Archived decisions

HAMPSHIRE COUNTY COUNCIL

ENVIRONMENT AND TRANSPORTATION POLICY REVIEW COMMITTEE

5 OCTOBER 2006

BRIEFING PAPER BY DIRECTOR OF ENVIRONMENT

RANKING MECHANISM FOR LOCAL BUS SERVICE CONTRACTS

1. Background

1.1 Since October 1986 Hampshire has awarded contracts for socially necessary bus services under the terms of the Transport Act 1985. These contracts have been "ranked" according to their value for money measured as the cost per passenger journey (annual cost divided by annual passengers). A subsidised bus service is not considered to deliver value for money if the cost per passenger is greater than £2.50.

1.2 This mechanism has been a useful basis for making budget decisions. For a variety of reasons, it can now be deemed to be too narrow and somewhat dated. A broader based mechanism needs to include more and wider criteria, especially accessibility and social inclusion. The new mechanism is intended to give each service a score and it will be this score by which services are ranked instead of cost/passenger journey.

2. Key Scrutiny Issues

2.1 In deciding on an approach as to how the issue of Bus Subsidies should be addressed, it may be worth considering the following points:

(i) As this is an issue impacting on most, if not all, County Councillors, should any enquiry involve the maximum number of Councillors possible (not only Members of the Environment and Transportation PRC)?

(ii) Should any enquiry take place within the shortest timescale possible in order to produce timely impact?

(iii) Should the enquiry ask the following questions regarding Bus Subsidies:

(a) What criteria should be included in the Assessment Mechanism for Bus Service Support (suggestions for any topics not currently covered within the criteria)?

(b) What should be the process for consultation on reviewing bus services once the criteria have been applied?

2.2 Information from the County Council's Environment Department regarding any national standards or other guidance on this issue could be collected to help prompt discussions. Case studies on how other councils are approaching this matter may also be useful.

3. Suggested Approach

3.1 One possible approach to this matter is to run a half-day workshop with all County Council Members, to allow full debate of the issues to take place.

C81692/SJ

September 2006