appendix 2

Corporate Asset Management Plan 2007/8 to 2009/10

Appendix 2


What is the Corporate Asset Management Plan?

This Plan describes the organisational arrangements that are currently in place in the council to manage properties effectively, and to achieve the aims of the corporate Property Strategy.

The plan reflects a major change that took place during 2005/06 following a programme of work to reorganise and centralise property management in the council. It is intended to cover the three year period 2007/08 to 2009/10, although the plan will be subject to annual review by the Assistant Director (Property) and the Portfolio Holder (Resources, Finance and Performance) and it may be reviewed in the light of changes to the Corporate Property Strategy early in 2007.

Throughout this document, where the need for improvements is identified, improvement actions have been noted and pulled out into a delivery plan. These represent commitments to change and improvement that will be monitored through the annual management review of the Plan.

Contents

1. Corporate Property Managementp.2

2. Asset Management Planning p.7

3. Data Management p.9

4. Performance Management p.11

5. Project Delivery p.14

6. Environmental Improvement Plan p.16

7. Document Review p.18

8. Delivery Plan p.19

9. CPA Use of Resources key p.22

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Section 1 Corporate Property Management Lead officer: Andy Wooden Asset Policy and Performance Manager Telephone 01473 264163

Current position

Councillors’ responsibilities for property

1.1. Cabinet has responsibility for leading the preparation of the council’s budget (including the capital programme); for delivering and implementing the budget decided by full council; and for taking in-year decisions on resources and priorities. Cabinet approves the corporate property strategy and makes significant in-year property decisions (a recent example is the approval to proceed with the Bury Public Service Village project).

1.2. The Portfolio Holder for Resources, Finance and Performance is the main Cabinet lead on property matters. The Portfolio Holder is briefed by the Director of Resource Management and the Assistant Director (Property) at a fortnightly meeting, and is consulted on all sensitive or significant property issues.

1.3. The representational role of Locality councillors includes developing Local Strategic Partnerships (LSPs) and spending councillors’ devolved locality budgets. Locality councillors are routinely consulted on property issues of local significance, for example the estate plans emerging from the County Farms strategy.

Corporate Property Officer

1.4. The council’s nominated Corporate Property Officer (CPO) is the Director of Resource Management and the CPO’s responsibilities are delegated, as far the day-to-day work of property management is concerned, to the Assistant Director (Property). The full delegations were formalised in a Directorate Scheme of Delegation issued by the Resource Management Board in May 2002.

1.5. The Assistant Director (Property) leads the Property Division which has 170 fte staff and an annual budget in 2006/07 of £11.8 million. Property Division deals with the strategic management and review of the portfolio; estates and valuation; building design and maintenance; and facilities management (facilities staff carrying out porterage, courier, post room and security services are in the process of transfer to Commercial Division).

1.6. To supplement the in-house teams and help with the current high level of work in capital programmes, private sector consultants are used for a substantial proportion of project work. The Design and Maintenance group now deliver the capital programme working alongside a private sector consultancy partner, Pick Everard, and framework construction partners (see section 5 p.14 “Project Delivery”).

1.7. The reorganisation of property management which came into effect on 1 April 2006 established three new posts of Strategic Property Managers. Their role is to act as the “client’s agent” for the service directorates for property matters, as well as holding a cross-service geographical responsibility for the centralised portfolio. To reflect this posts are “dual reports” to the Assistant Director (Property) and service Directors.

1.8. The current management responsibilities for operational and non-operational property assets are shown in the diagram on the following page.

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3

SCC Property Assets

Non Operational Assets:

Managed by Property

Operational Assets

Non Operational Portfolio (surplus and future use)

County Farms Estate

Non-schools PortfolioManaged by Property Division

Property Division Managed

(e.g. Offices, Libraries, Youth Clubs, Country Parks, Depots, Childrens Homes, Adult services day centres)

Under Review 06/07(Fire stations, Elderly Peoples Homes and day Centres)

Service Managed(e.g. waste, smaller countryide sites, managed workspace)

Schools and Pupil Referral Units (PRU)Managed by CYP


Service Directors

1.9. Service Directors remain accountable for those properties that were “out of scope” of the reorganisation and were retained by their service (for example, waste sites and managed workspace schemes). They also have a strategic, service delivery role with regard to the use and asset planning of “centralised” properties which they exercise through the three Strategic Property Managers and the Portfolio Plan process.

