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Scottish GovernmentAsset Management Review
Report to the Cabinet Secretary for Financeand Sustainable Growth
January 2008
Contents
Executive SummaryIntroduction
Key Findings
Recommendations
An nexes:
A - The survey questionnaire
B - Maps of distribution of SG administrative estateand average rental values
C - Table of key data
D - Template for Asset Management Plans
E - List of Bodies
F - Glossary of terms
G - Action plan for recommendations
Executive Summary
Scottish Ministers have, and pay for, an extensive and valuableestate of buildings and adjacent land, with a wide variety of types,uses, sizes, costs and management arrangements. Ministers cannotbe assured that, under current arrangements, all or most of theScottish Government estate is efficiently and effectively managed.We need to get to a position where, while respecting the arm's lengthstatus and particular remit of individual organisations that haveevolved within the Scottish Government, each and every part of theestate will:
• Have an Asset Management Plan in place for the current andfuture assets of an organisation, which ties their planned use tothe known and anticipated operational and supportrequirements of that organisation, and to the wider interests ofScottish Government.
• Adhere to Scottish Public Finance Manual (SPFM) principles,use the Scottish Public Sector Property website and consultScottish Government Property Advice Division's (PAD)professional expertise, to ensure a secure and consistentsystem for acquiring, managing, rationalising and disposing ofproperty (see Annex F - Glossary of Terms ).
• Maintain and update its property management information on asingle database for the Scottish Government estate (electronicProperty Information Mapping Service (e-PIMS) or eventualsuccessor).
• Meet a core set of output measures on property performanceand undertake regular performance benchmarking in order tochallenge their own costs when they appear to exceedrecognised agreed parameters/norms.
• Identify efficiency savings to be made from their property costsand retain those savings for re-investment in better services.
In addition, there should be a further Review of the issues regardingundeveloped land within the management remit of the rural andenvironmental agencies.
Introduction
1. Purpose of the Review
1.1 In August 2007, the Cabinet Secretary for Finance and SustainableGrowth, John Swinney, commissioned a Review of public sector AssetManagement which, in the first instance, should focus only on the ScottishGovernment estate. The aim was to consider the current status and quality ofthe management of our buildings and land. In doing so the Review hassought to establish the facts and identify the anomalies, weaknesses andopportunities to bring about the more efficient and effective use of our estate.This 'short, sharp' Review was led by Jim Mackinnon, Scottish Government'sChief Planner, who was tasked to report by 31 December 2007 with keyconclusions and recommendations.
1.2 The primary aims of the Review are two-fold:
• To clarify precisely what the Scottish Government estate consists of, andwho has control of and influence over asset management andaccommodation decisions, estate management and financialaccountability in relation to assets across the government estate.
• To recommend actions to achieve management improvements and informfuture policy direction for the government estate.
2. Scope of the Review
2.1 This Review should be seen in the context of the Public ServiceReform agenda - the drive to continuously improve the use of all publicresources. The scope of the Review is the Scottish Government estate - thatis the buildings and adjacent land owned, leased, managed or occupiedin the name of Scottish Ministers or in the name of an individual publicbody. This necessarily includes those of non-departmental public bodies(NDPBs), agencies and other associated bodies.
2.2 In addition to the 'core' estate, the Scottish Government estatecurrently covers 144 NDPBs, 17 agencies, 2 non-Ministerial departments anda number of other associated bodies. However, the Review has not coveredall these bodies. The bodies not covered by this Review are as follows:
• Bodies that have no property or land assets;
• Scottish Water - whose assets and the management of these assets areheavily regulated and which has special legal status;
• NHS Scotland public bodies - the assets of Health NDPBs (including theHealth Boards) are the subject of parallel work of the same nature alreadybeing undertaken by the Health Department; and
• The Highland and Lowland estates, the Agricultural Research Institutes,Forestry Commission Scotland and the Crofters Commission manageestates of predominantly 'bare' land, which raises issues quite differentfrom those concerning a predominantly 'built' estate.
2.3 This Review has concluded that the way we manage, use and resourceour estate has implications across many other areas of policy development,including:
• The increasingly tight fiscal regime and need to maximise efficiencies,
• The drive to promote the sharing of services across the public sector,
• The need for sustainable development/green agenda,
• Location policy,
• The drive to simplify the public sector landscape, public bodies policy andthe Crerar Review,
• 'Joint Futures' - the NHS/Local Government joint working initiative,
• Regeneration policy,
• The demand for affordable housing,
• Community ownership of assets.
3. Approach and Evidence Base
3.1 The Asset Management Review team, with advice and support fromProperty Advice Division, the Office of Chief Economic Advisor's AnalyticalServices and others, designed a two-part questionnaire. The aim was tocollect both qualitative data on the arrangements for asset managementplanning, and quantitative data on each and every asset, in order to calculatethe current size, value, condition, use and other information relevant to thegovernment estate, as well as the estimated extent of surplus assets. A copyof the questionnaire is attached at Annex A.
3.2 Both parts of the questionnaire were issued on 12 and 13 September2007 and respondents were given 4 weeks to respond. Following someextensions to this deadline, a 100% response rate has now been achieved,although work is still on-going to refine the data from one large organisation.
3.3 Part One of the questionnaire aimed to encapsulate the currentmanagement arrangements for all the buildings and land within eachrecipient's estate. It asked a mixture of closed (yes/no) and open questions(text description required) and one question requiring the ranking of criteria.The open text responses received are necessarily subjective in that theyrepresent the views of one person within the recipient organisation. Thesewere collated and reviewed to identify themes. The messages emerging werethen examined further to identify areas of consensus where possible.
3.4 Part Two of the questionnaire collected standard factual data for eachand every asset. In order to mi.nimise the burden on respondingorganisations, the data already held by Property Advice Division on the 'e-PIMS' system was entered into each Part Two prior to issue. Recipientorganisations were invited to check and update the information provided oneach of their assets and to enter details of any asset not previously includedon the e-PIMS database. The data was then interrogated to provide keymetrics for each asset, each responding organisation and for the estate as awhole, in order to help determine how efficiently and effectively the estate ismanaged.
3.5 Some bodies that form constituent parts of a larger organisationresponded as part of the overall response for that organisation. Oneorganisation submitted separate individual responses for different parts oftheir estate, and two provided one response covering both organisationssharing the same premises.
3.6 A Summary Table of the results of the factual data from thequestionnaire is attached at Annex C.
Kev Findintt§.
