Tenant Management Initiatives
TMO Monitoring Procedure
Date Adopted January 2008
Review Date January 2011
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Monitoring Procedure Guidelines for Tenant Management
The council has a statutory responsibility (Right to Manage Regulations 1994) to monitor the
operations of the Tenant Management Organisations. This function is executed by the Tenant
Management Initiatives team through a monitoring framework, focusing on key functions detailed in
the Management Agreement.
Governance (including Equalities)
Policies & procedures
Delegated housing management functions
TMOs are also committed, under their management agreements (new MMA Ch. 8, para. 1.3), to
providing information to enable the Council to meet the requirements of a Best Value authority
under the provisions of Part 1 of the Local Government Act 1999 and orders made under that Part.
In addition, the council also reviews the TMOs’ local operational policies, activities and procedures
in relation to its own so as to be able to make proposals to implement changes and ensure that
housing management services provided by the TMO are equal to council provision.
Monitoring of TMOs
Monitoring of the TMO is aligned against numerous performance indicators;
Best Value Performance Indicators (BVPIs) set by central government
Housing Management performance indicators
TMO own performance indicators
National TMO best practice as encouraged and promoted by the National Federation of
Performance indicators inform the performance monitoring regime. Monitoring Officers test the
practices and procedures of the TMO on a quarterly cycle.
Quarterly Monitoring cycle
1st Quarter (week 1 to 13) End of June
2nd Quarter (week 14 to 26) End of September
3rd Quarter (week 27 to 39) End of December
4th Quarter (week 40 to 52) End of March
2 weeks after the end of the each quarter the TMO is electronically mailed the “Quarterly
data collection form” (see appendix 1)
At the same time the TMO will be required to send digital copies of
o Its quarterly revenue report
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o Agenda papers, including managers’ reports & finance reports, for any meetings in
the quarter for which they have not already been received
o Minutes of any meetings in the quarter for which they have not already been
o Copies of notices and publicity for any meetings in quarter for which they have not
already been received
o Any newsletters issued in quarter
o Dates of meetings for next three months
At the time of the Q2 monitor the TMO will also be required to provide its audited accounts
and balance sheet for the previous financial year.
At the time of the Q3 monitor the TMO will also be required to provide:
o Its budget for the new financial year
o Its training plan for new year
The TMO must submit the completed form, and all other items required, 5 weeks after the
end of the quarter. The deadline for submission is stipulated in the initial request. It must be
returned to the Monitoring Officer with responsibility for that TMO, and not to the Central
The dates on which monitoring returns are received will be recorded, and timeliness of
returns will itself be subject to monitoring and fed back to TMOs. Failure to meet these
deadlines could lead to default action being taken under the management agreement:
Southwark’s model Schedule 3 to Chapter 1 specifies that ‘Consistent, continuing TMO
failure to provide agreed monitoring information, provide agenda sets or allow council
representatives to attend committee meetings’ constitutes a serious failing following which
a breach notice will normally be served.
All monitoring returns and governance-related paperwork will be filed on the G: drive at the
Upon receipt of the completed form the Monitoring Officer must check the information
submitted, liaising with the TMO as necessary, before passing the form (by email) to the
Central Monitoring Officer to input into the main spreadsheet; the form should not be
passed over until the Monitoring Officer is satisfied that it accurate in all particulars. One
particular point to check is that all entries on the form are numeric – text is not acceptable.
Current data must also be checked against previous quarters’ data as shown on the main
spreadsheet, to identify any anomalies or causes for concern.
After checking for accuracy (but before the verification meeting), the Monitoring Officer
must forward the spreadsheet to the Central Monitoring Officer by email, no later than 6
weeks after the end of the quarter concerned.
The main spreadsheet is on the G: drive, in “Monitoring data/2008-09”; the file name is
“TMO Monitoring spreadsheet 2008-09”.
A mutual date is then agreed with the TMO to carry out a monitoring data verification
meeting at the TMO offices to analyse the data received, review performance and address
any local issues; at this visit the TMO should be in a position to issue us a hard copy of the
data collection form. If at all possible an elected officer of the TMO should be present for
the visit. Even if not present an elected officer must have countersigned the data collection
form, verifying the information as true to the best of their knowledge.
