To receive any apologies for absence.

Apologies were received from Councillors Gilmore, Lion and Sharpe.

To receive any Declarations of Interest.

Cllr Sharma – Declared a personal interest as he is an employee of First Group.

To consider the Call In of the Cabinet Report Delivering Differently in Operations and Customer Services - Highways & Transport Services.

The Chairman welcomed the Panel and explained why the call-in had been arranged. He directed Members to page 7 of the agenda for further information and also the listed options on page eight.

Ben Smith, Head of Highways & Transport gave a brief presentation which included some key information which had been requested by Cllr Jones in the call-in notice. Members noted the following main points:

Ø  Cabinet on 31 March 2016 – Delivering Services Differently in Operations and Customer Services: Approved business cases for future delivery options for services in Operations and Customer Services be brought back to Cabinet for a final decision on their implementation.

Ø  Cabinet on 30 June 2016 – Delivering Services Differently in Operations and Customer Services: Outsource of the Highways & Streetcare services, including professional services such as Rights of Way, Highways DC, Flood Risk Management etc. to a commercial partner.

Ø  Cabinet 15 December 2016 – Delivering Differently in Operations and Customer Services -  Highways and Transport Services: (i) Volker Highways Ltd is awarded the contract to provide Lot 1: Highways Management & Maintenance: (ii) The Traffic Management and ancillary services contract, Lot 2, is deferred: (iii) Project Centre Ltd is awarded the contract to provide Lot 3: Highway & Transport Professional Services: (v) The Strategic Director of Operations and Customer Services in consultation with the Lead Member for Highways and Transport is authorised to restructure the Highways & Transport service to support the new operating model, subject to approval from Employment Panel and (vi) Cabinet awards the tree inspection work, to Volker Highways Ltd. to the value of £100,000 per year.

Ø  Call-in – Relevant information not considered, viable alternatives not considered / lack of information / lack of business plan, no risk benefit analysis and no details of savings within ‘lots’ / optimising team and available without outsourcing.

Ø  Market and industry intelligence gathered:

o   Collaboration with other Local Authorities.

o   Highways Maintenance Efficiency Programme (Department for Transport funding).

o   Engagement with staff.

o   Cross-service governance.

o   Risk analysis.

Ø  Outsource: advantages and disadvantages:

o   Advantages included:

§  Cost savings

§  Staffing flexibility, expertise and work quality

§  Resilience

§  Personal issues

§  Tools, equipment and technology

§  Core business focus

o   Disadvantages included:

§  Loss of control

§  Loss of local knowledge and experience

§  Staff turnover

§  Response times

Ø  Other local authorities were consulted with to see what had worked for them and what had not.

Ø  Highways Maintenance Efficiency Programme – the team were assessed on a scorecard to make sure they had gone out to market and carried out research in accordance with good practice guidelines from the Department for Transport.

Ø  Staff were encouraged to set up companies and sell services back to the council and they were offered help and support through the Community Enterprise.

Ø  There were some costs savings.

Ø  Outsourcing reduced HR issues such as staff sickness.

Ø  Contractors would be investing heavily in themselves so they would be using the most up to  ...  view the full minutes text for item 46.

To consider passing the following resolution:-

“That under Section 100(A)(4) of the Local Government Act 1972, the public

be excluded from the remainder of the meeting whilst discussion takes place

on the grounds that it involves the likely disclosure of exempt information as

defined in Paragraphs 1- 7 of part I of Schedule 12A of the Act"

To consider passing the following resolution:-

“That under Section 100(A)(4) of the Local Government Act 1972, the public be excluded from the remainder of the meeting whilst discussion takes place on item 6 on the grounds that it involves the likely disclosure of exempt information as defined in Paragraph 1 - 7 of part I of Schedule 12A of the Act".

To consider the Call In of the Cabinet report Delivering Differently in Operations and Customer Services - Highways & Transport Services Appendix D