Agenda and minutes

Venue: Committee Room - 2nd Floor West Wing, Guildhall

Contact: Christopher Braithwaite
tel. no.: 020 7332 1427  Email: christopher.braithwaite@cityoflondon.gov.uk

Items
No. Item

1.

Apologies for absence

Minutes:

There were no apologies for absence.

 ...  view the full minutes text for item 1.

2.

Introductions

Minutes:

Members and Officers introduced themselves.

 ...  view the full minutes text for item 2.

3.

Members' Declarations under the Code of Conduct in Respect of Items on the Agenda

Minutes:

Members were advised that membership of the Local Government Pension Scheme was specifically exempted from being declared as an interest.


No declarations of interest were made.

 ...  view the full minutes text for item 3.

4.

Order of the Court of Common Council pdf icon PDF 107 KB

To receive the Order of the Court of Common Council from 21 April 2016.

 ...  view the full agenda text for item 4.

Minutes:

The Board considered the Order of the Court of Common Council, which set out the Board’s composition and Terms of Reference.

 

A Member noted that Standing Order 29(3) provided a list of Grand Committees of which the Chairman was eligible to serve as Chairman of another Grand Committee. The Member noted that, as there were only two Members of the Court of Common Council on this Board, and one must be either the Chairman or Deputy Chairman to allow reporting to the Court of Common Council, it could be beneficial to request that the Board be added to the list of Grand Committees to which this exemption applied.

 

The Board discussed this proposal and agreed that it would be beneficial to request that the Board be added to the aforementioned list within Standing Orders.

 

The Board also discussed whether it would be beneficial for the Chairman and Deputy Chairman to be one Employer representative and one Scheme Member representative.

 

RESOLVED – That the Board:

a)    Notes the Order of the Court; and

b)    Requests that the Policy and Resources Committee recommends to the Court of Common Council the addition of the Local Government Pensions Board to the list of Grand Committees, set out in Standing Order 29(3), of which a Member is eligible to serve as Chairman, in addition to serving as Chairman of another Grand Committee.

 ...  view the full minutes text for item 4.

5.

Election of Chairman pdf icon PDF 94 KB

To elect a Chairman in accordance with Standing Order 29. A copy of Standing Order 29 is attached.

 ...  view the full agenda text for item 5.

Minutes:

The Committee proceeded to elect a Chairman in accordance with Standing Order No. 29.  A list of Members eligible to stand was read and Alderman Ian Luder was the only Member who indicated willingness to serve.

 

RESOLVED – That Alderman Ian Luder be elected Chairman in accordance with Standing Order 29 for the year ensuing.

 

Alderman Ian Luder in the Chair

 ...  view the full minutes text for item 5.

6.

Election of Deputy Chairman pdf icon PDF 163 KB

To elect a Deputy Chairman in accordance with Standing Order 30. A copy of Standing Order 30 is attached.

 

PLEASE NOTE: At least one of the Chairman or Deputy Chairman must be a Member of the Court of Common Council.

 ...  view the full agenda text for item 6.

Minutes:

The Committee proceeded to elect a Deputy Chairman in accordance with Standing Order No. 30.  A list of Members eligible to stand was read and Martin Newnham and James Tumbridge indicated willingness to serve.

 

A ballot was taken and votes were cast as follows:-

 

Martin Newnham                 -           2 votes

James Tumbridge                -           4 votes

 

RESOLVED – That James Tumbridge be elected Deputy Chairman in accordance with Standing Order 30 for the year ensuing.

 ...  view the full minutes text for item 6.

7.

Background to the Local Government Pension Board

-       Setting the Scene

-       National Governance Structure

-       Pension Board role and responsibilities

 ...  view the full agenda text for item 7.

Minutes:

The Board received a presentation from Annemarie Allen of Barnett Waddingham LLP, the Corporation’s Actuaries and Pension Benefit/Governance advisors.

 

This presentation provided information regarding the following issues:

 

-        The Background to the creation of Local Government Pensions Boards

-        The National Government Structure

-        The role and Responsibilities of the Board and Board Members for the Corporation’s Scheme

 

Background to the Creation of Local Government Pensions Boards

 

The Board was advised that Pensions Boards had been established following Lord Hutton’s Independent Public Service Pension Commission Review in 2010. The Board was advised that the Review had suggested amendments to Public Sector Pensions Schemes to improve affordability and to provide a sustainable, adequate and fair solution.