4. Extent of the Scottish Government Estate
4.1 The Scottish Government estate means the buildings and land,owned, leased, managed or occupied in the name of Scottish Ministers orin the name of individual bodies, including those of NDPBs, agencies andother associated bodies. This Review covers the administrative estate, butexcludes assets owned or leased by organisations for the sole purpose ofcarrying out their business function, e.g. Historic Scotland's historic estate thatis open to the public. However, buildings that have a mixed use and includean administrative function, e.g. National Galleries of Scotland, have beenincluded. The exception to this is Scottish Enterprise and Highlands andIslands Enterprise, who each hold both a 'business' and a 'corporate' estate.For these, the details of their 'business' estate have also been collected butare not included in the analysis at this stage.
4.2 Key Facts about the Estate
As at 30 October 2007, the 71 responses provided the following key factsabout the administrative estate:
• The Scottish Government currently occupies 709 buildings totalling a netinternal area of some 723,054m2;
• These buildings occupy a land area of 2,416 hectares;
• Rent is the single largest element of running costs - the average rent foroffice space is £159.50 per m2 per annum (the range being from 1penny per annum ('Peppercorn') - up to £927.54 excluding VAT). Welease 184 office properties;
• The average m2 per person (Headcount) is 15.72m2 (ranging from 8.51 -61.98m2);
• The Scottish Government owns approximately 66% by net internal areaof its office accommodation which has a total capital value of £157.6m;
• The Scottish Government leases, sub-leases or holds under aMemorandum of Terms of Occupation (MOTO - an internal governmentlicence arrangement), approximately 34% by net internal area of itsaccommodation.
4.3 A map showing the distribution of assets is attached at Annex B and asummary table of key data is shown at Annex C.
5. Range of Property Tenure Arrangements and Budget Holders -Observations
5.1 Scottish Government bodies hold their assets under a range oftenures: ownership of the feu (freehold), leases, sub-leases, MOTOs andsome bodies occupy core estate without any formal documented arrangementor property rights and free of charge. Broadly speaking the larger propertiestend to be owned, while the smaller ones are held under a lease arrangement.
5.2 This diversity reflects the bodies' set up arrangements and the armslength, semi-autonomous status they have held, as well as the inconsistentapproach taken by central government to asset management decisions inrecent years.
5.3 The part of the Scottish Government estate covered by this Reviewcomprises 69 separate property budget holders encompassing a range ofassets including buildings and adjacent land for general administrative use,buildings/land classified as for specialised use and undeveloped land.
5.4 Of those buildings that are owned, approximately one third are held inthe name of Scottish Ministers or former Ministerial office, one third in thename of the organisation itself and one third of the owners did not respond tothis question. Several of the larger bodies do not lease buildings in the nameof Scottish Ministers but in their own name. This significantly restricts theflexibility with which the workspace can be re-allocated to, or shared between,other parts of government when this becomes desirable or necessary. Leasesheld in the name of an individual body require landlord's consent and paymentof their legal fees incurred for the lease to be sublet to another organisation. Ifall leases were approved by Scottish Ministers this would afford greaterflexibility, at no cost and promote a corporate approach to the estate.
5.5 The responses from some bodies contain anomalies andinconsistencies and are deficient in detail on a number of aspects such asbudget holder, tenure type, specific occupation statistics and arrangements,management status and the role of Scottish Government's Property AdviceDivision. On the basis of these returns, it would appear that data held by theorganisations themselves is not as accurate and comprehensive as Ministersmight wish.
5.6 Three bodies did not complete the data spreadsheet issued, butsubmitted their own asset database which was then transferred onto thereview format to allow comparative analysis of all responses. Although a dataquality check was carried out, the estates of some bodies were too large to dothis in detail in the time available.
6. Variety of Management Arrangements, Property Decision MakingProcesses, Status and Advice
6.1 Asset management and decision-making arrangements varyconsiderably across Scottish Government and appear to depend on thehistory, size, tenure and remit of each organisation.
6.2 It is worth bearing in mind that only one part of government has, as itsprimary remit, the management of an administrative property estate, namelyScottish Government's Facilities and Estates Services, which manages the'core' estate. However several other bodies have as their primary objectivethe management of property for a specialist purpose, these include: theNational Museums, Libraries and Galleries, the Royal Botanic Gardens,Historic Scotland, Caledonian Maritime Assets Ltd and the National ParkAuthorities. For all other parts of government the management of their estateis secondary to their main business objectives, which may explain itsrelatively low status.
6.3 Predictably, the larger organisations within Scottish Government tendto have an estates manager. For others, property decisions rest with a namedindividual in a different role, while two bodies had no named individualresponsible for taking asset management decisions. Similarly, larger bodiestend to separate responsibility for taking, leading and developing estatemanagement decisions from the implementation of estate management.
6.4 Three quarters of respondents have sought professional advice fromProperty Advice Division (PAD) in the past 3 years, and the same proportionhave used external consultants during 2006-07. Not all who had sought PADadvice had taken it, usually due to change of circumstance, and at least oneorganisation was unaware of PAD's existence. PAD are a source of free,impartial and professional expertise, that may not usually be available withineach organisation to allow that organisation to challenge knowledgeably andeffectively.
6.5 Just over two-thirds of organisations say they directly include financeand/or sponsor teams in their decision making processes for assets orproperty costs. While there is currently no direct formal requirement for themto do this, framework documents, accounts directions and memos from thePrincipal Accounting Officer (PAO) to the accountable officer for each body alltie bodies in to the guidance issued by Ministers in the form of the ScottishPublic Finance Manual. In addition the principles and procedures to be usedfor disposals and acquisitions are clearly covered within the SPFM. Ultimatelythe accountable officer is answerable to Parliament for the use of theresources of the body for which he is responsible, and the accounts can bequalified for non-compliance with the SPFM.
6.6 The degree of autonomy of the wider network of government bodiesover their property is a potentially sensitive area. Some may regard withsuspicion any involvement by 'the centre' to influence operationalmanagement decisions. However all asset costs, capital and revenue, are
ultimately paid for from the Scottish Government budget and might thereforebe regarded legitimately as the assets of the whole organisation. A moreefficient, corporate use of assets also has the potential to release resources inthe medium or longer term, for other areas of expenditure.
6.7 There is clearly a role that a central team could develop that wouldhelp to present all asset holders with a range of advice, monitoring andchallenge or access to expertise. This level of rigour would better inform andimprove the overall quality of asset management decision making, withoutshifting the ownership of existing asset portfolios. This would ensure forexample, that when Scottish Ministers are asked to sign off a proposal forinvestment or disinvestment, they have before them a formal 'Green Book'option appraisal giving a range of options each with an associated NetPresent Value and a numerical score from the weighting and scoring exerciseto facilitate comparison.
