30 August 2001

Minute of Meeting held in the Council Offices, Stornoway, on Thursday 30 August 2001 at 11.30am.

PRESENT

Mr Alexander A Macdonald (Chairman)

Mr Roderick J Murray (Vice-Chairman)

Mr Philip R McLean

Mr Malcolm J Macleod

Mr Donald I Nicholson

Mr Iain Morrison

Mr Norman M Macleod

Mr Roderick Morrison

Mr Donald J Macsween

Mr Norman A Macdonald

Mr Finlay Morrison

Mr Angus M Graham

Mr Donald Macdonald

Mr Malcolm J Graham

Mrs Morag Munro

Mr Ian M Macleod

Mr Archie K Campbell

Mr George Lonie

Mr Donald Maclean

Mr Angus Nicolson

Mr James L McArthur

Mr Murdo Macleod

Mrs Mary Bremner

Mr Norman L Macdonald

Mr Ronald J Mackinnon

Mr Alasdair G Macrae

Mr David Blaney

Mr Angus Campbell

Mr Donald Manford

APOLOGIES

Mrs Katie M Mackenzie

Mr Donald M Mackay

Prayer

The meeting was open with prayer led by Mr Murdo Macleod.

CONSTITUTION

Modernising Structures: Implementation

15

With reference to Item 12 (9) of the Minute of Meeting of 19 June 2001 the Director of Corporate Services submitted a Report regarding composition arrangements for appointments and remuneration of office bearers in respect of the new committees which have been established. It was stated that the Policy and Finance Committee would have a membership of 12, including the Vice-Convener as ex-officio Chairman, and the Standards and Scrutiny Committee would have a membership of 8. The membership of these committees would be mutually exclusive. Proposals regarding the membership of the Policy and Finance Committee were outlined. It was noted that membership of the former Policy and Resources Committee and the Contract Services Committees was mutually exclusive. It was indicated that this reflected the circumstances, the time of establishing the Contract Services Committee and the separation of client and contractual responsibility because of compulsory competitive tendering. The suspension of compulsory competitive tendering made this separation less important and it was suggested that members of the Contract Services Committee should be eligible for appointment to the Policy and Finance Committee on the same basis as any other member of the Comhairle. It was proposed that, in light of the proposals from the Scottish Executive which would extend the present term of Local Authorities until May 2003 and the current review being undertaken by the committee Review Member/Officer Working Group, that Committee Chairmen and Vice-Chairmen appointed at the meetings on 28 - 30 August 2001 be appointed until the end of the current term of the Comhairle, subject to any changes required on the introduction of any new Committee Structure. It was suggested that the Chairman and the Vice-Chairman of the Standards and Scrutiny Committee should qualify for special responsibility allowances at the same level as the Chairman and Vice-Chairman of the main service committees as follows:

Chairman - £6,300

Vice-Chairman - £3,300

Interim proposals were set out regarding the timetabling of the meetings for the Standards and Scrutiny Committee, Policy and Finance Committee and the Comhairle for the remainder of 2001. The proposed remit of the Standards and Scrutiny Committee was appended to the Report. Particular attention was paid to the Committee's power to call in decisions for scrutiny which were contained in Standing Order 61. It was noted that the call in procedures had been drafted on the basis of maximum delegation to committees, but this had not been implemented following the Comhairle's decision of 19 June 2001. It was suggested that, as an interim measure, the Standards and Scrutiny Committee be permitted to call in for consideration recommendations from committees as if these were decisions taken under delegated powers.

It was agreed:

(1) that the Convener and a Chairman of the seven existing service committees be appointed as members of the Policy and Finance Committee;

(2) that three further members be appointed as members of the Policy and Finance Committee for the remainder of the term of the Comhairle;

(3) that members of the Contract Services Committee be eligible for appointment to the Policy and Finance Committee;

(4) that the Committee Review Member/Officer Working Group be asked to consider whether the non-Chairman members of the Policy and Finance Committee should be appointed for one year only in future.

