers provide excellent quality legal services to Directors, the Corporate Management Team and across the Council”.  However, the report had highlighted also the need for the Department to:

·         restructure the Department’s Business Support in order to provide more effective and focused administrative support to the professional side;

·         assist the professional side in more effectively dealing with their managerial responsibilities;

·         develop a Succession Plan for all staff, especially the Director and Principal Solicitors;

·         further develop the Department’s service standards and performance indicators, benchmarked against best practice Authorities, in the context of performance management;

·         introduce better systems for engaging with client requirements and expectations; and

·         develop a more “one team” approach across all sections of the Department.

            It was the aim of the Department, with assistance from the Business Improvement Section, to develop during the ensuing year an Implementation Plan to deliver on the recommendations.  The Director stated that the Eversheds’ report had emphasised the need to build capacity within the current professional staff, provide more management information at both an operational level and to client Departments and to be more proactive in demonstrating value-for-money to those Departments.  In order to develop a one team approach, it was proposed that a properly structured exercise, which would be centred on team development, be organised with all members of the legal team participating in the programme.

            The Committee granted approval for the Business Improvement Section to assist in the development of an Implementation Plan which would address the recommendations contained within the Eversheds’ report and for a staff development day to be organised as part of that process.

            It was reported that, in accordance with Standing Order 55 and the authority delegated to him, the Director of Corporate Services had authorised the appointment of a number of persons who were related to existing officers of the Council.

            The Committee noted the appointments.

            The Committee considered the undernoted report in relation to the major works which were being undertaken in the City Hall:

“Relevant Background Information

      A previous update on the City Hall contract was presented to Committee on 22nd February 2008 and as agreed this is the third quarterly update.

1. Project Information:

Project Start Date:    19th November 2007

Contract Period:       Phase 1 Completion Date – 52 weeks (19th November 2008)

Phase 2 Completion Date – 90 weeks (10th August 2009)

Project Budget:        £11.9 million

Main Contractor:       Graham Construction

Progress to Date:

·         Asbestos removal/ encapsulation work is now complete

·         Re-roofing work is 60% complete and currently running ahead of programme

·         Electrical strip out is progressing and the first fix is in progress

·         Strip out of radiators, sprinkler system, heating pipework and boilers is complete and the first fix is ahead of programme

·         Plaster repairs have commenced and are on programme

·         Redecoration of the Council Chamber and Rotunda area has commenced

·         Refurbishment of chandeliers is in progress and chandeliers will be returned by the end of June.

      The project is currently on programme and a simplified version of the construction programme is attached at Appendix 1 for information.

      Variations:

      Members will be aware that the biggest risk to the budget and programme of any project is that of ‘changing your mind’ – hence it is vital that Committee exercises very strict control over any proposed variations to the specification over and above those that occur through unforeseen circumstances.

Variations approved to date include:

·         Removal of all racking in the basement - £16,500 (funded by Facilities Management)

·         Relocation of the Emergency Room from the basement to the second floor - £350,000 (funded by Health and Environmental Services Department)

      There are no further budget or programme impacts from these variations.

      Additional Work Requests:

      Facilities Management have requested the following variations which can proceed if funds are made available:

·         Replacement of the lightning protection system which does not comply with current standards

·         Decoration of all internal window frames

·         Repairs to stained glass windows at high level in the Rotunda

·         Replacement of pigeon netting/wiring

·         Upgrade of the sound system in the three function rooms

·         Re-covering bench seats in council chamber

·         Refurbishment of gas lights

      There is a logic to doing this maintenance work now while the refurbishment is underway.  While some of these items had been identified they were not included in the tender specification for budgetary reasons. 

      The former Lord Mayor Councillor Rodgers on a recent site visit raised a number of issues regarding the contract which the Committee also needs to address.  Items raised include the sound system for the Great Hall which is included above.

      A more fundamental issue was that of air conditioning.  The use of air conditioning in City hall was discounted for a number of reasons:

(i)      Cost – we have asked consultants to provide installation, running, maintenance and replacement costs which have yet not been received although this could easily reach over £2m.  ...  view the full minutes text for item 6a

            The Committee considered the undernoted report:

“Relevant Background Information

      The current Council will be historically the last Council of the current BCC organisation.  The current Council has also been courageous in taking a tough decision to undertake a major refurbishment, involving a disruptive decanting exercise and a large expenditure. 

