Month: June 2011

West Wirral Area Forum – 29th June 2011 – Part 1

The West Wirral Area Forum agenda, minutes of the previous meeting and Area Coordinator’s report can be read by following the link. The Chair Cllr Gerry Ellis welcomed over eighty people and said it was “lovely that so many were here tonight”. He said Cllr Foulkes had sent a written statement and there was a … Continue reading “West Wirral Area Forum – 29th June 2011 – Part 1”

The West Wirral Area Forum agenda, minutes of the previous meeting and Area Coordinator’s report can be read by following the link.

The Chair Cllr Gerry Ellis welcomed over eighty people and said it was “lovely that so many were here tonight”. He said Cllr Foulkes had sent a written statement and there was a short film about the lifeboat museum introduced by John Parr which Cllr Ellis described as amazing. Cllr Ellis said there were a “number of other issues”, but they’d “whiz around the main table” to introduce people.

Present:
Jim Thompson (Community Safety Team)
Myles Platt (Merseyside Fire and Rescue Service)
John Percival (private sector representative)
Sandra Wall (Older People Parliament)
Cllr Eddie Boult
Cllr David Elderton
Cllr Geoffrey Watt
Tracey Smith
Cllr Gerry Ellis
Kevin Adderley (Lead Officer)
Margaret Shaunessy (Wirral University Teaching Hospital Foundation Trust)
Cynthia Radford (Community rep)
Inspector Mike Blease (Merseyside Police)
Jim Lester (Head of Parks & Open spaces)
Mark Traynor (Streetscene)
Gary Evans (Community rep)

Apologies were received from Cllr Hale and Cllr Green who were at a local government conference

Pension Committee 27/6/2011 – Part 11 – Public Accounts Committee

The officer introduced the report and appendix stating it was for information. It was reviewing the major chances in 2007/2008 on public sector pension schemes. The LGPS had been impacted in most ways. Looking at the unfunded schemes such as teachers and the NHS many points equally applied. 4.2 included the normal retirement ages and the cost sharing arrangements. 4.4 had comments on the findings of the committee.

The savings to taxpayers over fifty years were detailed including cost sharing which hadn’t been implemented since the 2007/2008 review. There were fewer changes to the scheme, but there were differences between the local government scheme and unfunded schemes. The Chair said he was grateful for the painstaking work and noted the report.

Report 21 was on Castle Chambers. Peter asked for approval for the tender and for acceptance of the second lowest tender. There was a time pressure due to a potential tenant who wantd the refurbishment and internal alterations. Using the same contractor for both and not using the lowest cost would prevent it being a vacant space. There were minimal additional costs.

The Chair pointed out appendix 32. Cllr Harry smith asked if this element should be recovered from the occupier. The answer given was that the current occupier was in administration. The second lowest tender was accepted.

The committee then thanked the press and public for their attendance and considered the remaining items in closed session.

These were
23. INVESTMENT MONITORING WORKING PARTY MINUTES (Pages
159 – 172)
24. MANAGEMENT OF PRIVATE EQUITY (Pages 173 – 176)
25. SOUTHERN ELECTRIC CONTRACTING (Pages 177 – 180)
26. ACTUARIAL TENDERS (Pages 181 – 184)
27. INVESTMENT ADVISOR TENDERS (REPORT) (Pages 185 – 188)
28. INVESTMENT ADVISOR TENDERS (APPENDIX) (Pages 189 – 192)
29. BALFOUR BEATTY WORKPLACE (Pages 193 – 196)
30. BOND REVIEW (Pages 197 – 202)
31. PEOPLES CENTRE (Pages 203 – 206)
32. CASTLE CHAMBERS (Pages 207 – 208)
33. ANY OTHER URGENT BUSINESS APPROVED BY THE CHAIR

Pension Committee 27/6/2011 – Part 10 – Governance Policy Statement, Equitable Life

The three issues were including details of the Governance and Risk Working Party, a change to post titles and an alteration to who can attend the Fund Operation Group meeting. Also important only the agenda, reports and minutes of the Pension Committee would be published rather than the IMWP and Governance and Risk Working Party reports and minutes.

Future agendas for the IMWP & Governance & Risk Working Party would be published showing the topics. However the detailed minutes would be treated as exempt. The Chair asked if anyone had anything to add. Peter said that attendance and declarations of interest would also be published.

Th Chair asked the committee to approve the updated policy and statement. This was agreed.

Report 19 and appendix were about Equitable Life. Equitable Life had been an ABC provider since 1998, but had encountered legal problems and the with profits section. There were 446 active or deferred people and there had been difficulties with the company. The compensation scheme for individuals who lost out financially so that they would receive compensation had not had its full details confirmed. It would be at least twelve months and could be three years before people saw the money. They wanted to ensure members were treated fairly. The report stated that there was the belief that there was excess funds which they were looking to distribute. This would enhance the payouts by 12.5%. Some however, would be better off with other guarantees. They wanted to make people aware what was in their best interest. There were no questions and the report was agreed.

Pension Committee 27/6/2011 – Part 9 – Passive Management Contract, Governance Policy Statement

Peter Wallach said the tender exercise for the passive management contract had been deferred due to the inadvertent disclosure of sensitive information. There was a six month standstill recommendation and the existing contractual arrangements which had been in place for a number of years would need extended. He said was regrettable what happened and asked for any questions.

Cllr Ann McLachlan asked what the effect was on just extending the contract? Peter replied that the likely effect was nothing as there would be no increase in risk, it had performed in line with the benchmark and there were no additional costs.

The Chair noted the deferral and that the contract had been extended to March 31st 2012.

A training opportunity had arisen regarding a seminar in Manchester. It was an opportunity for new and existing members of the committee to better understand private equity as an asset class. The Chair asked if anyone wished to attend to note the date. Cllr Harry Smith asked for nominations and pointed out it was only morning sessions. Peter said further information on the event was sketchy.

The governance policy and associated appendix was considered next. The officer said there were a number of amendments drafted to the governance policy statement, regarding staffing and to confirm the confidentiality of the Investment Monitoring Working Party minutes. It was recommended for approval and attached as an appendix was the draft governance policy statement. There were three signficant issues which were detailed in section 4.3.

Pension Committee 27/6/2011 – Part 8 – Fair Deal Policy

The Hutton report had not allowed them to retain membership of the Local Government Pension Scheme and there was no way to protect against an unforseen increase in costs. Lord Hutton had made further representations to state that he didn’t mean this to apply to local government. The Local Government Employers Organisation had highlighted this potential danger to funding through large numbers of staff leaving. The result would be the Fund would mature or crystallise more rapidly with fewer active members, it was an issue of major concern. He asked for the response to be approved and any questions.

The response was approved. Peter Wallach referred to the deferred tender exercise for the passive management contract that had happened after there had been a disclosure of sensitive information. This had led to a six month standstill recommendation and the existing management arrangements needing to be extended. These had been in place for a number of years and it was regrettable what had happened. Cllr McLachlan asked what the effect of just extending would be on the procurement going ahead. The answer given was that the likely effect was nothing as there’d be no increase in risk as the contract had performed in line with the benchmark and there were no additional costs.

The Chair noted the deferral and the extension of the contract to the 31st March 2012 which was agreed.