(5) that the remit of the Standards and Scrutiny Committee as detailed in the appendix to the Minute be approved.

(6) to appoint eight members, who are not members of the Policy and Finance Committee, to serve on the Standards and Scrutiny Committee;

(7) that the Standards and Scrutiny Committee at its first meeting elect a Chairman and Vice-Chairman from among its membership;

(8) that the Chairman and the Vice-Chairman of the Standards and Scrutiny Committee review special responsibly allowances equivalent to those of the same office bearers on service committees, the funding to come from the annual contingency, subject to the agreement for the Policy and Finance Committee based on the Report by the Director of Corporate Services prepared in consultation with the Chief Executive and the Director of Finance.

(9) that the Chairman and Vice-Chairman appointed by the Committees at the current series of meetings continue in office to the end of the current term of the Comhairle, subject to changes arising from the introduction arising from the introduction of a new committee structure, or for the remaining life of their committee whichever is the shorter;

(10) that should the Comhairle adopt a revised Committee Structure following the Report of the Committee Review Member/Officer Working Party, the Office Bearers appointed by those Committees continue in Office until the next election of Councillors:

(a) the Term of Office of the Convener and Vice-Convener be until the end of the present term of the Comhairle, now expected to be in May 2003;

(b) that Standing Order 5 be suspended to enable implementation of this decision.

(11) to enable the Standards and Scrutiny Committee to become familiar with the operation of the call in of decisions, the Committee be permitted to call in for consideration recommendations from Committees if there were decisions taken under delegated powers and that Standing Order 61 be interpreted accordingly, pending the Comhairle's final decision on the extent of the delegation of powers of Committees

(12) the interim timetable for the meetings of the Standards and Scrutiny Committee and Policy and Finance Committee set out in paragraph 8.2 of the Report by the Director of Corporate Services be adopted as a template for the remainder of 2001.

The Chairman called for nominations for three members to be appointed to the places for non-Chairmen on the Policy and Finance Committee. The following members were duly moved and seconded:

Mr Angus Campbell

Mrs Morag Munro

Mr Donald Manford

There being no further nominations, the Chairman declared that Mr Angus Campbell, Mrs Morag Munro and Mr Donald Manford had been elected as members of the Policy and Finance Committee.

The Chairman called for nominations for members to be appointed to serve on the Standards and Scrutiny Committee. The following members were proposed, each being duly moved and seconded:

Mr Archie K Campbell

Mr Murdo Macleod

Mr James L McArthur

Mr Norman M Macleod

Mr Iain Morrison

Mr David Blaney

Mr Roderick Morrison

Mr Donald I Nicholson

Mr Philip R McLean

Mr Ian M Macleod

On a vote being taken by ballot, votes were cast as follows:

Mr Archie K Campbell - 26 votes

Mr Murdo Macleod - 29 votes

Mr James L McArthur - 25 votes

Mr Norman M Macleod - 27 votes

Mr Iain Morrison - 12 votes

Mr David Blaney - 12 votes

Mr Roderick Morrison - 26 votes

Mr Donald I Nicholson - 24 votes

Mr Philip R McLean - 24 votes

Mr Ian M Macleod - 23 votes

The Chairman declared that Mr Roderick Morrison, Mr Ian M Macleod, Mr Murdo Macleod, Mr Philip R McLean, Mr Donald I Nicholson, Mr Norman M Macleod, Mr Archie K Campbell and Mr James L McArthur had been elected as members of the Standards and Scrutiny Committee:

EUROPEAN FUNDING

The Chairman ruled in terms of Standing Order 8 that the following item be considered as a matter of urgency to enable the Comhairle to determine the level of match funding to be provided towards projects for which European funding support was sought prior to an application deadline which fell before the next scheduled meeting of the Comhairle.

