Report Back From the Council’s Executive

‘

Review Voluntary & Community Sector Funding – Final Allocation’

Wednesday 27th June 2007

The Executive received a total of eleven deputations and submissions from a further three organisations. All presented arguments against the proposed cuts. You can view a copy of CBMEA’s and VAC’s submission on respective websites

Following the deputations the Chair of the Culture & Environment Scrutiny Panel, Cllr Scott, presented the recommendations to the Executive. Cllr Scott noted that overall members of Scrutiny welcomed the report and recognised that there had to be ‘winners and losers’. Most of the members’ comments were on process, the need for the council to work more closely, and to improve communication, with the sector and to recognise the value of leverage. Particular concern was noted over the failure of the Council to consult on the possibility of the 2.5% cut per year on contracts and no inflation for all agreements over the 3.5 year period. Scrutiny recommended the establishment of a Strategic Liaison Group between the sector and the council, involving members and a review of the system used to carry financial assessments. Concern was also registered on the adverse impact of the cuts on black and minority ethnic communities and the need for greater transparency in process.

In response Cllr Marshall commented that this was the first time in many years that the process has been open to new groups, ten new organisations were being funded (set against the eleven groups where funding had been withdrawn). He went on to say that the process had had a strong weighting to quality as opposed to cost that it would not be very helpful to re-open individual decisions, if you reopen one you have to reopen them all and there is a finite pot of money. On the concerns about the impact on black and minority ethnic communities Cllr Marshall stated that £650,000 was being directed to support black and minority ethnic groups.

Cllr Marshall did accept that the cut of 2.5% per year for contracts and no allowance for inflation was a decision that was published in the report presented to the Executive. This was because the financial situation had changed and there was concern about the effect of a tight settlement following the comprehensive spending review and the pressures on the adult and social care services caused by an increasing population of people aged over 80. Overall Cllr Marshall was of the view that set in context this was a marginal change and Camden remained a generous funder of the voluntary and community sector in comparison with other boroughs.

In response to the recommendations from Scrutiny Cllr Marshall made the following points:

• Financial checks. If there are lesson to be learnt officers will be requested to write to Scrutiny.

• Feedback. All organisations will receive comprehensive feed back.

• Equality Impact Assessment. This had been undertaken on the process. Regarding outcomes the council had a range of mechanisms in place through which this could be monitored.

• Strategic Liaison Group. Cllr Marshall wanted to take this suggestion away to look at it in more detail. Scrutiny may also want to consider a themed meeting on the relationship between the voluntary and community sector and the council.

• Arms Length Advice – to be delivered by infrastructure organisations

• Transparency. Possible to do things here – difficult balance between public and private domain.

When given the opportunity to speak the opposition party made the following points:

• Groups knew nothing about the 2.5% cut and no inflation – this is an issue of transparency

• These cuts are being implemented at a time when the council had already cut payment for maternity leave and had attempted cut in Discretionary Rate Relief. There will be a cumulative financial impact on groups.

• Camden has a strong reputation for community cohesion and this is linked to a vibrant voluntary and community sector. The issues raised with regard to black and minority ethnic groups had not been addressed and there is a need to revisit the impact of the recommendation on community cohesion

• 4 of the 11 organisations that are being cut by 100% operate in the Holborn ward.

In conclusion, Cllr Moffit stated that the partnership administration recognised the importance of the voluntary and community sector. There was a commitment to remain a major supporter in comparison with other boroughs. There is no intention to ‘slash and burn’. The role of councillors is to represent people, to provide services and not to protect individual organisations

All of the recommendations contained in the report were agreed.

Revised on 2 Jul 2007

Revised on 2 Jul 2007