london borough of bromley resources directorate · 2010-02-16 · 2 introduction our purpose:...

Appendix 1

LONDON BOROUGH OF BROMLEY

RESOURCES

DIRECTORATE

ASSET MANAGEMENT PLAN 2007 - 2012

POLICY FRAMEWORK AND

PROCEDURAL PLAN

1

CONTENTS

INTRODUCTION

1. ORGANISATIONAL ARRANGEMENTS FOR CORPORATE ASSET

MANAGEMENT 2. THE COUNCIL’S PROPERTY FUNCTION 3. ASSET REGISTER AND PROPERTY DATA 4. CAPITAL PRIORITISATION & OPTIONS APPRAISAL 5. MONITORING 6. MAINTENANCE PROCEDURES 7. OTHER RELEVANT PLANS AND STRATEGIES

2

INTRODUCTION Our Purpose: Enhancing quality of life in the Borough

Our Vision: is that Bromley remains the place where people choose to live and do business. We want to be seen as excellent in the eyes of local people.

There has been a clear and consistent message as to which issues the public would wish us to address, and it is these issues that the Council will address through BUILDING A BETTER BROMLEY, and with our partners through the Local Area Agreement and the Community Plan.

The asset management plan forms an important part of the policy framework, identifying how best the Council’s property portfolio can be used to deliver the outcome framework above. There is now a direct link between the organisational outcomes and the departmental structures shown in section 1.4, which are used to implement the Council’s asset management planning arrangements.

The physical environment of Bromley will clearly have an impact on the Council’s priorities, and starts with the Council’s own estate. The purpose of this Asset Management Plan is to set out how the Council is prepared and organised to contribute to the achievement of these objectives through the delivery of effective management of its land and buildings. The plan also summarises the actions taken since the last asset management plan was reported, the key actions and targets for delivery for the next 3 years, and how these will contribute to delivering the Council’s vision.

3

“We recognise that good asset management is an essential part of delivering better services and demonstrating value for money, this is why improving asset management forms part of our key actions for 2006/7 as set out in “Building a Better Bromley”. We will be an excellent Council, and effective management of our property portfolio is part of getting there”

Councillor Neil Reddin, Portfolio Holder for Resources

This document builds upon earlier asset management plans, and has been developed to reflect the Council’s 2007-12 Capital Strategy. The plan is set out in two parts. The Policy Framework and Procedural Plan confirms the revised organisational arrangements and prioritisation and monitoring procedures being put in place for future delivery, and the Performance and Delivery Plan identifies the ongoing projects and targets through which real improvements are being delivered.

4

1. ORGANISATIONAL ARRANGEMENTS 1. 1 The overriding principle applied to the management of the Council’s land

and buildings is that all property is held and managed corporately. Strategic property decisions are taken by the Executive, with operational responsibility for property matters resting with the Resources Portfolio Holder.

1. 2 Day to day management and review of property assets is the

responsibility of the Council’s Chief Property Officer who heads up the Property Division, and is supported by the Valuation and Estates team and the Construction and Maintenance Team.

1. 3 The principles of the arrangements are that all asset management

planning activity reflects and supports the Council’s corporate Priorities, and is driven by service planning and Departmental Asset Management Plans (DAMPs). These are informed by property performance data, and are then considered corporately, and by the Local Strategic Partnership where shared use/operation are relevant. Recommended actions are then referred to the Executive for strategic consideration and formal decision making.

1. 4 The organisational and decision making arrangements for asset

management were approved by the Executive on 9th January 2006, and are summarised in the diagram below:

Executive

Resources Resources

Portfolio Holder PDS

Strategic Asset

Management Group

Corporate Amp Local Strategic

Group Partnership

CE CE A & CS A & CS E & L E & L Resources Resources LDS LDS C & YP C & YP

Business D.A.M.P Business D.A.M.P Business D.A.M.P Business D.A.M.P Business D.A.M.P Business D.A.M.P

Plan Plan Plan Plan Plan Plan

Asset Management planning Framework

PERFORMANCE CENTRE MANAGERS

Corporate

Priorities

Property performance dataProperty performance data Property

Division

5

1. 5 Departmental Asset Management Plans (DAMPs) are allied to each

department’s business and service plan and reflect improvements identified as a result of best value reviews. These plans work alongside service plans to identify how property used and occupied by the services can best be utilised or procured to enable the achievement of service aims and corporate objectives. These will include input from all Performance Centre Managers related to the individual Departments.

1. 6 A standard Asset Management Statement has been developed for each

property within a DAMP, which includes property details, user information, maintenance history, condition information, running cost data and an assessment of utilisation. Guidance on the content of DAMPs has also been developed by the Property Division, which sets out how to assess suitability and sufficiency, and provides for the inclusion of any relevant performance indicators or benchmarking processes used by each service. Services are then supported in identifying their ongoing property needs and any funding available, and are guided through the process of challenging whether their use of property could be more efficient.

1. 7 The Corporate Asset Management Group includes representation from

each department, and overviews the individual DAMPs, enabling comparison of performance and corporate priority across the portfolio as a whole, and identifying opportunities for shared use and co/location with other services or other public sector bodies. Where joint initiatives are involved, the Corporate Asset Management Group consults and liaises with the Local Strategic Partnership. The outcome of this process feeds potential projects, investment requirements and disposals into the Corporate Prioritisations Process as set out in the Capital Strategy, and the Performance and Delivery element of this plan for strategic consideration.

1. 8 The Strategic Asset Management Group comprises the Chief Officers

Executive and the Corporate Property Officer, who are responsible for making formal decisions within delegated responsibilities and strategic recommendations to the Resources Portfolio Holder and on to the Executive for approval.

1. 9 The Property Division is responsible for delivering actions such as

disposals and capital projects arising from the decision making process, and informing the process with property data. The division always consults with relevant ward Councillors to ensure that local views are taken into account in the decision making stage.

1. 10 The delivery of asset management across the Council will work in tandem

with the delivery of the more detailed Education asset management plan and the emerging Highways asset management plan.

6

2. THE COUNCIL’S CORPORATE PROPERTY FUNCTION 2. 1 The Council has a centralised Property Division, which sits within the

Resources Directorate. This is led by the Chief Property Officer who has overall responsibility for service delivery, and is the Council’s designated Corporate Property Officer. The Property Division is run on a commercial ethos, to ensure both efficiency and value for money

2. 2 The division carries out the functions of Valuation and Estates

Management, Construction Management and Maintenance, Project Management of Capital Projects, Facilities Management and Property Energy Management. It covers the management and control of all Council property, including Education, which has its own dedicated team within the division, and is supported by its own Finance section.

2. 3 The diagram below summarises the structure of the team:

Chief Property Officer

Valuation and Estates Management Projects Maintenance Property Facilities Development/Regeneration Team and Bureau including FM Special Projects Capital Project Help desk, surveyors Energy Management Technical Support Management Engineers, and Caretaking Acquisitions and Technicians Disposals

Business unit

Construction and Maintenance

Education Team Finance

2. 4 Staff within the Property Division work directly with departmental asset

management teams to enable and support the development of DAMPs and to ensure a corporate approach to the development of service delivery indictors relating to property. As part of this support, an AMP standard summary sheet has been developed for all buildings, which includes data related to each building occupied by the department, including costs, measures of utilisation and overall space. This enables the department to make informed decisions about its individual property needs, and is being developed to enable the Property Division corporately to assess and compare building performance across service areas.

