Decision details

Centralisation of Building Control Joint Service with Eastleigh

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes

Purpose:

To consider the report of the Cabinet Member for Environment and Transport seeking approval to extend the existing joint building control service with Eastleigh Borough Council for a further five years and to agree to the TUPE transfer of five members of staff from Eastleigh to Southampton.  This will formally endorse the move to a centralised back office and give certainty to the current ongoing partnership arrangements and will result in financial savings for both local authorities.

 

The Building Control Service has operated as a Joint Service with Eastleigh Borough Council since 2007.  In order to streamline the service and in accordance with the original Cabinet decision dated 10 December 2007, it is intended to adopt one IT system and centralise the back office services at Southampton.

Decision:

(i)  To extend the existing Building Control Partnership with Eastleigh Borough Council for a further 5 years

(ii)  To note the TUPE transfer of five members of staff from Eastleigh Borough Council to Southampton City Council.

Reasons for the decision:

  1. Formal approval to extend the Partnership for a further 5 years gives certainty to the current Joint delivery arrangements.  The current partnership arrangements have facilitated cost and income sharing resulting in a trading surplus for both Councils each year since commencement.
  2. Centralisation of back office services at Southampton will result in financial savings to both local authorities as detailed in the approvedBusiness Case.  It will also lead to a more efficient and effective service across the combined geographic areas of both local authorities.
  3. TUPE transfer of staff to Southampton is an integral part of centralising services.  This process will bring the two administration teams of each authority together in one place enabling a staff saving to be made by undertaking an internal appointment to a current vacant post (the vacant post is currently being covered utilising staff from the Temporary pool).
  4. The current Joint financial model that has been put in place by both authorities operates by sharing total income in line with expenditure.  This will result in the additional transferred staff costs and overheads being cost neutral for Southampton as the Council will receive a greater proportion of the overall income.
  5. Customers across the combined geographic areas will receive more consistent and improved services as processes will be streamlined and better resourced from one location.

Alternative options considered:

Retain two IT databases and separate office set ups at Southampton and Eastleigh.  This is not recommended as this operational arrangement leads to duplication of services, management arrangements and staffing.  It is more costly and results in a higher risk of financial under recovery of fees (end of year trading deficit).

Report author: Neil Ferris

Publication date: 18/09/2012

Date of decision: 18/09/2012

Decided at meeting: 18/09/2012 - Cabinet

Effective from: 27/09/2012

Accompanying Documents: