ANNUAL REPORT 2005/06
Chair's Foreword
During the past year, the Commission's Secretariat continued to provide Secretarial functions for the Boundary Commission for Wales and will continue to do so for the foreseeable future.
We have undertaken a range of work within the statutory powers that govern our activity. The Commission completed their review of the boundary between the Counties of Ceredigion and Pembrokeshire in the vicinity of Cilgerran, publishing their Report and Proposals in May 2005. The Commission also completed their review of the boundary between the Communities of Brackla and Coity Higher in the County Borough of Bridgend, publishing their Draft Proposals in April 2005 and their Report and Proposals in August 2005. In May 2005 the Commission commenced a review of the boundary between the Communities of Dyffryn Clydach and Blaenhonddan in the County Borough of Neath Port Talbot. Draft Proposals for this review were published in November 2005. The Commission have also undertaken preparatory work for the next review of principal council electoral arrangements in Wales by requesting that principal councils identify any anomalies in the communities in their area and offering to assist in the council's work to address such anomalies. The response from principal councils has been most encouraging and we look forward to continuing this collaboration during the main review which is expected to commence in 2008.
The details of the reviews are set out in the report, but I must emphasise once again that our overriding objective in every case is to bring forward proposals that are in the interests of effective and convenient local government and which are arrived at objectively and independently. A vital part of all our work are our consultation procedures which we try to make as comprehensive as possible and as appropriate as possible to the scale of the review. We are grateful for all the representations that we receive. We consider very carefully every single one of them as we assess evidence before reaching our conclusions, although inevitably some people are sometimes disappointed by our conclusions.
In conclusion, I would like once again to thank my fellow Commissioners and all the members of our small Secretariat for their continued support throughout the year.
Mrs. SUSAN SMITH LLB
Chair
CONTENTS
1. INTRODUCTION
2. OBJECTIVES
3. ACTIVITY IN THE PREVIOUS YEAR
4. THE WORK OF THE COMMISSION DURING 2005/06
5. CORPORATE MANAGEMENT: POLICIES AND PRACTICE
6. SUMMARY FINANCIAL STATEMENT
1. INTRODUCTION
The Commission
1.1 The Local Government Boundary Commission for Wales was established in
June 1974 under the terms of Section 53 of the Local Government Act 1972 (the
1972 Act). The statutory functions
of the Commission are specified in Sections 54 to 78 of the 1972 Act as amended
by the Local Government (Wales) Act 1994 (the 1994 Act). Schedule 8 to the 1972 Act makes provision for the Commission’s
constitution and proceedings.
1.2 The purpose of the Commission is:
To review local government areas and electoral arrangements in Wales,
with a view to considering whether or not to make proposals to the National
Assembly for Wales for effecting changes which appear to the Commission to be
desirable in the interests of effective and convenient local government.
Membership
1.3 From 1st April 2004 to 31st March 2005:
Chair:
Mrs. S. G. Smith LLB.
Deputy
Chair: Mr. J. E. Davies ICSA IPFA
Member:
Mr. D. H. Roberts BSc DMS MBCS MIMgt.
The National Assembly for Wales makes appointments to the Commission. Mrs. Susan Smith was re-appointed Chair from the 1st January 2005. Mr. John E. Davies and Mr. Dennis H. Roberts were also re-appointed from that date. Mr. John Davies, Deputy Chair, was Chairman of the Audit Committee. The Commission must have at least one Welsh speaker, and both Mr. Davies and Mr. Roberts fulfil this requirement.
Commissioners currently hold membership of other public bodies. Mrs Smith is a Member of the Boundary Commission for Wales, Chair of the Pembrokeshire County Council Standards Committee, the Independent Adjudicator for Local Authorities in Wales (under Local Government and Housing Act 1989). She is a Director of the Llandaff Diocese Board of Finance (Church in Wales) and Chair of their Parsonage Board. The Diocesan Board of Finance is a company limited by guarantee. Mr Davies is a Non Executive Director for the North West Wales NHS Trust.