2. 5 In addition, the Division provides a regular newsletter, “Property

Blueprint,” for all customers, in particular schools, to ensure that those with independent responsibility for property are aware of their legal and regulatory responsibilities, and are provided with ready access to support and professional advice.

2. 6 The division also runs a help desk for internal customers, which is on the

intranet and is accessible via the Council’s network. It also supports a

7

commercial property availability register to enable access to property information for members of the public. Information relating to Council owned property for sale is also available via the internet, and the Council’s property terrier will be web enabled during the life of this plan as part of the development of e-accessible local government.

2. 7 The Property Division also publishes its Service Level Agreement

annually, which sets out core and sold services and confirms the level to which these services will be provided. The core services are summarised as follows:

Regular inspection by a surveyor/engineer to carry out a condition survey of all building components and plant

Management of Council funded planned maintenance projects Management of Council funded external decorations Management of Council funded capital building projects Asbestos surveys Lead Officer arrangements on all centrally procured contracts for

catering and cleaning Advice on the free school meals policy Annual health checks in respect of caretaking, catering and

cleaning standards Update key holder listings and provide an emergency security

response service where no other key holder is available Undertake suitability and sufficiency surveys (In accordance with

DfES AMP Guidelines for schools) Advice on strategic property issues that have significant funding

implications.

2. 8 The Property Division holds and manages the building maintenance budgets for all council owned property and the Corporate Property Officer has delegated authority for procurement and disposal decisions up to £2,000,000

2. 9 To ensure excellence the Property Division has also developed an Action

Plan for improvement for 2006-2009, with 7 key departmental themes and the actions it will take to deliver them. The themes are:

Customer Focus Continuous improvement Partnership Working Professional management of assets Creative use of assets Delivery of and adding value to front line services Developing people

2. 10 The Property Division is also responsible for the development of specific

property related policy and strategy documentation, which confirms the

8

Council’s policy position in relation to specific issues, and communicates policy principles to all areas of the Council. These policies are approved by the Strategic Asset Management Group. Examples include:

Policy Function

Disability Discrimination Policy Sets out how the Council addresses the requirements of the Disability Discrimination Act

Sustainable Energy Policy Sets out how the Council aims to reduce energy consumption and reduce CO2 emissions.

Office Accommodation Strategy Sets out how the Council aims to deliver Office accommodation of a quality suitable for the effective and efficient delivery of the Council’s core objectives

Water Hygiene Policy Sets out the Council policy on how it deals with water hygiene and the control of legionella.

Electrical Safety Policy Sets out the Council policy on electrical installations and testing.

Fire Safety Policy Sets out the Council’s approach to Fire Safety and compliance with Fire safety legislation.

Gas Safety Policy Sets out the Council’s policy on gas installations and testing.

9

3. ASSET REGISTER AND PROPERTY DATA 3.1 A wide range of property data is held and used by the Property Division to

enable effective management of the Council’s assets. It is widely recognised in Bromley that good quality information is the key to informed decision making and improving efficiency. The table below summarises the range of systems used and the data collected and collated to inform asset management processes:

System Data held & Used

Bespoke Asset Register

Register of all assets against UPRN for each asset, valuation information in accordance with CIPFA accounting requirements. Reconciled annually against the Property Terrier.

Establish Enterprise (Tribal)

Condition information in accordance with former ODPM and DfES requirements, plus CAD drawings, suitability and sufficiency data, asbestos survey data.

Establish Interprise

Fire risk assessment data, DDA data, and water risk assessment data are currently held on bespoke systems, which will be linked to the Establish system during the life of this plan. Access to this information is available to all school customers via the Council’s Intranet, and will be available to all office business managers during the life of the plan. This, together with the Establish Enterprise data, informs the development of planned maintenance programmes.

Confirm Order management system used for the delivery of planned and reactive maintenance works. This system is common across a number of areas of Council service including grounds maintenance and highways, ensuring a consistent and monitored approach to delivery. This links to Oracle, the Council’s finance system (See below).

Archibus Facilities Management system including space planning and utilisation information, linked to CAD drawings, to enable improved property utilisation.

Uniform 2000

Planning and Building Regulation applications information, local land searches and the Local Land Charges Register. This system will be expanded during the life of this plan to include the Council’s Property Terrier, and improve access to terrier information for customers of the service and the public.

Oracle Financial management system that enables monitoring of actual expenditure against budgets and enables building by building reporting. It also records information relating to rent collection from 3rd parties. Information is available to all relevant service departments

10

Eureka Time recording system, which is a management tool, used to assess the efficiency of service delivery and for charging purposes.

TEAM Energy management system monitoring the use of energy over time and by building to inform future investment decisions. It is intended that this system will be linked to electronic meter reading and billing to improve efficiency during the life of this plan.

CAD Drawing system which holds up to date plans of all buildings, which are validate on a 5 year rolling programme and updated following the completion of any notified works

Archive system

A system for storage of information being developed to reduce space required for document storage and improve access to historic building related data.

Cypad Facilities management monitoring system for caretaking, cleaning and catering.

3.2 This demonstrates the wide range of information held, how it is used to

inform budget decisions and the development of planned maintenance programmes and how it links to the Council’s corporate financial management system. The information is available in part to customers of the Property Division, and plans are in place to develop and improve accessibility to this information during the life of this asset management plan.

3.3 In addition to the data held in these systems, the Property Division has

also developed systems for recording and comparing building by building performance data, which informs the development and reporting of national and local performance indicators. During the life of this plan, the database of building performance data will be completed to incorporate the Departmental Asset Management Plan template data, and further measures of performance will be developed to expand the Council’s understanding of how effective asset management planning contributes to the delivery of corporate and service objectives. This data will be linked to the Archibus system described above, to enable comprehensive building performance measurement both within and across departments.

11

4. PROPERTY REVIEW, CAPITAL PRIORITISATION AND OPTIONS APPRAISAL PROCESSES

4.1 The Council has been reviewing its assets for the past 20 years, and has

therefore developed comprehensive review processes that consider assets on a service basis and an area by area basis requiring service users to justify their continued use of property. This process has been effective in rationalising the portfolio, delivering capital receipts, and contributing to regeneration and town centre development. The extent of past land disposal now requires the application of more refined and challenging review techniques, aimed at delivering an efficient and fit for purpose estate. These procedures reflect the organisational arrangements set out in section 1.0 and are linked to the Council’s corporate capital prioritisation and options appraisal process.

