agenda - fylde borough council · allan oldfield, tracy morrison, ... hardy declared a personal and...

Agenda Council Date: Monday, 24 February 2014 at 7.00pm

Venue: United Reformed Church, St Annes, FY8 2AE

Procedural Items Page

1 Declarations of Interest: Any member needing advice on Declarations of Interest should contact the Monitoring Officer before the meeting. 1

2 Confirmation of Minutes: To confirm the minutes of the previous meeting, held on 27 January 2014, as a correct record.

3 - 12

Information Items

3 Mayor’s Announcements 1

4 Chief Executive’s Communications 1

Items for Decision

5 The Pay Policy Statement 2014/15 13 - 19

6 Governance Arrangements 20 - 25

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Contact: Katharine McDonnell – Telephone: (01253) 658423 – Email: katharine.mcdonnell

The code of conduct for members can be found in the council’s constitution at www.fylde.gov.uk/council-and-democracy/constitution

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Council Minutes – 27 January 2014

Council Date: Monday, 27 January 2014

Venue: Lowther Pavilion, Lytham

Members: Mayor (Councillor Linda Nulty) Deputy Mayor (Councillor Elaine Silverwood) Councillors Ben Aiken, Christine Akeroyd, Frank Andrews, Tim Armit, Susan Ashton, Tim Ashton, Keith Beckett ISO, Julie Brickles, Karen Buckley, David Chedd, Maxine Chew, Alan Clayton, Peter Collins, Fabian Craig-Wilson, Susan Cunningham, John Davies, Leonard Davies, David Donaldson, Charlie Duffy, Kevin Eastham, David Eaves, Sue Fazackerley, Dr Trevor Fiddler, Tony Ford JP, Nigel Goodrich, Peter Hardy, Karen Henshaw JP, Howard Henshaw ADK

(Malaysia), Paul Hodgson, Ken Hopwood, Angela Jacques, Kiran Mulholland, Barbara Nash, Edward Nash, Elizabeth Oades, Albert Pounder, Richard Redcliffe, Louis Rigby, John Singleton JP, Heather Ann Speak, Thomas Threlfall, Vivenne Willder

Officers: Allan Oldfield, Tracy Morrison, Paul O’Donoghue, Katharine McDonnell, Ross McKelvie, Howard Dawson, Bernard Judge and Andrew Turpin

Other attendees: 18 members of the public

Prayers

Prayers were offered by the Mayor’s Chaplain, Reverend Julie Jones.

1. Declarations of interest

Members were reminded that any disclosable pecuniary interests should be declared as required by the Localism Act 2011 and any personal or prejudicial interests should be declared as required by the Council’s Code of Conduct for Members.

Councillors E Nash, K Henshaw, Ford, Chew, Jacques, Silverwood, Nulty, Singleton, Hodgson, Speak, Akeroyd, Willder, Brickles, Beckett, Chedd, Clayton, Dr Fiddler, Oades, Pounder, Threlfall, Rigby and Hardy declared a personal and prejudicial interest in agenda item 12, Council Tax Reduction Scheme. Those members had also requested dispensations for the same item.

Councillors Armit, Buckley, Duffy, Dr Fiddler, Mulholland and Threlfall declared an interest in agenda item 12, Council Tax Reduction Scheme and agenda item 13, Council Tax Discounts and Premiums. They withdrew from the meeting during the consideration and voting on these items.

Councillors Andrews and Chedd declared an interest in agenda item 13, Council Tax Discounts and Premiums. They withdrew during the consideration and voting on this item.

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2. Confirmation of minutes

RESOLVED: To approve the minutes of the Council meeting held on 2 December 2013 as a correct record for signature by the Mayor.

3. Mayor’s Announcements

The Mayor announced that she had enjoyed the many carol services and visits she had undertaken over the Christmas period, particular highlights had been a visit to Clifton Hospital and serving Christmas Dinner to the troops.

The Mayor also reminded members that the Mayoral Ball was to be held on 8 March at Ribby Hall.

4. Chief Executive’s Communications

Mr Oldfield had two communications to report. He passed on the thanks of the Lowther Gardens Trust for the financial and administrative support, from the Council, for the resurfacing of the car park.

Mr Oldfield also drew members’ attention to a letter, circulated prior to the meeting, from Mark Menzies MP. Mr Oldfield advised that Mr Menzies wished to clarify his position in light of a public question to Council in relation to the Warton Enterprise Zone.

5. Questions from Members of the Council

There were no questions from Members of the Council.

6. Questions from Members of the Public

There were four questions from members of the public.

1. From Sally Wright “In response to a public question at the last Full Council meeting on 2nd December, Councillor Fiddler said that advice is being sought from a specialist government agency ATLAS to see how to prevent or delay large ad hoc housing development applications coming in from developers who are ignoring Fylde Borough’s request to hold off until the Local Plan is agreed.” Councillor Dr Fiddler, the Portfolio Holder for Planning and Development responded. He advised that officers had met with representatives of ATLAS who had laid out a provisional schedule of help to the Council. However, he explained, as ATLAS were a specialist government agency and the Council was seeking help from them to effectively circumvent Government Planning policy, permission had to be granted for ATLAS to provide assistance to the Council. Councillor Dr Fiddler stated that permission had been granted by the Government on 16 January and officers were now working with representatives from ATLAS.

2. From Debbie Adams “At the Full Council meeting on 23rd September, Councillor Fiddler said that he anticipated that the outcome of current discussions would be going before the Local Plan Steering Group in the next few weeks. In November Councillor Fiddler was still saying that he expected the findings of the study to go before the Steering Group within the next few weeks.

