R HYBUDD O GYFARFOD / NOTICE OF M EETING
Awdurdod Parc Cenedlaethol Eryri Snowdonia National Park Authority
Emyr Williams Emyr Williams Prif Weithredwr Chief Executive Awdurdod Parc Cenedlaethol Eryri Snowdonia National Park Authority Penrhyndeudraeth Penrhyndeudraeth Gwynedd LL48 6LF Gwynedd LL48 6LF Ffôn/Phone (01766) 770274 Ffacs/Fax (01766)771211 E.bost/E.mail : [email protected] Gwefan/Website: : www.eryri.llyw.cymru
Cyfarfod : Awdurdod Parc Cenedlaethol Eryri
Dyddiad: Dydd Mercher 5 Chwefror 2020
Amser: 10.00 y.b.
Man Cyfarfod: Plas Tan y Bwlch, Maentwrog
Meeting: Snowdonia National Park Authority
Date: Wednesday 5 February 2020
Time: 10.00 a.m.
Location: Plas Tan y Bwlch, Maentwrog.
Aelodau wedi’u penodi gan Gyngor Gwynedd Members appointed by Gwynedd Council Y Cynghorwyr / Councillors : Freya Hannah Bentham, Elwyn Edwards, Alwyn Gruffydd, Annwen Hughes, Judith Mary Humphreys, Edgar Wyn Owen, Elfed Powell Roberts, John Pughe Roberts, Gethin Glyn Williams;
Aelodau wedi’u penodi gan Gyngor Bwrdeistref Sirol Conwy Members appointed by Conwy County Borough Council Y Cynghorwyr / Councillors : Philip Capper, Wyn Ellis Jones, Ifor Glyn Lloyd;
Aelodau wedi’u penodi gan Llywodraeth Cymru Members appointed by The Welsh Government Mr. Brian Angell, Ms. Tracey Evans, Ms. Elinor Gwynn, Mr. Neil Martinson, Mr Owain Wyn.
A G E N D A
1. Apologies for absence and Chairman’s Announcements To receive any apologies for absence and Chairman’s announcements.
2. Public Question Time The Authority has allocated up to 20 minutes at the start of its meeting to allow members of the public the opportunity to ask specific questions that relate to the work of the Authority (apart from planning applications) that is relevant to the Park’s duties and purposes.
Questions must be submitted in writing (by post or e-mail) to the Head of Legal and Corporate Services at least 7 days prior to the meeting.
3. Declaration of Interest To receive any disclosure of interest by members or officers in respect of any item of business.
4. Minutes The Chairman shall propose that the minutes of the meeting of the Authority held on the 11th December 2019, be signed as a true record. (Copy herewith)
5. Matters for Information arising from the minutes
6. Action Log To submit the Action Log for information and decision. (Copy herewith)
7. Wales Audit Office – Annual Audit Letter 2018-2019 To receive the Annual Audit Letter 2018-2019 from the Wales Audit Office. (Copy herewith)
8. Audit of Snowdonia National Park Authority’s Assessment of 2018-19 Performance To receive the following report by the Wales Audit Office. (Copy herewith)
9. Authority Budget and Levy on Constituent Authorities 2020/2021 To submit a report by the Chief Finance Officer. (Copy herewith)
10. Capital Strategy 2020/2021 To submit a report by the Chief Finance Officer. (Copy herewith)
11. Mid-Term Financial Plan (MTFP) 2019/20 – 2022/23 To submit a joint report by the Chief Executive and the Chief Finance Officer. (Copy herewith)
12. The Authority’s Risk Profile To submit a report by the Director of Corporate Services. (Copy herewith)
13. W.L.G.A. Spring Seminar and Seminar Dinner 2019 Friday 1st May, Liberty Stadium, Swansea To present the diary marker, for information. (Copy herewith)
14. Working Group Report To submit the report of the Members’ Working Group meeting held on the 4th December 2019. (Copy herewith)
15. Meetings of other Organisations To receive oral reports from Members on any recent meetings of organisations which they have attended as representatives of the Authority.
16. To submit the following minutes for information:- Minutes of the Performance and Resources Committee held on 20th November 2019. (Copy herewith) ITEM NO. 4
SNOWDONIA NATIONAL PARK AUTHORITY WEDNESDAY 11th DECEMBER 2019 Mr. Owain Wyn (Chairman) (Welsh Government) PRESENT: Members appointed by Gwynedd Council Councillors Elwyn Edwards, Alwyn Gruffydd, Annwen Hughes, Judith Humphreys, Edgar Owen, John Pughe Roberts, Gethin Williams; Members appointed by Conwy County Borough Council Councillors Philip Capper, Wyn Ellis Jones; Members appointed by the Welsh Government Mr. Brian Angell, Ms. Elinor Gwynn; Officers Mr. Emyr Williams, Mr. G. Iwan Jones, Mr. Jonathan Cawley, Mr. Emyr Roberts, Mr. Adam Daniel, Ms. Angela Jones, Mrs. Anwen Gaffey, Mrs. Sarah Roberts. Apologies Councillors Freya Bentham, Ifor Glyn Lloyd, Elfed Roberts; Ms. Tracey Evans, Mr. Neil Martinson.
1. Chairman’s Announcements (1) the Chairman, on behalf of Members, conveyed the Authority’s deepest sympathy to Ms. Elinor Gwynn following her recent bereavement. (2) on behalf of Members, the Chairman expressed best wishes to Mr. Dafydd Edwards, Section 151 Officer, who had been taken unwell and was receiving hospital treatment. (3) the Chairman confirmed that the Welsh Government Member vacancy on the Authority was being advertised and the closing date was the 2nd January 2020. Interviews will be held in February, with the appointment expected by 1st April 2020. In order to assist the appointment process and encourage a greater diversity of candidates, drop-in sessions were being held at the Authority’s Head Office in Penrhyndeudraeth and also at Storiel in Bangor. (4) the feedback from the Designated Landscape Seminar, recently hosted by Eryri, had been very positive. (5) out of 16 countries across Europe, Yr Ysgwrn had won in the Conservation category of the Euopean Heritage / Europa Nostra Awards 2019. (6) the Snowdonia National Park will be working with Gwynedd Council on a new arrangement that will see the National Park Warden Service and other staff, help transport care workers to their destinations in bad weather over the winter months. (7) Snowdonia National Park has just been named the most beautiful National Park in Europe by the German holiday rentals website ‘Holidu’, with over 18,000 votes. (8) National Grid have started their pre application consultation on proposals to remove pylons across the Dwyryd Estuary and place the connection underground. There will be a public event at the Snowdonia National Park Authority Offices on 11th December 2019, from 2 p.m. to 8 p.m., for members of
3 the public to come along to view the documents and speak to members of the National Grid team. (9) the Chairman reminded Members of their role on the Authority. He stressed the importance for all Members to feel they are able to contribute to the meetings. He outlined the rules of debate as specified in the Authority’s Standing Orders (para.12) and asked members to familiarise themselves with the document which is available under the “publications” section of the Authority’s website or Members could ask the Director of Corporate Services for a copy. He also asked Members to raise any concerns or questions relating to factual information in the Committee papers or the minutes, directly with the appropriate officer prior to the meeting, rather than during the meeting itself, as in general, time for debate was limited.
2. Public Question Time Members were informed that no public questions had been received.
3. Declaration of Interest No declarations of Personal Interests were made in respect of any item.
4. Minutes The minutes of the Authority meeting held on 25th September 2019 were accepted and the Chairman signed them as a true record.
5. Matters for Information arising from the minutes There were no matters arising.
6. Action Log Submitted – A log of strategic actions arising from decisions taken during meetings of the Authority, for information and action.
Authority Meeting 06.02.19 Action Item 10 – Review of Authority Reserves This action was now complete and could be removed from the Action Log.
Authority Meeting 10.04.19 Action Item 11 – Corporate Work Programme 2019-20 This action was now complete and could be removed from the Action Log.
Authority Meeting 22.05.19 Action Item 3 – Revenue & Capital Outturn Report 2018/19 This action was now complete and could be removed from the Action Log.
Authority Meeting 25.09.19 Action Item 8 – Budget Update Arising thereon, it was agreed that officers should arrange a meeting of the Assets Sub- Group early in 2020.
RESOLVED 1. to note the Action Log and remove the actions as outlined. 2. that officers should arrange a meeting of the Assets Sub-Group early in 2020.
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7. Treasury Management – Interim Report 2019/20 Submitted – An oral report by the Head of Finance, for information.
Reported – The Head of Finance advised that Treasury Management is reported to Members 3 times a year. There were no major changes to report and the Authority’s funds continued to be secure.
RESOLVED to note the report, for information.
8. Base Revenue Budget 2020/21 Submitted – The Chief Finance Officer’s report for Members to note the Base Budget as estimated for 2020/21 and projected funding surplus, and to review the level of the Authority’s general balances and specific reserves.
Reported – The Head of Finance presented the report and background and advised that the draft budget was not yet available. He also confirmed that the Levy needed to be set on the 5th February, which will precede receiving notification of the final budget on the 25th February 2020.
Members considered the report and discussed the following in detail:- - with regard to reducing energy costs, the advice from the Carbon Trust was to reduce draughts in the H.Q. building initially to make it more efficient. - the Director of Planning and Land Management confirmed that Community Councils were aware of the Section 106 Reserve monies which were specifically earmarked for affordable housing purposes. - Members noted that the current reserve balance would change between now and the year end. - the Chief Executive advised that as Yr Ysgwrn had been unable to operate within its budget, work was now underway to prepare a Business Plan. The Chief Executive reassured Members that he was not too concerned at the present time as there were funds available to cover any shortfall. Potential further revenue from the Welsh Government is still unresolved. - the Plas Tan y Bwlch Board were preparing a Business Plan to present to the Authority. - the Chief Executive reported that the uncertainty in relation to Welsh Government support for the baseline budget remains. - the Finance Officer confirmed there was no specific reserve for new projects.
The Chairman thanked the Chief Finance Officer and his staff for their work.
RESOLVED 1. to note the report and the planned baseline budget for 2020/21 as outlined. 2. to approve the proposed use of the £113,411 surplus in 2020/21 as noted in paragraph 2.2 of the report. 3. to approve the virements as outlined in paragraph 2.9 of the report. 4. to approve the levels of the Authority’s reserves.
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9. 2019/20 Budget Update Submitted – A report by the Chief Finance Officer to inform members of the revised budgets for 2019/20 and report on significant virements. The report also provided Members with an update on progress against revenue and capital budgets and the projected final position for the financial year.
Reported - The Head of Finance presented the report, summarising the revised revenue and capital budgets for the first seven months of the financial year, and provided further information on the detailed figures. He asked Members to note a correction to the projected variance in the Planning and Land Management Service Area which should read £17,000 and not £29,000 as stated in the report. The year-end revenue deficit balance should also be revised to £90,200, to reflect this amendment.
Members considered the report and made the following observations:- - Para 4.4 – Ysgwrn: Members discussed the reduction in visitor numbers to Yr Ysgwrn and the possible way forward. Members felt that as the Welsh Government had worked in partnership with the Authority at Yr Ysgwrn, they should be reminded of their obligations. The Chief Executive advised that a meeting of Yr Ysgwrn Management Group will be convened early in the New Year and a report will then be presented to a meeting of the Members’ Working Group. Officers were currently commissioning audience development work at Yr Ysgwrn. - Conservation, Trees and Agriculture: The Director of Planning and Land Management provided details of the National Grid grant schemes available to mitigate the effect of pylons and provide landscape improvements. - Para 4.8 – Demolition work on St David’s Hotel: The application for “contingency” monies of approximately £30k was no longer required as the work had been completed within budget.
RESOLVED 1. to note the contents of the report and confirm the proposed actions. 2. to approve the budget virement (retrospectively) as outlined in para. 5.2 of the report.
10. Corporate Plan 2021-26 Submitted – A report by the Chief Executive for Members to agree to extend the current improvement and well-being Objectives for the 2020-21 Corporate Plan and adopt a revised timeline for developing and agreeing strategic objectives and Corporate Plan for 2021-26.
Reported – The Chief Executive presented the report and advised that the Authority was still waiting for the timing of the disapplication of the Local Government Measure 2009.
Members agreed that in order to adopt the new Corporate Plan 2021-2026 in April 2021, any additional steps in the timeline should be built into the current timeframe. Members agreed to a further facilitated workshop in January 2020 and that informal stakeholder engagement should take place in June 2020. The Chief Executive confirmed that Members would have further opportunity to amend the objectives following the consultation period in June.
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RESOLVED 1. to note the report and agree to extend the current improvement and well- being Objectives for the 2020-21 Corporate Plan. 2. to defer adoption of the revised timeline for developing and agreeing strategic objectives and Corporate Plan 2021-26 to the Corporate Plan Task and Finish Group.
11. Annual Cycle – Authority Agenda Submitted – A report by the Director of Corporate Services to provide Members with an Annual Cycle of Agenda items for meetings of the Authority.
Reported – The Director of Corporate Services presented the report and advised that the report provides details of the standard items currently submitted to the Authority. He confirmed that the July Sub-Committee, mentioned in the report, had not yet been established and may be proposed in order to approve the final accounts.
Arising thereon, officers were asked to re-design the table and to include additional columns to show how often items were presented to the Authority, annually, every 2 years, every 3 years etc., with space for a simple tick against the different items to show their rotation. Also, a Member felt it would be useful for the Annual Cycle to indicate whether items were being presented for information or whether they were being presented for discussion / approval.
RESOLVED to note the report and continue to update the Annual Cycle report as outlined.
12. Cynllun Eryri Progress Report and Draft Approval Submitted – A report by the Partnerships Manager to update Members on progress, and present a draft of the new National Park Management Plan 2020 – 2025 (“Cynllun Eryri”).
Reported – The Partnerships Manager presented the report and Members and officers discussed the extent of the public consultation. It was agreed that the Authority should consult and communicate with its communities, with Natural Resources Wales, the Welsh Government and the family of National Parks, but in addition, Members felt the perspective of people who live in areas that border on the National Park and people who have a genuine interest in the Park, but are based elsewhere, should also be included.
Arising thereon, Members approved the document for public consultation following the Fforwm Eryri meeting. Also, the Partnerships Manager agreed to re-send the link to the draft Cynllun Eryri document to Members, for information.
RESOLVED 1. to note the progress made to date with production of the Plan, and 2. to approve the draft Plan for public consultation.
13. Working Group Reports Submitted – The reports of the Members’ Working Group meetings held on 4th September, 25th September and 16th October 2019.
RESOLVED to note the reports.
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14. Meetings of other Organisations Submitted – Oral reports on recent meetings of organisations, which Members had attended as representatives of the Authority.
Mr. Owain Wyn - Community Councils (end September / beginning October) - National Parks Partnerships – formed to raise private sponsorship - National Park Chairs Forum – set up after NPUK Ltd company ceased trading. The Forum Chair will rotate between Wales, England and Scotland with Loch Lomond and the Trossachs National Park in the Chair next year. To date, discussions have focussed on:- o National Park branding o preparation of a small booklet/guide to the 15 UK National Parks o the role of the National Parks in the 21st Century, especially the climate emergency and how to respond to the challenges. - Agricultural Liaison Committee with FUW, NFU and CLA
Councillor Alwyn Gruffydd WLGA – Cardiff 29th November 2019 - Vaughan Gethin AM – the effects of Brexit on the health service in rural areas. Although discussing “green prescribing”, the National Parks and Areas of Outstanding Natural Beauty were not mentioned. - Aled Roberts, Welsh Language Commissioner – discussed areas of good practice and also areas for improvement.
