Agenda item

To consider the decisions taken by the Executive on 7 July 2009 with regard to the Effective Organisation Programme – Efficiency Review, which have been called in by Cllrs Scott, Gunnell and Simpson-Laing in accordance with the provisions of the Council’s Constitution.  A cover report is attached setting out the reasons for the call-in and the remit and powers of the Scrutiny Management Committee (Calling In) in relation to the call-in procedure, together with the original report to and decisions of the Executive.

Members received a report which asked them to consider the decisions made by the Executive on 7 July 2009 in relation to a report setting out the initial findings of a review undertaken by the Council’s efficiency partners, Northgate Kendrick Ash (NKA), and proposing a programme of work to ensure the provision of efficient and effective Council services.

Details of the Executive’s decisions were attached as Annex A to the report.  The original report to the Executive was attached as Annex B.  The decisions (specifically, nos. (iii) and (iv)) had been called in by Cllrs Scott, Gunnell and Simpson-Laing for the following reasons:

“The Executive has agreed to the recommendations in paragraphs 58 and 59 [of the original report] against the advice of the Shadow Executive.”

Members were invited to decide whether to confirm the decisions of the Executive (Option A) or refer them back to the Executive for reconsideration and / or amendment (Option B).

Cllr Scott spoke on behalf of the Calling In Members, explaining that they were objecting both to the failure to examine alternatives to the risk / reward model of payment to NKA and to the fact that the Executive had delegated authority to Officers without explaining precisely which powers had been so delegated.  In response to questions from Members, the Director of Resources confirmed the advice he had given at the Executive meeting; namely, that the recommendations in the report, as approved by the Executive, conferred no additional powers on Officers and that all decisions in relation to the programme would be made in accordance with the Constitution.  With regard to the risk / reward model, this was based upon set fees and if NKA achieved more than the required efficiencies the Council, not NKA, would benefit.

Members debated each Executive decision separately.  Cllr Scott then moved, and Cllr Simpson-Laing seconded, that decision (iv) be referred back to the Executive for reconsideration (Option B), with a recommendation that it be amended so as to remove the reference to delegation of authority.  Four Members voted for this proposal and four voted against.  The Chair then exercised his casting vote for the proposal, which was declared CARRIED.

Cllr Scott then moved, and Cllr Simpson-Laing seconded, that decision (iii) be referred back to the Executive for reconsideration, with the recommendation that it be amended to enable the Executive to retain all authority with respect to financial commitments.  Four Members voted for this proposal and four voted against.  The Chair then exercised his casting vote against the proposal, which was declared LOST, and it was

RESOLVED: (i)         That, in respect of decision (iv), Option B be approved and the decision be referred back to the Executive for reconsideration, with a recommendation that it be amended to read as follows:

                        “That the governance arrangements for the Programme be approved, including the management of efficiency arrangements and the development of detailed proposals for years 2 and 3 by the Executive Board.”

REASON:      In accordance with the procedures for called-in decisions and to clarify the fact that Members will retain their Constitutional responsibility for decisions on the Efficiency Programme.

                        (ii)        That, in respect of decision (iii), Option A be approved and the decision be confirmed.

REASON:      In accordance with the procedures for called-in decisions and the reasons recorded in the minutes of the Executive meeting on 7 July 2009.