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At the Full Council meeting on 2nd December Councillor Fiddler blamed Turley Associates for the delay but said the outstanding issues were being addressed and the final report was anticipated within weeks. Two weeks later Councillor Fiddler confirmed in the local newspaper that he was expecting the findings in early January and on 16th December Allan Oldfield wrote on behalf of Councillor Fiddler to confirm that that he will be keeping his commitment to meet with local housing campaign groups to provide an update on the housing needs assessment early in the New Year. We understand that Councillor Fiddler appreciates how important this is but keeps failing to provide an end date for these discussions. Will he today provide an update and also a specific date as to when this will be going before the Steering Group? Can he also provide a specific date when he will meet with the local housing campaign groups?” Councillor Dr Fiddler, Portfolio Holder for Planning and Development, responded. He advised that the Strategic Housing Requirement had only been finalised within the last week and the policy would be presented to elected members at a learning hour on 29 January. The policy would then go forward to the Local Plan Steering group before Councillor Fiddler invited housing groups to discuss the policy.

3. From Fred Moor “In 2001, the Council distributed 34,000 leaflets to Fylde households seeking views about alternative governance systems, 2,648 responses were received, with 65% indicating support for a streamlined committee system. 9% opting for Leader and Cabinet and the remainder for an elected Mayor. In 2005, the Council again consulted on changing governance arrangements. This time indirectly - via The Fylde LSP newspaper, a press release, resident focus groups, parish councils, and the Council's website. This produced a narrow majority in favour of the Committee system, but only about 400 people responded. This was held to be an inadequate public response, so the change away from committees was implemented irrespective of the small adverse public majority. Given that 4,600 people have recently signed a petition supporting a change back to the committee system, and that number is ten times the council's survey result from 2005 and almost twice the 2001 response when all Fylde households were invited to comment: 1). Does the Council intend to consult the public, the petition organisers, and Fylde's parish councils before finalising its view on the governance arrangements that should be proposed for implementation in the event of a 'change' vote in the referendum. 2). What steps does the Council expect to take to advise all its residents of the pros and cons of both the Committee System and the Leader and Cabinet system in order that they may make an informed referendum choice from balanced official information provided by the Council.” Councillor Eaves, Leader of the Council, responded. He stated the present system of governance represented good value for money, whereas the referendum would cost £54,000 to hold and there would be additional costs to the Council, if a committee system had to be instigated. Councillor Eaves stated that full Council would meet on 24 February to agree a preferred option for any committee system, as required under electoral legislation. He advised that due to the legislative

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timescales there would be no opportunity to consult with stakeholders prior to the referendum, but if a yes vote was returned, the Council would consult with stakeholders regarding the implementation of a committee system. Any information publicising the referendum would be in line with legislation, be factual and contained within existing resources.

4. From Jessica Ashworth “FBC’s Employment Land and Premises Study was one of the key documents used to underpin the draft Local Plan. It made great play on the fact that "Economic development and regeneration can be enhanced through investment in the built environment and business premises in a number of local centres (including Wesham, Kirkham, Freckleton, Warton and Lytham). This will ensure hubs of economic development are created". In addition the document stated the Enterprise Zone "will create 500 new jobs by 2015" with further growth beyond. These are two of the major reasons why Warton was identified as a Key Service Centre and also as a Strategic Location for Development (and which has opened the floodgates to developers). Warton has embarked on its Neighbourhood Plan. As part of that process, Warton’s Neighbourhood Plan Steering Group are both required and empowered by the NPPF to ensure that the plan: • supports sustainable growth and expansion of all types of businesses and enterprises within the parish/neighbourhood; • identifies suitable/alternative areas for any new housing within the parish/neighbourhood; • optimises the potential for mix use of sites within the parish/neighbourhood. Significantly, FBC’s Employment Land and Premises Study identified Warton as having no available industrial or warehouse space to accommodate expanding local businesses or encourage new local business/entrepreneurs. Mark Menzies MP has gone on record to say that that the Enterprise Zone is going to be a slow burner and that the EZ and BAE together will probably not provide any more jobs in 10 years time than are currently provided at BAE. Whilst the major focus of the Enterprise Zone is on new attracting new ‘high-end’ business from outside the region, it was acknowledged early on that there "may be exceptional circumstances where a local occupier relocation or expansion could be appropriate – though they may not qualify for the Zone benefits". So, given the lack of available employment land for local people in Warton, given the expectations of the EZ, and given the threat to the countryside around Warton from developers, the Bryning with Warton Neighbourhood Plan Steering Group respectfully ask Fylde Borough Council to make representations to LCC and the Enterprises Minister to ask for a review of the terms and conditions of the EZ to see if the site could be broadened for more mixed use in order to: • promote and support the local economy of Warton and local businesses who currently have nowhere to expand or re-locate to except out of the area; • allow some housing development on what will inevitably be unused brownfield land to avoid greenfield sites around Warton being built on unnecessarily.” Councillor Dr Fiddler, Portfolio Holder for Planning and Development, responded. He stated that Fylde Borough Council would not lobby Lancashire County Council or the Government for a change to the Enterprise Zone. He advised that Fylde Borough Council had lobbied hard for the Enterprise Zone but stressed that the Enterprise Zone was not the trigger for housing development in Warton.

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Councillor Fiddler reminded the members that under the previous Local Plan, land was allocated in Warton for housing development. He stated that the designation of land for housing development was further justification for the location of the Enterprise Zone.

7. Notice of Motion

Following notice given under rule 11 of the Council Procedure Rules, the following Motion was proposed by Councillor Peter Collins and seconded by Councillor Oades.

