Pension Board and Committee – Work Programme

Future Pension Board Agenda
Item	Description	Author
Standing items (items that appear on each agenda)
Pension Committee Agenda	A consideration of the draft agenda of the Pension Committee.	Head of Pensions
Governance Report	A report on governance issues effecting the fund, developments in the LGPS, policy amendments and McCloud working group update	Pensions Manger – Governance and Compliance
Employer Engagement and Contributions Report	A report on Employer Engagement matters to note, Employer Contributions update, Communications from the Fund and Communications working group update	Pensions Manger – Employer Engagement
Pensions Administration report	An update on the performance of the Pensions Administration Team.	Head of Pensions Administration
Internal Audit reports	All internal audit reports on the ESPF are reported to the Board	Head of Internal Audit
East Sussex Pension Fund (ESPF) Quarterly budget report	An update on the ESPF’s budget. This is reported in Q2-4 only.	Head of Pensions
East Sussex Pension Fund (ESPF) Risk Register	A report on the ESPF’s Risk Register	Head of Pensions
Work programme	A report on the Board and Committee’s work programme	Head of Pensions
East Sussex Pension Fund (ESPF) Breaches Log	A report on the ESPF breaches log	Head of Pensions
Employer Admissions and Cessations	A report on the admission and cessation of employers to the ESPF.	Head of Pensions
9 September 2022
Independent Auditors Report on the Pension Fund Account and Annual Report and Accounts 2021/22	A report on the External Audit findings of the Pension Fund financial Statements and the complete 2021/22 Annual Report and Accounts.	Head of Pensions
Covenant Review Report	Report from PWC on the covenant review project	Head of Pensions
Good Governance Decision making matrix	Report to outline the revise the decision-making matrix for the Pension Fund, delegations and representations in line with SAB Good Governance project	Head of Pensions
2022 Actuarial Valuation and Funding Strategy Statement	Report from the Fund Actuary on the March 2022 triennial valuation process, methodology and assumptions with a draft Funding Strategy Statement for approval prior to consultation	Head of Pensions
15 November 2022
Employer Forum Agenda	Discussion on Pension Fund Employer Forum Agenda topics	Pensions Manger – Employer Engagement
Annual Training Plan	Report on Training completed in the year and training recommendations for the up-coming year	Head of Pensions
8 February 2023
Business Plan and Budget 2023/24	Report to set the Budget for the Pension Fund for the Financial Year 2023/24 including the Business Plan with key deliverables for the year.	Head of Pensions
External Audit Plan for the East Sussex Pension Fund 2022/23	Draft External Audit Plan for 2021/22 Pension Fund Financial Statements	Head of Pensions
2022 Valuation report and results and Final Funding Strategy Statement (FSS)	Final report and results from the Fund Actuary of the 31 March 2022 triennial valuation with the final FSS for approval post consultation.	Head of Pensions
Additional Voluntary Contributions (AVC) Report	AVC update report on AVC offerings to members	Head of Pensions
2 June 2023 (TBC)
Governance and Compliance Statement	Annual Review of Governance and Compliance Statement	Governance and Compliance Pensions Manager
Annual Report of the Pension Board	Annual report of the Pension Board to the Scheme manager outlining the work throughout the year	Head of Pensions with the Chair of the Board

Actions requested by the Pensions Board
Subject Area	Detail	Status
Internal Audit reports	The Board requested that internal audit consider an audit of the common data sets provided to the Pensions Regulator	TBC
Scheme administration	The Board requested a report on potential recommendations from the Scheme Advisory Board (SAB) that the Scheme Manager role is removed from local authority control.	Ongoing discussions
Scheme administration	The Board requested a future report on how the ESPF KPIs for pension administration compare with those of other local government pension schemes.	To be provided when new KPI tool implemented
Decision making	To revise the decision-making matrix (including a RACI model) and to circulate it for information.	In progress, to be provided September 2022

