Ebbsfleet Development Corporation
Framework Document
October 2015
Foreword
This Framework Document (“the Framework”) governs the financial and management processes of Ebbsfleet Development Corporation (“Ebbsfleet DC”). The document will be reviewed at regular intervals by DCLG in consultation with Ebbsfleet DC. The review process will take place as follows:
· The Framework will be reviewed within the first 12 months of Ebbsfleet DC’s operation with the intention of ensuring it provides a strong basis for it to achieve its aims and objectives.
· Ebbsfleet DC is required (in accordance with s.140 of the Local Government, Planning and Land Act 1980) to prepare a Code of Practice regarding consultations with local authorities within its first 12 months.
· The Framework will be reviewed every three years following the Cabinet Office triennial review and may be further reviewed and amended from time, including to restrict the exercise of its powers or to direct that they be exercised in a particular way. All changes must be agreed by DCLG, in consultation with Ebbsfleet DC, and all substantive changes must be endorsed by the Secretary of State for DCLG and Treasury.
· DCLG and Ebbsfleet DC will consider amendments to this document as needed through the normal sponsorship process.
Changes to the Framework will be considered at the discretion of DCLG in the light of evolving departmental policy aims, operational factors and the track record of Ebbsfleet DC. Substantive changes to the Framework must be agreed by the Secretary of State for Communities and Local Government and the Treasury.
The Framework has been drawn up by DCLG in consultation with: Dartford and Gravesham Borough Councils; Kent County Council; and the Ebbsfleet DC Board and has been agreed by the Secretary of State for DCLG and the Chief Secretary to the Treasury. The Framework lays down requirements and makes general provision related to the payment and expenditure of public money, and governs the formal relationship between Ebbsfleet DC and DCLG. The Framework is underpinned by the understanding and expectation that Ebbsfleet DC and DCLG will consult with each other and develop a close working relationship.
The Framework lays down requirements and makes general provision about governance and accountability; management and financial responsibilities; planning responsibilities and governance; budgeting; financial delegations and matters requiring DCLG consent; and matters relating to the employment of staff. The provisions of the Framework do not take precedence over any legal provisions relating Ebbsfleet DC. In the event of conflict between legal provisions and the Framework, the legal provisions will prevail.
Compliance with the Framework and wider Government guidance will be mandatory for Ebbsfleet DC and DCLG.
Any questions about the meaning or intended meaning of any provision of the Framework will be resolved by DCLG after consultation with Ebbsfleet DC and where necessary with the Treasury and the Cabinet Office.
Copies of this document and any subsequent substantive amendments will be placed in the Libraries of both Houses of Parliament. Copies will also be made available on the Government and Ebbsfleet DC websites.
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Contents
Chapter 1 / Purpose of Ebbsfleet DCChapter 2 / Accountability
Chapter 3 / Accounting Officer responsibilities
Chapter 4 / Governance and structure
Chapter 5 / Ebbsfleet DC Board members and staff
Chapter 6 / Annual report and accounts
Chapter 7 / Audit
Chapter 8 / Management and financial responsibilities
Chapter 9 / Arrangements for review
Chapter 10 / List of annexes
Annex A / Ebbsfleet DC budget delegation letter
Annex B / List of government-wide corporate guidance instructions
Annex C / List of abbreviations
Annex D / Ebbsfleet DC boundaries and sites map
Annex E / Pensions
Annex F / Ebbsfleet DC budgeting procedures
Annex G / Activities and changes requiring DCLG clearance
1 Purpose of Ebbsfleet DC
1.1. Ebbsfleet DC was established under the Local Government, Planning and Land Act 1980 (the “1980 Act”). Ebbsfleet DC’s objectives, as contained in Statutory Instrument 2015/747, are to secure the regeneration of the urban development areas designated in the statutory instrument (encompassing land within Dartford and Gravesham Borough Councils) through creation, at pace, of a new garden city for the twenty-first century.
1.2. Ebbsfleet DC brings together planning powers from Dartford, Gravesham and Kent councils vested in a single, new statutory corporation for Ebbsfleet DC to provide long-term leadership and focus for the new garden city.