“That the Local Plan Steering Group be discontinued with immediate effect.”

During the course of the debate, Councillor Duffy proposed an amendment which was seconded by Councillor Clayton:

“That this Council recommends to the Portfolio Holder for Planning and Development that in the interests of openness and transparency meetings of the Local Plan Steering Group broadly follow the same access rules as all meetings of the Council, its Committees and sub-Committees as defined in Section 1, part 4/e “Access to Information Procedure Rules” of the Council’s constitution subject to the avoidance of undue delay or administrative overhead.”

Following the debate and a recorded vote, the amendment was lost.

Votes for the amendment (18): Councillors Beckett, Brickles, Chedd, Chew, Clayton, Collins, J Davies, Duffy, Ford, Hardy, H Henshaw, K Henshaw, Hopwood, Oades, Rigby and Speak, Silverwood and Nulty.

Votes against the amendment (25): Councillors Aitken, Akeroyd, Andrews, Armit, S Ashton, T Ashton, Buckley, Craig-Wilson, Cunningham, L Davies, Donaldson, Eastham, Eaves, Fazackerley, Dr Fiddler, Goodrich, Hodgson, Jacques, Mulholland, B Nash, E Nash, Pounder, Redcliffe, Threlfall and Willder

Abstentions (1) Councillor Singleton

Following the loss of the amendment, Councillor Oades proposed a further amendment which was seconded by Councillor Collins:

“ That the operation of the Local Plan Steering Group be reviewed by the Portfolio Holder. “

There was further debate on the amended motion and by a show of hands the amended motion was carried and now become the substantive motion.

Following a further vote, by a show of hands, the motion was carried.

(Councillor Mulholland requested that his name be recorded as abstaining from the vote)

8. Dispensation to Allow Town and Parish Councillors to Participate in Council Tax Reduction Scheme Item

Councillor David Eaves presented a report regarding dispensation to allow Town and Parish councillors to participate in the Council Tax Reduction Scheme item. He informed members that the purpose of the report was to ensure that councillors who were also Town and Parish councillors could participate in the discussion about and vote on the item in relation to the Council Tax Reduction Scheme, with reference to the allocation of a grant to Town and Parish Councils.

Tracy Morrison, Monitoring Officer, advised that Councillors E Nash, K Henshaw, Ford, Chew, Jacques, Silverwood, Nulty, Singleton, Little, Hodgson, Speak, Akeroyd, Willder, Brickles, Beckett, Chedd, Clayton, Dr Fiddler, Oades, Pounder, Threlfall, Rigby and Hardy, had all applied for dispensation prior to the Council meeting.

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Councillor Eaves proposed, and Councillor Karen Buckley seconded, the recommendation in the report.

Following a show of hands in favour of the proposal, it was RESOLVED:

That dispensations are given to councillors who have requested the same in relation to the Council Tax Reduction Scheme item contained later on the agenda for Council meeting of 27 January 2014 in so far as the allocation of a grant to Town and Parish Councils was concerned.

9. Invitation to Accept Appointment as Mayor 2014/2015

It was moved by Councillor John Davies and seconded by Councillor Howard Henshaw and it was RESOLVED:

That Councillor Kevin Eastham be invited to accept election by the Council at the 2014 Annual Meeting as Mayor of the Borough of Fylde for the ensuing municipal year.

10. Fylde Borough Council – Schedule of Meetings 2014/2015

Councillor David Eaves presented a report the purpose of which was to approve the schedule of meetings dates for the forthcoming municipal year 2014/15. A copy of the proposed meetings schedule was circulated at the meeting.

Councillor Eaves proposed and Councillor Sue Fazackerley seconded the recommendations in the report.

Following a show of hands in favour of the proposal, it was RESOLVED: To approve the schedule of meetings for 2014/15.

11. Latest Financial Forecast Update (Position as at January 2014)

Councillor Karen Buckley introduced a report which asked Council to note the financial forecast position which had been updated to reflect the impact of the Local Government Finance Settlement announcement received on 18 December 2013. The assumptions set out in the forecast were the latest best estimates and would be updated as and when further information was made available. Instructions remained in place that Officers should not commit to any unnecessary expenditure and to exercise prudence in every financial decision. Councillor Buckley highlighted the appendices to the report which included the latest changes and updated financial forecast.

In response to a question regarding the New Homes Bonus funding stream, Councillor Buckley stated that the New Homes Bonus was not ringfenced and was used to maintain council services. She further advised that Government guidance regarding consultation was followed, with consultations on the Local Plan and, with parishes, Neighbourhood Plans.

Councillor Buckley proposed and Councillor David Eaves seconded that the report be noted.


That Council note the implications of the updated financial forecast.

12. Council Tax Reduction Scheme 2014/2015 including Grants to Town and Parish Councils

Councillor Fabian Craig-Wilson presented a report which provided the background to the approval of the Council Tax Reduction Scheme (CTRS) in respect of 2013/14 including a summary of the key factors taken into consideration in the design of the scheme; described the experience to date of the

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first year of operation of the local CTRS; and set out the issues to be considered and the options available to the Council in adopting a scheme for 2014/15.

The Councils Revenue Budget and Financial forecast for 2014/15 onwards had been prepared on the basis of an assumption that the CTRS would be fully self-funding. That is, that the net cost of the scheme to Fylde Borough Council would be met by applying reduced levels of support to claimants. The Council decision with regard to the CTRS for 2014/15 would be in respect of 2014/15 only.