RESOLVED 1. to thank the Members, and note the reports. 2. to extend an invitation to the Welsh Language Commissioner to Eryri in 2020.
15. Minutes The following minutes were submitted for information:- (1) Minutes of National Parks Wales Executive Meeting held on 19th March 2019. (2) Minutes of the Standards Committee held on 6th September 2019.
16. Europarc Conference 2019 Received – A slide presentation from Councillor Wyn Ellis Jones and Mr. Adam Daniel, Head of the Warden Service who had attended the Europarc 2019 Conference in Latvia. The Conference theme was ‘Nature on your mind – understanding our values’ and the emphasis of the Conference was on the role of nature in human health. Delegates were challenged to find solutions in the form of “EUROPARC Green Prescriptions” that will help increase the value of nature across multiple sectors of life.
RESOLVED to welcome the presentation and await a copy of the Europarc Youth Manifesto, which will be circulated to Members in due course.
The Chairman thanked both staff and Members for their work and wished everyone a Merry Christmas and a Happy New Year.
The meeting ended at 12.20
8 ITEM NO. 6
TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 25.04.2018 ITEM NO. DECISIONS / ACTIONS RESPONSIBLE UPDATE or REMOVE AND TITLE OBSERVATIONS OFFICER COMPLETION DATE FROM ACTION LOG 6 – Annual RESOLVED to note the Areas for improvement: CX Adopted – Authority Meeting 07.02.18 Improvement report and accept the ‐ updating the Code of Corporate ALL BEING IMPLEMENTED Report proposals for Governance and Park Plan to reflect and 2017/18 improvement. mainstream WFG principles; ‐ Ministerial targets of restored peatland areas by 2020. (This remains but is likely ‐ strengthen how the Authority to be missed). NO demonstrates its prevention principles ‐ contribute to Future Generations Act and and activity, in particular as to why Natural Resource Management Policies. action is taken to protect biodiversity, (Actioned in all projects and decision peat bog restoration work and ecology; making). COMPLETE ‐ Partner in new Life raised bogs project. ‐ Recipient of £200k project fund NRW open call. (2 x £100k projects completed) COMPLETE ‐ SMS Welsh Peatland (£1.2M) being led by SNPA. (Ongoing) ‐ New SMS projects being developed with peatland component. (Ongoing) Multiple projects developed and delivering on ecological and biodiversity targets. (Ongoing and expanding) ‐ National Grid (x 3) (+ 2 being developed) ‐ Life (x 1) (+ further 3, 1 direct + 3 with partners) ‐ SMS Projects (x 3 direct & 2 x associated)
9 TAFLEN WEITHREDU – ACTION SHEET
ITEM NO. DECISIONS / ACTIONS RESPONSIBLE UPDATE or REMOVE AND TITLE OBSERVATIONS OFFICER COMPLETION DATE FROM ACTION LOG ‐ improve the online experience for visitors and Task & Finish Group established. Focus the public; and Group arranged for input on customer needs for website prior to preparing brief. Needs assessment now completed. Tender document being prepared for procurement. Procurement will commence following Task and Finish Group in February 2020. NO
‐ reduce inconsistencies and weaknesses in measures, metrics and evaluation – it is New measures and indicators adopted with currently difficult for the Authority to the new Wellbeing Objectives – adopted as consistently demonstrate how effectively it is part of the Corporate Plan for 2018/19. meeting the sustainable development COMPLETED principle.
10 TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 04.07.2018
ITEM NO. DECISIONS / OBSERVATIONS ACTIONS RESPONSIBL UPDATE or REMOVE AND TITLE E OFFICER COMPLETION DATE FROM ACTION LOG 3 – Life + RESOLVED Celtic 1. To note the report and formally To accept the funding on CX / RO Work undertaken, progressed and actioned Rainforest accept LIFE+ funding on behalf behalf of the partners and use COMPLETED Project of the partners. the identified reserves, 2. To confirm use of identified revenue budgets and staff in reserves, revenue budgets and kind contributions as specified. staff in kind contributions as specified, for the purpose of this project. 3. To provide training for To arrange training for RO / JW Firm date set for the training at the YES Members on the Project and Members on the Members’ Working Group meeting on 4th the Communication Strategy in Project and the March 2020. due course, possibly in January Communication Strategy in due 2019. course.
11 TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 10.04.2019
ITEM NO. AND DECISIONS / OBSERVATIONS ACTIONS RESPONSIBLE UPDATE or REMOVE TITLE OFFICER COMPLETION DATE FROM ACTION LOG 12. Europarc RESOLVED to establish a Task and Finish Officers to convene HP Initial Task and Finish Group has been NO Youth Manifesto Group to further the work and report to a meeting of the convened, further Task and Finish Group to Authority in December 2019. Youth Manifesto be held in March 2020. Task and Finish Group. Job description for Youth Officer being prepared as joint role between Head of Wardens and Head of Engagement. Officer will lead on developing local Youth Manifesto.
12 TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 22.05.2019
ITEM NO. AND DECISIONS / OBSERVATIONS ACTIONS RESPONSIBLE UPDATE or REMOVE TITLE OFFICER COMPLETION DATE FROM ACTION LOG 4. Annual ‐ the Authority was awaiting the outcome Head of BH Decision now received from the NO Governance of the Information Commissioner’s Administration and Information Commissioner’s Office to Statement decision regarding access to Members’ Customer Care to release the relevant information. This will Register of Interests from previous years. present the be reported in the Annual Report on Information Freedom of Information which will be Commissioner’s presented to Members at the determination. Performance & Resources Committee in March, as well as in the Annual Governance Statement.
13 TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 25.09.2019
ITEM NO. AND DECISIONS / OBSERVATIONS ACTIONS RESPONSIBLE UPDATE or REMOVE TITLE OFFICER COMPLETION DATE FROM ACTION LOG 7. Committee RESOLVED Vacancies ‐ Compliance Task & Finish Group – this To disband the GIJ Authority AGM on the 3rd June 2020. NO group to be disbanded at the next Task & Finish Authority AGM. Group at the next AGM in June 2020.
‐ Standards Committee – to leave the To present a report GIJ On the appointment of the new Welsh position vacant to await the to the Authority Government Member. appointment of a new Welsh once the vacancy Government Member. has been filled. 8. Budget Update ‐ a report on the budgetary pressures To present the EJ To be discussed by the Assets sub‐group faced by the Property Section to be reports. with a further report to the Performance presented to a future Working Group. & Resources Committee. The Assets sub group is being convened in March 2020. NO ‐ a report by Yr Ysgwrn Project Group to NJ Report to the Members’ Working Group be presented to Members in the New on the 4th March 2020. Year. ‐ to provide Members with a copy of the To email Members GIJ Members were provided with a copy of Aberdyfi judgement once it becomes with the the judgement on 28.11.19 available. judgement. COMPLETED 10. Working Group RESOLVED Reports (Project ‐ that in future, Member should receive To present 6 CX To be arranged. NO Management 6 monthly progress reports on large monthly progress Toolkit) projects. reports.
14 TAFLEN WEITHREDU – ACTION SHEET
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15 TAFLEN WEITHREDU – ACTION SHEET
AUTHORITY MEETING – 11.12.2019
ITEM NO. AND DECISIONS / OBSERVATIONS ACTIONS RESPONSIBLE UPDATE or REMOVE TITLE OFFICER COMPLETION DATE FROM ACTION LOG 14. Meetings of RESOLVED other Organisations ‐ to extend an invitation to the Welsh To extend the CX To be arranged. NO Language Commissioner to Eryri in invitation to the 2020. Welsh Language Commissioner to attend a future meeting of the Authority.
16 ITEM NO. 7
24 Cathedral Road / 24 Heol y Gadeirlan Cardiff / Caerdydd CF11 9LJ Tel / Ffôn: 029 2032 0500 Mr Dafydd Edwards Fax / Ffacs: 029 2032 0600 Snowdonia National Park Authority National Park Office Textphone / Ffôn testun: 029 2032 0660 Penrhyndeudraeth [email protected] / [email protected] Gwynedd www.audit.wales / www.archwilio.cymru LL48 6LF
Reference: 1641A2019-20 Date issued: December 2019
Dear Mr Edwards
Annual Audit Letter – Snowdonia National Park Authority 2018-19 This letter summarises the key messages arising from my statutory responsibilities under the Public Audit (Wales) Act 2004 and my reporting responsibilities under the Code of Audit Practice.
The Snowdonia National Park Authority complied with its responsibilities relating to financial reporting and use of resources It is the Snowdonia National Park Authority’s responsibility to: • put systems of internal control in place to ensure the regularity and lawfulness of transactions and to ensure that its assets are secure; • maintain proper accounting records; • prepare a Statement of Accounts in accordance with relevant requirements; and • establish and keep under review appropriate arrangements to secure economy, efficiency and effectiveness in its use of resources. The Public Audit (Wales) Act 2004 requires me to: • provide an audit opinion on the accounting statements; • review the Authority’s arrangements to secure economy, efficiency and effectiveness in its use of resources; and • issue a certificate confirming that I have completed the audit of the accounts. Local authorities in Wales prepare their accounting statements in accordance with the requirements of the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom. This Code is based on International Financial Reporting Standards.
17 On 24 July 2019 I issued an unqualified audit opinion on the accounting statements confirming that they present a true and fair view of the Authority’s financial position and transactions. My report is contained within the Statement of Accounts. The key matters arising from the accounts audit were reported to members of the Authority in my Audit of Financial Statements report on 24 July 2019.
I am satisfied that the Authority has appropriate arrangements in place to secure economy, efficiency and effectiveness in its use of resources My consideration of the Authority’s arrangements to secure economy, efficiency and effectiveness has been based on the audit work undertaken on the accounts as well as placing reliance on the work completed under the Local Government (Wales) Measure 2009 and under the Well-being of Future Generations (Wales) Act 2015. I am satisfied that the Authority has appropriate arrangements in place to secure economy, efficiency and effectiveness in its use of resources, as set out in my Annual Improvement Report1 issued in April 2019.
I issued a certificate confirming that the audit of the accounts has been completed on 24 July 2019 Having given an audit opinion on the financial statements and concluded on the Authority’s arrangements to secure economy, efficiency and effectiveness in its use of resources, I was able to certify that the audit was complete when I issued my audit opinion.
Financial audit fee The financial audit fee for 2018-19 is currently expected to be in line with the agreed fee set out in the Annual Audit Plan.
Yours sincerely
Derwyn Owen Engagement Lead For and on behalf of the Auditor General for Wales
1 Wales Audit Office, Snowdonia National Park Authority: Annual Audit Letter 2018-19, April 2019
18 ITEM NO. 8
Reference: 1637A2019-20 Date issued: December 2019
Audit of Snowdonia National Park Authority’s assessment of 2018-19 performance
Certificate I certify that I have audited Snowdonia National Park Authority’s (the Authority) assessment of its performance in 2018-19 in accordance with section 17 of the Local Government (Wales) Measure 2009 (the Measure) and my Code of Audit Practice. As a result of my audit, I believe that the Authority has discharged its duties under sections 15(2), (3), (8) and (9) of the Measure and has acted in accordance with Welsh Government guidance sufficiently to discharge its duties. Whilst the Authority has discharged its performance reporting responsibilities under the Measure, it should improve how it demonstrates the effectiveness of its services by further reporting on how its performance compares with others and how it is performing across a range of years. This will help citizens and partners to judge how well services are working.
Respective responsibilities of the Authority and the Auditor General Under the Measure, the Authority is required to annually publish an assessment which describes its performance: • in discharging its duty to make arrangements to secure continuous improvement in the exercise of its functions; • in meeting the improvement objectives it has set itself; • by reference to performance indicators specified by Welsh Ministers, and self- imposed performance indicators; and • in meeting any performance standards specified by Welsh Ministers, and self- imposed performance standards. The Measure requires the Authority to publish its assessment before 31 October in the financial year following that to which the information relates, or by any other such date as Welsh Ministers may specify by order. The Measure requires that the Authority has regard to guidance issued by Welsh Ministers in publishing its assessment.
Page 1 of 2 - Audit of Snowdonia National Park Authority’s assessment of 2018-19 performance 19 As the Authority’s auditor, I am required under sections 17 and 19 of the Measure to carry out an audit to determine whether the Authority has discharged its duty to publish an assessment of performance, to certify that I have done so, and to report whether I believe that the Authority has discharged its duties in accordance with statutory requirements set out in section 15 and statutory guidance.
Scope of the audit For the purposes of my audit work I will accept that, provided an authority meets its statutory requirements, it will also have complied with Welsh Government statutory guidance sufficiently to discharge its duties. For this audit I am not required to form a view on the completeness or accuracy of information. Other assessment work that I will undertake under section 18 of the Measure may examine these issues. My audit of the Authority’s assessment of performance, therefore, comprised a review of the Authority’s publication to ascertain whether it included elements prescribed in legislation. I also assessed whether the arrangements for publishing the assessment complied with the requirements of the legislation, and that the Authority had regard to statutory guidance in preparing and publishing it. The work I have carried out in order to report and make recommendations in accordance with sections 17 and 19 of the Measure cannot solely be relied upon to identify all weaknesses or opportunities for improvement.
Adrian Crompton Auditor General for Wales CC: Julie James AM – Minister for Housing and Local Government Nick Selwyn, Manager
Page 2 of 2 - Audit of Snowdonia National Park Authority’s assessment of 2018-19 performance 20
ITEM NO. 9
MEETING Snowdonia National Park Authority
DATE 5 February 2020
TITLE AUTHORITY BUDGET & LEVY ON CONSTITUENT AUTHORITIES 2020/21
REPORT BY Chief Finance Officer
PURPOSE To approve the 2020/21 revenue and capital budget and levies on constituent authorities based on the Welsh Government grant.
1. Summary
1.1 This report provides detail of the Authority’s revenue budget for 2020/21 based on the National Park Grant figure for 2019/20. There has been no instruction, as yet, to change for 2020/21.
1.2 The report also provides details of the levy to be apportioned between the two constituent authorities of Gwynedd Council and Conwy County Borough Council.
1.3 The budgets presented within the report are on a standstill basis. That is, the level of unavoidable expenditure required to maintain the level of service in 2020/21, without any additional development.
2. Revenue Budget 2020/21
2.1 The proposed settlement for the National Park for the 2020/21 financial year was noted in the “Base Revenue Budget 2020/21” report that was presented at the Authority meeting on 11 December 2019.
2.2 A number of adjustments have been made to the budget in the meantime which reduces the surplus as reported in December of £92,411 (after earmarking £21,000 for the Management Team’s “one-off” projects line) to £33,376. See Appendix 1 for a revised copy of the detailed changes in budget provided in December. This means that the allocation to the match funding reserve for future projects reduces to £33,376.
