Agenda and minutes

Adults Select Committee - Tuesday, 20th September, 2016 10.00 am

Venue: Council Chamber, County Hall, The Rhadyr, Usk, NP15 1GA

Contact: Democratic Services 

Items
No. Item

1.

Declarations of interest

Minutes:

County Councillor A. Wintle declared a personal non-prejudicial interest as a Director of Monmouthshire Housing Association. 

2.

Public Open Forum

Minutes:

There were no questions from members of the public.

3.

To confirm the minutes of the previous meeting pdf icon PDF 135 KB

Minutes:

The minutes of the meeting held on the 12th July 2016 were confirmed as an accurate record, and signed by the Chairman.  For clarity in future, it was requested that the list of those present accurately makes a distinction between councillors, officers and others present at the meeting.

4.

Welfare Reform and Discretionary Housing Payments pdf icon PDF 278 KB

Minutes:

It was explained that discussion of items 4-8 would focus on Welfare Reform and Discretionary Housing Payment policy. The items had been included to provide an update on welfare changes to assist Members to undertake pre-decision scrutiny of the policy noting that it is 18 months since the last scrutiny took place.  It was anticipated that the agenda items would overlap.

 

5.

Overview of Welfare Reform Changes

Minutes:

Background:

 

We welcomed Sue Harris, Local Partnership Manager for Newport and Monmouthshire, Department of Work and Pensions (DWP) to the meeting to provide an overview of Welfare Reform Changes. 

 

·         An update on Universal Credit was provided and it was noted that the scheme was launched in April 2013, is available in Job Centres and is claimed by 280,000 people.  It was explained that there is not full roll-out in this area and consequently claimants are single non-homeowners in Monmouthshire.  In addition, Members were informed that various other welfare reforms have taken place and the aim is to develop a more personalised service for everyone.  For information, it was explained that, under the existing benefit scheme, for every 100 people claiming Job Seekers’ Allowance, there are 113 claimants moving into work representing an improvement.

 

·         Members were informed that some other changes are due to come into operation such as the removal of the Universal Credit higher rate for the first child and lower rate for subsequent children.  These rates will be replaced with a standard rate for all children from April 2017. It was explained that existing claims will continue as Universal Credit but new claims from families with two or more children will be directed back to Tax Credits until November 2018 and then return to Universal Credit.  This measure is to ensure the Universal Credit system is working properly. 

 

·         Managed moves of existing claims for Universal Credit will be delayed to start in July 2019 and will be completed in March 2022.  The expected full roll-out in this area later this year has now been delayed.  It is expected that a full Universal Credit service will be available in five Job Centres a month from June 2017.

 

·         Information on benefit capping, representing one of big issues in welfare reforms, was provided.  It was explained that benefits are currently capped at £26,000 a year for single parents and coupled households, and £18,200 for single people.  From November 2016, benefits will be capped at £20,000 for couples and £13,500 for single people living in their own accommodation.  It was noted that 88,000 households are expected to be affected nationally in the first year.  Locally, it is expected that 90 Monmouthshire households will be affected and 160 households in Torfaen. It was clarified that there are some exemptions to the benefit cap such as for people claiming working tax credits, personal independence payments, attendance allowance etc. 

 

·         A scan has been undertaken and the DWP is working with Councils to discuss what support can be offered to those affected.  It was explained that the households affected have been contacted.  Local authorities are visiting these households but it was noted that some are refusing help.

 

We welcomed Richard Davies, Head of the Shared Benefit Service for Monmouthshire and Torfaen who reminded Members every affected household will be visited and that often the household claiming the highest levels of benefits had complex circumstances, for example, single parent families with more than three children that will  ...  view the full minutes text for item 5.

6.

Discussion with Monmouthshire Housing Association on the impact of Discretionary Housing Payments in preventing homelessness

Minutes:

Background:

 

Michele Morgan, Monmouthshire Housing Association (MHA), provided some context to explain the impact of Welfare Reform on Monmouthshire Housing tenants. 

 

She explained that when the Bedroom Tax was introduced in 2013, approximately 400 tenants were affected now reduced to 284 because some have chosen to downsize, the ages of children entitle them to their own bedroom and some have found work.  She added that arrears for the 284 tenants affected by the Bedroom Tax are at a level of £51,000.  Of the 284, three-quarters require a one bedroom property if they are prepared to downsize.  It was explained that there is a shortage of one bedroom properties in the County so it may not be an option to downsize for many. 

 

Members were informed that of the 284, 133 tenants have received a Discretionary Housing Payment (DHP) to meet the shortfall in housing benefit (which is worth, on average, £9.66pw).  It was added that the DHP does not pay the total amount of the Bedroom Tax and the tenant is required to contribute the balance from their benefits. 