The report also addressed the question of the payment of grants to Town and Parish Councils in relation to changes arising from the introduction of a local CTRS and outlined the options available to the Council in that regard. Councillor Craig-Wilson explained that the detail of the report had been considered by Policy Development Scrutiny Committee at its meeting of 9 January 2014, and the recommendations set out were consistent with those made by the Committee.

Subsequently the report had also been considered by Cabinet at its meeting on 15 January 2014. Whilst not quorate, the Cabinet members who had considered the item, had also supported the recommendations of the Policy Development Scrutiny Committee.

Councillor Fabian Craig-Wilson proposed and Councillor Pounder seconded that the recommendations contained in the report be approved.

Following a show of hands in favour of the proposals, it was RESOLVED:

1. That option B be approved, as set out in Section 3 of the report for the adoption of a Council Tax Reduction Scheme for 2014/15 which aimed to have a neutral financial impact on the Council and the major preceptors. For working-age claimants there would be a means tested assessment to establish entitlement. A percentage reduction would be applied at the end of the assessment. Working-age recipients would experience a resultant reduction in the level of support which is currently estimated to be approximately 22.7% for 2014/15;

2. That the Council Tax Reduction Scheme would continue to provide funding for Discretionary Hardship Relief in accordance with S13A (1) (a) or S13A (1) (c) of the Local Government Finance Act 2012 as detailed in section 4 of the report;

3. That option 2 be adopted, as set out in Section 5 of the report for payments of grants to Town and Parish Councils in relation to changes arising from the introduction of the local Council Tax Reduction Scheme. That in 2014/15 for Fylde Borough Council to agree to fund Town and Parish Councils to compensate them for losses in income as a consequence of the Council Tax Reduction Scheme impact in a total sum which reflected the overall central funding reductions suffered by Fylde Borough Council. Based on the settlement figures and new homes bonus provisional allocations, the reduction would equate to 3.1%, with approximately £72,000 to be distributed;

4. That the distribution methodology for payment of grants to Town and Parish Councils relating to the introduction of CTRS as described in section 5.10 of the report would be such that the grant allocation would be calculated by reference to the tax-base of each Town and Parish Council excluding the impact of CTRS and the revised tax-base under the 2014/15 CTRS regime, which was consistent with the methodology applied in respect of 2013/14 grant allocations (Proposed allocations to individual Town and Parish Councils for 2014/15 shown at Appendix F within the report);

5. That the Section 151 Officer be authorised to make payments to Town and Parish Councils within Fylde borough in 2014/15 in relation to the Council Tax Reduction Scheme; and

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6. That the financial implications of the above decisions were reflected in the Council’s Revenue Budget and Financial forecast for 2014/15 onwards.

13. Review of Council Tax Discounts and Premiums

Councillor Fabian Craig-Wilson introduced a report regarding a review of the Council Tax Discounts and Premiums Charging Policy imposed by the Council in April 2013 under new legislation. The report also set out the issues to be considered and the options available to the Council for its Charging Policy from April 2014.

Councillor Craig-Wilson explained that each of the recommendations were in line with the resolutions of both the Policy Development Scrutiny Committee and Cabinet Members, and had broad support.

In response to a question, Mr O’Donoghue advised that the exemptions set out in appendix C of the report were statutory and that the Council must apply them.

Councillor Fabian Craig-Wilson proposed the recommendations in the report which were seconded by Councillor Sue Fazackerley.

Following a show of hands in favour of the proposals, it was RESOLVED that with effect from 1 April 2014:

1. In respect of unfurnished vacant dwellings where major repairs or structural alterations were required, underway, or recently completed (previously class A exemptions) to continue to apply the current 100% discount for up to 12 months: The ‘Current Discount’ position shown at Appendix A (i);

2. In respect of vacant dwellings which were empty and substantially unfurnished (previously class C exemptions) to continue to apply the current discount at 100% for a period of six months: The ‘Current Discount’ position shown at Appendix A (ii);

3. In respect of properties that had remained empty for more than 2 years to introduce a premium and charge 150% of council tax: the ‘New Premium’ position shown at Appendix A (iii);

4. In respect of Second Homes the current 10% discount would no longer apply from April 2014: Option 1 at Appendix A (iv); and

5. The Revenues Shared Service would contact those property-owners who would become liable for the Council Tax premium as a consequence of their property having been unoccupied for in excess of two years to advise them of the decision prior to the dispatch of Council Tax bills.

14. Planning Appeal Costs – Unfunded Budget Increase Request

Councillor Dr Trevor Fiddler introduced a report. The report provided information on the current cost of planning appeals settled to date during 2013/2014, and sought an unfunded budget increase to meet the costs of appeals which could not be funded from the existing budget provision. Councillor Dr Fiddler proposed and Councillor Buckley seconded the recommendation with the following additional words, as proposed Councillor Oades and seconded by Councillor Duffy, “That developers should note that the unfunded budget increase meant that Fylde Borough Council would go forward with appeals should they need to. Members of the Council were prepared to make what they believed to be correct decisions”.

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Following a show of hands in favour of the proposals, it was RESOLVED: 1. To note the number and cost of planning appeals both incurred and in the system and

agreed to an unfunded budget increase in 2013/14 of £116,118 to meet the currently unbudgeted additional cost;

2. To note both the historical cost of appeals incurred by the Council and the limited budget provision for these costs included in the Council’s base budget going forward; and

3. That developers should note that the unfunded budget increase meant that Fylde Borough Council would go forward with appeals should they need to. Members of the Council were prepared to make what they believed to be correct decisions.