3. Revenue Budget Analysis 2020/21
3.1 On the basis of the assumed grant figure (flat settlement), Appendices 2 and 3 provide information on the Authority’s proposed budget for 2020/21, with analysis of the net revenue budget at key service area level as well as at subjective standard grouping level.
21 3.2 Appendix 4 provides an analysis of the revenue budget at a more detailed section area level within each key service area. The analysis and net cost of the services also include estimates for capital charges.
3.3 Appendix 4 includes the effect of individual grant schemes which increases the Authority’s gross revenue expenditure (£12,180,724) by £5,672,837 for 2020/21 with the LIFE scheme accounting for £1,338,940 of it. In addition to this the capital spend on the Dolgellau Townscape Heritage scheme is estimated at £884,430.
4. Capital Budget 2020/21
4.1 Gross capital expenditure for 2020/21 is estimated as follows:
Vehicles (Land Management) £14,000 Access Projects £10,000 Information Technology (equipment and software renewals) £22,340 Information Technology (Document Management System) £50,000 Cultural Heritage schemes £96,280 Dolgellau Townscape Heritage scheme £884,430 TAIS grant scheme – Nant Peris £10,100 Carneddau (Welsh Govt. grant scheme 17/18) £119,187 Snowdon Partnership (Welsh Govt. grant scheme 17/18) £46,680 Footpaths (Welsh Govt. grant scheme 17/18) £25,000 Snowdon Interpretation Plan (Welsh Govt. grant scheme 17/18) £20,000 Planning (Welsh Govt. grant scheme 17/18) £20,000 Electric charging points (Welsh Govt. grant scheme 17/18) £10,000 New Website (Welsh govt grant + SNPA slippage) £103,800 Plas Tan y Bwlch Development (Welsh Govt grant 19/20 +SNPA reserves) £238,840 Solar Panels (Welsh govt grant 19/20) £38,000 Mobile Observatory (Welsh govt grant 19/20) £75,000 Bwlch Maesgwyn to Brithdir path (Welsh Govt grant 19/20) £60,000 Brithdir to Pen Ceunant path (Welsh govt grant 19/20 £70,000 Main Offices heating (Welsh govt grant 19/20) £30,000 Hafod Eryri (Welsh govt. grant 18/19 and 19/20) £172,320 Improvements to Betws y Coed Information Centre (Welsh govt. grant 19/20) £90,000 Cynwch Lake path (Welsh govt. grant 19/20) £30,000 Gorseddau Quarry (Welsh govt. grant 19/20) £75,000 Nant Gwynant crossing place (Welsh govt. grant 19/20) £40,000 Cadair Idris paths (Welsh govt grant 19/20) £100,000 Access to Llywelyn Lake, Drws y Coed (Welsh govt. grant 19/20) £30,000 Lon Gwyrfai (Welsh govt grant 19/20) £15,000 £2,495,977
The £2,445,977 is financed from : Welsh Govt. capital grant held in a reserve £1,299,987 Base budget and other Authority reserves £495,780 Other grants and contributions £700,210 £2,495,977
22 5. Use of Reserves
5.1 At the time of writing this report it is foreseen that the 2020/21 budget will include a net contribution of £2,019,447 to the Authority’s reserves. This figure includes £1,518,467 of Welsh Government grants that were received in advance and transferred to reserve. The details are as follows:
Revenue Management Plan and Partnerships £28,430 Cultural Heritage (project officer) £45,840 Dark Skies scheme £22,300 Carneddau scheme (£16,200) National Grid schemes £94,420 Ysgwrn (HLF grant scheme) £15,000 Mountain Safe (Welsh govt grant 16/17) £30,000 Car Parks (Welsh govt grant 17/18) £2,500 Snowdon Interpretation scheme (Welsh govt grant 17/18) £8,880 New website project (Welsh govt grant 17/18) £20,080 New website project (Welsh govt grant 18/19) £19,520 Landscapes Architect (Welsh govt grant 18/19) £12,000 Ecology (Welsh govt grant 18/19) £10,000 Young People’s Manifesto (Welsh govt grant 18/19) £55,500 Awareness of Plastic Waste (Welsh govt grant 18/19) £20,000 Well-being routes (Welsh govt grant 18/19) £40,000 £408,270 Capital Information Technology (Document Management System) £50,000 Dolgellau Townscape Heritage HLF scheme £172,350 Snowdon Interpretation (Welsh Govt. grant 17/18) £20,000 Carneddau scheme (Welsh Govt. grant 17/18) £119,187 Snowdon Partnership Plan (Welsh Govt. grant 17/18) £46,680 Footpaths (Welsh Govt. grant 17/18) £25,000 New website project (Welsh Govt. grant 17/18) £20,000 New website project (Welsh Govt. grant 18/19) £23,800 New website project (SNPA slippage 19/20) £40,000 Planning (Welsh Govt. grant 17/18) £20,000 Electric charging points (Welsh Govt. grant 17/18) £10,000 Hafod Eryri (Welsh govt. grant 17/18) £98,620 Hafod Eryri (Welsh govt. grant 18/19) £73,700 Plas Tan y Bwlch Developments (Welsh govt grant 19/20) £190,000
Plas Tan y Bwlch Development (Capital Receipts reserve) £20,340 Plas Tan y Bwlch Development (Asset Management reserve) £28,500 Solar Panels (Welsh govt grant 19/20) £38,000 Mobile Observatory (Welsh govt grant 19/20) £75,000 Bwlch Maesgwyn to Brithdir path (Welsh Govt grant 19/20) £60,000 Brithdir to Pen Ceunant path (Welsh govt grant 19/20 £70,000 Main Offices heating (Welsh govt grant 19/20) £30,000 Improvements to Betws y Coed Information Centre (Welsh govt. grant 19/20) £90,000
23 Gorseddau Quarry (Welsh govt. grant 19/20) £75,000 Nant Gwynant crossing place (Welsh govt. grant 19/20) £40,000 Cadair Idris paths (Welsh govt grant 19/20) £100,000 Access to Llywelyn Lake, Drws y Coed (Welsh govt. grant 19/20) £30,000 Cynwch Lake path (Welsh govt. grant 19/20) £30,000 Lon Gwyrfai (Welsh govt grant 19/20) £15,000 £1,611,177
Net contribution from reserves £2,019,447
The £2,019,477 above includes: Welsh Government grants – revenue 218,480 Weslh Government grants – capital 1,299,987 1,518,467
SNPA – revenue 189,790 SNPA – capital 311,190 500,980 £2,019,447
Some headings such as the Snowdon Interpretation Plan, even though a capital grant has been received, are revenue projects and therefore the grant will need to be converted from capital into revenue.
6. Levy on Constituent Authorities
6.1 Section 71 of the Environment Act 1995 and the National Park Authorities Levies (Wales) (Amendment) Regulations determines the way in which the levy requirement is to be constructed, and the approval of the Authority is required before levies can be raised upon the relevant constituent authorities.
6.2 The levy is calculated as a third of the National Park Grant received from the Welsh Government. The levy is apportioned between the constituent authorities in accordance with the default proportions as specified in the Levying Regulations.
6.3 The table below shows the levy apportionment on the basis of the grant figure as provided by Welsh Government.
(£) (£) National Park Grant 3,745,263 2020/21 Levy 1,248,420 Total 4,993,683
Levy Apportionment: Gwynedd Council 77.1% 962,532 Conwy County Borough 22.9% 285,888 Council Total 100% 1,248,420
24 6.4 The financing of the budget of £6,979,754 (see appendices 2-4) is as follows : Grant £3,745,263 Levy £1,248,420 Net contribution from Reserves £2,019,447 2020/21 budget surplus (£33,376) Budget £6,979,754
7. RECOMMENDATION
7.1 To approve the 2020/21 revenue and capital budget.
7.2 To approve the levies to be raised upon the billing authorities as noted in this report.
25 Appendix 1 (£) (£) 1 Final base budget 2019/20 5,038,900
2 Reversal of 2019/20 one-off costs "One off" projects line for the Management Team -79,000 Reservoirs review (once every 10 years) -2,000 Open Call grant scheme -22,990 Snowdon Interpretation Plan (W.Govt grant) -10,000 Work with Snowdonia Society (W.Govt grant) -3,000 Commercialisation of the Wardens and Access service (W.Govt grant) -20,080 -137,070
3 Change in staff costs Inflation estimate at 2.75% 110,577 Reduction in employer's pension contribution rate -50,686 5 months of the Ysgwrn salaries against the base budget 29,060 transferring employment cost budget to the bought in services budget line -34,880 New post - Corporate Assistant 29,536 Engagement grant scheme posts 64,600 Other movements 32,010 180,217
4 Change in expenditure Increase Plas Tan y Bwlch (capital) 48,840 Electricity (various) 10,000 Property - bought in services 25,000 Visitor Facilities - cleaning materials 5,000 Visitor Facilities - septic tank emptying 5,000 Information Centres - various lines 4,150 Translation - bought in services 34,880 Conservation, Trees and Agriculrure 5,270 Decrease Plas Tan y Bwlch -22,000 Ysgwrn - various lines -6,230 Schemes Dolgellau Townscape Heritage scheme 150,590 Carneddau Landscape Partnership scheme -16,200 Dark Skies scheme 6,315 National Grid schemes 94,420 Engagement grant schemes 213,880 Ysgwrn (HLF scheme) 15,000 573,915
5 Change in income Increase Conservation, Trees and Agriculture - general development orders-670 Car Parks - parking fee income -45,000 Information Centres - various lines -13,185 Interest -15,000 Decrease Plas Tan y Bwlch - various lines 48,400 Ysgwrn - various lines 11,760 -13,695 26 Balance carried over 5,642,267 Appendix 1 (£) (£) Balance carried over 5,642,267
6 General inflation provision 10,000
7 Base Budget 2020/21 5,652,267
8 National Park Grant and levy 2020/21 -4,993,683
9 Net Contribution from reserve Project Officer costs -45,840 Plas Tan y Bwlch (capital) -48,840 Partnership Officer -28,430 Dolgellau Townscape Heritage Scheme -172,350 Carneddau Landscape Partnership scheme 16,200 National Grid schemes -94,420 Engagement schemes -278,480 Electric charging points (W. Govt revenue grant) -2,500 Dark Skies scheme -22,300 Ysgwrn (HLF scheme) -15,000 -691,960
10 Surplus -33,376
27 Atodiad 2 / Appendix 2
CRYNODEB O'R GYLLIDEB REFENIW 2020/21 REVENUE BUDGET SUMMARY 2020/21
PRIF FEYSYDD GWASANAETH / KEY SERVICE AREAS
Cyllideb Net / Net Budget 2020/21 Gwasanaeth / Service : £ % Cynllunio a'r Dreftadaeth Ddiwylliannol a Rheolaeth Tir/ Planning and Cultural Heritage and Land Management 2,358,030 40.8 Corfforaethol / Corporate 3,296,180 57.1 Balansau, Arian Wrth Gefn a Darpariaethau / Balances, Reserves & Provisions 120,577 2.1
Cyllideb Net Gwasanaethau / Net Services Budget 5,774,787 100.0 LLog ar Arian Dros Ben / Interest Earned on Surplus Funds -23,000 Cyllido Gwariant Cyfalaf / Financing of Capital Expenditure 1,795,767 Addasiad Taliadau Cyfalaf / Capital Charges Adjustment -567,800 Cyfanswm Cyllideb Cyfrif Refeniw / Total Revenue Account Budget 6,979,754
Daw'r Arian O / Financed by :-
Cronfeydd wrth gefn / Reserves (prosiectau/projects) 2,019,447 28.9 Cronfeydd wrth gefn / Reserves (gwarged / surplus) -33,376 Grant y Parc Cenedlaethol / National Park Grant 3,745,263 53.7 Dyraniad Lefi Rhwng Cynghorau Lleol / Levy Allocation between Constituent Authorities :- Cyngor Gwynedd Council 962,532 13.8 Cyngor Conwy Council 285,888 4.1
6,979,754 100.5
Atodiad 3 / Appendix 3
CRYNODEB O'R GYLLIDEB REFENIW 2020/21 REVENUE BUDGET SUMMARY 2020/21 LEFEL ODDRYCHOL / SUBJECTIVE ANALYSIS
Cyllideb / Budget 2020/21 % £
Gweithwyr / Employees 4,816,810 44.0 Tir ag Adeiladau / Premises & Grounds 1,875,150 17.1 Cludiant / Transport 196,860 1.8 Cyflenwadau a Gwasanaethau / Supplies & Services 3,375,560 30.8 Taliadau Cyfalaf / Capital Charges 567,800 5.2 Arian Wrth Gefn a Darpariaethau / Reserves & Provisions 120,577 1.1
Cyllideb Gros Gwasanaethau / Gross Services Budget 10,952,757 100.0
Incwm / Income -5,177,970
Cyllideb Net Gwasanaethau / Net Services Budget 5,774,787
LLog ar Arian Dros Ben / Interest Earned on Surplus Funds -23,000 Cyllido Gwariant Cyfalaf / Financing of Capital Expenditure 1,795,767 Addasiad Taliadau Cyfalaf / Capital Charges Adjustment -567,800 Cyfanswm Cyllideb Cyfrif Refeniw / Total Revenue Account Budget 6,979,754
28 Atodiad 4 / Appendix 4
CRYNODEB O'R GYLLIDEB REFENIW 2020/21 REVENUE BUDGET SUMMARY 2020/21
Costau Gweithwyr a Cyllideb Gros Gwerthu, Ffioedd ac Cyllideb Net Chostau Rhedeg Costau Cyfalaf 2020/21 Incwm Grant 2020/21 Employee Costs & Gross Budget Sales Fees & Grant Net Budget Running Expenses Capital Charges 2020/21 Income 2020/21 £££ £ £ Cynllunio a Threftadaeth Diwylliannol a Rheolaeth Tir / Planning and Cultural Heritage and Land Management
Archeoleg / Archaeology 59,230 0 59,230 0 59,230 Treftadaeth Diwylliannol / Cultural Heritage 104,040 0 104,040 0 104,040
Cynllun Treftadaeth Treflun Dolgellau / Dolgellau Townscape Heritage scheme 60,070 0 60,070 -28,830 31,240 Cynllun Partneriaeth Tirwedd Carnedau - Carneddau Landscape Partnership Scheme 523,070 523,070 -526,320 -3,250 Cynllunio/ Planning 645,210 0 645,210 -176,500 468,710 Cadwraeth ac Amaethyddiaeth / Conservation and Agriculture 428,860 2,770 431,630 -19,220 412,410
Cynllun Rheoli Cynaladwy Mawndiroedd Cymru / Welsh Peatlands Sustainable Management Scheme 342,910 342,910 -342,910 0 Cynllun Rheoli Cynaladwy Dalgylch Afon Eden / Eden River Catchment Sustainable Management Scheme 224,930 224,930 -224,930 0
Cynllun Rheoli Cynaladwy Uwch Gwyrfai / Uwch Gwyrfai Sustainable Management Scheme 214,010 214,010 -214,010 0 LIFE-Coedwigoedd Celtaidd / LIFE - Celtic Rainforests 1,338,940 0 1,338,940 -1,264,080 74,860
RhMMAMG / ERAMMP 328,830 328,830 -328,830 0
Awyr Dywyll / Dark Skies 46,300 46,300 -24,000 22,300 Cynllun Grid Cenedlaethol (Maentwrog- Dwyrain) / National Grid Scheme (Maentwrog - East) 124,840 124,840 -33,680 91,160 Cynllun Grid Cenedlaethol (Maentwrog- Gorllewin) / National Grid Scheme (Maentwrog - West) 31,260 31,260 -28,000 3,260 Mynediad i'r Cyhoedd / Public Access 101,720 6,070 107,790 -3,730 104,060 Wardeiniaid, Gweithwyr Stad a Gwirfoddolwyr / Wardens, Estate Workers and Volunteers 951,130 49,850 1,000,980 -10,970 990,010 5,525,350 58,690 5,584,040 -3,226,010 2,358,030
Corfforaethol / Corporate
Gweinyddol / Administration 216,270 0 216,270 -300 215,970 Cyllid / Finance 161,100 0 161,100 0 161,100 Technoleg Gwybodaeth / Information Technology 273,620 28,010 301,630 0 301,630 Cyfreithiol / Legal 51,210 0 51,210 0 51,210 Personel / Personnel 106,320 0 106,320 0 106,320 Cyfiethu / Translation 108,140 0 108,140 0 108,140 Pencadlys / Headquarters 117,160 121,690 238,850 -12,000 226,850 Cymorth i Aelodau a'r Awdurdod / Members & Authority Support 187,050 0 187,050 0 187,050 Rheoli Corfforaethol / Corporate Management 594,350 0 594,350 -1,000 593,350 Prosiectau "un tro" 21,000 0 21,000 0 21,000 Plas Tan Y Bwlch 913,650 223,570 1,137,220 -805,810 331,410 Eiddo / Property 185,650 0 185,650 0 185,650 Cyfleusterau Ymwelwyr / Visitor Facilities 186,600 67,280 253,880 -71,160 182,720 Meysydd Parcio / Car Parks 298,510 4,810 303,320 -730,020 -426,700 Llyn Tegid 34,150 0 34,150 -56,120 -21,970 Casglu Ysbwriel / Litter Collection 15,000 4,510 19,510 0 19,510 Cynllun CTL / HLF Scheme - Ysgwrn 28,850 0 28,850 -13,850 15,000
Ysgwrn 86,910 45,350 132,260 -64,460 67,800 Ymgysylltu / Engagement 405,430 7,950 413,380 -4,130 409,250 Prosiect Safle Gwe / Website project 39,600 0 39,600 0 39,600
Maniffesto Ieuenctid / Young People's Manifesto 55,500 0 55,500 0 55,500
Llwybrau Llesiant / Well Being Routes 40,000 0 40,000 0 40,000
Mynydda Diogel / Mountain Safe 30,000 0 30,000 0 30,000 Cynllun Rheolaeth a Phartneriaethau / Park Management Plan and Partnerships 247,730 0 247,730 0 247,730
Canolfannau Gwybodaeth / Information Centres 330,230 5,940 336,170 -193,110 143,060 Traffic a Thrafnidiaeth / Traffic and Transport 5,000 0 5,000 0 5,000 4,739,030 509,110 5,248,140 - 1,951,960 3,296,180
Balansau, Arian wrth Gefn a Darpariaethau / Balances, Reserves & Provisions Darpariaeth Chwyddiant Cyffredinol / General Prices Inflation - Provision 10,000 - 10,000 - 10,000 Darpariaeth Chwyddiant Cyflogau / Payroll Inflation Provision 110,577 - 110,577 - 110,577 120,577 - 120,577 - 120,577
Cyfanswm Cyllid Gwasanaethau / . Total Services Budget 10,384,957 567,800 10,952,757 - 5,177,970 5,774,787
LLog ar Arian Dros Ben / Interest Earned on Surplus Funds - - - - 23,000 - 23,000 Cyllido Gwariant Cyfalaf / Financing of Capital Spend 1,795,767 - 1,795,767 - 1,795,767 Addasiad Taliadau Cyfalaf / Capital Charges Adjustment - - 567,800 - 567,800 - 567,800
Cyfanswm Cyllid Cyfrif Refeniw / Total Revenue Account Budget 12,180,724 - 12,180,724 - 5,200,97029 6,979,754
ITEM NO. 10
MEETING Snowdonia National Park Authority
DATE 5 February 2020
TITLE CAPITAL STRATEGY 2020/21
REPORT BY Chief Finance Officer
PURPOSE To approve the Capital Strategy for 2020/21 and the Chief Finance Officer’s recommendations with reference to the Prudential Code.
