(Follow Up) Review of Estate Management 2021 (P.A.C.3/2021): Executive Response

Report Section

Recommendation number

Advice and Recommendation

Accept/Reject

Comments

Recommendation Target Date

Regeneration Steering Group (RSG)

RECOMMENDATION 1

The Regeneration Steering Group should, without delay, review its membership and update its Terms of Reference, encompassing:

• its relevance to, and alignment with, all aspects of Public Estate acquisition, disposal, repurposing and management, referencing the drivers of' and triggers for, all Public Estate activities

• its place in the governance structure of the Government, including (but not limited to) its relationship with States Owned Entities, Arms-Length Organisations and the Corporate Asset Management Board

• a clear and objective referral and decision-making process for property/land through the governance structure, based on clearly understood criteria, such as size, cost and/or strategic importance in the Public Estate

Accept

RSG review has taken place in the form of a series of interviews with Members and key stakeholders.

The feedback and responses from the interviews have been consolidated.

Key findings and common themes have been identified, together with a series of recomendations brought forward.

Implementation of recommendations commence

October 2021

October/November 2021

November 2021

December -January 2022

Regeneration Steering Group (RSG)

RECOMMENDATION 2

The Regeneration Steering Group should present to the States Assembly its updated membership, function, role, responsibilities, aims and objectives.

Accept

As a follow on from R1, the outcome of key findings and recommendations will be presented to States members.

February 2022

Regeneration Steering Group (RSG)

RECOMMENDATION 3

Mechanisms should be put in place to monitor and track the overall effectiveness of the Regeneration Steering Group to ensure it is fulfilling its agreed role and is providing value for money

Accept

As an outcome of the review this will be implimented as part of the recommendations action plan timetable

March 2022

Corporate Asset Management Board (CAMB)

RECOMMENDATION 4

The Corporate Asset Management Board (or its replacement senior officer-led body) should define and establish its relationship with departments (including non-Ministerial), States-Owned Entities, Arms-Length Organisations, and the Regeneration Steering Group in respect of its core function to co-ordinate, prioritise allocate and develop the property needs of the various elements of the Government'

Partly accept

The CAMB's current terms of reference predominantly relate to the delivery and support of the assets under the Island property estate strategy. CAMB has limited ability to affect ALBs as their assets are managed under their own governance structures and have their

own strategies applied to them. There is however a positive and active relationship with the ALB's in respect of dicussions around those sites and assets which are considered for transfer to the ALB's. This is on track with relationships being defined and co-ordinated with the work underway to redefine the function of the RSG.

March 2022 - RSG review (See R1)

Corporate Asset Management Board (CAMB)

RECOMMENDATION 5

The Corporate Asset Management Board should demonstrate centralised leadership and proactivity by establishing a clear delegation of authority' to incorporate all aspects of States Estate acquisition, disposal and management.

Partly accept

CAMB has been established as the delegated authority under clear executive and political oversight, and has delivered co-ordinated and agreed recommendations on operational property assets, which demonstrates centralised leadership on the dispoal and acquisition of assets. The recommendation cannot be fully accepted as CAMB delegated recommendations are then reviewed by the States Assembly under standing order 168 for approval.

Ongoing

Corporate Asset Management Board (CAMB)

RECOMMENDATION 6

The Corporate Asset Management Board (or its replacement) should, as a matter of urgency, consider how to function as the body charged with delivering the Corporate Asset Management Plan and ensuring effective implementation of the Estate Strategy.

Accept

The development of corporate asset management plans will be driven by all of the stakeholders, in the context of the agreed Island and Government plans. The delivery of asset management plans is a primary function of CAMB and is clearly set out in the CAMB terms of reference. The effectiveness of this core activity will be reviewed and changes will be put in place should it not be performing as intended.

Q1 2022 Ongoing

Corporate Asset Management Board (CAMB)

RECOMMENDATION 7

The Terms of Reference, clarifying and updating the function, roles and responsibilities of CAMB (or its replacement), stating its aims and objectives, should be presented to the States and published thereafter.

Accept

The terms of reference for CAMB (or it's replacement) will be presented to the States Assembly and then published.

Q1 2022

Corporate Asset Management Board (CAMB)

RECOMMENDATION 8

Mechanisms should be put in place to monitor and track the overall effectiveness of the Corporate Asset Management Board to ensure it is fulfilling its agreed to role and is providing value for money

Accept

CAMB will establish and publish an annual "State of the Estate" report that will monitor the key performance indicators of the objectives set out in the in the Island Property Eestate Strategy.

Q1 2022

Rationalisation of the Public Estate and Implementation

of Strategy

RECOMMENDATION 9

A coherent and objective rationale for the acquisition, disposal of and management of the property in the Public Estate must be established.

Accept

The Public Estate strategy and related asset and management plans, in the context of the Island and Government Plans, will provide the rationale for the acquisition, disposal of, and management of property.