Highlands and Islands Special Transitional Programme: Comhairle Projects September 2001 Round

16

The Director for Sustainable Communities submitted a Report regarding a proposed application to the forthcoming round of the Highlands and Islands Special Transitional Programme in September 2001, in respect of Opportunities For Training Towards Independence (OFTTI) projects. It was noted that the project supported three OFTTI training and supported sites throughout the Western Isles and also funded the supported employment and volunteering services established to support people with special needs. A summary of the application and an outline of the project were appended to the report. It was indicated that it was proposed to apply for European Social Fund assistance of £120,000 resulting in a shortfall of £226,033 to be met by the Comhairle. The funding was sought from the Highlands and Islands Special Transitional Programme Contingency Fund in respect of the project and it was noted that funding from the Contingency in 2002 and in subsequent year would be dependent on supplementation of the fund. The summary of the funding available and anticipated demand on the fund was appended to the Report.

It was agreed to approve financial support of £226,033 in support of the OFTTI project, £165,033 from the Comhairle's Revenue Budget (Social Work) and £61,000 from the Comhairle's Highlands and Islands Special Transitional Programme Contingency Fund.

TECHNICAL SERVICES DLO/DSO

It was agreed under the terms of Section 50A(4) of the Local Government (Scotland ) Act 1973 that the Public, including the Press, be excluded from the meeting during consideration of the following item on the grounds that exempt information as defined in paragraph 1 of Schedule 7A of the Item would be disclosed namely, information relating to a particular employee, former employee or applicant to become an employee of, or a particular office holder or former office holder, or applicant to become an office holder under the Comhairle.

DLO/DSO Deficits

17

(a) Investigations into Causes of DLO/DSO Deficits: Report by Mr Hamish Fraser

The Chief Executive submitted a Report outlining the key points and recommendations from the Report by Mr Hamish Fraser on the reasons for the emergence of deficits in the DLO/DSO accounts. The details of the remit given to Mr Fraser, together with Mr Fraser's conclusions and recommendations for future action, were appended to the Report.

It was agreed:

(1) to note the contents of the Report;

(2) to authorise the Chief Executive to conclude the investigation on the basis set out in his Report; and

(3) that the recommendations from Mr Fraser's Report should be incorporated into the detailed action plan for the recovery of the DLO/DSO and a wider review of the Comhairle's Corporate Governance.

(b) Technical Services DLO/DSO : Future

The Chief Executive submitted a Report regarding the future role of and purpose of the Technical Services DLO/DSO's. A background to the issue was set out, together with comments on the role, purpose and the nature of the DLO/DSO. Options for consideration for the future of the DLO/DSO were outlined in the Report. Comments on the tendering for the Building and Property Maintenance and Highways Maintenance Contracts were set out in the Report.

It was agreed:

(1) to note the Report;

(2) to endorse, subject to any agreed amendments, the future mission statement for DLO/DSOs as follows:

"The provision of quality services, delivered to specification, on time and a cost effective manner, in a way which provides sustainable, fair employment for Comhairle Staff"

(3) to accept the preferred option that any future DLO/DSO operation should focus on core activities, scaled in light of realistically projected income over the next three years for a future structure for the Technical Services DLO/DSO;

(4) to authorise officers to proceed to tender based on a core workforce sized to deal only with realistically projected levels of work; and

(5) to authorise the Director of Technical Services to explore if it is possible to renegotiate fair rates of work by the rules in DLO/DSO for the period from 1 April 2001 until the new contract commences.

(c) Technical Services DLO/DSO: Structure and Reporting Lines

The Chief Executive submitted a Report setting out proposals for amendments in the structure and reporting lines of the Technical Services DLO/DSO to allow implementation of the recovery plan and the Comhairle to respond to the Section 19A notice from the Scottish Executive. Consideration was given to a longer term issues in light of the Report by Mr Hamish Fraser and the criticisms on the failure of corporate, political and executive governments over the Technical Services DLO/DSO activities.

It was agreed:

(1) that the Technical Services DSO report to the Director of Corporate Services;

(2) that Mr Alasdair Montgomery should take up the interim post of operations manager for the DSO with immediate effect;

(3) to authorise the Chief Executive to consult with Trade Unions and others on a new management structure for the DSO; and

(4) to note that the Chief Executive would bring forward recommendations for improving corporate governance throughout the Comhairle to the next series of meetings.

