Agenda and minutes

None.

None.

If you have a Disclosable Pecuniary Interest* in an item of business:

·         if it is not yet on the council’s register, you must declare both the existence and details of it at the start of the meeting or when it becomes apparent;

·         you may choose to declare a Disclosable Pecuniary Interest that is already in the register in the interests of openness and transparency. 

In both the above cases, you must leave the room without participating in discussion of the item.

If you have a personal interest in an item of business and you intend to speak or vote on the item you must declare both the existence and details of it at the start of the meeting or when it becomes apparent but you may participate in the discussion and vote on the item.

*(a) Employment, etc - Any employment, office, trade, profession or vocation carried on for profit or gain.

(b)   Sponsorship - Any payment or other financial benefit in respect of your expenses in carrying out duties as a member, or of your election; including from a trade union.

(c)  Contracts - Any current contract for goods, services or works, between you or your partner (or a body in which one of you has a beneficial interest) and the council.

(d)   Land - Any beneficial interest in land which is within the council’s area.

(e)  Licences- Any licence to occupy land in the council’s area for a month or longer.

(f)   Corporate tenancies - Any tenancy between the council and a body in which you or your partner have a beneficial interest.

 (g)  Securities - Any beneficial interest in securities of a body which has a place of business or land in the council’s area, if the total nominal value of the securities exceeds £25,000 or one hundredth of the total issued share capital of that body or of any one class of its issued share capital. 

This applies to all members present at the meeting.

None.

RESOLVED:

That the minutes of the meeting held on 3 December 2019 be confirmed as an accurate record of proceedings and the Chair be authorised to sign them.

The Deputy Pensions Manager reported that there had been a drop of 6.5% in overall performance from the 87.5% achieved in the last quarter. He also noted the overall increase of 16% of cases processed over the period, a number of which were Covid-19 related.

He pointed out that deferred annual benefit statements would be sent to former members of the pension scheme in July 2020. It was likely that annual benefit statements for active members would not be sent out by the statutory deadline of 31August 2020.  However, he was hopeful that the statements would be produced by 30 September 2020. The Pensions Regulator had confirmed that no breach of regulations would be caused provided statements were despatched by 30 November 2020.

With regard to the recruitment of new members to the Scheme, the Board agreed that the leaflet produced by the Pensions Team should be sent out to non-contributors to the scheme.

RESOLVED:

(a) That the number of members auto-enrolled into the Local Government Pension Scheme from 1 February 2020 to 30 April 2020, as detailed in the report of the Corporate Director of Resources, be noted.

(b) That the information in respect of the Internal Dispute Resolution Procedure, compliments and complaints, also detailed in the report, be noted.

(c) That it be noted that there may be a possible delay of one month in issuing the active benefit statements.

(d) That the Deputy Pensions Manager arrange for the leaflet on the benefits of the Scheme to be sent to non-contributors, with a view to the recruitment of new members.

Alan Begg highlighted a number of queries on the draft accounts, which were responded to by the Pension Fund Manager. However, he noted a particular discrepancy in paragraph 3.5 on page 12 of the report, by the adverse affect caused by a decrease in the Fund by £24m.  The Pension Manager pointed out that the decrease was actually in market value and not in expenditure. Alan Begg suggested that this be clarified in the draft accounts.

RESOLVED:

(a) That the 2020/21 annual cash flow forecast pension fund administration cost attached as Appendix 1 to the report of the Corporate Director of Resources be approved.

(b) That, subject to an additional amendment to the appropriate page on the draft accounts to clarify that there has been a decrease in market value of £24.5m and not in expenditure,  the 19/20 draft pension fund accounts attached as Appendix 2 to the report be approved, before it is audited by Grant Thornton, the Council’s external auditors.

Members suggested that there could be more information on each of the following areas, caused by the Covid 19 virus, in order to plan mitigating actions:

·       Risk tolerance- employer covenants, funding update and investment downside and impact on contributions.

·       Business Continuity- disruption impact on pension administration, investment and critical projects

·       Market opportunities- asset allocation, liquidity and planned strategic changes

·       Governance- unavailability of committee members, key individuals and ability to respond quickly

·       External third parties cannot fulfil their obligations- examples include networks SAB, MHCLG

·       Member communications-market volatility on investment valuations especially AVC

RESOLVED:

(a) That the contents of Appendix A to the report of the Corporate Director

of Resources, detailing proposed agenda items for future meetings, be approved.

(b) That the Head of the Pension Fund report to the next meeting of the effect on Fund members of the six issues highlighted in the bullet points above.

(c) That, if the Macleod judgement is sent out for consultation during July 2020, a report be submitted to the Board in September 2020 on the likely impact on the Fund and the Council.

CHAIR