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1 Meeting: Litherland and Ford Area Committee Southport Area Meeting: Litherland and Ford Area Committee Southport Area Committee Formby Area Committee St Oswald & Netherton and Orrell Area Committee Crosby Area Committee Linacre and Derby Area Committee Sefton East Parishes Area Committee Date of Meeting : 1 July 2009 1 July 2009 2 July 2009 2 July 2009 8 July 2009 13 July 2009 16 July 2009 Title of Report: CHANGES TO EXECUTIVE ARRANGEMENTS - LEADER OR ELECTED MAYOR FOR SEFTON? Report of : This report contains Yes No √ Mrs C J Elwood CONFIDENTIAL Legal Director Information/ Contact : EXEMPT information by virtue of paragraph(s) 0151 934 2032 ............of Part 1 of Schedule 12A to the Local Government Act, 1972 (If information is marked √ exempt, the Public Interest Test must be applied and favour the exclusion of the information from the press and public). Is the decision on this report DELEGATED ? √ 1.0 Purpose of Report To explain and inform Area Committees as part of the Council’s Consultation Process, of the requirement to review the Council’s governance arrangements and to move to either:- a) A Directly Elected Mayor and Cabinet b) A new style Leader and Cabinet 1 2.0 Recommendation(s) That Members note the report and the arrangements for consultation. Corporate Objective Monitoring Corporate Positive Neutral Negative Objective Impact Impact Impact 1. Creating a Learning Community √ 2. Creating Safe Communities √ 3. Jobs and Prosperity √ 4. Improving Health and Well-Being √ 5. Environmental Sustainability √ 6. Creating Inclusive Communities √ 7. Improving the Quality of Council Services √ and Strengthening local Democracy 8. Children and Young People √ Financial Implications 2006/ 2007/ 2008/ 2009/ 2007 2008 2009 2010 CAPITAL EXPENDITURE £ £ £ £ Gross Increase in Capital Expenditure Funded by: Sefton Capital Resources Specific Capital Resources REVENUE IMPLICATIONS Gross Increase in Revenue Expenditure Funded by: Sefton funded Resources Funded from External Resources Does the External Funding have an expiry date? When? Y/N How will the service be funded post expiry? Departments consulted in the preparation of this Report Not applicable 2 List of background papers relied upon in the preparation of this Report Local Government & Public Involvement in Health Act 2007 Communities in Control: Real People, Real Power – Changing Council Governance Arrangements – Mayors and Indirectly Elected Leaders – A Consultation (www.communities.gov.uk) 3.0 Background 3.1 Members will recall that the Local Government Act 2000 required the Council to move from the old style committee system and to choose one of three new specified forms of executive arrangements. These were:- • A Mayor and Cabinet Executive or • A Leader and Cabinet Executive or • Mayor and Council Manager 3.2 In 2001 the Council undertook a full public consultation exercise on the new political management arrangements. The Leader and Cabinet Model was the most popular choice with 70% of respondents in favour and of these 90% supported the Cabinet being appointed by Full Council. Taking into account the results of the public consultation the new Leader and Cabinet Executive was formally adopted and came into force in May 2002 4.0 Consultation on New Arrangements 4.1 Part 3 of the Local Government and Public Involvement in Health Act 2007 (the 2007 Act) now requires the Council to further review its governance arrangements and move to either:- a) A directly Elected Mayor and Cabinet or b) A new style Leader and Cabinet 4.2 Both models are designed to promote strong, visible leadership. A Mayor would be a directly elected figure with a popular mandate whilst the Leader would have the strength and support of a Full Council. 4.3 Before drawing up its proposals the Local Authority must take reasonable steps to consult the local government electors and other interested persons within the Authority’s area. The change can only be made by a resolution within the permitted resolution period, which for Sefton Council must be before 31 st December 2009. The intention would be to allow any changes to be introduced immediately after the May Elections in 2010. 4.4 The arrangements for consultation have been approved by the Cabinet Member for Performance & Governance, Cabinet and Overview & Scrutiny 3 Performance & Corporate Services Committees at their meetings in March 2009. The consultation process as follows:- • Area Committees / Borough Partnership – reports are being taken to all Area Committees and the Borough Partnership during the consultation period explaining the consultation arrangements. • Website – information has been placed on the Council’s website with appropriate links for additional information • Public Notice – formal notice has been placed within newspapers circulating in the area indicating the start of the consultation process • Press Release – information has been provided to local newspapers • Local Libraries / One Stop Shops – hard copy information has been provided to Libraries, One Stop Shops and