4.2 The property review process and the linkage to financial challenge is

summarised in the diagram below: STRATEGIC ASSET MANAGEMENT PLANNING PROCESS

DEPARTMENTAL PROPERTY INPUTS CORPORATE ASSET ACTIONS ASSET MANAGEMENT MANAGEMENT PLAN CHALLENGE GROUP

FIT FOR PURPOSE - DETR CONDITION GRADE CONTINUED

(i.e. appropriate - MEETS FUTURE SERVICE REQUIREMENTS? MAINTENANCE NORMAL/ forcurrent use?) - PROPOSED METHOD FOR ADDRESSING i.e. maintain / USUAL

ISSUES minor improvements/ MANAGEMENT IMPLEMENTATION extensions) AND

QUALITY - CONDITION OF FABRIC MAINTENANCE (i.e. Condition, -DDA COST/CONDITION COST

meets DDA - DDA RECOMMENDATIONS standards, Corporate - "SPACE" STANDARDS/SUSTAINABILITY BETTER

office standards) - ASBESTOS UTILISATION 1 CORPORATE (i.e. explore options ASSET PROJECTS

LOCATION such as change of MANAGEMENT (option IMPLEMENTATION - CURRENT USE/RIGHT LOCATION use, partnerships, PLAN appraisal)

(i.e. right location?) - PREFERRED LOCATION flexible working)

£ REQUIRED BETTER

TENURE UTILISATION 2 (i.e. most - EXISTING STATUS (i.e. explore options

appropriate tenure - - ALTERNATIVE TENURE OPTIONS such as major CAPITAL PRIORITISATION PROGRAMME lease/freehold/sublet?) - USE/OCCUPATION ON ISSUES refurbishments or BIDS

extensions, relocation, acquisitions)

COMMERCIALITY - ADJOINING LAND OWNERSHIP (i.e. short or long - PARTNERING OPPORTUNITIES LONGER TERM term development - LOCAL PLAN CONSTRAINTS & OPPORTUNITIES DEVELOPMENT

opportunity?) - NON-LBB USE? OPPORTUNITY -IMPACT ASSESSMENT (i.e. sell when

appropriate, long CAPITAL SIZE term commerciality) RECEIPTS

PROGRAMME (i.e. under/over sized?) - OVER OR UNDER SIZED (identify IMPLEMENTATION

prospective year and

SURPLUS value) UTILISATION - COULD THERE BE A MORE APROPRIATE (i.e. sell)

(i.e. most NON-LBB USE? appropriate use, - OPORTUNITIES FOR INTENSIFICATION intensity of use?) OF CURRENT USE

12

4.3 The Council reviews annually the resources available to allocate to capital

projects and schemes prioritised for selection. To be considered for capital allocation each proposal must be supported by a completed Capital Project Appraisal form. This identifies the project, the policies and objectives it meets, the outputs it will deliver and its financial characteristics, including both capital and revenue costs. Before a proposal is submitted for consideration under the Capital Bidding process it is subject to option appraisal, which takes into account whole life costing.

4.4 The Capital Project Appraisal forms are prepared by the relevant project

manager for initial departmental prioritisation, and are then considered corporately by the Chief Officers Executive. The main criteria on which schemes are evaluated include:

Urgency (i.e. statutory requirements, health and safety

issues etc.) Aims and Objectives (does the scheme meet Council

priorities?) Outputs/benefits Partnership working Consultation with stakeholders Costs (revenue, capital and whole life) Efficiencies/ revenue savings (including spend to save

initiatives) External funding (leverage) Risk assessment/project management arrangements

4.5 The Chief Officers Executive, which is also represented on the Strategic

Asset Management Group, then places the bids in overall corporate order of priority, and recommends a list to the Executive for approval in the Capital Programme.

4.6 As indicated above, part of the initial development of a bid for capital

funding involves the application of the options appraisal process, which is applied to all projects. This involves an assessment of all options open to the Service/Council for delivering the required change or improvement. In assessing the most appropriate delivery model, some or all of the following options are considered and costed, as appropriate:

In-house delivery Public sector consortium Non-profit distributing organisation (Trust) Tactical contracts (multiple to deliver economies of scale) Local Authority Company Joint Venture Company Partnering Contract

13

PFI/PPP contract (Design Build finance and Operate) Framework Agreement Concession/Franchise Closure/Disposal Community and Voluntary organisations Do Nothing Mixture of the above.

4.7 In major construction projects, which are particularly relevant to the

delivery of asset management, the options to be considered will also include:

Design; Build (Two contracts e.g. architect and builder) Design and build (One contract) Design, build and maintain Design, build finance and operate (PFI/PPP)

4. 8 The suitable options identified are then impact assessed and developed in

consultation with stakeholders and evolve into a preferred option as a result of this exercise. This then informs and refines the detail of the capital bid.

4. 9 The options appraisal process is being developed to ensure an integrated

corporate approach across all areas including procurement and project management. The aim of this is to ensure consistency of approach and quality in decision making processes. The development includes a round of staff training in options appraisal, and the piloting of the new process for the Building Schools for the Future One School Pathfinder Project.

14

5. MONITORING

Capital Programme/Projects 5.1 Monitoring the impact of asset management and the delivery of the

Capital Programme takes place at a number of levels. At the highest level the Executive monitors performance against the Community Plan and Building a Better Bromley. Delivery of the Council’s corporate objectives relies on the monitoring framework that supports the delivery of specific projects and service objectives. This is summarised below:

Executive Meets Monitors delivery of

Monthly Community Plan and Building a Better Bromley Publishes annual public update

Corporate Asset Meets Monitors Management Group Quarterly delivery of AMP

& Capital Strategy

Individual project Consultants review Meets Monitors progress on managers team Monthly individual capital

Property & Finance construction schemes Officers, plus Quality, cost and time appointed architects

Departmental Quarterly Monitor departmental Management teams review projects in the capital

programme Service and client objectives and outcomes, as well as cost and time

Policy Development At any time Scrutinise delivery of & Scrutiny Committees Capital Strategy and AMP for each portfolio and Capital Projects

Post completion within one Applied to all projects review process year of Reports on financial

completion performance, delivery of objectives, customer satisfaction, timeliness and areas for future improvement

Arrows denote lines of communication

15

Property Performance 5.2 Monitoring of property performance is undertaken by the Property Division

through the collection, comparison and benchmarking of a range of national and local performance indicators. Performance against these indicators is reported in the Performance and Delivery section of this plan. This information is reported at least annually to the Strategic Asset Management Group and the Portfolio Holder for Resources. The information is used to influence initial project prioritisation and investment decision making. The monitoring process enables the overall impact of improvements to be measured over time.

5.3 The Property Division is also developing a comprehensive data base of

building by building cost information broken down under the headings of maintenance, cleaning, energy, water treatment, rateable value and rates payable, DDA requirements and Fire Safety to inform the delivery of the accommodation strategy, and to enable the impact of changes to the accommodation to be monitored in detail.

5.4 In addition to physical costs, the Property Division also monitors staff time

against projects and activities, which enables effective and efficient management practices to be developed to ensure value for money in the application of staff resources, accurate charging for sold services and recharging to act as an incentive for service representatives to recognise the true cost of property to service delivery. Disposals

5.5 Property disposals are monitored through monthly meetings of the Project

Review Team within the Property Division. Progress against the disposals programme is reported quarterly to the Portfolio Holder for Resources, and the information is made available to all portfolio holders. This information is used to inform the resources available for future capital allocation.

Maintenance

5.6 Maintenance and expenditure of the Maintenance budgets is also

monitored monthly at Divisional and departmental level, and is reported annually to the Executive. An end of year out turn report is produced following the end of each financial year. This enables the Council to assess the level of budget against the effective impact it has on maintenance backlogs, and helps to inform future budget allocations.

Benchmarking

5.7 Reflecting its ethos for operating on a commercial basis, the Property

Division benchmarks both costs and processes widely. It compares cost

16

and delivery mechanisms to those of its private sector consultants, and property performance and processes with published best practice and with other London authorities through the London Authorities Construction and Property Benchmarking Club (LACPBC) and through the Association of Chief Estates Surveyors (ACES). These organisations also offer an opportunity to explore collaborative and cross border working and asset management initiatives.