      In considering the future use of City Hall it is important that this Council continues to clearly focus on the future and to set the tone for the new organisation post 2011.  Symbolically the use of the building in terms of political, public and office uses will be important in terms of the overall leadership and vision Council wishes to set. 

      In its deliberations on refurbishing City Hall Committee took into consideration a number of issues including health and safety; opportunity to resolve major items of work; minimisation of potential future maintenance problems and also the possible opportunities for more public use of the building.

      To date there has been no definitive Committee direction as to the future use of City Hall although there has been some discussion at earlier Committee meetings and in the Accommodation Working Group as well as anecdotal feedback from individual members.  The basic principles communicated to date will be picked up in the body of the report.

Key Issues

      The building work in city hall is now well underway with most of the preparatory work such as asbestos removal, protection of the marble, removal of redundant mechanical and electrical services now complete.  To ensure the works are kept to programme and within budget a Committee decision is now required as to future use of City hall and which parts of the council organisation return to City hall.

      There are of course all sorts of options and considerations that could be debated ad infinitum.  However, before looking at three basic options a number of principles seem to have some consensus on feedback to date.

1.   Members including Party group rooms and Lord Mayor’s suite will be located in City Hall.

2.   Services most directly and regularly associated with Members must also therefore be located in City hall i.e. Chief Executive; communications; committee and member services; legal services.

3.   Services related to running the building also need to be located in City Hall i.e. receptionists, security, facilities.

4.   Direct facing public services must also go back to City hall i.e. birth, death and marriages, cemeteries.  Some members have made the point that other direct customer contact services should also be accommodated in City Hall.

5.   Consideration should be given to creating additional space for more public use of the building.

6.   The new emergency room on the second floor will be used as a conference room on a day to day basis.

7.   Any decisions must work within the parameters of the current contract.

Basic Options

      The above principles can be applied to these following basic options to a greater or lesser degree and provide a guide to decision making.

      Option 1

      Return everyone to the City  ...  view the full minutes text for item 6b

            The Committee considered the undernoted report in relation to the obtaining of temporary office accommodation in Harvester House:

“Relevant Background Information

      Members are aware of the urgent need to find alternative temporary office accommodation in the City centre as a result of imminent redevelopment proposals for Clarendon House that have now been submitted to Planning Service by the building’s new owners. Notice to Determine Council’s occupation in Clarendon House has now been served effective from 23rd November 2008. Members will also be aware of the continued overcrowding, not only experienced in Clarendon House, but also now evidenced within the Cecil Ward Building.

      A Notice under the Belfast Improvement Act requiring essential remedial work was served on Clarendon House as a result of falling masonry from the Adelaide Street façade. Short?term solution has been to remove any visually obvious loose/dangerous masonry from the building but this is very much a temporary measure pending its demolition.

      Pending completion of the City Hall refurbishment and in addition to displacement of staff and services from Clarendon House Council will have other temporary accommodation requirements arising from the imminent surrender of Callender Street premises and the forthcoming need to renew short term tenures in both Linenhall Exchange (Feb 2009) and Scottish Amicable buildings (Jan 2011)

      Members have previously been advised of only two City centre office buildings that meet the specific occupational requirements of Building Control and of suitable size and availability on a short term basis that could accommodate Council’s immediate needs - namely Fanum House and Harvester House. Due to the standard of accommodation in Fanum House it was deemed an unsuitable option for the relocation of Council staff.  Relevant Council officers have inspected Harvester House and concluded that it would, with an appropriate degree of refurbishment, be suitable for Council’s short term accommodation requirements.

      At its meeting on 14th March 2008 the Strategic Policy & Resources Committee authorised the Director of Corporate Services to enter into negotiations for additional accommodation in Harvester House.

      Negotiations have been progressed with the agents for Harvester House that will address both Council’s immediate need for office space and also provide some scope to deal with subsequent events that will impact on Council’s ability to provide suitable short term City centre accommodation for continued effective delivery of its services.

Key Issues

-     Current occupation of Clarendon House

-     Results from a recent satisfaction survey of staff in Building Control have concluded a very negative view of current accommodation which is in stark contrast to the high levels of satisfaction of staff recorded within other facets of their working environment.