1 BACKGROUND
1.1 The Capital Strategy report gives a high-level overview of how capital expenditure, capital financing and treasury management activity contribute to the provision of National Park services along with an overview of how associated risk is managed and the implications for future financial sustainability.
1.2 The Strategy covers:-
Capital Expenditure and Financing, Treasury Management including debt-free status, Investments for Service Purposes, Commercial Activities, Liabilities, Revenue Budget Implications, and Knowledge and Skills.
2 CAPITAL EXPENDITURE AND FINANCING
2.1 Capital expenditure is where the Authority spends money on assets, such as property or vehicles that will be used for more than one year. For the National Park Authority this includes spending on assets owned by other bodies, and grants to other bodies enabling them to renovate listed buildings. The Authority has some limited discretion on what counts as capital expenditure, for example assets costing below £10,000 are not capitalised and are charged to revenue in year.
30 2.2 In 2020/21 the Authority is planning capital expenditure of £2,496k as summarised below:
Table 1: Prudential Indicator: Estimates of Capital Expenditure in £ thousands 2018/19 2019/20 2020/21 2021/22 2022/23 actual forecast budget budget budget (£’000) (£’000) (£’000) (£’000) (£’000) General Fund 109 681 1,002 149 36 (Corporate Services) General Fund 288 1,617 1,494 278 160 (External to the Authority) Capital 0 0 0 0 0 Investments TOTAL 397 2,298 2,496 427 196
2.3 The main general fund capital projects for 2020/21 include £1.3m worth of Welsh Government funded capital schemes (£634k programmed on corporate services) with another £693k worth of work externally funded on the Dolgellau Townscape scheme. The single main Authority contribution is to the Cultural Heritage schemes (£96k) – this contribution varies between individual financial years due to the required contribution towards the Dolgellau Townscape HLF scheme. This scheme will finish in 2021/22 and the cultural heritage schemes budget will return to £149,490.
2.4 Governance: The allocation from the annual revenue budget tends to stand unrevised unless the Authority is looking for savings due to reduced funding. The allocation is usually supplemented by unspent budgets carried over from the previous financial year.
2.5 All capital expenditure must be financed, either from external sources (government grants and other contributions), the Authority’s own resources (revenue, reserves and capital receipts) or debt (borrowing, leasing and Private Finance Initiative). The planned financing of the above expenditure is as follows:
31 Table 2: Capital financing in £ thousands 2018/19 2019/20 2020/21 2021/22 2022/23 actual forecast budget budget budget (£’000) (£’000) (£’000) (£’000) (£’000)
External 245 1,932 2,000 260 0 sources Own resources 152 366 496 167 196 Debt 0 0 0 0 0 TOTAL 397 2,298 2,496 427 196
The “external sources” noted in the table above represents grants and contributions. The Authority is “debt free” and at present there is no intention of incurring debt. One potential scenario where short-term borrowing might be required is during the last 3 years (2023/24 – 2025/26) of the LIFE – Celtic Rainforest project, where there will be a significant negative cash-flow due to the last grant payment being with-held until the project is completed and audited.
2.6 The Authority has a capital receipts reserve currently standing at £163,790. It is estimated that approximately £20,340 will be used in 2020/21 to contribute towards the development costs at Plas Tan y Bwlch.
2.7 The Authority’s capital financing requirement therefore stands at zero and the Authority is expected to stay debt-free in 2020/21.
2.8 Asset Management: To ensure that capital assets continue to be of long-term use, the Authority has an asset management plan in place and it is currently being reviewed to determine the level of financial commitment required over the coming years.
2.9 Asset Disposals: No disposal of land and buildings is currently foreseen. Otherwise, the proceeds from disposals of vehicles and heavy plant are ring- fenced for financing replacements.
3 TREASURY MANAGEMENT
3.1 Treasury management is concerned with keeping sufficient but not excessive cash available to meet the Authority’s spending needs, while managing the risks involved. Surplus cash is invested until required, while a shortage of cash may be met by borrowing, to avoid excessive credit balances or overdrafts in the bank current account.
3.2 Borrowing strategy: It was agreed on discussing the Authority’s Policy on Borrowing in the Performance and Resources Committee (9/11/2016) that any future borrowing should be for a specific project with a sound business case. No significant changes have occurred since, hence that policy stands. Therefore,
32 the Authority will, commence the 2020/21 financial year with no outstanding debt and is regarded for treasury management purposes as being debt-free.
3.3 Affordable Borrowing Limit: The Authority is legally obliged to set an affordable borrowing limit (also termed the authorised limit for external debt) each year. In line with statutory guidance, a lower “operational boundary” is also set as a warning level should debt approach the limit.
Table 3: Prudential Indicators: Authorised limit and operational boundary for external debt in £’000 2019/20 2020/21 2021/22 2022/23 limit limit limit limit Authorised limit – borrowing 500 500 500 500 Authorised limit – PFI and leases 0 0 0 0 Authorised limit – total external 500 500 500 500 debt Operational boundary – borrowing 100 100 100 100 Operational boundary – PFI and 0 0 0 0 leases Operational boundary – total 100 100 100 100 external debt
While the recent improvement in the Authority’s funding position could suggest a reduced need for the ‘authorised borrowing limit’ and the ‘operational boundary’, no reduction is recommended, in order to retain flexibility, in the context of uncertainties with Brexit and volatility in Government funding.
3.4 Treasury investments arise from receiving cash before it is paid out again. Investments made for service reasons or for pure financial gain are not generally considered to be part of treasury management.
3.5 The Authority’s policy on treasury investments is to prioritise security and liquidity over yield; that is to focus on minimising risk, rather than maximising returns. Cash that is likely to be spent in the near term is invested securely, for example with the government, other local authorities, or selected high-quality banks, to minimise the risk of loss. The Authority, presently, does not hold investments for longer terms (these would be invested more widely, including in bonds, shares and property, to balance the risk of loss against the risk of receiving returns below inflation).
3.6 The contract with the Authority’s bankers, Barclays Bank Plc., allows free banking as long as the Authority holds a credit balance of £1,250,000 in the bank accounts. All cleared balances in excess of the £1,250,000 limit are transferred automatically at the end of each working day into the bank’s business reserve (interest earning) account, and maintaining a credit balance forms part of the investment strategy.
33 Where a Barclays bank branch is not easily available, establishments may pay in monies to Santander UK, via the Post Office.
3.7 The Authority’s day to day cash flow will be monitored carefully throughout the year. Any surplus funds will be deposited with one or more of the following institutions: • Bank of Scotland • HSBC • Santander UK • Barclays Bank • Lloyds Bank • Nationwide Building Society • UK Debt Management Office (“DMO”)
3.8 Amounts invested will be dependent on the prevailing credit status and required minimum balances, whilst also maintaining sufficient balances to satisfy the Authority’s cash flow requirements. The main emphasis is on safeguarding the Authority’s monies and to this end finance officers arrange as even a spread as practically possible between the approved establishments (other than Barclays).
3.9 At the time of writing the banks noted above have the appropriate credit rating (Fitch short-term credit rating F1 or better for holding short term deposits).
3.10 An exception to the requirement for banks to have the appropriate credit rating may be Barclays Bank in respect of the Authority’s current account, where (should credit ratings fall) the Authority may continue to deposit surplus cash overnight.
Credit or debit card payments made for parking and received through the pay and display machines are processed through Allied Irish Bank which has an F2 rating. The risk is mitigated by the fact that these monies transfer over to Barclays within 3 working days.
3.11 Also, the Authority deposits cash with unrated building societies e.g. Nationwide Building Society where independent credit analysis shows them to be suitably creditworthy.
3.12 Should the approved financial institutions’ credit ratings fall generally, the Authority will consider depositing cash with the UK Debt Management Office (“DMO”), to ensure security, but minimal interest receivable.
3.13 The Authority’s investments are for treasury management purposes only i.e. there is no investment property held and no investment to support services.
34 Table 4: Treasury management investments in £thousands 31.3.2019 31.3.2020 31.3.2021 31.3.2022 31.3.2023 actual forecast budget budget budget (£’000) (£‘000) (£’000) (£’000) (£’000) Near-term 3,197 5,150 3,425 2,600 1,350 investments Longer-term 0 0 0 0 0 investments TOTAL 3,197 5,150 3,425 2,600 1,350
The table above reflects the fact that a significant sum of “one-off” grants are paid to the Authority in the last quarter of the financial year. It assumes minimal one-off grants from end of year underspends by Welsh Government from here on, and that LIFE payments will follow profile i.e. the second and third grant instalments will be paid in 2020/21 and 2021/22. There will be no formal confirmation of the National Park Grant settlement until 25 February 2020. National Park grant settlements are unknown for 2021/22 and 2022/23. The above table excludes those monies required to maintain the Authority’s day to day solvency and the £1,250,000 required by Barclays.
3.14 Governance: Decisions on treasury management investment and borrowing are made daily and are therefore delegated to the Head of Finance and Finance staff, as advised by, and in consultation with the Chief Finance Officer where necessary. The Head of Finance and Finance staff must act in line with the Treasury Management Strategy approved by the Authority in February each year. Reports on treasury management activity are presented to the Authority as follows:
. An interim report on the treasury management operation for 2020/21 will be submitted to the Authority before the end of the 2020 calendar year (written or oral as deemed appropriate).
. That the annual report on the treasury management operation for 2020/21 will be submitted at the June 2021 Authority meeting.
4 INVESTMENTS FOR SERVICE PURPOSES
The Authority does not undertake such investments, rather it provides assistance by means of grants through e.g. the Commissioning Fund, small grants fund, listed buildings budget.
5 COMMERCIAL ACTIVITIES
5.1 The Authority currently does not have investments in property purely for financial gain.
35 5.2 The Authority does engage in other commercial activity, such as courses and bed & breakfast at the Plas Tan y Bwlch Study Centre, sales in the three Information Centres and at the Ysgwrn property. The proceeds contribute to the costs of running the individual services. As noted in the 2018/19 Statement of Accounts - £2,315k generated from fees, charges and other service based income, of which the main components are as follows : Car Park fee income £838k Study Centre course fees £568k Information Centre sales £178k Planning Fees £163k
5.3 The risks involved are managed through the Plas Tan y Bwlch management board, Ysgwrn management board and budget monitoring reports to Authority members. Plas Tan y Bwlch and Ysgwrn are also included on the Corporate Risk Register.
6 LIABILITIES
6.1 Whilst the Authority is debt-free, it is committed to making future payments to cover its pension fund deficit (valued at £7,752k as at 31/3/2019). The Authority has received substantial amounts of “one-off” revenue and capital grants paid in advance over recent years – most of these have been transferred to the revenue and capital grants reserves whilst others (including the grant relating to the ERAMMP scheme) have been recorded under creditors.