Q1 2022

Report Section

Recommendation number

Advice and Recommendation

Accept/Reject

Comments

Recommendation Target Date

Rationalisation of the Public Estate and Implementation

of Strategy

RECOMMENDATION 10

The Corporate Asset Management Board should, as a matter of urgency, develop a 5-year asset management plan, which would describe the tactical elements, that is, the intent for any property, drawing from the Common Strategic Policy and/or the Government Plan and other initiatives such as Putting Children First' and the Wellbeing programme, where progress against the Estate Strategy would be monitored on an annual basis.

Accept

See recommendation no.6, although it is more appropriate for the the Asset Management Plan timeframe to be coordinated wth the 4- year government planning cycle.

Q1 2022-ongoing

Rationalisation of the Public Estate and Implementation

of Strategy

RECOMMENDATION 11

A clear and objective referral process of property/land through the governance structure, based on clearly understood criteria, such as size, cost and/or strategic importance in the Public Estate (delegation of authority) should be included in the Terms of Reference of the Corporate Asset Management Board (or the officer led body designated to drive' the rationalisation of the Public Estate).

Partially accept

A review of the governance structure is currently underway and this will inform the criteria to be used to 'drive' the rationalisation of the public estate. A paper will be discussed and agreed at CAMB and any changes will be reflected in either updated internal policy guidance, or if necessary, the CAMB terms of reference.

Q1 2022

Rationalisation of the Public Estate and Implementation

of Strategy

RECOMMENDATION 12

Greater emphasis should be placed on advancing the Estate Management implementation plan including completion of all Asset Management Plans for all States-owned properties.

Accept

The 52 actions identified in the Island Property Estate Strategy, form the basis for the 'Estate Management implmentation plan' and the delivery of Assett Management Plans for all Government owned properties is a high priority in this plan. See also the reposne given to recommendation no.6.

Q1-ongoing

Stakeholder engagement

RECOMMENDATION 13

The DG of IHE should without delay, engage in comprehensive, consistent and regular stakeholder engagement, in order to determine their needs, as well as to ensure that any future acquisition, disposals or improvement to properties take into account their requirements.

Partially accept

Stakeholder engagement is undertaken through the regular CAMB and ELT meetings and wider engagement will be carried out with other key stakeholders, where appropriate. It is not however within the remit of DG IHE to determine the needs of other departments, but rather to support their strategic direction and decisions where possible. This will be informed and supported by improved digital engagement with non-Ministerial and community groups and other key stakeholders, whilst the governance structures put in place with the ALO's will provide feedback on other property requirements and decisions.

Ongoing

States of Jersey Development Company (SOJDC)

RECOMMENDATION 14

In using the SOJDC-commissioned review to inform whether it should remain the appropriate vehicle' to deliver the Government's property and asset objectives, the Government should be mindful of the potential for bias.

Partially Accept

The ALBOB provides a level of oversight to ensure that no such bias exists.

Q1 2022 - check

States of Jersey Development Company (SOJDC)

RECOMMENDATION 15

The Executive should undertake to review the purpose and aims of the States

of Jersey Development Company in line with the C&AG's recommendations by Q1 2022.

Accept

The Minister for Treasury and Resources is planning to initiate exactly such a review after the outcomes of the work of Jersey Property Holding and SoJDC is complete. This will be a wide rangin assessment of the original intentions of P.73/2010 to determine the most appropriate vehicle for the ongoing delivery of Government's property and asset objectives.

g

Q1 2022

States Owned Entities (SOEs)

RECOMMENDATION 16

The role of the Arms-Length Organisations Oversight Board (ALBOB) in respec of the implementation of the Estate Strategy should be clarified immediately.

t

Reject

The ALBOB has a limited role in the implementation of the Island Property Eestsate Strategy as the property that has been allocated

to Ports, SoJDc and Andium is specifically identified as having to be used for commercial benefit, and the provision made for community and society benefit is indirect.

None

States Owned Entities (SOEs)

RECOMMENDATION 17

The Arms-Length Organisations Oversight Board (ALBOB) should undertake a Strategic Review of States Owned Entities, at the earliest opportunity, with the aim of aligning SOE/ALO property strategy and management with the corporate landlord model. The review should focus on what parts of the States Estate should be kept, what should be sold and what should be put into regeneration or infrastructure and social housing projects.

Reject

This recommendation is rejected becuase the ALBOB does not have the remit or legal framework to overturn commercial decisions taken by the independent entity.

None

States Owned Entities (SOEs)

RECOMMENDATION 18

A Strategic Review of the responsibilities and working relationships between ALBOB, RSG and CAMB should be undertaken as soon as possible.

Partially accept

A strategic review will be part of the work already being progressed under the response to recommendation 1-3, in which the roles, resposibilities and relationships between CAMB, the RSG and ALB are covered.

March 2022

B O

Departmental TOMs and Estate Management

RECOMMENDATION 19

The role and responsibilities of Jersey Property Holdings should be revised as soon as possible, with particular regard to clarifying its expected role in the implementation of the Estate Strategy.

Partially accept

The implementation of the new JPH TOM structure review has been developed to specifically support the delivery of the poperty strategy. Once the transfer in of those elements of the portfolio that are currently outside the JPH portfolio is completed, it will then be appropriate to carry out a review of the roles and responibilities of JPH.

2023