Archived decisions

HAMPSHIRE COUNTY COUNCIL

Decision Report

1. Executive Summary

1.1. This report sets out the County Council's response to the Annual Audit Letter and detailed Use of Resources report. These reports form part of the Audit Commission's annual work programme.

1.2. The Use of Resources also informs and feeds into the Comprehensive Area Assessment process which, along with the Managing Performance Assessment, makes up the overall Organisational Assessment. The Organisational Assessment and the Council's response to this is also being considered by Cabinet. This report focuses on responding to the detail of the Use of Resources report.

1.3. Overall both the Annual Audit Letter and the detailed Use of Resources report are extremely positive.

2. Annual Audit Letter

2.1. It is pleasing to note that the Annual Audit Letter provides an unqualified opinion on the Council and Pension Fund financial statements, and also reports positively on the Council's value for money. That is based on both the Use of Resources judgements and other work undertaken by the Audit Commission and summarised in the Letter.

3. Use of Resources Detailed Report

3.1. 2009 sees the implementation of the new Use of Resources assessment with three themes Managing Finances, Governing the Business and Managing Resources replacing the previous five themes, and with more emphasis on a wider definition of resources such that there is more emphasis on sustainability and natural resources and the workforce then in the previous framework. The new assessment is also intended to place more emphasis on outcomes as opposed to process.

3.2. In introducing the new assessment framework, the Audit Commission have again raised the bar. In 2008 we were successful in achieving an overall score of four. For 2009 the assessment has been against the higher benchmarks and the assessment at an overall three with three individual scores of four is a welcome recognition of excellent performance by the County Council across the range of its activities.

3.3. To understand these scores in this first year of the framework, it is important to use comparator data to see the numbers and distribution of performance for KLOEs, themes and overall. This is not for the purpose of league tables but rather to understand the nature of the judgements that lead to a score of three or four. This detail is not yet available and will be necessary to assist in developing the action plan for the current year's assessment.

3.4. The County Council prepared for the assessment with a full self assessment against the new themes and Key Lines of enquiry (KLOEs), collecting evidence for performance at level three and at level four. The self assessment was felt to be strong and compelling in putting across a picture of performance, and was submitted to the Audit Commission to inform their audit work.

3.5. In discussion with the Audit Commission during the audit work, further work was done to prepare examples of knowledge capture to be considered particularly as evidence of performance at level four. Several were submitted and our expectation is that the Audit Commission will publish nationally six knowledge captures setting out best practice performance in Hampshire County Council. These link both with KLOE scores of four and of three, which further confuses the debate about what performance leads to a score of four.

3.6. Overall the County Council finds much in the report which is excellent in recognising the performance of our staff and our services for customers and little to offer scope for improvement. However we do recognise that our own drive for continuous improvement in service delivery and outcomes will mean that elements of our self assessment evidence for 2009 Use of Resources including the personalisation in Adults Social Care, our strong work in developing partnerships within Hampshire and our development of the delivery of value for money and efficiency across our services will be embedded and delivering outcomes for Hampshire residents which should ensure there is evidence of a strengthened performance on Use of Resources for the 2010 assessment.

3.7. The Audit Commission have undertaken to share knowledge captures from other local authorities with outstanding and innovative performance such that these can be explored and challenged further for potential development in Hampshire.

3.8. The action plan to build to the self assessment for 2009/10 will be developed by the end of December and dialogue with the Audit Commission around the assessment process will also be underway.

3.9. As with the Area Assessment, the Chief Executive proposes to draw together the outcomes from the inspection reviews and ensure that they are dealt with as part of the Corporate Improvement Plan and the Driving Success Performance Framework. This will be included in future reports on Chief Officer Self Assessments to the Cabinet.

4. Recommendation(s)

4.1. It is recommended that:

1. The Annual Audit letter is received.

2. This response and the Use of Resources action plan are endorsed.

CORPORATE OR LEGAL INFORMATION:

Links to the Corporate Strategy

IMPACT ASSESSMENTS:

1. Equalities Impact Assessment:

This report is a response to the Annual Audit Letter and detailed Use of Resources report which form part of CAA. The CAA reports provide a judgement on how both the County Council and Hampshire as an area is performing. Equalities are considered as part of this.

1. Impact on Crime and Disorder:

This report is a response to the Annual Audit Letter and detailed Use of Resources report which form part of CAA. The CAA reports provide a judgement on how both the County Council and Hampshire as an area is performing. Equalities are considered as part of this.

2. Climate Change:

i. How does what is being proposed impact on our carbon footprint / energy consumption?

This report is a response to the Annual Audit Letter and detailed Use of Resources report which form part of CAA. The CAA reports provide a judgement on how both the County Council and Hampshire as an area is performing. The carbon footprint and energy consumption informs this.

ii. How does what is being proposed consider the need to adapt to climate change, and be resilient to its longer term impacts?

This report is a response to the Annual Audit Letter and detailed Use of Resources report which form part of CAA. The CAA reports provide a judgement on how both the County Council and Hampshire as an area is performing. Climate change and adaptation informs this.