Government of Jersey

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A decision made (16.06.06) to increase the rent of staff accommodation for 2006 - 2007.

Subject:	Staff Accommodation – Rent Increases 2006 - 2007
Decision Reference:	MD-HSS-2006-0035	Exempt clause(s):
Type of Report: (oral (O) or written (W))	W
Telephone or email meeting?		Person giving report (if oral):
Written Report title:	Staff Accommodation – Rent Increases 2006 - 2007
Name of Author:	Mike Le Fevre, Director of Estates and Hotel Services
Date of Report:	7th June 2006			Report File ref:
Decision(s): Approval was given to increase staff accommodation rentals for the period 1st June 2006 to 31st May 2007 as detailed on the attached sheet.
Reason(s) for decision: To reduce the subsidised cost of providing staff accommodation.
Action required: i) Seek approval of Treasurer of the States under Financial Directions 4.1 para 5.11 to 5.14. ii) Director of Estates to increase accommodation charges as detailed.
Signature:			Date of Decision:

Staff accommodation - rent increases 2006 - 2007

STATES OF JERSEY

HEALTH AND SOCIAL SERVICES COMMITTEE

Estate Management Services

Staff Accommodation – Rent Increases 2006 - 2007

1. BACKGROUND

1.1 The Health and Social Services Act No A9 of 3rd June 2005, copy attached, confirmed approval of rent increases for the period 1st June 2005 to 31st May 2006.

1.2 In 2005 the Committee agreed there was no longer a need to maintain its staff accommodation rentals at a level of 10% below the Housing Department due to the large number of flats being built in the Island.

2. PRESENT

2.1 The cost of housing staff including leases, subsidies, servicing, maintenance and administration is presently £400,000 per annum.

2.2 Following a review of last years rentals and comparing them to the Housing Departments rentals, increases of between 2.4% and 10% are recommended. The only exception being Astoria Lodge which is considered to be over rated and its rent is recommended to be reduced by 5%.

2.3 Shared units such as Headinglea, Hollies, Homelea and Peter Crill House are all below market value an in order to offer these to more pay groups (due to present low occupancy levels) it is recommended rentals are increased by 10%, thereby reducing any subsidy to their rental value.

2.4 Domestic and service charges will be increased by cost of living.

2.5 Utility charges such as electricity, oil, rates etc., will be passed on at cost.

2.6 Over the last 12 months, the following pay awards have been made to hospital staff: -

a) Civil Servants - 3.5% from 1st June 2005.

b) Medical Staff - Agreement yet to be ratified.

c) Nursing Staff - 3.5% from 1st June 2005

2.7 Due to some increases being above cost of living (2.4%), it will be necessary to gain approval of the Finance Department.

3. RECOMMENDATION

The Health and Social Services Committee is recommended to:-

i) approve the staff accommodation rent increases as detailed on the attached schedule for the period 1st June 2006 to 31st May 2007.

ii) to seek approval of the Finance Department to increase some of the rents above the rate of inflation of 2.4%.

Mr M Le Fevre

Director of Estates

7th June 2006