HERTFORDSHIRE COUNTY COUNCIL C
COMMUNITY SAFETY CABINET PANEL
THURSDAY 8 JANUARY 2009 AT 10.00 A.M.
COMMUNITY SAFETY STANDSTILL BUDGET 2009/10 – 2012/13
Joint Report of the Chief of Fire Officer, Head of Trading Standards, the Head of Crime and Drugs Strategy Unit, the Head of Statutory Services, the Head of Safety, Emergency and Risk Management Unit and the Finance, Information and Commercial Services Director.
Author: Tolu Cliffe, Finance Manager, Corporate Services
Tel : 01992 555391
Executive Member: Richard Smith
1. Purpose of the Report
1.1 To allow the Cabinet Panel to consider the standstill budget position, capital programme bids and strategic compasses for Community Safety. The appendices to this report provide information on:
· a standstill budget of £45.745 million for the Community Safety portfolio in 2009/10 (Appendices 1B & 1C).
· Capital Programme bids totalling £4.975 million including annual provisions of £0.520 million (Appendix 2). Business cases for schemes can be obtained by contacting Chris May in Corporate Finance (01992 555325).
· Strategic Compasses for the service (Appendix 3).
1.2.1 To make recommendations/comments as appropriate. These will be considered by Policy and Resources Cabinet Panel on 15 January. Any comments/recommendations will be considered by Cabinet on 2 February 2009, along with the latest information on resources and the outstanding uncertainties. At its meeting on
2 February Cabinet will make its budget proposals. These will then be considered by each of the service panels, following which Overview and Scrutiny Committee on 12 February will make consolidated comments to Cabinet. Policy and Resources Cabinet Panel on 12 February will then consider any further comment from service panels or Overview and Scrutiny Committee and make recommendations to Cabinet. Cabinet on 16 February will recommend a budget to Council. The County Council will agree the budget and council tax level on 24 February.
1.3 New Fire Capital Grant
The Department for Communities and Local Government has announced additional capital funding of £78m for fire and rescue services in England. In issuing this capital the Minister, Sadiq Khan, indicated that the intention was for service’s to use the capital to improve their building stock. This grant will be distributed in 2009/10 and 2010/11, the amounts for Hertfordshire being £738,783 in 2009/10 and £947,327 in 2010/11
2. Recommendation
2.1 The Panel is invited to consider any recommendations / comments that they may wish to make to the Policy & Resources Cabinet Panel on the revenue budget and capital programme bids set out in this report.
APPENDIX 1
PORTFOLIO: COMMUNITY SAFETY
STANDSTILL REVENUE BUDGET 2009/10 - 2012/13
APPENDIX 1 - CONTENTS
A Commentary
B Fire and Rescue
C Trading Standards
D Crime and Drugs Strategy Unit
E Coroners Service
F Registration Service
G Emergency Planning
APPENDIX 1 A
COMMENTARY
1.1 Appendices 1B to 1G outline the inflation and cost pressures facing the Community Safety portfolio in 2009/10 and the medium term. This gives rise to 2009/10 standstill budgets after efficiency savings (excluding capital charges and the FRS17 pension adjustment) as follows:
£’000Fire & Rescue / 37,175
Trading Standards / 3,026
Crime & Drugs Strategy Unit / 2,824
Coroners Service / 1,052
Registration Service / 979
Emergency Planning / 689
Total Community Safety / 45,745
1.2 The cashable efficiency savings which have been identified by Executive Members and Chief Officers are summarised below with further details provided in Appendices 1B to 1G.