1.3. Ebbsfleet DC shall, for the DC area, become the local planning authority in respect of certain planning functions in place of Dartford and Gravesham Borough Councils and Kent County Council (together the “Local Authorities”) to the extent that they exercised these functions in the DC area. It is intended that Ebbsfleet DC will help to deliver:
· A strategy for the DC area: work with local partners and local people to create a vision for the area and develop a strategy to deliver that vision. The vision for the area will be one that is supported by local people, with a coherent design and incorporating appropriate garden city design principles. The vision and the strategy must make the most of local knowledge through in-depth engagement with local people, so as to create large-scale development where people want to live and work. The vision and strategy will need to reflect uncertainties relating to individual sites and the DC will identify and develop alternatives where required.
· Homes: enable delivery of significant new residential development with high quality design standards in the DC’s area of operation. The DC will bring land into effective use, creating a coherent place that meet the needs of the area and enhances delivery and quality through innovative approaches such as custom build. The DC will ensure that residential development is consistent with the local plans.
· Investment: unblock barriers to housing and commercial development by facilitating or, where appropriate, directly provide investment in new infrastructure. Ebbsfleet DC shall identify and administer proposals for the financing and delivery of the development of the garden city with a view to maximising private sector investment and delivering value for money.
· Employment: in developing and executing its plans and activities, Ebbsfleet DC shall take account of the employment and training needs of the area including through the employment opportunities afforded by the creation of the garden city.
· Delivery: Ebbsfleet DC shall engage with local people and work with local partners and inward investors to expedite delivery of the garden city according to a clear timetable and value for money principles, accelerating housing delivery substantially beyond the pre-DC trajectory (the baseline position).
2 Accountability
2.1 Ebbsfleet DC’s powers and duties are conferred by Part XVI of the Local Government, Planning and Land 1980 Act. The DC planning powers will be granted to it by order of the Secretary of State under s.149 of the 1980 Act.
2.2 The detailed objectives and specific targets for Ebbsfleet DC will be agreed through its corporate plan, the process for which is outlined later in the document.
2.3 The Secretary of State for Communities and Local Government is accountable for Ebbsfleet DC’s business and its overall effectiveness and efficiency in Parliament.
3 Accounting Officer responsibilities
DCLG’s Accounting Officer responsibilities
3.1 The Permanent Secretary for DCLG, as DCLG’s Departmental Accounting Officer, has designated the chief executive as Ebbsfleet DC’s Accounting Officer. The respective responsibilities of the DCLG Accounting Officer and accounting officers for ALBs are set out in Chapter 3 of Managing Public Money, which is sent separately to the Accounting Officer on appointment. The DCLG Accounting Officer is responsible for advising the responsible minister:
· on an appropriate framework of objectives and targets for Ebbsfleet DC in the light of DCLG’s wider strategic aims and priorities;
· on an appropriate budget for the Ebbsfleet DC in the light of DCLG’s overall public expenditure priorities; and
· how well the Ebbsfleet DC is achieving its strategic objectives and whether it is delivering value for money.
3.2 The DCLG Accounting Officer is also responsible for ensuring arrangements are in place to:
· monitor Ebbsfleet DC’s activities, including internal controls, procurement processes, investment appraisals and corporate governance arrangements;
· ensure that arrangements are coordinated between Ebbsfleet DC and the local authorities to ensure efficient and effective administration and discharge of planning approval and related powers e.g. on compulsory purchase orders;
· address significant problems in Ebbsfleet DC, making such interventions as are judged necessary;
· periodically carry out an assessment of the risks both to DCLG and Ebbsfleet DC’s objectives and activities;
· inform Ebbsfleet DC of relevant government policy in a timely manner; and
· bring concerns about the activities of Ebbsfleet DC to the full Ebbsfleet DC Board, and, as appropriate to the departmental Board requiring explanations and assurances that appropriate action has been taken.
3.3 The ALB Sponsorship Team at DCLG is the primary contact for Ebbsfleet DC. The team is the main source of advice to the responsible minister on the discharge of his or her responsibilities in respect of Ebbsfleet DC. It also supports the DCLG Accounting Officer on his or her responsibilities in repsect of Ebbsfleet DC.
Ebbsfleet DC Accounting Officer responsibilities
3.4 The Ebbsfleet DC Accounting Officer (Chief Executive) is accountable to Parliament, DCLG and its Ministers, and the Ebbsfleet DC Board for the effectiveness and efficiency of Ebbsfleet DC.
