Agenda and minutes

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

Contact: John Cater
tel. no.: 020 7332 1426  Email: john.cater@cityoflondon.gov.uk

Items
No. Item

1.

Apologies

Minutes:

Apologies for absence were received from Rehana Ameer, Nicholas Bensted-Smith, Deputy Roger Chadwick, Dominic Christian, John Fletcher, Oliver Lodge, Deputy Robert Merrett, Alderman Sir Andrew Parmley, Susan Pearson, Graeme Doshi-Smith, Sir Michael Snyder, Deputy James Thomson and Deputy Philip Woodhouse.

 

The Chairman, on behalf of the Committee, expressed his best wishes to the Chamberlain for a speedy recovery.

 

The Chairman welcomed Andrien Meyers to the Committee.

 

 

 

 

 

 

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

2.

Members' Declarations under the Code of Conduct in respect of items on the agenda

Minutes:

There were no declarations of interest.

 

 

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

3.

Minutes of the previous meeting pdf icon PDF 97 KB

To agree the public minutes of the meeting held on 18 June 2019.

 

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

Minutes:

RESOLVED – That the public minutes of the meeting held on 18th June 2019 be approved as an accurate record.

 

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

4.

Outstanding Public Actions pdf icon PDF 41 KB

Report of the Town Clerk.

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

Minutes:

The Committee considered a report of the Town Clerk which set out outstanding actions from previous meetings of the Committee.

 

RESOLVED – that the Committee noted the report.

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

5.

Finance Committee - Work Programme 2019 and 2020 pdf icon PDF 43 KB

Report of the Chamberlain.

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

Minutes:

The Committee received a Report of the Chamberlain concerning the Committee’s work programme for the remainder of 2019 and early 2020.

 

The Chamberlain highlighted potential changes during September and October; she would follow up with the Chairman after today’s meeting to discuss the status of the October meeting.

 

The Chairman pointed out that October meetings in previous years had tended to have been postponed due to the cycle of Committee business during the autumn.

 

RESOLVED – that the Committee noted the Report.  

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

6.

Report of the work of the Sub-Committees pdf icon PDF 57 KB

Report of the Town Clerk.

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

Minutes:

The Committee considered a report of the Town Clerk which advised Members of the key discussions which had taken place during recent meetings of the Committee’s Sub-Committees.

 

RESOLVED – that the Committee noted the report.

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

7.

Amendment to Corporate Asset Sub-Committee's Terms of Reference pdf icon PDF 134 KB

Report of the Town Clerk.

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

Minutes:

The Committee received a Report of the Town Clerk concerning an amendment to the Corporate Asset (Finance) Sub-Committee’s Terms of Reference.

 

Members welcomed the amendment, the Deputy Chairman clarified that, broadly, “physical” security relating to buildings and people would be scrutinised by CASC and data security (digital and paperwork) would be overseen by the Digital Services Sub-Committee.

 

RESOLVED – that the Committee approved the following wording be added to the Terms of Reference for the Corporate Asset Sub-Committee:

 

“… to provide strategic oversight for security issues across the Corporation’s operational property estate; with the objectives of managing security risk; encouraging consistent best practice across the Estate; and, in conjunction with the Establishment Committee, fostering a culture of Members and officers taking their responsibilities to keeping themselves and the buildings they occupy secure.”

 

 

 

 

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

8.

Draft 2018-19 City Fund and Pension Fund Financial Statement pdf icon PDF 104 KB

Report of the Chamberlain.

 

Appendices circulated separately.

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

Additional documents:

Minutes:

The Committee received a Report of the Chamberlain concerning the 2018-19 City Fund and Pension Fund.

 

The Chamberlain provided a brief overview of the Report and referred to the discussion at the recent meeting of the Audit and Risk Management Committee, they advised that BDO’s current guidance on the McCloud judgement was for the Corporation to make provision for any liability that could arise in its pension scheme due to McCloud.

 

The Chairman thanked officers for their annual briefing on this topic to Members the previous day. He requested that in future a briefing note was circulated before that session, so Members came in fully prepared with questions.

 

The Chamberlain asked that, given the extended absence of Peter Kane, the second recommendation in the Report be amended to the following: … “Delegate to the Deputy Chamberlain, in consultation with the Chairman…”

 

The Chairman added that Members will be made fully aware if any material changes arise before final sign off by BDO at the end of July.

 

RESOLVED – that the Committee approved the following:

 

• the 2018-19 City Fund and Pension Fund Statement of Accounts; and

 

• Delegate to the Deputy Chamberlain, in consultation with the Chairman and Deputy Chairman of Finance Committee, approval of any material changes to the statement of accounts required before the signing of the audit opinion by BDO – which is expected by the end of July

 

  

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

9.

Draft Bridge House Estates Annual Report and Financial Statements

Report of the Chamberlain.

 

Withdrawn.

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

Minutes:

The Chairman confirmed that this paper had been withdrawn. The Chamberlain explained that this was due to internal issues with our auditors BDO; she assured Members that BDO’s had indicated that they were very impressed by the quality of the accounts.

