Agenda item

Report of the Director of Legal and Democratic Services (LDS/23/16) presenting a revised definition of the key decision threshold, as considered and endorsed by the Governance Working Group, attached.

RESOLVED that Council be recommended to amend Part 3c of the Constitution as articulated in Appendix 3 of the Report (outlined above in red), including adding the issue of services being externally transferred out of the Council into the above revised definition, and cross referencing with Article 2 – Section 13.4.

The Committee considered the Report of the Director of Legal and Democratic Services (LDS/23/16) which presented a revised definition of the key decision threshold, as considered and endorsed by the Governance Working Group.

The Governance Review Group had reviewed and benchmarked the Key Decision threshold and determined that the financial threshold of £1 million remained the appropriate threshold.

A copy of the current key decision was attached at appendix 2 to the Report and the proposed amendments could be found at appendix 3.

Views were sought from the Governance Working Group and benchmarking data from across other Authorities as well as specialist support from the Local Government Association (LGA).  The Benchmarking information was attached at Appendix 1 of the Report.

In accordance with article 2 of the Constitution (section 13.4), Key decisions were those which by reason of their strategic, political or financial significance or which would have a significant effect on communities in more than one division.

The Report proposed that the definition of a Key Decision was further defined to provide additional clarity in decision making. The revised definition was therefore proposed to include the following wording:

10.3 Devon County Council Defines a Key Decision as

•       any decision which would result in the closure of an amenity or total withdrawal of a service;

•       any decision in accordance with the Council’s Financial Regulations (Part 9), involving financial expenditure of £1,000,000 or above, with the exception of operational expenditure by the Chief Executive identified within the approved budget and policy framework;

•       any proposal to change the policy framework; • any proposal which would have a significant effect on communities living or working in an area comprising two or more electoral divisions, unless this falls under the delegation or terms of reference of another Committee of the Council;

•       any contract (or programme) which: exceeds an annual value of £1 million; and

•       proposes significant changes to the Constitution together with any other decision which the Monitoring Officer in consultation with the Leader and Head of Paid Service considers to be a key decision within the Regulations.

10.4 If Key Decisions are to be discussed with Council officers at a meeting of the Cabinet, the meeting will be open for the public to attend except where matters of a confidential or exempt nature are to be discussed.

10.5 The Cabinet has to make decisions which are in line with the Council’s budget and policy framework. If it considers that a decision is required which is outside the budget or policy framework, it must refer the matter to the whole Council for a decision.”

In order to retain a degree of flexibility, the Committee noted that the revised definition would also allow for matters which fell outside of the definition. The Monitoring Officer in consultation with the Leader and Head of Paid Service could deem the matter a key decision.

The proposal aligned to the Council’s Strategic Plan 2021 – 2025 and supported the commitment of ensuring the Council made good decisions, was transparent and supported being a trusted and inclusive Council.

Members raised issues relating to the external transfer of services from the Council, how the process for schools converting to Academies impacted on this and decisions which resulted in redundancies.

It was proposed by Councillor Atkinson that the definition of a key decision should also include services being externally transferred from the Council, to which the Leader and Committee agreed.

It was therefore MOVED by Councillor Hart, SECONDED by Councillor Biederman, and

RESOLVED that Council be recommended to amend Part 3c of the Constitution as articulated in Appendix 3 of the Report (outlined above in red), including adding the issue of services being externally transferred out of the Council into the above revised definition, and cross referencing with Article 2 – Section 13.4.