Report of the Local Government Efficiency Review Group

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• Financial performance indicators, as shown in Appendix 7, should be verified as part of the annual audit and reported on as part of the audit report, the annual financial statement, and the publication of service indicators; • Local authority performance against national VFM studies, capital spot checks, efficiency reviews or VFM follow-up reports be considered by the auditor. Local authority progress in relation to VFM / efficiency reviews should also be discussed with the audit committee; • An improved website area to be created for the LGAS, on which all audit publications, including the annual audit reports, as well as information on local VFM studies, efficiency reviews and best practice be made available to the public; • Local authority elected members to receive quarterly reports at a minimum on the financial performance of the council against the approved budget; • All local authorities must meet the statutory deadline for preparation of the draft annual financial statement; • Cash flow statements to be prepared at regular intervals and considered by the local authority management team, with appropriate action taken; • Necessary remedial action continue to be pursued intensively in respect of the significant revenue account deficits in a number of local authorities. 84
8. Shared Services 8.1 Shared Services in Local Government 8.1.1 As noted in section 3.1, local authorities already have considerable experience of shared service provision aggregated at national, regional and local levels. This includes the use of various shared service models, including: • Joint procurement or commissioning of work – where two or more local authorities jointly purchase a service or part of a service from an external supplier; • Lead authority model – where one local authority provides a service on behalf of one or more others; • Third-party provision – where two or more (or sometimes all) local authorities engage a third party to provide a service on their behalf; • In-sourcing – where one local authority has the skills and resources needed by another local authority, with individuals working for another local authority, usually on a temporary basis. 8.1.2 Although evidence of all of these approaches exists across several service areas within local government, the Group considers that a further expansion of the shared approach to service provision offers the potential to realise cost savings, to re-engineer processes to align with new systems, and to improve services to the public. Shared services offer the potential not just to save money, but by economising can free up resources for more productive work on core areas of local government service provision. 8.1.3 The Group considers also that while extensive use of shared service models have been made for newer service areas such as the charge on nonprincipal private residences (NPPR), local authorities also need to examine existing services, and how some of these could be transferred to a shared service model. 8.1.4 Section 85 of the Local Government Act 2001 allows any local authority or any public body to enter into an agreement with another local authority to provide a specific function on its behalf. Such agreements usually contain provisions regarding the transfer of financial responsibility and the levying of a charge for the provision of services on behalf of another local authority. Section 86 of the Local Government Act 2001 allows for arrangements to be made between two or more local authorities for the joint provision of services. Section 87 of the same Act authorises the Minister for the Environment, Heritage and Local Government to direct local authorities to make an agreement under section 85 where he/she feels such an agreement should be made, having first given the authorities concerned the opportunity to make representations on the subject. 85
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Report of the Local Government Effi
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5. Organisational Efficiency Issues
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14. Recommendations 14.1 Recommenda
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associated Government Statement, ne
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more focussed than previously on mu
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ating town councils is largely repr
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• The provision of quality custom
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1.7 Compliance Requirements on Loca
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2.1 National Public Finances 2. Bud
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Figure 2.2 - Total Local Authority
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evenue were needed for the local go
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Figure 2.3 - Sources of Local Autho
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Figure 2.4 -Sources of Local Author
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Figure 2.5 - Local Authority Curren
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Payroll Expenses Table 2.4 - Breakd
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2. Reintroducing domestic water cha
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Page 39 and 40: well as reductions in the number of
Page 41 and 42: 4. Context - Looking Forward 4.1 Na
Page 43 and 44: 4.2.6 Aside from keeping costs down
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Page 47 and 48: statutorily vested in certain ratin
Page 49 and 50: 5.5.6 Roads are classified into nat
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Page 59 and 60: Figure 6.2 - Staffing per 1,000 Pop
Page 61 and 62: Figure 6.5 - Staffing Per 1,000 Pop
Page 63 and 64: Cluster Data Cluster Mayo Roscommon
Page 65 and 66: senior management staff - for examp
Page 67 and 68: ut this figure varies from 22% to 5
Page 69 and 70: eplacement with lower level staff w
Page 71 and 72: Corporate Services, HR, IT, and Fin
Page 73 and 74: to provide services in the corporat
Page 75 and 76: Recommendations: 6.11.1 In summary,
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Page 79 and 80: through open recruitment. Opportuni
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Page 83: 7.6.3 Local authorities should cons
Page 87 and 88: 8.2.6 Many parts of the United Stat
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Page 91 and 92: 8.4.12 For example, recruitment to
Page 93 and 94: approach which will be used to asse
Page 95 and 96: enefits in terms of pooling resourc
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Page 99 and 100: Implementation Group suggested in s
Page 101 and 102: 9.2.4 The Local Government e-Procur
Page 103 and 104: forms are now captured online. This
Page 105 and 106: Table 9.1 - Non-Pay Items Procured
Page 107 and 108: 9.5.10 LAQuotes is used by the vast
Page 109 and 110: sectoral level, to promote exchange
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Page 121 and 122: 10.2.14 The Group also noted the la
Page 123 and 124: • Allocating grants to improve th
Page 125 and 126: 10.3.11 It would also facilitate th
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Page 129 and 130: Financial Summary: Through a combin
Page 131 and 132: current levels of resourcing for pl
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Financial Summary: Through a combin
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in the trend of rationalisation of
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Table 10.1 - Motor Taxation Classes
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detail in issuing licences. Motor t
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11.1 Treasury Management 11. Other
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for the overdraft, has the potentia
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• The online Roadworks Control sy
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management, etc. Use of professiona
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• Projects to streamline existing
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12. Local Government and the Wider
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significant administrative overhead
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City Enterprise Boards with county/
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suggests that financial incentives
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13. Cost Recovery and Revenue Issue
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13.1.11 The Group considers that th
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Minister for Education and Skills t
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legislation provides that arrears o
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Recommendations: 13.5.1 In summary,
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14.1 Recommendations 14. Recommenda
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25. Financial performance indicator
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Housing 48. Housing sections within
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Planning monitoring by other public
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Local Government and the Wider Publ
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that just because these recommendat
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Appendix 1 - List of Submissions Re
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Appendix 2 - Local Government Effic
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Gross Current Income by Source and
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County Councils Housing and Buildin
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Town Councils Housing and Building
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Non-Rating Town Councils (1) Paymen
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Regional Assembly Payments Receipts
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Local Authority Current Expenditure
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Town Council Population Size (Censu
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Appendix 5 - Local Government Net B
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Former Town Commissioners 2010 Net
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Appendix 7 - Performance Indicators
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Appendix 9 - Unaccounted for Water
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Appendix 11 - Membership of County
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Report of the Local Government Efficiency Review Group

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