 

As a solution, the respective Chairmen and Deputy Chairmen of both the Finance Committee and the Audit and Risk Management Committee propose inviting Finance Members to attend the September ARM Committee meeting on the 24th September at 2pm as “speaking observers” for the item on the BHE Accounts. ARM members alone would then vote on whether or not to recommend approval of the accounts, and the Chairman and Deputy Chairman of Finance Committee would, having taken on board the comments from FC Members, approve the accounts under delegated authority procedures shortly thereafter.

 

The Town Clerk would issue an invitation to Members after today’s meeting.

 

 

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

10.

Provisional Outturn 2018-19 pdf icon PDF 204 KB

Report of the Chamberlain.

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

Minutes:

The Committee received a Report of the Chamberlain concerning the Provisional Outturn for FY 2018/19.

 

Members expressed their concern with the Barbican Centre’s outturn; the Chamberlain indicated that the large variance (circa £3m) was due to both the absence of high profile, “blockbuster” shows over the past year compared with recent times, and a significant carry forward from FY 2017/18. In response, Members pointed out that the Barbican was a successful commercial operator which had delivered a good track record over the past decade; it should therefore not be unreasonable to examine whether a reduction in subsidies from the centre would be justified. The Chairman added that a topic of discussion at the recent Resource Allocation Sub-Committee Away Day was around the future of the levels of funding for our cultural programmes in general – this would be further explored as the Fundamental Review progressed.   

 

Members again stressed that there needs to be greater clarity presented in the figures between the original approved budget and subsequent in-year-changes; the original budget should be tracked throughout the year. It was also incumbent on Chief Officers to try to minimise carry forwards.

 

The Chamberlain confirmed that the McCloud revision was not included in the outturn due to the publication date of the Report. the Provision will however be in the final accounts following advice from BDO, as per the discussion during ITEM 8.

 

RESOLVED – that the Committee noted the Report.

      

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

11.

Capital and Supplementary Revenue Projects - 2018/19 Outturn and Prudential Indicators pdf icon PDF 101 KB

Report of the Chamberlain.

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

Additional documents:

Minutes:

The Committee received a Report of the Chamberlain concerning the capital and supplementary revenue projects.

 

RESOLVED – that the Committee noted the Report.

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

12.

Major Works Maintenance Forecasting and Gap Funding - Operational Property Portfolio pdf icon PDF 80 KB

Report of the City Surveyor.

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

Additional documents:

Minutes:

The Committee received a Report of the City Surveyor concerning the major works maintenance forecasting and gap funding.

 

The Chairman highlighted that the “heavy lifting” in this area was picked up by the Corporate Asset Sub-Committee, with Finance Committee providing a high-level scrutiny role. The Deputy Chairman confirmed that CASC had recently received a trend analysis paper concerning the operational portfolio “bow wave”.

 

RESOLVED – that the Committee noted the Report.

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

13.

Initiation & Implementation of Charities Review pdf icon PDF 70 KB

Report of the Chief Grants Officer & Director of City Bridge Trust.

 ...  view the full agenda text for item 13.

Minutes:

The Committee received a Report of the Chief Grants Officer & Director of City Bridge Trust (CBT).

 

In response to a request to set out a financial envelope for the cost of the Review, the Chief Grants Officer responded that the cost would be between £100,000 – £150,000; Members approved that envelope. 

 

A Member asked the Chief Grants Officer to confirm which charities were in scope, as there were “lots of random ones” and we should “seek alignment with the corporate plan”. The Chairman asked that, outside of the usual discussions at the Finance Grants Oversight and Performance Sub-Committee, Ian Seaton be kept updated and effectively made Finance Committee’s point man on this specific area.

 

RESOLVED – that the Committee approved the following:

 

1. that a comprehensive Charities Review should be undertaken and implemented: led by the CGO and overseen by an appropriate cross-departmental officer working group, with Members being regularly updated and their input sought at relevant committees/charity boards during the course of the Review; and

 

2. to delegate authority to the Town Clerk, in consultation with the Chairman and Deputy Chairman of the Finance Committee, to take the decision as to the allocation of resources for the Review through a request by the CGO to the Finance Committee Contingency Fund held within City’s Cash.

 

 

 ...  view the full minutes text for item 13.

14.

Revenue Budget Monitoring to June 2019 pdf icon PDF 101 KB

Report of the Chamberlain.

 ...  view the full agenda text for item 14.

Additional documents:

Minutes:

The Committee received a Report of the Chamberlain concerning revenue budget monitoring.

 

RESOLVED – that the Committee noted the Report.

 ...  view the full minutes text for item 14.

15.

Chamberlain's Department Risk Management - Quarterly Report pdf icon PDF 73 KB

Report of the Chamberlain.

 ...  view the full agenda text for item 15.

Additional documents:

Minutes:

The Committee considered a report of the Chamberlain which provided updates regarding the top risks within the Departmental Risk Register.

