Agenda item
Approval of Extension to Agreement for Support Services with Publica
Purpose
To consider the Cabinet report relating to an extension of the Publica service agreement for Support Services.
Recommendation
That the Scrutiny Committee consider the report and decide to pass their comments or recommendations to the Cabinet.
Minutes:
The Chairman introduced the report which sought Cabinet approval to extend the Support Services Agreement with Publica Group (Support) Limited for a further four year term until 31 October 2026.
The Committee were being asked to consider the report and decide whether to pass any comments to Cabinet, prior to their meeting.
The Chief Finance Officer answered a number of questions from Councillors including how much the average cost per resident was and how much it cost to transfer the services. Members noted that there was no data provided to compare the transfer cost but the report did highlight that the service Publica provided demonstrated value for money. The Chief Executive also reminded the meeting that it would cost more money to transfer these services back.
Following further discussions relating to the value of WODC’s shareholding in Publica, the Locality Director explained that this was not a traditional trading company.
The Chief Executive addressed Members and explained that due to timescales, the contract needed to be reviewed now, however, the desire to see an analysis of future agreements and a comparison of reverting back to in-house services would be taken into account moving forwards.
Councillor Cooper highlighted the savings that Publica had delivered, alongside the low Council Tax rates for the District. He did feel that Publica could improve on their communications, along with other external companies such as Ubico. The Chairman agreed with these comments and reminded Members that Publica had been set up to save money and services were still being delivered. However, he was saddened that the offices were no longer as populated as they used to be.
Councillor Postan noted that Publica had liberated WODC from the defined benefit pension scheme and felt that it should be recognised for its idea and achievements.
Councillors discussed the impact that any additional Council’s joining Publica could have and were advised that this report had supported by the other partner councils. Officers explained that if at any point, one of the partner Council’s did not wish to continue with a particular element of the service, they would need to be disentangled resulting in costs.
However, each Council had the scope to carry out their services how they wanted to and were not hampered by different ways of working. The Chairman felt that it was imperative that each Council remained sovereign, retained its own Cabinet and made decisions through Council.
The Publica Managing Director, Mr Britton, addressed Members and assured them that the agreements covered the issue of additional Councils joining, with the partner councils having comment and control.
Councillor Postan was keen to establish the hourly rate of Publica but officers explained that this would prove difficult and a better route would be to determine a global cost for support services.
In response to comments made about staff resourcing and not having time to carry out certain requests, officers advised that each Council chose where to put their resource. Mr Britton explained that this was not a uniform service and each Council could choose the service they wanted.
In conclusion, the Committee noted that it would be useful to look at alternative options, prior to any future reviews, in a timely manner.
Resolved that the report be noted.
Supporting documents:
- Item 7 - Publica agreement extension support serv Nov 2021 final, item 27. PDF 190 KB
- Item 7 - Support Service Specification annex a, item 27. PDF 223 KB