Download E Notes of the Risk Management Board held on 15 March 2016

Item 2
Risk Management Board
15 March 2016
NOTES OF THE RISK MANAGEMENT BOARD held on 19 January 2016 in P O
Conference Room at FSHQ
PRESENT:
Officers:
Chief Fire Officer, Paul Hancock (Chair)
Deputy Chief Fire Officer, Mark Cashin
Assistant Chief Fire Officer, Richard Ost
Head of Legal and Democratic Services, Andrew Leadbetter
Head of Finance, Paul Vaughan
Head of Planning, Performance and Communications, Tim Bevington
Corporate Programme Manager, Amanda Oliver
1
Apologies
There were no apologies for absence received.
2
Notes from the previous meeting
The notes of the previous meeting on 22 October 2015 with updates provided
to the actions arising were presented to Risk Management Board (RMB).
Matters arising
The Corporate Programme Manager suggested that the Board review the
agenda items for officer meetings to ensure that the items ‘Review of financial,
IRMP and Blue Light Collaboration risks’ were appropriate for this Board as
they were reviewed by other forums (i.e. IRMP Programme Board, Blue Light
Programme meetings). The Head of Finance explained that the Authority’s
Financial Regulations required the finance risk register to be reviewed on a
quarterly basis. He suggested that he could report to the Board by exception
after reviewing the risks within the Finance team.
The Corporate Programme Manager provided the Board with an update on the
latest position in relation to planning future Risk Management Training sessions
for new Members of the Fire Authority. She explained that all Members were
currently having a Personal Development Review (PDR) and once these were
complete, any training requirements raised in the PDR in relation to Risk
Management would be addressed.
The Corporate Programme Manager advised the Board that a risk workshop
was taking place this week to review all the risks identified by the Blue Light
Programme. The Board confirmed that the Head of Legal and Democratic
Services would be attending future Blue Light Programme meetings and would
feed back any risks which required review by this Board.
Notes Risk Management Board
19 January 2016
1
Item 2
Risk Management Board
15 March 2016
Action agreed:
[1] That the Corporate Programme Manager review the process for
reporting of risks and update the Risk Management Board Work
programme if any changes are required; and
[2]
Confirm that an officer is attending to the Blue Light Risk Workshop
meeting scheduled for Thursday 21 January 2016.
UPDATE: Confirmed that Head of Legal and Democratic Services
will attend this meeting
Matters arising on Item 4
The Board noted that the next Crisis Management exercise was currently
planned for 2018 and agreed that this should be changed to 2017.
Action agreed:
[1] The Deputy Chief Fire Officer to discuss timing of next Crisis
Management exercise with the Head of Operational, Policy and
Assurance with a view to a full test being planned for 2017.
Matters arising on Item 3 [2]
The Board discussed the identification of early warning indictors at a national
and international level as to how the Service would assess the risk of certain
national issues to the Service. (i.e. the decreasing cost of steel).
Action agreed:
[1] The Corporate Programme Manager to consider identification of early
warning indicators and how national and international issues could
be assessed as a risk to the Service
3
Terms of Reference – Risk Champions Group
The Corporate Programme Manager referred to the Terms of Reference for the
Risk Champions Group which was provided for the Boards information. The
Board noted the terms of reference and queried whether the reference that the
group were predominately senior level staff was consistent across the
departments. The Corporate Programme Manager responded that she would
review the list of Risk Champions and the Board requested that the list be
circulated to Heads of Department to ensure consistency of the level of staff
that were appointed as Risk Champion representatives for their department.
Action agreed:
[1] The Head of Planning, Performance and Communications to circulate
the list of Risk Champions to Heads of Department asking them to
consider whether the member of staff appointed was at a senior level
and was consistent compared to other departments.