1.10. Two groups of assets remain under review until the Fire Service PFI and Elderly Peoples service review are concluded. Assets which are retained by the council Division following final decisions by Cabinet on these reviews will transfer to Property during 2007-08.

Asset management for schools

1.11. Asset management planning (AMP) in schools (including special schools) and Pupil Referral Units is dealt with by the Director for Children and Young People where there is a robust and detailed process that is continuously refined and approved; all AMPs in schools have been developed following DfES guidelines

1.12. Schools now have delegated responsibilities to manage their premises. Each school must have a 5-year Building Development Plan (BDP) in place based on the AMP data, and decisions on implementing these BDPs lie with the school and governing body. The County Council provides advice and guidance to schools on how to manage their building project. Some schools choose to manage their own project, however in most cases project management is carried out by the County Council on behalf of the school.

1.13. There are many drivers behind such building projects, but the key driver is to continue to raise standards and attainment at all schools and specifically to implement the requirements of the Every Child Matters agenda.

Property capital and revenue budgets

1.14. Capital funding for property projects is approved through 3 routes:

a. Funding for school projects may come from a variety of sources. The main funding streams include DfES capital allocations for modernisation (which includes condition) and new pupil places which fund the bulk of the CYP Asset Management Plan Programme. Schools all receive an annual Devolved Formula Capital (DFC) allocation which is based on a national formula and criteria which should be spent on projects identified through the AMP process. Other sources of funding include the Schools Access Initiative and Targeted Capital.

b. Apart from schools projects, other property schemes and spending on capital items such as equipment are approved through the single capital pot process. This is based around a corporate prioritisation scheme which aims to address priorities for capital investment across the board rather than by each service deciding where to spend its own capital budget. The single capital pot programme is typically £4m annually. A 3 year programme for the years 2008-11 will be approved during 2007-08.

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c. Major projects in the Work Environment Programme are based on financial business cases which use capital receipts, and future savings in property running costs, to finance the project costs. These major schemes are approved individually by Cabinet.

1.15. Property revenue running costs (mainly rents, rates, energy and water, contract and window cleaning and waste disposal) for the corporate portfolio are met from Property Division’s revenue budget from 2006-07. Energy and water is procured through central contracts by Resource Management’s Commercial Division.

1.16. Building maintenance has historically been a corporate matter and is funded from a budget administered by Property Division’s Design and Maintenance Manager. Maintenance works are planned and prioritised using condition surveys of all buildings that are updated annually. Planned maintenance and reactive repair works are procured using Measured-Term Contracts (MTCs).

1.17. Outside the main office buildings in Ipswich, Bury St Edmunds and Lowestoft facilities management services like caretaking and cleaning are still procured and provided by services in a variety of ways often under local contractual arrangements. This is being addressed by Commercial Division and the FM Commissioning team, assisted by the team of Locality Property Managers which was set up following the reorganisation of property management.

Property change approvals

1.18. One of the aims of the corporate management of property was to ensure that all planned property changes in the county are co-ordinated and checked to fit with the corporate property strategy. Also, working with CSD, that the implications of any property changes on the ICT network and upgrade programmes are factored in.

1.19. “Property change” can mean anything from declaring a property surplus to requirements, through taking a new lease, to relocating and moving staff. A new process is now in place for services to request, discuss with Property Division and gain approval to all property changes.

Scheme of resource management

1.20. The council’s Scheme of Resource Management outlines the ethos and policy framework within which the council’s resources are to be managed. The scheme brings property within the same management arrangements as human resources, ICT, finance and procurement. The responsibilities of the Cabinet for property decisions and the Corporate Property Officer delegations to the Director of Resource Management relating to property were clearly set out.

