2007/8 Annual Report
- Chief Executive and Chairman’s Report
- Housing Management Report
- Maintenance Report
- Financial Report
- Membership Policy
Chief Executive and Chairman’s Report
It seems difficult to believe how quickly and completely the housing market and the general economic outlook have changed since last year. In 2007 everything was seemingly smelling of roses and now there seems to be a continuous stream of dire warnings about falling values and lack of money for mortgages.
Historically a falling property market is generally good news for Housing Associations as it allows them to purchase development sites which in a rising market they are unable to afford. This will hopefully continue to be the case although Arcon, like other Associations, is partly dependent on property sales to fund its new developments and consequently, like other house builders, we will be closely monitoring our sales programme before committing to new projects.
We are currently in the process of finalising a £4m loan facility with Lloyds TSB and this will give us the opportunity to purchase and develop more affordable housing both for rent and sale on a shared ownership basis.
As always there is a balance to be struck between investing in new homes and those we already own. The financial year 2008/9 saw us setting our biggest ever major repairs budget of £1.5m and we anticipate continuing to maximise this investment within overall budget constraints over the next two years as well. This is very much in accordance with the wishes of our tenants who clearly stated in the STATUS survey that the dominant priority for the Association was re-improvement and modernisation works.
Major repair and re-improvement schemes are currently being completed at Chantry Court. Macclesfield, and Watermill Close Milnrow, and additional resources are being allocated to the Association’s terraced properties in Gorton, Levenshulme and Patricroft which have now, with the exception of a handful, been surveyed.
As ever the Association is looking to improve the way it operates and some of the new initiatives this year include the introduction of a mobile warden service, the participation in a Greater Manchester Choice Based lettings system and further work on financial inclusion.
We would like to finish this report by taking the opportunity to thank staff, Board and Committee members for all their hard work and commitment during the year which has resulted in Arcon continuing to provide a high standard service to our tenants and residents.
Peter Schilizzi—Chief Executive, John Connolly—Chairman
Housing Management Report
This year Arcon will be carrying out a profiling exercise of our tenants, trying to identify certain trends so that we can tailor the services that we provide to their needs. We have already started to do this, and we are providing a mobile warden, for a trial period, to two schemes for the over 55’s. The mobile warden provides some extra support and advice and if this proves to be successful we will consider offering this service to other elderly or vulnerable tenants.
The introduction of new legislation has compelled Housing Associations to produce action plans on Gender Equality and Disability Equality. This is something that we have been happy to do and the work identified in these action plans actually complements some of our current policies and procedures that we already have in place. Ultimately we want to provide an inclusive service to all of our tenants and customers.
Another new initiative that Arcon are participating in is the Greater Manchester Choice Based lettings scheme called Pinpoint. The project covers most of the Local Authorities areas where we have stock, and allows applicants to make bids for a property that is advertised on the Pinpoint website. It will allow better mobility across Greater Manchester and will be a more transparent method of allocating properties. The pilot runs for a year, and Arcon will be letting 20% of our vacant properties via Pinpoint. It will be interesting to see how this works and whether we can match applicants to properties more efficiently and therefore reduce the time taken to re-let properties.
The results of the status survey were very pleasing, with 91% of tenants satisfied with the overall service provided by Arcon. However, only 67% of tenants were satisfied with the involvement in the management of their home. Whilst this is still high on a national level, it represents a drop compared to our previous results. We are looking at providing a range of opportunities for tenants to get involved and some of these involve social events such as the Easter Egg Hunt we held at Blackley. We are also encouraging tenants who live in our dispersed terraced stock to come along to meetings. However, some tenants have told us that they are happy with Arcon and do not need to attend a residents meeting to tell us.
It is nice to see a variety of new developments being completed. These include 4 flats for shared ownership at Norwood Rd, Stretford, 6 flats in Whaley Bridge with 2 for shared ownership, 2 bungalows being built on the old car park on our Blackley estate, and we have built 11 family houses on Abbey Hey Lane in Gorton of which 7 are for shared ownership. As part of our aim to work within the local community we have made a donation to the local primary school in Abbey Hey which they have used to purchase play equipment for the school children. We want to provide new properties for rent or for sale, whilst also improving our existing stock for our tenants.
Finally I would like to thank all of the staff in the Housing Management department who have worked extremely hard over the last twelve months to help provide the best service we can to our customers.
David Lovelady—Housing Director
Maintenance Report
I have now been in post since early March and have endeavoured to continue the good work completed by my predecessor, David Hallam, and his team. The first few months have seen me reviewing the service as a whole and familiarising myself with the working practices of both the organisation and staff and moreover, the expectations of residents.
In the last financial year all major repairs and improvement works identified were completed in line with the Government’s Decent Homes Standards. The larger scale works were carried out at both Arcon Close in Milnrow and Fir Court in Macclesfield and included the refurbishment of kitchens, bathrooms, windows and central heating and accounted for approximately £500,000 of the budget. The recently completed status survey highlights that property improvements are a high priority for our residents and this will be reflected in the current and the next financial year’s commitment to refurbishments. Although we attained an 87% satisfactory rating with the repairs service, we do hope to improve on this figure so consultation with all interested parties will be crucial to moving this forward in the future.