15. Review of Polling Districts and Polling Places 2013

Councillor Karen Buckley introduced a report regarding the Returning Officer’s proposals arising from the review of polling districts and polling places within the Borough of Fylde. Councillor Buckley proposed a slight amendment to recommendation two, to reflect the wording contained in the Returning Officer’s report, and Councillor Threlfall seconded the proposal. Following a show of hands in favour of the proposals, it was RESOLVED:

1. To authorise the Returning Officer recommendations.

2. To authorise the Returning Officer to make amendments to polling places, where required and following consultation with ward members, prior to the next statutory review.

16. The Pay Policy Statement 2014/2015

Councillor Karen Buckley proposed that the Pay Policy Statement be deferred until the statement could be discussed by the Policy Development Scrutiny Committee.

Councillor Pounder seconded the proposal.


That the item be deferred until the Pay Policy Statement could be discussed by Policy Development Scrutiny Committee.

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REPORT REPORT OF MEETING DATE

FINANCE & RESOURCES PORTFOLIO COUNCIL 24 FEBRUARY 2014

THE PAY POLICY STATEMENT 2014/15

PUBLIC ITEM

This item is for consideration in the public part of the meeting.

SUMMARY

The report provides details of the Pay Policy Statement for Fylde Council which is a requirement for all local authorities to have in place since April 1st 2012 as part of the Localism Act. The objective of the Statement is to ensure that there is openness, transparency and fairness in the pay policy arrangements. Annual reviews are required and this report represents the second annual review of the Pay Policy statement for Fylde.

The Pay Policy Statement has been subject to scrutiny and any recommendations from the scrutiny committee will be reported by the Portfolio Holder at the meeting.

RECOMMENDATION

That the Council approve the Pay Policy Statement for Fylde Council included in Appendix 1 to this report.

CABINET PORTFOLIO

This item falls within the following cabinet portfolio(s):

Finance and Resources - Councillor Karen Buckley.

SUMMARY OF PREVIOUS DECISIONS

The Pay Policy Statement has been before the Full Council in March 2012 and January 2013, it is a requirement for the Full Council to approve the statement each year.

REPORT

1. The Council is required as part of the Localism Act to produce a pay policy statement and to review and formally approve it each year.

2. The statement sets out the Council policy on:

I. Chief Officer Remuneration (recruitment, salary, bonus, performance related pay,

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charges, fees, allowances, benefits in kind, enhancement to pension at termination)

II. Remuneration of its lowest paid employees (covering the same elements as above) the definition used for this group and the reason for adopting that definition

III. The relationship between Chief Officer remuneration and that of other staff

3. This however is a minimum requirement and Councils can do more if they want.

4. The guidance from the DCLG provides details of what is expected in the Pay Policy Statement, and includes:

I. The opportunity for full council to vote on senior remuneration packages with a value over £100,000 prior to an offer of appointment being made

II. The relationship between Chief Officer remuneration and that of other staff and the ratio between the highest paid and median salary that the authority aims to achieve and maintain

III. The value of the system of earn back pay with an element of the basic pay at risk each year to be earned back through meeting pre-agreed objectives

IV. Any decision that the authority takes in relation to the award of severance to an individual Chief Officer

V. An explicit statement on whether or not they permit an individual to be in receipt of a pension in addition to receiving a salary

VI. Policies to deal with those who may have returned to the authority under a contract of service of any type having already received a severance or redundancy payment

5. In addition to this guidance it should be noted that the recommended practice for local authorities on data transparency states that Council’s should disclose publically:

I. Senior employee salaries at £52,800 and above including disclosing the names, job descriptions, budgets and numbers of staff

II. An organisational chart

III. The pay multiple which is the ratio between the highest paid salary and the median average salary of the whole authorities workforce

6. The Council implemented a pay review process in 2007 and as part of that review a robust pay and grading evaluation scheme designed to ensure fairness and equity in terms of pay was introduced.

7. The Council complies with the recommended practice for local authorities on data transparency and publishes data that is required to be made publicly available.

Pay Policy Statement

8. The Councils Pay Policy Statement is included as Appendix 1 to this report. Central to the statement is the acknowledgement that each job has a value in terms of scope, specialist skills and knowledge, size and impact that has been subject to the pay and grading evaluation scheme to determine an appropriate pay scale.

9. The Councils employee benefits policies are universally applied wherever possible and the financial arrangements for all employees leaving the organisation for whatever reason are based on the same principles regardless of grade.

10. The Statement has been subject to review and there has been no legislative or operational reason to change the policy over the last 12 months. The ratios between salary levels have

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changed slightly because there has been a 1% pay increase from the local government pay award for the 2013/14 fiscal year.

IMPLICATIONS

Finance There is no change to the financial position of the Council arising from the report.

Legal The legal responsibilities in respect of the Pay Policy Statement have been included in the body of the report.

Community Safety There are no direct community safety implications.

Human Rights and Equalities The pay and grading scheme implemented at Fylde has been subject to equality impact assessment. There are no direct human rights and implications arising from the report.

Sustainability and Environmental Impact

The sustainability of the process is reliant on participation from all service areas across the authority

Health & Safety and Risk Management

The most significant risks around pay relate to the increased costs of employment and balancing the need to pay an appropriate salary that will mean that the roles the council needs to fill to discharge our duties as a Local Authority can be filled by skilled, appropriately qualified staff. In mitigation against the first risk the council ensures that its budgets are managed effectively and to deal with the second risk there is a policy to deal with market supplements if they can be objectively justified.