Commission meetings are held as often as the programme of work dictates. It is the Commission's normal practice to visit the locality of reviews, especially in respect of area (boundary) reviews. In the interests of efficiency, site inspections are combined with Commission meetings whenever possible. Eight meetings were held during 2005-06.
The Auditor General for Wales is the Commission's external auditor, while contracts exist for the provision of internal audit, legal, accountancy, translation and printing services.
The
Secretariat
1.4 The Commission's secretariat is located in Caradog House, 1-6 St. Andrews Place, Cardiff. At the beginning of the year there were 5 members of staff. The post of Secretary is occupied by a direct employee of the Commission on a part time basis, while the 4 other members of staff were civil servants seconded from the National Assembly for Wales: 3 working full time and 1 working part-time. From 1 January 2006 the post of Finance Manager was filled on a direct employment basis, increasing the number of staff directly employed by the Commission to 2.
1.5 From 1 January 2002 the Commission's Secretariat undertook responsibility of providing a Secretariat to the Boundary Commission for Wales for its Fifth General Review of the Parliamentary constituencies in Wales under a Memorandum of Agreement between the Commission, the National Assembly for Wales, the Department for Transport, Local Government and the Regions and the Office of National Statistics. The Boundary Commission for Wales' Fifth General Review started in December 2002 and was completed on 31st January 2005. The Commission's Secretariat will continue to provide this function for the foreseeable future. From June 2005 the Sponsor Department for the Boundary Commission for Wales changed from the Office of the Deputy Prime Minister to the Department for Constitutional Affairs. A new Memorandum of Agreement between the National Assembly for Wales and the Department for Constitutional Affairs is being drafted.
Statutory Duties
1.6 The main duties of the Commission are:
Local Government Areas
- To keep under review all principal areas in Wales for the purpose of
considering whether or not to propose to the National Assembly for Wales changes
appearing to the Commission desirable in the interests of effective and
convenient local government;
- To consider requests for reviews from local authorities;
- To consider reports made by principal councils in respect of community
area reviews carried out by them and make recommendations to the National
Assembly for Wales;
Electoral Arrangements
-
Under the provisions of the new section 64 inserted into the 1972 Act by
Section 6 of the 1994 Act, as soon as practicable after the ordinary election of
councillors for any of the Welsh principal areas held in 1995 the Commission
were required to:
- Review the electoral arrangements for that area with a view to
considering future electoral arrangements; and
- Formulate proposals for those arrangements; and
- Review the electoral arrangements for that area with a view to
considering future electoral arrangements; and
- Not less than ten or more than fifteen years after the completion of the initial review and thereafter, at similar intervals, to review the electoral arrangements for every principal area in Wales.
Directions
- The National Assembly for Wales may direct the Commission to conduct a review of Wales as a whole, or of any one or more local government areas or parts of such areas in Wales.
Review Procedure
1.7 Section 60 of the 1972 Act lays down procedural guidelines to be followed when undertaking all reviews. The basic stages of a review are:
- an announcement of the review’s commencement in which initial suggestions and comments are invited by a specified date;
- the publication of the Commission’s draft proposals when comments on them are similarly invited by a specified date; and
- the publication of final proposals after which any further comments must be addressed to the National Assembly of Wales.
2 OBJECTIVES
2.1 The Commission are sponsored by the Local Government Policy Division of the National Assembly for Wales. The Commission are subject to periodic Policy Reviews which provide medium term strategic and policy guidelines for the Commission's annual plans. The last strategic planning period began with a Policy Review of the Commission undertaken by the National Assembly for Wales in 2001.
Targets
2.2 Directions from the National Assembly for Wales to the Commission to undertake area reviews contain directed deadlines, which are set following consideration of the complexity of each review. The Commission aims to complete area reviews undertaken at the request of local authorities within twelve months.