17

6. MAINTENANCE AND ENERGY MANAGEMENT PROCEDURES

Building Maintenance Programme 6.1 The Property Division is responsible for carrying out planned, reactive and

cyclical maintenance, decorations and minor improvements to the Council’s portfolio of buildings. This corporate approach is in accordance with best practice.

6.2 All property is subject to a 5-year rolling programme of condition surveys,

under which 20% of the stock is surveyed annually. In addition to this, condition data is updated each time the property is inspected, whether for cyclical maintenance, works, or in response to client concerns regarding the building. This ensures that accurate and comprehensive condition data is available at all times. Condition data is recorded according to the following grading criteria, in accordance with central government guidelines:

6.3 In addition to the condition data, an annual review of all operational

property is undertaken in parallel with on site occupier consultation to establish local maintenance requirements that relate to service delivery.

6.4 The condition survey information is used to develop a five year planned

maintenance programme that seeks to address the poorest areas of condition and backlog for the properties that are to continue in Council use. In addition to this, a list of requirements arising from the review and consultation process is identified and prioritised according to need and

Definition of Condition Categories:

A: Good – Performing as intended and operating efficiently. B: Satisfactory – Performing as intended but showing minor deterioration. C: Poor – Showing major defects and/or not operating as intended. D: Bad – Life expired and/or serious risk of imminent failure.

Priority:

1 Urgent works that will prevent immediate closure of premises and/or address an immediate high risk to the health and safety of the occupants and/or remedy a serious breach of legislation.

2 Essential work required within two years that will prevent serious deterioration of the fabric or services and/or address a medium risk to the health & safety of the occupants and/or a minor breach of the legislation.

3 Desirable work required within 3 to 5 years that will prevent deterioration of the fabric or services and/or address a low risk to the health & safety of the occupants and/or a minor breach of the legislation.

4 Long-term work required beyond a period of 5 years that will prevent deterioration of the fabric or services.

18

benefit. This is moderated by the Head of Construction and Maintenance to reflect budget availability.

6.5 A draft Building Maintenance Programme is then produced for consultation

with service occupiers. Maintenance proposals of over £100,000 in value are capitalised and considered through the capital prioritisation process for inclusion in the capital programme.

6.6 The final Building Maintenance Programme is then submitted to the

Executive for approval, and is monitored through the budget monitoring procedures.

6.7 Reactive and cyclical maintenance is delivered through a Measured Term

Contract with a private sector partner, who uses the Council’s information systems for the ordering and recording of expenditure on all reactive, planned and cyclical maintenance. This enables building by building and per m² analysis of building costs to be analysed for performance measurement purposes.

6.8 The contract has been identified as an M4I (Movement for Innovation)

demonstration project for Construction Excellence, as it involved service customers in the selection of the partnering body, and links payment for the service provided to performance and improvements against agreed benchmarks, and contributes to the Council’s corporate objective of excellence.

6.9 In pursuit of the Council’s strategic objectives for sustainability and a

quality environment, the information on high maintenance cost buildings and the application of life cycle costing techniques has led to the programme being developed on the principle that when requiring renewal, building elements will be replaced with low maintenance alternatives. An example is the use of PVCu for windows, soffits, fascias and cladding rather than conventional timber. This has a lower long term cost and also reduces facilities management costs.

Cyclical Maintenance

6.10 As well as the planned approach to maintenance Property Division also has in place a range of cyclical maintenance contracts that relate to regular inspection and assessment of specific areas of building performance. These address both statutory and regulatory requirements such as asbestos testing, water hygiene and fire risk assessment, as well as physical requirements such as boiler and lift maintenance and electrical inspections. These contracts minimise risk to the Council of building failure, and ensure that the Council’s responsibilities are being fulfilled. Collective purchasing also ensures value for money and consistency of service delivery and compliance, further reducing overall risk.

19

Energy Management 6.11 Energy management information is collected on a building by building and

per m² basis enabling progress towards targets to be assessed. This is fed back to the Strategic Asset Management Group. Energy management considerations are then included as an integral part of the development of programmes of work. Energy audits on all properties are planned to comply with the emerging certification requirements of the recently revised Part L of the Building Regulations.

6.12 During the life of this plan, the Property Division, through the Property

Energy Manager will put in place the energy measurement requirements to enable the Council to comply with the new Part L of the building regulations which requires the energy performance of all buildings to be assessed based on a common European system, and areas of inefficiency to be addressed to meet nationally set targets. This forms part of the Government’s action to reduce carbon emissions, and is in line with the Council’s corporate sustainability objectives.

Budgets

6.13 All maintenance budgets are held and managed by the Property Division.

The Chief Property Officer has delegated authority to decide which projects should be included in the Minor Improvement Programme, and to vary planned programmes that have been approved by the Executive where such action is considered necessary either to protect the Council’s assets or to make the most effective use of resources. Budgets are allocated across the following Budget Heads:

a. Planned Maintenance (Education and non-education) b. Reactive Maintenance (Non-education) c. Cyclical Maintenance (Non-education) d. Decorations (non-education only for 2006/7) e. Minor Improvements (Non-education) f. Mytime Leisure Trust (Grant)

6.14 Performance in the delivery of maintenance, and the plans in place for

addressing the Council’s maintenance backlog are set out in the Performance and Delivery element of the plan.

20

7 OTHER RELEVANT PLANS AND STRATEGIES 7. 1 The adopted asset management framework ensures that the property

implications of other adopted plans and strategies are taken into account. The development of DAMPs includes each service representative identifying from service and strategic plans related to their directorate how their future property needs and the suitability of their premises for future use will be affected. The framework therefore integrates the principles of active asset management across all service areas and all cross cutting strategic plans.

7. 2 The development of the corporate landlord role for the Property Division

also ensures that consistent standards are applied to all property transactions, and that opportunities to maximise income and receipts to the Council are not lost. An example of this is the integration with the development of the South London Boroughs Consortium Highways Asset Management Plan. It is clearly part of the remit of the Highways Division to determine how its specific infrastructure and land assets are managed and maintained, in accordance with specific guidance and statutory requirements. It is however essential that where land held for highways purposes becomes surplus to requirements its disposal is dealt with by the Property Division as the Corporate Landlord. This ensures that any potential additional value, such as could be extracted from the disposal of a ransom strip, or where marriage with adjacent land holdings could increase a potential receipt, can be secured.

21

LONDON BOROUGH OF BROMLEY

ASSET MANAGEMENT PLAN

2007-2012

PERFORMANCE AND DELIVERY PLAN

22

CONTENTS 1. REVIEW OF OUTCOMES DELIVERED SINCE LAST PLAN WAS

REPORTED 2. MAINTENANCE 3. PRIORITY ACTIONS FOR DELIVERY 4. PERFORMANCE

23

1. REVIEW OF OUTCOMES DELIVERED SINCE LAST PLAN WAS REPORTED

Improvements to the delivery of effective asset management 1. 1 Since the asset management plan was last formally reported there have

been significant improvements made in the way in which the Council is structured for the delivery of asset management planning. The Resources Portfolio Plan sets out the issues to be addressed in ensuring that the Council manages its assets well and identified the need to introduce a new asset management framework and revised asset management plan. The new framework has now been adopted, and is as set out in the Policy and Procedural section of the plan.