1.21. The Scheme excludes any property arrangements in the council’s scheme for Local Management of Schools (LMS).

Issues

1.22. The move to corporate management of the council’s estate effective 1 April 2006 has led to changes in the Corporate Property Officer responsibilities. The Scheme of Resource Management will need to be updated to take account of those changes.

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1.23. Internal adjustments are needed within Property Division’s budget arrangements to clearly identify and manage asset, building maintenance and facilities costs for the enlarged corporate portfolio.

1.24. It is essential to have robust linkages between Property Division and the asset management activity in the CYP Directorate covering schools, special schools and Pupil Referral Units.

1.26. There is a continuing need to explore opportunities for efficiency savings and service improvement in the commissioning and provision of facilities services and building maintenance contracts.

Action Plan

1.a) Update the Scheme of Resource Management to reflect new corporate management arrangements

1.b) Complete transfer of budgets for Fire and older peoples’ services assets (subject to PFI and review outcomes)

1.c) Review synergies between schools and non-schools asset functions and identify areas for improvement

1.d) Work with Commercial Division on a review of facilities services council-wide including contractual arrangements with building maintenance service providers (MTCs) and transferred-in budgets for cleaning, window cleaning and waste disposal.

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Section 2 Asset Management PlanningProperty lead Andy Wooden Asset Policy and Performance Manager Telephone 01473 264163

Current position

2.1. The council’s approach to property asset management planning revolves around an ongoing exercise to collect relevant data on the performance of assets in each portfolio and using this information to plan, with service managers, the future investment needs of each asset, each portfolio and the property asset base as a whole.

2.2. The process for schools, special schools and Pupil Referral Units is based on detailed guidance from government and used to determine priorities for government supported capital spending.

2.3. The attributes on which data is collected are running cost; suitability; sufficiency; condition; and environmental performance. Details of the present position on each are set out below.

Attribute Data collected

Running cost Detailed costs covering facilities management, premises, building maintenance and rent income of each asset within Property Division control are being identified for inclusion in each Portfolio Plan.

Suitability To assess an asset’s “fitness for purpose” a cyclical 3-year programme of grading and investment in each asset is being identified for inclusion in each Portfolio Plan.

Sufficiency As part of the Work Environment Programme’s proposals for the office portfolio the opportunity to reduce office space while supporting new ways of working is being implemented.

Condition Condition surveys provide an assessment of the condition of each asset and provide a forecast of future investment need in terms of the urgency of maintenance for the next 5 years. This data is included in each Portfolio Plan.

Environmental Detailed water consumption and energy costs for each asset are identified for inclusion in each Portfolio Plan.

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2.4. Gathering this data by portfolio enables each service to be clear what property resource is being used by the service, its cost and its fitness for purpose. Each property can be categorised as follows:

a. Retain

b. “Improve 1” - explore options for change of use, flexible working, partnership working, lease back

c. “Improve 2” - explore options for major refurbishment, extension, relocation and acquisition

d. Long term development

e. Surplus

2.5. These categories help to inform decisions about maintenance spending, and priority for capital projects and give a picture of asset use and future plans for assets by each service. Summary level portfolio plans are discussed with Portfolio Holders and reported in the annual Performance Report (this was last reported to Executive Committee in February 2005).

Issues

2.6. The information in portfolio plans is a starting point for service and property reviews. These projects can then be established with clear objectives to improve asset use from a known base position. Property reviews should be co-ordinated with the corporate Transformation Plan and managed on Prince 2 principles.

2.7. The annual performance plan has not been produced since 2005 due to the uncertain period following the property reorganisation.

2.8 There is no corporate group with a brief that covers asset management planning following the closure of the corporate Asset Management Group in 2006.

2.9 There is no single database which holds all relevant asset management information although the Badger to Evolution migration project (see section 3 Data Management) will pull more information together in one place.

Action Plan

2.a Property reviews will be carried out to identify solutions for under-used assets, unmet needs and opportunities for partnership working and property sharing.

2.b A new corporate property forum will be set up to replace the old corporate Asset Management Group. This group will have a brief that covers asset management and property review activity across the council.

