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ALMOsinactionWinter 2011www.almos.org.ukNews from and for arm’s lengthmanagement organisationsKeeping it localResident involvement and service excellence should be at the heart of the government's localism agenda.That's the message from arm'slength management organisations inthe wake of the biggest shake-up insocial housing for a generation.Ministers have pledged thatcommunities will be at the heart ofdecision-making under their plans to'shake up the balance of power in thiscountry' with the Localism Bill. The Bill,ministers claim, will allow local peopleto set their own priorities and give localauthorities and social housingproviders new flexibility to innovate andto use their housing stock as they see fit.The National Federation of ALMOssays ALMOs' successful track record ininvolving their residents and improvingthe quality of their services shows theway forward for the social housingsector. “What the ALMO sector hasdone really well is real tenantengagement and serviceimprovement,” said NFA policy directorGwyneth Taylor. “Now that the AuditCommission and Tenant ServicesAuthority are going, we need to ensurethese improvements are reflected inthe approach to localism.” Thegovernment is proposing that tenantsbe given new responsibility toscrutinise their providers' performancevia tenants' panels - an area whereALMOs have already made significantchanges.Other reforms introduced by theLocalism Bill include new flexibletenancies, more flexibility for localauthorities about who goes on theirwaiting list and changes to the duty tohouse homeless people. But as theNFA points out, changes such asflexible tenancies will be discretionaryand it will therefore be up to individualcouncils to plot their own approach.A self-financing futureArm's length managementorganisations are pushing to be able tocontinue building new homes as theyprepare for a self-financing future.TheNational Federation of ALMOs haswelcomed the publication by thegovernment this month of detailedproposals on the reform of the councilhousing finance system.But the NFA has urged ministers toensure that some of the detail does nothold ALMOs back, either in building newhomes or in renovating existing stock.NFA policy manager Chloe Fletcher saidthe proposals meant the prospects forcouncils and ALMOs being able to buildnew homes were very uncertain. No newfunding for local authority new build isbuilt into the plans and, as they stand,ALMOs are unlikely to be able to makeuse of the new affordable rent regime.The NFA is also concerned that theHomes and Communities Agency will notprovide Decent Homes funding for thosecouncils whose proportion of non DecentHomes is less than 10 per cent of theirstock. This is based on the assumptionthat self-financing will provide sufficientresources to address the remainingbacklog. However, this may not alwaysbe the case.“We would urge the government toensure that the combination of the selffinancingdeal and the distribution ofDecent Homes funding doesn't leavesome ALMOs and tenants with a DecentHomes backlog which they cannot affordto deal with,” said Ms Fletcher. “We verymuch hope that these issues can beresolved before the final implementationof self-financing to ensure that bothcouncils and ALMOs can properlymanage their assets and help to providethe homes and regeneration that theircommunities need.” Other issues in thedetailed proposals include:• A debt cap - which could limit theability to use the new financial freedomsfully• The possibility of reopening thecalculation on which the debt settlementis made if there is a change 'in anymatter that was taken into account'• A commitment to maintaining the ringfencefor the housing revenue account.But there will be no new guidelines fromgovernment on the ring-fence - adecision the NFA calls disappointing• Confirmation that councils have lost theright to keep 100 per cent of right to buyreceipts at least for the next four years• An end to the guaranteed minimumuplift in combined management andmaintenance and major repairsallowances - but additional funding fordisabled adaptations. The NFA says thevast majority of councils should get anincrease of between ten to 20 per centoverall in revenue allowances• The overall debt figure to beredistributed has now increased, with thenet receipt to the government going upfrom £4.9 billion to £6.7 billion. PFIschemes will not now be included in theself-financing deal, accounting for £1.2billion of this figure.Ms Fletcher said: “We are pleased thatthe government has listened to ALMOsand local authorities on some of thetechnical issues associated with themove to self-financing and have madesome adjustments to ensure that councilsare not financially disadvantaged by thechange.”INSIDE THIS ISSUENFA AWARDS 2011How you can enter | P3MBES FOR ALMO CHAIRSRecognition of services to housing | P4COMMUNITY PURSE STRINGSWhat matters to tenants | P6