2.3 The procedures to be followed when undertaking a review are defined by statute, requiring the Commission to inform and consult widely and take into account representations before making any final proposals to the National Assembly for Wales.
2.4 There are no statutory time periods for the consultation or other stages of the procedures, which are left to the discretion of the Commission. The Commission have given careful consideration to the need to provide adequate time for the views of local authorities and other interested persons to be submitted. Targets are set within the twelve months of a review for the stages of publicity and consultation, the production of draft and final reports and the time needed for assessing the issues involved. However, the Commission occasionally find it necessary to take into consideration particular circumstances and, unless directed deadlines apply, are flexible in adherence to targets.
3. ACTIVITY IN THE PREVIOUS YEAR
Principal Area Reviews
3.1 The Commission commenced a review of the boundary between the Counties of Ceredigion and Pembrokeshire in the vicinity of Cilgerran, publishing their Draft Proposals in December 2004.
Community
Reviews
3.2 Having received a Direction from the Minister for Finance, Local Government and Public Services on 31 July 2004, the Commission commenced a review of the boundary between the Communities of Brackla and Coity Higher in the County Borough of Bridgend in September 2004.
Community Ward Boundary Project
3.3 The Commission commenced a project to capture digitally the boundaries of Community Wards in Wales. The tender for stage one, the scanning of Community Order maps, was let in October 2004.
4. THE WORK OF THE COMMISSION DURING 2005/2006
Principal Area Reviews
4.1 The Commission completed their review of the boundary between the Counties of Ceredigion and Pembrokeshire in the vicinity of Cilgerran, publishing their
Report and Proposals in May 2005.
Community Reviews
4.2 The Commission completed their review of the boundary between the Communities of Brackla and Coity Higher in the County Borough of Bridgend, publishing their Draft Proposals in April 2005 and their Report and Proposals in August 2005.
4.3 In May 2005 the Commission commenced a review of the boundary between the Communities of Dyffryn Clydach and Blaenhonddan in the County Borough of Neath Port Talbot. Draft Proposals for this review were published in November 2005.
4.4 The Commission has become aware that since the Special Community reviews of the 1980s, relatively few reviews have been conducted by the principal councils. The Commission wrote to all Chief Executives to remind them of this legislative requirement. The next full review of electoral arrangements to be undertaken by the Commission will be enhanced if all authorities have addressed local anomalies before the commencement of this work. As a result of discussions with Local Government Policy Division, an offer has been made to assist principal councils with this work using the Commission's expertise.
Community Ward Boundary Project
4.5 The Commission continued their a project to capture digitally the boundaries of Community Wards in Wales during 2005-06. Following stage one, the scanning of Community Order maps which was completed in 2004-05, the scanned map underwent checking which was completed in June 2005. The second stage of the project, which will be to convert the scanned community boundaries into mapping data, has been partly undertaken 'in house' during 2005-06 and will continue during 2006-07.
5. CORPORATE MANAGEMENT: POLICIES AND PRACTICE
Management Statement, Financial Memorandum and Codes
5.1 A Management Statement and associated Financial Memorandum describe the relationship between the Commission and the National Assembly for Wales and require the submission of Annual Operational Plans and Annual Reports to the National Assembly for Wales for the purposes of planning, budgeting and assessing performance. Quarterly liaison meetings and an annual review meeting are held with the sponsor division of the National Assembly for Wales. The Commission were invited to present their Annual Report and Accounts to the Local Government and Housing Committee of the National Assembly for Wales on 20 April 2005.
5.2 A Code of Best Practice for Commissioners has been adopted and a register of the direct or indirect pecuniary interests of Commissioners is open for public inspection. Access can be arranged by contacting the Secretary at the Commission's offices. There is a similar code in relation to staff.
5.3 The Commission meets as an Audit Committee, chaired by the Deputy Chair of the Commission. During the year the Audit Committee met three times.