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Section 3 Data managementLead officer: Alan Forsdike Property Review Manager and County Access Officer Telephone 01473 264143

Current position

3.1. To maintain an up to date asset register property staff inform CSD Finance of legally completed acquisitions, disposals, appropriations and revaluations of properties during the financial year. Currently the process is carried out annually. Both the asset register maintained by CSD Finance and property records are used to develop the Portfolio Plans detailed in Section 2. As part of the Portfolio Plan process a check reconciliation is made between the records.

3.2. Due to the changes in timing to the production of the council’s annual Statement of Accounts, there has been insufficient time to deal with the number of queries prior to the production of the Statement of Accounts. The frequency of comparing property records to the asset register will increase during 2006/7.

3.3. New Government and EU legislation, initiatives, strategies and data sharing protocols along with changes within the council’s system supplier, Tribal, have prompted a review of the council’s requirements for property data, its use and storage. A proposal is being developed for a corporate level review of the council’s need for a “future-proof” property database.

3.4. Currently the migration project of moving data from DeCal Badger to Tribal Evolut1on is ongoing and completion is targeted for May 2007. Corporate and Directorate working groups have been set up to discuss and review property related data and IT systems with the view to improve working practices and data management and storage. Work in progress includes assessing current good practice for data management and storage. Property staff are working closely with CSD ICT staff to carry out the work.

3.5. These database developments will assist with the work of the Work Environment Programme and support the e-government and g-government agendas, asset management planning and the draft corporate Geographical Information Systems (GIS) Strategy.

3.6. The proposal being developed will recommend a review of the market for an appropriate corporate and future-proof database. This will include the database product currently in use in the council (Evolut1on) and the product which Tribal is developing to replace it (“K2”). To ensure that data is only stored once it is vital that any data storage system is able to fully interface with other corporate systems. With this is mind it is expected that an appropriate product can be found within the next 12 months. Property staff will be working closely with CYP, other Directorates and CSD to achieve this aim.

Issues

3.7. If the data migration project overruns, additional costs for licences and maintenance will be incurred by the County Council for an additional year.

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3.8. Schools and non-schools data will need to be integrated and held in a consistent format taking into account the considerable investment that has already been made in schools data management.

3.9. If the council does not embrace the new initiatives and emerging working practices in data management we will risk falling behind other councils.

Action Plan

3.a) Complete data integration project by finding a suitable data system, identifying all relevant property information to be transferred, populating new data storage system and implementing new data storage system.

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Section 4 Performance ManagementLead officer: Alan Widdicks Strategy Officer (Performance) Telephone 01473 264159

Current Position

4.1. Over the last few years the council has been measuring its performance against a set of performance indicators set out in the Property Strategy 2001. A revised set of measures and targets is now needed in order that they can reflect:

a. The new emphasis on corporate management set out in A Better Way for Suffolk.

b. Revised national property performance indicators developed by the Department for Communities and Local Government (DCLG), the Association of Chief Corporate Property Officers (COPROP) and the Audit Commission.

c. CPA requirements for achieving a level 3 and 4 score of “performing strongly” for Use of Resources.

Property performance indicators

4.2 The table below sets out the suite of performance measures which will be employed starting in the 2007/08 year. No targets are suggested here other than a new three year capital receipts target which is proposed to Cabinet. The targets will be set during work on a revised corporate Property Strategy and brought to Cabinet for approval in 2007.

1. Capital receipts Cabinet has been asked to agree an indicative estimate of £15 million over the period 2007/2008 to 2009/2010 (not including re-provisions).

No. Indicator Comments Purpose

2.

Recurring Property Costs:- Net expenditure

£/m2

- Net expenditure £/ FTE or Workstation (Offices only)

This indicator excludes schools and Non-Operational assets.

To highlight properties of higher/lower than average cost for report to strategy managers as a catalyst for change

3.

Profitability of Agricultural investment property

-Overall average rate of return (Internal Rate of Return)

This indicator applies to County Farms and is based on a 10-year forecast. The actual IRR on a particular year can be compared to this long-term average.

To justify, from an economic perspective, whether the investment in agricultural holdings should be retained.