 

This Review had let to the Public Sector Pensions Act 2013, which had created a new governance structure for Public Sector Pensions, including the creation of Public Sector Pension Boards, effective from 1 April 2015. This Act was also supported by the Local Government Pension Scheme (Amendment) (Governance) Regulations 2015, which came into force from 1 April 2015. The role of the Boards was to assist the administering authority to secure compliance with LGPS and other legislation relating to Scheme governance and administration and the requirements of the Pensions Regulator (TPR), and to assist the administering authority to ensure the effective and efficient governance and administration of the Scheme.

 

Ms Allen informed the Board that the 2013 Act was supported by TPR’s Code of Practice No 14, titled Governance and Administration of Public Sector Pension Schemes. This document provided practical guidance on the exercise of functions under Pensions legislation, setting out the expected standards of conduct and practice. The Board was informed that the Code of Practice was not a statement of law, but sought to assist Pension Schemes in meeting the law. The Board

 ...  view the full minutes text for item 7.

8.

Developing Objectives and the Work Plan for 2016/17 and beyond

Minutes:

The Board discussed appropriate objectives and a Work Plan for 2016/17.

 

The Chairman commented, and the Board agreed, that it would be appropriate to meet four times per year for the Board’s first year and reduce to three meetings a year thereafter.

 

Members noted that the presentation had indicated that identifying internal controls, Scheme record keeping and providing information to members as key areas were key areas of work for the Board. Therefore, the initial work programme should focus on these issues.

 

The Board agreed that at the next meeting it should be presented with:

-       Documentation of all of the information which was circulated to scheme members. This should include example Annual Statements for different types of members, information provided to scheme members regarding retirement (including details of when this information was provided to scheme members) and information provided to new starters regarding the Pension Scheme as part of the induction process, as well as any other communications to scheme members. Members also commented that it may be beneficial to review how information regarding the Pension Scheme could be embedded into the induction process, possibly through electronic learning modules, and for information to be provided to staff at regular intervals to ensure that staff were aware of all of the benefits of the Pension Scheme.

-       Further information regarding the Regulations governing the Pensions Board, to ensure that the Board could satisfy itself that it was addressing all areas expected by the Regulations, including the legal requirements of the regulations for communications and other administrative matters.

-       a schedule of events and deadlines for all activities undertaken for the Scheme throughout the year.

-       further information regarding national guidance to Pensions Boards and how the guidance applied to this Board.

-       Information of the Admitted Bodies to the Scheme.

 ...  view the full minutes text for item 8.

9.

Knowledge, Understanding and Training Needs

-               Knowledge and Understanding Requirements for a Local Government Pension Board Member

-               Key Knowledge and Skills Areas

-               Identifying your Training Needs

-               Further Information

 ...  view the full agenda text for item 9.

Minutes:

The Board noted the slides from Barnett Waddingham which set out some information regarding the knowledge and understanding requirements for Pensions Board Members, but, due to time constraints, agreed that Members should study the presentation in their own time. The Board agreed that the slides would be circulated to all Board Members, along with relevant background documentation and training needs analysis forms, for the Board Members to consider. The Board agreed that all Members should review the documentation and complete the Training Needs Analysis document by 31 December 2016. This should be submitted to the Town Clerk and Chamberlain, who would then use these documents to develop an appropriate training schedule for Board Members.

 

Barnett Waddingham noted and the Chamberlain confirmed that, should it be convenient for the Board, it would be possible to provide further training during evening sessions.

 

RESOLVED – That:

a)    The Town Clerk ensures that the slides from Barnett Waddingham is circulated to all Board Members, along with any other relevant background documentation

b)    All Board Members review this documentation and return the completed Training Needs Analysis by 31 December 2016;

c)    The Town Clerk and Chamberlain use this information to develop an appropriate training schedule for Board Members.

 ...  view the full minutes text for item 9.

10.

Dates of Future Meetings

To agree the dates of future meetings of the Board.

 ...  view the full agenda text for item 10.

Minutes:

RESOLVED – That the Board’s next meeting be held at 1.45pm on 17 January 2016.

 

Members noted that, as the requirement for Pensions Boards was set out within the Public Sector Pensions Act 2013, it should be possible to hold a future meeting during the period between the Common Council elections on 23 March 2017 and the first meeting of the Court of Common Council after the elections, on 28 April 2017.

 ...  view the full minutes text for item 10.

11.

Questions on matters relating to the work of the Board

Minutes:

There were no questions.

 ...  view the full minutes text for item 11.

12.

Any other business that the Chairman considers urgent

Minutes:

There were no items of urgent business.

 ...  view the full minutes text for item 12.