LIMERICKREORGANISATION

IMPLEMENTATION GROUP (LRIG)

Limerick City Council / Limerick County Council

PROGRESS REPORT

to the

MINISTER FOR THE ENVIRONMENT,

COMMUNITY AND LOCAL GOVERNMENT

JULY 2012

Table of Contents

1.0Introduction and Progress to Date

1.1 Introduction

1.2 Overview of Progress

2.0Merging the Management and Administrative Structures

2.1 Methodology

2.2 Appointment of New Manager

2.3 Strategic Vision

2.4 Values and Behaviour Indicators

2.5 Development of Service Unit Plans

2.5.1Methodology for Development of Service Unit Plans

2.5.2Results to Date of Service Unit Planning Exercise

2.6Joint Management and Trade Union Consultative Arrangements

3.0Economic Development and the Rebranding of Limerick

3.1 Preparation of Economic and Spatial Implementation Plan for Limerick

3.2Economic Development Challenge and Role

3.2.1Scope of the Challenge

3.2.2Opportunities for the New Authority

3.2.3Enhanced Economic Development Role for New Authority

3.3Rebranding of Limerick

3.3.1 Limerick – National City of Culture 2014

4.0 Regeneration

5.0Governance Arrangements for the New Authority

6.0Consultation with the Joint Committee of Elected Members

7.0Financial Implications of the Merger

8.0Next Steps

1.0Introductionand Progress to Date

1.1 Introduction

In March 2012, the Limerick Reorganisation Implementation Group (LRIG) presented its Initial Report to the Minister, which was prepared in accordance with the requirements of its Terms of Reference. The purpose of this Initial Report was to:

  • Identify and explore the key issues and challenges involved in merging the two Limericklocal authorities and the Limerick Regeneration Agencies, in the transition phase and post the establishment of the new authority;
  • Identify early priorities and “early wins” in the area of joint service delivery in advance of the new authority being established;
  • Identify the changes in legislation required to enable effective interim joint service delivery arrangements and the establishment of the new authority;
  • Identify the next steps in the reorganisation process.

The following were the main recommendations of the LRIG in this Initial Report:

  1. The Department of the Environment, Community and Local Government (DOECLG) immediately advance the process for the selection of a Manager/CEO Designate to lead the new authority and to act as the Manager of the two existing local authorities until June 2014;
  2. The DOECLG immediately advance with the drafting and enactment of the necessary legislation to provide for the establishment of the single authority by June 2014;
  3. The Department was requested to progress with the preparatory work required in advance of the establishment of an Electoral Area Committee to make recommendations on the number of elected members and the formation of electoral areas for the single authority in 2014;
  4. The senior management structure for the new authority be comprised of a Manager/CEO, 6 Director of Services and 1 Head of Finance, including dedicated Directorates for Regeneration and for Economic Development;
  5. Pending the establishment of the new authority, an Office for Regeneration be set up and a Director of Services be appointed with responsibility for this office who will report to the Manager/CEO designate of the new authority;
  6. LimerickCity and County Councils appoint a dedicated project team from existing staff to assist in the preparation of the Implementation Plan and to oversee the introduction of joint service provision.

It is intended that this Progress Report will provide the Minister with an update on developments in relation to these recommendations and other related matters that are designed to lead to the successful merger of LimerickCity and County Councils in 2014. It is further intended that a comprehensive Implementation Plan detailing the operational and other measures leading to the establishment of the single authority in 2014 will be completed and submitted to the Minister inNovember 2012.

1.2Overview of Progress

Since the Initial Progress Report was prepared in February 2012 work has progressed on a number of fronts by a number of key players engaged on the development of the plans for the merger of the two Limerick Councils and the Regeneration Agencies.

In particular, the Joint Management Teams of the City and County Councils have been involved in:

  • Developing the Strategic Vision and Values for the New Authority;
  • Developing Service Unit Plans for the Directorates within the New Authority Structure;
  • Reviewing Policies, Procedures, Processes and Practices in the two authorities and a view to the development and adoption of appropriate ones fit for the New Authority;
  • Maintaining communication and consultation with staff and Trade Union representatives.

The LRIG together with the Director to the Implementation Group, have been involved in progressing work in relation to:

  • Maintaining effective dialogue with DOECLG officials;
  • The appointment of Consultants to prepare an Economic and Spatial Implementation Plan for Limerick;
  • The identification of an Economic Development Role for the New Authority in partnership with other agencies in order that it may play a leading part in addressing the relatively high level of unemployment in Limerick;
  • The development of a proposal for Limerick to be designated the inaugural NationalCity of Culture for 2014(which was formally awarded by the Minister for Arts, Heritage and the Gaeltacht on 9th July last);
  • Developing proposals in relation to the structures, staffing, roles and responsibilities required to support theLimerick - National City of Culture 2014 initiative;
  • The successful transition from the Regeneration Agencies to the interim arrangements for Regeneration;
  • Governance arrangements for the New Authority
  • Consulting with the Joint Committeeof Elected Members;
  • The appointment of an independent consultant to assistthe Elected Members in the preparation of a submission to a committee established by the Minister in relation to the number of elected members and electoral area boundaries for the new Limerick Local Authority;
  • Overseeing the consultation process between management and trade unionsof both authorities through the Joint Management and Trade Union Forum;
  • Consulting with stakeholders, the Third Level Education Sector Institutions, the LEADER companies, Connect Ireland and others;
  • Overseeing progress on work being carried out by the Joint Management Teams (JMT) of the City and County Councils on a range of matters relating to the merger of the two local authorities.