Means for verification are specified in detail under the ‘Notes and verification tab’ of the
main TMO Monitoring spreadsheet.
The Central Monitoring Officer is responsible for co-ordinating and electronically recording
monitoring data for each TMO
The Central Monitoring Officer may be in a position to highlight poor performance to the
respective monitoring officer; this may be done at any stage, normally by side by side
discussion of the spreadsheet(s) concerned, but also by email as necessary.
Procedural / Technical Monitoring
This aspect of monitoring targets specific delegated functions.
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For all technical services provided by TMOs, monitoring officers will check at least once a quarter
that all TMO contracts are available for inspection. If the TMO maintains its own approved list,
monitoring officers will also inspect contractors’ equal opportunities policies.
Annual Performance Monitoring
Categories of annual monitoring outlined below:
Annual monitoring is carried out at the end of the 4th quarter. The TMOs are required to submit
data on tenants, leaseholders, TMO membership, equalities, allowances expenditure,
surpluses/reserves, void cost overall tenant satisfaction.
“Annual monitoring data collection form” (see appendix 2) is electronically mailed to the
TMO 2weeks after the end of quarter 4 accompanying the usual quarterly form
The TMO must submit the completed form within 5 weeks after the end of the 4th quarter
and submit electronically to TMT. This must also be submitted in hardcopy, and signed and
countersigned as with the quarterly returns.
Timescales for checking and passing to the Central Monitoring Officer as the same as for
the Q4 return.
The TMO must hold Annual General Meetings (AGM) according to the terms of its Rules, or
(Leathermarket and BGMA only) its Memorandum and Articles of Association, as well as of the
The TMO will provide its’ residents and the council with sufficient notice of the meeting to meet the
requirements of its Rules/Membership & Articles. The monitoring officer must attend the AGM to
oversee the process thus ensuring that AGM business is transacted properly.
The monitoring officer must complete the AGM monitoring form (file on G: drive).
Monitoring and Development Meetings
Ch. 8, s. 3, of the new MMA provides for mandatory Monitoring and Development Meetings to be
held at least every six months for the purposes of
(a) monitoring the performance of the TMO in carrying out its management functions under
(b) monitoring the performance of the Council in carrying out its management functions
under the Agreement.
As provided for in the MMA, following a Monitoring and Development Meeting the Council should
prepare a report on the TMO’s and its own performance, which is not only for internal consumption
but also for forwarding to the TMO’s committee.
What is proposed in Southwark is that the report should be prepared mid-year, using information
gleaned from two monitoring data verification meetings. This report will then be submitted to the
TMO, where it will be discussed at either an ordinary or a special meeting of the committee, this
meeting being regarded as the MMA Monitoring and Development Meeting. For the purpose of
reviewing the Council’s own performance, the Area Liaison Officer for the TMO concerned will also
be asked to attend this meeting.
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The MMA further provides (s. 4) for an Annual Review Meeting, but says this can take the place of
a Monitoring and Development Meeting. This will be Southwark practice.
TMO Annual Review
Within 3 months of the end of the financial year the TMO must produce a Performance Report for
the previous financial year on the performance of the TMO and the Council, in comparison with the
key performance indicators. The Council provides the necessary information for the TMO to
produce the report.
The TMO must send a copy of this Performance Report to the Council and to every tenant,
leaseholder and freeholder (including joint tenants and leaseholders).1
The Annual Review Meeting will be pre-programmed to occur in the week following publication of
the TMO’s Performance Report (either the actual publication date, or the 3 month deadline,
whichever happens soonest). As for the mid-year Monitoring and Development Meeting, the
Annual Review Meeting will form all or part of the agenda of either an ordinary or a special meeting
of the committee.
At the Annual Review Meeting the TMO and the Council will review their respective performance
and decide on the action needed to rectify any deficiencies in the performance of either. This will
therefore also be an opportunity to focus on the development of the TMO for the ensuing year.