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PRESENT	Mr Alexander A Macdonald (Chairman)
	Mr Roderick J Murray (Vice-Chairman)	Mr Philip R McLean
	Mr Malcolm J Macleod	Mr Donald I Nicholson
	Mr Iain Morrison	Mr Norman M Macleod
	Mr Roderick Morrison	Mr Donald J Macsween
	Mr Norman A Macdonald	Mr Finlay Morrison
	Mr Angus M Graham	Mr Donald Macdonald
	Mr Malcolm J Graham	Mrs Morag Munro
	Mr Ian M Macleod	Mr Archie K Campbell
	Mr George Lonie	Mr Donald Maclean
	Mr Angus Nicolson	Mr James L McArthur
	Mr Murdo Macleod	Mrs Mary Bremner
	Mr Norman L Macdonald	Mr Ronald J Mackinnon
	Mr Alasdair G Macrae	Mr David Blaney
	Mr Angus Campbell	Mr Donald Manford


APOLOGIES	Mrs Katie M Mackenzie
	Mr Donald M Mackay

Prayer		The meeting was open with prayer led by Mr Murdo Macleod.
		CONSTITUTION
Modernising Structures: Implementation	15	With reference to Item 12 (9) of the Minute of Meeting of 19 June 2001 the Director of Corporate Services submitted a Report regarding composition arrangements for appointments and remuneration of office bearers in respect of the new committees which have been established. It was stated that the Policy and Finance Committee would have a membership of 12, including the Vice-Convener as ex-officio Chairman, and the Standards and Scrutiny Committee would have a membership of 8. The membership of these committees would be mutually exclusive. Proposals regarding the membership of the Policy and Finance Committee were outlined. It was noted that membership of the former Policy and Resources Committee and the Contract Services Committees was mutually exclusive. It was indicated that this reflected the circumstances, the time of establishing the Contract Services Committee and the separation of client and contractual responsibility because of compulsory competitive tendering. The suspension of compulsory competitive tendering made this separation less important and it was suggested that members of the Contract Services Committee should be eligible for appointment to the Policy and Finance Committee on the same basis as any other member of the Comhairle. It was proposed that, in light of the proposals from the Scottish Executive which would extend the present term of Local Authorities until May 2003 and the current review being undertaken by the committee Review Member/Officer Working Group, that Committee Chairmen and Vice-Chairmen appointed at the meetings on 28 - 30 August 2001 be appointed until the end of the current term of the Comhairle, subject to any changes required on the introduction of any new Committee Structure. It was suggested that the Chairman and the Vice-Chairman of the Standards and Scrutiny Committee should qualify for special responsibility allowances at the same level as the Chairman and Vice-Chairman of the main service committees as follows:
		Chairman - £6,300 Vice-Chairman - £3,300 Interim proposals were set out regarding the timetabling of the meetings for the Standards and Scrutiny Committee, Policy and Finance Committee and the Comhairle for the remainder of 2001. The proposed remit of the Standards and Scrutiny Committee was appended to the Report. Particular attention was paid to the Committee's power to call in decisions for scrutiny which were contained in Standing Order 61. It was noted that the call in procedures had been drafted on the basis of maximum delegation to committees, but this had not been implemented following the Comhairle's decision of 19 June 2001. It was suggested that, as an interim measure, the Standards and Scrutiny Committee be permitted to call in for consideration recommendations from committees as if these were decisions taken under delegated powers.
		It was agreed: (1) that the Convener and a Chairman of the seven existing service committees be appointed as members of the Policy and Finance Committee; (2) that three further members be appointed as members of the Policy and Finance Committee for the remainder of the term of the Comhairle; (3) that members of the Contract Services Committee be eligible for appointment to the Policy and Finance Committee; (4) that the Committee Review Member/Officer Working Group be asked to consider whether the non-Chairman members of the Policy and Finance Committee should be appointed for one year only in future. (5) that the remit of the Standards and Scrutiny Committee as detailed in the appendix to the Minute be approved. (6) to appoint eight members, who are not members of the Policy and Finance Committee, to serve on the Standards and Scrutiny Committee; (7) that the