5.4 Working practices have been adopted which accord with the principles of openness, consultation and helpfulness. For example, the Commission give widespread publicity to their intention to hold each review and write to and visit the local authority concerned to discuss the review and invite their initial comments. For each review the Commission issue press releases on their draft and final proposals and sufficient copies of reports are supplied to enable their free distribution to all members of principal and community councils affected by the proposals and local libraries. A number of copies are also available for local residents on request. The Commission's web site: www.lgbc-wales.gov.uk gives information about the Commission, the progress of reviews and access to previous reports. During the year the Commission adopted a Business Continuity Plan and Whistleblowing Policy.
5.5 In October 2005 the Commission held their eighth Annual Open Meeting, on this occasion in the National Library of Wales, Aberystwyth. The guest speakers at the meeting were Owen Watkins (Chief Executive, Ceredigion County Council), Huw Thomas (Assistant Librarian, National Library of Wales) and Melvin Humphrys (Senior Elections Officer, Powys County Council).
Budget and Audit
5.6 The Commission's expenditure on staff costs, other operating charges and acquisitions of fixed assets during 2005-2006 of £331,982 on a cash basis was within the grant-in-aid allocation for the year of £356,000. The Commission is committed to achieving value for money when purchasing goods and services.
5.7 To ensure efficiency and value for money a comprehensive set of desk instructions relating to systems and procedures is in place. The Commission's internal auditors were the Internal Audit Service of the Welsh Assembly Government. The Auditor General for Wales has undertaken the external audit of the Commission's finances.
Welsh Language Scheme
5.8 The Commission wish to make it clear that the public can deal with them in Welsh. In July 1998, the Commission adopted their Welsh Language Scheme in accordance with the provisions of the Welsh Language Act 1993 and the Welsh Language Schemes (Public Bodies) Order 1996. The Commission have now issued their eighth annual report to the Welsh Language Board on the operation of the scheme. In summary, the report confirms that the Commission are complying with the measures, timetable and targets set out in their scheme. Evidence of the commitment to the principle that in the conduct of public business in Wales, the Commission will treat the Welsh and English languages on a basis of equality is contained in the bilingual publication of all the reports and attendant publicity referred to in this Annual Report. However the scheme also contains many other detailed measures in support of the principle and a copy of the full report will be supplied on request or may be accessed on the Commission's web site.
Training and Information Technology
5.9 The Commission is part of the National Assembly's MERLIN partnership which has continued to provide the majority of the Commission's IT requirements both hardware and software. This has increased the Commission's IT efficiency and greatly reduced the risks associated with IT failure and replacement.
5.10 Staff development training courses have been attended during the year.
6. SUMMARY FINANCIAL STATEMENT
SUMMARY FINANCIAL STATEMENT
This Financial Statement provides a summary of the accounts of the Local Government Boundary Commission for Wales (the Commission) for the financial year ending 31 March 2006. It does not contain sufficient information to allow for a full understanding of the results and state of affairs of the Commission. For further information the full annual accounts and auditor's report on those accounts should be consulted. A copy of the audited accounts, which contain the detailed information required by law and under best practice guidelines, can be obtained, free of charge, from the Finance Manager, Caradog House, 1-6 St. Andrews Place, Cardiff, CF10 3BE.
Statutory Background
The Commission was established under Section 53 of the Local Government Act 1972 for the purposes of keeping under review the areas and electoral arrangements of local government in Wales. The Commission's general function, as set out in the 1972 Act, is to "make proposals to the National Assembly for Wales for effecting changes appearing to the Commission desirable in the interests of effective and convenient local government". It is financed by an annual grant-in-aid from the National Assembly for Wales.