Fire & Rescue£’000 / Trading Standards
£’000 / Crime & Drugs Strategy Unit
£’000 / Coroners
£’000 / Regist’n
Service
£’000 / Emergency Planning
£’000
FYE of Previous Efficiencies - Value for Money Savings
FYE of Previous Efficiencies - Other Savings / - / - / 500 / - / - / -
2009/10 Value for Money Savings / 50 / 27 / - / 15 / 14 / 20
2009/10 Other Savings / - / 73 / - / - / 15 / -
Total / 50 / 100 / 500 / 15 / 29 / 20
2
APPENDIX 1 B
REVENUE BUDGET 2009/10 – 2012/13
AND MOVEMENT FROM CURRENT YEAR’S BUDGET
FIRE & RESCUE
Chief Fire Officer: Roy Wilsher (01992 507501)
Contact for queries: Mark Yates (01992 507503)
2009/10 / 2010/11 / 2011/12 / 2012/13£’000 / £’000 / £’000 / £’000
2008/09 Original Budget / 36,462 / 36,462 / 36,462 / 36,462
Less one-off funding / (280) / (280) / (280) / (280)
Technical Adjustments 2008/09 / (73) / (73) / (73) / (73)
Technical Adjustments 2009/10 / 0 / 0 / 0 / 0
Adjusted Budget / 36,109 / 36,109 / 36,109 / 36,109
Inflation / 1,063 / 2,126 / 3,189 / 4,252
Base Budget / 37,172 / 38,235 / 39,298 / 40,361
Pressures for Change:
Legislative Changes:
(a) Changes in Working Time Directive / 1 / 1 / 1 / 1
(b) Driver Training / 36 / 36 / 36 / 36
Other Pressures:
(a) Business Rates / 9 / 16 / 24 / 24
(b) LGPS employer's contributions / 46 / 46 / 46 / 46
(c) Capital Payback / 6 / (74) / (137) / (189)
(d) Regional Management Board / 5 / 25 / 25 / 25
(e) Reduction in employers contributions / (50) / (50) / (50) / (50)
Total Pressures for Change / 53 / 0 / (55) / (107)
STANDSTILL BUDGET BEFORE EFFICIENCIES / 37,225 / 38,235 / 39,243 / 40,254
2009/10 Cashable Efficiency Savings - Value for Money
(a) Efficiency adjustments to Various Budgets / (50) / (50) / (50) / (50)
Total 2009/10 Cashable Efficiency Savings / (50) / (50) / (50) / (50)
STANDSTILL BUDGET AFTER EFFICIENCIES / 37,175 / 38,185 / 39,193 / 40,204
APPENDIX 1 B (continued)
PRESSURES FOR CHANGE // £’000 /
Legislative Changes /
(a) Changes in Working time Directive
In line with the amendments to the Working Time Regulations 1998, from 1st October 2007 holiday entitlement for temporary staff increased. This is the full year effect of the changes implemented in 2008/09. / + 1 / 2009/10
onwards
(b) Driver Training
Changes to the Road Traffic Act 2006 have imposed a requirement on the Service to ensure all blue light drivers are trained and assessed to a new standard. The Service has until January 2010 to implement and then to facilitate a rolling programme, which will be purchased from an external provider. / +36 / 2009/10
onwards
Other Pressures
(a) Business Rates
This relates to the estimated additional costs arising from the 2006 revaluation of property for rating purposes. / + 9
+16
+24 / 2009/10
2010/11
2011/12
onwards
(b) Local Government Pension Scheme (LGPS) employer’s contributions
Estimated cost of the increase in employer’s contribution towards the Local Government Pension Scheme. / +46 / 2009/10
onwards
(c) Capital Payback
Pay back associated with schemes funded by the general capital programme. / + 6
(74)
(137)
(189) / 2009/10
2010/11
2011/12
2012/13
(d) Regional Management Board
Payment to the regional management board to support the collaborative work of various work streams. / + 5
+ 25 / 2009/10
2010/11
onwards
(e) Reduction in employer contributions
Estimated cost reduction in employers pension contributions as a result of the introduction of the new fire fighters pension scheme 2006. / (50) / 2009/10
onwards
APPENDIX 1 B (continued)
CASHABLE EFFICIENCY SAVINGS2009/10 Cashable Efficiency Savings
Value for Money (previously Gershon)
(a) Efficiency adjustment to Various Budgets
This level of saving can be achieved by more effectively managing certain budgets headings. / (50) / 2009/10
onwards
8
APPENDIX 1 C
REVENUE BUDGET 2009/10 – 2012/13
AND MOVEMENT FROM CURRENT YEAR’S BUDGET
TRADING STANDARDS
Head of Trading Standards: Guy Pratt (01727 813849)
Contact for queries: Tolu Cliffe (01992 555391)
2009/10 / 2010/11 / 2011/12 / 2012/13£'000 / £'000 / £'000 / £'000
2008/09 Original Budget / 2,970 / 2,970 / 2,970 / 2,970
Technical Adjustments 2008/09 / (7) / (7) / (7) / (7)
Technical Adjustments 2009/10 / 0 / 0 / 30 / 30
Adjusted Budget / 2,963 / 2,963 / 2,993 / 2,993
Inflation / 69 / 138 / 207 / 276
Base Budget / 3,032 / 3,101 / 3,200 / 3,269
Pressures for Change:
Legislative Changes:
(a) The Regulatory Enforcement and Sanctions Act 2008 / 23 / 23 / 23 / 23
Other Pressures:
(a) Business Rates / 1 / 2 / 3 / 3
(b) LGPS employer’s contributions / 23 / 23 / 23 / 23
(c) Revenue Effects of Telecom / (3) / (3) / (3) / (3)
(d) Rent / 5 / 0 / 0 / 0
(e) Proceeds of Crime Act 2002 / 45 / 45 / 45 / 45
Total Pressures for Change / 94 / 90 / 91 / 91
STANDSTILL BUDGET BEFORE EFFICIENCIES / 3,126 / 3,191 / 3,291 / 3,360
2009/10 Cashable Efficiency Savings - Value for Money
(a) EETSA Business Advice Project / (23) / (23) / (23) / (23)
(b) Trading Standards on-line services / (4) / (4) / (4) / (4)
2009/10 Cashable Efficiency Savings - Other
(a) Increased income Explosive licensing / (5) / (5) / (5) / (5)