The following Sections set out in detaildevelopments in relation to the above matters.

2.0Merging the Management and Administrative Structures

2.1Methodology

The senior Management Structure for the new Limerick Authority as envisaged by the LRIG was outlined in the Initial Progress Report to the Minister and approved by the DOECLG and comprises of a Manager, 6 Directors of Services and 1 Head of Finance. There various services provided by both local authorities were then assigned to the Management Structure and agreed with the Joint Management Teams (JMT)of the City and County Councils.

The primary focus of the Joint Management Teams over the past few months has been the design of the organisational and staffing structure required for each service unit that is fit for purpose for the New Authority. Fig. 1 below sets out the key stages in this process.

KEY STAGES IN THE CHANGE PROCESS / TIMELINE

Fig. 1 – Overview of Key Stages and Timeline in the Change Process

The JMT members have been engaged in a series of workshops and planning exercises designed to contribute to the development of joint service delivery arrangements for the transition phase and for the New Authority in 2014.

In particular, they have:

  • Developed the Strategic Vision and Values Statements;
  • Developed Service Unit Plans with Appropriate Substructures and Staffing;
  • Reviewed the Policies, Procedures, Processes and Practices appropriate for the New Authority;
  • Maintained communication and consulted with staff and Trade Union representatives.

Progress in relation to these matters is set out in the following Sub-sections.

2.2Appointment of New Manager

The DOECLG and the Public Appointments Service have advanced the process for the selection and appointment of a Dual Manager/Manager Designate. This has resulted in the appointment of Mr Conn Murray to the post and he will take up office on 15th August 2012. This represents a significant milestone in the merger project. With the New Manager in post the detail of the Implementation Plan can be progressed as appropriate in an orderly and timely manner and key decisions can now be made.

2.3Strategic Vision

The Joint Management Teams (JMT) of the City and County Councils developed a set of Strategic Vision and Values Statements for the New Authority.

The LRIG endorses the work of the JMT and notes the focus in the Strategic Vision Statement on:

  • The new Limerick Local Authority leading in the rebranding and the economic and cultural development of Limerick;
  • The need to lead the economic and physical revitalisation of Limerick City Centre;
  • The social and physical Regeneration of disadvantaged areas in LimerickCity;
  • The importance of the new Authority working in partnership with other public agencies, business and community interests;
  • The need to ensure that the hinterland of Limerick is served with good linkages to the City and the Region to ensure vibrant and sustainable towns, villages and rural communities;
  • The need to ensure that the new Limerick Local Authority and its staff uphold excellence in the design and delivery of the services for which it will have statutory responsibility.

2.4Values and Behaviour Indicators

The six core values for the new Limerick Local Authority identified by the JMT and endorsed by the LRIG are:

  1. Leading Innovation and Change
  2. Local Democracy
  3. Value for Money and Efficiency
  4. Recognising the Contribution of Staff
  5. Quality Customer Service
  6. Excellence and Quality.

It should be noted that Leading in Innovation and Change was seen to be a particularly important value for the new Limerick Local Authority in the light of the challenges facing local government inLimerick.

2.5 Development of Service Unit Plans

2.5.1Methodology for Development of Service Unit Plans

The Joint Management Teams agreed a methodology for developing the Service Unit Plans. Key issues and challenges addressed in this process were as follows:

  • Analysis of current staffing structures and levels
  • Identification of priorities for Service Units within the New Authority Structure
  • Identification of staffing structures and staffing levels required for the delivery of serviceobjectives in the New Authority
  • Identification of efficiencies and cost savings with the new structures and staffing levels
  • Identification of the best location for the service units for the New Authority.

2.5.2Results to Date of Service Unit Planning Exercise

Considerable progress has been made in defining the strategic objectives and priorities for the service units for the Directorates within the new authority Structure. Some preliminary conclusions from the Service Unit Planning exercises are:

  • The combined total staffing of LimerickCity and County Councils is 1,100 serving a population of 190,000. (The preparation of the Workforce Plan will assist in identifyingthe options and potential for payroll savings).
  • There is a need for a further thorough examination of the proposed staffing for the new authority and a clear identification of the areas from which staff can be reassigned to strategic service areas such as the new Directorates of Regeneration and Economic Development and redeployed to other public sector agencies.
  • The policies, procedures, processes and practices currently operating in the City and CountyCouncils will need to be reviewed and analysed with a view to making recommendations on standardising and aligning them to the needs of the New Authority. The aim must also be to capitalise on current good practice such as ISO accreditation and ensure that this is not lost in the merger.