1. 2 Improvements since the last plan include:

Development of the Property Division as the Corporate Landlord for the Council’s land and buildings portfolio

Adoption of the revised framework for asset management which reinforces the principle that all Council property is owned and held corporately

Development of the Council’s property assessment and review processes to include Departmental Asset Management Plans

Development of a new suite of local performance indicators that involve client evaluation and satisfaction with asset management

Development of accessibility and use of property performance data across all departments

1. 3 This action has resulted in better and more efficient asset management

processes, reinforcing the Council’s commitment to best practice. This contributes directly to the corporate objective of An Excellent Council, as set out in Building a Better Bromley, and also to the Council’s improvement and efficiency agenda. The ongoing areas of action for further improvement during the plan period are set out later in this document.

Projects delivered and outcomes achieved 1. 4 The table below sets out a summary of recent projects delivered and how

they contribute to the delivery of the Council’s corporate objectives:

24

Project Outcome Contribution to corporate objectives

Completion of access and signage improvements to Civic Centre

Compliance with DDA, improved customer access.

A Quality Environment Supporting independence and An Excellent Council

Bishop Justus Church of England Secondary School

Provision of sufficient school places

Ensuring all children and young people have opportunities to achieve their potential

Big Lottery Schemes Enabling pupils to access two hours of sport per week


Farnborough Primary School – new modular accommodation and internal adaptations

To remedy suitability and sufficiency issues at the school


James Dixon Primary School

Relocation of school, completed 2004


Penge Sure Start Provision of Sure Start Unit


Castlecombe Primary School

Nursery provision Ensuring all children and young people have opportunities to achieve their potential

Langley Park School Provision of new mobile classrooms


Chislehurst Road Respite centre – partnership with Bromley PCT

Rationalisation of respite care combining 2 centres into a

Ensuring all children and young people have opportunities to

25

purpose built provision achieve their potential

The Crays Environmental improvements

Safer communities

Widmore Road centre for people with learning disabilities

Provision of residential accommodation for people with severe learning difficulties.


Cotmandene Community centre for people with learning difficulties.

Provision of community based centre for people with learning difficulties.

A Quality Environment Supporting independence and An Excellent Council

Anerley Town Hall Provision of business units

Securing vibrant and thriving town centres

Council Offices DDA works to improve accessibility

Supporting independence and being an Excellent Council

Tubbenden Infant and Junior School

Provision of covered way


Crofton Junior School Replacement of mobile classrooms


Transport Workshops Joint Store A Quality Environment and An Excellent Council

Norman Park Athletics Track

Resurfacing A Quality Environment and An Excellent Council

Alexandra recreation Ground

Improvements to pool/bowls pavilion

A Quality Environment and An Excellent Council

South Hill Wood Demolition of pavilion A Quality Environment Supporting independence and An Excellent Council

26

Scadbury Farm Provision of training facilities


High Elms Staff Accommodation A Quality Environment and An Excellent Council

Churchill Theatre and Central Library

Improvements to air handling


Exchequer House Works to toilets A Quality Environment and An Excellent Council

Anerley Town Hall Roof Works A Quality Environment Supporting independence and An Excellent Council

101A Parish Lane Vacation of premises and relocation of existing occupants

Supporting independence and An Excellent Council

2 Westmoreland Road Relocation of EYCS to Central Library


Adult and Community Services

Relocation of Older person’s Teams following rationalisation


Resources staff Co-location of staff to 2nd floor Stockwell Building


Joseph Lancester Hall Remodelling reception A Quality Environment and An Excellent Council

Joseph Lancaster Hall Rationalisation of Housing Division office space


27

Property Reviews Undertaken 1. 5 Since the last AMP was formally reported a number of specific property

reviews have been completed.

The aim of the review process is to determine where investment is needed and where capital receipts through disposals can be obtained.

1. 6 The reviews that have already achieved outcomes are:

Learning Disability Day Care Provision Special Educational Needs Provision Reviews of Primary and Secondary Schools, which take place on a

three year cycle.

The outcomes include: A new secondary school Expansion by one form entry at a primary school Relocation of one primary school and sale of the site to a private

developer New community day care centre for adults with learning disabilities,

and feasibility underway for a second

These outcomes are also reflected in paragraph 1.8, the list of disposals and in Section 3, the table showing Key Projects.

1.7 The table below shows:

Property reviews most recently undertaken and their anticipated outcomes

Property Reviews currently being undertaken

28

Most Recent Property Reviews

Review Main Recommendations Outcomes

Investment Required Potential Capital Receipts

Other

Library Service Review (Local Economy Portfolio 16.10.06)

Closure of Penge and Anerley libraries

Sale of Penge Library Sale of Anerley Library

New High Street Library

Purchase of freehold/ leasehold and fit out costs

Conversion of Anerley Library into Community Facility

Conversion Works

Relocation of Orpington Library

Conversion works to Walnuts Office

Sale/ Lease of Orpington Library

Mobile Working pilot scheme

Relocation of Book Store and Relocation of book distribution from Central Library

Freehold/ leasehold for new library distribution centre

Relocation of Museum/Archive from The Priory to Central Library

Conversion costs for Central Library

Sale/ lease of Library Potential for Central Library lease as office space

29

Depot Review Prepared by Gavin Moore (Environment and Leisure Services, May 07)

Relocation of Existing contractors from Beaverwood Depot to Churchfields and Central Depot

Conversion and improvement works to Central and Churchfields depots

Sale of Beaverwood depot

Re-provision of Care Homes

Re-provision of Care Homes by Shaw Healthcare at Leesons Day Centre, Manorfields Home, Sheila Stead House and Anne Sutherland House

Sale of 3 sites, possibly for Extra Care Housing

Office Accommodation

Re modelling of 3rd floor, Stockwell Building

Conversion works

Relocation of Learning and Development from 3rd floor Stockwell to East Wing

Filing Solution to East Wing

Relocation of Parking Contractor from St Blaise

Revenue stream from alternative accommodation or reduction in contract price

Loss of rental income from parking contractor

Relocation of Youth Offending Team

Remodelling costs at St Blaise

30

Disposals completed and performance against capital receipts target 1.8 The following properties have been disposed of, achieving capital receipts

to fund the capital programme, and in some cases reducing ongoing maintenance liabilities.

2004-2005 Denbarn Farmhouse Rydal Mount – lease 126 Charterhouse Road, Orpington Land at Ramsden 69 Wellington Road, Orpington Bromley College - deed of variation 2 Harvel Close – equity share Land adj Beckenham Hospital Goddard Rd allotments – residential site Footpath adj Nugent Trading Estate 2005-2006 Goddard Rd allotments – business use site Kevington Fields, St Mary Cray 32 Kent Road, St Mary Cray 2006 -2007 Rangefield Road, Bromley – release of covenant 7 Harvel Close, St Paul’s Cray (equity share). Land r/o 176-182 Croydon Road, Penge

Multi storey car park and 8 Station Road, Orpington Land at Whippendell Close, St Paul’s Cray Former site of James Dixon Primary School

Land at Cray Valley Road Maisonettes above shopping parades 55 Liddon Road, Bromley 2007-2008 114 Maple Road, Penge Site at Mortimer Road, Orpington Maberley Road/ Dorset Road, Beckenham 53 Liddon Road

This has delivered over £27m worth of capital receipts that contribute to the delivery of the Council’s corporate priorities through providing funding to support the capital programme. Performance against targets set is shown at Paragraph 3.6

31

2. MAINTENANCE 2. 1 The Council recognises that the condition of its estate has both an

influence on service delivery, the image it portrays of efficiency and effectiveness to customers and the use of resources. The office accommodation strategy reflects the wider position that much of the council’s accommodation is ageing, with some services accommodated in historic buildings, and that the nature of such accommodation does not always lend itself to efficient usage, low management and running costs, and low maintenance. It therefore recognises the need for longer term premises to be maintained to a suitable level of quality to enable efficient service delivery, and for the plan for addressing maintenance backlog to include a mixture of investment in core buildings and planned replacement of those which are becoming obsolete and a hindrance to effective use of resources.

