purpose of the report 2 background · north lanarkshire council agenda item no. ....j..7........

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NORTH LANARKSHIRE COUNCIL AGENDA ITEM No. ....j..7........ REPORT To: POLICY AND RESOURCES Subject: NORTH LANARKSHIRE COUNCIL COMMITTEE ASSURANCE AND IMPROVEMENT From: CHIEF EXECUTIVE PLAN 2014 17 Date: 3 JUNE 2O14 I Ref: GW/JL Purpose of the Report 1.1 The purpose of this report is to provide Committee with a copy of North Lanarkshire Council's fifth annual Assurance and Improvement Plan (AlP) covering the period 2014 17. A copy of the AlP is attached as Appendix One. 2 Background 2.1 Members are familiar with the Shared Risk Assessment which is completed annually by a Local Area Network (LAN) comprising representatives from each of the main local government audit and inspection agencies including external auditors. The aim of the Shared Risk Assessment is tofocus scrutiny activity where it is most needed and to determine the most proportionate scrutiny response over a three year period. The findings of the Shared Risk Assessment are captured in an Assurance and Improvement Plan (AlP). AlPs are produced and updated annually but cover a three year rolling programme. The scrutiny, audit and inspection work which is identified for individual councils within their AlP is then summarised in a composite document the National Scrutiny Plan. 2.2 Individual councils may choose to contribute to the Shared Risk Assessment through the submission of a self evaluation or corporate assessment and North Lanarkshire Council has taken up this opportunity since the introduction of the Shared Risk Assessment process in 2009. The most recent Corporate Assessment and Improvement plan, covering the period 2013/14 to 2016/17, was approved by the Audit and Governance Panel at its meeting on 13 November 2013 before submission to the LAN Lead Officer. 2.3 The Audit and Governance Panel has continued to receive update reports in the interim on progress by the LAN in completing the Shared Risk Assessment and drafting the AlP with the most recent report considered by the Panel at its meeting on 8 May 2014. 3 Assurance and Improvement Plan 2014 to 2017 3.1 North Lanarkshire's AlP was published via the Audit Scotland website today (3 June 2014) and a copy of is attached as Appendix One. Before publication the draft AlP was subject to quality and assurance work by Audit Scotland to ensure consistency and proportionality of response in comparison with other authorities' AlPs. The LAN Lead Officer subsequently advised that very few changes had been made to North Lanarkshire's draft AlP and it was felt to be robust and clear, with only a few points requiring elaboration. There was no requirement for the AlP to be referred for further scrutiny by the national Quality Consistency Review Panel (QCRP). 3.2 Overall the AlP is very positive with no formal scrutiny response identified for the period 2014 17. The draft AlP highlights that, 'strong governance and planning arrangements have resulted in continuous improvement since the last AlP in 2013114.' The role of service committees and sub committees in overseeing service performance and delivery is highlighted and theAudit and Governance Panel's monitoring and review role in relation to governance,

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Page 1: Purpose of the Report 2 Background · north lanarkshire council agenda item no. ....j..7..... report to: policy and resources subject: north lanarkshire council committee assurance

NORTH LANARKSHIRE COUNCILAGENDA ITEM No. ....j..7........

REPORT

To: POLICY AND RESOURCES Subject: NORTH LANARKSHIRE COUNCILCOMMITTEE ASSURANCE AND IMPROVEMENT

From: CHIEF EXECUTIVE PLAN 2014 − 17

Date: 3 JUNE 2O14 I Ref: GW/JL

Purpose of the Report

1.1 The purpose of this report is to provide Committee with a copy of North Lanarkshire Council'sfifth annual Assurance and Improvement Plan (AlP) covering the period 2014−17. A copy ofthe AlP is attached as Appendix One.

2 Background

2.1 Members are familiar with the Shared Risk Assessment which is completed annually by aLocal Area Network (LAN) comprising representatives from each of the main local governmentaudit and inspection agencies including external auditors. The aim of the Shared RiskAssessment is to focus scrutiny activity where it is most needed and to determine the mostproportionate scrutiny response over a three year period. The findings of the Shared RiskAssessment are captured in an Assurance and Improvement Plan (AlP). AlPs are producedand updated annually but cover a three year rolling programme. The scrutiny, audit andinspection work which is identified for individual councils within their AlP is then summarised ina composite document − the National Scrutiny Plan.

