Agenda item - Strategic Risk Management Action Plan Focus SR1 Readiness for opportunities and impacts of localism; SR3 Pace Volume of Public Sector

Report of the Executive Director of Finance & Resources (copy attached).

87.1         The Committee considered a report of the Executive Director of Finance & Resources in relation to the Strategic Risk Management Plan Focus SR1 Readiness for opportunities and Impacts of localism; SR3 Pace Volume of Public Sector. The Committee had a role to monitor the effectiveness of risk management and internal control and this included an oversight of the Strategic Risk Register which was reviewed every 6 months by the Executive Leadership Team (ELT). Each Strategic Risk had a Risk Management Action Plan to deliver action to address the risk by a Risk Owner from ELT; the risk owner for both SR1 and SR3 was the Chief Executive, Penelope Thompson.

87.2         The Chief Executive provided an introduction in relation to SR1 and explained that when issues in relation to the localism agenda were first added to the Strategic Risk Register there was a greater level of uncertainty in relation to the opportunity and risk, and this was why this risk had been assigned to the Chief Executive in the interim. There had been an internal audit report which had advocated good governance, and it was felt that this risk would be more appropriately assigned to the Assistant Chief Executive in future as part of the wider review of the register in early May.

87.3         Councillor Wealls asked questions in relation to Community Right to Challenge, and Community Right to Bid. In response Officers explained that no bids had been received, and the period for Community Right to Challenge would run from 1 April 2013 to 30 June 2013; however, Community Right to Bid had no beginning or closing restrictions. The Council was ready to process applications and deal with queries. It was also noted there had been a recent report to the Policy & Resources Committee about shared services, and one of the action points had been to look at options – of which alternative delivery could play a role. The Head of Law and Monitoring Officer also highlighted some of the other areas of localism that had already been implemented including: general power of competence; governance; pre-determination; the new Code of Conduct; pay accountability and a review of the pay statement. There was also a procedure in place for Community Right to Challenge.

87.4         Councillor Wealls went on to ask about the future service delivery and where this was being discussed; in response it was explained that the report to the Policy & Resources Committee had suggested the creation of an Officer group – with the Chief Executive – to look at modernisation; this group would be able to highlight issues and themes as they emerged.

87.5         The Chief Executive then went on to provide an introduction in relation to SR3 and noted that Council had recently approved the budget and the Corporate Plan as well as a purpose statement for the local authority with ambitions. The Council was already in a strong position, and involved in some very significant partnership arrangements; as well as the Brighton & Hove Strategic Partnership. It had been agreed that the Public Service Board would become a City Management Board and be attended by the Chief Executive and the Chief Officers from the other key public service bodies. There was a huge willingness to co-operate and work together on delivery, and look at new ways to share assets – for example Hove Town Hall had recently become a base for Sussex Police. Since the beginning of April public health functions were now under the remit of the local authority, and this synergy was welcomed. The Director of Public had also taken on additional duties in relation to community safety and emergency planning – which linked in appropriately to key local public health risks associated with alcohol and illegal drugs in the city. It was also noted that the joint strategic needs assessment would be fully integrated across the whole city, and in was also now the appropriate time to review the Strategic Risk Register.

87.6         Councillor Sykes asked for more information in relation to specific risks and potential consequences, and how these could impact across different departments. In response it was highlighted that the Council’s arrangements put the authority in a strong position, and work was being undertaken to respond to external factors. Services were being modernised, and it was felt an effective approach was being delivered by working with partners. It was also suggested that some of the phrasing in the register should be amended to provide greater assurance. 

87.7         RESOLVED –

        i.            That the Committee has a role to monitor the effectiveness of risk management and internal control. This includes oversight of the Strategic Risk Register which is set and reviewed every six months by the ELT. Each Strategic Risk has a Risk Management Action Plan (a “risk MAP”) to deliver action to address the risk by a Risk Owner, a member of ELT.

      ii.            That the Committee previously agreed an annual schedule of focus sessions on strategic risks, generally two at each of its meetings.   For each meeting, strategic risk MAPs are updated and “risk owners” attend to provide further verbal explanation, update and receive questions from Members as necessary.