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Vale of Glamorgan Council

CABINET

 

Minutes of a meeting held on 20th January, 2010.

 

Present:  Present:  Councillor G.C. Kemp (Chairman); Councillor T.H. Jarvie (Vice-Chairman); Councillors Mrs. J.E. Charles, P. Church, G.A. Cox, A.M. Ernest, A.D. Hampton, H.J.W. James, R.L. Traherne and Mrs. D.M. Turner.

 

 

C741              MINUTES -

 

RESOLVED - T H A T the minutes of the meeting held on 6th January, 2010 be approved as a correct record.

 

 

C742              DECLARATIONS OF INTEREST -

 

No declarations were received.

 

 

C743              TIMETABLE OF MEETINGS: MAY 2010 - MAY 2011 (CX) (SCRUTINY - CORPORATE RESOURCES) -

 

Having had regard to the draft timetable of meetings for the above period, it was


RESOLVED -

 

(1)       T H A T the timetable of meetings for May 2010 - May 2011 as set out in Appendix A to the report be approved, subject to any future changes in arrangements for meetings being deemed appropriate by the Mayor of the Council or the relevant Committee Chairman.

 

(2)       T H A T when published, the timetable of meetings include the dates of school holidays.

 

Reason for decision

 

(1&2) To approve / publish a calendar of meetings for the forthcoming municipal year.

 

 

C744              WALES AUDIT OFFICE (WAO) ANNUAL LETTER 2008/09 (CX) (SCRUTINY - CORPORATE RESOURCES) -

 

Cabinet were advised of the views of the Wales Audit Office on the overall position of the Council in relation to audit and inspection work.

 

The Council's Relationship Manager had published her Annual Letter in December 2009, a copy of which was attached to the report.

 

The letter reflected the fact that 2009 was yet another good year for the Council, and Members attention was particularly drawn to paragraphs 71 and 79 of the Letter which illustrated the progress made in embedding the principles of good governance across the Council. 

 

This was a matter for Executive decision.

 

RESOLVED -

 

(1)       T H A T the contents of the Annual Letter be noted.

 

(2)       T H A T the letter be referred to the Audit Committee.

 

(3)       T H A T Audit Committee be asked to investigate the level of audit and inspection fees for 2010.

 

Reasons for decisions

 

(1)       To provide feedback to the Relationship Manager.

 

(2)       To provide more detailed consideration of the Relationship Manager's Annual Letter.

 

(3)       To investigate the level of audit and inspection fees for 2010.

 

 

C745              PENARTH PIER PAVILION - PENARTH ARTS AND CRAFTS LIMITED (DEER) (SCRUTINY - ECONOMY AND ENVIRONMENT) -

 

Cabinet were updated on the bid submitted to the Heritage Lottery Fund by Penarth Arts and Crafts Limited and their recent request for additional financial support to enable them to take forward their bid for Heritage Lottery Fund Grant following its stage 1 approval in November 2009.

 

Following an agreement from the Council to commit £800,000 towards the costs of the restoration and redevelopment of the Penarth Pier Pavilion building for use as a cinema, cafe, observatory and multi-purpose community area, and the financial support granted approval in April 2009, the Penarth Arts and Crafts Limited submitted a bid to the Heritage Lottery Fund for a first round pass with a development grant of £99,000.

 

Penarth Arts and Crafts Limited had received notification in November 2009 that their bid was successful.

 

Penarth Arts and Crafts Limited sought funding support with a ceiling of £15,000 to match the £99,000 from the Heritage Lottery Fund and to enable the second stage submission to take place.  The second round submission deadline allowed further submission in either June or November 2010.  It was proposed that this further £15,000 be provided from the £50,000 currently allocated in this year's capital programme and that the agreed allocation of £800,000 grant support be reduced accordingly.

 

This was a matter for Executive decision.

 

RESOLVED -

 

(1)       T H A T the Council provide grant support of up to £15,000 to Penarth Arts and Crafts Limited based upon an appropriate funding Agreement setting out costs of consultancy, project management and a programme of work to culminate in a second stage application to the Heritage Lottery Fund. 

 

(2)       T H A T the Director of Legal, Public Protection and Housing Services in consultation with the Director of Finance, ICT and Property be authorised to prepare, complete and execute the necessary funding Agreement with Penarth Arts and Crafts Limited upon such terms and conditions as they deem appropriate following consultation and agreement with the Cabinet Member for Economic Development and regeneration.

 

Reasons for decisions

 

(1)       To ensure that sufficient financial resources are available in support of the second stage bidding process to the Heritage Lottery Fund and to match the £99,000 granted to Penarth Arts and Crafts Limited by the Heritage Lottery Fund to date.