2.2 Individual councils may choose to contribute to the Shared Risk Assessment through thesubmission of a self evaluation or corporate assessment and North Lanarkshire Council hastaken up this opportunity since the introduction of the Shared Risk Assessment process in2009. The most recent Corporate Assessment and Improvement plan, covering the period2013/14 to 2016/17, was approved by the Audit and Governance Panel at its meeting on 13November 2013 before submission to the LAN Lead Officer.

2.3 The Audit and Governance Panel has continued to receive update reports in the interim onprogress by the LAN in completing the Shared Risk Assessment and drafting the AlP with themost recent report considered by the Panel at its meeting on 8 May 2014.

3 Assurance and Improvement Plan 2014 to 2017

3.1 North Lanarkshire's AlP was published via the Audit Scotland website today (3 June 2014)and a copy of is attached as Appendix One. Before publication the draft AlP was subject toquality and assurance work by Audit Scotland to ensure consistency and proportionality ofresponse in comparison with other authorities' AlPs. The LAN Lead Officer subsequentlyadvised that very few changes had been made to North Lanarkshire's draft AlP and it was feltto be robust and clear, with only a few points requiring elaboration. There was no requirementfor the AlP to be referred for further scrutiny by the national Quality Consistency Review Panel(QCRP).

3.2 Overall the AlP is very positive with no formal scrutiny response identified for the period 2014− 17. The draft AlP highlights that, 'strong governance and planning arrangements haveresulted in continuous improvement since the last AlP in 2013114.' The role of servicecommittees and sub committees in overseeing service performance and delivery is highlightedand the Audit and Governance Panel's monitoring and review role in relation to governance,

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internal control, risk management and oversight of internal and external audit outputs isdescribed. Effective community consultation and strong financial management systems arealso highlighted.

3.3 The AlP recognises that recent changes at Executive Director and senior officer levels maypresent risks associated with changes in leadership and the relevant scrutiny agencies willtherefore monitor the impact of our new leadership arrangements as part of their ongoing workwith the Council.

3.4 It also recognises that reductions in our workforce establishment numbers may impact on thequality of services.

3.5 The AlP refers to our own recognition of the significant risks associated with welfare reformand describes the Corporate Management Team and NLP Board reporting arrangements,along with the range of support, advice and guidance services provided for tenants and othersaffected by the reforms.

3.6 The Council's overall approach to the reform agenda in terms of consultation with partners andadvice and guidance to elected members is highlighted as being "robust" and "efficient,"however, the LAN recognises that there will be a need for ongoing engagement over thecourse of 2014 to monitor the impact of the changes.

3.7 Members will recall that last year's AlP identified that the Scottish Housing Regulator hadagreed to complete some follow up work on the Council's progress towards achieving theScottish Housing Quality Standards by 2015. The AlP identifies that this work will take placeduring April to June this year and the Head of Housing Services has confirmed that selfevaluation information has been submitted by the Council and arrangements are progressingfor the onsite phase. Details of the outcome of this work will be reported to the Housing andSocial Work Services Committee in due course.

3.8 The Council will also continue to engage in the annual external audit process along with theongoing inspection of school and care establishments by Education Scotland and the CareInspectorate respectively.

4 National Scrutiny Programme

4.1 The AlP highlights that North Lanarkshire Council will engage in the following national scrutinyprogrammes during the period 2014/15 to 2016/17:

i. Care Inspectorate joint inspection of children's services delivered in local authority areas.This is a national programme requested by Scottish Ministers and identified in the2012−15

AlP. North Lanarkshire's engagement in the on−site phase will take place duringOctober and November this year;

ii. Targeted follow−up work by Audit Scotland into two national studies − "Arms−LengthExternal Organisations; are you getting it right?' and, "Major Capital Investment inCouncils;" and,

iii. Potential selection as a fieldwork site for thematic inquiry work by the Scottish HousingRegulator during 2014/15 to 2016/17.