6.2 The Authority reviews its reserves annually.
6.3 Governance: The pension fund position is reported annually to members as part of the Annual Statement of Accounts. The position regarding utilisation of grants and progress against profile is reviewed by the Head of Finance as part of the budget monitoring process which feeds into reports to members every September, December and March, and the Authority outturn report in May.
7 Revenue Budget Implications:
7.1 As the Authority is debt free, there are no debt interest charges to the revenue budget.
7.2 Sustainability: The Chief Finance Officer is satisfied that the proposed capital programme is prudent, affordable and sustainable because it does not require external debt financing.
8 KNOWLEDGE AND SKILLS
8.1 The Authority employs professionally qualified and experienced staff in senior positions with responsibility for making capital expenditure, borrowing and investment decisions. For example, the Chief Finance Officer is a qualified accountant with 39 years’ relevant experience (16 years’ experience as a
36 statutory finance officer) with daily access to specialist treasury management advice, while the Head of Finance is also part qualified with 12 years experience in the present post.
8.2 Where Authority staff do not have the knowledge and skills required, it is possible to use external advisers and consultants that are specialists in their field. Presently, the Authority’s Treasury Management operations are comparatively straight forward, hence external expertise is not required, other than consultation as necessary with the Authority’s Chief Finance Officer.
9 RECOMMENDATIONS
9.1 Note that there is no intention to borrow monies for capital purposes, but the limitations below are recommended on a prudent level as a precautionary measure in case of an emergency or need for expenditure at short notice.
9.2 To approve no change in: (i) the Authorised Borrowing Limit of £500,000 for 2020/21, and an Operational Boundary of £100,000, and (ii) no limit on the proportion of interest payable at a variable rate.
9.3 To adopt the Capital Borrowing Strategy for 2020/21 as outlined in paragraph 3.3 of the report, and to note the content relating to the Prudential Code (see tables under paragraphs 2.2, 3.3 and 7.1).
9.4 To adopt the Investment Strategy for 2020/21 as outlined in paragraphs 3.5- 3.14 of the report, and note the institutions listed in paragraph 3.7.
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ITEM NO. 11
MID TERM FINANCIAL PLAN : 2020/21 – 2023/24 SNOWDONIA NATIONAL PARK AUTHORITY
1. BACKGROUND
1.1 This is an overview document outlining the main financial matters that will affect the Authority over the coming years. The document is supported by a number of technical papers prepared by the Authority’s finance department led by the Section 151 Officer.
1.2 This document seeks to explain the situation in compact form, and specifically to enable Authority Members and staff to gain further understanding in relation to: Modelling scenarios, Principles adopted when allocating resources, Reaching a decision regarding the importance of any financial challenges / opportunities, Principles for tackling funding pressures.
2. MID TERM FINANCIAL PLAN (MRFP) REQUIREMENT
2.1 This Mid Term Financial Plan (MTFP) illustrates the Authority’s strategic approach towards managing its finances, and outlines a range of financial situations that could face the Authority over the next four years. The task of accomplishing the strategy depends on the resources available through Welsh Government (WG) settlements and how successful the Authority will be in balancing resources with service priorities.
2.2 The MTFP notes the general condition of the Authority budget and outlines a model of the financial resources required by the Authority for the service levels it hopes to provide in the mid term. This provides a framework which will enable Members and officers to develop detailed annual budget allocations.
2.3 The MTFP will be a key instrument for proactive financial management. It will be used as a basis for the process of setting the annual budget and ensuring that the resource requirements of the Authority for the coming year are sufficently met and in line with the correct services, but will also allow for setting future financial needs far enough in advance so that plans can be set in motion for the appropriate steps to be taken to deal with the anticipated funding levels.
2.4 A new annual budget has to be prepared each year. The MTFP is updated each year as part of the annual budget planning cycle. Members will still be informed about the developments in the MTFP at the December meeting of the Authority, and the services will discuss the options regarding cost and savings and / or income generation as part of the annual budget planning cycle.
2.5 For the purposes of this report we assume that Welsh Government support in terms of revenue grant to be flat in the coming years. Welsh Government, however, have made available significant capital reserves and the delivery of which can be problematic as staff resources are insufficient to support the delivery of significant capital projects over an extended period.
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3. MID TERM PRIORITIES AND AIMS OF THE AUTHORITY:
3.1 The MTFP will need to accomplish mid to long term priorities, together with the statutory aims and purposes of the Authority. The Authority’s statutory purposes are defined in the Environment Act of 1995 as follows:
Protect and enhance the natural beauty, wild life and cultural heritage of the area,
Promote opportunities for the public to understand and enjoy the special characteristics of the area;
And in pursuing these purposes, the Authority should try and enhance the economic and social wellbeing of the local communities.
3.2 The following are key documents which will guide the Authority during this period:
The National Park Management Plan, The Local Development Plan, Our Vision, Business and Improvement Plan, Service Priorities, Corporate Work Programme, Welsh Government (WG) priorities in the document “Valued and Resilient” (“Gwerthfawr a Chydnerth”).
4. THE FINANCIAL CHALLENGE
4.1 Since the National Park Authorities were established in 1996, the Authority has been in a situation where it could manage its own budget but has endured a prolonged period of financial restrictions. This has come not only as a result of pressure on our basic grant from the Welsh Government (and local authority consequential levy) but also increasingly from the lack of access to other funding sources such as the European Structural Funds, especially in the wake of the BREXIT referendum. The basic grant for this Authority for 2019/20 has remained at a similar level since 2016/17 and is £3,745,263. As there has been no indication of change, it is assumed that the basic grant will remain the same for 2020/21 and together with the appropriate levy will reach a total of £4,993,683.
4.2 The Welsh Government (WG) has not published indicative figures for subsequent years. There have been significant specific grant sums paid out by Welsh Government in the last quarter in recent financial years. Again, there has been no indication of change, therefore the expectation is that this will continue in some form for 2020/21. Welsh Government have identified capital expenditure for designated landscapes of Wales - this fund will be subject to an approval process by Welsh Government and any capital award will be restricted in use, and for this reason cannot be included in our forecast figures.
4.3 Authority Basic Budget: Here is a summary of the situation regarding the initial budget of the Authority over the last 5 years:
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Year 2019/20 2018/19 2017/18 2016/17 2015/16 £’000 £’000 £’000 £’000 £’000 Gross Revenue 11,165 7,430 7,160 6,733 7,010 Expenditure Revenue Income -6,307 -2,907 -2,299 -1,849 -1,925 Net Revenue 4,858 4,523 4,861 4,884 5,085 Expenditure Net Capital 998 184 222 351 260 Expenditure Original Budget 5,856 4707 5,083 5,235 5,345 Total Grant 3,745 3,550 3,745 3,745 3,952 Levy 1,248 1,183 1,248 1,248 1,318 Contingency Funds 863 -26 90 242 75 Budget Total 5,856 4,707 5,083 5,235 5,345
* The above table does not include cuts made during the year, the additional grants received or amendments made to the budget during the year.
4.4 Annual Budgets: The Authority is obliged to set its budget in advance, and to set a levy on constitutional local authorities, this Authority needs to agree on a balanced budget by 11 February in any year. Welsh Government will be confirming the final grant settlement figure on 25th February. Should the settlement be higher than expected, the Authority will have to forego the additional levy. Should the settlement be lower, the Authority can seek agreement with the constituent Authorities to stay with the levy as approved in the Authority meeting on the 5th February. In the absence of any indicative budgets beyond 2020/21 the Authority is in a difficult position with regards to planning for these years. The planning assumption here is for a flat budget in 2021/22.
4.5 Annual Financial Pressure on the Authority: Each year the Authority incurs financial pressure. This pressure is the cumulative impact of: Inflation pressure Unavoidable commitments Planned efficiency measures / Income streams
The estimated cumulative financial pressure on the Authority over the next 4 years are summarised below:
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Year Expenditure Income Transfers Net (£) (£) from reserve additional (£) expenditure (£) 2020/21 627,062 -13,695 -646,743 -33,376 2021/22 109,140 -40,000 0 69,140 2022/23 170,280 0 0 170,280 2022/24 142,430 0 0 142,430
See item 9 on the agenda for detail on the expenditure and income for 2020/21 Budget. A further analysis of the other above figures will be provided in this paper.
4.6 Pressures from Inflation: As a rule a report is presented to the Authority on pressures resulting from inflation; these are the pressures stipulated for the next four years:
Year 2020/21 2021/22 2022/23 2023/24 (£) (£) (£) (£) Wages Inflation 110,500 116,730 128,570 132,430
General Inflation 10,000 10,000 10,000 10,000
At the time of compiling the report, the pay increase has not been confirmed for 2020/21 and an assumption of 2.75% included in budgetary estimates. The years following have been estimated at 2.5% each.
The general inflation figure has been retained at £10,000.
4.7 Unavoidable Pressures: The following have been identified as pressures which the Authority cannot avoid:
2020/21 Expenditure :- The favourable actuarial valuation of the pension fund (every 3 years) has provided a saving of circa £50,000, whilst there is extra cost relating to an additional 5 months of Ysgwrn salaries against the Authority base budget, and a new post created relating to corporate support.
It is intended to buy in the services of a consultant to lead on business developments at Plas Tan y Bwlch, and the cost to be financed from the specific risks reserve. At the time of writing the brief and associated costs have not been finalised, so no estimated figure is included here.
Income :- Main variances are an increase of £45,000 in car park fee income which is utilised in increasing certain expenditure lines, and a decrease of £48,000 in Plas Tan y Bwlch income in order to set more realistic targets.
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A consultation is underway on increasing planning fees by 20% with responses by 13 March 2020. This could raise fee income by circa £30,000 on current year figures. This has not been included in the budget figures.
Delivery of capital Projects :- the Authority needs to address capacity to deliver on capital projects and may need to appoint more staff on a medium term basis to ensure delivery. Such committments have not been costed.
2021/22 No indicative grant settlement, but the planing assumption made is for a flat settlement.
Additional 4 months of Ysgwrn salaries against the base budget (circa £24,000).
The current 2 year secondment to the Head of Planning post comes to an end in November 2021. Should the relevant officer decide to return to her previous post, this will entail an additional budget cost of circa £15,470 (4 months) this has been included in the projections.
Management Team to relinquish the £21,000 “one-off projects” line.
2020/21 budget surplus of £33,376 will be an opening position for 2021/22 and available to fund extra costs.
On the basis that the bunkhouse development proceeds, it is expected that there will be additional income generated of say up to £40,000 at Plas Tan y Bwlch.
2022/23 No indicative grant settlement. As noted above re the planning secondment, this could result in an additional cost of £31,710 (8 months) and has been included in the projections. Only other known pressures are inflation based.
2023/24 No indicative grant settlement. Only known pressures are inflation based. There will be a new actuarial valuation (3 year cycle) on the pension fund and therefore a revised employer pension contribution rate applicable for this financial year.
The following should be noted :
The developments at Plas Tan y Bwlch including that of bunkhouse facilities are being funded mostly from Welsh Government capital grant with an estimated contribution of £48,840 from the Authority’s capital receipts reserve (£20,340) and Asset Management Reserve (£28,500).
4.8 Planned Efficiency Measures / Income : Wlilst the recent financial strategy did include an additional income target for Plas Tan y Bwlch, as can be seen above, the existing target has been reduced in order to be more realistic. As noted above, the expectation is for further income generation in
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lieu of the bunkhouse development. A new business plan needs to be adopted for Plas Tan y Bwlch in 2020/21.
4.9 Authority Reserves: A review of the Authority’s reserve funds is presented annually to the December meeting of the Authority.
The Authority has 16 reserves, namely:
Reserves 31/3/2019 Current 31/3/2020 (approx) £’000 £’000 £’000 Usable Capital Receipt Reserve 153 164 158 Section 106 Reserve 230 230 230 Revenue Grants Reserve 845 601 741 Capital Grants Reserve 1,190 483 1,835 Asset Management Reserve 305 234 234 Public Inquiry Reserve 225 225 225 Match Funding Reserve 804 872 737 2018/19 Slippage Reserve 508 18 69 Projects Reserve 392 242 353 Snowdon Infrastructure Reserve 56 56 56 Bequest Reserve 93 0 0 Specific Risks Reserve 324 424 424 Staff Resilience Reserve 120 120 120 Commercial Risks Reserve 100 100 100 General Revenue Reserve 347 347 347 Pension Fund Liability Reserve (67) (67) 0 Total 5,625 4,049 5,629
The Authority formally reviews its reserves each December in order to ensure that appropriate resources are available.
4.10 National Park Grant Settlements: As noted above the National Park Grant settlement figure is expected, in lieu of no contradictory indication, to remain at the 2016/17 level for 2020/21.
In the absence of indicative figures from the Welsh Government, the following are possible figures for the three subsequent years:
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Change in funding from National 2021/22 2022/23 2023/24 Park Grant and levy (£) (£) (£) +2.5% 127,960 131,160 134,440 +1% 50,440 50,940 51,450 0% 0 0 0 -1% -49,440 -48,940 -48,450 -2.5% -121,720 -118,680 -115,710 -5% -237,200 -225,340 -214,070 -10% -449,430 -404,490 -364,040
4.11 Cumulative effects: The table below shows the cumulative effect of inflation pressures, unavoidable commitments, planned efficiency measures and income production against various funding scenarios for a period of 3 years:
Change in 2021/22 2022/23 2023/24 Total grant and levy (£) (£) (£) (£) +2.5% 58,820 -39,120 -7,990 11,710 +1% -18,700 -119,340 -90,980 -229,020 0% -69,140 -170,280 -142,430 -381,850 -1% -118,580 -219,220 -190,880 -528,680 -2.5% -190,860 -288,960 -258,140 -737,960 -5% -306,340 -395,620 -356,500 -1,058,460 -10% -518,570 -574,770 -506,470 -1,599,810
Note that the current projection for 2019/20 shows an overspend against budget dependent on the outcome of the planning court case and whether any further underspends become apparent by the end of the financial year.
5. SERVICE PRIORITIES AND OPERATING PRINCIPLES:
5.1 Service Priorities: The Authority has reviewed and adopted its service priorities and operating principles to help it in a challenging financial climate. The Authority’s service priorities are as follows: Ensure that the aims in the Park Management Plan are successfully achieved by ourselves, our partners and our stakeholders in order to improve the condition of the Park;
Ensure that the statutory planning function has sufficient resources and is efficiently managed to meet the demands of national policies, that it meets customer expectations and supports sustainable communities;
Find new income sources to support the purposes of the Park and the Authority.
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Ensure that we are familiar with the demands of the Wellbeing of Future Generations (Wales) Act 2015 and the Environment Act (Wales) 2016 and deliver them;
Show at local and national level the advantages of having a National Park Authority in place to manage an area as special as Snowdonia, now and for future generations.
5.2 Operating Principles: The Authority has adopted the following operating principles (in accordance with part 3 of the current Corporate Work Programme):
Enabling role with less emphasis on ownership and management;
Avoid embarking on projects with long term maintenance commitments;
Encourage and enable local communities to manage and take responsibility for providing services in their areas;
Use electronic media as the main means of providing services and information;
Strategic approach to sustainable tourism, environmental education and wardening;
Finding new income sources to support the purposes of the Park and the Authority.
