1. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT BEST VALUE CHANGES LOCAL GOVERNMENT IN SCOTLAND ACT 2003 AUDIT

2. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT LGIS Act 2003 - the business framework Obligations to improve new audit and intervention arrangements new emphasis on accountability for decisions and performance new freedoms to trade and charge new freedoms to spend new freedoms to invest

3. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Best Value: the same as before… duty of continuous improvement balance quality and cost promotion of equalities important Decisions must be for benefit of stakeholders - organisational advantage is not enough

4. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT But different... One cost to be balanced is the cost to the consumer, not just to the authority obligation for BV arrangements to have regard to equal opportunities legislation

5. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Different…. BV arrangements and decisions must contribute to the achievement of sustainable development measurement of improvement must have regard to outcomes, not just processes

6. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Audit and other types of scrutiny Will continue to look for signs of Best Value Will continue to look for many of the characteristics described in PMP guidance - see BVTF statutory guidance Audit Scotland has changed audit approach

7. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Accountability Duty of reporting is for the local authority, and decisions about what, where, how and when to publish are also for the authority Regulations - what must be put into the public domain, regardless of preference Guidance - things to take into account in making decisions

8. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Enforcement and Intervention: the same as before… Local authority Controller of Audit Accounts Commission Ministers

9. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT But different... Grounds of enforcement by Accounts Commission now expanded Ministers can intervene if Accounts Commission so recommends, but also have two direct intervention powers –Best Value failure put public interest at risk of substantial harm –Power to Advance Well being is abused (significant excess of power)

10. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Best Value duties

11. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT 1. Local authorities' duty to secure Best Value 1) It is the duty of a local authority to make arrangements which secure best value. 2) Best value is continuous improvement in the performance of the authority's functions.

12. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT 3) In securing best value, the local authority shall maintain an appropriate balance among- a) the quality of its performance of its functions; b) the cost to the authority of that performance; and c) the cost to persons of any service provided by it for them on a wholly or partly rechargeable basis.

13. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT (4) In maintaining that balance, the local authority shall have regard to- (a) efficiency; (b) effectiveness; (c) economy; and (d) the need to meet the equal opportunity requirements.

14. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT (5) The local authority shall discharge its duties under this section in a way which contributes to the achievement of sustainable development. (6) In measuring the improvement of the performance of a local authority's functions for the purposes of this section, regard shall be had to the extent to which the outcomes of that performance have improved.

15. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT How do we know we are doing the right things? How do we know we are doing things right? How do we plan to improve? How do we account for our performance?

16. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Local Government in Scotland Act 2003 AUDIT of Best Value, but really of

17. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Main Points- Full audit every 3 years - includes an overview audit of the whole Comhairle detailed audits Audit takes “local circumstances” into account No “single label” for Councils Reports to Comhairle Follow-up on progress every year

18. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Key Points Involvement of Members is vital The Audit will focus on where we are making progress Put in place an Action Plan – then take action Risk ‑ based, targeted and proportionate Accounts Commission assume that we are already working to comply with the LGIS Act

19. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Specialist audit team Links to work of inspectorates and other scrutiny bodies Report to Commission after every audit Other Features

20. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Initial meeting Council prepares submission Overview audit Auditors prepare to challenge Prepare findings and report Council presentation Week 1 Weeks 9 to 10 Weeks 11 to 15 Weeks 16 to 20 Weeks 2 to 7 Week 8 Selected areas for detailed audit

21. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Flexible approach to format Six weeks to prepare Signed by Chief Executive and Convener Not a public document, for audit only Key element for council and audit itself Council Submission

22. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Contextual Information Performance Results Key features of Best Value Draft Improvement plan Documentation Presentation Content of Submission Basic Structure for Submission

23. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Digesting self ‑ assessment High level assurance for: all services' performance all BV criteria Risk assessment / targeted areas Gaps & weaknesses Areas of good practice Areas of interest to Chief Executive Areas of interest to Controller of Audit... The overview audit stage

24. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Intensive three weeks Selective, targeted approach Review of documentation Interviews ‑ including elected members, managers, and partner organisations Observation ‑ e.g. committee meetings The detailed audit stage

25. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Draft report provided to Chief Executive Balance ‑ strengths, weaknesses, reflect different expectation levels Tailored reports; no simplistic league tables Improvement Plan Report published Hearings / meetings with Acc. Commission Follow ‑ up audits to review progress Report on Audit of Best Value

26. Comhairle Nan Eilean Siar - Ag obair comhla airson nan eileanChief Executive Local Government in Scotland Act - AUDIT Andrew Mackenzie Head of Strategy (Internal) Questions?