7. Low level of Asset Managementplanning
7.1 Of the 73 Part One responses, only 20 (29%) reported that they havean asset management strategy or plan in place, and half of those forwarded acopy to the Review Team when requested.
7.2 Two thirds therefore do not have an asset management plan orstrategy in place. This is significantly higher than the level across ScottishLocal Authorities. It is reasonable to assume that some organisationsoccupying single small premises do not recognise that such a plan isnecessary for that organisation. This lack of written strategy documents, whilenot necessarily meaning there are no estate management procedures inplace, does mean that Ministers cannot be assured that future publicexpenditure on property will be as efficient and effective as it should be. AssetManagement plans, particularly for the smaller parts of government, do notneed to be overly detailed or impose any significant administrative burden onorganisations.
8. Lack of Good Quality Property Management Information and Lack of aCentrally Held, Maintainedand Shared Property Database
8.1 Good quality asset information underpins efficient and effectivepractice, and so, part of this Review considered the existence, extent andquality of the management information available and the systems used tocollect that information.
Property ManaQementSystems
8.2 In July 2005, HM Treasury issued a letter to all UK GovernmentDepartments (including the then Scottish Executive) setting out details of therequirement to use the Office of Government Commerce's (OGC) e-PIMSsystem (electronic Property Information Mapping Service). This database hasbeen developed to record all central government civil estate information,enabling it to be viewed as a whole, using the Government Secure Internet.
Although not mandatory for the Scottish Government estate, as it is for allother UK Government departments, we chose to adopt it as good practice.Currently, Property Advice Division update this system for the 'core' estateand take the lead role in supporting NDPBs, agencies and associateddepartments to record information on the database. Additionally, in October2006, an exercise commenced to update the wider Scottish Governmentinformation held on e-PIMS and to promote its use.
8.3 The scope and function of the ePIMS system is quite different to thecurrent Fixed Asset Register, which fulfils a separate financial accountingmanagement need, and ePIMS is not intended to replace it or any othercentral system.
8.4 The e-PIMS system currently provides the most comprehensiveproperty asset database available across the Scottish Government estate andmost of this information has been entered by OGC staff since the systemcommenced. Sixteen organisations use or partially use IT asset data systemsother than e-PIMS. However, the mixed nature of responses and commentswithin the survey, casts some doubt on the true extent of usage of e-PIMS. Atthe outset of the review the quality and coverage of the data held on the e-PIMS system was incomplete and out of date, largely due to its voluntarystatus.
The Asset ManaQementReview Questionnaire - Part Two Data FindinQs
8.5 Part Two of the asset questionnaire collected standard factualinformation for each and every building and land asset. The Review teamincorporated information already held on e-PIMS into the questionnaire beforeit was issued to the recipients. The survey highlighted a number of issuesabout property information and the systems available to manage that data,principally e-PIMS.
Quality of Data and ManaQementSvstems
8.6 Based on the survey results, it is clear that, across the estate, theavailability of good quality management information varies significantlybetween organisations and is of insufficient quality and coverage at a strategiclevel to support asset management planning. However, all except oneorganisation were able to provide a response which listed all their assets.
8.7 The main findings on the management of property information are:
• The number of Scottish Government buildings currently listed on the e-PIMS system totals 543 while the survey returned a total of 709 buildings.This indicates that the data held on e-PIMS has not been regularlyupdated to reflect the true extent of the government estate. It will now bepossible to transfer the data received by the Asset Management Reviewteam onto e-PIMS as a basis for more accurate and comprehensivecoverage in future;
• It is currently not mandatory in Scotland for organisations to update theirproperty information on e-PIMS;
• Only 9 organisations in Scotland have trained staff who are registered touse e-PIMS. This has meant that most rely on the 'good will' of PropertyAdvice Division to update any changes to their estate but there is noprocess in place to inform and record systematically any changes.Property Advice Division have not, to date, had formal responsibility forupdating this information beyond that relating to the 'core' estate;
• There is no dedicated resource, nor clear management accountability,within Property Advice Division to update and maintain the e-PIMSsystem. The system is also vulnerable in that only one individual, at ajunior grade, has responsibility for updating property managementinformation for most of the government estate.
Memorandum of Terms of Occupation (MOTO) AQreements
8.8 The questionnaire requested property information from allorganisations and as a result of this request it became apparent that somebodies do not have a formal MOTO agreement in place e.g. Scottish FisheriesProtection Agency do not have a MOTO for their occupation in PentlandHouse but do have for all other properties. This inconsistency generallyseems to have occurred through the operation of historic agreements butresults in inconsistencies in management information preventing accurateprofiling of the estate.
9. Lack of Regular Consideration of SurplusNacantlUnderused Propertyand Disposal Policy
9.1 Alongside the low level of asset management planning byorganisations across the Scottish Government family, there is also a lack ofattention given to what to do with surplus, vacant or underused space. Almostall bodies that do have an asset management plan in place do include theirsurplus property and any disposal plans for it within these plans. Therefore, bydefault, and, as identified at paragraph 7.2 , two thirds of respondents have nopolicy or strategy in place within an Asset Management strategy, to managetheir vacant, surplus or underused space.
9.2 There may be some valid reasons for this. Some smaller organisationshave limited resources to deal with this issue. Some space may only beunderused or vacant temporarily. Some organisations may be about to, or arein the process of, altering their structure or status. Some organisations, forexample Transport Scotland, have inherited poor quality managementinformation about their surplus estate from previous bodies, and are in theprocess of clarifying what is held under what terms. It was also not clear thatthere was a common agreed understanding of definitions of the terms'surplus' and 'underused'.
9.3 At the same time there also appears to be either very little surplus,vacant or unused space within buildings or, possibly a reluctance by some
organisations to 'declare' or admit to it. The questionnaire returns indicatethat:
• There is declared surplus and vacant buildin~ space totalling some6202m2 out of a total net internal area of 723,054m : 0.85%.
Whereas
• There is surplus land totalling some 308.54Ha out of a total of land (i.e.adjacent to buildings and also 'bare' land) of 11,001Ha: 2.8%.
9.4 These small percentages may be an indication of a lack of capacity forsmaller organisations to use or sublet space which would otherwise bedeclared vacant or surplus. However few of our public bodies have cleardisposal or re-use policies in place to deal with any surplus or vacant spacethat arises. It is therefore not clear whether there is a lack of strategic thinkingor simply a lack of flexibility due to the size and remit of some organisations inhow to deal with surplus workspace. It should also be acknowledged thatthere will never be a 'perfect fit' of working space to business need, due to thediverse and ever-changing nature of our organisation and its estate.