The Authority should ensure that each activity it plans is consisent with the above, and that this is the first parameter to use when setting the annual budget.
The way that the Authority carries out its duties during these hard economic times is just as important and in this context the Authority will adopt the following operating method:
Incorporate even deeper sustainable development as a core principle to follow in pursuing all our duties;
By working with our partners, adopt an enabling and facilitating role as we achieve our purposes;
Evaluate all long term financial commitments and other commitments for every possible project;
Work with our communities to achieve the Authority vision;
5.3 Financial Strategy: The Financial Strategy adopted for balancing the budgets for 2018/19 and 2019/20 has been implemented with the following result:
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(£) Year 1 Savings -407,912 Savings overturned 42,270 Year 2 Savings -262,342 Savings overturned 122,854 Savings deferred until 2020/21 50,500 2020/21 savings overturned -50,500 Total -404,130
At present the Authority is forecasting flat grant setllements such that annual financial pressures as noted in paragraph 4.5 will have to be funded from either extra income generated and/or savings in expenditure.
The forecasted requirement for 2021/22 of £69,140 as shown in paragraph 4.11 can be partly financed from the possible increase in planning fee prices, but thereafter the Authority would face an annual funding deficit of £170,280 in 2022/23 and a further £142,430 in 2023/24.
5.4 Relevant Steps for the Future:
Review the MTFP as relevant information becomes available to the Authority;
Work in co-operation with Welsh Government (WG) Ministers and officials to develop commitment on indicative budgets in the future;
Ensure that the Authority achieves its statutory implications;
Establish a revised budget line to the value of £21,000 for 2020/21 only, under the leadership of the Management Team for allocation of funding to specific projects.
Ensure that capacity matters to deliver capital allocations are addressed.
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ITEM NO. 12
MEETING Snowdonia National Park Authority
DATE 5 February 2020
TITLE THE AUTHORITY’S RISK PROFILE
REPORT BY Director of Corporate Services
PURPOSE To update Members on the Authority’s Risk Profile
BACKGROUND
1.1 The Authority has a Risk Profile therein risks facing the Authority are placed into three categories namely High Priorities, Medium Priorities and Low Priorities. This report updates the said Risk Profile previously presented to the Authority on 6 February 2019.
1.2 Over the past 12 months the current risks have been allocated a profile based on likelihood and impact, and some were given higher priority, and others given medium or lower priority.
1.3 Risks are primarily identified through the relevant Heads of Service and Management Team. The Risk Register is reviewed as a standing item on the quarterly Heads of Service and Management Team meetings. Identified risks as noted in the Risk Register are allocated to responsible officers and target dates are set for mitigation. The risk register is reviewed by Members in the Performance and Resources committee as well as this Authority meeting. Details of the Authority’s current Risk Profile and the risks that have been addressed in the past 12 months are set out below.
1.4 All of the Authority’s services are aware of the need to maintain service risk registers which are discussed in the quarterly Heads of Service and Management Team meetings.
1.5 One new risk has been added to the register, over the last 12 months, namely : Staff resilience in the Authority decreases (due to increased demands) due to funding cuts.
1.6 2 risks have changed category since the Authority in February 2019 namely: Income Generation Target (Plas Tan y Bwlch). (medium high) Authority manages projects poorly and ineffectively. (low medium)
1.7 At present two risks have now been identified as High Priority.
47 HIGH RISKS Risk Actions identified as Progress required over the next 12 months Income Generation The budget forecast for Grant funding of £229k has Target (Plas Tan y 2019/20 is that the study been received from the Welsh Bwlch) centre will be in deficit Government specifically for against the net budget. The improving accommodation income target for 2020/21 provision (£200k) and has been reduced to reflect changing lighting a more realistic target. The arrangements (£29k). bunkhouse development At the time of writing the and improving the quality of invitation to tender and the two some bedrooms is in hand. applications for Listed Building Consent development are in hand. No start and finish dates have been set. No formal agreement has yet been signed with the YHA. There will be a change over to a new system for booking courses and accommodation in due course in order to enable online hire / booking. No further progress has been made re assessing the value of making a case to HMRC on moving out of the VAT partial exemption regime. Aspects of financial risk Delivering at least £1 million Based on work relating to associated with the LIFE worth of expenditure by the signed agreements being project - Celtic end of March 2020 in order completed and claimed on time Rainforests including to stay within the Welsh - the Project Manager is failure to comply with Government's funding cautiously confident of procurement rules or requirement. An additional achieving the 2019/20 target. expenditure on ineligible £1 million of expenditure will In addition, the project is in a costs leading to the be required in the 2020/21 much better position than at award of the grant, or a financial year again to the end of the last financial variation in the Euro / satisfy Welsh Government's year (18/19) with pound exchange rate. requirement. approximately £600k committed to signed agreements (up to the end of October 2019), with additional tenders going out weekly.
1.8 The risks identified as a lower priority that will need further attention over the next three years are noted below although some of these risks have already been addressed or will be addressed with the aim of mitigating the risk.
48 MEDIUM RISKS Risk Recommended Actions Progress Inadequate funding The Welsh Government's Following implementation of budget. draft budget suggests a flat the latest financial strategy settlement for 2020/21. The to identify savings, the Welsh Government has not Authority is in a position to provided indicative balance the 2020/21 budget settlements for 2021/22 and and there will be some beyond. surplus monies. This is subject to the suggested settlement being approved. Reputational risk in Successful transition from The Head of Service has relation to the Authority's the building management returned from her maternity management of Yr Ysgwrn phase to operating the site leave. Further attention is as a museum and visitor being given to audience centre. development, increasing income and re-submitting the application for a renewable heating incentive subsidy. There is also an evaluation of staffing arrangements and the possibility of attracting more volunteers. Failure to meet the The Authority continues to WAO operates a 4 year requirements of the "Well- work with the Wales Audit programme on aspects of being of Future Office to develop its the Five Ways of Working Generations" Measure". effectiveness in under the Sustainable implementing the Development Principle. requirements of the Well 2018/19 phase completed Being Act. successfully. Risks to the HLF The Head of Service and Payment of the Development Landscape Partnership Project Manager will phase grant claims has been project on the Carneddau continue to work with delayed due to difficulties by failing to deliver the partners to ensure that "in with the Heritage Fund web project. This may be as a kind" contributions are made portal but this has now been result of failure to meet the and effective grant resolved and payment is approved purposes of the applications are submitted. expected during January National Lottery Heritage The Head of Service and 2020. Fund grant, delay in Project Manager will Regarding the Operational appointing staff to the continue to work closely with Phase - all documentation scheme and therefore funders to ensure that all relating to commencement delay in starting the approved objectives and consent has been submitted scheme, delay in payment funding conditions are met. to the Heritage Fund and of grant claims, confirmation of partnership breakdown, commencement consent is failure to receive the expected by mid January "unsecured" monies 2020, and everything is in expected through further place for advertising and grant applications and "in appointing the project kind" contributions during manager as soon as this is the life of the project. received. Partners are aware of progress, Partnership
49 meeting held and Core Group established which has also met. All partners have agreed to a Memorandum of Understanding (no legal powers) to secure commitment to the partnership; and the core partners, who have pledged the most finance and "in kind" contributions will enter into a Partnership Agreement (with legal powers). Non-compliance with the Staff training arranged as The Head of Information "General Data Protection required e.g. with new Technology and Data Regulation 2018" (GDPR) appointments. Further review Protection Officer monitor will be required to ensure the implementation of the that individuals are acting in online training provided. accordance with the law. Failure to complete the Natural Resources Wales It is expected to be received Partnership Agreement agreement needs to be early in 2020. between the main signed. beneficiaries of the project in relation to the LIFE - Celtic Rainforests project. Reputational risk to the Continue regular meetings of A clear engagement plan Authority associated with the Project Management and risk register is in place. unsatisfactory delivery of Board and Project group. Good quality work the LIFE - Rainforest Keep track of expenditure completed, with partners project. against profile. generally satisfied with what is being achieved. Authority manages Officers must follow standard The Management Team projects poorly and guidelines adopted for monitor to ensure consistent ineffectively project management - application of the standard including the creation of a guidelines as required. "Project Initiation Document" and must obtain approval from the management team for this document. This creates the basis for management and communication (internal and external) on projects which is consistent across the Authority. Staff resilience in the A series of measures to deal Aspects identified are Authority decreases (due with resilience include: monitored continually by the to increased demands) 1. annual appraisal for Management Team and due to funding cuts. individual staff, Members. 2. the development of a workplace well-being plan,
50 3. establish reserve fund for staff resilience 4. staff retention and sickness.
LOW RISKS Risg Recommended Actions Progress Income Generation Retain the risk on the register for Increased income target Target (Car Parks) 2020/21 due to the size of the of £45k for 2020/21 with income and the impact on the the main element (£25k) budget should a significant deficit of this for funding bought occur. in services. The income target for 2019/20 was achieved by the end of October. Risk (publicity) as a The Authority must ensure that the The development of the result of the Traffic / community and interested parties Snowdon Plan has Transport Plan / using the Park can support the established a better Snowdonia Green Key proposed strategy going forward. relationship between the Policy Adequate communication between individual elements of the Authority and the community management of should be ensured. Snowdon, including the Sherpa service. A sub group of the Snowdon Plan has been formed to review the Sherpa service and transport / parking issues in the area. A traffic management study for the Snowdon and Ogwen areas has been commissioned.
1.9 There will be further reports presented to the Performance and Resources committee as well as the Authority on progress towards removing or mitigating all the risks identified above.
2. RESOURCE IMPLICATIONS None arising from this Report.
3. RECOMMENDATION
3.1 Note the contents of this report and discuss and agree on the Authority's Risk Profile.
51 February 2020 Appendix 1
SNOWDONIA NATIONAL PARK AUTHORITY RISK REGISTER
Ref. Risk Description ResultInherent Risk Measures / actions to manageRemaining risk Risk direction Proximity Owner Effect Likely. Effect Likely. Result (1-5) (1-5) Result (N,I,F)
As reported in the 2019/20 budget reports to the December 2018 and February 2019 Authority meetings, the Authority had received a "2 year cash boost" for 2018/19 and 2019/20. The Authority's financial strategy implemented several measures to address the expected funding deficit, hence the Authority has been able to consolidate its financial position, but still faces N challenges regarding income generation, etc. The Welsh (reviewed Chief Finance Insufficient core budget funding Cut in Services Government have received sufficient ‘consequential’ funding Performance Offcier from Westminster which should enable Welsh Government to and Resources maintain and improve the level of National Park Grant in 20/11/2019) 2020/21. The draft budget for 2020/21 has indicated a 0% settlement for National Park Authorities, which in real terms is a cut. Local Authorities and other Assembly sponsored bodies have received draft settlements above 2019/20 settlement figures. 1 53 15 23 6 The service shows a deficit against its revised budget. Consideration has been given to how to reduce costs and increase income and confirm the centre's business priorities. A project to develop the annex as a hostel and redevelop the Head of bedrooms in the main house has been agreed by the Plas N Business - Plas Income Generating Target (Plas Management Board. This is being funded by Welsh (reviewed Tan y Bwlch, Failure to keep within the Authority's budget. Tan y Bwlch) Government. On completion of the works it is predicted that Performance Director of the Centre will reach break even with no net cost to the and Resources Corporate Authority after 2 years.The booking system for accommodation 20/11/2019) Services and courses is being replaced to enable on-line bookings and for the accommodation to be made available to On-line Travel 2 45 20Agents. 4 4 16 Income profile in the current year has been similar to recent years with the target being achieved by the end of the Autumn N Head of despite break ins and theft of contents from numerous sites in Property, Income Generating Target (Car (reviewed Failure to keep within the Authority's budget. October 2019. It is intended to use the surplus income to Director of Parks) Performance finance costs relating to resurfacing of car parks, works on Llyn and Resources Corporate Mair reservoir and establishing a budget for costs relating to 20/11/2019) Services 3 45 20assh die back. 3 1 3
The Ysgwrn site has been developed successfully, with only some details to be confirmed and completed by July 2020. The site was officially opened to the public in September 2017 and the response so far has been very good. Actual data for 2017- 18 and 2018-19 shows that visitor numbers and income have exceeded targets, however figures for 2019-20 show a fall in visitor numbers and income. This is due to a delay in Yr Ysgwrn's Renewable Heating Incentive application and staff changes leading to less marketing capacity. There has N Reputational risk re the Authority's Mismanagement leading to lack of credibilty however been significant growth in group visits and the focus (reviewed Chief Executive management of the Ysgwrn in the Authority's ability to fulfill its duties. now is on audience development, marketing and developing Performance Officer the site offer to maximise income, whilst also giving attention to and Resources ensuring that any possible savings that do not affect the 20/11/2019) Ysgwrn's level of activity are accomplished. The Project Group still meets, currently, on a bi-monthly basis to monitor progress and deal with any problems arising. The Ysgwrn Board was established in Summer 2018 to give strategic leadership to the Ysgwrn, and will be meeting early in 2020 to begin steering the business plan for the post HLF grant period. We are continuing to work on completing items outstanding on the snagging list. 4 53 15 33 9 Development of the Snowdon Plan has established a better relationship between the individual elements relating to N Risk (publicity) as a result of the management on Snowdon, including the Sherpa service. A sub- Mismanagement leading to lack of credibilty (reviewed Chief Executive Traffic Scheme / Snowdonia Green group to the Snowdon Plan has been formed to review the in the Authority and its partners. Performance Officer Key Policy Sherpa service and transport / parking issues in the area. A and Resources traffic management study for Snowdon and Ogwen has been 20/11/2019) 5 43 12commissioned. 2 2 4 The Authority continues to work together with Wales Audit Office on a pilot scheme to develop its effectiveness so as to implement the requirements of the Well-Being Act. WAO have agreed a 4 year programme on aspects of the Sustainable Development Principle’s Five Ways of Working. The I programme being: (reviewed Chief Executive Critical audit report / negative publicity • 2018-19 Collaborations and Partnerships (completed), Performance Officer • 2019-20 Involvement. Participation, consultation and and Resources engagement, 20/11/2019) Failure to fulfill the "Future • 2020-21 Integration of policies and services, Generations Well-Being" Act • 2021-22 Prevention of bad stuff. 6 requirements 33 9 33 9 The Head of Service and Project Manager will continue to work with partners to ensure that in-kind contributions are honoured and that effective grant claims are submitted. Settlement of Development Phase grant claims has been delayed by problems with the Heritage Fund web portal but this has now been resolved and payment is expected in January 2020. All documentation required for the permission to start process has been submitted to the Heritage Fund; permission is expected Risks to the Carneddau Landscape by mid-January 2020 and everything is in place for Partnership Project by failing to fulfil the advertisement and appointment of project manager as soon as N project. This could be by failing to meet this is received. Partners are being kept informed of progress, (reviewed Head of Cultural National Lottery Heritage Fund a Partnership meeting has been held and the Core Group has Performance Heritage Service approved purposes, delayed been established and has met. All partners have signed up to a and Resources appointment of staff team and (non-legally binding) Memorandum of Understanding in order 20/11/2019) commencement of the scheme, to ensure commitment to the partnership; and the core delayed settlement of Heritage Fund partners, who have pledged most in terms of funding and in- grant claims, the collapse of the The results will vary widely depending on the kind contributions, will be bound by (a legally binding) partnership, or not securing the scale of the failings. It could be that certain Partnership Agreement. The Head of Service and Project "unsecured" funding anticipated elements of the project may fail, right through Manager will continue to work closely with funders to ensure through further grant applications and to significant risks to the entire project, which that all approved purposes and funding conditions are met. "in kind" contributions during the project obviously comes with adverse publicity and 7 lifetime. reputational damage. 34 12 3 39 All full time staff have completed the e-learning training. Head of Privacy statement has been put on the website, and email N Information statement to our customers etc., Continuing with work on (reviewed Technology / tidying our data and further training for some staff. Performance Director of Non-compliance with "General Data Lack of data management and publishing and Resources Corporate 20/11/2019) 8 Protection Regulation 2018" (GDPR) data that we shouldn't 43 12 3 26 Services N Director of Planning and Failure to complete partnership Everyone has signed except Natural Resources Wales. We (reviewed Land agreement between the main project That significant delay is caused in the received an update from Euros Jones in the Board meeting in Performance Management / beneficiaries in relation to the LIFE commencement of the project, or that we fail December (2019), and it is expected to be received early in the and Resources 20/11/2019) Project Manager 9 Celtic Rainforests project to deliver certain aspects of the project 51 5new year. 5 15 The Project Manager has informed EASME (European Commission) that by now it is clear that we will not meet our expenditure targets by January 2020 and that we will not be submitting a claim for the next interim grant payment at that time. In lieu of this change, a new date will need to be set for the anticipated claim for the next payment, and the Project Manager will be required to present an interim Progress Report in January to adhere to LIFE requirements of keeping to periods of less than 18 months between reports. N Director of Planning and The project remains cautiously confident of meeting the (reviewed Land expenditure target of £1,000,000 by the end of March to meet Performance Management / the Welsh Government expenditure requirements for 18/19 and and Resources Project Manager 19/20. This is based on works tied into signed agreements 20/11/2019) being completed and claimed on time. In addition, the project is Aspects of financial risk associated with in a far healthier position than it was at the end of the last LIFE Celtic Rainforest project including financial year (18/19) in that is has circa £600k committed into non-compliance with procurement rules signed agreements (as of end of October 2019), with additional or spending on ineligible costs resulting tenders going out on a weekly basis. in the grant not being awarded, or fluctuation in the Euro / pound SNPA and other partners required to self 10 exchange rate finance aspects of project expenditure to date 53 15 4 416 Although the project is behind profile regarding expenditure at That the Authority suffers adverse this time, the standard of the work being done is good with all N Director of reputational damage amongst those the partners seemingly happy with what's being done, and (reviewed Planning and Reputational risk to Authority organisations which are named partners in having opportunities for input and steering the project work by Performance Land associated with the unsatisfactory the project, other project partners including means of their representation on the project Board and Delivery and Resources Management / delivery of LIFE Celtic Rainforests private land owners, contractors and other Group. 20/11/2019) Project Manager 11 project organisations, and the wider public 43 12 4 312 Officers have to follow standard guidelines which have been N adopted for project management - including creating a "Project (reviewed Risk of not accomplishing projects and Initiation Document' and obtaining management team approval Management Performance Authority objectives. Risk to the Authority's for this document. This creates a basis for managing and Team and Resources Poor and ineffectual management of reputation. Financial opportunities being communication (internal and external) on projects consistently 20/11/2019) 12 projects by the Authority missed. 3 3 9 throughout the Authority. 2 3 6 N (reviewed A suite of measures to adress resilience which include: 1. Management Performance Diminished staff resilience (due to annual individual staff appraisals, 2. development of a staff Team and Resources increasing demands) as a result of Impact on: staff retention, wellbeing of staff workplace wellbeing plan, 3. establishment of a staff resilience 20/11/2019) 13 austerity. in the workplace and performance capability. 3 3 9 reserve 4. staff retention and sickness rates. 3 3 9 Grading Score Low 1 - 4 Medium 5 - 14 High 15 - 25
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EITEM RHIF 13 - ITEM NO. 13
NODWCH Y DYDDIAD Seminar Gwanwyn CLILC 2020
Dydd Gwener 1af Mai yn Stadiwm Liberty, Abertawe.