Notes Risk Management Board
19 January 2016
2
Item 2
Risk Management Board
15 March 2016
4
Review Finance Risk Register
The Head of Finance provided the Board with an update on the following risks
on the Finance Risk Register:
848
DEPT
Finance
Finance
RISK
TITLE
Clawback of funding by
government as a result
of the Authority's
reserve level
Failure of Mutual
Insurance arrangement
Target
868
COMMENTS/ACTIONS
Current
Score
RISK
REF
NO
16
6
12
6
UPDATE:
There was no specific government
action or announcement during the
settlement period. The Authority's
reserve strategy will be updated and
approved during the 2015/16 budget
approvals process. The remaining
capital element of ERP2 will cost
around £15.5M to be funded from
reserves and other significant capital
and revenue spend has been ear
marked. The situation will continue to
be monitored
Update from meeting: The Board
discussed the current risk scores for
this risk and agreed that the likelihood
should be reduced.
ACTION:
[1] The Head of Finance to amend the
risk score by reducing the likelihood.
UPDATE:
The new protection arrangements
have been in place since 1 November.
Regular reporting of the claims
position has indicated that there are
no significant emerging issues which
might give rise to concern about the
financial viability of the arrangements.
Update from meeting: The Board
discussed the sharing of information
across the fire and rescue services,
following the introduction of the new
insurance arrangements. The Board
considered whether the likelihood
should be reduced but decided that
the risk scores remained the same at
present.
ACTION:
[1] Retain
Notes Risk Management Board
19 January 2016
3
Item 2
Risk Management Board
15 March 2016
DEPT
Finance
RISK
TITLE
Safety Centre build
budget overspend
Target
832
COMMENTS/ACTIONS
Current
Score
RISK
REF
NO
15
5
UPDATE:
Policy Committee approved the Lymm
Tender contract sum on 16th
December 2015. ISG have been
confirmed as the contractor for Lymm
Fire Station and the Safety Centre.
Update from meeting:
The Board suggested that the risk score
could be reviewed in light of the build
contract and budget being approved
for Lymm fire station and the Safety
Centre. The Board noted that this risk
would also be discussed and reviewed
by the Land and Stations Group and
IRMP Programme Board and that the
review process should be streamlined.
ACTION:
[1] Retain
806
Finance
Uncertainty of the
future funding model
for CFRS with the
introduction of the
outcome of the ESMCP
12
8
801
All (Cross
Cutting)
Claims from historic
insurable events
15
10
Notes Risk Management Board
19 January 2016
UPDATE:
Latest information is the programme
will provide like for like replacement
devices and requirements are being
fed into the programme for CFRS. No
further update on the ongoing
commitment for revenue.
Update from meeting:
The Assistant Chief Fire Officer
provided the latest position as
indicative costs have now been
received.
ACTION:
[1] Update the risk with the latest
progress; and
[2] Retain
UPDATE:
Head of Finance reviewed, this risk
hasn't changed therefore to remain at
current rating.
ACTION:
[1] The Head of Finance to contact
Cheshire East for an update on the
current case; and
[2] Retain
4
Item 2
Risk Management Board
15 March 2016
DEPT
Finance
RISK
TITLE
Impact of Government
austerity measures
Target
722
COMMENTS/ACTIONS
Current
Score
RISK
REF
NO
20
16
UPDATE:
The Chancellor announced the results
of the CSR in November 2015, and the
detailed draft settlement was
announced on December 17th. The
settlement is provisionally for four
years up to the end of the CSR in 201920. The result was that the Authority's
Settlement Funding Assessment shows
a reduction of around 25% over the
period of the CSR. This was at the
lower end of the Authority's planning
spectrum, and leads to estimated
savings in the Authority's MTFP of
around £5.5m. ERP1, Organisational
Review and ERP2 will be the main
source of the savings.
The CSR identified a review of Local
Authority funding which will lead to a
greater reliance on local funding
(Council Tax and Business Rates),
although this will require some
rebalancing of the overall funding
system. Until the details are
announced it is difficult to judge the
level of risk which this will bring to the
Authority's future funding.
ACTION:
[1] Update progress following the fire
services recent move to the Home
Office and the potential impact; and
[2] Retain
RESOLVED:
[1]
5
The Head of Finance to update the financial risks to reflect the
potential impact of the fire services recent move to the Home Office
Review of IRMP Project Risk Registers
The Corporate Programme Manager advised the Board that the IRMP Project
risks had all been reviewed at IRMP Programme Board and suggested that any
exceptions that were identified be reported to the next Members / Auditors Risk
Management Board meeting in March 2016. The Board agreed with the
suggested approach to reporting the IRMP Project risks.