9.5 The procedures for dealing with disposals and acquisitions are set outwithin the Scottish Public Finance Manual (SPFM) although the questionnairerevealed that a small number of bodies admit that they do not always adhereto SPFM principles. The grant offer procedures for public bodies include termsand conditions which could re-iterate adherence to SPFM principles and couldrequire asset management procedures to be in place.
9.6 There is currently no central point for co-ordinating the re-use or co-sharing of vacant or underused space across the government estate -although some organisations do choose to consult Property Advice Divisionabout these issues. The SPFM states that PAD should be consulted at theearliest opportunity in any acquisition or disposal so that it can meet it'sresponsibilities under the OGC co-ordination agreement. The ways in whichworkspace use changes is often arbitrary and does not necessarily lead tomost efficient and effective outcomes. The lack of an up-to-date, singlecomprehensive database of management information must have, onoccasion, also hindered opportunities to maximise the use of space.
9.7 The Scottish Government aims to see the wider social benefitsaccruing from disposals of surplus government property primarily through theplanning system - through planning conditions and Section 75 (see Annex F -Glossary of Terms) planning agreements. The government's wider socialpolicies on affordable housing, environmental provisions, roads and sewerageinfrastructure and contributions to healthcare, should be set out by localplanning authorities in local development plans so that valuers and the marketcan reflect that in the price and reduce their assessment of market valueaccordingly. If Scottish Ministers consider that particular social sectors requiremore support than has been achieved through the planning system, they canredistribute part of the receipts after the sale to meet those priorities.
10. lack of Incentives for More Efficient Asset Management
10.1 Many organisations within the Scottish Government family citedbudgetary constraints as a strong driver to improve the management of theirassets however many, sometimes the same, organisations cited the lack ofresources to invest in maintenance programmes as a hindrance to betterasset management. While accommodation costs are usually the secondhighest revenue pressure after staff costs, it is not clear how the financialimperative works within many organisations. Typically, there appears to belittle if any external or internal challenge to accommodation costs, which are,after all, met from the public purse.
10.2 Some (22) organisations cite the efficient government programme asan incentive, however few parts of the central government family have putforward asset management-derived efficiencies within identified efficiencyprojects. This could now be promoted more strongly and it made clear andexplicit that, within the next EG programme for 2008-11, savings generated byreducing accommodation costs will be retained by the organisation that makesthem, for re-investment in improved output.
11. lack of Financial Challengel Scrutiny Role
11.1 Not all organisations within the Scottish Government say they adhereto Scottish Public Finance Manual principles for financial planning. Eightrespondents stated they did not and 3 did not comment. This is clearly aweakness that could be remedied by ensuring that the principles of the SPFMare adhered to consistently across government. A Finance Guidance Note(FGN) could be issued to remind relevant parties, including accountableofficers, of their responsibilities and point out that non-compliance could leadto qualification of accounts and an appearance before the Scottish ParliamentAudit Committee.
Onqoinq revenue costs
11.2 Scottish Government's central sponsor and finance teams for the widernetwork of bodies agree annual budgets for each organisation, but do nottypically take issue with particular expenses. Individual bodies may, or maynot, seek advice from Property Advice Division on, for example, thereasonable parameters for on-going or new accommodation costs. It is notcurrently seen as the explicit remit of any central function withinScottish Government to scrutinise or challenge such costs. The widernetwork of public bodies tend to see the management of their expenses,including those relating to their estate, as their own business, rather than thatof a centralised government function. Neither do public bodies see thatdeclaring un-used space or undertaking rent reviews as being part of agovernment team approach.
11.3 The accounts of all public bodies are subject to annual audit, either byAudit Scotland, by internal Scottish Government auditors or by externalauditors. Property costs that are significantly above an expected range should
be, and are, identified at this stage after the end of the financial year, but notnecessarily challenged.
Capital investments
11.4 Where public bodies are seeking to invest in new accommodation, theSPFM requires that this should be subject to 'Green Book' economic appraisalto offer Ministers a range of options each with a Net Present Value, tofacilitate a consistent comparison of the costs and benefits that accrue overthe lifetime of the asset. There is anecdotal evidence that this has nothappened in all recent cases. The economic appraisal of options shouldcapture both the full economic costs and benefits over the whole life of theproject and also, through methods such as weighting and scoring, thepotential qualitative social costs and benefits which are impossible to quantifyfinancially but are nevertheless real.
11.5 The Scottish Government Infrastructure Investment Group (IIG) havedeveloped new guidance in the form of a 'route map' intended to supportsenior public managers in the processes for which they are responsible whenfacing a major new asset investment challenge. This covers both conventionaland private finance options and should ensure that they are aware of relevantguidance and the right steps to take in establishing appropriate projectmanagement or partnership arrangements. This new guidance should bepromulgated and made mandatory across the government! agency arena.
12. Low level of Performance Monitoringl Benchmarking Activities
12.1· It is broadly recognised that setting performance managementbenchmarks and improvement targets leads to significant property serviceimprovements. A joint project by the UK public sector audit agencies resultedin the publication of a set of indicators to help organisations to improveperformance. Two of the recommended estates indicators that help to provideimportant basic measures of the efficiency and effectiveness of buildings are:
• Cost per m2; which examines the overall cost-effectiveness of the estate;and
• m2 per person; which measures how efficiently the organisation uses itsworkspace.
12.2 Based solely on office accommodation, the estate occupancyaverage is 15.72m2 per person, ranging from 8.51 - 61.98m2 per person. Arecent National Audit Office report noted that the British Council for Officesgood practice guidelines suggested a range of 12m2 to 17m2 per person. TheScottish Government estate average is within the performance range,although 29 organisations fall outwith this range, 20 of which having morethan 17m2 per person. It is worth noting that the 2007 OGC-commissionedstudy to recommend a 'standard for space use' for the UK public sectorsuggested 12m2 per person.
12.3 The estate average for rents paid for office accommodation is £159.50per m2 per annum, however the range across the estate - from peppercorn to£927.54 is very wide. (see map at Annex B for an area based profile).
12.4 Based on the survey results, very few organisations use performanceindicators and none have objectives and targets focusing explicitly on costsand use of space. However, most do (5 did not) monitor the running costs oftheir estate.
12.5 The findings regarding energy use monitoring were better, where 55%use performance management benchmarks and set targets for environmentalfactors.
Recommendations
13. The over-arching purpose of this review is to bring more consistency to thecurrent arrangements for managing the government estate in order to improveefficiency and effectiveness..