4.2 Further scrutiny activity, which is not identified as a matter of course by LAN members duringtheir annual Shared Risk Assessment work, is also identified and the Council will engage inthis, or be impacted by it (for example, publication by the Care Inspectorate of their report intouse of the Level of Service/Case Management Inventory (LSCMI) assessment and caseplanning tool) during the three year period 2014 to 2017. Reference to this additionalprogramme of wider scrutiny was included following the Quality Assurance work referred to inparagraph 3.1 above and is intended to provide a degree of "totality" about the scrutiny thatthe Council may be required to participate in (when considered in tandem with the individualScrutiny Plan). Details of this wider scrutiny activity, which is referred to in all authorities' Al Ps,

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is listed below:i. Publication by the Care Inspectorate of their report examining the introduction of the

Level of Service/Case Management Inventory (LSCMI) across criminal justice socialwork services. (LSCMI is an assessment and case planning tool. North LanarkshireCouncil engaged in the supported self evaluation in 2013 and the AlP refers to theCouncil evidencing, "A sound commitment and activity to quality assurance in theseareas which is progressing well.")

ii. Education Scotland will review the quality of careers information and guidance servicesdelivered by Skills Development Scotland as part of a planned programme of workacross all council areas over the next three years. The Scrutiny Plan for NorthLanarkshire Council identifies that this work will be completed in our area in February2015;

iii. HMICS (Her Majesty's Inspectorate of Constabulary for Scotland) will be inspecting localpolicing across Scotland over the next three years; and,

iv. Education Scotland will work in partnership with councils to carry out self evaluation ofeducational psychology services during 2014/15 and 2015/16.

5 Next Steps

5.1 Council services will consider the AlP findings to ensure that potential areas whereimprovement may be required, or where performance is noted to have dipped, may beaddressed. The findings of the AlP will also be used to inform work which is now underway ondeveloping the Council's Improvement Model.

6 Recommendation

6.1 The Policy and Resources Committee is requested to:

i. Note publication of the Council's AlP 2014 to 2017;ii. Consider the findings and outcome of the Shared Risk Assessment as

documented in the AlP;iii. Note that the Scottish Housing Regulator is currently completing some follow up

work on the Council's progress towards achieving the Scottish Housing QualityStandards by 2015 and details of the outcome of this work will be reported tothe Housing and Social Work Services Committee in due course;

iv. Note the planned national Scrutiny Programme and confirmed and potentialengagement by the Council in the various strands of this work; and,

V. Otherwise note the contents of this report.

2Chief Executive

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North LanarkshireCouncilAssurance andImprovement Plan2014−17

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Contents

ContentsContents........................................................................................................................................2

Introduction...................................................................................................................................3

Summary.......................................................................................................................................5

Planned scrutiny activity....................................................................................................6

Local priorities and public service reform ..................................................................................7

Community planning and Single Outcome Agreements.....................................................7

Policeand fire ...................................................................................................................8

Health and social care integration .....................................................................................8

Welfarereform ..................................................................................................................9

Corporate assessment ...............................................................................................................10

Serviceperformance ..................................................................................................................17

Improving and transforming public services/public performance reporting..........................21

Appendix1: Scrutiny plan..........................................................................................................24

North Lanarkshire Council Page 2

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Introduction

IntroductionThis Assurance and Improvement Plan (AlP) sets out the planned scrutiny activity in NorthLanarkshire Council between April 2014 and March 2017. The AlP is based on a shared riskassessment undertaken by a local area network (LAN). There is a LAN for each council,comprising representatives of all the scrutiny bodies who engage with the council. The aim ofthe shared risk assessment process is to focus scrutiny activity where it is most needed and todetermine the most proportionate scrutiny response over a three year period.