Standards and Scrutiny Committee at its first meeting elect a Chairman and Vice-Chairman from among its membership; (8) that the Chairman and the Vice-Chairman of the Standards and Scrutiny Committee review special responsibly allowances equivalent to those of the same office bearers on service committees, the funding to come from the annual contingency, subject to the agreement for the Policy and Finance Committee based on the Report by the Director of Corporate Services prepared in consultation with the Chief Executive and the Director of Finance. (9) that the Chairman and Vice-Chairman appointed by the Committees at the current series of meetings continue in office to the end of the current term of the Comhairle, subject to changes arising from the introduction arising from the introduction of a new committee structure, or for the remaining life of their committee whichever is the shorter; (10) that should the Comhairle adopt a revised Committee Structure following the Report of the Committee Review Member/Officer Working Party, the Office Bearers appointed by those Committees continue in Office until the next election of Councillors: (a) the Term of Office of the Convener and Vice-Convener be until the end of the present term of the Comhairle, now expected to be in May 2003; (b) that Standing Order 5 be suspended to enable implementation of this decision. (11) to enable the Standards and Scrutiny Committee to become familiar with the operation of the call in of decisions, the Committee be permitted to call in for consideration recommendations from Committees if there were decisions taken under delegated powers and that Standing Order 61 be interpreted accordingly, pending the Comhairle's final decision on the extent of the delegation of powers of Committees (12) the interim timetable for the meetings of the Standards and Scrutiny Committee and Policy and Finance Committee set out in paragraph 8.2 of the Report by the Director of Corporate Services be adopted as a template for the remainder of 2001.
		The Chairman called for nominations for three members to be appointed to the places for non-Chairmen on the Policy and Finance Committee. The following members were duly moved and seconded: Mr Angus Campbell Mrs Morag Munro Mr Donald Manford There being no further nominations, the Chairman declared that Mr Angus Campbell, Mrs Morag Munro and Mr Donald Manford had been elected as members of the Policy and Finance Committee. The Chairman called for nominations for members to be appointed to serve on the Standards and Scrutiny Committee. The following members were proposed, each being duly moved and seconded: Mr Archie K Campbell Mr Murdo Macleod Mr James L McArthur Mr Norman M Macleod Mr Iain Morrison Mr David Blaney Mr Roderick Morrison Mr Donald I Nicholson Mr Philip R McLean Mr Ian M Macleod On a vote being taken by ballot, votes were cast as follows: Mr Archie K Campbell - 26 votes Mr Murdo Macleod - 29 votes Mr James L McArthur - 25 votes Mr Norman M Macleod - 27 votes Mr Iain Morrison - 12 votes Mr David Blaney - 12 votes Mr Roderick Morrison - 26 votes Mr Donald I Nicholson - 24 votes Mr Philip R McLean - 24 votes Mr Ian M Macleod - 23 votes The Chairman declared that Mr Roderick Morrison, Mr Ian M Macleod, Mr Murdo Macleod, Mr Philip R McLean, Mr Donald I Nicholson, Mr Norman M Macleod, Mr Archie K Campbell and Mr James L McArthur had been elected as members of the Standards and Scrutiny Committee:
		EUROPEAN FUNDING
		The Chairman ruled in terms of Standing Order 8 that the following item be considered as a matter of urgency to enable the Comhairle to determine the level of match funding to be provided towards projects for which European funding support was sought prior to an application deadline which fell before the next scheduled meeting of the Comhairle.
Highlands and Islands Special Transitional Programme: Comhairle Projects September 2001 Round	16	The Director for Sustainable Communities submitted a Report regarding a proposed application to the forthcoming round of the Highlands and Islands Special Transitional Programme in September 2001, in respect of Opportunities For Training Towards Independence (OFTTI) projects. It was noted that the project supported three OFTTI training and supported sites throughout the Western Isles and also funded the supported employment and volunteering services established to support people with special needs. A summary of the application and an outline of the project were appended to the report. It was indicated that it was proposed to apply for European Social Fund assistance of £120,000 resulting in a shortfall of £226,033 to be met by the Comhairle. The funding was sought from the Highlands and Islands Special Transitional Programme Contingency Fund in respect of the project and it was noted that funding from the Contingency in 2002 and in subsequent year would be dependent on supplementation of the fund. The summary of the funding available and anticipated demand on the fund was appended to the Report.