2. 2 The level of backlog maintenance across the entire estate was previously

calculated in accordance with ODPM and DfES guidelines, which was not consistent between 2003/4 and 2004/5. The figures included the estimate of works required for all condition levels, and did not therefore truly represent backlog, but identified total ongoing investment need. The figures were reported as follows:

Area of portfolio 2003/4 2004/5 2005/06

Non-educational operational buildings

£22,445,837 £15,938,052 £8,871,593

Educational buildings £33,482,883 £46,629,968 £24,164,465

Non-operational £40,000 £40,000 £40,000

2. 3 Since 2004/5 significant consideration has been given to refining the

identified backlog figure to reflect the real position, and to the development of a corporate approach to addressing this to deliver a fit for purpose estate through targeting and prioritisation of the limited funding available.

2. 4 The new approach:

Identifies only works to condition category C and D buildings to be addressed, as these are the ones where their condition is preventing them from operating as intended or where there is serious risk of imminent failure, which could impact directly on service provision.

Generally applies de-minimis levels to schools’ projects of £5,000 for primary schools and £25,000 for secondary schools and the adult education service as this is within the local funding remit.

Includes a contingency sum within the education programme to address works that are not currently funded but where there is a risk of

32

failure and are likely to be outside the scope of the school. No similar contingency is identified for non-education properties, as there is a reactive maintenance budget in place.

2. 5 Using these criteria, the planned maintenance expenditure requirement

over the 5 year period from 2006/7 to 2010/11 is estimated at £30.5m. A formal plan to address this was adopted by the Executive on 6th September 2006. This plan will be implemented in parallel with the delivery of ongoing asset management outcomes that will contribute to improving the estate through rationalisation, improved efficiency and utilisation, the implementation of prioritised capital projects and the property review process which helps to determine future capital programmes.

2. 6 Budgets for addressing maintenance have been approved for 2006/7 as

follows:

Area of maintenance Approved budget

Education Planned Maintenance £3,247,000

Non-education planned maintenance £1,175,000

Reactive Maintenance £779,000

Cyclical Maintenance £323,000

Non-education Decorations £393,000

Minor Improvements £227,000

Mytime Leisure Trust Grant £225,000

Total £6,369,000

2. 7 As a result of the continued pressure on budgets only the very highest

priority schemes have been programmed for completion. This represents a risk to the Council that building failures may lead to the need for work scheduled in the planned maintenance programmes for later years to be spent earlier than anticipated. At present, the Property Division ensures that, in accordance with best practice, the ratio between planned and reactive maintenance is 86% planned, including cyclical maintenance against only 14% reactive. An additional risk of budget restrictions is that the demand for reactive maintenance will increase as wants of maintenance impact upon service delivery.

2. 8 It is recognised that budgetary pressure will continue, therefore the plan

adopts the following initiatives in order to minimise the maintenance backlog through a holistic approach:

Consideration of Whole Life Costing and the continued use of

maintenance free elements such as PVCu windows and external joinery

33

Identification of those buildings with high maintenance needs and where appropriate consideration of replacement with modular buildings

Combining projects of a similar nature for bulk tendering to benefit

from increased economies of scale and further improve value for money from the delivery of the repairs service.

Continuing the use of the Field Studies Centre trainees to support

the Council’s programme of redecoration whilst also contributing to the objective of helping long term unemployed people back to work.

Improving the utilisation and efficiency of the buildings through the

application of the new AMP framework

Continuing to rationalise the portfolio to bring the portfolio condition closer to budgetary availability

2. 9 A new local performance indicator has been introduced to measure

performance against a three year rolling programme of targets, which will be reviewed annually over the plan period. Current targets set for reduction in the maintenance backlog are as follows:

Performance indicator 06/07 Target

07/08 Target

08/09 Target

09/10 Target

10/11 Target

Reduction of maintenance backlog (% of total)

5%

7%

10%

TBA

TBA

2. 10 Performance against this indicator will be reported annually, and will

inform the setting of budgets and rationalise decision making processes in future years of the plan period.

34

3. PRIORITY ACTIONS FOR DELIVERY 3. 1 The following priority actions have been identified for delivery during 2006/7. The tables of projects provided will

be updated and reported formally on an annual basis, and will form part of the monitoring process for assessing the outcome of the asset management process. It is anticipated that the introductions of DAMPs will have a significant impact on the project list during the life of the plan.

Key Projects

Project Objective/theme delivered

Funding Timetable for completion

Children and Young People Portfolio

Rebuilding of Langley Park School for Boys

All children and young people having opportunities to achieve their potential

BSF One School Pathfinder

2009

Capital works to amalgamate Rectory Paddock and Woodbrook Schools as a single 150 place school on Rectory Paddock Site

Delivery of special educational needs – Children and Young People

Capital Programme New School for completion 2008

Works to access and suitability of Glebe School for students with severe/complex learning difficulties

Delivery of special educational needs – Children and Young People

Capital Programme plus Standards Fund Grant

Rolling programme 2007-2010

Establishment of Children’s Centres All children and young people having opportunities to achieve their potential

DfES Grant 2006-2008

Pupil Referral Unit – provision of new facilities

All children and young people having

Capital Programme 2007

35

opportunities to achieve their potential

Youth Centres – capital improvements All children and young people having opportunities to achieve their potential

Magpie Youth Centre insurance claim

2006

General Schools suitability and modernisation programme


Modernisation Fund Grant

Ongoing

Coopers Technology College/Marjorie McClure Schools – car park expansion

A quality environment Capital Programme 2007

Seed challenge (match funded with school)


Capital Programme 2007/08

Access initiative (to meet the needs of individual pupils with access needs)


Capital Programme 2007/08

Access Initiative-DDA Audits of Bromley schools



Audit of School Kitchens All children and young people having opportunities to achieve

DfES Grant

2007

36

their potential

Raglan Primary School- refurbishment of kitchen


Modernisation Fund Grant

2007

Reconfiguration of primary school SEN units



Post 16 Infrastructure All children and young people having opportunities to achieve their potential

Standards Fund grant

2007/08

Planned Maintenance and Modernisation Fund (Comprising approximately 114 individual projects)


Grant, Dedicated School’s grant and pa from schools’ budget

2007/08

Environment and Leisure Portfolio

Station Road Car Park – works prior to disposal and landscaping/car parking provision at Priory Gardens

Supports the objective of securing vibrant and thriving town centres, being an Excellent Council and a quality environment