2. This is the fifth AlP for North Lanarkshire Council since the introduction of the shared riskassessment process.' It is the result of the shared risk assessment which began in October2013. The process drew on evidence from a number of sources, including:

• the annual report to the Controller of Audit and elected members for 2012/13 from thecouncil's appointed external auditors

• evidence gathered from Audit Scotland, Education Scotland, the Care Inspectorate, theScottish Housing Regulator and Her Majesty's Inspectorate of Constabulary (HMICS),including published inspection reports and other supporting evidence

• the Single Outcome Agreement (SOA) and associated development plan for the council

area

• the council's own performance data and self−evaluation evidence

• analysis of data from the SOLACE/COSLA/Improvement Service Local GovernmentBenchmarking Framework.2

3. The shared risk assessment process was reviewed in 2013, in the context of a significantlychanged scrutiny landscape and the evolving public service reform agenda.3 Based on thefindings of the review, this year's shared risk assessment focused on identifying the council'scurrent position in implementing the Scottish Government's reform agenda. It also placed

more emphasis on scrutiny risk in relation to the council's improvement and transformationagenda. This change in approach is reflected in the structure of the AlP for 2014−17, which

covers four areas:

• local priorities and public service reform

• corporate assessment

• service performance

• improving and transforming public services/public performance reporting.

'Assurance and Improvement Plans for each council since 2010 are available on the Audit Scotlandwebsite: http://www.audit−scotland.gov.uk/work/scrutinv−/aip.php2 The indicators used in the framework can be found on the Improvement Service website:http://www.improvementservice.orq.uk/benchmarking/The review of the shared risk assessment process was one of four work streams taken forward by the

Strategic Group for Local Government Scrutiny Co−ordination during 2013.

North Lanarkshire Council Page 3

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Introduction

4. Scrutiny risk is assessed against the following criteria.

No scrutiny required − there are no significant concerns, so no scrutiny work is necessary.

Scrutiny required − there are concerns about performance, services or outcomes,resulting in the need for scrutiny work.

Further information required − there is insufficient information to reach a judgement aboutperformance.

The National Scrutiny Plan for 2014/15 is available on the Audit Scotland website. It provides

a summary of planned scrutiny activity across all councils in Scotland, based on the AlPs foreach council.

North Lanarkshire Council Page 4

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Summary

SummaryNorth Lanarkshire Council continues to demonstrate strong governance and planningarrangements resulting in continuous improvement since the last AlP in 2013/14. In 2012/13,the SOA annual report indicated very strong performance over the majority of the 63 indicatorsset out in the SOA, with seventy−five per cent either on or exceeding targets. Of the 16indicators requiring improvement, 50 per cent were related to the impact of the recession.Building on their very strong performance and cognisant of the need to improve in thosetargets not met, the North Lanarkshire Partnership has revised the Community Plan and SOAand brought these together into one document, North Lanarkshire Partnership CommunityPlan 2013−18.

In last year's AlP (2012/13) there were no major areas of scrutiny required. The ScottishHousing Regulator (SHR) has still to undertake its scrutiny work carried forward from last yearon the council's progress towards the Scottish Housing Quality Standard (SHQS). As agreedwith the council, the SHR will undertake this work during 2014/15.

8. The Care Inspectorate, in partnership with the Association of Directors of Social Work and theRisk Management Authority, has been undertaking supported self−evaluation activity to assessthe initial impact of the introduction of the assessment and case planning instrument LS/CMI

across Scotland's criminal justice social work services. This activity started in June 2013 andwill conclude with the publication of a national report by May 2014. Action plans arising fromthis activity will be implemented in 2014.

9. Since the last AlP there have been significant leadership changes at corporate levels. Theexecutive director of corporate services retired at the end of May 2013, the director of learningand leisure retired in September 2013 and the director of housing and social work retired inOctober 2013. The LAN recognises that many of the risks associated with the changes inleadership at executive director level is mitigated by the strong performance of the chiefexecutive, robust systems and procedures for planning, monitoring and tracking performance,and effective partnership working with elected members. The relevant scrutiny agencies willmonitor the impact of the new leadership arrangements as part of their ongoing work with thecouncil.

10. In addition to the extant challenges facing North Lanarkshire related to its demographics andthe impact of the recession and reducing budgets, the council now face major changes as aresult of the public service reform agenda. The LAN recognises the robust and efficientapproach the council has taken to consult widely with partners and to provide sound adviceand guidance to elected members and others about the implications of the reforms. It isrecognised that there will be a need for the LAN to engage with the council over the coming

year to monitor the impact of the changes.