National NewsTaking stockALMOs across the country are facing up to the tougher spending environment after thegovernment's comprehensive spending review (CSR).So what were the mainimplications of the spending review,announced last autumn, for ALMOs?The good news is that the DecentHomes programme will continue, withthe government committing £2.1billion over four years to completingthe programme and halving thebacklog by 2015. In reality, after gapfunding for stock transfers and localauthorities is taken into account, thisfigure shrinks to £1.6 billion,significantly short of the £2.2 billionthe NFA had called for.Other major headlines of the CSRinclude a cut in the capital budget for theNational Affordable Housing Programme(NAHP) from £8.4 billion over the last threeyears to £4.4 billion over the next four years,which the government claims will enablethe delivery of up to 150,000 new“affordable homes” over the spendingreview period. This will not include anyfunding for new social rented homes butinstead introduces a new affordable rentregime, set at up to 80 per cent of marketrents, or Low Cost Home Ownership if thelatter can demonstrate good value formoney.The details of these models have yetto be announced, with the Homes andCommunities Agency due to produce thenew bidding framework shortly.However, indications are that ALMOswill be able to bid into the NAHP, but will becompeting with housing associations onvalue for money under the new regime. Inthis context how any borrowing undertakenby the ALMO is taken account of and theamount of grant required to build the newhomes will be critical in negotiations withthe HCA. Developing ALMOs across thecountry are keen to continue to deliver newhomes for their local communities and areworking hard to find innovative ways inwhich to do that.The government also announced thatit would protect investment in theHomelessness Grant (which will stay at itscurrent level) and the Disabled FacilitiesGrant. But additional cuts to welfare benefitswere also announced that the NFA isconcerned will penalise those in long-termunemployment without taking into accountthe personal circumstances of tenants thatcould be preventing them from finding work.Despite the spending cuts, the NFA hashighlighted the efforts made by many of itsmembers to analyse properly wherespending cuts should be made, to involvetheir tenants in important financial decisionmaking,and ultimately to minimise theimpact of the CSR on the lives of tenantsand future of social housing. This sort ofactivity also sits perfectly within thegovernment’s localism agenda and isprecisely how the NFA views effectivecollaboration between ALMOs and theirtenants, no matter what the economicclimate.Salix Homes is one of those leading theway in consulting with tenants on servicedelivery, having recently won a UK HousingAward for its customer senate (see page 4).Many ALMOs use tenant review panels toensure that their services are performing aseffectively and efficiently as possible.Homes for Islington tenants, for example,have even been involved in selectingcontractors, with decisions based on qualityand value for money, to deliver a range ofservices to their properties. Others areeffectively handing over community pursestrings to their residents by allowing them tovote on which services and initiatives aremost deserving of funding, and how to savemoney. Consultation surveys, like the onedistributed by Barnet Homes inside itsregular tenant newsletter, are anothereffective way of giving residents a say onhow budgets are spent.For more on what specific ALMOs aredoing to consult with their tenants, turn topages 6 and 7.Long-term partnersIn this issue of ALMOs in Action, we put the spotlight on ALMOs who have successfully secured theirfuture with extensions to their management agreements.Cheltenham Borough Homes had itsagreement extended in 2009 for theperiod 2010-2020, making it one of thelongest in the sector. The ALMO hasattributed this success to the continualimprovement of performance and tenantsatisfaction levels; the completion ofDecent Homes works two years ahead ofgovernment targets; its award of threestars with excellent prospects by the AuditCommission in 2009, and its efforts inbuilding stronger and safer communities.Paul Davies, chief executive atCheltenham Borough Homes, said: “Wewere delighted to have our managementagreement extended for a further tenyears. For our first seven years we haveshown that we have had an impact waybeyond the management and repair ofcouncil housing and are actively improvingquality of life for our residents by buildingsustainable communities with a brightfuture where our tenants want to live andwork.