REPORT AUTHOR TEL DATE DOC ID

Allan Oldfield 01253 658500 January 8th 2014

LIST OF BACKGROUND PAPERS Name of document Date Where available for inspection

Localism Act December 2011 http://www.legislation.gov.uk/ukpga/2011/20/cont

ents/enacted

Pay Policy Statement February 2012

http://www.fylde.gov.uk/council/your-council/pay-policy-statement/

Pay Scales February 2012

http://www.fylde.gov.uk/council/your-council/pay-scales/

Attached Documents

Appendix 1: The Fylde Council Pay Policy Statement 2014/15

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http://www.legislation.gov.uk/ukpga/2011/20/contents/enacted

http://www.legislation.gov.uk/ukpga/2011/20/contents/enacted





Pay Policy Statement

Summary Statement Fylde Council is committed to paying all employees appropriately and fairly using recognised and approved job evaluation schemes that have been tested to ensure they are free of gender and any other bias. The pay scales for employees at all levels are in the public domain and the Council complies with the requirement to publish data on senior salaries and its entire pay scale in the interests of transparency. In determining the pay and remuneration of all its employees, the Council will comply with all relevant employment legislation. This includes legislation such as the Equality Act 2010; Part Time Employment (Prevention of Less Favourable Treatment) Regulations 2000; and where relevant, the Transfer of Undertakings (Protection of Earnings) Regulations. As far as possible all Council policies that relate to employment benefits are universally applied unless there is a specific contractual or business reason why they should be limited to a certain group of employees. Basic Pay All employee basic pay is based on pay and grading evaluation schemes with the GLPC scheme for posts up to Chief Officer and the Hay scheme for Chief Officer Posts. Both of these schemes have been tested to ensure that they are free from gender bias and the use of these schemes has been agreed with the relevant recognised trades unions. Pay and grading evaluation panels made up of trained employee representatives evaluate the job description and person specification for the posts which in turn produces a score and a grade. Equality is ensured by evaluating the post and not the person. Apprentices are paid at £125 per week which is above the government’s apprenticeship rate. The Council does not have a policy to pay the Living Wage in preference to the Minimum Wage for posts that are remunerated at the Minimum Wage. The Council adopts the national pay bargaining arrangements in respect of the establishment and the revision of the national pay spine, for example, through any agreed annual pay increases negotiated with joint trade unions. All other pay related allowances are the subject of either nationally or locally negotiated rates, having been determined from time to time in accordance with collective bargaining process.

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Market Supplements Market force supplements are only paid to employees and Chief Officers in exceptional circumstances in accordance with the strict controls in the Council’s Market Supplements Policy. Any such payments are reviewed annually to ensure they remain valid and at present there are no Market Supplements paid at Fylde. Incremental Progression Progression through the grade for permanent and temporary employees, including Chief Officers, is only possible upon completion of satisfactory service and in line with the NJC terms and conditions as described in the Green Book. New Appointments Appointment to new posts are usually made at the bottom of the grade, except in exceptional circumstances where the most suitable candidate can evidence that such an offer would not reasonably be acceptable to them and the Council is satisfied that market conditions require the appointment to take place at a higher point than the minimum. Any Chief Officer appointment is dealt with by the Chief Officer Employment Committee, using the normal recruitment procedures and options with appointments made to a post with a remuneration package of more than £100,000 being ratified by Full Council. Overtime and Additional Hours Payments and Premium Payments Contractual overtime and additional hours are paid in accordance with the NJC terms and conditions as described in the Green Book. Non contractual, voluntary overtime, additional hour’s payments are paid in accordance with the Council’s pay review terms and agreed policy on overtime. To meet specific operational requirements it may be necessary for an individual to temporarily take on additional duties to their identified role. The Council’s arrangements for authorising any additional remuneration, e.g. honoraria, ex gratia, ‘acting up’ relating to temporary additional duties are set out in the Council’s personnel code. Any additional payment is subject to approval by the Employee Resource Panel that consists of the Chief Executive, the UNISON Chairman and a senior Human Resource officer. Chief Officers are not permitted to be paid overtime, additional hour’s payments or premium payments. Bonus Payments and Earn Back Schemes No employees including Chief Officers in the Council are in receipt of bonus payments or subject to earn back schemes where employees give up some salary to earn it back upon completion of agreed targets. Performance Related Pay The Council does not operate performance related pay schemes for any employees and has no plans to introduce policy to support performance related pay schemes. The Council does not operate a policy of ‘earn back’ where a proportion of the basic salary is retained and only released if targets or objectives are achieved.

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Honorarium Payments Honorarium payments are only made in exceptional circumstances and are subject to a business case being approved by the Employee Resource Panel with payment only made after the agreed outcome has been delivered / achieved. Relationship between the Highest and the Lowest Paid The Council is committed to paying employees based on the recognised job evaluation schemes detailed above. It is the application of these schemes that creates the salary differentials. Pay rates for each grade are published on the Council’s website. Relationship between the Highest Paid Employee and the Median Salary The relationship between the highest paid employee and the median salary will be calculated on an annual basis and published on the Council’s website alongside the information provided regarding senior manager salaries. As part of its overall and ongoing monitoring of alignment with external pay markets, both within and outside the sector, the Council will use available benchmark information as appropriate. In addition, upon the annual review of this statement, the Council will also monitor any changes in the relevant ‘pay multiples’ and benchmark against other comparable local authorities. Charges, Fees and Allowances The Travelling, Subsistence and Related Expenses Policy is applicable to all employees including Chief Officers. The reimbursement of professional fees for certain occupational groups is covered by the Personnel Code and applies to all relevant employees regardless of grade. Any other allowances paid to employees regardless of grade are detailed in the appropriate policy and procedures approved by the Council and paid only when necessary to the service activity. Chief Officers do not receive additional allowance payments. Electoral Fees The Resources Director is the Council’s appointed Returning Officer and is personally (not corporately) liable for the management of elections and referendums. The fee payable to the returning Officer for a European, UK Parliamentary and any other election or referendum organised nationally is set and paid for from Central Government. The fee payable to the Returning Officer for local and local by-elections is set at £150 per ward, for the parish and parish by-elections the fee is set at £75 per ward. The scale of fees is based on a payment for the first 3000 electors per ward, then for each 500 electors or part thereof over 3000 an additional fee is incurred. Although there is provision to pay an additional fee, no additional payment is made. Any changes to these fees will be reflected as part of the annual review of the Pay Policy. Pension Where employees have exercised their statutory right to become members of the Local Government Pension Scheme, the Council is required to make a contribution to