Future Pension Committee Agenda
Item	Description	Author
Standing items (items that appear on each agenda)
Governance Report	A report on governance issues effecting the fund, developments in the LGPS, approval of policy amendments and McCloud working group update	Pensions Manger – Governance and Compliance
Pensions Administration report	An update on the performance of the Pensions Administration Team.	Head of Pensions Administration
Internal Audit reports	Internal audit reports on the ESPF and annual audit plan.	Head of Internal Audit
East Sussex Pension Fund (ESPF) Quarterly budget report	An update on the ESPF’s budget - reported Q2-4 only	Head of Pensions
East Sussex Pension Fund (ESPF) Risk Register	A report on the ESPF’s Risk Register	Head of Pensions
Work programme	A report on the Board and Committee’s work programme	Head of Pensions
Investment Report	A Quarterly performance report of the investment managers	Head of Pensions and Investment Consultant
East Sussex Pension Fund (ESPF) Breaches Log	A report on the ESPF breaches log – reported only when a new breach is recognised, or status changed. Report goes quarterly to Board.	Head of Pensions
Employer Admissions and Cessations	A report on the admission and cessation of employers to the ESPF - reported only when outstanding admissions or cessations.	Head of Pensions
17 June 2022
Governance and Compliance Statement	Annual Review of Governance and Compliance Statement	Governance and Compliance Pensions Manager
Annual Report of the Pension Board	Annual report of the Pension Board to the Scheme manager outlining the work throughout the year	Head of Pensions with the Chair of the Board
External Audit Plan for the East Sussex Pension Fund 2021/22	Draft External Audit Plan for 2021/22 Pension Fund Financial Statements	Head of Pensions
Communications Policy	Revision to the Communications Policy	Head of Pensions
Training Policy	Biannual review of the training Strategy	Governance and Compliance Pensions Manager
20 July 2022 (no standing items)
Investment Report including Investment Strategy Review	A Quarterly performance report of the investment managers. Annual consideration on the effectiveness of the Investment strategy and suggested changes to the Investment Strategy Statement.	Head of Pensions and Investment Consultant
Training Item – Growth Equities	Training and discussion item – do growth equities still have a place in a portfolio in economic crisis	External Investment Manager
Training Item – Inflation impact on liabilities	Training and discussion item – how will increasing inflation impact on the Fund liabilities and Funding position.	External – Fund Actuary
Carbon Footprinting	A report on the carbon footprint of the portfolio of ESPF including whether investments are in line with transition pathways.	Head of Pensions
2020 Stewardship Code Submission	Report outlining the Funds compliance with the 2020 Stewardship Code	Head of Pensions
27 September 2022
Independent Auditors Report on the Pension Fund Accounts 2021/22	A report on the External Audit findings of the Pension Fund financial Statements for 2021/22	Head of Pensions
Pension Fund Annual Report and Accounts 2021/22	2020/21 Annual Report and Accounts for approval	Head of Pensions
Covenant Review Report	Report from PWC on the covenant review project	Head of Pensions
2022 Actuarial Valuation and Funding Strategy Statement	Report from the Fund Actuary on the March 2022 triennial valuation process, methodology and assumptions with a draft Funding Strategy Statement for approval prior to consultation	Head of Pensions
30 November 2022
Employer Forum Agenda	Discussion on Pension Fund Employer Forum Agenda topics	Pensions Manger – Employer Engagement
Annual Training Plan	Report on Training completed in the year and training recommendations for the up-coming year	Head of Pensions
22 February 2023
Business Plan and Budget 2023/24	Report to set the Budget for the Pension Fund for the Financial Year 2023/24 including the Business Plan with key deliverables for the year.	Head of Pensions
External Audit Plan for the East Sussex Pension Fund 2022/23	Draft External Audit Plan for 2021/22 Pension Fund Financial Statements	Head of Pensions
2022 Valuation report and results and Final Funding Strategy Statement (FSS)	Final report and results from the Fund Actuary of the 31 March 2022 triennial valuation with the final FSS for approval post consultation.	Head of Pensions
Additional Voluntary Contributions (AVC) Report	AVC update report on AVC offerings to members	Head of Pensions
15 June 2023 (TBC)
Governance and Compliance Statement	Annual Review of Governance and Compliance Statement	Governance and Compliance Pensions Manager
Annual Report of the Pension Board	Annual report of the Pension Board to the Scheme manager outlining the work throughout the year	Head of Pensions with the Chair of the Board

Actions requested by the Committee
Subject Area	Detail	Status
Beyond Oil and Gas Alliance	Paper discussed at February 2022 meeting to provide members with information on the Beyond Oil and Gas Alliance so Committee members have sufficient information to consider if they want to issue a public statement, calling on the UK Government to commit to becoming a core member of the Beyond Oil & Gas Alliance – Committee asked for officers to see if IIGCC have any recommendations in relation to this reliance	Request with IIGCC and PRI, feedback will be provided to committee when received

