Agenda item

The Interim Director of Law & Governance and Monitoring Officer updated the committee on the progress of the constitution review.  This matter was previously considered at the 13^th March 2023 meeting, at that time the Audit Committee approved the Terms of Reference (TOR) for a review of the constitution to ensure it is fit for purpose.

An additional document was tabled, including proposed revisions to the Officer Employment Procedure Rules.

The following points were noted in the discussion:

·       The Committee considered the proposed amendments to the Audit Committee terms of reference, in particular the responsibilities for byelaws, polling districts and the calculation of council tax base. It was queried if it would be appropriate for these functions to be allocated to other committees or decision-making bodies. In response, officers advised that these were non-executive functions and could not be considered by the Executive.

·       The report suggested disbanding the Pensions Sub-Committee and establishing a Pensions Fund Committee. The Chair suggested changing the name of the Pension Fund Committee to the Pensions Committee. It was noted that a new TOR would be needed for the Committee.

·       The report suggested that the Personnel Sub-Committee becomes a new Employment and Appointments committee.

·       Part of the remit of the Personnel Sub-Committee has been to approve special severance payments for departing officers over £100,000.  However, new statutory guidance sets out that this should now be approved by a vote of Full Council, with special severance payments between £20,000 and £100,000 approved by the Chief Executive and the Leader of the Council. Members felt that there should remain member r oversight of these special severance payments. The Committee emphasised the need for transparency, public accountability and democratic oversight. The Committee considered it was important to scrutinise these decisions – either in Audit Committee or in the Personnel Sub-Committee.

·       The Director of Human Resources noted that the details of special severance payments were confidential and could not be considered in the public domain. As these decisions often had to be made at pace, there would be practical issues to overcome in introducing advance member oversight arrangements, such as the number of members quorate for these short notice meetings. Audit Committee already had a role in relation to scrutinising these payments which are included in the annual accounts. It was agreed to consider how best to strengthen this oversight further outside of the meeting.

·       It was suggested that Phase 2 of the constitution review should have a focus on format and style and address accountability of decision makers mainly around officer delegations as well as other sections which will need a steer from members. Some of the work in phase 2 has started, such as looking at financial regulations and procurement rules.

·       The Committee requested the Employment and Appointments Committee produce an annual or bi-annual report on their activity.

RESOLVED:

·       That the work of the Constitution Review Working Group in reviewing the constitution and proposing revisions to ensure legal compliance be noted.

·       That the tabled amendments to the Officer Employment Procedure Rules be endorsed;

·       That the Interim Director of Law and Governance be authorised to make any subsequent necessary changes to the report, prior to submission to Council in July, following consultation with members of the Audit Committee;

·       That the following recommendations be made to Full Council:

o   Agree the proposed revisions to Part 1 of the Constitution as detailed in Appendix 1;

o   Agree the proposed revisions to the Articles of the Constitution as detailed in Appendix 2 and adding the Employee Code of Conduct as detailed in Appendix 5;

o   Adopt the revised Officer Employment Procedure Rules, which now incorporate the previously separate protocol document, in Appendix 4;

o   Adopt revised Terms of Reference for the Audit Committee to establish it as the Audit and Risk Committee including authority to revise and keep up to date the Council’s Financial Regulations and Procurement Rules as detailed in Appendix 5;

o   Adopt revised Terms of Reference for the Standards Committee as detailed in Appendix 5;

o   Adopt new Terms of Reference for the Pension Sub-Committee to establish it as a Pension Fund Committee appointed by the Council as detailed in Appendix 5;

o   Adopt new Terms of Reference for the Pension Board as detailed in Appendix 5;

o   Adopt new Terms of Reference for the Personnel Sub-Committee to establish it as an Employment and Appointments Committee appointed by the Council as detailed in Appendix 5.

o   Adopt revised Terms of Reference for the Statutory Officer Grievance Committee and Appeals Committee so that it only applies to the Chief Executive as detailed in Appendix 5;

o   Agree a Review of the Overview and Scrutiny function to include revised Terms of Reference for the Scrutiny Committees and Scrutiny Procedure Rules.