“The security this ten-year agreementgives us, has allowed us to plan for anddeliver even better services and positivechanges for our tenants and thecommunity. In recognition of our excellentservices and prospects we have been ableto attract £3.4 million in HCA fundingwhich is making it possible for us to buildour first new affordable homes.”Derby Homes, meanwhile, has had anextension to its management agreementapproved by Derby City Council for theperiod 2012-2022, dependent onconsultation. The council asked all tenantsand leaseholders whether or not theyagreed with this proposal and 90 per centof residents supported the plans. The finaldecision of the council to award thecontract is expected in March 2011.One of the first ALMOs to launch in2002, Derby Homes today manages anddelivers vital services to 14,200 rentedand leasehold homes across the city.Derby Homes completed its DecentHomes programme in 2006. According tochief executive Phil Davies, councilhousing is now the rented housing ofchoice in the city.He said: “I’m delighted that tenantsand leaseholders have overwhelminglysupported the council’s decision to awardus a further ten-year contract. The boardtook the lead and although fullycommitted to Derby Homes continuing itswork, asked for an independent report byhousing experts Rachel Terry and JohnPerry which gave them the confidence topush for a new contract. We have a soundrecord of performance and takinginitiatives, such as building some of thefirst ALMO-owned houses in the country.But the most important factor in oursuccess has been the support of ourtenants, who want to continue having adirect say over the services they receivethrough their ALMO.”2 | ALMOs in Action

National NewsNFA Awards 2011 launchedEntries have opened for the National Federation of ALMOs Awards. Energy supplier British Gas and social housing repairand maintenance company Kier Building Maintenance are sponsoring the awards, which are now in their fifth year.The awards will take place on 12 July at the Midland Hotel in Manchester during theNFA’s annual conference.Since their launch in 2007, the awards have had more than 1,000 entries and havebecome an important event in the social housing calendar, celebrating the hard work andachievements of ALMOs.For the first time in the awards’ five-year history, Inside Housing, the weekly magazinefor housing professionals, will be acting as media partner. Announcements of additionalaward sponsors are expected shortly.Alison Inman, chair of the NFA and a judge of the NFA Awards 2011, said: “The qualityand volume of entries for the 2010 NFA Awards was outstanding, and I am looking forwardto reviewing fresh and innovative concepts together with highly committed and inspiringindividuals - all working together to build strong communities.”The deadline for entries to the NFA Awards is 28 April 2011.For more information and how to enter, please visit:www.almos.org.uk/awardsALMOs in ParliamentNearly 200 ALMO representatives, MPs and tenants have gathered in Parliament to highlight theachievements of ALMOs and to explore the future of the ALMO movement.The annual All Party ParliamentaryGroup for ALMOs (APPG) Reception, hostedby Clive Betts MP in his capacity as APPGchair and sponsored by Keepmoat, washeld in the members’ dining room of theHouse of Commons on 16 November.The reception is designed to promotedebate on the future development of ALMOsand to bring ALMO officers and tenantsface-to-face with the country’s leadingpoliticians to discuss key developments inthe social housing sector.Among those at the event were AlisonInman, chair of the NFA,Andrew Stunell MP,Parliamentary Under Secretary of State forCommunities and Local Government, andJack Dromey, Shadow Minister forCommunities and Local Government.They were joined by nearly 120 ALMOrepresentatives and more than 40Conservative, Liberal Democrat and LabourMPs from across the country.The event was opened by Clive BettsMP and Alison Inman, who gave a specialwelcome to the 52 ALMOs in attendance.The reception also featured speeches byAndrew Stunell MP and Jack Dromey MP,followed by discussion and networking forall the guests.Key issues explored on the day includedself-financing options for ALMOs,particularly in light of the spending cuts andthe government’s comprehensive spendingreview, the benefits of ‘localism’ in housingand community management, and thefuture for ALMOs beyond Decent Homes(read more about this below).The event alsogave tenants an opportunity to meet theirlocal MP and visit the House of Commons.The importance of tenant engagementwas also a key theme. In his speech toreception guests, Mr Stunell said: “ALMOshave a level of tenant participation that hascompletely eluded councils in the past. It’s anew model and it has been a successfulone.”ALMOs - beyond Decent HomesALMOs have made huge strides in improving performance and tenant involvement and satisfaction. But what is the nextstep? In this age of cutbacks and tight budgets, how will we ensure our estates remain good places to live?As the Decent Homes programmeenters its final stages for manyALMOs, the NFA has been looking tothe future of how ALMOs are managedand, importantly, how they are funded.The NFA is working on a major projectto develop proposals that would build on thecurrent, successful ALMO model, creating anew form of organisation both accountableto the community and eligible for additionalfinancing from the private sector. There arethree potential models, which