Hampshire Fire and Rescue Authority Item 13

9 December 2009

Review Of The Existing HFRA Members' Allowances Scheme

Report of the Clerk

Contact: Mr. K. Ridout on 01962 847356.

1. Introduction

1.1. At their meeting on 25 November 2009 the Panel had brought to their attention by the Clerk, the following in relation to its deliberations:

(a) In approving the Allowances Scheme for 2008/09, on 10 December 2008 the Authority resolved that "it does not consider that a full review of the Members' Allowances Scheme is necessary in 2009, but that the Independent Remuneration Panel be asked to consider applying for the next three years an annual increase in the allowances which reflects the annual pay award to non-uniformed officers for fire authorities".


(b) At its meeting on 25 March 2009, the Authority agreed in principle to a special responsibility allowance of £2,000 per annum being paid to the Authority's Board Director on the South-East Fire and Rescue Control Centre Limited. Incorporation of this principle, by way of amendment to the Allowances Scheme, is subject to prior consideration by the Panel; and


(c) The Chairman of the Authority has indicated that he is minded to recommend a zero percentage increase in allowances for 2010/11.

1.2. After careful consideration, the Panel have proposed that Basic and Special Responsibility Allowances be frozen at existing rates for 2010/11, that a full appraisal of the Members' Allowances Scheme be undertaken during 2010/11, with the implementation of agreed outcomes to be applied in 2011/12, and that the mileage rate be reduced from 53.8p per mile to comply with the HM Revenue and Customs' maximum tax free allowance (currently 40p per mile). Also, the Panel have proposed that an amendment be made to the existing Scheme to incorporate a new Special Responsibility Allowance of £2,000 per annum being paid in relation to the Authority's Board Director on the South-East Fire and Rescue Control Centre Limited.

2. Recommendations

That the HFRA Independent Remuneration Panel make the following RECOMMENDATIONS to the Authority:

(a) That Basic and Special Responsibility Allowances be frozen at the existing rates for 2010/11.

(b) That a full appraisal of the Members' Allowances Scheme be undertaken during 2010/11, with the implementation of agreed outcomes to be applied in 2011/12.

(c) That the mileage rate be reduced from 53.8p per mile to the HM Revenue and Customs' rate of 40p per mile for the first 10,000 miles and 25p per mile thereafter from 1 April 2010.

(d) That the Scheme be amended to incorporate a new Special Responsibility Allowance of £2,000 per annum to be paid in relation to the Authority's Board Director on the South-East Fire and Rescue Control Centre Limited.

3. HFRA - Independent Remuneration Panel

3.1. The HFRA Independent Remuneration Panel is a non-statutory Panel set up to assist the Authority in establishing its Members' Allowances Scheme. It met on 25 November 2009 to review the existing HFRA Members' Allowances Scheme and to give consideration as to whether the HFRA Allowances and, in particular, special responsibility allowances, were set at the appropriate level prior to the matter going to the HFRA meeting on 9 December 2009.

3.2. HFRA Members were notified of the Independent Remuneration Panel meeting and invited, if they so wished, to make either any written or personal representations at that time. The Notes of the Panel meeting on 25 November 2009, together with the Members' Allowances and Expenses Guidance Note for 2009/10 and a schedule showing other comparable fire authority allowances are shown as Annexures 1, 2 and 3 respectively to this report.

3.3. The Panel, in its deliberations, also considered the existing Members' Allowances Scheme for Hampshire County Council, Portsmouth City Council and Southampton City Council. Those organising the IRP's for each of these authorities have been asked for any observations made by their IRP's that may be relevant to the Scheme to be adopted by the Authority, but none have been notified.

3.4. The HFRA Independent Remuneration Panel was advised that there had been no written or personal representations received from Members other than a communication by the Chairman of the Authority that he was minded to recommend a zero percentage increase in allowances for 2010/11. In recognising the present economic climate and budgetary constraints facing all public bodies, the Panel felt it was appropriate to recommend on this occasion that allowances be frozen at existing rates for 2010/11. In addition, given the last significant review of the Scheme was in 2005 and the changes in the Authority's membership during 2009, the Panel proposed a full appraisal of the Scheme being undertaken during 2010/11.

3.5. The Panel was aware that the majority of district and borough councils in Hampshire paid the HM Revenue and Customs' approved mileage rate of 40 pence for the first 10,000 miles and 25 pence thereafter. The Panel noted that Kent and Medway Fire Authority also paid the HMRC rates and that the Employment in Hampshire County Council Committee had agreed at its meeting on 3 November 2009 that, in principle, HMRC rates should apply to staff. The EHCC Committee also agreed, in principle, that implementation of any such changes should be made in the new financial year, subject to further negotiations with the trade unions. The Panel took the view that the Hampshire Fire and Rescue Authority should adopt the HMRC rates from 1 April 2010.

3.6. The Panel endorsed the Authority's proposal that a new Special Responsibility Allowance of £2,000 per annum be paid in relation to the Authority's Board Director on the South-East Fire and Rescue Control Centre Limited. However, no additional net payment would be made under this Allowance as Councillor Roger Price, as the existing Board Director, was already in receipt of a higher Special Responsibility Allowance as Liberal Democrat Party Spokesperson.

4. Equality Impact Assessment

4.1. An impact assessment has been made on the proposals in the paper and shown that they are not discriminatory. They are considered compatible with the provisions of the European Convention on Human Rights, the Human Rights Act 1998 and the Race Relations (Amendment) Act 2000.

Section 100 D - Local Government Act 1972 - background papers

The following documents disclose facts or matters on which this report, or an important part of it, is based and has been relied upon to a material extent in the preparation of this report.

NB the list excludes:

Published works.

Documents which disclose exempt or confidential information as defined in the Act.

4gR1121109