-     Harvester House presents an opportunity to explore solutions to current overcrowding in Cecil Ward Building and provide the means to manage other short term Leases that are  ...  view the full minutes text for item 6c

            The Committee considered the undernoted report:

“Relevant Background Information

      By way of a series of legal agreements Belfast City Council and the Belfast Social Care Trust have agreed terms to allow the Trust to construct and operate a new Health centre as part of the Grove Well-Being Centre.  In return the Trust and Belfast Education and Library Board agreed to transfer to the Council the site of their existing Health Centre and library at Skegoneill Avenue.  

      As part of the relocation of Health Services from the Skegoneill Health Centre to the new Grove Well-Being Centre the Belfast Health and Social Care Trust have planned for the re-location of pharmacy services within their section of the Well-Being Centre.  To this end they have proposed arrangements with the existing Pharmacist at Skegoneill (Dundee Pharmacies).

      The Trust’s proposal in relation to re-location of the existing pharmacist may come under legal challenge from other pharmacists in the locality and the Trust have therefore acted to mitigate the impact of this on the provision of pharmacy services at the Well-Being Centre. 

      Their current proposal is to provide the existing pharmacist with what is known as ‘a temporary re-location’ under pharmacy practice rules.  This arrangement would enable the pharmacy to be housed on a temporary basis within the new Health Centre and thus provide continuity of services pending the outcome of any legal action.  However because the ‘temporary re-location’ is time limited the pharmacist is required, when making application to the Pharmacy Board to undertake to return to his previous location at the end of the temporary period (which can be up to 12 months).  This ‘undertaking to return’ presents the existing pharmacist with some difficulties in that the Skegoneill Health Centre will likely have been demolished by that time.

      In discussions between the Trust’s solicitors and officers from the Council’s Legal Services Department and Estates Management Unit, officers undertook to seek Members views on an accommodation which would permit the pharmacist to give the necessary undertaking (regarding return to existing location) but would strictly limit the duration of any future trading from the Skegoneill site.

      Certainly the absence of any pharmacy services at the Well-Being Centre (even on a temporary basis) would detract from the attractiveness of the facility as a one stop shop and to some extent undermine the key rationale on which the project is being promoted.

Key Issues

-     Legal arrangements between the Belfast Social Care Trust and their selected pharmacist could come under legal challenge resulting in the short to medium term absence of pharmacy services at the Grove Well-Being Centre.

-     To provide continuity of pharmacy service the Trust wish the use a ‘temporary re-location’ procedure which would allow the existing pharmacist to trade at the new Centre for a limited period.

-     Under Pharmacy Board rules the temporary re-location requires undertakings by the pharmacist to return to the original location.

-     As part of the arrangements associated with the provision of the Well-Being Centre the Council  ...  view the full minutes text for item 6d

            The Committee granted approval to the 36th Ulster Division Memorial Association to organise a march and commemorative service at the City Hall Cenotaph on 31st July, 2008, subject to the Association obtaining the necessary approvals from the Parades Commission and the Police Service of Northern Ireland and to copies of those documents being made available to Council officers prior to the event.

            The Committee was reminded that from 2001 till 2006 the Council had hosted the BBC Proms in the Park concert in the grounds of the City Hall.  During that period the event had attracted just under 30,000 people and had been broadcast to over 5 million people through the BBC’s national television and world services.  The event had generated an estimated £300,000 in additional economic activity in the City for each year it had been staged in Belfast.  In 2007 the event had been moved outside Belfast due to the closure of the City Hall.

            The Committee was advised that the Development Committee, at its meeting on 15th October, had approved plans to host the event at Queen’s University and had agreed to provide funding in the sum of £80,000.  However, due to operational difficulties, the University was now unable to accommodate the event and the BBC had requested the use of the City Hall grounds for the holding of the concert.  This would entail the part closure of the grounds from 6th till 19th September, with the concert itself being staged on Saturday, 13th September.

            The Committee approved the use of the City Hall grounds for the holding of the Proms in the Park concert.

            (Mrs. H. Francey, Good Relations Manager, attended in connection with this item.)

            The Committee approved the minutes of the meeting of the Good Relations Steering Panel held on 6th June.

            (Ms. S. Wylie, Head of Environmental Health, attended in connection with this item.)