North Lanarkshire Council Page 5

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Summary

Planned scrutiny activityi i . As a result of the shared risk assessment undertaken by the LAN, no formal scrutiny response

has been identified for the period 2014−17. The Care Inspectorate has an ongoing programmeof inspection of children's services. During 2014/15, the Care Inspectorate will carry out a jointinspection of children's services in North Lanarkshire which will involve on−site work in Autumn2014. Education Scotland will also be reviewing the quality of careers information advice andguidance services delivered by Skills Development Scotland as part of a planned programmeof work across all council areas over the next three years.

12. During 2014, Audit Scotland will carry out a targeted follow−up of two national performanceaudits − Ann's−length external organisations (ALEOs): are you getting it right? (June 2011) andMajor capital investment in councils (March 2013).

13. There is some scrutiny activity planned across councils in 2014/15, but where scrutiny bodies

are yet to determine which specific council areas will be included. This includes the following:

The SHR recently carried out a thematic inquiry into the outcomes that councils areachieving by delivering housing options and prevention of homelessness services. Asample of councils were selected to take part in this as case studies. The findings fromthis work could potentially lead to further engagement with some councils. The SHR will

carry out further thematic inquiries between 2014/15 and 2015/16. If a council is to beinvolved in a thematic inquiry the SHR will confirm this with the council and theappropriate LAN lead.

HMICS will be inspecting local policing across Scotland over the next three years. Thiswill examine, amongst other things, local scrutiny and engagement between PoliceScotland and councils. The geographic areas to be inspected during 2014/15 have yet tobe determined.

Education Scotland will be working in partnership with councils to carry outself−evaluationof educational psychology services over a two year period beginning in

2014/15.

14. Audit Scotland will carry out a programme of performance audits during the period of this AlPthat will involve work with councils. The performance audit programme for 2014/15 is availableat http://www.audit−scotland.gov. uk/work/forwardwork.php?year=201 4.

15. Scheduled audit and inspection work will take place through the annual audit process. Theongoing inspection of school and care establishments by Education Scotland and the CareInspectorate respectively will continue as planned. Individual audit and inspection agencieswill continue to monitor developments in key areas of council activity and will provide supportand challenge as appropriate. This will help to inform future assessment of scrutiny risk.

16. A timetable for the planned audit and inspection activity in North Lanarkshire Council betweenApril 2014 and March 2017 is at Appendix 1.

North Lanarkshire Council Page 6

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Local priorities and public service reform

Local priorities and publicservice reform17. Local councils are operating within a context of significant change as a result of the

challenging financial environment and the public service reform agenda. The ScottishGovernment's reform agenda emphasises the importance of place, people, partnership,prevention and performance in public services. This year's shared risk assessment identifiedthe council's current position in implementing the Scottish Government's reform agenda,specifically in relation to:

community planning and new Single Outcome Agreements

police and fire oversight arrangements (following the introduction of new national policeand fire services)

. health and social care integration

. welfare reform.

Community planning and Single Outcome Agreements18. During the year, the North Lanarkshire Partnership revised the Community Plan and SOA and

brought these together into one document, the North Lanarkshire Partnership CommunityPlan 2013−18. This sets out the Partnership's vision and the priorities and outcomes that it isaiming to achieve across five key themes: health and wellbeing, lifelong learning,regeneration, community safety and developing the partnership. The North Lanarkshire SOA

was subject to a national collaborative cross−sector quality assurance (QA) process designedto give ministers and council leaders confidence that the SOA was as well developed aspossible and set the course for effective partnership working and ongoing improvements in thejoint delivery of outcomes. The review panel of senior public sector officials that reviewed theNorth Lanarkshire SOA identified a number of important areas of strength. These included.

• Clear sense of place.

• Clear understanding of partnership working and governance.

• Evidence of good partnership working ongoing.

• Strong links between CPP partners and links to six localities.

• Focus on prevention particularly in the area of employability.

19. The QA process also gave each CPP useful feedback and constructive challenge to help itdevelop, agree and improve its SOA. The improvement areas and the partnership's proposedimprovement actions for community planning in North Lanarkshire are set out below.

• Data and targets: development of data and targets including the links between strategicand local targets; the development of localised targets and the development of three yeartargets across all CPP indicators.