Review of the year and Future Developments
Boundary and Community boundary reviews were the major part of the Commission's work during the year. As detailed in the Annual Report, the Commission completed a review of the boundary between Pembrokeshire and Ceredigion and also completed a review of the boundary between the Communities of Brackla and Coity Higher in the County Borough of Bridgend. The Commission also commenced a review of the boundary between the Communities of Dyffryn Clydach and Blaenhonddan in the County Borough of Neath Port Talbot. The Commission's Secretariat undertook responsibility of providing a Secretariat to the Boundary Commission for Wales for its Fifth General Review of the Parliamentary constituencies in Wales. The Boundary Commission for Wales' Fifth General Review started in December 2002 and was completed on 31 January 2005. Further reviews of electoral arrangements will be dependent upon any directions, which may be issued by the National Assembly for Wales or requests from principal councils.
The Commission have an ongoing obligation to keep under review the areas of principal councils and to give consideration to any recommendations made by principal councils in respect of community area reviews undertaken by them. In May 2005 the Commission wrote to all local authorities in Wales requesting that they give consideration to addressing any issues they may have in respect of community boundaries or community electoral arrangements within their authority. The Commission also offered to assist local authorities in undertaking these reviews. To date two local authorities are undertaking reviews of communities in their areas, three local authorities are requesting that the National Assembly for Wales issue directions to the Commission to undertake reviews of communities in their areas and 10 local authorities are in the process of looking at communities in their areas to assess whether reviews are necessary.
Commission Membership
The Commission Members during 2005/06 were Mrs S G Smith LLB (Chair), Mr J E Davies ICSA IPFA (Deputy Chair) and Mr D H Roberts BSc DMS MBCS MCMI (Member).
STATEMENT OF THE AUDITOR GENERAL FOR WALES TO MEMBERS OF THE NATIONAL ASSEMBLY FOR WALES
I have examined the summary financial statement on pages 11 - 12, which has been prepared in the form and on the basis set out in note 1 on page 13.
Respective responsibilities of the Commission, the Secretary and Auditor
The summary financial statement is the responsibility of the Commission and the Secretary. My responsibility is to report to you my opinion on its preparation and consistency with the full financial statements and foreword. I also read the other information in the Annual Report and consider the implications for my report if I become aware of any apparent misstatement or material inconsistencies with the summary financial statements.
Basis of Opinion
I conducted my audit in accordance with United Kingdom Auditing Standards issued by the Auditing Practices Board.
Opinion
In my opinion, the summary financial statement is consistent with the full financial statements and foreword of the Local Government Boundary Commission for Wales for the year ended 31 March 2006 and has been properly prepared on the basis set out in note 1 to the summary financial statement.
Jeremy Colman
Auditor General for Wales
Wales Audit Office 3-4 Park Grove Cardiff CF10 3PA7 June 2006
INCOME AND EXPENDITURE ACCOUNT
for the year ended 31 March 2006
|
|
2006 |
|
2005 |
|---|---|---|---|
|
|
|
|
|
|
|
£ |
|
£ |
|
GROSS INCOME |
|
|
|
|
Grant-in-aid |
314,272 |
|
288,365 |
|
Transfer from Government Grant Reserve |
11,835 |
|
8,329 |
|
|
326,107 |
|
296,694 |
|
|
|
|
|
|
EXPENDITURE |
|
|
|
|
Staff costs |
152,453 |
|
133,725 |
|
Depreciation |
11,835 |
|
8,329 |
|