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the scheme representing a percentage of the pensionable remuneration due under the contract of employment of that employee. The rate of contribution is set by Actuaries advising the Lancashire Pension Fund and reviewed on a triennial basis in order to ensure the scheme is appropriately funded. The employer contribution rates are set by statute and are available from the Payroll Team. Under the terms of the Flexible Retirement Policy it is permitted for an employee to be in receipt of a pension and to be paid a salary at the same time. The policy requires a minimum reduction in hours worked of 30% and only employees aged 55 years and older are eligible to apply. Flexible retirement will only be granted in exceptional circumstances when there is a financial benefit to the Authority or extenuating personal circumstances without any cost to the Authority. Redundancy Payments and Retirement All employees including Chief Officers are entitled to redundancy payments and pension release in accordance with the Council’s Redundancy and Retirement procedure. Access to Information on Remuneration (Chief Officers and all staff) The Council will identify and publish all remuneration information and job descriptions relating to Chief Officers paid in excess of £56,880 per annum. Post titles and salary scale band will be published for all employees in the Council in the format of an organisational structure chart. The Council will publish the policy on employee expenses and a table of all the salary pay scale points applicable at Fylde. The schedule of election fees paid to the Returning Officer will be published. This information will be available on the Council website www.fylde.gov.uk and on request from the Council. Scope This Pay Policy Statement applies to all Council employees, excluding those who are subject to the TUPE Regulations (Transfer of Undertakings Protection of Employment).

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REPORT REPORT OF MEETING DATE

RESOURCES COUNCIL 24 FEBRUARY 2014

GOVERNANCE REFERENDUM

PUBLIC ITEM

This item is for consideration in the public part of the meeting.

SUMMARY

The council has received a valid petition calling for it to adopt a committee system instead of the current executive arrangements with a Leader and Cabinet. This means that a referendum will need to be held on 22nd May 2014. The Council is required to draw up proposals for the operation of a committee system in the event that the referendum votes in favour of the change. The proposals should be capable of being translated into a detailed working arrangement without revisiting points of principle. If the referendum favoured no change, the current executive arrangements of Leader and Cabinet would remain in place.

RECOMMENDATIONS

Adopt the suggested broad principles set out in this report as the council’s proposals for the operation of a committee system in the event of the forthcoming governance referendum voting in favour of a governance change.

CABINET PORTFOLIO

This item falls within the following cabinet portfolio(s):

Finance & Resources: Councillor Karen Buckley

SUMMARY OF PREVIOUS DECISIONS

None.

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REPORT

PETITION AND REFERENDUM

1. The Council has received a valid petition under the Local Authorities (Referendums) (Petitions) Regulations 2011. The petition seeks to replace the council’s present executive arrangements, Leader and Cabinet, with a committee system.

2. The petition was received on 29th October 2013. The Council is required hold a referendum on the governance change proposed by the petition. The referendum will be held on 22nd May 2014, alongside the European Parliamentary election. The referendum question is prescribed by regulations and will be:

How would you like Fylde Borough Council to be run? By a leader who is an elected councillor chosen by a vote of the other elected councillors. This is how the council is run now. Or By one or more committees made up of elected councillors. This would be a change from how the council is run now

3. The result of the referendum will be binding.

CHARACTERISTICS OF A COMMITTEE SYSTEM

4. All local authorities operated under a committee system until the Local Government Act 2000 came into force. Under a committee system, decision-making authority flows from the Council meeting as a body. The Council can delegate its functions to committees or officers1. Committees can appoint and delegate to sub-committees, and a committee or a sub-committee can delegate further to an officer.

5. There is no legal maximum or minimum number of committees. Each committee must have at least three members. In appointing members to ordinary committees,2 the council must comply with the rules of political balance, including the requirement for any majority group to have the majority of seats.

6. Authorities operating a committee system may have overview and scrutiny committees, but are not required to3.

PROPOSALS FOR A COMMITTEE SYSTEM

7. The Council is required to “draw up proposals for the operation of” a committee system4. It must publish a notice, containing (among other things) a “statement of the main features of its proposals”5, by 28th February 2014. There is no government guidance or case law that clarifies the amount of detail that the Council’s proposals should contain. However, if the majority of

1 Subject to certain matters, prescribed by regulation, which may not be delegated. 2 This would not include the Licensing Committee, which is set up under the Licensing Act 2003 rather than the Local Government Act 1972. 3 Certain statutory functions which would otherwise have to be fulfilled by an overview and scrutiny committee must be assigned to another committee. 4 Local Authorities (Referendums) (Petitions) (England) Regulations 2011, regulation 17(2) 5 Local Authorities (Conduct of Referendums) Regulations 2012, regulation 4(1)

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votes in the referendum are for a change to a committee system, the Council must “implement the proposals that were the subject of the referendum”6. This suggests that the proposals should be sufficiently coherent to be able to be translated into a working model of governance without needing to revisit any points of principle.

