Agenda and minutes

1.1      Apologies for absence were received as set out above.

RESOLVED: That the minutes of the LHC Joint Committee meeting held on 03 December 2021 be agreed as a true record.

3.1      Consideration was given to a request made by LB Enfield to waive the Joint Committee attendance criteria for 2021/22 due to difficulties with attendance, including issues relating to the COVID-19 pandemic, which had resulted in their ineligibility to receive the annual rebate.

3.2      The Chairman advised that all members of the Joint Committee had been advised of the requirements for attendance in order to qualify for the subsequent rebate, and it was therefore the Chairman’s recommendation that the request should be declined.

3.3      Members accepted that all Member Authorities had been advised of the attendance criteria and asserted that exceptions should not be allowed. Members therefore therefore supported the Chairman’s recommendation to decline the request, and it was unanimously:

RESOLVED:  That the request from LB Enfield to waive the Joint Committee attendance criteria for 21/22 be rejected, and to continue ‘as-is’, with the agreed allocation of £75k to be paid during the 2022/23 financial year.

4.1       Consideration was given to a report by the LHC Interim Managing Director, which provided Members with an overview of the organisation's performance.

4.2       Progress was being made against all objectives set out in the 03 December 2021 Joint Committee report, alongside the implementation of the recommendations relating to the Governance Review, as set out in item 8 of the meeting papers.

4.3       The assessment of the impact of COVID on LHC business turnover was positive overall, with projected year-end turnover for 2021-2022 forecasted to increase by 6% against the approved budget, however, the pandemic continued to have a significant impact across the UK but particularly in Scotland.

4.4       The latest Health & Happiness survey showed staff morale to be high, despite the challenges of the previous 12 months. Sickness absence figures showed a slight increase, predominantly due to COVID-19 related illnesses, together with a small number of long-term absences.

4.5       Progress on the Transformation Change Programme was continuing, with ‘Communities in Practice’ teams now in place to support the new Target Operating Model.  The procurement of the new Procurement Portal was continuing, with a preferred supplier now identified. A revised procurement strategy was now in place to support future LHC business growth.

4.6       LHC had contributed to the Cabinet Office’s independent review for public Sector Frameworks, to help develop a ‘Gold Standard’ of framework providers. LHC officers had carried out analysis of the report and were working to resolve business gaps identified, with the aim of further improving LHC’s offering versus competitors.

4.7       It was requested that the Joint Committee approve a request for delegation of future years Budget approval to the sub-committee of the Joint Committee, the ‘LHC Board of Directors’, with further detail to follow in the private part of the meeting.

4.8       The regional Directors provided an update on performance within their areas. All advised of positive performance and rustled, including increased client numbers and interaction, increased turnover, and improved performance against income targets. However, market difficulties regarding availability of materials/workers, reduced client budgets, and some client choice of low margin frameworks had been recognised. Such difficulties had been seen within Scotland, where despite record turnover, income was below target, though this was expected to be addressed in the coming year.

4.9       Members were advised that a key focus for the business moving forward concerned how to provide frameworks for clients seeking to be ‘greener’ and address climate change through decarbonisation and renewal energy.

4.10    The Joint Committee recognised the good performance of the business in what were challenging market conditions, and highlighted the positive feedback from LHC staff.

4.11  The recommendations were considered as set out in the report, and it was unanimously:

            RESOLVED:

1.    That the information contained in the report be noted;

2.    That Members approve the request for delegation of future years’ Budget approval to the LHC Board of Directors.

5.1       The Joint Committee received a report detailing the London Warmer Green Buildings Programme.

5.2       The background and context to the Mayor of London’s aim to make the city carbon neutral by 2030 was set out as per the report. The London Warmer Greener Buildings programme aimed to achieve this target by combining the various actions and initiatives currently underway.

5.3       Under this programme. London authorities and partners were creating a project management organisation to act as a single delivery mechanism for future actions. The appointment of a Director for this organisation was ongoing, and an initial 12 month implementation plan was  being drafted that would deliver the first steps towards meeting London’s carbon target. 

5.4       LHC’s involvement included collaboration and the sharing of best practice with all contributors and key individuals, including those at the GLA, London Councils and BEIS. Opportunities for business growth for LHC within future actions was high.

RESOLVED: That the information contained in the report be noted.

6.1       Following consideration of agenda item 8, it was provisionally agreed that the next meeting of the Joint Committee of the LHC would take place at 10am on Friday 30^th September 2022, with confirmation to follow the meeting.

6.1         Consideration was given to the report from the Director of Operations, with information highlighted as per the contents of the meeting papers.

RESOLVED:

1.    That the information contained in the report be noted as an estimate of the group out turn position, and will be formally reported to the September Joint committee following an external audit;

2.    That the framework spend by clients, as shown at appendix 7.1 of the report, be noted;

3.    That Members approve the requested change to delegated powers relating to Budget approval as set out in paragraph 3.3 of the report; and

4.    That the agenda for the September 2022 meeting include a report detailing LHC finance in respect of national and market pressures.

This item is included in Part II as it contains information relating to the financial or business affairs of any particular person (including the authority holding that information) and the public interest in withholding the information outweighs the public interest in disclosing it (exempt information under paragraph 3 of part 1 of Schedule 12A to the Local Government [ Access to Information] Act 1985 as amended

8.1         Consideration was given to the report detailing proposals for new governance arrangements for LHC, with information highlighted as per the contents of the meeting papers.

RESOLVED:

1.    Note the conclusions given in the body of this report;

2.    Note that each of the ten constituent authorities of the LHC Joint Committee have individually resolved to disband the LHC Joint Committee when a new structure is formed on 1st April 2023;

3.    Note that seven of the ten constituent authorities have individually resolved to consider participation in the new LHC corporate structure when it is approved by Members in September 2022, with a decision to participate to be resolved by each council after September 2022;

4.    Confirm implementation of a new LHC Board of Directors as a holding structure from April 2022, as set out in section 4 of this report;

5.    Approve the appointment from 1st April 2022 of the Chair Elect to the LHC Board of Directors;

6.    Approve the delegated authority by Members to Cllrs Bevan and Corthorne to approve the remaining seven appointments to the new LHC Board of Directors in April 2022;

7.    Agree to the extended timeline for evaluation and implementation of a new corporate structure for LHC, with a decision on the exact nature of the new corporate entity to be approved by Members at the September 2022 meeting and implementation of the new structure from 1^st April 2023;

8.    Approve the updated budget for this project; and

9.    Agree to postpone the final meeting of the LHC Joint Committee from December 2022 to March 2023 in accordance with the new timeline.

This item is included in Part II as it contains information relating to the financial or business affairs of any particular person (including the authority holding that information) and the public interest in withholding the information outweighs the public interest in disclosing it (exempt information under paragraph 3 of part 1 of Schedule 12A to the Local Government [ Access to Information] Act 1985 as amended