 

(2)       To ensure that the Council's interests are adequately protected.

 

 

C746              PAYMENTS OF DONATIONS TO CHARITIES RECYCLING HOUSEHOLD WASTE (DEER) (SCRUTINY - ECONOMY AND ENVIRONMENT) -

 

Cabinet were requested to consider whether there were any environmental or financial benefits to the Council for making financial donations to charities recycling household waste within the Vale of Glamorgan. 

 

It was reported that where a person or charity collects household waste for the purpose of recycling, the collection authority may make to those charities payments in respect of the waste it collects. 

 

There was no duty to make these payments and formal payments of this nature had not been introduced by WAG across all Councils, although some Welsh Authorities had arrangements in place to make donations to charities such as St. John's Ambulance, SCOPE, and the Heart Foundation.  Merthyr County Borough Council currently paid a sum of £10 per tonne on a monthly basis following the electronic submission of weighbridge tickets, delivery notes and load composition reports, to Clothes Aid for textiles collected and recycled in their area.

 

Whilst at this time not adopted in Wales, there was a recycling credit scheme in England to encourage recycling and promote more sustainable waste management.  The scheme sought to make savings in disposal and collections arrangements to support third party organisations that were carrying out these collections and recycling the materials collected. 

 

In principle any household waste that failed to be collected by the collection authority under Section 45 of the Environmental Protection Act 1990 could be subject to these payments.  However, they could not be made where the collection of the waste would normally be made.  This would therefore exclude any schools, colleges or third party commercial recycling organisations.  However, it would allow charitable bodies to receive any donations.  Furthermore, payments could only be made where the household waste was recycled or re-used.  Therefore, the sale of second-hand books or clothes, and the use of returnable or refillable bottles or containers would not be eligible for donations. 

 

Whilst there were many charities within the Vale of Glamorgan, to date only SCOPE and Clothes Aid (on behalf of all charities that recycled textiles) had made formal applications for recycling credit, and the resulting level of tonnage claimed was likely to be low.  Clothes Aid has stated in their application that they only recycled about 12 tonnes per month of textiles. 

 

It was felt to be important that the Council received the benefit of using the small additional recycling tonnage to assist with meeting its Welsh Assembly Government recycling targets.  Any figures provided by the charities would be fully auditable and compatible with the requirements for entry on WAG's 'Wastedataflow' web-based reporting system.  It was recommended that this be a non-negotiable condition for any eligible charities, should the proposals be supported.

 

It was reported that the following controls would need to be adopted to ensure that there was no error or fraud when making donations:

 

·                         full details of the tonnage claimed

·                         the waste had not been previously presented to this or another authority for payment

·                         the waste originated from the non-chargeable household waste stream

·                         the waste originated from the Vale of Glamorgan

·                         the waste is to be removed from the authorities waste stream before rather than after collection by the Council

·                         waste on which donations were claimed is being recycled.

 

This was a matter for Executive decision.

 

RESOLVED -

 

(1)       T H A T the introduction of a fixed payment of £10 per tonne to registered charities that provide full auditable records of any household waste collected within the Vale of Glamorgan that it subsequently recycled be supported.

 

(2)       T H A T a report be submitted to Cabinet on the operation of the scheme after 12 months.

 

Reason for decision

 

(1&2)  To recognise the merits of paying charitable donations for household waste arising in the Vale of Glamorgan that is recycled and to contribute toward the Council's recycling and landfill diversion targets.

 

 

C747              COUNCIL HOUSING STOCK - TO CONSIDER TENANT CONSULTATION ON THE FORM OF REGISTERED SOCIAL LANDLORD; TO ESTABLISH A SHADOW BOARD (DLPPHS) (SCRUTINY - HOUSING AND PUBLIC PROTECTION) -

 

Cabinet received a report which requested:

 

(i)         consultation with tenants on the type of Residential Social Landlord (RSL) that could be formed

 

(ii)        the establishment of a Shadow Board.

 

At its meeting on 14th October, 2009 the Council had resolved to consult its tenants by way of ballot as to whether the Council's housing stock should be transferred to an alternative provider.  The Welsh Assembly Government had given its provisional approval for the Council to proceed to ballot stage. 

 

WAG policy was to give consent only to transfers to existing or newly created RSL's registered with the Assembly Government.

 

The Council was required to set up a Shadow Board to represent the potential transferee RSL in negotiations with the Council prior to the issue of the formal consultation 'offer document' and to establish that the Council's commitment to its tenants is both financially viable and deliverable by the new landlord.