 

Turing to the Police Funding risk, the Chamberlain confirmed that, in the immediate term, the deficit for 2018/19 was offset by a combination of savings, the Business rate allocation, and a draw down on reserves; The Chairman responded that clearly, as a way to meet future deficits, this was unsustainable, he assured Members that officers were committed to getting the Police’s Medium-Term Financial Plan (MTFP) back on track. The Chamberlain confirmed that a Report providing further details would be submitted to Committees for the autumn cycle.

 

RESOLVED – that the Committee noted the report.

 ...  view the full minutes text for item 15.

16.

Central Contingencies 2019/20 pdf icon PDF 55 KB

Report of the Chamberlain.

 ...  view the full agenda text for item 16.

Additional documents:

Minutes:

The Committee considered a report of the Chamberlain which provided Members with information regarding the current balance of the Finance Committee Contingency Funds for the current year.


RESOLVED – that the Committee noted the report.

 ...  view the full minutes text for item 16.

17.

Report of Action Taken - Public Decisions taken under Delegated Authority/Urgency procedures since the last meeting of the Committee pdf icon PDF 165 KB

Report of the Town Clerk.

 ...  view the full agenda text for item 17.

Minutes:

The Committee considered a report of the Town Clerk which provided information of the action taken by the Town Clerk since the last meeting of the Committee, in consultation with the Chairman and Deputy Chairman, in accordance with Standing Orders 41(a) and 41(b). The decision related to Capital Funding.

 

RESOLVED – that the Committee noted the report.

 

 

 ...  view the full minutes text for item 17.

18.

Questions on matters relating to the work of the Committee

Minutes:

There were no questions.

 

 ...  view the full minutes text for item 18.

19.

Any Other Business that the Chairman considers urgent

Minutes:

There were no urgent items.

 

 ...  view the full minutes text for item 19.

20.

Exclusion of the Public

MOTION - That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting for the following items on the grounds that they involve the likely disclosure of exempt information as defined in Part I of Schedule 12A of the Local Government Act.

 ...  view the full agenda text for item 20.

Minutes:

RESOLVED - That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting for the following items on the grounds that they involve the likely disclosure of exempt information as defined in Part I of Schedule 12A of the Local Government Act.

 

 

 

 ...  view the full minutes text for item 20.

21.

Non-public minutes of the previous meeting

To agree the non-public minutes of the meeting held on 18 June 2019.

 

 

 ...  view the full agenda text for item 21.

Minutes:

The non-public minutes of the meeting held on 18th June 2019 were approved as an accurate record.

 ...  view the full minutes text for item 21.

22.

Outstanding Non-Public Actions

Report of the Town Clerk.

 ...  view the full agenda text for item 22.

Minutes:

The Committee noted a report of the Town Clerk which set out outstanding actions from previous non-public minutes of the Committee.

 ...  view the full minutes text for item 22.

23.

Non-Public Report of the work of the Sub-Committees

Report of the Town Clerk.

 ...  view the full agenda text for item 23.

Minutes:

The Committee noted a report of the Town Clerk which advised Members of the key discussions which had taken place during non-public session at recent meetings of the Committee’s Sub-Committees.

 ...  view the full minutes text for item 23.

24.

Business Travel & Accommodation Services Procurement Stage 2 Award

Report of the Chamberlain.

 ...  view the full agenda text for item 24.

Minutes:

The Committee considered a Report of the Chamberlain concerning the award of the Business Travel and Accommodation Services contract.

 

 

 ...  view the full minutes text for item 24.

25.

IT Service 2020 Contract - Sourcing

Report of the Chamberlain.

 ...  view the full agenda text for item 25.

Minutes:

The Committee considered a Report of the Chamberlain concerning the IT Service 2020 Contract.

 

 ...  view the full minutes text for item 25.

26.

Bridge House Estates Strategic Review - Update Two

Report of the Town Clerk & Chief Executive.

 ...  view the full agenda text for item 26.

Minutes:

The Committee received a Report of the Town Clerk concerning the Bridge House Estates Strategic Review.

 

 

 ...  view the full minutes text for item 26.

27.

Report of Action Taken - Non-Public Decisions taken under Delegated Authority/Urgency procedures since the last meeting of the Committee

Report of the Town Clerk.

 ...  view the full agenda text for item 27.

Minutes:

The Committee noted a report of the Town Clerk detailing non-public decisions taken under delegated authority and/or urgency procedures since the last meeting.

 

 

 ...  view the full minutes text for item 27.

28.

Non-public questions on matters relating to the work of the Committee

Minutes:

There were no non-public questions relating to the work of the Committee.

 ...  view the full minutes text for item 28.

29.

Any Other Business that the Chairman considers urgent and which the Committee agree should be considered whilst the public are excluded

Minutes:

The Committee considered two items of urgent business relating to borrowing and the Project Management Academy.

 

 

 ...  view the full minutes text for item 29.