8. Officers suggest that the council’s proposals should include: a. The number of committees, with their broad areas of responsibility b. Whether, and to what extent, each committee will have power to make decsions on

matters within their areas of responsibility c. Whether there will be a mechanism for matters decided by a committee to be referred

to the full council or any other committee for reconsideration, with an overview of any such mechanism

d. Whether there will be overview and scrutiny committees

9. If the referendum votes in favour of a committee system, the Council is required to pass a resolution to implement the proposals and to implement them from the next annual meeting following the passing of that resolution, or a later annual meeting specified in that resolution7. The Secretary of State has default powers to implement a change if the authority does not do so8.

10. The resolution to implement the proposals would include the adoption of the new constitutional arrangements that would formalise the governance arrangements. The necessary detail of a new committee system would be contained in those arrangements. However, the details would need to be within the parameters set by the proposals which this report invites the council to draw up.

11. If the referendum favours the current Leader and Executive model there will be no change to the Council’s governance system and for clarification the current arrangements are shown below:.

Council

Cabinet

Policy Development Scrutiny Committee

Community Focus Scrutiny Committee

Audit Committee

Development Management Committee

Licensing Committee

Public Protection Committee

Standards Committee

Chief Officer Employment Committee

6 Local Authorities (Referendums) (Petitions) (England) Regulations 2011, regulation 18 7 Local Government Act 2000, section 9L 8 Local Authorities (Referendums) (Petitions) Regulations, regulation 20.

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A scheme of delegation exists within the Council’s constitution which delegates responsibility for various functions to members and officers.

12. The following is presented as a suggestion for the proposals for the operation of a committee system that the council is obliged to draw up. The proposals would only be required to be implemented in the event that the forthcoming governance referendum favours a governance change.

Full council would have power to set policy parameters within which each committees is to operate

Within such parameters, functions (except planning policy) that are now executive functions would be divided between four committees whose broad remits would be defined around: (1) Tourism and Leisure, (2) Operational Management, (3) Health and Housing and (4) Finance.

The following existing committees would continue with the same remits as now, except as noted below: (1) Audit Committee, (2) Chief Officers Employment Committee, (3) Development Management, (4) Licensing and (5) Public Protection.

Matters presently within the terms of reference of the Standards Committee would fall within the remit of the Audit Committee. Formulation of planning policy would fall within the remit of the Development Management Committee. Final adoption of the local plan would remain, as required by law, a matter for full council.

There would be no arrangements for scrutiny within the governance framework9.

Each committee would have full delegated authority to make decisions within the parameters set by full council.

There would be a mechanism under which a committee would be barred from exercising delegated authority in a particular matter (i.e. would only be permitted to make a recommendation to council, rather than take a decision) under procedure rules to be developed. There would be a separate mechanism within the same procedure rules under which decisions made by committees could be referred to the council for reconsideration.

There will be the ability for full council to take any function it has delegated to a Committee, in place of that Committee: and a Committee may refer or recommend a decision in respect of a delegated function to be taken by full Council.

Delegations to officers would be the same as in current constitution.

There would continue to be a Leader of the Council, appointed and removable by a vote of the full council

Full procedures and rules to embody these principles would be developed if the referendum voted for a move to a committee system.

RESOURCING AND COST IMPLICATIONS

13. The Council currently has sufficient staffing resource in place to service the current arrangements. Members should be mindful that if an option is chosen that requires more

9 Certain statutory functions that, where overview and scrutiny committees exist, must be discharged by such a committee, would be assigned to the most appropriate committee.

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committees than the existing arrangements, it is more likely that the costs of operating the new arrangements would be higher than the existing costs.

14. The Council currently has recurring annual budget provision of £61,838 for special responsibility allowances for various roles within the existing governance arrangements. If other governance arrangements are implemented, then the cost of special responsibility allowances may be more or less than the existing budget provision. The Independent Remuneration Panel would consider the matter in the first instance and make recommendations to the Council to consider.

15. Potential cost implications are difficult to estimate at this stage and will only be fully known if after a period of time in operating differing arrangements has elapsed.

IMPLICATIONS

Finance

The Authority currently has sufficient staffing resource in place to service the existing governance arrangements as set out in paragraph 11 of the report, and budget resource of £61,838 for special responsibility allowances for the existing governance arrangements. The cost implications of operating an alternative governance system would only be fully known after a period of time in operating differing arrangements had elapsed. The higher the number of committees, the more likely it is that the costs of operation would be higher. The timing of the submission of the petition ensures that the cost of holding the referendum will be mitigated by its staging to coincide with the European Election scheduled on 22nd May 2014. The updated financial forecast included within the Medium Term Financial Strategy to be considered by Council at its meeting on 3rd March 2014 has been updated to reflect an estimate of the cost of the referendum to FBC in the sum of £54,000 based upon the current understanding of the statutory position. This estimate may need to be revised should further guidance or direction be received on the treatment of joint costs.

Legal

Community Safety

Human Rights and Equalities

Sustainability and Environmental Impact

Health & Safety and Risk Management

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REPORT AUTHOR TEL DATE DOC ID Tracy

Morrison/Ian Curtis

01253 658521 14 February 2014

LIST OF BACKGROUND PAPERS Name of document Date Where available for inspection Governance referendum briefing note November 2013 Town Hall, Lytham St Annes

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