13.1 The Scottish Government estate covers a very wide range of types anduses of property, tenure arrangements, occupancy levels, financialcommitments and relationship to central government functions such asFinance and PropertyAdvice Division.
13.2 This diversity has inevitably arisen as a result of the expansion ofgovernment since devolution and before. However this does mean that thereare certain inconsistencies across the estate, and changes of property use orlocation of public sector bodies are not always achieved as a result of forwardplanning or co-ordination. We cannot be sure that the most efficient andeffective use is being made of all parts of our estate at all times.
13.3 The Scottish Government will work together with Scottish public bodiesand agencies to develop an approach to important asset managementdecisions that will allow organisations to manage their assets, while alsorecognising the wider corporate interest of Scottish Government, and therebysetting a stan9ard of best practice.
13.4 The following recommendations will help to address this. Annex Gsets out an implementation time-table.
Recommendation 1. To ensure all parts of Scottish Governmenthave an Asset Management Plan in place.
Only by having asset management plans in place can Ministers be assured thatproperty holders are regularly considering how to maximise the best possible use oftheir assets. A centralised, but light touch, co-ordination function could then beaware of what property may become vacant over future years and considerbrokering co-locations or obtain better deals through economies of scale.
All parts of Scottish Government should draw up Asset Management plans by endApril 2008, tying the current and anticipated future use of their assets to thatorganisation's objectives and remit and those of the wider Scottish Government.Further consideration needs to be given to possible confidentiality issues that mayarise from making future plans public. The plans do not need to be highly detailed,nor to include information of a confidential or commercially sensitive nature. Theplans should also be proportionate to the size, extent and value of the estate ownedleased or managed by each body. A suggested template for an asset managementplan for a typical small public body is included at Annex D.
Recommendation 2. To maintain a mandatory, single,comprehensive database of property information.
To promote and assist high quality decision making and best use of assets, there isa need to ensure clarity and consistency of estate data. The use of a commonmanagement information system is central to achieving this. It is recommended thatthe use of a single, comprehensive and up-to-date database that is properlyresourced and managed, with clear lines of accountability, be made mandatoryacross all of the government estate.
The e-PIMS system should continue to be used as it provides a database of basicasset management information at a minimum cost. Additionally, it enablesinformation across the public sector to be shared more easily.
e-PIMS is a secure system. It is internet-based, but it does not provide open access.All users must be registered and authorised by the Office of Government Commerce.Individual users can be allocated a certain level of rights according to the needs oftheir organisation, and all users can view high level address details for all the UK civilestate property records held on the system.
The current resources for managing the e-PIMS system within government shouldbe bolstered to assist a proactive approach to maintaining the database, to providepro-active intervention and to minimise the current risks.
The management of the e-PIMS system should be co-ordinated from one propertycentre where each organisation has an agreement to update e-PIMS for their ownestate or an agreement to provide the leading or central property centre with theinformation they need to update e-PIMS whenever an event occurs.
The management responsibilities for e-PIMS should be simplified to foster clearerlines of accountability.
The system for monitoring and implementing MOTOs should be improved toeliminate the inconsistencies that exist across the estate.
Recommendation 3 To agree a set of roles, responsibilities andexpectations regarding the management of assets.
Each and every part of government should, as a minimum, have an assetmanagement plan or strategy in place, record and keep up to date their propertyasset data on the ePIMS system, adhere to SPFM and Green Book principles, andundertake performance management, monitoring and benchmarking. The ScottishGovernment will also identify a 'champion' on its Strategic Board to ensure that theprofile of asset management is raised. To enable more effective sharing and co-location, all future leases for administrative workspace should be approved byScottish Ministers.
Recommendation 4. To ensure that the mandatory procedures inplace, within the SPFM and 'Green Book', for disposals of surplusor vacant property, and for acquisitions are known and adhered to.
The principles set out in the Scottish Public Finance Manual and 'Green Book'should be promoted across the government network of organisations to ensure theirconsistent use. This will ensure that when Scottish Ministers and auditors examineproposals for property investment and disinvestment, the recommendations havebeen through a rigorous procedure and are supported by a Green Book appraisalgiving a range of options each with a Net Present Value and a weighted scoreattached in support of the recommendation.
Recommendation 5. To implement the use of agreed, standardisedperformance targets and benchmarking criteria for land/buildingsto help achieve continuous improvement in the performance of theestate.
Setting performance management benchmarks and improvement targets can lead tosignificant property service improvements and the realisation of efficiency savings.This is particularly important if the rationalisation of bodies resulting from'Simplification of the Public Sector Delivery Landscape' leads to significant surplusoffice space. If we are to maximise the benefits of this, we need to establishbenchmarks as quickly as possible. The Scottish Government should agree andadopt basic key performance indicators and consider setting performance targets orparameters, including:
• Cost per m2; which examines the overall cost-effectiveness of the estate;
• m2 per person; which measures how efficiently the organisation uses itsbuildings.
In addition, organisations should recognise the significant role of buildings incontributing to carbon emissions and should adhere to the 'EnvironmentalPerformance of Public Bodies Initiative', to demonstrate best practice across thegovernment estate.
Recommendation 6. To promote the use of financial assetmanagement incentives.
For all parts of government to improve the efficient and effective use of assets, thefinancial incentives of doing so must be explained and promoted, including theretention by each organisation of capital and revenue efficiency gains derived fromtheir assets. Public Service Reform and Efficient Government Division shouldpromote the search for, and recording of, efficiency gains from better assetmanagement across government. Organisations could be incentivised to achievesavings by being allowed to recycle funds for necessary expenditure on new orimproved services or benefits. The scale of savings retained and their consequentreinvestment, would need to be considered in each case to demonstrate delivery ofefficiencies or increases in outputs.
Recommendation 7. To ensure all parts of Scottish Governmentconsider appropriate potential development and improvementopportunities.A central team, such as the current Property Advice Division, should maintain astrategic overview, challenge function and identify best opportunities for the futureuse of property assets across the central government estate. Where there is a needto consider accommodation requirements in implementing 'Simplification of thePublic Sector Delivery Landscape', organisations should work with PAD to deliverthe best outcome.
Recommendation 8. To undertake a further Review of themanagement arrangements and issues concerning the rural andundeveloped land estates held by Scottish Ministers.
Further consideration should be given to the issues arising from the management ofthe government's rural estate - covering the 53 Highland estates, the Lowlandestate, the agricultural research estate, Crofters Commission's farms and ForestryCommission Scotland's holdings.