Civic Buildings throughout the consultation period for those residents without access to the Council’s website • Council Tax Bills – information was sent out with all Council Tax Bills 4.5 The Council is not required to hold a referendum since its current arrangements were not approved by a referendum initially, unless it chooses to do so as part of the consultation process or it receives a valid petition for the election of a Mayor. At the conclusion of the consultation period the Council must draw up proposals to make a change in its governance arrangements. In drawing up the proposals the Council must consider the extent to which the proposals would be likely to help in securing continuous improvement in the way in which its functions are exercised, having regard to a combination of economy, efficiency and effectiveness. 4.6 After drawing up proposals the Council must ensure copies of the proposals are available at the their principal office for inspection by members of the public at all reasonable times and also published in one or more newspapers circulated within the area a public notice stating that the Authority has drawn up proposals for changes in its governance arrangements and specifying where copies of the detailed proposals can be inspected. 4.7 The consultation process runs from 8th June – 14 th August 2009 . Following the closure of the consultation process the proposed timetable is as follows:- • 1st September 2009 – report to Overview & Scrutiny (Performance & Corporate Services) • 3rd September 2009 – report to Cabinet & Full Council 4 • September 2009 – publication of proposed new form of governance • 22 nd October 2009 – final decision on new governance by Full Council 5.0 Indirectly Elected Leader and Cabinet Executive 5.1 The Council currently has a Leader and Cabinet Executive Model. The Leader is elected on an annual basis each May and he or she is chosen from amongst existing Councillors and is traditionally also the Leader of the largest Political Group on the Council. The Council as a whole also appoints the nine other Cabinet Members and agrees what their portfolio or areas of responsibility will be. All three political parties are represented on the Cabinet on a proportionate basis. Under the 2007 Act there is a requirement that the Leader will be elected for a fixed term of 4 years and will choose and appoint to his or her own Cabinet. The current arrangement within Sefton for the Council to make these appointments at Annual Council would therefore be removed. 5.2 The legislation will allow a Council to make provision in its Constitution to remove the Leader by resolution, although these provisions are subject to regulations by the Secretary of State which may require, for example, a Council resolution to remove the Leader to be passed by a minimum number or a proportion of Members present and voting. 6.0 Mayor and Cabinet Executive 6.1 The alternative form of executive arrangement is for the Council to hold elections for a directly Elected Mayor who would again hold office for a term of 4 years. As with the Leader option the Mayor would appoint his/her own Cabinet and allocate all executive functions. As the Mayor has been directly elected there is no option for the Council to remove him or her during their period of office. 6.2 Where a Directly Elected Mayor leads the Council he or she may carry out ceremonial functions or the Council may decide to keep the ceremonial Mayor as well. If they do, he or she will normally have a new title. The Directly Elected Mayor will hold the form of title of “Mayor”. To date twelve Council areas have a Directly Elected Mayor (Bedford, Doncaster, Hackney, Hartlepool, Lewisham, Mansfield, Middlesborough, North Tyneside, Stoke on Trent, Torbay and Watford). Of the twelve current Mayors some are from Political Parties and others are independent. 6.3 Aside from the process of governance review currently being undertaken a Council may also be required to hold a governance referendum on proposals for a move to a Mayor and Cabinet Executive, either by virtue of being petitioned by local people or directed or ordered by the Secretary of State to do so. The current threshold to trigger a governance referendum is 5% of 5 local government electors for the Council area concerned. As an example, in the case of Sefton with approximately 209,500 electors 10,475 signatures would be required to trigger a referendum. The government is currently out to consultation on whether to reduce or vary this threshold and also whether to allow e-petitioning. 7.0 Summary 7.1 The government’s view is that Councils need governance models that readily deliver strategic leadership, sharp accountability, and effective and efficient decision taking. The government recognises that the Directly Elected Mayoral Model can readily deliver this. It also recognises that governance models, where there is an indirectly Elected Council Leader, can equally deliver these outcomes, and that this should be a choice that the local community can make.
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