		It was agreed to approve financial support of £226,033 in support of the OFTTI project, £165,033 from the Comhairle's Revenue Budget (Social Work) and £61,000 from the Comhairle's Highlands and Islands Special Transitional Programme Contingency Fund.
		TECHNICAL SERVICES DLO/DSO
		It was agreed under the terms of Section 50A(4) of the Local Government (Scotland ) Act 1973 that the Public, including the Press, be excluded from the meeting during consideration of the following item on the grounds that exempt information as defined in paragraph 1 of Schedule 7A of the Item would be disclosed namely, information relating to a particular employee, former employee or applicant to become an employee of, or a particular office holder or former office holder, or applicant to become an office holder under the Comhairle.
DLO/DSO Deficits	17	(a) Investigations into Causes of DLO/DSO Deficits: Report by Mr Hamish Fraser
		The Chief Executive submitted a Report outlining the key points and recommendations from the Report by Mr Hamish Fraser on the reasons for the emergence of deficits in the DLO/DSO accounts. The details of the remit given to Mr Fraser, together with Mr Fraser's conclusions and recommendations for future action, were appended to the Report.
		It was agreed: (1) to note the contents of the Report; (2) to authorise the Chief Executive to conclude the investigation on the basis set out in his Report; and (3) that the recommendations from Mr Fraser's Report should be incorporated into the detailed action plan for the recovery of the DLO/DSO and a wider review of the Comhairle's Corporate Governance.
		(b) Technical Services DLO/DSO : Future The Chief Executive submitted a Report regarding the future role of and purpose of the Technical Services DLO/DSO's. A background to the issue was set out, together with comments on the role, purpose and the nature of the DLO/DSO. Options for consideration for the future of the DLO/DSO were outlined in the Report. Comments on the tendering for the Building and Property Maintenance and Highways Maintenance Contracts were set out in the Report.
		It was agreed: (1) to note the Report; (2) to endorse, subject to any agreed amendments, the future mission statement for DLO/DSOs as follows: *"The provision of quality services, delivered to specification, on time and a cost effective manner, in a way which provides sustainable, fair employment for Comhairle Staff"* (3) to accept the preferred option that any future DLO/DSO operation should focus on core activities, scaled in light of realistically projected income over the next three years for a future structure for the Technical Services DLO/DSO; (4) to authorise officers to proceed to tender based on a core workforce sized to deal only with realistically projected levels of work; and (5) to authorise the Director of Technical Services to explore if it is possible to renegotiate fair rates of work by the rules in DLO/DSO for the period from 1 April 2001 until the new contract commences.
		(c) Technical Services DLO/DSO: Structure and Reporting Lines The Chief Executive submitted a Report setting out proposals for amendments in the structure and reporting lines of the Technical Services DLO/DSO to allow implementation of the recovery plan and the Comhairle to respond to the Section 19A notice from the Scottish Executive. Consideration was given to a longer term issues in light of the Report by Mr Hamish Fraser and the criticisms on the failure of corporate, political and executive governments over the Technical Services DLO/DSO activities.
		It was agreed: (1) that the Technical Services DSO report to the Director of Corporate Services; (2) that Mr Alasdair Montgomery should take up the interim post of operations manager for the DSO with immediate effect; (3) to authorise the Chief Executive to consult with Trade Unions and others on a new management structure for the DSO; and (4) to note that the Chief Executive would bring forward recommendations for improving corporate governance throughout the Comhairle to the next series of meetings.
____