Funded by capital receipt from disposal of car park

2007/08

High Elms – provision of new visitors centre

A quality environment and Being an Excellent Council

LPSA reward grant 2007

37

Various Works to be undertaken by Leisure Trust Client, and funded in accordance with Trust agreement

A quality environment, supporting independence and being an Excellent Council

Capital Programme Ongoing

Adult and Community Services Portfolio

213 Widmore Road - refurbishment Supporting independence Capital Programme and £250,000 LDDF grant

2007

Learning Disability Day Centre A quality environment, supporting independence and being an Excellent Council

Capital receipt 2007/08

Improve access to libraries as the 2nd phase of the access strategy Including Bromley Central Library lift improvements

Part of the Portfolio Plan for effective management of land and property, contributes to supporting independence and an excellent Council

Planned Maintenance Budget and Capital Programme

For completion FY 06/07

Resources Portfolio

Health and Safety-DDA Works A quality environment, supporting independence and being an Excellent Council

Capital programme Ongoing

Carry out accommodation works and moves to enable more efficient use of office accommodation. Individual schemes include:

Relocation of Liberata from Exchequer House to provide vacant possession to enable

Part of the Portfolio Plan for effective management of land and property, contributes to an excellent Council

Revenue budgets Ongoing

38

marketing

Relocate Early Years to Central Library

CYP Social Care Managers from 3rd to 1st floor, Stockwell

Adventure Kingdom- add mezzanine level and convert to use for customer facing services and office use

Relocation of library book distribution form 6th and 7th floors, Central Library to ground floor accommodation not yet acquired

Possible creation of single post room

Feasibility of decanting current occupants of ground floor, St Blaise, to make room for YOT team. Current occupants to be relocate at various sites either within Civic Centre or of-site

Relocation of Street Services to 3rd floor, North Block

Co-location of Bromley Knowledge and Communications team

Customer Services Project team

Co-location of Call Centre staff

Asbestos management and improvement programme

A quality environment and being an Excellent Council

Capital Programme Ongoing 4 year rolling

39

programme

Water treatment and hygiene works A quality environment and being an Excellent Council

Capital Programme Ongoing programme

Acquisition of property for Bromley Town Centre Development

Vibrant, thriving town centres

Capital Programme To be determined

40

Roll out of DAMP framework and programme of future property reviews 3. 2 The initial development of Departmental Asset Management Plans for all

departments is programmed to be completed by September 07 to enable the findings of the plans to contribute to the Council’s corporate budget setting processes. The development of standard documentation for DAMPs has been undertaken by the Property Division, together with guidance on the proposed format.

3. 3 The information from the DAMPs will be analysed across all service areas

by the Property Division and will be used to determine any priority areas for specific review. Specific reviews may be geographical and cross service/cross agency, use based, such as a review of office accommodation, or service specific such as a review of say day centres. The outcome of the DAMP process, and the prioritised reviews that are identified, will be used to determine the future of specific properties in accordance with the strategic asset management process, i.e.:

Hold and continue to maintain Improve utilisation – through partnering, change of use, flexible

working etc Improve utilisation – capital bid and options appraisal required Identify as long term development opportunity – hold and sell when

appropriate, put plan in place for vacation and minimal maintenance Surplus – for disposal programme

3. 4 All DAMPs will be updated annually as part of the delivery of asset

management. The outcomes will be reflected in the annual updating of the Performance and Delivery element of the plan, and will be reflected in the Capital Programme, key projects and disposal programme.

Disposals Programme and targets for delivery of capital receipts

3. 5 The following table sets out the properties that have been identified and

approved for disposal through the asset management process. Receipts from these properties will contribute to delivery of the Capital Programme, and will provide funding for other projects to deliver the Council’s corporate and service objectives:

Property Estimated Timetable/progress

Simpsons Road and Westmoreland Road MSCP (Opportunity Site K)

To be marketed on basis that development must include cinema use Closing date August 07

Site B (Formerly D) Tweedy Road, Bromley

Offer accepted from Broomleigh. Report to Executive June 2007

41

114 Eldred Drive, Ramsden Anticipated completion July 07

Maisonettes above shops Transfer to Broomleigh HA. 12 transferred. On going as become vacant.

Old Forge, Skibbs Lane, Chelsfield

Lease completed. Options under considerations.

The Bungalow, Skibbs Lane, Chelsfield

GOL consented to release from Green Belt Estate. Being marketed. Closing date 14.6.07

Whippendell Way, St. Paul’s Cray Report to Portfolio in June 07 to declare surplus and market

Sunrise Centre, Betts Way, Anerley

Reporting offers to PH in June 07

Former site of James Dixon School, Ridsdale Road Site

Reporting to PH in June 07 to seek authority to market

117 South Eden park Road On market. Closing date 13.6.07

Harvington Depot, South Eden Park Road, Beckenham

Offer accepted. Draft contracts issued

Brook Lane Allotments To be marketed. Developer to resolve access and other issues.

Amenity Land, Croxley Green, St. Paul’s Cray

Possible disposal to Broomleigh

Former Beckenham Mortuary Sale to PCT

Former Bromley Town Hall and South Street car park

Awaiting outcome of special meeting of Executive and DCC

Martins Hill Lodge, Bromley To be marketed

Leesons Day Centre To be sold to Shaw Trust (following Care Homes Review)

Manorfields Elderly People’s Homes

To be sold to Shaw Trust (following Care Homes Review)

Anne Sutherland House To be sold to Shaw Trust (following Care Homes Review)

Sheila Stead House To be sold to Shaw Trust (following Care Homes Review)

Astley Day Centre Options under consideration

101A Parish Lane To be advertised

Car Park, Anerley Town Hall Possible sale for residential development (following Libraries Review)

1 Church Hill, Orpington Awaiting outcome of Master Plan for Bromley

8 Mason Hill Subject to availability of alternative accommodation for current occupants

Small Civic Halls, Orpington Lessee wishes to buy freehold interest

42

Orpington Library Subject to relocation of existing library (following Libraries Review)

Penge Library Subject to relocation of existing library (following Libraries review)

Oakfield Day Centre, Penge Subject to vacation by existing occupant

Belle Grove, St Paul’s Cray To be considered for Extra Care Housing (following Care Homes Review)

Kingswood To be considered for Extra Care Housing (following Care Homes Review)

Isard House To be considered for Extra Care Housing (following Care Homes Review)

Adult and Community Services Hostels (10)

Reporting to Resources Portfolio in June 2007

Bushell Way/ Whitehorse Hill Allotments

Area available for development to be determined. Current planning designation would not allow residential use

Beaverwood Depot Availability dependent on outcome of Depot Review

The Hill Cark Park Timing not yet established

Shop Units, Hazel Walk, Bromley Future report to Portfolio Holder on possible disposal

Shop Units, Chilham Way, Hayes Future report to Portfolio Holder on possible disposal

3. 6 This demonstrates that the asset management processes deliver an

active disposals programme, which is monitored by the Property Division. Progress on disposals and receipts against targets will be formally reported at least annually as part of the Performance and Delivery plan. The current targets and recent performance for capital receipts generated through asset management are as follows:

04/05 Actual

05/06 Target

05/06 Actual

06/07 Target

06/07 Actual

07/08 Target

08/09 Target

09/10 Target

10/11 Target

£3m £2m £. 8m £23m £20.7m £5.4m £5m £5m £5m

3. 7 This shows strong performance against target for 05/06, and ongoing

targets from 08/09, which reflects the fact that the majority of the Council’s

43

surplus property has been disposed of as a result of 20 years of property review.