We also undertake to evaluate the extent of implementation of eachof recommendations (1 - 7) above and to assess the outcomesachieved.
Annex A Copy of Questionnaire - both parts
PART 1 - MANAGEMENT ARRANGEMENTS FOR ALL BUILDINGS/LAND WITHIN YOUR ESTATE
For all enquiries regarding completionHilarv.Pearceta!Scotland.asi.aov.uk orGiliian.McCallumta!Scotland.asi.aov.uk
please contact either HILARY PEARCE on 0131-244-5326, e-mailGILLIAN McCALLUM on 0131-244-4245, e-mail
Please give the following information to the best of your knowledge, about the whole of the estate which XYZ BODYowns, leases, manages and/or occupies under a MOTO.
1. Asset Management StrategyDo you have an Estate Management/Asset Management Strategy or Plan?
YesNo
o (please provide a copy WI1hyour response)
D
2. Responsibilitya) Who has overall responsibility for takina strateaic estate management/asset management decisions?
Chief Executiveor Finance Directoror Estate Manageror Other personor Board or equivalent
o Name and Contact Details:o Name and Contact Details:o Name and Contact Details:o Name, title and Contact Details:
Title and contact details:
b) Who has responsibility for leadina/develocina Estate Management/Asset Management issues?Chief Executive 0 Name and Contact Details:or Finance Director 0 Name and Contact Details:or Estate Manager 0 Name and Contact Details:or Other person D Name, title and Contact Details:
c) Who has responsibility for imclementina Estate Management/Asset Management issues?Chief Executive 0 Name and Contact Details:or Finance Director 0 Name and Contact Details:or Estate Manager 0 Name and Contact Details:or other person 0 Name, title and Contact Details:
3. Advicea) Do Scottish Government finance teams and/or sponsor teams play any part in your asset decision making
process?
Yes o No oIf yes, please describe:
Ib) Have you consulted the Scottish Government's Property Advice Division regarding estate decisions within
the past three years?
Yes
If no, why not?
I
o No o
If yes, did you follow their advice?
Yes (all or ome) o No (none) o
If none, why not?1 _
c) Have you used consultants for any functions? (property management, benchmarking, rating consultancy,
environmental management etc.)
Yes o No o
If yes, please describe what you use consultants for and approximately how much was paid to consultants for asset
related work in the last financial year (2006-07):
4. IT systems If your buildings/land are not listed on e-PIMS then ...
a) Do you use any IT systems/software to manage your asset portfolio?
Yes
No
oo
What system do you use:
Please say why not:
5. Suitability In determining the current and ongoing suitability of your buildings/land to your business objectives, what
criteria/policies are employed by your organisation? Please rank your choices (1 being the most important).
Financial/economic criteriaEnergy management
Waste ManagementProperty conditionSpace standards
HR Issues
LocationAccess to stakeholdersTravel/sustainable transport
Other environmental factors, please state:Other, please state:
6. Incentives and hindrances
a) What controls and incentives encourage your organisation towards more efficient use of the assets that
you control and manage?
b What discoura es or hinders the more efficient use of our assets?
7. Land under-use Do you include any underused or un-used land assets (such as amenity land, underused car
parking etc), within your asset management plan or strategy?
Yes o No o
8. Guidance
a) Does the financial planning for your assets conform with Scottish Public Finance Manual (SPFM) principles?
Yes o No o
b) What other financial or asset management guidance do you use to manage your assets?
9. Value How do you demonstrate to your auditors and your sponsor, division that your asset management
expenditure is value for money and provides good estate management?
10. Management systems What management systems, (including record keeping, computer aided facilities
management, environmental management) do you have for monitoring and reporting on the efficiency and
effectiveness of your building and/or land assets?
Please give examples:
• Do you have regular or occasional_benchmarking in place for your building and land assets?
Yes o No o
Ilfyes,IsWs.""mal '" InlBmalbe_ng'
• Do you set performance targets, including environmental targets, for various Darts of your estate?
Yes o No o
• Do you monitor the running costs for your organisation's estate?
Yes o No o
a) in total year on yearb) per square metre (NIA)c) per full-time equivalent member ofstaff year on year
Are your annual runnina costs. in cash terms. increasing or decreasing, or static:Increasing
ooo
Decreasing
ooo
Static
Part 2 - Standard factual information for h d t II d t
. .IAsset tvee II
Prooertv NameStreet NumberRoadNeiahbourhoodTown/CitvPostcodeOS Grid Reference if known
a) Floor Area of Building Occupied by your Organisation (Net InternalArea TNIAT- in sauare metresJb) Total Site Area (i.e. land area within the legal boundaries of the site,whether built UDonor not - in hectaresJc) Number of car parking spaces allocated to your organisation
la) Main function of the buildinalland II
la) Headcount IIb) Full Time Eauivalent II
I~!Does your organisation own, lease or manage this property or landwhether occuoied or vacant\?
I
a) Title of the holder on title deed (e.g. Scottish Ministers, Secretary ofState for Environment>b .When was it constructed? (buildinas onlv)(vear)c When was it ourchased? (month/vear>d What Drice was oaid?e What is the current or most recent canital value of this asset?
What was the date of this valuation? (monthlvear)
a Date lease commenced (monthivearJb Date lease ends (month/vear)c Date of next lease break (monthlvear)d Date of next rent review (monthlvear)e Name of landlordf) Rent (£ per annum) (please indicate if rent is lower than normalbecause of a landlord incentive>0\ VAT on rent (£ eer annumJh\ Service charae (£ Der annum>i\ Who has dilaoidations liabilitv?
a) Is any part of this propertylland sub-let or has a MOTa arrangement?
"ves what is the:j) Name of sub-lesseeii) Area that is sublet or has a MOTa arrangement (Please provide NIAin m2 for buildinas <lndhect<lres for land)?
a) Is your organisation co-located within this property with <Inother publicsector ornaniS<ltion?" ves:
i) What is the name of that oraaniS<ltion?ii) How is the floor area apportioned between the organis<ltions?(Please Drovide <lDDroximate% <ltJDortionmentJ
a) Is any part of this bulldina currently vacant or un-used? (if this assetis not a buildina. Dlease oroceed to ouestion 10 b>" Yes:
j) What is the area of this soace IN IA in m2)b) Is any part of this DroDertv or land surplus to the reqUirements of yourornanisation now or will become so within the next three ve<lrs?" ves:
i) What area is surplus? (Please provide NIA in m2 for buildings <lndhectares for land)? (If the eX<lctarea is not known, please provide <Inapproximate proportion, e.g. half or x%)ii\ When will it become surolus?
