LAMA September 2012
Doing More with Less Ray O’Dwyer Chair of the Public Service Reform Group for Local Government
Forces on Local Government Shrinking Rates Base
McCarthy Report
Reduced LG Grant
Local Government Reform
LGER Report July 2010 â‚Ź511m Savings Target
Financial Crisis
106 Recommendations Challenging Media Environment
Croke Park Agreement 2010 - 2014
Drivers of Change • Troika…….. • Severe budget cuts from 2008 to 2012 …Severe budget cuts to come in 2013 /14 …DPER wants ambition and pace to increase …MECLG twice yearly progress reports on efficiency and Reform …Necessity for Balanced Budgets to be presented annually to the Council Members
• LEANER, SMARTER & MORE EFFICIENT LG SECTOR
Lger IG • Lger IG ‘Local Government Efficiency Reform Implement Group’. • Established to oversee the implementation of the LGER July 2010 Report • Members are: Pat McLoughlin- Chair (Irish Payment Services Organisation) Des Dowling, DECLG David Hearn, Deloitte Garrett Fennell, GFC Consulting Anne O’Keefe, former Director OLAM
Public Service Reform Plan
“The implementation of the Public Service Reform Plan will involve an unprecedented level of change.� Minister Brendan Howlin, T.D. 17th November 2011.
Shared Services •
Shared Services is among the key reform initiatives mandated by Government and set out in both the Programme for Government and the Public Service Reform Plan
•
The “Report of the Local Government Efficiency Review Group”, dated July 2010, states that: – Shared or joint service provision offers the potential to realise cost savings, re-engineer and streamline processes, and improve services to the public. They can help local authorities not just by saving money, but also by economising and freeing up resources for other tasks in core local government responsibilities. …. – Work is progressing in this area on a number of fronts, including a shared human resources and payroll system to be used by most local authorities, and a shared approach to ICT and e-government. These efforts should be intensified.
Reform • Strong Clear Political Mandate for reform • Focus:LEANER, SMARTER & MORE EFFICIENT LG SECTOR – Shared Back Office Services – Shared procurement – Cost of LG sector had to reduce
• Need for LG to act as a sector rather than separate Local Authorities from a transactional point of view • Need for the Council Members to support that agenda.
PSROG • Public Service Reform Oversight Group (PSROG) for Local Government • Established December 2011 to make decisions for the sector and report on progress in achieving recommendations of Lger Report • Members are: Geraldine Tallon, DECLG Hubert Kearns, Sligo Co Co John Tierney,Dublin City Co Joe Harford –private sector rep Ray O’Dwyer, Chair
Martin Riordan, Cork Co Co Michael Malone,Kildare Co Co Paul McSweeney, LGMA
Evidence of the Sector’s Achievements • Need for Verified Local Government progress against recommendations of the Local Government Efficiency Review • Data directly provided by Local Authorities formed the basis of Report to Minister submitted in March 2012
We’re Doing More with Less Individually Local Authorities have responded to the change agenda by:
– Endeavouring to deliver high-quality public services despite reduced income and falling staff numbers – Reducing costs and achieving efficiencies through innovation, smart procurement, co-operation, revised and improved work practices, VFM And it’s been proven…
Publication of County and City Managers’ Association (CCMA) Report Local Authority Savings (2008-2012) Revenue Payroll Savings Non-Pay Expenditure Savings Agency Services Division G Capital Payroll Savings
€236,508,322 €406,691,129 €92,576,366 €94,515,408
TOTAL Savings
€830,291,225
REDUCTION IN STAFF 8,243 (FEB 2012) Published 25th July 2012
Minister’s Response to Report •
“One of the key aims of local government reform is to ensure that good value public services are delivered at local level with maximum efficiency. The sector has saved €830 million since 2008 and a further €150 million in direct efficiency savings will be targeted over the next 18 months, while maintaining existing services”.
•
The Minister for the Environment, Community and Local Government, Mr. Phil Hogan T.D., today (25 July 2012), welcomed the publication of the first Report of the Local Government Efficiency Review (LGER) Implementation Group. Minister Hogan said: ‘We have had a lot of talk about local government reform over the past decade. That reform programme is already underway with the sector achieving over €195million savings through efficiency measures in 2010 and 2011 alone.’
From Minister’s Press Release Issued on 25/07/2012
LG Response Issues: • NO collective capacity to respond
Responses:
• NO Collective Information
• PMO’s first task
• Collective Decision making issue
• PSROG
• NO Plan
• Shared Services Plan
• Shared Procurement
• NPO (Kerry Co Co)
• ICT Strategy
• CCMA adopted
• Set up the PMO as a SS
Preparation of Business Cases • Business Case preparation currently underway for all projects
• Questionnaires prepared to assist with baseline data on current costs • Risk Register for all projects drawn up to aid delivery of projects
Shared Service Projects Shared Payroll
Laois County Council
Treasury Management
Heads of PMO Finance Sub Group
Legal Services
Cork County Council
Veterinary Services
Cork County Council
Accounts Payable
Kildare County Council
Transactional HR
Fingal County Council
Integrated Inspectorate
Fingal County Council
Internal Audit
South Dublin County Co (with Sligo Co Co with Cork Co Co & Louth Co Co)
Social Media
Kilkenny County Council
Local Government Portal
LGMA
Online Services
Dublin City Council
Register Electors
Dún Laoghaire-Rathdown
Housing Assessment
Louth County Council
Corporate Services
Cork City Council
ICT – back office
LGMA
Shared Procurement Services Staff Welfare
Leitrim County Council
Laboratory Services
Roscommon Co Co
Debt Collection
Cork City Council
Paid Parking
Westmeath County Council
Public Lighting Maintenance Waterford City & Waterford County Councils
National LG Procurement Office
Kerry County Council
Library Service Procurement
DĂşn Laoghaire-Rathdown & Kildare County Council
Shared ICT Projects Open Source Website Development
Limerick City and County Councils
CRM – Microsoft Dynamics
LGMA/LGCSB
CRM – Open Source
LGMA/LGCSB
Spatial Information / GIS
Kildare County Council
Document Management – Open Source Meath County Council
Knowledge Management & Open Data
Fingal County Council
FixYourStreet
South Dublin County Council
Online Services
Dublin City Council
So….. • The journey has begun… • Let’s make sure we succeed: – Adapt quickly and effectively to changes – National and Local Political support for the Reform Agenda – Clear focus on maintaining front line services
Thank You
Q&A