Cinio’r Seminar - nos Iau 30ain Ebrill yng Ngwesty’r Marriott, Abertawe.
Manylion pellach i ddilyn.
SAVE THE DATE WLGA Annual Conference 2020
Friday 1st May at the Liberty Stadium, Swansea.
Seminar Dinner - evening of Thursday 30th April at the Marriott Hotel, Swansea.
Further details to follow.
53 ITEM NO. 14
REPORT OF THE MEMBERS’ WORKING GROUP HELD ON 4th DECEMBER 2019
PRESENT:
Members appointed by Gwynedd Council Councillors Freya Bentham, Elwyn Edwards, Alwyn Gruffydd, Annwen Hughes, Edgar Owen, Elfed Roberts, John Pughe Roberts, Judith Humphreys, Gethin Glyn Williams;
Member appointed by Conwy County Borough Council Councillor Wyn Ellis-Jones (Chair);
Members appointed by the Welsh Government Ms. Tracey Evans, Mr. Neil Martinson, Mr. Owain Wyn;
Officers Mr. G.I. Jones, Mr. J. Cawley, Ms. J. Jones, Ms. E. Hughes, Ms. B. Hughes, Mr. E. Jones, Mrs. A. Gaffey.
1. Apologies Councillors Philip Capper, Ifor Glyn Lloyd; Mr. Brian Angell, Ms. Elinor Gwynn.
2. Declaration of Interest Councillor Wyn Ellis Jones declared both a personal and prejudicial interest in Item 5 on the Agenda, under paragraphs 10 (2) (a) (i) and 12 (1) of the Code of Conduct for Members, and left the meeting whilst the matter was being discussed.
Councillor Gethin Glyn Williams declared both a personal and prejudicial interest in Item 5 on the Agenda, under paragraphs 10 (2) (a) (i) and 12 (1) of the Code of Conduct for Members, and left the meeting whilst the matter was being discussed.
Councillor Annwen Hughes declared both a personal and prejudicial interest in Item 5 on the Agenda, under paragraphs 10 (2) (a) (i) and 12 (1) of the Code of Conduct for Members, and left the meeting whilst the matter was being discussed.
Mr. Neil Martinson declared a personal interest in Item 5 on the Agenda, under paragraphs 10 (2) (a) (i) and 12 (1) of the Code of Conduct for Members but remained in the meeting.
3. Minutes The minutes of the Members’ Working Group meetings held on the 25th September and 16th October 2019 were accepted, and the Chairman signed them as true records.
RESOLVED to note the minutes.
54 4. Review of the Authority’s Property Portfolio - Update Submitted – A report by the Head of Property Services with an update on progress.
Reported – The Head of Property Services presented the report and background and provided Members with an update on the Authority’s current position. The report outlined some discussion points for Members to consider and the Head of Property Services read out observations from Mr. Brian Angell, who was unable to attend the meeting.
Members discussed the report and made the following observations:- - whilst there was a need to set up and adopt a methodology to assess the carbon footprint of the Authority’s assets and establish a baseline, Members were of the opinion that not all the assets related to carbon and that it was timely for the Assets Sub-Group to meet to discuss the Authority’s asset portfolio, liabilities and a reviewed disposals policy for the Authority. - Members noted that the Authority’s woodlands would now form part of the new asset management plan, and carbon positive sites will be used in future to counter emissions from other carbon negative locations in order to achieve a carbon neutral position for the estate. - the implications of Ash die-back disease were also discussed and Members were advised that up to half of the Authority’s woodlands had now been assessed. The cost of dealing with Ash die-back affected trees was estimated at £10k in the current financial year, with priority to be given to trees that present a danger to the public. Whilst there was no specific budget for this work, officers confirmed that funding would be made available from reserves. - once the Asset Sub Group meets, it should make recommendations on the way forward and adopt a timetable/timescale for the Asset Management Plan from 2021 onwards. Also, the sub-group will be provided with the work programme for the year and officers will provide details of maintenance costs. - Also, the reviewed disposal policy, should be broadened to include procurement where a business case has been established.
RESOLVED 1. to note the report and agree that a meeting of the Assets Sub-Group should be convened in the New Year to consider the disposals policy and discuss the maintenance programme. 2. to await the Welsh Government’s announcement on the standard approach to carbon assessment in order to establish a baseline that will assist the strategic decisions of further review of the Authority’s assets portfolio.
5. Supplementary Planning Guidance (8): Visitor Accommodation Submitted – A joint report by the Trainee Planning Policy Officer and the Director of Planning and Land Management to discuss the changes made to the Supplementary Planning Guidance (8): Visitor Accommodation following Public Consultation. As the Chairman had declared an interest, Mr. Owain Wyn chaired the meeting for this item only.
55 Reported – The Trainee Planning Policy Officer presented the report and the Supplementary Planning Guidance. Members discussed the amendments to the SPG and made the following observations:-
- 5. Sustainable or Eco Tourism - enhancing the environment to make the action more positive. Include information to secure biodiversity gain following publications by the Welsh Government. - 8. Supporting documentation with planning applications – building vernacular should not be frozen in time. Applications need to be considered on their merit and the Authority should recognise this by including a statement to this regard under the section on landscape consideration. - 9. Serviced Accommodation – para 9.4 - proposals to convert or change the use of serviced accommodation to other uses, particularly if such uses mean that the conversion back to serviced accommodation in the future will not be possible will be “resisted” – Members felt that the Authority should be more flexible here as there is a shortage of serviced accommodation and accordingly the guidance should include evidence as to why it is not viable. Officers advised, however, that criteria (viii) and (ix) of Strategic Policy H require proposals for the re-use of existing employment land or buildings to provide evidence, demonstrating that the retention of the employment or business is no longer commercially viable and it cannot be re-used for similar or alternative employment purposes following being actively advertised on the market for at least a year. This will be clarified in the SPG. - 11. Self-Serviced Accommodation and Conversions – para 11.4 needs to establish a clear methodology for all in order to reduce any future conflict. Further work is required to define what is “secondary” and what is meant by “viability”. A Member suggested that the Authority’s Conservation, Woodland and Agriculture section could provide objectivity here. - 13. Touring and Camping sites – the Authority will be commissioning a transport survey in 2020 and if evidence becomes available, a policy for overnight campervans will need to be established. The Director of Planning and Land Management advised that this will be addressed during the next revision of the LDP and relates more to a policy matter. - 17. Alternative Holiday Accommodation – para. 17.16 a Member asked why officers were ruling out toilets being properly installed. Officers explained that the main consideration of this policy is the location and effect on the landscape – however, as each case will be assessed on its own merit, officers accepted that the SPG wording will allow an element of flexibility.
RESOLVED subject to including the above amendments as recommended by Members, to approve the amendments to the Supplementary Planning Guidance (8): Visitor Accommodation as outlined and submit the SPG to the next meeting of the Planning and Access Committee on 22nd January 2020, for formal adoption.
56 6. Welsh Language Skills Framework Submitted – A report by the Head of Administration and Customer Care asking Members to consider adopting a Welsh Language Skills Framework to assess language requirements for each Authority post.
Reported – The Head of Administration and Customer Care presented the report and background and advised that the Welsh Language Commissioner was in support of adopting a language skills framework to assess the language requirements of every post.
Arising thereon, a Member noted his concern that the Authority’s language policy was being allowed to be downgraded because of general recruiting issues, which were not necessarily due to a lack of Welsh speakers.
A Member suggested that the “ALTE” language levels may also be of assistance and asked officers to ascertain whether this was a method that could be applied to suit the Authority’s needs.
RESOLVED to note the report and agree to adopt the Welsh Language Skills Framework as part of the Authority’s recruitment process for a trial period of 12 months.
The meeting ended at 13.50
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ITEM NO. 16
PERFORMANCE AND RESOURCES COMMITTEE WEDNESDAY 20th NOVEMBER 2019
Councillor Alwyn Gruffydd (Gwynedd) (Chairman)
PRESENT:
Members appointed by Gwynedd Council Councillors Elwyn Edwards, Annwen Hughes, Judith Humphreys, Edgar Wyn Owen, Elfed Powell Roberts, John Pughe Roberts;
Member appointed by Conwy County Borough Council Councillor Philip Capper;
Members appointed by the Welsh Government Mr. Brian Angell, Ms. Tracey Evans, Ms. Elinor Gwynn, Mr. Neil Martinson, Mr. Owain Wyn;
Officers Mr. Emyr Williams, Mr. G. Iwan Jones, Mr. Dafydd Edwards, Mr. Jonathan Cawley, Mrs. Anwen Gaffey.
Apologies Councillors Freya Bentham, Wyn Ellis-Jones, Ifor Glyn Lloyd, Gethin Glyn Williams.
1. Chairman’s Announcements (i) the Chairman advised that the recent Designated Landscapes Seminar, hosted by Snowdonia, had been well received by all who attended and the Chairman thanked all those involved in arranging the Seminar and Tours. (ii) the Chairman also expressed his thanks, on behalf of all members, to those staff responsible for securing additional funding for Eryri of over £2 million from the Welsh Government, at very short notice.
2. Declaration of Interest No declarations of Personal Interests were made in respect of any item.
3. Minutes The minutes of the Performance and Resources Committee held on 24th July 2019 were accepted and the Chairman signed them as a true record.
Arising thereon, a member raised a concern that the minutes had not accurately reflected the discussions. As an example, the Member felt that the Wales Audit Office presentation and the questions raised had not been fully detailed in the minutes.
The Director of Corporate Services advised that the minutes are intended to provide an accurate record of the decision and were not meant to be a verbatim record, rather, minutes should only provide a summary of the discussion. A Member, if they so wish, could always ask for a specific matter to be minuted.
In order to improve the process and the timeline, a Member asked whether copies of draft minutes could be circulated to Members, for example, two weeks after a
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meeting, to provide Members with the opportunity to forward observations/ corrections, which in turn would create a more detailed minute. The Director of Corporate Services advised that a copy of the draft minutes dated 24th July had already been presented to the Authority’s meeting in September, for information.
As a way forward and to find a balance, it was agreed that for a trial period of 12 months, the Chairman of the meeting would be provided with a copy of the draft minutes once they are prepared.
RESOLVED to provide the Chair of a meeting with a copy of the draft minutes, for observations and information, for a trial period of 12 months.
4. Action Log Submitted – A Log of strategic actions arising from decisions taken during meetings of the Performance and Resources Committee, for information and action.
Arising thereon:- Performance and Resources Meeting 27.03.19: Action Item 6 – 2020-2025 Well- being Objectives and Improvement Plan This action was now complete and could be removed from the Action Log. Officers advised that a further Action would arise from Item 6 on the Agenda.
Performance and Resources Meeting 24.07.19: Action Item 12 – Statement of Accounts This action was now complete and could be removed from the Action Log. Officers advised that a further Action would arise from Item 10 on the Agenda.
Performance and Resources Meeting 24.07.19: Action Item 14 – Performance Indicators 2018/19 Annual Results This action was now complete and could be removed from the Action Log.
RESOLVED to note the Action Log and remove the Action Items, as outlined.
