Archived decisions
AT A MEETING of the FINANCIAL AFFAIRS PANEL of the HAMPSHIRE POLICE AUTHORITY held at Westgate Chambers, Winchester on Friday 24 May, 2002
PRESENT:
Mr. M.J. Attenborough-Cox (Chairman); Mrs. L Cawsey, JP; Councillor A. Collett; Councillor S. Hayes; Mr. R. Palmer.
Also present: Mr. E. Knudsen (Treasurer's Department); Mr. P. Jacobs (Assistant Chief Constable); Mr. M. Coombes (Director of Finance, Police HQ)); Chief Supt. G. Stogdon; Ms. J. Simms (Corporate Services Police HQ); Insp. G. Aston; Mr. C. Stimpson (Police Headquarters); Ms. C. Vagg and Mrs. M. Boyes (Clerk's office).
182. APOLOGIES
Apologies were received from Councillor P. Heath and Mr. P. Robertson (Clerk).
183. MINUTES
The Minutes of the meeting of the Panel held on 5 February, 2002 were confirmed as a correct record and signed by the Chairman.
184. DISTRICT AUDIT REPORT - RELATIONSHIP BETWEEN HEADQUARTERS AND BASIC COMMAND UNITS
The Panel considered a report of the Chief Constable (Item 3 in the Minute Book) on a review carried out by District Audit on the relationship between Headquarters and Basic Command Units. A draft of the review report was attached as an Appendix to the report.
Representatives of District Audit presented the report to the Panel including the outcomes and findings of the review and the agenda for action. Members noted that the review had been conducted over a three month period and had focused on four police divisions, Southampton, Portsmouth, Eastleigh and North East Hampshire. The methodology had included interviews with members of the ACPO team and department heads of selected support departments.
The Director of Finance indicated that one critical issue was whether devolved management actually improved the service provided. In this respect, establishing evidence though was difficult. Although the national agenda was persuasive the issue of costs had to be borne in mind. In addition, support to divisions needed to be more streamlined and include good systems of financial control.
The Assistant Chief Constable also added that, when compared to other forces, Hampshire had achieved improvements in all quartile positions, which could be attributed to the better application of savings although establishing the actual reasons would be difficult.
Members thanked District Audit for a very good presentation and asked to be kept uptodate on progress in relation to all of the recommendations.
The Director of Finance advised the Panel that, as a result of the District Auditor's report, the devolved pay budgets pilot would now run until April, 2003. It was felt however that, depending on the position at the half year stage, the pilot might be further extended to a more rural division and eventually phased in gradually across the Force area.
In conclusion, Members expressed concern around the effort being expended to deliver the national agenda in relation to BCU inspections and working with the Standards Unit at the possible expense of public confidence at local level.
RESOLVED:
(a) That the response to District Audit report be noted and that the majority of the recommendations be addressed once the pilot in the two cities had run their course and had been evaluated.
(b) That the Authority support the deferrals of further devolving pay budgets to other divisions until April, 2003.
(c) That the Authority and ACPO declare their commitment to further devolvement subject to the pilots being evaluated as a success and that, whilst it is recommended that the Force accept the District Audit advice to delay devolution to other divisions until April, 2003, and in view of the desire to maintain the momentum built up so far in the two cities, the Force will consider extending the current pilots to include other budgets, such as travelling and subsistence, from October, 2002 and a further devolved pay pilot in a rural division from the same date.
185. PROGRESS REPORT ON DEVOLUTION OF PAY BUDGETS TO SOUTHAMPTON AND PORTSMOUTH
The Panel considered a report of the Chief Constable (Item 4 in the Minute Book) on the progress made on the devolvement of police and support staff pay budgets to the Portsmouth and Southampton Divisions. The Director of Finance, advised the Panel that some more work needed to be done to establish the benefits of the devolved budgets. However, the schedule attached to the report produced by Southampton and Portsmouth Divisions showed how the divisions had been able to make good use of savings to the benefit of those divisions.
Members asked that a Divisional Commander from either Portsmouth or Southampton Division be invited to attend the meeting of the Panel in September to provide a view on how the devolvement of budgets was working within their division.
RESOLVED:
That the report be noted and a further progress report be presented at the Panel's meeting in September.
186. MARCH, 2002 SALARIES
The Panel considered a report of the Chief Constable (Item 5 in the Minute Book) in respect of the delayed payment of the police payroll in March, 2002.
The Director of Finance advised the Panel that, with the agreement of the Treasurer, the District Auditor had been asked to undertake an independent review of events leading up to the 15 March, with particular emphasis on assessing whether the arrangements that were in place for the new payroll system were adequate to prevent a reoccurrence. The findings of the District Auditor were attached to the report as was the report produced for the County Treasurer, by Hampshire County Council's District Auditors.