Action plan for improving asset management performance and efficiency

3. 8 Both the Portfolio Plan 2006/7 and the Improvement and Efficiency Plan

2006-2010 identify a range of service improvements to be put in place during the plan period. For 2006/7 the Portfolio Plan identifies the following:

Introduce new asset management framework and procedures –

adopted and now being implemented Ensure that all departments are advised of relevant property

performance data to enable more efficient use of office accommodation – Property Division developing comprehensive database of information to support DAMP process, and researching options for incentivisation of services to use space more efficiently.

3. 9 The Improvement and Efficiency Plan 2006-2010 identifies the following

actions:

Introduction of the new Asset Management Planning Framework including preparation of the new Departmental Asset Management Plans, preparation of the Strategic Plan and increase capital receipts.

Collection of property performance data and identification of poorly performing properties

Completion of Facilities Management database Improved performance of the investment portfolio Accommodation changes to create more efficient workspaces

44

4. PERFORMANCE 4. 1 The Property Division collects information that enables relevant and useful

performance indicators to be reported and compared year on year to assess the impact of asset management processes. These include a wide range of PI’s, as follows:

Statutory PI’s: BV PI 156: The percentage of Authority buildings open to the public in which all public areas are suitable for and accessible to disabled people. This contributes directly to the delivery of the priority for supporting independence.

04/05 Actual

05/06 Target

05/06 Actual

06/07 Target

07/08 Target

08/09 Target

09/10 Target

10/11 Target

Performance 46% 50% 49.1%

55% 60% 60% TBA TBA

Property PI’s

4. 2 The Property Division has developed a performance spreadsheet, which

is being populated with the following information on a property by property basis. All data has now been collected and the spreadsheet will be completed by December 2006 to feed into the DAMP process.

Total 25 year anticipated maintenance costs Annual anticipated maintenance per m² Cyclical maintenance costs Cyclical maintenance costs per m² Total annual maintenance costs per m² Annual cleaning costs Annual cleaning costs per m² Annual gas costs Annual gas costs per m² Annual electricity costs Annual electricity costs per m² Annual water costs Annual water costs per m² Total energy costs per m² Anticipated water treatment costs Anticipated water treatment costs per m² DDA DDA costs per m² Fire safety

45

Fire safety per m² Total legislative costs per m²

4. 3 This enables building by building cost and efficiency comparison, and is

used to support the outcomes of the asset management processes and to identify options for improvement. Performance against these PI’s is reported to each departmental group as part of the DAMP process and contributes to property decisions and actions proposed. The information is also available to the Strategic Asset Management Group to provide evidence to support and justify corporate decision making and investment allocation.

4. 4 The information will also be used during the plan period to inform the

setting of service relevant targets such as space usage, specific maintenance standards, and energy efficiency requirements. This contributes directly to the Council’s objective to be an Excellent Council, and enables opportunities for Gershon savings, rationalisation and invest to save initiatives to be identified and implemented.

Building construction and maintenance PI’s:

4. 4 In addition to the above, for projects over £50,000 the following PI

information is collected and benchmarked with other local authorities. The benchmarking enables areas of poor performance to be identified and improvements put in place based on processes successfully adopted by better performing authorities.

Contractor satisfaction with the completed project or facility Consultant satisfaction with the completed project or facility User satisfaction with the completed project or facility Client satisfaction with the service received User satisfaction with the service provided by the commissioning

client Commissioning client’s satisfaction with the service provided by the

user Commissioning client’s satisfaction with the consultants’ overall

performance Commissioning client’s satisfaction with the consultants’ value for

money Commissioning client’s satisfaction with the consultants’ quality Commissioning client’s satisfaction with the consultants’ timely

delivery Commissioning client’s satisfaction with the consultants’ Health and

Safety awareness Number of defects at handover Defects at end of defects liability period

46

Number of disputes and claims Final account settlement Health and Safety, Environmental impact of construction Environmental impact of project.

4. 5 This ensures that delivery of the service objectives is monitored by the

Property Division, and can be improved upon if necessary. The use of these PI’s contributes to becoming an Excellent Council, and ensuring a quality environment.

4. 6 Under the Council’s Local Public Service Agreement the Government

Office for London has provided £60,000 funding related to the reduction of energy usage. Targets have therefore been set to reduce energy usage by 5% per annum for the next 3 years, which if achieved will result in a reward payment of a further £1m. Performance against the target will be reported to Chief Officers Executive annually.

Service related PI’s

4. 7 The DAMP process includes provision for the development of a suite of

service related PI’s that will evaluate how the Council’s property assets contribute to the delivery of service objectives, through linkage to suitability, capacity and user satisfaction. The list below sets out those that have been proposed for consideration as part of the new asset management framework, and which will be refined to reflect specific service and user satisfaction with individual buildings through consultation with service representatives as the DAMPs are rolled out:

% of portfolio by GIA m2 for which a suitability survey has been

undertaken over the last 5 years (Excluding schools, which are subject to DfES suitability assessment requirements)

Number of properties for which a suitability survey has been undertaken over the last 5 years (Excluding schools, as above)

% of operational properties with good suitability rating (good will be defined in relation to a score)

% of operational properties for which user satisfaction surveys have been undertaken

% of office space for which a capacity assessment has been undertaken (Linked to the Archibus system)

% of office space assessed for under or over utilisation (based on building specific space standards and capacity assessments)

Overage office floor space per staff member % of direct service buildings under or over utilised now or against

known forecast usage.

47

4. 8 Base line assessments of the indicators agreed with the services will be put in place as part of the DAMP process during 2006/7, enabling targets to be set for later years of the plan period. These indicators and targets will be reviewed during the life of this plan and refined to ensure they deliver both corporate and service benefits. Performance against targets will be monitored by the Corporate AMP Group and used to help determine outcomes in accordance with the strategic asset management planning process. Performance against these indicators will be reported at least annually to the Strategic Asset Management Group and Members.

4. 9 The table below sets out further local performance indicators, including

those that were initiated in 2005/6 and relevant targets:

Indicators 04/05 Actual

05/06 Target

05/06 Actual

06/07 Target

07/08 Target

08/09 Target

09/10 Target

10/11 Target

Capital receipts £3m £2m £8m £23m £5.4m

£1m £1m £1m

Planned maintenance programme (% number of projects completed)

New 95% 96% 96% 96% 97% To be set 07/08

To be set 08/09

Client evaluation (projects % Satisfaction)

New New 82% 83% 84% 85% To be set 07/08

To be set 08/09

Reduction of Maintenance Backlog (%Total)

New New New 5% 7% 10% To be set 07/08

To be set 08/09

Achievement in CPA “Use of Resources” management of authority’s asset base

New Level 3

Level3

Level4

Level 4

Level4

Level4

Level4

4. 10 The aim of these indicators is to address the key areas of concern and to

ensure continued improvement in asset management delivery. They contribute to the Council’s overall objective of being an Excellent Council, which includes both efficiency and customer satisfaction.

london borough of bromley resources directorate · 2010-02-16 · 2 introduction our purpose:...

Documents