5. Wales Audit Office – Certificate of Compliance Submitted – The Wales Audit Office report on the Snowdonia National Park Authority’s 2019-20 Improvement Plan, for information.
Reported – The Chief Executive presented the report on behalf of the Wales Audit Office.
RESOLVED to note the report.
6. Welsh Government End of Year Funding Pressures Submitted – A report by the Chief Executive for Members to note end of year funding pressures.
Reported – The Chief Executive advised upon the manner in which officers were expected to submit bids and that on the last occasion officers had one day only to apply for the additional funding. The Chief Executive advised that officers were not yet prepared should a further opportunity arise to present bids to the Welsh Government at the end of this financial year.
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Arising thereon, officers and Members discussed the following:- - officers confirmed that the Authority provides opportunities for collaboration with schools and colleges. - Members noted that the mobile observatory will, in future, be available for local community use and will also be used by the Llŷn, Môn and Bryniau Clwyd AONB’s. - officers confirmed there was potential for regeneration projects at the St. David’s Hotel site, Harlech and further reports will be presented to Members at such time. - officers explained that the sky paths bid related to experimental trialling of luminous paths say to/from car parks etc. - Members requested that future reports should include more detailed information on each line to provide background, rationale and clarification on the bids. - the Chief Executive confirmed that bids did not have earmarked funding to cover additional costs of carrying out / managing the additional work. - Members found the report useful, and welcomed that 6 monthly updates will be provided on projects such as the website development, IT improvements etc. - the Chief Executive stated that the Welsh Government does not specify whether bids should be revenue or capital, however there was an acceptable way to transfer funds between the two. - the Chief Executive advised that there was an earmarked fund for 2020/21 for designated landscapes. It has not been confirmed if it was a competitive fund or not. - Members were concerned about the delivery/staff capacity for the LIFE Celtic Rain Forest project. The Chief Executive confirmed the board had approved funding for additional staff support for the project.
RESOLVED 1. to note the report and the progress made on supported projects. 2. that future reports should include more detailed information on each line to provide Members with brief background, rationale and clarification on the approved bids.
7. Corporate Plan 2020/21 Submitted – A report by the Chief Executive to consider Corporate Objectives for the 2020/21 Corporate Plan and adopt new Strategic Objectives for 2021 onwards.
Reported – The Chief Executive presented the report and advised that although the work of producing a new Corporate Plan had started, officers were still awaiting confirmation on the dis-application of the Local Government Measure which he understood would be applied to Local Authorities at different stages, with no certainty for the National Park Authorities until next summer. The Chief Executive also advised that the Authority’s financial position remained uncertain and that officers were working on a baseline of -5%. Arising from these circumstances, a report seeking authority to extend the current improvement and well-being objectives for the 2020-21 Corporate Plan and to adopt a revised timeline for developing and agreeing strategic objectives and Corporate Plan for 2021-2026, would be submitted to the Authority on the 11th December 2019, for formal approval.
Members considered the report and made the following observations:- - Members were in support of deferring the work and resolved to establish a Task and Finish Group, made up of three members of the Authority, to
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further develop and re-examine the process and work on a more thorough timetable within the timeline for adopting the new Objectives (Appendix 1). It was agreed that the Task & Finish Group would convene on the rising of the Authority meeting on the 11th December 2019 and a report would then be presented to Members. - a Member suggested that a session with staff and members should be convened on the proposed 3 themes which should be measureable and set within a specific time period (to be considered by the Task & Finish Group). - the work carried out at the Designated Landscapes Seminar should also be drawn in. - Members were satisfied that the workshop had been well facilitated by the Well-being Planner and felt that a 2-hour workshop was a good start, but there was a lot more work ahead, possibly a full day per quarter. - it was agreed that good ideas from the Workshop should not be lost. - difficulties in differentiating between objectives, and what the Authority spends its money on and what it achieves were noted. - Members considered how to take ideas forward that were deliverable. - a more rigorous timetable with horizon scanning would help to systematically investigate evidence about future trends. - Members noted that their role was to set the strategic direction.
RESOLVED 1. to note the report. 2. to defer the adoption of revised Objectives and recommend that the Authority extends the current Objectives for the period 2020-21. 3. to recommend that the Authority adopts a revised timeline for adopting new Objectives for the period 2021-26. 4. to establish a Task and Finish Group, made up of three members of the Authority, to further develop and re-examine the process to develop strategic objectives and a Corporate Plan for the period 2021-26 within the timeline for adopting the new Objectives (Appendix 1). The Task & Finish Group to be convened on the rising of the Authority meeting on the 11th December 2019. Members were appointed as follows:- Councillors Alwyn Gruffydd, Phil Capper; Ms Elinor Gwynn. 5. to await a further report to the Authority.
8. Corporate Work Programme 2019-20 Submitted – A progress report by the Director of Corporate Services for the first and second quarter of the financial year.
Reported – The Director of Corporate Services presented the report and the first and second quarter updates. Members and officers discussed the report as follows:- - Our Communities – it was agreed that “Measuring the benefit of the National Park designation to the local economy through whether the % of jobs related to the environment in Snowdonia and the economic impact of tourism were stable or increasing” was not measurable and would not be included in future. - Members noted that the Communication Task and Finish Group was meeting on the 25th November 2019 to review the Communication Strategy. - the new Volunteer and Well-being Officer should make use of existing data to assist in establishing target audiences for health and wellbeing opportunities and
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to determine the health and wellbeing benefits of the natural environment of Snowdonia. - Members asked what subscriber measure officers had anticipated in disseminating key messages to the public via digital media, the Eryri magazine and the National Park newsletter and whether the Authority had achieved what it wanted within the expected timeframe? The Chief Executive agreed to include this work as part of the Communication Task and Finish Group’s remit. - Members asked how often footpath improvements were updated on the website and whether “route grading” was clearly marked? Officers advised that this work was part of the Access and Well-being Manager’s role. - Members asked for an update on the Authority’s Volunteering Strategy. The Chief Executive agreed that the Head of Engagement would present an update report to a future meeting. - some Members noted their dissatisfaction with the traffic light method of reporting. - the Director of Corporate Services advised that the new Plan will be in accordance with the Well-being of Future Generations (Wales) Act and will include 5-year well-being objectives. - when engaging with staff, Members agreed upon the importance for all staff to be given the opportunity to share information and showcase their work. - the Head of Personnel confirmed that Member Personal Development Reviews had not been undertaken for some time. Members noted that the Welsh Government encourage annual reviews, which should also apply to Local Authority Members. The Director of Corporate Services confirmed that he presents a report on Members’ Attendance to the Authority’s Annual General Meeting. - a Member noted that discussions on holding appraisal sessions with Authority staff had previously been debated and holding a self-evaluation workshop with staff, which had previously been suggested by the Member but was not minuted. (This matter was noted in the Working Group Minutes dated 06.03.19)
RESOLVED to note the report and await an update report by the Head of Engagement on the Authority’s Volunteering Strategy.
9. Performance Indicators 2019/20: Half Year Results Submitted – A report by the Director of Corporate Services to present the results for the first 6 months of the year.
Reported – The Director of Corporate Services presented the report and the following matters were discussed:- - a Member raised the absence of performance comparisons with the other National Parks in Wales. Officers advised that this was done on an annual basis. - Members discussed the Authority’s compliance service, which should have two members of staff but was now made up of only one compliance officer. The Director of Planning and Land Management advised that the intention was to encourage other staff in the Development Management Section to assist by being visible and possibly carry out on-site inspections on behalf of the compliance service. - 1c - establish baseline data and methodology of the benefit to the local economy resulting from the work of the Authority - Members noted that progress on indicators will be finalised in line with the completion of Cynllun Eryri.
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- a Member raised a note of caution on the proliferation of telecommunication masts in Snowdonia. - Officers confirmed that local people were included in the Health and Wellbeing “user survey”.
RESOLVED to note the report.
10. Strategic Scrutiny for 2020/21 Submitted – A report by the Chief Executive to consider and approve a programme of strategic scrutiny for 2020/21.
Reported – The Chief Executive outlined the background and advised that when Members previously considered strategic scrutiny they had concluded it should be as a “deep dive” into a specific topic with subject areas centred around the first and second National Park purposes.
The Chief Executive advised that there was no specific funding for this work in the first year and Members agreed that as the Authority’s carbon account was currently part of the Asset Management Group’s remit, this would provide access to data and staff were already engaged in these issues. Also, work on traffic management in the North of the National Park was in the process of being commissioned and would provide Members with the opportunity to focus on the findings of the Commission.
RESOLVED 1. to note the report and agree the two scrutiny areas as identified in paragraph 3.2 of the report. 2. to establish two Task and Finish Groups, made up of three members of the Authority and three officers, to agree the brief and report back to the next available Member Working Group for consideration and nomination of a member lead. Members were appointed as follows:- Traffic Management Task and Finish Group Councillor Edgar Owen; Ms Tracey Evans, Mr. Neil Martinson. Carbon Account Task and Finish Group Councillor John Pughe Roberts; Mr. Brian Angell, Mr. Owain Wyn.
11. The Authority’s Risk Profile Submitted – A report by the Director of Corporate Services to update Members on the Authority’s Risk Profile.
Reported – The Director of Corporate Services presented the report and the risk register. Members discussed the following concerns:- - sufficient availability of local contractors to undertake large contracts such as the Life project. - Risk Ref. 4 - Reputational risk re. the Authority’s management of Yr Ysgwrn Members were advised that Yr Ysgwrn would not meet its financial target this year and that the risk was now more financial than reputational. Members noted that the Authority has funding available to close the gap for the next 2-3 years and that work to develop new audiences was underway. - a Member felt that the Authority’s staff were involved in a number of projects which were income dependent. The Authority should consider employing a Commercial Manager who would have the professional skills to pull everything together and work across sections to maximise income.
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- the need to provide alternative interpretation and engagement for the LIFE project was not currently included as a risk.
RESOLVED to note the report. 12. Plas Tan y Bwlch Development Proposal Submitted – A report by the Head of Business, Plas Tan y Bwlch seeking the Authority’s consent to progress with the proposed redevelopment of Plas Tan y Bwlch.
Reported – The Head of Business presented the report and asked Members to note a correction to para. 1.6 in that the net cost to the Authority was £140,509 in 2018/19 and not £92,993 as reported. Members were advised that the Plas Tan y Bwlch Management Board recommends that the Authority proceeds with the developments as outlined, subject to securing the funding and listed building consent and that the Board would monitor every aspect of this work on behalf of the Authority.
Members considered the report in detail and made the following observations:- - Members were generally in support and felt the Authority had no choice but to proceed with the improvements. - it was agreed there was a need to manage the different clientele, especially in the dining areas, and that two separate dining facilities should be provided. - there was currently only one bar area but there was potential for further developments if there was a demand. - this was a competitive market and although hot tubs and saunas had been considered at one time, the decision had been made not to proceed. - using local produce would be a selling point and making alternative use of the Library could provide another space for guests. - how the Authority achieves its 2nd purpose was important but a Member felt the report did not quantify the number of visitors that Plas has an influence on and neither did it quantify the size of the unfulfilled market and potential income. The Member also noted concerns that as a National Park Authority, this was a public body competing with the private sector in running a commercial hotel. - the Chief Executive was of the opinion that Plas Tan y Bwlch was more than a commercial hotel as it provided many more varied activities. Also, the Welsh Government expect Local Authorities to be more commercial in nature and the redevelopment project was consistent with this. - Members noted that running costs at Plas were now at their lowest but income targets were continually being missed. - the Chair of the Board felt the Board was not being provided with accurate information and that the Authority was not equipped to run such a facility. However, Plas was now in a position where something had to be done and the Management Board would work with officers to draw on different expertise to create a viable business. Accommodation in Snowdonia was generally poor and Plas would have to avoid the conflicting needs of running a Hotel and a Hostel. Also, the staff and management structure was inadequate and the investment would be conditional on how income streams were modelled. Loss of income while the work takes place also needed to be factored in. - Members agreed to authorise the Plas Tan y Bwlch Management Board to proceed, subject to being satisfied with the detailed figures and business model and that a progress report be submitted to the Performance and Resources Committee on a regular basis.
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RESOLVED to note the report and authorise, in principle, that the Authority should finance the scheme by utilising the additional support of £200,000 from the Welsh Government and finance the balance of £48,840 itself.
13. Information Centres Annual Report Submitted – A report by the Centres Commercial Manager to update members on progress of the Centres against the financial target.
Reported – The Head of Education and Communication presented the report and provided an overview of the 2019/20 year to date.
Members considered the report in detail and discussed the following:- - Members and officers discussed possible reasons for the reduction in visitor numbers at Betws y Coed, e.g. having a café without the capacity to meet coach tour demands etc. - Members congratulated the Centres Commercial Manager on achieving an increase in net sales and profit when visitor numbers were down. - the Centres provide opportunities to convey messages in relation to the Snowdonia National Park and continue to improve interpretation. - in answer to a question, Members were told that staff in the centres do not currently make a note of visitor requests or capture trends in order to share the information, but this was an area that could be further investigated. - Members and officers discussed how local people obtain their information for making use of the National Park. Officers advised that they will be working with Betws y Coed Tourism Society’s newly appointed Sustainable Tourism Officer, and that Gwynedd Council and Conwy County Borough Council undertake annual surveys, with the information available on their website. - Members were advised that a Visitor Survey designed specifically for the Snowdonia National Park will form part of the new Cynllun Eryri design brief.
RESOLVED to note the report and approve the actions for 2020/21, as outlined.
14. Draft Annual Report of the Independent Remuneration Panel for Wales Submitted – A report by the Director of Corporate Services to discuss the Independent Remuneration Panel’s draft Annual Report and to determine whether or not a response was required.
Reported – The Director of Corporate Services presented the report and the accompanying letter from the Independent Remuneration Panel.
Members considered the report and discussed the need to encourage diversity in Authority membership.
RESOLVED to accept the report and recommendations as submitted.
15. Strategic Equality Plan Submitted – A joint report by the Head of Personnel and the Head of Administration and Customer Care to present the Annual Report for 2018/19.
Reported – The Head of Administration and Customer Care presented the report and in response to a question confirmed that the baseline figure used for recording
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the gender pay gap was based on median hourly rates, which is a standard reporting method.
RESOLVED to note the report and approve the Strategic Equality Plan Annual Report 2018/19 for publication on the Authority’s website.
16. Europarc Youth Manifesto – Progress Report Submitted – A report by the Head of Engagement to report on progress for adopting the Europarc Youth Manifesto.
Reported – The Head of Engagement presented the report and confirmed that a new project officer will be appointed in January 2020 with responsibility for leading on the development of the Europarc Youth Manifesto for the Authority, in partnership with the Volunteer and Wellbeing Officer.
Arising thereon, Members raised some concerns that the post would be located within the Engagement Service rather than the Warden Service. Furthermore, the development of the Young Ranger Scheme should not be confused with that of the Europarc Youth Manifesto. Members felt that the work was general in nature and needed to be more strategic. The Head of Engagement confirmed that the role would be cross departmental and that the Youth Manifesto Task and Finish Group would look at this issue when they next meet.
RESOLVED to note progress made to date and approve the proposed timetable.
The meeting ended at 1.30 p.m.
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