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Scottish Government Building AssetsSources:Building Assets - Scottish Government, 2007Settlements - GRO(S), 2004This map is based on Ordnance Survey material with the permissionof Ordnance Survey on behalf of the Controller of Her Majesty's Stationery Office © Crown copyright 2007. Unauthorised reproduction infringes Crown copyright and may lead to prosecution or civil proceedings. Scottish Government Licence number: 100020540 2007. Due to OS licence conditions, you/your agent may only use this map for official business dealings with the Scottish Government. If you wish to usethe map for other uses, you must first obtain a separate licence from OS. Scottish Government Geographic Information Service 17 December 2007Job: 4323cm
Legend" Building Assets
Settlements
0 20 40 60 8010Miles
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Glasgow£199.74 m2/pa*
Edinburgh£167.62 m2/pa*
Aberdeen£112.00 m2/pa*
Ayr£108.50 m2/pa*
Dundee£137.00 m2/pa*
Stirling£142.63 m2/pa*
Inverness£143.90 m2/pa*
Hamilton£185.67 m2/pa*
Dumfries£101.38 m2/pa*
Scottish Government - Average Rental Values on Leased OfficesMain Towns and Cities
Sources:Building Assets - Scottish Government, 2007Settlements - GRO(S), 2004This map is based on Ordnance Survey material with the permissionof Ordnance Survey on behalf of the Controller of Her Majesty's Stationery Office © Crown copyright 2007. Unauthorised reproduction infringes Crown copyright and may lead to prosecution or civil proceedings. Scottish Government Licence number: 100020540 2007. Due to OS licence conditions, you/your agent may only use this map for official business dealings with the Scottish Government. If you wish to usethe map for other uses, you must first obtain a separate licence from OS. Scottish Government Geographic Information Service 16 January 2008Job: 4323cm
Legend" Leased Offices
Settlements
Valuation Office Statistics
The following tables indicate headline rental values on full repairing terms with no inducements reported by DVs for three types of office accommodation. Where there is no entry the beacon type is not typical within the locality.
Type 1
Town centre location. Self contained suite over 1,000 sq.m in office block erected in last 10 years, good standard of finish with a lift and good quality fittings to common parts. Limited car parking available.
Type 2
As Type 1 but suite size in range of 150sq.m-400sq.m.
Type 3
Converted former house usually just off town centre. Good quality conversion of Georgian/Victorian or similar house of character. Best quality fittings throughout. Self contained suite in size range 50sq.m-150sq.m, with central heating and limited car parking.
* Denotes accommodation with air conditioning.
Rental values as at 1 July 2007
SCOTLAND
LOCATION £/m²/ann Type 1
£/m²/ann Type 2
£/m²/ann Type 3
Ayr 120 120 110 Dumfries 100 100 Stirling 150 165 125 Glasgow (city centre) * 280 * 200 170 Aberdeen 250 250 210 Inverness 150 165 120 Edinburgh * 295 * 295 205 Hamilton * 160 * 140 110 Dundee * 145 * 145 90
* denotes the average value of the actual spend by Scottish Government based on
area of office space rented within each town or city
Annex C Summary table of key data
PART TWO: Standard Factual Information
INDICA TOR TOTAL COMMENTS
Number of Organisations (Budget 69Holders)Total number of assets 774Total number of buildings 709Total NIA 723,054m~Total NIA - office accommodation only 272, 504m2
% of m'L owned 66%Total number of holdings that are owned 297 (38%)Total Capital Value £1,230.5m Buildings and landTomlmndsuffoundmgbuildmgs 2416Ha Includes Farms etc.Total land only 8585Ha 'bare' land(8545Ha
belongs to SNH)Vacant / unused space 1285m2Surplus space 4,917m2Surplus land 308. 54Ha
Annex D Template for Asset Management Plans
Each asset management plan must include:
Purpose: A statement of the business aims and objectives of thatorganisation and how they help to deliver the government's strategicobjectives.
Estate: A description of the property assets and a link to thatorganisation's asset reaister recording all the assets (buildings andadjacent land) owned, managed, leased or occupied by that part ofgovernment.
E.g.The organisation is located in towns (A) and (B). The (A) office of(*)m2 NIA, houses (X) staff, is modern, ideally located and entirely meetsthe needs of the organisation.The two (B) offices of (*)m2 and (*)m2 NIA, have a staff complement of(Y) and (Z) respectively. Each is operationally adequate but were neverdesigned for modern day requirements and the operation of both isinefficient.
Functionality: The function of each asset within the organisation - i.e.what each property is used for now and in the future.A statement setting out how the management of its assets does and willprovide workspace in which the business of the organisation can becarried out most efficiently and effectively.
Responsibilities/accountabilities: The organisational arranQements forasset planning, decision making, implementation, and risk management- i.e. named individuals - who does what.
Finance: The links between financial planninQ and asset planning. Whatbudget provision has been made for known key events and likely impactof planned changes. Certain provision for possible unforeseen events.
Performance Monitoring: The performance manaQement andmonitoring arrangements, including targets and benchmarking.
Future development programme: The prOQramme of planned andintended asset development, including acquisitions, sharing, disposalsand maintenance.
Annex E List of government organisations within the scope of theReview
Scotland currently has around 200 national public bodies created by the ScottishGovernment, many through primary legislation or royal warrant. A list of thoseorganisations within the scope of this Review are listed below.