Notes Risk Management Board
19 January 2016
5
Item 2
Risk Management Board
15 March 2016
RESOLVED That:
[1]
6
the Corporate Programme Manager report IRMP Project Risks by
exception at the next Risk Management Board meeting in March
2016.
Blue Light Collaboration Programme Risk Register Update
The Corporate Programme Manager advised the Board that, following the last
meeting of the Risk Management Board in October, the risks had been
reviewed by the Blue Light Programme. She explained that a further Risk
Workshop was taking place later that week to review and help identify the key
programme risks and confirm the risk mitigation plans required.
The Board discussed a number of the Blue Light Programme risks, which were
recorded on the Cheshire Planning System, and the impact on the Service if
they materialised. The Board made the following observations:
879
DEPT
Blue Light
Collaboration
Programme
Blue Light
Collaboration
Programme
Lack of external
communications
Target
873
RISK
TITLE
Loss of staff
engagement and
corporate memory
Current
Score
COMMENTS/ACTIONS
RISK
REF
NO
9
9
12
6
Update from meeting:
The Board discussed that this risk
would need to be reviewed and
updated following the People Strategy
being completed.
ACTION:
[1] Retain
Update from meeting:
The Board considered this risk and
suggested it should be transferred to
the Programme’s issue log rather than
be recorded as a risk.
ACTION:
[1] Risk to be reviewed and discussed
at the Risk Workshop on 21/01.
Programme Office to update risk
following this workshop.
Notes Risk Management Board
19 January 2016
6
Item 2
Risk Management Board
15 March 2016
RISK
TITLE
Delay in building works
at Clemonds Hey due to
Great Crested Newts
Target
893
DEPT
Blue Light
Collaboration
Programme
Current
Score
COMMENTS/ACTIONS
RISK
REF
NO
16
8
Update from meeting:
The Board queried the title of this risk
as it was felt that there was a wider
consideration in successfully gaining
planning permission that should be
included within the risk description.
ACTION
[1] Risk to be reviewed and discussed
at the Risk Workshop on 21/01.
Programme Office to update risk
following this workshop.
891
Blue Light
Collaboration
Programme
Staff failing vetting
15
8
Update from meeting:
The Board noted that the People
Strategy which was currently being
drafted would address this risk.
ACTION:
[1] Retain
881
Blue Light
Collaboration
Programme
Outsourcing ICT - legal
challenge from
suppliers
4
4
Update from meeting:
The Board considered this risk and
suggested it should be updated to
reflect this is a more general risk
relating to procurement.
ACTION:
[1] The Head of Legal and Democratic
Services to update this risk.
RESOLVED That:
[1]
the Blue Light Collaboration programme risks be updated as appropriate.
7
Review of Corporate Risk Register
RMB considered the remainder of the Corporate Risk Register (excluding the
financial risks which had been reviewed as part of agenda item 4) and made
the following observations on the current Corporate risks:
Notes Risk Management Board
19 January 2016
7
Item 2
Risk Management Board
15 March 2016
RISK REF
NO.
DEPT
RISK
TITLE
Current Target COMMENTS/ACTIONS
Score
376
Prevention and
Protection
Fire in Iconic Heritage
Buildings.
16
9
720
Operational
Policy &
Assurance
Industrial Action
(National)
9
9
804
Planning,
Performance &
Communications
Opposition to plans
to change emergency
response
arrangements
8
6
UPDATE:
Protection training day
delivered on historic buildings
(14/12/15) which included
presentations from the fire
advisors to Historic England
and the National Trust.
Cheshire West and Chester
have agreed to re-introduce
the Fire Board which will be an
all officer group chaired by the
Head of Place Quality for
Chester. Risk reviewed no
change.