 

Members were informed that 64 DHPs expire this month and MHA is working with tenants to assist with new applications. 90 tenants will be affected by the lower benefit cap from November 2016.  It was explained that currently only 5 are affected rising to 23 in November.  These are mainly families with 3 or more children.  Members were informed that the potential impact on the 23 households was a loss of over £2000 per week (£109,000 per year). 

 

Members were reminded that this area has not yet been fully affected by Universal Credit and that there are 17 single Job Seekers Allowance claimants, all of whom are in arrears.

 

Some case studies to illustrate how DHPs have been used in the County were presented.  Reaffirmation of the approach was sought recognising the intention to mitigate impact on the Council.  It was noted that further changes will impact on the landlord creating new demand in addition to the support for families already provided and budget pressures leading to reduced payments.

 

The Chair expressed appreciation of the presentation of case studies.

 

Members’ Scrutiny

 

Following the presentation, Members were invited to comment.

 

·         In response to a query about the first case study, it was confirmed that the 2 children became looked after and were unlikely to return. It was commented that this would incur a significant financial burden on the Council.  It was queried what would happen if the children were only taken into temporary care and were returned and confirmed that there would still be an overpayment due to under-occupation whilst the children were looked after.  MHA would work also with the tenant and Social Services.

 

·         Referring to the rent arrears common in both case studies, it was queried how long it takes to identify a problem and confirmed that a missed rent payment would be noted immediately and arrears recovery processes would be implemented engaging with tenants to resolve the issue.  It  ...  view the full minutes text for item 6.

7.

An update on the impact of benefit changes in Monmouthshire and scrutiny of the Discretionary Housing Payments policy

Minutes:

Background:

 

The Head of the Shared Benefits Service for Monmouthshire and Torfaen provided a presentation to illustrate the impact of the Welfare Reforms more focussed on Monmouthshire and what is being done to assist and support customers.

 

The revised DHP was presented for pre-scrutiny prior to Cabinet on 2nd November 2016.

 

Members’ Scrutiny

 

Following the presentation, Members were invited to comment.

 

           It was clarified that when the DHP payment ends after six months, an application for an extension can be made.

 

           It was confirmed that rent payments received from housing benefit and DHP payments are paid directly to MHA.  17 Claimants of Universal Credit and 120 claimants of housing benefit, on a trial basis, receive a direct payment. In response to a question, it was confirmed that there were mixed results with the trial and those with arrears in excess of 8 weeks were removed from the trial.

 

           It was confirmed that income and expenditure analysis is undertaken. 

 

              A Member commented that there is a shortage of suitable smaller accommodation and stated that the County needs industry and low cost housing and that it will be for Councils to try to resolve.  It was commented that the 35% target for low cost housing on developments has been reduced.

 

The Head of Planning and Housing explained the policy in the Local Development Plan (LDP) is a 35% target in most of the county but national policy requires consideration of a developer’s viability.  There is an accepted toolkit and approach in recognition that local authorities have to allow developers to make a profit or they won’t build at all.  It was agreed that it would be useful to have a joint meeting of this Committee and the Planning Committee with Housing representatives. 

 

Members were informed that the Economy and Development Select Committee will be meeting with the Planning Committee at end of September. The Annual Planning Performance Report will be presented before submission to Welsh Government and also the Annual Monitoring Report on the LDP.

 

A Member commented that he wasn’t in agreement with the point on affordable housing adding that the ability for a developer to make profit depends on the base purchase price paid to the landowner.  If the County insisted that there is 35% low cost housing, then the developer, in negotiation with landowner, will have to take that into account on the cost paid to the landowner.  A Member reinforced the opposing view that it is not always possible to achieve the 35% target if it is not viable for the developers.

 

 

 

 

8.

Discussion on the new financial inclusion service based within the Housing Options Team pdf icon PDF 185 KB

Additional documents:

Minutes:

Background:

 

The Housing and Regeneration Officer was welcomed to the meeting to present a report to provide an overview of the Council’s homeless prevention Financial Inclusion Service, which forms part of the Housing Options Service.

 

Members’ Scrutiny:

 

·         With reference to the previous meeting, it was queried what collaboration has happened or is proposed between the different organisations delivering housing support services and if there were any plans to combine services. It was confirmed that there has been no attempt to provide a sole service portal but that all agencies collaborate regularly, with opportunities for more collaboration.  It was acknowledged that, on a day to day basis, services can overlap and examples provided.  The Chair commented that options to collaborate further or to provide a single portal should be considered.  

 

·         A Member welcomed the role of the Financial Inclusion Officer recognising that it was a very important front line service.