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A Better Way for Suffolk: We will achieve a CPA score for Use of Resources of “performing strongly”


4.Building Condition & Maintenance Indicators

4.a

% Gross internal floor-space in condition categories A-D

This indicator covers Operational Assets only.

To highlight properties of higher/lower than average condition.

4.b

Required maintenance by cost expressed:i. as total value in priority levels 1-3ii as a % in priority levels 1-3iii. value/m2 (Gross Internal Area)


To highlight current and future maintenance needs and compare to the budget.

4.c

Annual % change to total required maintenance since last year


To show year-on year changes in required maintenance

4.d

i) total spend on maintenanceii)spend on maintenance/m2

iii) % spend on planned and reactive maintenance


To compare current spending to maintenance needs

5. Environmental Indicators

5.a

Energy Costs / Consumption(1) spend £/m2

(2) Kwh/m2



5.b

Water Cost / consumption(1) £ spend/m2(2) volume m3 / FTE



5.c

CO² emissionsTonnes CO² /m2


To reduce environmental impacts of the council’s Operational assets

6. Suitability Indicators

6.a% and number of properties graded as good or satisfactory

This indicator excludes schools and Non-Operational assets.

To ensure that property meets the needs of users of the property.

% of the portfolio by m2 This indicator excludes schools and To monitor progress in carrying-

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6.b and number of properties for which a suitability survey has been undertaken over the last 5 years

Non-Operational assets. out Suitability Surveys year-on-year.

7. Sufficiency Indicators

7.aAnnual property cost per workstation and FTE

Offices Only To highlight properties of higher/lower than average cost for report to strategy managers as a catalyst for change

7.bAverage office floorspace m2 per FTE

Offices Only To highlight properties of higher/lower than average use for report to strategy managers as a catalyst for change

Issues

4.3. Performance measurement will support asset management planning by helping to identify the investment requirement in sites and buildings for the medium/long term.

4.4Identifying that existing use of property represents best value particularly where “Alternative Use” values of property are high.

4.5. Developing targets and performance indicators that enable service improvements arising from investment in property assets to be measured.

4.6. Recognising that property is a “long-term” asset and there can be long time gaps from initiation of projects to completion of schemes and assessment of outcomes.

Action plan

4.a) Property will provide annual management reports on the council’s performance against these measures.

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Section 5 Project deliveryLead officer: Bill Smith Design & Maintenance Manager Telephone 01473 26 5252

Current Position

5.1 Two key changes are being made to the approach to delivering building construction projects. These relate to the method of procurement; and the adoption of a formal project management process.

5.2 In February 2006 one multi-disciplinary consultancy practice and six building contractors were appointed to a partnering framework agreement which will replace the traditional process of project by project tender selection with payment of actual costs, and the use of price targets and incentives under a collaborative working regime.

5.3 This partnering approach is very much in line with central government direction and national industry trends and aims to achieve better value for money through early contractor involvement use of value management and engineering and driving out waste.

5.4 At the same time Property Division is promoting the use of formal project management procedures for building and other projects based on Prince 2 methodology and corporate project guidance.

5.5 This approach will support the aim of ensuring that investment decisions are based on evaluation of a sound business case and the use of clearly defined gateways and decision points; such an approach is essential to the successful delivery of building projects to be undertaken under the new framework agreement.

5.6 A more structured approach is being taken to fulfilling the Planning Supervisor role under the Construction (Design and Management) Regulations 1994 (CDM). These regulations not only focus attention on health and safety and risk management issues during the construction phase but also in the intended use and ongoing maintenance of the building.

5.7 Building Schools for the Future (BSF) involves a 15 year programme of major investment in secondary schools and the Department for Education and Skills (DfES) have stated that the scale and longevity of this programme will require new ways of delivering capital works and development of long term partnership working with private sector

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A Better Way for Suffolk We will not permit projects or programmes to be undertaken without a robust business case and full assessments of the risks and opportunities.

A Better Way for Suffolk We will implement a structured approach to programme and project management, including effective review at key stages (“gateway reviews”)


organisations. Development of our partnering experience will be key to involvement in delivery of the BSF programme.