RESOLVED:
That the report be noted.
187. NEW FINANCIAL SYSTEMS UPDATE - PROGRESS REPORT
The Panel considered a report of the Chief Constable (Item 6 in the Minute Book) setting out the latest position on the implementation of both the general ledger system and the payroll system - known as Resourcelink.
RESOLVED:
That the position on both financial systems be noted.
188. REVENUE AND CAPITAL BUDGETS 2001/02 - FOURTH QUARTER MONITORING REPORT
The Panel considered a report of the Chief Constable and Treasurer (Item 7 in the Minute Book) on the net revenue expenditure at the end of March, 2002 which indicated there would be a marginal overspend against the revised budget approved by the Authority in January, 2002.
The Director of Finance advised the Panel that the overspend related as predicted to police pensions, but, that it was too early in the close of accounts process to predict the actual position on other areas of the budget. The overspend on police pensions would be met from within the pensions reserve which had been anticipated when the revised budget was approved.
Appendix 2 of the report provided a monitoring statement for capital expenditure and compared expenditure (including commitments) to the end of March, 2002 with an updated capital programme.
The Director of Finance advised the Panel that a lot of work still had to be done before the final accounting entries could be made. The actual final position, subject to audit, would be reported to the Panel at its next meeting.
RESOLVED:
That the fourth quarter position on the revenue and capital budgets be noted.
189. INSURANCE AND RISK MANAGEMENT
The Panel considered a report of the Chief Constable and Treasurer (Item 8 in the Minute Book) providing an overview of the insurance renewal exercise undertaken last year by SEERPIC (South East and Eastern Regional Police Insurance Consortium) and insurance tendering arrangements for 2002, as well as an update on regional risk management work.
The Director of Finance introduced the report and advised Members of the aviation insurance increase in 2002/03 for the force aircraft. He indicated that he had written to PITO expressing concern at the impending increase and seeking an explanation as to how the events of 11 September, 2001 had increased the risks under this policy.
RESOLVED:
That the report be noted.
(NB: The Panel considered the confidential appendices attached to the report with the press and public excluded. See below.)
190. SINGLE TENDER AND EXCEPTIONS REPORT - QUARTER 1 (JANUARY- MARCH, 2002
The Panel considered a report of the Chief Constable (Item 9 in the Minute Book) on contracts awarded under single tender procedures (2.8.3) Standing Orders on Contracts and acceptance of tenders for the period 1 January, 2002 to 31 March, 2002.
RESOLVED:
That the report be noted.
191. INTERNAL AUDIT PROGRESS REPORT AND ANNUAL PLAN 2002/03
The Panel considered a report of the Treasurer (Item 10 in the Minute Book) on the progress of work by Internal Audit included in the 2001/02 audit plan. Included within the report for the attention of Members was the detailed plan for the 2002/03 financial year for Internal Audit allowing for a total of 296 planned days.
RESOLVED:
(a) That the progress on the 2001/02 Internal Audit Plan be noted.
(b) That the Internal Audit Plan for 2002/03 be approved.
192. DISTRICT AUDIT PLAN 2001/02
The Panel considered a report of the Treasurer (Item 11 in the Minute Book) on the plans for external work for the audit year 2001/02 which runs to 31 October, 2002.
RESOLVED:
That the external audit plans for 2001/02 be approved.
193. EXCLUSION OF THE PRESS AND PUBLIC
That, by virtue of Paragraphs 7, 8 and 9 of Part I of Schedule 12A of the Local Government Act 1972, the press and public be excluded from this part of the meeting.
194. INSURANCE AND RISK MANAGEMENT
Further to Minute 189 above, the Panel considered the policies covered within the confidential appendices and sought clarification on various issues. In addition, Members requested a copy of the Personal Accident Policy.
RESOLVED;
That the content of the appendices be noted.
195. TECHNICAL SERVICE UNIT RELOCATION
The Panel considered a confidential report of the Chief Constable (Item 13 in the Minute Book) on the full business case to relocate the Technical Service Unit TSU.
The Director of Finance introduced Inspector G. Aston and Mr. C. Stimpson, Facilities and Properties Manager, who outlined in detail the two sites that had been appraised (Site A and Site B).
Following discussion, the Panel requested that the officers undertake further without prejudice negotiations in relation to Site A, prior to the next meeting of the full Authority.
RESOLVED:
(a) That, the purchase and fitting/equipping of the Site A option be supported.
(b) That, it be a RECOMMENDATION to the full Authority that the sum of £3,080,000 be included in the capital programme for 2002/03 and that the capital programme be amended as shown at Appendix C to the report.
(c) That, it be a RECOMMENDATION to the full Authority that delegated authority be given to the Clerk, Chief Constable and Treasurer in consultation with the Estates Working Party to proceed to purchase the property.
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