Agenda item

Report of the Interim Deputy Chief Executive attached.

The Chair welcomed the Deputy Leader of the Council and the Interim Deputy Chief Executive to the meeting and invited the Deputy Leader to present the report looking at the Council’s assets and how they are managed.

The Committee heard a summary of the work the service are responsible for and heard about plans to maximise the Council’s assets moving forward. A key part of this involved a new property management system which would enable better management of the Council’s assets through more efficient processes around rents, utility usage, safety checks and monitoring of occupancy levels. Significant progress had been made to address the concerns highlighted in earlier audit reports with the service now fully staffed and a five year action plan now in place to drive improvements.

On progress with the Penwortham Masterplan, the Committee heard that the next stage would be to appoint a lead design consultant to develop the plan from RIBA (Royal Institute of British Architects) Stage 2 through to Stage 4 at which point construction can commence – a report is expected at the December meeting of Cabinet to undertake this.

The implementation period of the new property management system was queried and whether information gathered as part of the 2021 condition survey would be out of date. In response, Members heard that the survey had identified key pieces of work that would need addressing and that these were being addressed alongside the implementation of the new system, with both projects incorporated into the five year programme of work.

Health and safety concerns that had been raised in previous audit reports were highlighted and questions asked as to whether issues had been resolved with regards to the Council meeting their legal obligations. The Committee were provided reassurance that the legal responsibilities of the Council as landlords were being met, regular safety checks and maintenance work was being undertaken and welcomed confirmation of this and a further update at the next meeting. It was anticipated that the new property management system would facilitate further improvements in managing all aspects of assets.

Members had queries over reducing rent arrears and the number of outstanding rent reviews. Whilst it was acknowledged that there was likely to be an uplift in revenue following rent reviews it was difficult to provide a timescale when this would be completed due to the ongoing and cyclical nature of negotiations. The Committee welcomed the offer to provide further information on rent arrears and the outstanding rent reviews.

The Committee sought further information on what procedures are in place to ensure positive relationships with tenants are achieved. Officers had been proactive in providing excellent customer service for tenants, with good communication and feedback key elements. Regular maintenance and safety checks in addition to a programme of improvement work in properties was also hoped to satisfy the needs of tenants and strengthen relationships.

Utility management had been improved with the recent procurement of a managed utility supply contract that had a number of benefits in managing providers, reducing costs through economies of scale and better monitoring of usage to inform the Council’s climate targets. Following on from this it was confirmed that there was a stipulation that green energy be used with aspirations to procure energy directly from green energy providers such as wind and solar.

Clarity was sought over the use and purpose of a flexible procurement of commodities contract. Members were advised that this had been introduced to seek professional advice as to how best mitigate risks of a volatile market to ensure best value for money.

Following questions, confidence was expressed that the new Civica property management system would be completed within the 18 month timeframe. Although this would be the time expected for the transfer to the new system to be fully completed, it would still be operational as different modules are added and properties are transferred to it so the benefits would be seen on a gradual basis throughout the implementation process.

Responding to questions on performance indicators within the report, the Committee heard that the figures were targets. Income generation from the Civic Centre was currently on target but work was planned to enhance this through additional advertisement and a new booking system to support a better customer experience.

The Committee sought further information on the future strategy of the service and what the short, medium and long term plans were. In response, the Committee welcomed the offer of an update report in the next six months.

It was subsequently;

Resolved: (Unanimously)

That the Corporate, Performance and Budget Scrutiny Committee:

1.    thanks the Deputy Leader and Interim Deputy Chief Executive for their detailed and well presented report and answering its questions;

2.    is grateful for the offer of a further update on assets, including rent arrear data, rent review programme and progress on performance; and

3.    feels re-assured that the previous health and safety issues identified had been addressed and requests that confirmation that our assets and estate a legally complaint is provided to the next meeting of the Committee.