5.8 In addition the Division is contributing to the development of regional standards and benchmarking information in conjunction with the Association of Chief Corporate Property Officers in Local Government (COPROP) and will also have access to a regional framework agreement.

Issues

5.9 These changes are a challenging cultural shift for in-house teams, clients and external partners.

5.10 Understanding broader project management roles and setting boundaries for client and supplier responsibilities.

5.11 Process development including use of generic documentation related to the project management process, and a suite of standard documentation to meet framework contract conditions and quality assurance standards for building projects.

5.12 Training – generic project management skills and NEC contract management for building projects.

5.13 Proving benefits realisation through performance mangement of the new consultancy and contractor framework.

5.14 Exploring the benefits of regional procurement, especially in connection with BSF.

Action Plan

5.a) Additional training in NEC contract and project management

5.b) Preparation of suite of standard project management and contract management documentation linked to QA system standards

5.c) Implementation of new internal trading agreements and project cost reporting

5.d) Development of KPIs and link to pain and gain incentive scheme

5.e) Development of heads of profession role and promotion of best practice standards

5.f) Contribution to preparation of regional standards and procurement opportunities through COPROP group

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Section 6 Environmental Improvement PlanLead officer: Maggie Peck Property Strategy Officer Telephone 01473 264160

Current position

6.1 In 2005 Suffolk County Council achieved the prestigious ISO14001 award for our Environmental Management system. Property Division played a significant role in the development of that system. Buildings are one of the county’s major consumers of energy and water and the corporate management of property has opened up opportunities for efficient and effective facilities management for example improved meter reading.

6.2 The corporate targets for energy and water usage and for CO² emissions are currently under review, and we propose to link these to the property performance indicators for energy, water and CO² referred to earlier in this report in the Performance Management section on page 12. Regeneration and Environment Strategy officers in Environment and Transport are working with officers in Resource Management to develop proposed new targets which will be presented to CMT on 22 January 2007.

6.3 An Energy and Water Policy has been developed and this will be backed by a Delivery Plan which, in turn will be linked to the proposed corporate targets. An energy fund is available to fund schemes that are designed to give environmental and revenue budgetary benefits with minimal payback period.

6.4 The Suffolk Strategic Partnership has set out its aim to establish high environmental standards under the banner of “Greenest Suffolk”.

6.5 We have been working with various partners to develop a local supply chain for the provision and maintenance of wood fuelled boilers in our premises. In an initial phase, these have been installed in six Primary schools, but it is hoped that the technology can be spread out to other suitable buildings in a rolling programme of boiler renewals, resulting in revenue and environmental benefits.

Issues

6.6 The rising cost of fuel and power and the need to make efficiency savings in property running costs.

6.7 Finding the staff resources necessary for maintaining the ISO14001 accreditation at a time of budget and resource constraint.

6.8 The EU Energy Performance in Buildings Directive (EPBD) which came into effect in April 2005 and introduced various criteria including the need, at some stage, to provide energy labelling, similar to that used in white goods, on public buildings. It also resulted in changes to the Building regulations Parts L and F relating to energy efficiency and air conditioning which will have impacts on the cost of building projects.

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6.9 Reducing the environmental impact of new buildings and refurbishments with regard to embodied energy in initial construction and reduced maintenance and CO² emissions during the life of the building.

6.10 Promoting the take up of wood fuel boilers and maintaining an effective supply system.

Action plan

6.a) Work with Environment and Transport and Commercial Division to obtain Cabinet approval by end 2006/2007 to new corporate targets for energy and water consumption to apply over the period of this report.

6.b) Work with Environment and Transport and Commercial Division to obtain cabinet approval by end 2006/2007 to the proposed Energy and Water policy and delivery plan by the end of 2006/07.

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Section 7 Document ReviewLead officer: Andy Wooden Asset Policy and Performance Manager Telephone 01473 264163

Current Position

7.1 With so many key property related change programmes ongoing or planned over the coming three years it is essential that we have the correct review processes in place to deliver those programmes. There is a range of ongoing, day to day property related activity which supports the change programme and from time to time it may become necessary to prioritise our resources.

