Agenda item

Lela Kogbara , Assistant Chief Executive, was present and outlined the report.

During consideration of the report the following main points were made –

·         In 2014/15 the Council will spend just over £41m on services delivered by the voluntary sector. The voluntary sector is a key partner but will need to adapt to a harsher financial climate  and the Council and VCS will have to work more closely with less money in new and creative ways to meet the challenges that lie ahead

·         Members noted the funding awarded under the VCS Grants Fund and Advice, Discretionary Rate Relief, Local Initiatives Fund, Islington Community Chest, Community Festivals Fund and the free hire of the Islington Assembly Hall and also the Council’s contribution to the London Boroughs Grants Committee

·         Members were informed that there were processes that had been set up where discussions were taking place with the voluntary sector with the Leader to establish a basis for the future. There was a need to use resources more efficiently such as co-locating organisations or moving to cheaper premises could reduce costs, looking at the use of Section 106 monies to create hubs and in addition supporting organisations to bid for external funding to make them less dependent on Council funding. IT support, and support in the creation of a Business Plan could also be given and a monitoring role could be played by Islington Giving

·         In response to a question as to the funding of Cripplegate that a large proportion of the funding went on advice work it was stated that for the forthcoming year Cripplegate would be using the same criteria however they would be adding additional criteria. There was the need to have a balanced review of how advice was defined and whether there should be a core model that should be adopted

·         In response to a question as to whether there was a list of voluntary organisations and premises in the borough it was stated that there were over 2400 voluntary organisations in the borough and whilst there was not a comprehensive list of all these organisations however there was a list of organisations that the Council funded or who occupied Council premises. Members requested that they be sent the list referred to and the one being prepared by Finance and Property Services

·         In response to a question it was stated that Cripplegate would be advising voluntary organisations how to build capacity in local voluntary organisations and Cripplegate were better in some areas than the Council in identifying and meeting the needs of organisations, however a more joined up approach was needed

·         It was stated that there was the need for a more co-ordinated approach across departments as to funding to ensure funding was not duplicated to voluntary organisations for the same services. A Member expressed the view that this showed poor management practice if funding was not co-ordinated and appropriate action needed to be taken to remedy this

·         The Chair expressed the view that this was an area that should be kept under review and scrutinised to ensure funding was being co-ordinated effectively, however it was noted that it would not be cost effective if a large amount of resources were being employed to monitor a relatively low funding spend

·         Members were informed that a meeting would be held in March following approval of the Council budget with agencies to discuss the implications of the introduction of Universal Credit which may result in changing needs of tenants in order to cope with all benefits being paid together. It was added that there would be a need to provide a level of support in order to support residents in coping with the new bureaucratic procedures of Universal Credit and the fact that the system was IT based

·         The Chair stated that it was necessary to ensure services were in place in the appropriate timescale and a safety net was in place to ensure that residents could pay their rent and other bills and not fall into arrears

·         A Member referred to the fact that voluntary organisations could benefit from accessing Council corporate contracts such as purchasing of photocopiers, paper etc. and that this should be looked at to save costs

·         In response to a question it was stated that at present the Council did assess the annual reports of charities however there was a need in future to move away from this and ensure that appropriate capacity building was in place

·         A Member referred to the LIF funding and that the sharing of resources could result in savings and it was stated that this was being investigated

·         Reference was made to the fact that many local voluntary organisations could not afford to employ professional fundraisers and the view was expressed that it might be difficult to get organisations to move or share premises for a number of reasons

·         There was a need to build capacity and make voluntary organisations aware that they could not be dependent on Council funding in future given the financial restraints imposed on them by the Government

·         It was stated that there needed to be a clearer assessment of the value that an organisation offered when considering funding and whether the organisation had assisted residents in becoming more independent

RESOLVED:

(a)  That details of the list of voluntary organisations, as referred to above, be circulated to Members of the Committee

(b)  That consideration be given as to whether voluntary organisations could effect cost savings by using the Council’s corporate contracts to get a more advantageous purchasing price

(c)  That the report be noted

The Chair thanked Lela Kogbara for attending