Contact: Clive Griffiths, ext 7962

1. Summary

1.1 This report clarifies the latest position regarding the collection, processing and reporting of Best Value Performance Indicators (BVPIs) relating to highway network condition. It contains comments concerning the changing Government requirements for these indicators and the effect on future data collection programmes. It also identifies financial and logistical implications, comments on the quality of data collected and relates BVPIs to Public Service Agreements (PSAs).

2. Background

2.1 The collection of condition data fulfils two requirements, to measure the condition of the network for the generation of maintenance programmes and for the provision of Government performance indicators. This report focuses on the needs of data collection to provide these BVPIs.

2.2 The County Council is required to provide performance indicators for highway condition annually. The style, frequency and network coverage of these surveys are defined by the Government. The minimum collection requirements for these annual surveys are: all A roads (approximately 650 kilometres), half of the B and C roads (approximately 1,300 kilometres), a quarter of the unclassified roads (approximately 1,200 kilometres) and half of the heavily used, category 1 and 2 footways (approximately 250 kilometres).

2.3 To date all condition data collection and processing for the production of BVPIs has been undertaken by specialist contractors. The second year of data collection has just been completed and condition indicators are now available for the:

(i) principal road network (A roads);

(ii) B and C road network;

(iii) unclassified network; and

(iv) category 1 and 2 footways.

The attached appendix shows the results of the BVPI surveys and the targets that have been set.

3. Government Requirements

3.1 The Government is aware that condition indicators used primarily by local authorities to operate their maintenance processes are not an ideal measure for performance. Each year the Government refines the rules for collecting and processing the data in an attempt to improve the reporting process. This means that year-on-year comparisons of BVPI results for highway condition indicators need to be interpreted with caution. In addition, the main method for data collection utilises a Coarse Visual Inspection (CVI). This technique is, as the name suggests, a coarse survey and was devised to assess network condition providing priorities for maintenance, not a tool for performance measurement. The Audit Commission has been made aware of the County Council's concerns.

3.2 The latest guidance from the Office of the Deputy Prime Minister (ODPM) is proposing further changes in future years, including the use of automated rut collection on minor roads and the use of TRACS Type Surveys (TTS), initially on the principal road network and later expanding this process to all roads. A TTS is a process which uses electronic data collection techniques to record surface condition from a moving vehicle. These changes will continue to prevent local authorities from analysing their condition information to project deterioration and improvement trends with any degree of accuracy.

4. Survey Costs

4.1 At present the highway maintenance budget provides nearly £300,000 for condition survey data collection annually. Approximately half this sum is currently used to provide data for BVPIs. The remainder is used for the County Council's own needs to monitor the network and plan maintenance operations. The latest guidance for next year does not enforce any changes to data collection; however, the changes proposed by the ODPM for 2004/05 will undoubtedly increase overall survey costs. It is difficult to predict the increase but, using rates quoted by prospective suppliers, the additional costs could be as much as 25%.

5. Best Value Performance Indicator Targets and Public Service Agreement

5.1 BVPI projected targets for the next three years are required for the annual submission to the Audit Commission and are Hampshire's targets based on current condition information and funding, including the additional £3.5 million allocated this year. The principal road (A road) network is considered to be at a satisfactory level of maintenance and the target is therefore to maintain a steady state. For the non-principal road network (B, C and unclassified roads) the targets are for a 5% improvement per annum which equates to just under one percentage point on present BVPI values. It is considered that if 2003/04 funding levels from both the Local Transport Plan and Hampshire County Council are maintained then these targets are achievable.

5.2 If present funding levels are not maintained then it must be assumed that targets will have to be reassessed. This will affect the County Council's and the Government's aspirations to eliminate the backlog of maintenance by 2010 and the County Council's ability to achieve the PSA for an improvement in the condition of B, C and U roads by the end of 2004.

5.3 The PSA is a single agreement concerning the non-principal road network to achieve no further deterioration by the end of 2003 and to improve the overall condition by 0.02 percentage points by the end of 2004.

5.4 It must also be remembered that as well as the need to target road maintenance priorities and to achieve performance targets, local Members have responded to the views from the public in Hampshire. The recent surveys conducted by MORI on behalf of Hampshire County Council have shown that footway maintenance is one of their highest priorities and £2.5 million of the additional allocation for 2003/04 was directed to footways.

5.5 The BVPI targets that Hampshire County Council set itself over the next three years are a little more stringent than those agreed to in the PSA. The lower BVPI targets for principal roads will, however, allow flexibility to divert additional funding to the non-principal road network to achieve the PSA, should this be necessary.

5.6 A small task group of Members was established at the last Committee meeting to consider the targets being proposed by officers prior to the External Auditor's deadline of 30 June. The proposed targets have been approved by this group and are set out in the appendix.

Recommendation

That this Committee comment on the highway condition targets set, note the limitations of data comparison year-on-year and consider the budgetary implications of these targets.

8069/CG

APPENDIX

BVPI Results for 2002/03 (reported June 2003) and Targets