The new financial year will see further major repair schemes being undertaken at Watermill Close. Milnrow, Chantry Court. Macclesfield and Arcon House. Lytham. Again, with consideration given to the status survey, additional works are planned for the Association’s older stock located in Gorton, Levenshulme and Patricroft, which will enable us to comply with the Government’s target of 2010 to achieve the required decent homes standard.
Further challenges are imminent as changes in legislation require that we provide Energy Performance Certificates from 1st October 2008, a copy of which will be provided to all new tenants taking up occupancy in our properties. In addition to this and as part of my remit I will be challenging current working practices and looking at providing improved value for money on future service contracts and maintenance works whilst not compromising the quality of service we already receive.
In the long term we hope to reduce the amount spent on responsive maintenance so that the allocation of budget can be spent on more planned works in line with our asset management strategy. There is still a lot to be done but with the commitment of the board and staff alike we are in a good position to deliver a service which meets and exceeds our tenants expectations.
On a personal note I would like to thank the Chief Executive, fellow directors, staff and David Hallam for all their support and I am looking forward to the challenges that lie ahead.
Jim Bradley—Property Director
Financial Report
The past year has seen a dramatic change in fortunes within the housing market, causing a lot of uncertainty for us all. Whilst the Association is confident that we can work through these times, both the Board and officers are very aware that we need to closely monitor the situation and ensure our financial viability is maintained whilst delivering a quality service to our tenants.
The Association is currently finalising a new loan facility with Lloyds TSB which we envisage will fund our development activities over the next few years. Lloyds TSB have acted as a funder to Arcon for a number of years resulting in a good understanding of each others needs and the ability to work well together so we are particularly pleased to be working with them again.
Our Business Plan includes the development and subsequent sale of shared ownership properties plus the sale of properties on the open market, ensuring both stability within communities and mixed tenure developments. In these times when people may be struggling to obtain a mortgage, we are investigating a range of options to allow first-time buyers the opportunity to buy their own home. Our priority however will be delivering the promises we have made to our tenants in carrying out improvements and repairs.
Over the past year, we have carried out a review of our services in relation to income management and are now implementing an action plan which will see us enhance the quality of service we provide through better guidance and information for our tenants whilst ensuring that rents remain affordable and arrears remain low.
This review has been carried out along side the introduction of our Financial Inclusion Strategy. Within this strategy, we are building partnerships with other organisations, including local credit unions, Citizens Advice Bureaux plus other social landlords. Our aim is to offer a range of options to our tenants if they need debt advice or some additional support. In a time of rising gas and electricity costs, we are also looking at different utility companies to see if we can source a supplier that we could recommend to our tenants.
The STATUS survey results were very positive with 88% of tenants rating their rent as good value for money, putting us in the top 10% when compared to other housing providers. However we do not wish to rest on our laurels so this coming year we are introducing more rigorous benchmarking of our services against other housing associations plus our Value for Money Group will be challenging colleagues to make better use of resources, both financial and human.
Finally I would like to take this opportunity to thank the Finance team who have yet again shown loyalty and commitment to Arcon and our tenants in working well together in delivering a good service to all our customers.
Anne Southern—Finance Director
Shareholding and Tenant Associate Membership Policy
Introduction
The Association operates a Shareholding and Tenant Associate Membership Policy that aims to encourage the involvement of both tenants and those who share the values and objectives of the Association. To achieve this, the Association has created, in addition to its shareholding membership, the category of tenant associate.
All tenants are automatically eligible to become tenant associates. Shareholding membership of the Association requires the purchase of a £1 share in the Association. Shares are non-returnable, non-transferable and limited to one per person. Because the Association operates on a not-for-profit basis, shares carry no right of interest, dividend or bonus.
Tenant Associates
All tenants are automatically tenant associates. This entitles them to:
- attend Development or other Tenant/Resident Group meetings;
- attend and vote at the Association’s Tenants Forum;
- stand for election to the Tenant Committee;
- sit on the Tenant Committee.
The Association has established a variety of ways of ensuring that tenants’ views are taken into account and that tenants are given opportunities to influence the management and decision making processes that affect their homes.
Shareholding Members
The purpose of shareholding membership is to:
- provide an active pool of people who have expressed an interest in the Association and from whom new Board/Committee members may be drawn;
- allow other people to express support and commitment to the work of the Association without playing an active role;
- enhance the Association’s accountability to the communities in which it operates;
- allow tenants and residents of the Association to play an active part in the Association’s affairs.
Applicants should meet at least one of the following criteria:
- have the appropriate skills, experience and commitment to make a significant contribution to the Association’s Board or Committees either now or in the future;
- demonstrate an existing and continuing interest and support for the work of the Association;
- help improve the representation of local communities within the Association’s shareholding membership and/or board and committee structures.
For more information about the shareholding and tenant associate membership policy and other opportunities for resident involvement please contact the office.