The completed Service Unit Plans will inform the incoming Manager and assist in the making of key decisions in relation to a number of issues including the following:

  • The final staff structure of the various service units;
  • The determination of most appropriate policies and procedures;
  • The timelines for merging the service units (with the exception of Water Services) in a phased manner from early to mid-2013;
  • The location of these service units in the New Authority (Corporate HQ for the new authority likely to be located in City Hall).

2.6Joint Management and Trade Union Consultative Arrangements

A Joint Managementand Trade Union Forum on reorganisation consisting of senior management representatives of both authorities, full-time trade union officials and staff trade union members has been established. The aim of this Forum is to provide for effective communication and consultation with staff and trade unions on all relevant matters relating to the merger of LimerickCity and County Councils.

Staff and the Trade Unions have been kept informed in relation to the development of the Implementation Plan. In particular, they have been advised of the work in relation to the development of Service Unit Plans for the Directorates in the New Authority Structure. The Trade Unions have also been advised of plans to conduct a review of policies, procedures, processes and practices currently operating in the City and County Councils with a view to streamlining and integrating these with a view to making them fit for purpose for the New Authority.

It is accepted that the amalgamation of the two local authorities will result in the movement of staff between the City and County. Management commits to implement this process on a voluntary basis in so far as that can be done. Where that is not possible due to service requirements, the provisions of the Public Service Agreement will apply.

3.0Economic Development and the Rebranding of Limerick

The following measures have already been decided:-

1.Economic Development must be placed at the centre and act as a key driver for the new Limerick Local Authority in order to attract investment and jobs to Limerick;

2.A new properly resourced Economic Development Directorate with distinct business units is to be established within the new local authority;

3.The CEB’s will be dissolved and responsibilities for micro-enterprise support and entrepreneurship promotion transferred to a new Local Enterprise Office (LEO) situated in the officesof the new local authority;

4.The Opera Centre site has been acquired by Limerick City Council and will facilitate the physical regeneration of the City Centre;

5.An Economic Development and Spatial Implementation Planis to be prepared.

TheLRIG conducted extensiveresearch and analysis on the challenges and opportunities facing Limerick. It concluded that the New Authority must play a leading role in the revitalisation, rebranding and economic development of Limerick. The following Sub-sections set out the main conclusions and developments in relation to:

  • The appointment of Consultants to develop an Economic and Spatial Implementation Plan for Limerick;
  • The Economic Development Role of the New Authority;
  • The City of Culture initiative as a cornerstone of the rebranding of Limerick.

The LRIG considers that a range of further measures will be required to underpin the Economic Development Role of the New Authority. These will be further developed in the LRIG Implementation Plan in November 2012.

3.1Preparation of Economic and Spatial Implementation Plan for Limerick

Following a public tendering process, GVA Grimley were appointed lead consultants with AECOM Limited and Thinking Place Limited as part of the consortium. These consultants were appointed to deliver the following services:

“Provision of Economic & Business led multi-disciplinary consultancy services to prepare an Economic Development and Spatial Implementation Plan for the Revitalisation of Limerick City Urban Area. There will be three distinct but integrated elements to the proposal namely:

  1. An economic plan
  2. A spatial implementation plan providing expression of the economic proposal
  3. A marketing plan.”

The consultants have commenced work and are engaging in:

  • A comprehensive analysis of past and current plans, and
  • Consultation with stakeholders through a series of meetings and workshops.

It is expected that the consultants will produce thePlan by October 2012. This Plan will provide a blueprint for attracting investment and jobs to Limerick and for the revitalisation of Limerick City Centre. The Plan will also inform the strategy and future direction for the Economic Development role of the New Authority.

3.2Economic Development Challenge and Role

Item 12 of the Terms of Reference of the LRIG require the:

“Identification of measures to maximise the capacity of local government to contribute to

the economic development of Limerick and the Mid-West Region and in particular, to enhance the role of Limerick City as a generator of growth and a strong and dynamic focus for development of the wider region, supported by extension of the City boundary to include urbanised or partially urbanised areas in Limerick county as recommended by the Limerick Local Government Committee, resulting in increase in the City population to around 100,000 (2006 census).”

The establishment of a new single local authority for Limerick in 2014 provides a unique opportunity for the new local authority to lead the economic recovery of Limerick and to create a new positive image of Limerick built upon its wealth of culture, sport and heritage.

The new Limerick Local Authority will have an annual budget of almost €300M and over 1,000 staff and must play an important and leading role in Economic Development in Limerick and the wider region, including the development of enterprise, the creation of employment and the revitalisation and redevelopment of Limerick City Centre and the Regeneration Areas.

A comprehensive analysis was carried out for the LRIG on the scope of the challenge and the manner in which the New Authority could lead in “Getting Limerick Working”.

3.2.1Scope of the Challenge

In recent years relatively few new FDI investments and jobs have been delivered to Limerick and existing IDA supported companies in the Mid-West Region have seen by far the largest national decline of any region with almost 5,000 jobs being lost between 2006 and 2010. Limerick, with a large urban area at its centre, had an over-reliance on construction related employment during the construction boom of the past decade and the collapse of this sector of the economy has exacerbated the unemployment situation in Limerick.