North Lanarkshire Council Page 7

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Local priorities and public service reform

Early intervention and prevention: the need to replicate the work ongoing in specific areassuch as employability across other areas of CPP work.

Resource and financing: the need for overall budget mapping and strategic resourcemapping.

Community engagement: the need to build on the existing best practice includingmember involvement.

Police and fire20. The council have formal links with the representatives from the respective boards for both

Police Scotland and the Scottish Fire and Rescue Service. The Local Police Plan and Fire andRescue Plan were approved by the council's Policy and Resources Committee in March 2013.Operational issues resulting from the respective plans are dealt with by the North LanarkshirePartnership which has representatives from the police and fire and rescue services. TheCommunity Safety Partnership forum continues to ensure that the council delivers its statutory

powers under the Police and Fire Reform (Scotland) Act 2012.

21. HMICS conducted a thematic inspection of the new arrangements for local scrutiny in 2013and believes that the new arrangements for local scrutiny and engagement require more timeto bed in and that it is therefore too early to assess the effectiveness of these arrangements.

22. In relation to the wider issue of the delivery of community safety, HMICS has seen nosignificant changes to partnership arrangements since the creation of a single police servicemodel for Scotland. HMICS is considering community safety as a possible area of focus withinits 2014−17 work plan.

23. Fire reform is also still at an early stage and HM Fire Service Inspectorate (HMFSI) has not asyet undertaken any detailed examination of the way in which community safety andengagement activities are delivered across local authority areas in Scotland. HMFSI publishedAn Overview of the Scottish Fire and Rescue Service (SFRS) in 2013. In its report, HMFSIhighlighted that local senior officers (LSOs), who have responsibility for overseeingpartnership working with local authorities in the delivery of community safety and engagement,are clearly sighted on their responsibilities and are keen to make local partnerships work in aneffort to optimise community outcomes.

24. The SFRS is consulting on a suite of local fire and rescue plans. HMFSI is not currentlyproposing any specific scrutiny on local planning and consultation processes, but mayconsider this in its future inspection plans.

Health and social care integration25. Integration of health and social care proposals has been the focus of discussions involving the

chief executives of North and South Lanarkshire councils and NHS Lanarkshire over the last

year. It is anticipated that further focused attention will continue as shadow arrangements forimplementation of the integration arrangements take place during April 2014 to fullimplementation in April 2015. In September, the Policy and Resources Committee approved

North Lanarkshire Council Page 8

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Local priorities and public service reform

an integration model which will involve a 'body corporate', governed by a joint board with achief officer. This will be the basis for further detailed work on operational governance and areview of the ongoing project management arrangements will form a significant part of the2014−2015 internal audit plan and reports to the Audit and Governance Panel.

26. The Housing and Social Work Services Committee has also been kept informed about theimplication of the integration. The council propose to maintain their housing and social workservice. Partners are now looking to progress the details of what this would look like.

Welfare reform27. The council has had in place since 2011 a working group (Welfare Reform Corporate Working

Group) to assess the impact of welfare reform and to inform residents about the possibleeffects on them. The group has continued to work on and develop strategies this year toensure that the council has appropriate arrangements in place, including financial, to mitigateagainst the growing impact of welfare reform. It is acknowledged by North Lanarkshire Councilthat welfare reform is a significant risk. This is being carefully monitored by monthly reports tothe Corporate Management team and North Lanarkshire Partnership Board. Support services,advice and guidance to tenants and others affected by the reforms is also in place to minimisethe impact of the reforms.

28. In 2013−14, the SHR surveyed social landlords and published findings on the early impact ofwelfare reform on rent arrears. It will continue to gather information on rent and arrearsthrough the annual return on the Scottish Social Housing Charter in order to monitor theimpact of welfare reform on social landlords and their tenants.

North Lanarkshire Council Page 9

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Page 27: Purpose of the Report 2 Background · north lanarkshire council agenda item no. ....j..7..... report to: policy and resources subject: north lanarkshire council committee assurance

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Page 28: Purpose of the Report 2 Background · north lanarkshire council agenda item no. ....j..7..... report to: policy and resources subject: north lanarkshire council committee assurance

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