would ideallyspan more than 25 years, being developed.The models would allow ALMOs to accessadditional, private sector, off-balance-sheetfinancing by ALMOs as private, non-profitcorporations, while retaining the strongelement of partnership with the localauthority. They are:Model 1 - Long-term managementagreement - is based on the ALMO havinga much longer contract and on the localauthority having a one-third (rather thansole) interest in the ALMO’s ownershipModel 2 - Long-term management andtransfer of some vacant properties - isbased on model 1, but with the ALMO alsogradually building an asset base throughtransfer of void properties and vacant landModel 3 - Transfer to a Council andCommunity Organisation (CoCo) -represents a more fundamental changeboth in the ALMO’s constitution and in thefact that it would become the owner of thestock, but on a different basis to currentstock transfers.The subject was further explored at around table event organised by InsideHousing magazine, which saw nine socialhousing experts debate the issues facingALMOs. The panel included Alison Inman,chair of the NFA, Peter Brynes, managingdirector of Kier Building Maintenance, andJohn Townend, board member at TAROE(Tenants’ and Residents’ Organisations ofEngland), as well as senior representativesof a number of ALMOs and local authorities.Some ALMOs are already looking atoffering housing services to other housingproviders and at areas like SupportingPeople and adult social care.This is a period of significant change forthe housing sector. All ALMOs areconsidering their organisation’s ongoing rolein the light of changes to the Decent Homesfunding process, especially given that localauthorities can now access this funding.ALMOs which have successfully securedextensions of their managementagreements such as Cheltenham BoroughHomes demonstrate how ALMOs can havea long-term future. The strong track recordof ALMOs serving their tenants is ofparticular importance.The Inside Housing panel highlightedthree general themes for ALMOs to focus onin 2011: promoting themselves asorganisations that deliver much more thanrepairs and maintenance; demonstrating totheir local authority how they can achievecost efficiencies in housing services whilestill serving their local community to a highstandard; and retaining the support of theircommunity to prove from first-handexperience what a difference ALMOs make,not just in terms of housing services, but tothe lives of tenants.Protecting residents' futuresALMOs in Action | 3

Resident engagementKeeping promisesTenant review panel gets to the heart of the issueWolverhampton Homes has celebrated the one-year anniversary of a successfuland pioneering tenant review panel to scrutinise and improve its services.Thanks to the panel, which was launched in January 2010, the ALMO has madea number of changes, including making it easier for tenants to move home to aproperty that suits their needs.It has also increased opportunities for resident participation and involvedresidents in the creation of its annual report, enabling them to see first-hand howthe organisation is performing and how it plans to improve.The panel is made up of nine community-spirited tenants from all walks of lifewho share a common passion for delivering excellent service to Wolverhamptontenants and making a difference to the wider community.Margaret Wright, director of performance and customer services atWolverhampton Homes, said: “Our review panel is instrumental to our overalltenant involvement strategy. Ultimately, it means we can create a greater tenantinfluence into all major decisions in order to improve processes and betterservices for everyone.”Family planningSheffield Homes has taken an innovativeapproach to educating young adults about theresponsibilities of parenthood and childbirth.The ‘Baby think it over’ project is run by a localcommunity forum, and uses ‘virtual babies’ preprogrammedwith a wide range of behaviour patternsbased on that of a real-life baby. These are then givento 13-16 year olds and are left with their new ‘mum’ or‘dad’ for the day or even the night.Funded by the ALMO’s Your Communities, YourChoice initiative, the project is designed to‘deglamourise’ teenage pregnancy, teach young peopleabout the pressures of caring for a child, and providethem with information about their future options.Young resident gets involved in ‘Baby think it over’ projectBank of BerneslaiGetting agroove onBerneslai Homes, Barnsley’s ALMO, has actively involved customers inshaping budgets for 2011 and put regular funding for youth projects highon its agenda.Following the comprehensive spending review last year, Berneslai Homes askeda panel of customers for their views on how to save money, with the feedback useddirectly to influence budgets.Comments included reducing the frequency of grass cutting, lowering decorationA Northwards Housing funding and tenantempowerment scheme has helped a new urbandance class for children get on its feet.Supported by the Eric Hobin CommunitySponsorship