Current working groups
Title of working group	Detail and meetings since last Pensions Board and Committee meetings	Membership
Investment Implementation Working Group (IIWG)	The Investment Working Group and ESG working group have been amalgamated, as agreed at Pensions Committee 21 September 2020. The IIWG has an advisory role to over oversee the implementation of decisions by the Pension Committee in relation to investment decisions and carry out detailed research and analysis for Pensions Committee. Recent meetings · 28 January 2022 · 15 March 2022 (catch up call on actions) · 29 April 2022 (workplan discussion)	William Bourne, Russell Wood, Sian Kunert, Representative from Investment Consultant Cllr Fox or substitute committee member is invited to attend
Administration Working Group	The Administration Working Group was set up in 2021 following the conclusion of the ABS and Data Improvement Working Group. The group discuss ongoing administration projects and areas of administration focus Recent meetings · 28 March 2022 Scheduled · 5 July 2022 · 16 August 2022 · 18 October 2022 · 15 December 2022	Cllr Fox, Ray Martin, Stephen Osborne, Paul Punter, Sian Kunert, Ian Gutsell Vacancy for Scheme Member Rep
McCloud Working Group	The McCloud Working Group has been established to oversee the implementation of the McCloud ruling within a prescribed timeframe and addressing any gaps and barriers preventing progress and ultimately delivery of the project. A high-level impact assessment has been completed to identify those members of the scheme that will be affected by this ruling. The Group have acknowledged there are many data requests of employers and this project needs to be managed carefully with other demands on employers time. Recent meetings · 12 January 2022 – supported by Hymans	Cllr Fox, Stephen Osborn, Lynda Walker, Paul Punter, Sian Kunert, Dave Kellond
Communications Working Group	The Communications Working Group was established by the Pensions Board in February 2021 to drive forward improvements in communications with stakeholders with support from employee and employer representatives. Recent meetings · 28  February 2022 · 28 April 2022 Scheduled meetings · 9 June 2022 · 14 September 2022 · 9 November 2022	Lynda Walker, Ray Martin, Cllr Druitt, Sian Kunert, Tim Hillman, Paul Linfield Note - All Board members invited to attend

Training and Development - recent and future events

Invited:	Date	Topic	Committee	Board
O + C	20-21 Jan 22	LGPS Governance Conference 2022 - Bournemouth Scheme Advisory Board update • Divest now? • The scheme member’s view • Valuation 2022 - a panel of experts • Cyber security and pension scams • McCloud judgment • Legal update • The Regulators  • Investment outlook	Cllr Fox
B + C + O	27-Jan-22	Valuation -  Barnett Waddingham • Purpose and objectives of the valuation • Valuing the assets and liabilities - methodology and approach • Data - requirements and the importance of data quality • Assumptions - how these are determined and their impact on results • A look back at the 2019 funding position and what we might expect at 2022 • Hot topics impacting the valuation	Cllrs Fox, Hollidge, Hilton, Redstone	Ray Martin, Linda Walker, Niki Polermo, S. Osborn, Cllrs Illingworth, Druitt
B + C + O	28-Mar-22	Impact Investment - Pensions for Purpose • Introduction to Pensions for Purpose; • What is impact investing? Introducing the spectrum of capital; • Overview of the Impact Investing Principles for Pensions - Impact-Investing-Principles-for-Pensions.pdf (impactinvest.org.uk) - and why pension funds should consider impact when they invest, including setting net zero targets; • What impact investments look like across public and private markets; • Tools to help support impact investment implementation.	Cllrs Hilton, Fox
B + C + O	28-Apr-22	Overview of the Local Government Pension Scheme, Designed especially for new members of LGPS Boards or Committees, and LGPS officers too. Also useful for anyone who wants to touch up their knowledge. They will also provide online networking opportunities. Topics: • The LGPS • Benefit Summary & Employee Costs • Employer Costs & Cost Caps • Governance		Neil Simpson
B + C + O	11-May-22	Climate Change and TCFD - Uni of Sussex & Izzy • Fundamental science of the earth’s climate system • Observe the changing patterns in earth’s climate (e.g. temperature, rainfall) • Why the earth’s climate is changing and the evidence • How future climate is projected using global models under different scenarios • Predicted changes and impacts globally and for the UK under different scenarios TCFD • Introduction, objectives and Agenda • Climate change and financial stability • An introduction to the TCFD • Key Themes and topics • The TCFD Recommendations and examples of application • TNFD reporting • Practical next steps • Reflection and Summary	Cllrs Taylor, Hollidge, Redstone	Ray Martin
B	18-May-22	CIPFA's Annual Conference for Pension Board Members
C + O	25-26 May	Investment conference After the government’s rallying cry to ignite an investment ‘big bang’, coupled with rising inflation and the continuing economic reverberations of the pandemic, how can pension investors adjust to the new environment, meet their responsibilities, and rise to the challenge?  Join us to discuss climate-aware investing, value for money and the productive finance agenda. It’s a changed world. What does it all add up to? Where is the next big risk?
O + C + B	13-15 June	PLSA Local Authority Conference • Responsible Investment, including DLUHC’s consultation on new reporting regulations. • Asset pooling in the LGPS – what should the pools be doing for the funds? • Results of the PLSA’s own Local Authority research project. • How pensions dashboards will work in the LGPS, and how funds can get ready for them.
B	22-Jun	Local Pension Board Members. latest updates on governance and the LGPS from key industry players.: Scheme Advisory Board update; DLUHC update; tPR update; Triennial Valuations; Legal update		Neil Simpson