7.2 The Corporate Asset Management Plan is designed to ensure that a process of constant review is an integral part of these programmes. This takes place, for example, through a number of activities:

a. The corporate Transformation Plan will provide high level cross organisation linkages and conflict resolution where required.

b. Corporate risk management will provide the structure and process whereby risks may be identified and managed both at a corporate and a project level.

c. Performance indicators will be linked to business objectives and will be regularly measured to monitor performance.

d. Client satisfaction will be measured and monitored as appropriate and in line with the principles set out in the County Consultation Policy.

e. Projects will be run on Prince2 principles to include effective reviews at key stages: “gateway reviews”.

Action plan

7.a) The Corporate Asset Management Plan will be reviewed annually by the Assistant Director (Property) after consultation with the Portfolio holder for Resources Finance and Performance.

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A Better Way for Suffolk: We will implement a structured approach to programme and project management, including effective reviews at key stages (“gateway reviews”)


Section 8 Delivery Plan

Action Who by WhenSection 1 Corporate Property Management

1.a) Update Scheme of Resource Management to reflect new corporate management arrangements.

Asset Policy & Performance Manager

February 2007

1.b) Complete transfer of budgets for Fire and older peoples’ services assets (subject to PFI and review outcomes).

Strategic Property Managers

In accordance with programme timetable.

1.c) Review synergies between schools and non-schools asset functions and identify areas for improvement.

Assistant Director Property/Assistant Director (Schools Infrastructure)

February - May 2007

1.d) Work with Commercial Division on a review of facilities services council-wide including contractual arrangements with building maintenance service providers (MTCs) and transferred-in budgets for cleaning, window cleaning and waste disposal.

Facilities Manager/Design & Maintenance Manager working with Commercial Division

Review complete by May 2007.

Implement any changes during 2007-08.

Section 2 Asset Management Planning

2.a) Property reviews will be carried out to identify solutions for under-used assets, unmet needs and opportunities for partnership working and property sharing.

Property Review Manager and County Access Officer

Ongoing

2.b) A new corporate property forum will be set up to replace the old corporate Asset Management Group. This group will have a brief that covers asset management and property review activity across the council.


Terms of reference to be included in revised Property Strategy in 2007

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Section 3 Data management

3.a) Complete data integration project by finding a suitable data system, identifying all relevant property information to be transferred, populating new data storage system and implementing new data storage system.

Property Review Manager and County Access Officer

End 2007

Section 4 Performance Management

4.a) Property will provide annual management reports on the council’s performance against these measures.


Annually

Section 5 Project Delivery

5.a) Additional training in NEC contract and project management

External providers June 2007

5.b) Preparation of suite of standard project management and contract management documentation

Framework Implementation Team

Basic suite by April 2007Further development during the year.

5.c) Implementation of new internal trading agreements and project cost reporting

Design & Maintenance section’s Performance Manager

May 2007

5.d) Development of Key Performance Indicators and link to pain and gain incentive scheme

Design & Maintenance section’s Performance Manager

Initial suite by April 2007

5.e) Development of heads of profession role and promotion of best practice standards

Design & Maintenance Manager/Heads of profession

Ongoing

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5.f) Contribution to preparation of regional standards and procurement opportunities through COPROP group

Head of Profession (Architecture)/Design & Maintenance section’s Performance Manager

December 2007 - August 2007

Section 6 Environmental Improvement Plan

6.a) Work with Environment and Transport and Commercial Division to obtain Cabinet approval by end 2006/2007 to new corporate targets for energy and water consumption to apply over the period of this report.

Asset Policy and Performance Manager working with Commercial Division and Environment and Transport

By end 2006/07

6.b) Work with Environment and Transport and Commercial Division to obtain cabinet approval by end 2006/2007 to the proposed Energy and Water policy and delivery plan by the end of 2006/07.

Asset Policy and Performance Manager working with Commercial Division and Environment and Transport

By end 2006/07

Section 7 Document Review

7.a) The Corporate Asset Management Plan will be reviewed annually by the Assistant Director (Property) after consultation with the Portfolio Holder for Resources, Finance and Performance.