3.5 Ebbsfleet DC’s Accounting Officer is personally responsible for:
· safeguarding all public funds for which he or she has charge;
· ensuring propriety, regularity, value for money and feasibility in the handling of all such funds;
· the day-to-day operations and management of Ebbsfleet DC;
· exercising planning responsibilities and powers subject to the designated authority of the DC’s Chief Planning Officer; and
· ensuring that Ebbsfleet DC is run on the basis of the standards, in terms of governance, decision making and financial management set out in the Framework and Managing Public Money, and all directions and guidance issued from time to time by DCLG, the Treasury and the Cabinet Office.
3.6 Ebbsfleet DC Accounting Officer’s responsibilities to Parliament include:
· ensuring that appropriate due diligence has been carried out, and appropriate internal controls are embedded before the establishment of Ebbsfleet DC, and after Statutory Instrument 2015/747 has been enacted;
· signing the accounts and ensuring that: proper accounting records are kept and that they are properly prepared and presented in accordance with any directions issued by DCLG;
· preparing and signing a Governance Statement of Accounting Officer’s responsibilities covering corporate governance, risk management and oversight of any local responsibilities, for inclusion in the annual report and accounts;
· ensuring that effective procedures for handling complaints about Ebbsfleet DC are established and made widely known;
· acting in accordance with the terms of the Framework, Managing Public Money and other instructions and guidance issued from time to time by DCLG, the Treasury and the Cabinet Office;
· ensuring that proper arrangements are in place to fulfil all requirements in relation to Freedom of Information, personal and corporate data security and the Equality Act 2010; and
· giving evidence, normally with the DCLG Accounting Officer, when summoned before the Committee of Public Accounts (PAC) on the stewardship of public funds by Ebbsfleet DC.
3.7 The Ebbsfleet DC Accounting Officer is responsible to DCLG for:
· establishing, in agreement with DCLG, Ebbsfleet DC’s corporate and business plans in the light of DCLG’s wider strategic aims and agreed priorities;
· ensuring that investment decisions and projects (including public private partnerships and joint ventures) are drawn up and implemented compatibly with HMT and DCLG policy, guidance, procedures and requirements;
· ensuring that planning decisions are considered and made in compliance with planning law, guidance and good practice;
· ensuring that corporate governance arrangements avoid or mitigate potential conflicts of interest and legal risks between DC planning and other, especially commercial, responsibilities, powers and functions including with regard to Board member and staff responsibilities and duties;
· ensuring effective and value for money application of investment and grant;
· ensuring that timely forecasts and monitoring information on performance and finance are provided to DCLG in the format, deadlines and in the level of detail agreed between the parties;
· ensuring that DCLG is notified promptly if over-or under-spends are likely and that corrective action is taken; and
· ensuring that any significant problems, whether financial or otherwise, are immediately notified to DCLG with proposals to address them where possible.
3.8 The Ebbsfleet DC Accounting Officer is responsible to the Board for:
· advising on the discharge of Ebbsfleet DC Board’s responsibilities as set out in this Framework, in the relevant legislation and in any other relevant instructions and guidance that may be issued by DCLG from time to time;
· advising on Ebbsfleet DC’s performance and progress towards meeting its aims and objectives;
· ensuring that all public funds made available to Ebbsfleet DC, including money from sources other than DCLG, are used for the purpose of discharging Ebbsfleet DC’s functions, and that such moneys, together with Ebbsfleet DC’s assets, equipment and staff, are used economically, efficiently and effectively;
· ensuring that Ebbsfleet DC complies with the provision on state aid in Managing Public Money;
· ensuring that all material, relevant financial considerations are taken fully into account by the Ebbsfleet DC Board at all stages in reaching and executing its decisions as part of its governance and approval processes, and that standard financial appraisal techniques are followed using the Treasury’s Green Book, Appraisal and Evaluation in Central Government' (http://greenbook.treasury.gov.uk) to evaluate alternatives, and good quality project and programme management techniques are used to track and where necessary take corrective action;
· ensuring effective community engagement and consultation with local communities, communities, residents and businesses;
· ensuring that all planning applications and other relevant decisions by the DC’s Planning Committee (or made on their behalf using delegated powers), comply with planning law and guidance;