 

The adopted form of RSL would work to a set of rules comprising

 

·                         a Memorandum of Association - setting out the organisations purpose, objects, powers and legal status

·                         Articles of Association - which explain the way the organisation conducts its affairs.

 

RSL's are non-profit making organisations requiring any surplus to be used for the purposes of the organisation as set out within its objects.

 

Both a transfer to an existing or to a newly created RSL would normally follow a similar Board make up of 1/3 Council Nominees, 1/3 Tenant Representatives and 1/3 Independent Members.

 

WAG guidance provided that 'the Assembly Government would normally expect tenant representation to comprise at least 1/3 of the transfer landlords Governing Board. In no circumstances may LA members, officers or other nominees exceed 1/3 of the membership, since borrowing by the transfer landlord would otherwise be classified as public expenditure.'

 

The report outlined the advantages and disadvantages of the following:

 

(i)         Transfer to a new subsidiary of an existing RSL whereby the subsidiary was established within a group structure of an existing parent RSL. 

 

Such a body was usually given autonomy within an agreed business plan that was reviewed annually.  Provided the subsidiary kept within the business plan targets and conducted its affairs efficiently the parent organisation would not intervene.

 

The subsidiary would have its own Board of Management and was often permitted to nominate one of its own Board Members to sit on the Board of the parent organisation.  Conversely, the parent would also want Board representation on the subsidiary.

 

(ii)        Transfer to a newly formed RSL whereby the Council sponsored a new organisation set up specifically to take ownership of the Council's housing stock and to meet the stock improvements and service promises set out within the consultation offer document. 

 

Over the transfer period the new RSL would need to be established and achieve registration with the Assembly Government.

 

There were a number of different stand alone corporate bodies that could be adopted and dependent on the model chosen the new RSL may also be required to register with the Charity Commission. 

 

WAG Guidance required the Council to consider, in consultation with their tenants, whether the stock should be transferred to an existing RSL, or a new subsidiary of an existing RSL.

 

There was no definitive advice from WAG in respect to how consultation with the tenants should be managed or the extent of consultation. 

 

Experience in Wales had shown that the majority of Councils had consulted with a representative body of tenants rather than a wider group of tenants.  This was mainly because of the level of knowledge and understanding of the transfer issues that the representative body would have compared to most individual tenants.

 

Initial consultation had already taken place with the Tenants Panel, a group comprising of mainly chairs/committee members of recognised Tenants Groups and the Tenant's Working Group which was a group of tenants who had been working with the Housing Department over the previous 18 months reviewing and developing a range of key housing policies. 

 

The view of the Tenant's Panel and Tenant's Working Group was unanimous in its support for a newly formed RSL. 

 

The report proposed that following an appointment, the Council's Legal Advisers make a presentation to Cabinet and provide more detail on the constitutional model to enable Cabinet to make an informed decision on a model constitution to be offered to the Shadow Board.

 

The size of the Shadow Board was a matter for each Council but was normally no less than 12 and no more than 18 on the basis of 1/3 Council nominees, 1/3 tenant nominees and 1/3 independent members as mentioned earlier in the report. 

 

A large Shadow Board was mainly seen in transfer organisations with large stock or where there was a complicated management and committee structure.

 

The report proposed that a Shadow Board of 12 be established which would be sufficient to serve a committee structure of a Board and two main committees plus sub-committees as required.  With regard to the Council nominees for Shadow Board Membership it was not a requirement that nominees be serving Councillors. 

 

The report stressed the importance that the new RSL was not seen as being aligned to any one political group and that the Shadow Board (and ultimately full Board) members are effectively company directors whose allegiance is to the RSL when engaged on RSL business.

 

This was a matter for Executive decision.

 

RESOLVED -

 

(1)       T H A T tenant consultation be carried out, with all tenants, to ascertain whether a transfer of the housing stock, if approved, should be to an existing or newly created RSL. 

 

(2)       T H A T a Shadow Board of 12 comprising of four tenant representatives, four Council nominees and four Independent Representatives be approved.

 

(3)       T H A T the four Council representatives to sit on the Shadow Board be Councillors J.C. Bird, E. Hacker, N. Moore and J.W. Thomas.

 

(4)       T H A T Independent Members be appointed by the Shadow Board (Council and Tenant Members) following public advertisement.

 

Reasons for decisions

 

(1)       To enable the Housing Stock Transfer pre-ballot process to progress in full compliance with the Welsh Assembly Government's Transfer Guidance.

 

(2&3)  To approve the size and composition of the Shadow Board.

 

(4)       To provide for the appointment of independent members.

Vale of Glamorgan Council, Civic Offices, Holton Road, Barry CF63 4RU, Tel: (01446) 700111