Scottish Government 'core' estate
Executive NDPBs:
Accounts Commission for ScotlandBard na GaidhligCairngorms National Park AuthorityCrofters CommissionDeer Commission for ScotlandHighlands and Islands EnterpriseLearning & Teaching ScotlandLoch Lomond and The Trossachs National Park AuthorityNational Galleries of ScotlandNational Library of ScotlandNational Museums of ScotlandPolice Complaints Commission for ScotlandRisk Management AuthorityRoyal Botanic Garden, EdinburghRoyal Commission on the Ancient and Historical Monuments of ScotlandScottish Arts CouncilScottish Children's Reporter AdministrationScottish Commission for the Regulation of CareScottish Criminal Cases Review CommissionScottish EnterpriseScottish Environment Protection AgencyScottish Further and Higher Education Funding CouncilScottish Legal Aid BoardScottish Natural HeritageScottish Police Services AuthorityScottish Qualifications AuthorityScottish ScreenScottish Social Services CouncilScottish University for IndustrysportscotlandVisitScotlandWater Industry Commission for Scotland
Advisory NDPBs:
Architecture and Design ScotlandLocal Government Boundary Commission for ScotlandMobility and Access Committee for ScotlandPublic Transport Users Committee for ScotlandScottish Law Commission
Tribunals:
Additional Support Needs Tribunals for ScotlandLands Tribunal for ScotlandMental Health Tribunal for ScotlandParole Board for ScotlandPrivate Rented Housing PanelScottish Charity Appeals Panel
Public Corporations:
Caledonian Maritime Assets LtdHighlands and Islands Airports Ltd
Executive Aaencies:
Accountant in BankruptcyCommunities ScotlandFisheries Research ServicesGeneral Register Office for Scotland (includes accommodation of the Court of LordLyon)Historic ScotlandHM Inspectorate of EducationMental Health Tribunal for ScotlandNational Archives of ScotlandScottish Agricultural Science AgencyScottish Building Standards AgencyScottish Courts ServiceScottish Fisheries Protection AgencyScottish Prison ServiceScottish Public Pensions AgencySocial Work Inspection AgencyStudent Awards Agency for ScotlandTransport Scotland
Non Ministerial Departments (NMOs):
Registers of ScotlandOffice of the Charity Regulator
Others (includina proposed oraanisations):
Crown Office and Procurator Fiscal ServiceRoad Safety ScotlandScottish Prisons Complaints CommissionerStandards Commission for ScotlandVetting and Barring Agency (proposed organisation)Waterwatch Scotland
ANNEX F GLOSSARY OF TERMS
Assets
Rights or other access to future economic benefits controlled by an entity as a resultof past transactions or events. Fixed Assets are assets with an expected life ofmore than 1 year held for use on a continuous basis e.g. land and buildings.
Scottish Public Finance Manual
The Scottish Public Finance Manual (SPFM) is issued by Scottish Ministers toprovide guidance to the Scottish Government and other relevant bodies on theproper handling and reporting of public funds.
Scottish Public Sector Property website (www.scottish-propertV.Qov.uk)
The Facilities and Estates Services Division of the Scottish Government operatesthis website "Scottish Government Property Pages" on behalf of Scottish Ministers.Its purpose is to help participating Scottish public sector bodies dispose of theirsurplus properties quickly and efficiently, and to help potential buyers locate who ismarketing particular surplus properties.
Core estate
This is the estate managed directly by Facilities and Estates Services.
BudQet holder
An individual formally authorised to commit and be responsible for expenditure onbehalf of an organisation and the government, in accordance with internalaccounting rules and regulations and statutory requirements.
The 'Green Book'
This is the central point for access to guidance on the economic assessment ofspending and investment and to related guidance including the preparation ofbusiness cases for the public sector. The Green Book methodology should be usedto make an economic assessment of the social costs and benefits of all new policiesprojects and programmes including the economic assessment of regulations underregulatory impact analysis. As recommended by the Green Book all spendingproposals should be accompanied by a proportionate and well structured businesscase.
The Green Book provides an overall methodology for economic assessment.
Net Present Value
The discounted value of a stream of either future costs or benefits. The term NetPresent Value is used to describe the difference between the present value of astream of costs and a stream of benefits.
Section 75
Planning agreements, under Section 75 of the Planning Act in Scotland, allowplanning authorities to enter into a legal agreement with any person with an interestin the land for the purpose of restricting or regulating the development or use of land.The agreement may last indefinitely or for a certain period and contain financialrequirements.
Finance Guidance Note
Finance Guidance Notes (FGNs) are issued on behalf of the Scottish Ministers aseither stand alone guidance or in order to announce substantive amendments to theScottish Public Finance Manual (SPFM).
Infrastructure Investment Group
Senior management group responsible for strategic infrastructure delivery andinvestment issues.
ePIMS
The Office of Government Commerce's electronic Property Mapping Service is adatabase of Government's civil estate occupations. It displays the precise locationand outline of departments' properties, holdings and occupations on computerisedmaps and is available over the Government Secure Internet.
MOTO
Memorandum of Terms of Occupation is an administrative term describing astandard internal agreement between government departments.
NIA (Net Internal Area)
Royal Institution of Chartered Surveyors' Code of Measuring Practice: The useablearea within a building measured to the internal face of the perimeter walls at eachfloor level.
Annex G Action plan for recommendations
Finance colleagues 30 April 2008
Efficiency Business Plan . Efficientlead individuals and Governmentefficiency project portfolio managersmanagers to bereminded of potentialgains from improvementsin asset managementOngoing work to identifythe best opportunities for- e.g. maximising use ofworkspace anddevelopment potential -from scrutiny of assetmanagement plan anddata from ePIMS
Action RequiredTo write to all ChiefExecutiveslleadindividuals of all parts ofSG requesting an assetmanagement plan to bedrawn UP and submitted.
2. To maintain a Data collected from thismandatory, single, Review to be transferredcomprehensive property onto ePIMS.information database. Ongoing maintenance
and updating whenever aproperty event occurs.To consult with estatemanagers andaccountable officers inall parts of ScottishGovernment.
Recommendation1. To ensure all parts ofScottish Governmenthave an AssetManagement Plan inplace.
3. To agree a set ofroles, responsibilitiesand expectations for themanagement of assets,and to identify an assetmanagement championon the Strategic Board.4. To ensure that themandatory proceduresin place within theSPFM and TreasuryGreen Book for disposalof surplus or vacantproperty and foracquisitions are knownand adhered to.5. To implement the useof agreed, standardisedperformance targets andbenchmarking criteriafor land/buildings to helpachieve continuousimprovement in theperformance of theestate.6. To promote the use offinancial assetmanagement incentives.
7. To ensure all parts ofScottish Governmentconsider appropriatepotential developmentand improvementopportunities.
To issue a FinanceGuidance Note (FGN) toall accountable officers toremind them of theirresponsibilities under theSPFM.
To consider and agreeappropriate performanceparameters andbenchmarking indicatorsin conjunction withexternal work on thesecriteria already ongoing.
Action byProperty AdviceDivision (PAD)colleagues.
PAD colleagues.
Colleagues in allparts of SGPAD/Facilities andEstates Servicescolleagues.
PAD,FES, EG andGreener ScotlandDirectoratecolleagues
PAD colleagues
Target Date30 April 2008
30 April 2008
30 April 2008
To be in placeby financialyear 2009-10and ongoing
Ongoing
Ongoing
Recommendation Action Required Action by Target Date8. To undertake a Cabinet Secretary for Environment, Endfurther Review of the Environment to Planning Decembermanagement commission a senior directorate and 2008arrangements and official to lead the PAD colleagues toissues concerning the Review carry out review.rural and undevelopedland estates held byScottish Ministers.