Notional cost of capital charge |
648 |
|
675 |
|
Other operating charges |
174,471 |
|
154,384 |
|
|
339,407 |
|
297,113 |
|
|
|
|
|
|
Operating deficit |
(13,300) |
|
(419) |
|
|
|
|
|
|
Interest received |
300 |
|
221 |
|
|
|
|
|
|
(Loss)/profit on disposal of fixed assets |
(734) |
|
278 |
|
|
|
|
|
|
Reversal of notional cost of capital charge |
648 |
|
675 |
|
|
|
|
|
|
Amount surrendered to National Assembly for Wales |
(336) |
|
(186) |
|
|
|
|
|
|
(Deficit)/surplus for the year transferred to
reserves |
(13,422) |
|
569 |
|
|
|
|
|
|
|
|
|
|
|
STATEMENT OF RETAINED RESERVES |
|
|
|
|
|
|
|
|
|
Retained surplus brought forward |
5,366 |
|
4,797 |
|
Surplus/(deficit) for the year |
(13,422) |
|
569 |
|
|
|
|
|
|
Retained surplus carried forward |
(8,056) |
|
5,366 |
|
|
|
|
|
|
|
|
|
|
|
All activities are classed as continuing |
|
|
|
BALANCE SHEET
as at 31 March 2006
|
|
2006 |
2005 |
||
|---|---|---|---|---|
|
|
|
|
|
|
|
|
£ |
£ |
£ |
£ |
|
|
|
|
|
|
|
FIXED ASSETS |
|
|
|
|
|
|
|
|
|
|
|
Tangible Fixed Assets |
|
21,454 |
|
15,579 |
|
|
|
|
|
|
|
CURRENT ASSETS |
|
|
|
|
|
|
|
|
|
|
|
Prepayments |
1,223 |
|
1,882 |
|
|
Cash at bank and in hand |
9,818 |
|
35,442 |
|
|
|
11,041 |
|
37,324 |
|
|
CREDITORS |
|
|
|
|
|
|
|
|
|
|
|
Amounts falling due within one year |
(19,097) |
|
(31,958) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET CURRENT (LIABILITIES)/ASSETS |
|
(8,056) |
|
5,366 |
|
|
|
|
|
|
|
TOTAL NET ASSETS |
|
13,398 |
|
20,945 |
|
|
|
|
|
|
|
FINANCED BY |
|
|
|
|
|
|
|
|
|
|
|
Government Grant Reserve |
|
21,454 |
|
15,579 |
|
|
|
|
|
|
|
Income and Expenditure Account |
|
(8,056) |
|
5,366 |
|
|
|
|
|
|
|
GOVERNMENT FUNDS |
|
13,398 |
|
20,945 |
NOTES TO THE SUMMARY FINANCIAL STATEMENT
for the year ended 31 March 2006
1. Accounting Conventions
The accounts are prepared under the historical cost convention. Without limiting the information given, the accounts meet the accounting and disclosure requirements of the Companies Act 1985 and the accounting standards issued or adopted by the Accounting Standards Board so far as those requirements are appropriate. The Commission is exempt from the requirement to produce a note of historical cost profits and losses under Financial Reporting Standard No. 3.
2. Results and appropriations
The Commission is a public body sponsored by the National Assembly for Wales. Total grant-in-aid provided by the National Assembly for Wales for the year ended 31 March 2006 was £331,982. Of this amount £17,710 was for capital expenditure. The deficit for the period amounted to £13,422 and was funded by reserves.
3. Staff and Members' Costs
|
|
2006 |
|
2005 |
|---|---|---|---|
|
|
£ |
|
£ |
|
|
|
|
|
|
Commission Members’ Remuneration |
11,802 |
|
12,049 |
|
|
|
|
|
|
Salaries |
110,260 |
|
99,775 |
|
|
|
|
|
|
Employers National Insurance |
9,942 |
|
8,217 |
|
|
|
|
|
|
Other Pensions costs |
20,449 |
|
13,684 |
|
|
|
|
|
|
Total |
152,453 |
|
133,725 |
|
Average number of staff employed during the financial year |
5 |
|
5 |
|
|
|
|
|
The emolument of the Chair of the Commission was £3,765 (2004-05: £3,227). The other members of the Commission received less than £5,000 each.
The Commission's senior staff have signed standard Assembly employment contracts, which do not provide for publication of private information on their remuneration, etc. Furthermore, all Commission employees have statutory rights to privacy under the Data Protection Acts and Human Rights legislation. Consequently, the senior staff have withheld their consent to publication of their private details, as allowed by HM Treasury's instruction DAO (GEN) 12/00.
4. Post Balance Sheet Events
At the date of signing these accounts there were no post balance sheet events to report.
Edward Lewis
Secretary and Accounting Officer
2 June 2006
12/10/2006