(b) Increased income Weighbridge / (6) / (6) / (6) / (6)
(c) Increased income Metrology laboratory income / (5) / (3) / (2) / (2)
(d) Prosecution cost recovery / (5) / (5) / (5) / (5)
(e) Reduced mobile phone costs / (3) / (3) / (3) / (3)
(f) Reduced furniture costs / (4) / (4) / (4) / (4)
(g) Increased income from Proceeds of Crime Act 2002 / (45) / (45) / (45) / (45)
Total 2009/10 Cashable Efficiency Savings / (100) / (98) / (97) / (97)
STANDSTILL BUDGET AFTER EFFICIENCIES / 3,026 / 3,093 / 3,194 / 3,263
8
APPENDIX 1 C (continued)
PRESSURES FOR CHANGE/ £’000 /
Legislative Changes /
(a) The Regulatory Enforcement and Sanctions Act 2008
This Act places new duties on the way local authorities support businesses and requires the setting up of ‘Primary authority partnerships’ effective from 1 April 2009. Legislation requires the equivalent of 2.5 officers but does allow for cost recovery from businesses if a ‘Primary authority partnership’ is entered into. The net additional resource required is 0.5 officer. / +23 / 2009/10
onwards
Other Pressures
(a) Business Rates
This relates to the estimated additional costs arising from the
2006 revaluation of property for rating purposes. / + 1
+ 2
+3 / 2009/10
2010/11
2011/12
onwards
(b) Local Government Pension Scheme (LGPS) employer’s contributions
Estimated cost of the increase in employer’s contribution towards the Local Government Pension Scheme. / + 34
+ 61
+ 70 / 2009/10
2010/11
2011/12
onwards
(c) Revenue Effects of Telecoms
These are the authority’s revenue consequences of undertaking telecommunications capital works. / (3) / 2009/10
onwards
(e) Rent
The lease for the Trading Standards premises (45 Grosvenor Road, St Albans) runs from the 1 May 2005 until the 30 April 2015 with a break option on 30 April 2010 subject to giving not less that six months notice.
The rent is currently subject to a rent review process that began on 24 June 2008. LSH are representing HCC in this anticipated increase. / +5 / 2009/10
only
(f) Proceeds of Crime Act 2002
The cost of an officer to undertake this work. / +30 / 2011/12
onwards
9
APPENDIX 1 C (continued)
CASHABLE EFFICIENCY SAVINGS/ £’000 /
2009/10 Cashable Efficiency Savings /
Value for Money (previously Gershon)
(a) EETSA Business Advice Project
EETSA (East of England Trading Standards Authorities) have commissioned and undertaken an innovative trading standards business advice project. This will establish a robust regionalised approach to providing Trading Standards business advice and information. This will generate efficiencies for each Authority within the region by sharing the resources required to keep information up to date and consequently avoiding the duplication of work while at the same time ensuring uniformity of advice and information for businesses. This will generate year on year savings of 0.5 officers. / (23) / 2009/10 onwards
(b)Trading Standards on-line legislative services
Re-evaluation and re-negotiation of the Service’s needs in this area will generate year on year savings. / (4) / 2009/10 onwards
2009/10 Cashable Efficiency Savings - Other
(a) Explosive Licensing
2007/2008 fees indicate that the Service may be able to meet an additional income in this area. / (5) / 2009/10
onwards
(b) Weighbridge
Negotiations with the Police and VOSA have resulted in additional income for future years. / (6) / 2009/10
onwards
(c)Metrology laboratory Income
The closure of a competitor laboratory has provided additional income opportunities for the Service’s Metrology Lab. With effective marketing, estimated income is as stated. / (5)
(3)
(2) / 2009/10
2010/11
2011/12
onwards
(d) Prosecution cost recovery
Increased income due to increased number of cases taken / (5) / 2009/10
onwards
(e) Mobile Phone charges.
Overall reduction in costs due to staff no longer using mobiles to access Citrix via laptops / (3) / 2009/10
onwards
APPENDIX 1 C (continued)
£’000(f) Furniture
New ways of working (TWWW) means this budget will be no longer required. / (4) / 2009/10
onwards
(g) Additional income from Proceeds of Crime Act 2002
The income allocation for Proceeds of Crime Act 2002 represents the cost recovery figure for employing an officer to undertake this work. This is not anticipated year on year consistent income, and will always be subject to a fairly high level of uncertainty because ultimately it is for a Court of Law to decide on income allocated. Financial investigations are first and foremost are about deterrent to crime and taking money off of criminals. Experience amongst Financial Investigators shows that new cases come in quicker than ongoing ones are disposed of so, and that cost recovery needs to be considered over a long period (3 years or more). Once income starts to be recovered there is an expectation that any shortfall in income from previous years will be met by income received in future years. It might also be the case that a large amount of monies recovered at any given time will also serve to cover any shortfall in future years. / (45) / 2009/10
onwards
APPENDIX 1 D