Agenda, decisions and minutes

The Chair welcomed all those attending this the second meeting of the Executive to be held virtually during the Covid-19 pandemic crisis.

Prior to commencing the business of the meeting a minute’s silence was held as a mark of respect for all those affected by the Covid-19 pandemic who had suffered the loss of family and friends.

To receive any declaration of interest from a Member or Officer in respect of any item of business.

No declaration of interest was received.

No urgent matters at the time of dispatch of this agenda.

None to report.

To submit for confirmation, the draft minutes of the virtual meeting of the Executive held on 15 June 2020.

The minutes of the previous meeting of the Executive held on 15 June, 2020 were presented for confirmation.

It was resolved that the minutes of the previous meeting of the Executive held on 15 June, 2020 be confirmed as correct.

To submit a report by the Head of Democratic Services.

The report of the Head of Democratic Services incorporating the Executive’s Forward Work Programme for the period from September, 2020 to April, 2021 was presented for consideration and the following new items were noted -

•           Item 7 – Annual Performance Report (for the September, 2020 Executive meeting)

•           Item 8 – Progress report from the Social Services Improvement Panel (for the September, 2020 Executive meeting)

•           Item 9 – Annual Report of the Statutory Director of Social Services (for the September, 2020 Executive meeting)

The Executive was further advised that an additional meeting of the Executive is to be convened on 17 August, 2020 and that two items of Housing Service business, namely item 10 - Adjustments to the Lettings Policy to deal with Individuals in Emergency Accommodation and item 11 - Additional Units on the Marquis Site, Rhosybol scheduled for consideration at the Executive’s September meeting would now be brought forward to the August meeting in further changes to the work programme.

The Executive endorsed the additional August meeting believing it necessary given the circumstances and also in order to progress ordinary Council business as part of the early recovery process.

It was resolved to confirm the Executive’s updated Forward Work Programme for the period July, 2020 to February, 2021 with the additional changes presented at the meeting.

To submit a report by the Deputy Chief Executive.

The report of the Deputy Chief Executive detailing the initial approach to early recovery planning was presented for the Executive’s consideration.

The Chair reported that decisions have been made recently to ease lockdown measures and to begin to reopen society. It is now the Council’s statutory duty to lead the Island’s recovery and it is committed to planning for and undertaking this role fully whilst continuing to collaborate effectively with its regional partners.  As such, the Council will focus on local needs and will use its voice to influence the regional recovery process in a way that meets those needs. Outlined in the report presented are the regional structures in place to plan for the recovery phase along with the local and internal structures and the reporting and accountability arrangements. The scale, continued uncertainties and challenges associated with the coronavirus emergency has led to a parallel approach meaning that response and recovery planning are currently operating in tandem at regional and local levels in what can be described as a transitional phase.

The Chair referred to the enormity and complexity of the recovery phase which is made more challenging by the uncertainty and by the risk of a resurgence in the number of coronavirus cases. A regional Recovery Co-ordinating Group (RCG) has been established to work alongside the regional Strategic Co-ordinating Group (SCG) which has been responsible for the emergency response phase in North Wales to ensure an aligned and co-ordinated strategic regional approach to recovery planning which mirrors that during the emergency period. The RCG’s early recovery planning is centred on three thematic areas – Health and Care recovery; Economic recovery and Community Resilience recovery each with its dedicated group with oversight and co-ordination provided by existing regional and local structures. Track, Trace and Protect has been lately added as a thematic area.

At a local level, it is proposed that the structures and working relationships established with Menter Môn and Medrwn Môn, with local community delivery and strong volunteer networks, are reinforced and maintained where possible for the recovery period. A positive outcome of the crisis has been the community response and particular thanks are due to all the volunteers who have supported the Council during this difficult time. Economic recovery for all sectors is recognised as especially important and the Council will need to determine how it can deliver services differently to enable economic development and job creation whilst at the same time playing its part in a “green recovery”. The importance and value of the tourism and hospitality sector cannot be underestimated and the Council will seek to maximise the opportunities that exist as part of the new normal to reinvent the Island as a tourist destination. Social Services will continue to safeguard the citizens of Anglesey both within the community and in residential settings. Consequently the resilience in the staffing of Social Services will have to be considered and managed to ensure business continuity.

In terms of internal structures and governance arrangements, consistency and alignment  ...  view the full minutes text for item 5.

To submit a report by the Director of Function (Resources)/Section 151 Officer.

The report of the Director of Function (Resources)/Section 151 Officer setting out the estimated financial impact of the Covid-19 pandemic on the County Council’s finances in 2020/21 as well as its longer term implications for the Council’s financial position was presented for the Executive’s consideration.

