Contents
Report 14 of the 10 Jul 03 meeting of the Finance Committee and updates members on the approach of the MPA and MPS in the context of the 1999 Audit Commission report entitled ‘Action Stations’ – Improving the Management of the Police estate in England and Wales.
Warning: This is archived material and may be out of date. The Metropolitan Police Authority has been replaced by the Mayor's Office for Policing and Crime (MOPC).
See the MOPC website for further information.
Action Stations revisited
Report: 14
Date: 10 July 2003
By: Commissioner
Also presented at:
- Co-ordination and Policing Committee –21 July 2003
Summary
In 1999 the Audit Commission published its report entitled ‘Action Stations’ – Improving the Management of the Police estate in England and Wales. This report seeks to update and inform members on the current approach of the MPA and MPS in the context of the report.
A. Recommendations
That in view of the upcoming HMIC inspection due in this area members note and agree this report.
B. Supporting information
Introduction
1. In 1999 the Audit Commission (AC) published its report entitled Action Stations – Improving the Management of the Police Estate in England and Wales. A copy of the original report is available in the Members library and available on the internet at www.audit-commission.gov.uk.
2. Since that date the MPA and the MPS have moved forward on a number of fronts, including the adoption of the Building Towards the Safest City (BTSC) strategy.
3. Using the format of the original AC report the following sections seek to record and note the work of the MPA.
Update on AC report and statistics, etc
4. The original report noted that generally many buildings are ‘out of place’. BTSC accepts this. The AC report noted that 87% of buildings are more than 20 years old but interestingly the MPA has 35% of the estate pre 1930 compared to 21% for the Action Stations Report. In the MPA estate 85% are more than 20 years old (1999 base).
5. The AC report stated that the combined estates are worth £2 .6 billion and cost £170m a year to run in 1999. In 2003 the MPA estate is worth £800 million approximately and costs £145m a year to run. The estate is currently being re-valued and we expect the element of that value which relates to the operational estate (PSs) to rise significantly. This is due to a change in the valuation method which now accords to Finance Codes and Best Practice.
6. The repair backlog in the AC report was reported at £205m. The MPA estimate in 2003 is estimated at £36m. However, given recent events, resilience of key strategic sites is now very high on the agenda and may require greater investment.
7. In some forces, AC noted, up to a third of space was allocated to non-operational use (including canteens and recreation space). Best MPA estimates in 2003 suggest a figure of 15.6%. It is recommended that the designation of canteen space by the AC as non-operational is inappropriate. Many are also used for meetings and “touch down” places to work.
8. Audits of space show poor utilisation in the AC report. The MPA has moved on in this regard and full transparent details (reported via Efficiency and Effectiveness Group) are available that show under utilisation (and indeed over crowding) are primarily a result of the “out of place” argument rather than poor practice.
9. The partnership use of the estate is highlighted in policing advantage terms by the AC. In the MPA no current statistics are available but are being developed. What is clear is that the partnership approach is heavily weighted against the MPA in that overall partners are not reciprocating the sharing of space.
10. The AC report identified over £ 110m of surplus assets not yet sold. In 2003 the MPA can stand proud in its speedy sale of surplus assets (as reported to GLA) and the only assets held as surplus are as a result of the need to take action to achieve best price on disposal as required by legislation. Clearly London values / prices skew the statistics in this area.
11. The AC report suggests there are overall energy savings available of £ 6m a year. Since 1999 the MPA has achieved a saving of £1.5 m.
The AC report highlights the need for an “asset management approach”. The MPA has approved this approach in BTSC but the delivery is inherently delayed not least because the recent Interim Manager had to give up work on medical grounds. A replacement is taking time to recruit (see Finance report of 9 June 2003).
13. The AC Report questions the traditional role of the police estate. BTSC addresses this head on and is fully supported across the service.
14. The AC report provides illustrative examples of out of place location of police buildings (page 3). There is nothing wrong with this but in London terms it misses the issues of scale, in the Metropolis, and the resulting costs of addressing the issues. It also fails to consider costs / funding and the availability of sites in high-density urban areas. These are real challenges in the MPA.
15. On Police Contact with the public the AC report identifies the aspirational shift, which is shared by the MPA, but does not address the funding and cost issues, or indeed the delivery time, at all. BTSC seeks to be honest and open about this aspect.
16. The AC report identifies the need to match the estate with operational policing demands. BTSC mirrors this in an MPA context. Unfortunately the AC report fails to address the time frame mismatch between policing needs changes and the longer time frame of property delivery in a major city – BTSC does. In addition the AC report is considered simplistic when compared to the emerging asset management policy of the MPA.
17. In Asset Management detail the AC report focussed upon:
- Poor use of space
- Failure to rationalise
- Variation in running costs
- Inadequate management information
- Deteriorating physical condition
18. It is interesting to note that there is no test of the financial adequacies.
19. In the MPA it is suggested that the BTSC strategy deals with all these issues and goes much further – change costs and finding financial solutions, when capital is inadequate and being cut, are the key management issues.
20. On the same theme the AC report suggests a 20 year time frame, leasing rather than owning etc. All these are live issues in BTSC but in London terms we need to look at a 35 year time frame minimum. There are also accounting issues (e.g. Prudential Code) to now consider.
21. It is also interesting that the AC report omits reference to legislation impacts around DDA and equal opportunities.
Audit Commission recommendations
22. On page 6 of Action Stations the AC makes specific recommendations for all authorities. The following table repeats theses and suggests an MPA response, in light of the impending HMIC inspection, and for agreement by members:
AC Action Stations recommendation | MPA response 2003 |
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1. Prepare a property strategy and review it regularly. Strengthen links between operational and property strategies. |
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2. Rationalise operational and residential stock. |
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3. Assess the most suitable locations for public contact points; seek the views of local people on how they would prefer to access police services. |
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4. Improve partnership working and seek opportunities to share buildings and facilities with other forces and other public agencies. |
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5. Undertake regular reviews of space utilisation to maximise the use of available space; explore innovative ways of using space. |
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6. Establish and maintain a comprehensive and integrated property database. |
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7. Monitor running cost and space utilisation individual buildings and set targets for improvements. |
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8. Introduce or strengthen financial incentives for budget holders to use space more efficiently. |
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9. Review the arrangements for providing or purchasing estate services so as to ensure best value. Introduce written contracts where there are currently none. |
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Conclusion
23. The MPA is ahead of the report's recommendations but has problems as a consequence of the sheer scale of the London need. The AC report is helpful but it lacks a funding / affordability context which is unfortunate and fails to reflect the impact of legislation on the estate.
C. Equality and diversity implications
There are no specific issues arising from this report.
D. Financial implications
None of a direct nature but investment needs for buildings and systems are in hand through the Resources Workstream.
E. Background papers
- Building Towards the Safest City - Finance Committee 9 June 2003
- Capital allocation Land & Buildings – Finance Committee 10 April 2003
- Action Stations Report – Audit Commission 2003
F. Contact details
For more information contact:
MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18
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