Fund, the Blackley Street Dance Crewaims to teach five to 16 year-olds new skills andimprove their confidence.Dance group founder Angela Whiteley said: “Thefund has given us the opportunity to give local kidssomething to do so they’re not on the streets. The classmakes them feel like they have something to worktowards. That’s how I started out; I used to come to aclass like this and it made me want to become a danceteacher.”Launched in memory of former Charlestowncouncillor Eric Hobin, who passed away in 2007, thefund provides up to £500 to community improvementprojects and activities that benefit the people of northManchester.DIY essentialsStevenage Homes has been helping tenants tomaintain their own homes via a series of DIYworkshops run in association with keycontractors and suppliers.Stevenage Homes worked with Decent Homescontractors Apollo, Breyer, Mitie and Wheldon’s andsupplier Buildbase to help tenants carry out repairs andmaintenance tasks that do not necessarily require aprofessional contractor, such as decorating, tiling, andbasic plumbing.One participant, resident Abdul Mugalu, said: “Icame along as I really want to tile my bathroom but Iwas quoted £700 for the job by a professional firm.This workshop has given me the skills to do it myself.”Tenants get hands-on with straightforward DIY tasksallowance for new tenants and reducing the size of property ads in the local press.Meanwhile, the ALMO has released more than £7,000 of funding for 16 localyoung people’s groups.These grants are given as part of the annual young persons’ funding pot and aredesigned to benefit the borough by improving engagement with young people. Youthgroups are given the opportunity to apply for grants of up to £500, with the moneyto be spent on trips, equipment, activities and community benefit projects.ALMOs in Action | 7

Tenant voicesIn this special resident engagement edition of ALMOs in Action, we focus onwhat tenants have to say about the ALMO in their area and the impactit has had on their lives.2010 RotherhamResidents Shirley and MelvynDalton, who have lived in theirhome for 38 years, talk about lifeafter 2010 Rotherham and BramallConstruction carried out a retrofitof their property to make it moreeco-friendly and energy efficient:“We have already noticed a realdifference with the heating and levelof noise. It’s almost like having anew home!”Wolverhampton HomesRachael Evans comments on being a member ofWolverhampton Homes’ review panel, which checks that theorganisation keeps its promises to tenants and makesrecommendations for improvement:“This is a unique opportunity to have a real influence. I’ve alreadyachieved a great deal of satisfaction in knowing that my viewshave been listened to and changes have been made.I feel empowered as a tenant.”Northwards HousingCharlotte Grant, chair of the Moorway Court tenants’association in north Manchester, describes howNorthwards Housing has changed things for localresidents thanks to its efforts turning housing stockinto energy-efficient homes, with no charge totenants:“It’s changed our life completely. Some of these tenantshave been here many years, so it’s a different world tothem. The flats are now cosier, the windows are sealed,there’s no more putting money in the meter and it goingout the window, they really are very, very pleased.“They had a choice years ago whether to stay warm oreat. Now they can have both, because it runs a lot cheaper.We used to have a storage heater and the flats werefreezing and draughty. Now that the draughts are sealedand we've got gas central heating, our bills have droppedby £80 a quarter.”Barnet HomesRiffat Waheed on Barnet Homes adaptations that have helped her andhusband Waheed look after their 11-year-old daughter Zoha, whosecondition osteopetrosis has left her blind, unable to talk and needingto use a wheelchair:“Some of the changes may seem like little things, but they have made a hugedifference to us and to Zoha’s happiness. The sliding doors from Zoha’s bedroom tothe bathroom, in particular, means she can have showers, which has improvedher quality of life.”East North EastHomes LeedsAngela Storey, a member of theEast North East Homes Leeds(ENEHL) outer east area panel,which received a cash boost fromthe ALMO to create an attractiveoutdoor community area forresidents at the Seacroft Gateflats:“Thanks to the support of ENEHL,we have had the chance to improvethe environment of our block of flatsand bring all the neighbours together.It has made a real difference.”Hackney HomesNeil Iron, atenant of theHaberdasherEstate, whichworked with itsALMO, HackneyHomes, totransform aconcrete carpark into a community garden:“This has helped local familiesto grow sustainable food and bringthe community together. Everyonehas fresh food on their doorstepand can pick what they need.There is less waste and you cansave money on shopping.”For further information, please contact the NFA at: Rockingham House, St Maurice’s Road, York YO31 7JAT: 0845 4747008 E: almos@hqnetwork.co.uk Website: www.almos.org.uk