Agenda item

Following scrutiny, the committee noted the report

The Chair advised members that the budget savings proposals that fell under the remit of the committee would be scrutinised. Comments from the meeting would form part of the budget formal consultation response. Members were encouraged to put forward any alternative proposals which could then be considered once the consultation had ended.

 

The Director of Education, Leisure and Lifelong Learning advised members that the aim of the Senior Leadership Team was to protect jobs and services as far as possible; there were no compulsory redundancies directly related to the proposed efficiencies. However, there are risks linked to the income generation proposals as outside factors such as weather can affect footfall and therefore income. There are also risks associated with the completion of capital projects such as Pontardawe Art Centre, but assumptions have been made that the projects would be completed within timescale. Some proposed efficiencies are linked with core costs against grants and there is no awareness of any grants which are likely to end so the risks are small presently. However, Welsh Government actions may cause certain grants to be cut.

 

Each Head of Service outlined the savings and income generation proposals under each budget line, of the report in the agenda pack:

 

ELLL-A The Head of Leisure, Tourism, Culture and Heritage advised members that the proposed savings were working towards achieving the lowest subsidy possible for a non-statutory service. There is one voluntary redundancy, and the plan included improved income generation for car parking and events. It was acknowledged that the increased target for next year will be more challenging to achieve.

 

Members commented that enforcement was key to the car parking proposal and enquired how it would be ensured that adequate enforcement takes place. Members asked for further detail on how the consultation will take place.

 

The Head of Service confirmed that the Country Parks Car Park Review Report was agreed by Cabinet and provided authority to commence the consultation on car parking charges. The Off Street Parking Order will be advertised for a set time period and comments from the consultation will be presented to Cabinet in due course. The consultation was part of a statutory process. It was agreed that enforcement of car parks was fundamental, and this is being considered.

 

Members requested details of the consultation that they could circulate to constituents.

 

Members enquired how savings would be achieved, considering the target was not met last year and there would be further efficiencies required next year. What will the implications be if the proposed savings target is not met.

 

The Head of Leisure, Tourism, Culture and Heritage confirmed that there were difficulties in achieving the savings target in the last year due to utility costs and vacancy management. However, there was more stability this year and the budget saving was achievable.

 

ELLL-B The Head of Leisure, Tourism, Culture and Heritage outlined details of the proposed £40k saving. There would be difficulty in achieving the saving due to overspend and the closure of the site through the capital works. The whole plan is centred around the new cinema, bar and café. There are risks involved, if the project were to overrun, it would affect the profits for the coming year. The risks are being managed currently.

 

Members complimented the facilities at the centre and the staff who have been working during the renovations to keep the facilities running. Members asked for a further update on whether the project would overrun and for a site visit.

 

The Head of Leisure, Tourism, Culture and Heritage confirmed that a project meeting with the contractors would take place shortly. Further details will be known next week regarding completion dates, and a site visit would be arranged when appropriate. It was noted that staff have worked hard to keep facilities open, and customers have been loyal.

 

ELLL-C The Head of Leisure, Tourism, Culture and Heritage confirmed that the saving proposal related to the efficiency element worked into the Celtic Leisure contract. It was hoped the efficiency saving would continue through the five years of the extended contract.

 

Members questioned whether the newly opened Pure Gym in Neath would have any effect on trading at Neath Leisure Centre.

 

The Head of Service confirmed that there is a trend for an increase in membership and trade in January. It was not anticipated that Pure Gym would affect trading as the facilities served different markets. Celtic Leisure will be monitoring the situation and reacting flexibly and proactively to marketing and offers.

 

Members asked whether the changes to enhanced employers’ national insurance would fall to Celtic Leisure or the local authority.

 

The Director of Finance confirmed that it was assumed the cost would fall on the local authority and this has been included in the subsidy paid to Celtic Leisure. There is presently uncertainty, but it was hoped that the UK Government will fully fund national insurance both for our own staff and commissioned services. It was noted that there are a number of organisations that provide services for the council who may be affected by the changes to national insurance.

 

ELLL- D The proposed saving related to the subsidy paid to Celtic Leisure, following the decision to close Pontardawe Swimming Pool on health & safety grounds.

 

Members questioned whether the saving included the cost of the feasibility studies for a new site and construction of a new pool?

 

The Head of Service confirmed that the cost of the feasibility study was not included. It was hoped that consultants would be appointed shortly. The proposed saving related to the operating element of the pool. If the council makes a decision in future to build a new pool, then the operating costs would have to be built back in.

 

Members asked for clarification whether the savings would be attributed to Celtic Leisure and not to the council. Members queried whether the costs of the swimming pool demolition and site maintenance were also allocated to another committee.

 

The Head of Service confirmed that he was not aware of any other set of costs, and the demolition costs would be paid through capital expenditure. The operating costs savings would be included in Celtic Leisure’s trading, however, the arrangement between Celtic Leisure and the local authority is that any savings realised are passported back to the authority. The Head of Service confirmed that the figure quoted in the papers was the net figure.

 

The Director of Education Leisure and Lifelong Learning confirmed that the efficiency has been delivered because Celtic Leisure previously operated Pontardawe Swimming Pool, the figure has been presented as a reduction, as the management fee is currently less. The figure quoted provides an estimate as it is unknown how many swimmers from Pontardawe will use the swimming Pool at Neath Leisure Centre.

 

Members commented that this explanation should be more clearly stated in the table contained in the agenda pack.

 

ELLL-E The Head of Leisure, Tourism Culture and Heritage advised members that the savings will be achieved by income generation from additional events and attractions on the sea front which are currently in the planning phase; confidence is held that the savings are achievable.