For the purpose of reviewing the Council’s own performance, the Area Liaison Officer for the TMO
concerned will also be asked to attend this meeting.
The TMO will then produce a report of the Annual Review Meeting which will be presented to the
TMO’s AGM. The timescale for the production of the report could theoretically be nearly the full
three months, but will be constrained by the date of the AGM.
Each year the council will monitor the effectiveness of the TMO’s equal opportunities policy and
procedures and report to the TMO’s committee on its findings. The TMO must consider the report
and make such changes as the Council may reasonably require ensuring that the TMO complies
with implementing its Equal Opportunities Policy and Procedures (see Chapter 1, clause 10).
This monitoring will cover all the areas specified in Appendix 1 to these Guidelines.
At least every five years the TMO will consult with all its residents through a secret ballot and
anonymous questionnaire to ascertain the effectiveness of the TMO has a housing management
service provider and whether the majority of secure tenants responding wish the TMO to continue.
The monitoring officer must oversee the administration of the ballot and the count.
A review of the TMOs’ performance is undertaken as part of the council’s internal audit programme
agreed by the Chief Officer team.
The review is carried out by the council’s auditors, PriceWaterhouse Coopers. It focuses on the
adequacy of the controls in place and the operation of those controls within the TMO.
The timetable beyond this point, as presented in the MMA, is unworkable, as theoretically 9 months could expire
between the end of the financial year and the presentation of the report of the Annual Review Meeting to the AGM, which
for most TMOs has to be within 6 months of the end of the financial year.
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The review can be modified to test specific operational procedures. It will also assess potential
risks to the TMO as a viable business and the council as the underwriter.
The findings are circulated in a draft report to the Chief Officer team.
The monitoring officer is responsible for drafting a “Performance Improvement Action Plan” (see
appendix 5) seeking to address the highlighted risks and areas of poor performance.
The monitoring officer must present the report to the TMO management committee.
The monitoring officer must appraise the TMO performance on a quarterly basis against the
indicators detailed in the plan. The monitoring officer will guide and support the committee as
After all the current year’s TMO AGMs have been concluded, and all the reports of Annual Review
Meetings have been submitted, the Central Monitoring Officer will collate the reports, and produce
a summary Annual Report for Southwark TMOs. This will be presented to the earliest suitable
meeting of the TMO Liaison Committee, and to senior management.
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Appendix 1: Equalities monitoring
Equal opportunities policy and procedures (Ch. 1 Sch. 2)
Collate & analyse for each TMO, and appraise for conformity to Guidance on
Schedule 2, i.e.:
1. Do the aims reflect the TMO’s responsibilities as a service provider, an
employer and as a democratic organisation?
2. Do the procedures demonstrate how the TMO will achieve its aims in terms
of equal opportunities and as a service provider, an employer and a
3. Do the procedures also enable the Council to fulfil its statutory duties under
the Race Relations (Amendment) Act 2000?
4. Do the procedures describe how breaches will be investigated and dealt
5. Is reference made to the procedures for dealing with disputes and complaints
[Chapter 7 Schedule 4]?
6. For monitoring and review purposes, does the schedule describe what data
will be collected, and how it will be collected and reported?
Provision of statement of equal opportunities policy and procedures
Is a statement of the TMO’s Equal Opportunities Policy and Procedures supplied to:
1. Every member of the TMO;
2. Every person applying for a tenancy of a dwelling?
Collate & analyse for each TMO copies of the records it keeps on:
1. The letting of vacant dwellings and the admission of members;
2. The employment of staff;
3. Committee membership;
4. Racial, neighbourhood or other harassment and tenancy disputes;
5. The appointment of and employment of contractors or consultants; and
6. The delivery of services to the tenants and leaseholders of dwellings.
Collate & analyse for each TMO, having specific regard to understanding of the
meaning of equality of opportunity and how the TMO puts its equal opportunities
policies into practice:
1. Its training report on the previous 12 months;
2. Its training plan for the forthcoming 12 months.
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