            The Committee considered the undernoted report:

“Relevant Background Information

      Northern Ireland has an increasing number of older people.  Belfast has the lowest life expectancy for men and women in the EHSSB area and in Northern Ireland.  Belfast City Council through its recent Corporate Plans has given commitment to improving the health, safety and wellbeing of older people in the City.

      In 2006 Belfast Healthy Cities developed a Healthy Ageing InterAction Plan in partnership with agencies working in the EHSSB area.  One of the key actions outlined in the InterAction plan was the establishment of a strategic multi agency group within each new Trust/ Council area that would develop collaborative approaches to addressing issues affecting older people; build capacity to strengthen engagement of older people and provide a mechanism to ensure older people can effectively influence the setting of priorities and development of services.   In Belfast a Strategic Intersectoral Healthy Ageing Partnership is being established to take this work forward.

      The Strategic Policy and Resources Committee (November 2007) approved the Councils proposed approach to improving the health and wellbeing of the older people living in the City, which incorporated a strategic medium to long term plan covering four areas, namely Intersectoral Working, Citizenship, Improving Council Services and Advocacy. 

      Whilst work is progressing well in all of these areas this report is specifically about the intersectoral work and establishing a Strategic Healthy Ageing Partnership.

Key Issues

      The aim of the Partnership is to improve the health and wellbeing of older people living in Belfast through a coordinated and joined up approach to the planning and delivery of services in the key areas that impact on older people. 

      The partnership will link into the Council’s All Party Political Reference Group for Older People, re-established in October 2007.  The partnership will also make connections with the Older People’s Advocate which was recently advertised by OFMDFM and the Ageing in an Inclusive Society representative within OFMDFM.

      A workshop was held in March 2008, Chaired by Councillor Diane Dodds, supported by Atlantic Philanthropies and other partners and attended by senior public sector representatives and older people to help identify the priorities for the work of the partnership.   The following four priorities were identified:

·         Joined up information and advice

·         Community Capacity building

·         Combating Social Isolation

·         Home services/ Care and repair

      The purpose of the partnership is to develop and agree an overall programme of work and success indicators with partners including the age sector that facilitates a multi agency, integrated approach to the planning of services initially under the four priority areas mentioned above.

      Within this framework the partnership will:

·         Ensure that the voice of older people is heard and has an input into the planning of services provided by the partner agencies.  The intersectoral partnership is committed to developing older people’s representation with existing age sector forums and voluntary partners as an integral part of the Intersectoral Partnership

·         Establish mechanisms that  ...  view the full minutes text for item 8a

            The Committee was reminded that, at its meeting on 18th April, it had approved a response to the Post Office Limited’s consultation exercise on its Network for Change Programme – Area Plan Proposal for Northern Ireland.  The Post Office had been proposing to close forty-two branches, ten of which were located within the Council area.  Following the completion of the consultation exercise, there were now thirty-eight Post Office branches proposed for closure, nine of which were located within the Belfast City Council area, which was a reduction of one on the original proposal.  The Post Office located at the Throne Centre, Whitewell Road would now not be closed.

Noted.

            The Committee was advised that correspondence had been received from Councillor Attwood, on behalf of the Royal Maternity Hospital Liaison Group, seeking a meeting with the Committee to discuss the commitment to build a new regional hospital for children and women on the site of the Royal Group of Hospitals.  The correspondence had indicated that, whilst the Minister for Health and Social Services and Public Safety had stated that the hospital was a priority, there had been no firm commitment given to meet the capital costs of the development, which had been estimated at £404 million.  In addition, there was a question as to whether or not the Department had set aside funding to clear the Royal site, the estimated cost of which was £30 million.  A decision regarding this funding was due to be made during the summer.  The Group was seeking the support of the Council to ensure that the new women and children’s hospital would be built as soon as possible and that the money would be released to commence the clearance of the site.

            During discussion in the matter, several Members expressed the view that, given the Council’s July recess, if the Committee were minded to hold a special meeting to receive representatives of the Group it would not be possible to have any decision ratified until the Council’s meeting scheduled to be held on 1st September.  The view was expressed that it might be more appropriate to hold an informal meeting in the form of a briefing session to allow the Group to seek support from individual Members.

            The Committee agreed to this course of action.

            The Committee agreed to receive at a future meeting a presentation from representatives of the Old Museum Arts Centre.