 

Members voiced their support for additional events and attractions on Aberafan Seafront and commented that events at the seafront have been well attended.

 

ELLL-F The Head of Leisure, Tourism, Culture and Heritage confirmed that the Education Learning Resource Service (ELRS) team provide reprographic and printing services, mainly to schools. A business plan is being developed to see if the service can work more commercially.

 

ELLL – G The savings proposal related to ceasing the purchase of DVD’s due to the limited demand for these items.

 

ELLL – H The Head of Support Services and Transformation provided members with background information in relation to Home to School Transport, which is operated jointly by the Environment and Education Directorates. The budget is held by Education and the operational work is carried out by Environment. The budget proposal is to continue with the externally led review of the existing arrangements.

 

The Chair advised members that a joint meeting for the Education, Skills and Wellbeing and Environment, Regeneration and Streetscene Services Scrutiny Committees was being arranged.

 

Members expressed concerns in relation to achieving the proposed savings from the externally led review.

 

The Director of Education, Leisure and Lifelong Learning confirmed that the joint scrutiny meeting would be useful for the scrutiny committee and officers. The consultants have given assurances that the efficiencies are achievable, but they are based upon certain actions from the authority. It was acknowledged that there are risks to the savings proposal, the national insurance position and minimum wage has changed for transport providers which could have a direct impact on the ability to generate savings.

 

Members requested a report on the savings that have been achieved by the consultants to date and their performance in, producing those savings.

 

The Director of Education, Leisure and Lifelong Learning confirmed that some of that information is provided in the quarterly budget monitoring reports. If more detail is required, the Director asked for clarification on what specific information is required. The Director confirmed that the consultants were brought in to help the authority to achieve savings not to achieve savings themselves. The financial information would be easy to provide but providing information relating to performance would be difficult, due to a number of factors.

 

The Chair confirmed that the joint Scrutiny Chairs would discuss this further with the Monitoring Officer and requested members feedback any items for consideration.

 

Members stated that the figures are important and will be intrinsically linked to the performance of the consultants and what threads they have consulted on, and what improvements can be made to achieve the savings.

 

Members asked for clarification that the contract with the consultants was for a three year term. This was confirmed correct by the Director.

 

Members asked for examples of the efficiency suggestions or recommendations that had been put forward to date.

 

The Director of Education, Leisure and Lifelong Learning advised members that the proposed saving for the next financial year was based on a re-tendering exercise and a reduction in the number of passenger assistance that was attached to routes. If a re-tendering exercise were undertaken, this would involve the Legal, Finance and Passenger Transport Teams working with EDGE. It was noted that the savings were not realised in the last financial year, and it would be important for the joint scrutiny committee to understand the reasons why. The Director noted that there needed to be the right number of contracts for the number of children that the authority had a legal obligation to transport; the contracts needed to be efficient, safe and compliant. The authority needs to ensure that there are no additional costs built in if they are not required.

 

Members expressed concern about the proposed budget saving and the externally led review.

 

The Director gave assurances that none of the work that was being undertaken would affect a child’s entitlement to transport.

 

It was confirmed that the joint scrutiny meeting would be arranged prior to the budget being passed.

 

ELLL-I The Head of Support Services and Transformation advised members that the budget proposal related to the full recharge of primary school cleaning costs to schools. This will be phased over two years.

 

Members asked for confirmation of how many schools were expected to be in deficit by the end of the year. Members expressed concern that any additional costs incurred by schools could affect staffing or there could be a decline in the quality of cleaning.

 

The Head of Service confirmed that there were around twenty-two schools with deficit budgets of varying amounts. The proposed saving would be set across all schools and would be proportional to the school size.

 

The Director of Education, Leisure and Lifelong Learning advised members that this was a difficult decision to make. It was acknowledged that primary schools may have to make staffing adjustments or make other arrangements for cleaning because of the additional charges. However, this was the same position for the local authority, the proposal is difficult but necessary in order to balance the budget.

 

Members expressed concern that schools were holding vacancies to save money, putting additional pressure on existing staff. Members noted that children may suffer adversely if any staffing cuts are made.

 

Members commented that there have been funding cuts over several years and commended officers for their hard work in difficult circumstances.

 

ELLL-J The Head of Support Services and Transformation gave an overview of the budget proposal and reiterated that there were no compulsory redundancies. Reassurance was given to members that the restructure was running smoothly.

 

The Chair thanked officers for their work.

 

ELLL-K The Head of Education Development advised members that the saving related to a Senior Education Officer, who had been seconded by Welsh Government for two days a week.

 

ELLL–L The Director of Education, Leisure and Lifelong Learning advised members that the saving related to costs associated with the early access to pension funds, this had reduced over time as pension scheme members had died.

 

The Head of Early Years, Inclusion and Participation provided members with an overview of the budget proposals ELLL-M to ELLL-O; it was noted that two posts in the Education Psychology Service and Learning Difficulty Team were offset against grant funding. There was confidence that grants will continue particularly with the Welsh Government review of the Additional Learning Needs Education Tribunal, Wales Act and legislation. There is a piece of work ongoing in secondary schools with a member of the Occupational Therapy Team, this has been offset against grant funding for this year.

 

Members asked if there would be any overall loss of service by offsetting staffing costs against grants.

 

The Head of Service confirmed that there would be no loss of service which was important due to the level of need that is currently being experienced.

 

The Head of Planning and Public Protection advised members that the savings related to the general environmental health service. The proposal for budget reference ENV-Q related to an increase in levels of service in the Pest Control Service. The additional income could be achieved without increasing fees.

 

The Chair noted that members queried the inclusion of environment items under the Education Portfolio.

 

Following scrutiny, the committee noted the report