 

·         The Chair queried how risks to lone workers are mitigated. It was commented that MHA has robust lone working systems.  The Financial Inclusion Officer described the tracker system that she utilises.  The Chair was reassured with the answers provided.  It was proposed that that an appropriate system is implemented in recognition of the need for an accessible corporate warning system to identify clients and households that may present a risk to lone workers.  The Committee debated the various systems available, were also informed that Torfaen operates a similar model to protect its workforce and agreed to investigate options.

 

·         The Financial Inclusion Officer confirmed that she liaised with the Health Service and Social Services, and other relevant services and held a first aid and mental health qualification. In response to a query, it was confirmed that she had the right to approach the GP.

 

·         The Chair queried, and it was agreed, if it would be helpful to request Cabinet to consider investment of additional funding to support DHPs to diminish the impact of the changes, prevent homelessness and children becoming looked after.  Clarification was provided that the revised DHP policy will be presented at the next Cabinet meeting.  In view of the proposed changes, the importance of the DHP fund was discussed.

 

·         The main changes to the DHP policy were highlighted and the policy was commended for recommendation to Cabinet. 

 

 

 

9.

Budget Monitoring

Minutes:

The Committee received the Revenue & Capital Monitoring 2016/17 Period 1 Outturn Forecast Statement. The purpose of the report is to provide Members with information on the forecast revenue outturn position of the Authority at the end of period 1 which represents month 2 financial information for the 2016/17 financial year.

 

This report will also be considered by Select Committees as part of their responsibility to:

 

• assess whether effective budget monitoring is taking place,

• monitor the extent to which budgets are spent in accordance with agreed budget and policy framework,

• challenge the reasonableness of projected over or underspends, and

• monitor the achievement of predicted efficiency gains or progress in relation to savings proposals.

10.

Scrutiny of the Budget Monitoring report for Period 1 pdf icon PDF 703 KB

Additional documents:

Minutes:

The Finance Manager presented the report and highlighted that it provided a financial snapshot in time at Month 2.

 

It was explained that the Social Care and Housing budget indicates £1.1 million overspend based on estimated and actual data.  The portfolio budget for the Adult Select area indicates an overspend of £462,000.  The overall forecast position for the authority is £1.386 million at Month 2.  Attention was drawn to the variances listed in the report and also to the small capital budget which mainly referred to routine maintenance at e.g. Mardy Park and Severnview.

 

In terms of savings, it was explained that mandate savings of £12,000 (Mandate A24) is on track.  Mandate A34, a saving of £628,000 relating to practice change has been RAG-rated as Amber because of overspend of £462,000.  The overspend has been attributed to the Chepstow Adult Team.  Members were advised that the risk that the mandate saving may not be achieved.

 

Member’s Scrutiny

 

·         It was queried if there was anything within the information provided that Members should be particularly concerned about.  It was confirmed that more recent data identifies the ongoing significant overspend in Chepstow Adult Team and that a recovery plan will be prepared.

 

·         A Member queried if the proposed closure of a care home in Gloucestershire will have a detrimental impact.  It was confirmed that the home has a significant number of Monmouthshire residents and the authority is actively looking for placements within the county or just over the border.  It was confirmed that the contract price paid was a fair fee that was accepted by the home.  It is hoped to place residents in similar placements.  It was forecast that there would be minimal adverse financial impact.

 

·         In response to a query, it was confirmed that an overspend in the staffing budget related to covering sickness with bank staff.  It was recalled that there had been a mandate in 2014 to reduce bank holiday entitlement for staff that was not yet implemented.

 

·         A Member welcomed the report early in the year and the context of estimated and actual data.  It was commented that many schools in the county forecast that reserves will be depleted this year.

 

·         Confidence was expressed that service managers are addressing issues appropriately. 

 

·         In response to a query, it was confirmed that the community co-ordinator posts in the north and south of the county are temporary. An explanation was provided that the posts were funded through reserve funding but now moved to the intermediate care fund.  The posts are a result of bids to a temporary funding stream.  It was noted that some additional posts will be filled by November.

 

11.

Adult Select Committee Forward Work Programme pdf icon PDF 265 KB

Minutes:

The Forward Work Programme for the Adults Select Committee was received.

 

·         Aneurin Bevan Health Board: Arrangements are ongoing to confirm a date for representatives to attend the Committee.

 

·         Arrangements ongoing regarding a date to visit Usk Prison.

 

·         Gwent Frailty Programme: All Gwent Adults Scrutiny Committees to meet to consider the Wales Audit Office report on 21st October at Ty Penallta, Tredomen.  All adults Select Committee Members invited to attend.

 

·         Joint Adults and Children and Young People Select Committees meeting changed to 22nd November 2016.

 

 

 

 

12.

Cabinet and Council Work Planner pdf icon PDF 412 KB

Minutes:

The Work Planner for the Cabinet and Council were received.

13.

To note the date and time of the next meeting as 8th November 2016 at 10.00am

Minutes:

Tuesday 8th November 2016 at 10.00am.