The Portfolio Member for Finance reported that the Covid-19 pandemic has created a significant level of uncertainty in the 2020/21 budget and also for the future funding for local government in Wales. The report presented is based on a number of assumptions and estimates and the final outcome may change from this initial impact assessment. The report will feed into the Council’s Medium Term Financial Plan which will be presented to the Executive in September, 2020 and will set out the financial strategy for the 2021/22 revenue budget. The financial position will also influence the Council’s recovery planning approach and activities.

The Director of Function (Resources)/Section 151 Officer advised that the report sets out  the areas where the financial impact of the Covid-19 crisis is likely to be felt the greatest and seeks to provide an estimation of the scale of the problem. In summary –

•           Preparing for the Pandemic – a risk of a global pandemic has been on the Council’s risk register and is one of the issues which required the Council to maintain adequate financial reserves (£7.06m in general reserves as at 31 March, 2020). Section 2 of the report shows how decisions made  in relation to maintaining financial reserves, treasury management and Council Tax (by sending bills out as lockdown began thereby ensuring a flow of income from those who could pay) has helped the Council’s day to day cash flow positon thus enabling it to meet the additional costs of the crisis.

•           Short-term Expenditure to deal with the Pandemic – section 3 of the report sets out the areas where the Council has incurred additional costs in dealing with the pandemic crisis.  The vast majority of these costs have been covered by the Welsh Government which has made a total of £120m available to Welsh Councils to meet the additional expenditure. To date, Anglesey Council has claimed £858k for costs incurred in March, April and May. A further claim for June will be submitted in July which is likely to be in excess of the May claim of £526k

•           Loss of Income from Fees and Charges – the Council generates over £5m in income annually from fees and charges for services provided. Where services have been withdrawn – Leisure Centres, school meals, car parks, school care clubs, libraries, Oriel Ynys Môn – the income normally generated is lost. Some services -  Planning, Building Control, Registrars, Recycling and Bulky Waste Collection, Land Charges and Highways Street works - that have not been operating may have had their income delayed although the income may be received when the lockdown is eased. It is difficult to accurately estimate the loss of income as it is dependent on the number of  ...  view the full minutes text for item 6.

To submit a report by the Director of Function (Resources)/Section 151 Officer.

The report of the Director of Function (Resources)/Section 151 Officer incorporating the draft main financial statements for the 2019/20 financial year was presented for the Executive’s consideration.

The Portfolio Member for Finance reported that included in the report are the draft Comprehensive Income and Expenditure Statement for 2019/20 and the draft Balance Sheet as at 31 March, 2020 together with information about reserves and balances. The figures contained within the report are unaudited and may therefore be subject to change. A report will be presented to the Council following the completion of the External Audit. In presenting the report the Portfolio Member for Finance took the opportunity to thank the Finance Service’s staff for their work over the course of the pandemic and he also thanked the Director of Function (Resources)/ Section 151 Officer for the guidance he had provided through this difficult time. Those sentiments were echoed by the Executive as a whole.

The Director of Function (Resources)/Section 151 Officer advised that the full draft Statement of the Accounts for 2019/20 is available on the Council’s website and will be presented to the Audit Committee on 21 July, 2020. In summary –

•           The draft Comprehensive Income and Expenditure Statement attached at Appendix 2 to the report shows the accounting cost in the year of providing services in accordance with accounting practices rather than the amount that is funded from taxation and it includes adjustments for depreciation, revaluation of assets, and the re-measurement of pension liability. The Government accepts that council tax payers should not be required to fund such adjustments and therefore the accounts exclude the impact of these in the note called Adjustments between Accounting Basis and Funding Basis under Regulations (Note 7 in the accounts).This note for 2019/20 shows £8.782m of accounting adjustments which are cancelled out in the Movement of Reserves Statement. This means that the true impact on the Council and Housing Revenue Account (HRA) reserves from the provision of services is reduced from a deficit of £7.683m to a surplus of £1.1m which is an increase in Council reserves. This is due to an underspend of £0.308m on the Council Fund and an underspend of £0.210m in the HRA and transfers to the earmarked reserves.

•           Table 1 of the report shows the movement in the Council’s usable reserves during the year; the balance of all usable reserves as at 31 March, 2020 was £25.944m which is an increase of £1.1m (4.2%). The HRA reserve, school balances and the Capital Receipts Reserve are ring-fenced and can only be used for the designated purpose.

•           Appendix 3 to the report presents the draft balance sheet for the Council as at 31 March, 2020. The overall net assets of the Council increased from £162.456m as at 31 March, 2019 to £190.618m as at 31 March, 2020 due partly to the addition of Market Hall, Holyhead and the newly built Ysgol Santes Dwynwen, Newborough. The Balance Sheet will change once of the results of  ...  view the full minutes text for item 7.