ACTION:
[1] Retain
UPDATE:
The Industrial Action risk has
reduced as the FBU have given
assurances that there will be
no strike action for at least 12
months as the legal challenges
are progressed.
ACTION:
[1] Change this risk to a
departmental risk
UPDATE:
The Policy Committee gave
approval on December 16 for
ISG to be the main contractor
for the Lymm site- meaning
the company is now
responsible for delivering all of
the remaining three new
builds.
ISG site management have
already engaged with local
residents at Powey Lane provided this is managed
jointly with CFRS comms across
all three sites then this should
limit practical opposition going
forward. The risk score is being
reduced accordingly and it is
proposed it should be closed in
the New Year.
ACTION:
[1] Retain.
Notes Risk Management Board
19 January 2016
8
Item 2
Risk Management Board
15 March 2016
RISK REF
NO.
DEPT
RISK
TITLE
Current Target COMMENTS/ACTIONS
Score
807
All (Cross Cutting)
Competing demands
on the organisation's
resources due to
changing external
environment
20
9
830
Planning,
Performance &
Communications
Completion of Safety
Centre build within
timeframes
15
5
835
Planning,
Performance &
Communications
Safety Centre: lack of
use from visitors
15
5
Notes Risk Management Board
19 January 2016
UPDATE:
This risk is to remain as current
rating due to the current Blue
Light Collaboration. As this risk
is a Corporate risk, it will be
reviewed during RMB in
January 2016.
Update from meeting:
The Board confirmed that the
resource capacity plan should
be completed in time for the
next IRMP Programme Board
meeting.
ACTION:
[1] Retain
UPDATE:
Policy Committee approved
the Lymm Tender contract sum
on 16th December 15. ISG
have been confirmed as the
contractor for Lymm fire
station and the Safety Centre.
ACTION:
[1] Transfer this risk to the
Land and Stations programme
risk log;
UPDATE:
Successful stakeholder event
run with more than 65
delegates. Stakeholder ebulletin to be distributed
monthly from January 2016
once building contract signed.
Safety Central branding now
approved and in use on all
comms materials, including a
holding page for dedicated
centre website. Full site to be
launched in the new year.
Work completed on schools
database, direct marketing to
go out by end of 2016 summer
term once opening date is
decided and deemed realistic.
Twitter and Facebook pages
now live and attracting
followers.
ACTION:
[1] Retain
9
Item 2
Risk Management Board
15 March 2016
RISK REF
NO.
DEPT
RISK
TITLE
Current Target COMMENTS/ACTIONS
Score
871
All (Cross Cutting)
Changing regional
arrangements
impacting budgets
and governance
9
6
UPDATE:
The Chancellor has announced
the Liverpool City Deal, which
will allow for the creation of a
Mayor and the formalisation of
the combined authority. In its
current form, the deal will not
include policing or fire and
rescue services, although
Halton will participate in the
Deal. The arrangements are
still likely to impact on the
future development of subregional governance across
Cheshire and Warrington and
there is still the potential for
policing and fire to be drawn
into the City's arrangements as
structures develop. CFRS and
Cheshire's PCC will continue to
work with colleagues in
Liverpool, Halton and the SubRegion to maintain and
strengthen relationships and
working practices.
ACTION:
[1] Retain
889
Prevention and
Protection
Lack of commitment
from housing
providers to fit
sprinklers.
16
9
Update from meeting:
Officers planning to provide a
Presentation to Members
regarding progress on the
Project and looking for
recommendations as to next
steps
ACTION:
[1] Retain
RESOLVED:
[1]
That the Relevant Risk Owners review the list and actions arising as
appropriate.
Notes Risk Management Board
19 January 2016
10
Item 2
Risk Management Board
15 March 2016
Additional Actions Agreed:
[1]
That the Corporate Programme Manager investigate the implications of
the proposal to change the frequency of the Risk Management Board to 6
monthly Member/Auditor meetings only and report back to the Board; and
[2]
That the Corporate Programme Manager and Head of Planning,
Performance and Communications streamline the review of risks at the
relevant project meetings and IRMP Programme Board.
Notes Risk Management Board
19 January 2016
11