Assistant Director (Property)

Annually

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Section 9 CPA Use of Resources Asset Management key

CPA requirement Reference in paper

Comment

Level 2

*The council has an up to date asset management plan that details existing asset management arrangements and outcomes, and planned action to improve corporate asset use.

Whole of Corporate AMP

The Corporate AMP should be seen as complementary to the overall corporate Property Strategy and annual Portfolio Plan reporting.

*The council maintains an up to date asset register.

Section 3 Data Management.

The frequency of reconciling property records and the asset register is to increase during 2006/07 to improve the production of the Fixed Asset element of the Balance Sheet for the Statement of Accounts.

* The council has a designated corporate property function.

Section 1 Corporate Property Management

The council’s nominated Corporate Property Officer (CPO) is the Director of Resource Management acting through delegation to the Assistant Director (Property). The move to corporate management of the council’s property has led to changes in the Corporate Property Officer responsibilities details of which are set out in Section 1.

* The council’s arrangements for reporting to members are sufficient to ensure that they fulfil their responsibility in relation to the council’s land and buildings portfolio at both a strategic and service level.

Section 2 – Asset Management Planning

Portfolio Plans (summary level asset management plans) are prepared for each portfolio and discussed with service managers and Portfolio Holders before being reported to Cabinet.

* The council has an annual programme of planned maintenance based on a rolling programme of property surveys.

Section 2 Asset Management Planning

Property Division carries out a programme of planned maintenance based on the annually updated Condition Surveys. The data from the surveys is held in the Evololut1on database and included in Portfolio Plans.

* The council has assessed the level of backlog maintenance.

Section 4Performance Management

The Building Condition & Maintenance Indicators are designed to assess the required maintenance need and compare this to actual spending.

* The council’s capital programme gives priority to potential capital projects based on a formal, objective approval process.

Section 1 Corporate Property Management – Property Capital and Revenue budgets

Capital spend on non-schools projects is prioritised through the Single Capital Pot process. This process aims to provide an across the board prioritisation to proposed capital schemes.

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Level 3

A member has been allocated portfolio responsibility for the council’s asset management.

Section 1 Corporate Property Management – Councillor’s responsibilities for property

The Portfolio Holder for Resources, Finance and Performance is the Cabinet lead on property matters.

* Members are aware of the level of backlog maintenance and have approved a plan to address it as appropriate.

Not in Corporate AMP

Councillors are made aware of the current level of required maintenance and the amount in the budget for maintenance spending during discussions over budget setting. The impact of changes in the budget is covered in these discussions.

The council has developed a set of local performance measures in relation to assets that evaluate asset use in relation to corporate objectives.

Section 4 – Performance Management

Capital Receipts targets support the Medium Term Financial Plan, Office Use statistics support the Work Environment Programme and Energy reduction measures support the Environment Improvement Plan.

*The council makes investment and disposal decisions based on thorough option appraisal and whole life costing.

Section 5 – Project Delivery

Good examples exist in Work Environment Programme and other review projects. To be developed further over the period of the Corporate AMP.

Level 4

Performance measures and benchmarking are being used to describe and evaluate how the council’s asset base contributes to the achievement of corporate and service objectives, including improvement priorities.

Section 2 –Asset Management Planning

The Portfolio Plans include performance measures which support Service Directors and Strategic Property Managers’ decisions in directing resources in support of improvements to services and buildings.

The results of performance measurement and benchmarking are communicated to stakeholders where relevant.

Section 4 –Performance Management

To be developed over the period of the Corporate AMP.

The council has developed an approach for the co-ordination of asset management information and its integration with relevant organisational financial information.

Section 3 –Data Management

Centralisation of Property Management supports the continuation of developments in processes linking the impact of decisions regarding the disposal and investment in assets with the recurring revenue consequences.

Note: criteria in bold and asterisked are those regarded by the Audit Commission as essential in order to pass at the relevant level.

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appendix 2

Documents

property matters

corporate property strategy

property divisioncyp

corporate property officer1

assistant director property

strategic management

year property decisions

corporate property officer