Business case for Knowle relocation project – 1st February 2017
Dear Ms Symington,
I would like to make a formal request under the Freedom of Information Act 2000. I am also making this request under the Environmental Impact Regulations 2004 which require disclosure on the part of Local Authorities.
This request is being made with reference to the FOI/EIR request https://www.whatdotheyknow.com/request/b...
Following on from the decision by the DMC of 6th December 2016: http://eastdevon.gov.uk/media/1950383/06...
And following on from the decisions of the Cabinet on 14th December: http://eastdevon.gov.uk/media/1958483/14...
And following on from the publication of the contract for Knowle on 3rd January: http://eastdevon.gov.uk/news/2017/01/sta...
I would like you to provide me with the following documentation:
> The current business case which reflects the costs of the project as they stand right now (1st February 2017).
> The proper impact assessment which reflects the considerable changes to the scope of the project.
> The formal change management process which reflects the changes to the project.
> An assessment of the general financial risks and the rationale for decisions made, with reference to:
– the relocation of departments, as decided, to premises at Exmouth and Manstone; and, as planned, to the new HQ in Honiton;
– the lack of certainty and clarity as to how to finance these stages, following the failure to secure planning permission for the Knowle site.
> An assessment of any specific financial risks and the rationale for decisions made, for example:
– the updating of refurbishment costs for Exmouth Town Hall;
– estimates for staff relocation costs, TUPE conditions for staff reimbursement and any moving costs;
– the mothballing of parts of the current Knowle HQ.
> Any recent surveys which have been carried out to determine the above.
> The model prepared by Grant Thornton which was reviewed by Members before the vote to postpone the project was made in March 2015.
> [And if this is a different document] “The business case by the Audit and Governance Committee and external auditors Grant Thornton” as referred to in the agenda of the Scrutiny Cttee of 2nd February 2016: http://eastdevon.gov.uk/media/1985871/02...
> A demonstration of the current status of Gateway 7 of the project, specifically with regard to the decision by the DMC of 6th December 2016 and the failure to secure planning permission for the Knowle site.
> The case for “decoupling” relocation to Exmouth from the relocation to Honiton, which is not allowed for under Gateway 7 of the project; the case for separating the two into distinct projects to pass through Gateway 7, each with its own governance; and the checks and systems to ensure that the business case for each new stand-alone project is still valid.
> A demonstration that there is a net positive benefit on a formal business case for both the Exmouth and Honiton projects.
> A demonstration that the project is complying with best practice for Gateway Reviews, which “assist the delivery of … procurement projects in local government”, whose “use is recommended in the Efficiency Review and the National Procurement Strategy” and which highlight the need to “Develop [a] business case”– for example: https://www.whatdotheyknow.com/request/3...
I look forward to hearing from you.
Yours sincerely,
Jeremy Woodward
Dear Ms Symington,
I would like you to provide me with the documentation I have requested in electronic form.
I would also like to be provided with any computer models which are available, in particular “the business case by the Audit and Governance Committee and external auditors Grant Thornton”.
Thank you.
Yours sincerely,
Jeremy Woodward
Thank you for submitting a request for information. We will respond to your request as quickly as possible, within the 20 working day statutory deadline under the Freedom of Information Act 2000.
For updates on this case, please quote your unique reference number 101000680899 .
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Mr Woodward
Thank you for your request for information. Please find our response
below:
The current business case which reflects the costs of the project as they
stand right now (1st February 2017).
In addition to the information we provided in response to your recent
similar request, in which we reiterated that there is no file entitled
‘Business Case’, we assume you are essentially after the most up to date
costs of the project. Accordingly, please find attached the latest cost
report currently available (as at 31^st December). You will note that
there have been some redactions to the figures. This is to reflect the
fact that these figures are not yet subject to contract and the disclosure
of this detail, at this point in time, would weaken the council’s
negotiating position and our ability to achieve best value. This
information is exempt from disclosure under Reg 12(5)(e) of the
Environmental Information Regulations.
The proper impact assessment which reflects the considerable changes to
the scope of the project.
There have been no “considerable changes to the scope of the project” and
so we are unsure precisely the type of information you are seeking here.
If you would like to clarify this element of your request, we can then
perhaps refine our information search.
The formal change management process which reflects the changes to the
project.
There is no ‘change management process’ which is generally speaking
phraseology associated with commercial contracts where parties may need to
change the scope of what was agreed between them. Any changes or
developments to the process are documented in the minutes of the officer
relocation group, executive board, project reports and reports to Cabinet.
Minutes up to September 2016 are available here
[1]http://eastdevon.gov.uk/access-to-inform...
and minutes up to December 2016 will be published online in early April
2017, and will continue to be updated on a quarterly basis thereafter.
An assessment of the general financial risks and the rationale for
decisions made, with reference to:
– the relocation of departments, as decided, to premises at Exmouth and
Manstone; and, as planned, to the new HQ in Honiton; – the lack of
certainty and clarity as to how to finance these stages, following the
failure to secure planning permission for the Knowle site.
The Cabinet report of December 2016
[2]http://eastdevon.gov.uk/media/1950011/it...
provided an update specifically referencing Exmouth Town Hall. Again,
minutes up to September 2016 for the office relocation group and executive
group are available online and more recent minutes are due for future
publication in line with the timescale above.
An assessment of any specific financial risks and the rationale for
decisions made, for example:
– the updating of refurbishment costs for Exmouth Town Hall; – estimates
for staff relocation costs, TUPE conditions for staff reimbursement and
any moving costs; – the mothballing of parts of the current Knowle HQ.
Refurbishment costs for Exmouth Town Hall and staff relocation costs
[3]http://eastdevon.gov.uk/media/1950011/it...
No information is currently held with regard to the financial risks and
rationale for mothballing parts of the current Knowle HQ.
Any recent surveys which have been carried out to determine the above.
No recent surveys are held.
The model prepared by Grant Thornton which was reviewed by Members before
the vote to postpone the project was made in March 2015.
It is presumed you mean ‘proceed with’ rather than ‘postpone’. This matter
is currently the subject of a complaint you have made to the Information
Commissioner. We have explained that the council owns the rights to this
computer model. It is a working model which, if printed in its entirety,
would run into approximately 8000 pages and it is really only practical to
view the model on-screen. Within the model is commercially confidential
detail identifying budgeted construction costs for the new build offices
in Honiton – which have not yet been subject to contract and which have
been subject to a decision by the ICO already
[4]https://ico.org.uk/media/action-weve-tak...
The purpose of the model is to produce outputs which have been reported to
committee. The model would not make very much sense to the untrained eye
and, as a live working model, we would be concerned about allowing access
to the public who could inadvertently make changes which would be
extremely difficult to detect and rectify. Once contracts have been
awarded for this work, we would be happy to allow Mr Woodward to view the
model here at the council offices, should he wish to.
To clarify our position in terms of this model, to extract commercially
confidential data would take an unreasonable amount of time, if indeed it
would be possible to do so. We estimate that this work would take at least
3 days possibly longer and, even then, the model would not be accurate /
function correctly, nor could we be sure that all confidential data has
been removed.
As the outputs from the model have been reported publicly, we do not see
that there is significant public interest in viewing this very complex
background working model.
[And if this is a different document] “The business case by the Audit >
and Governance Committee and external auditors Grant Thornton” as referred
to in the agenda of the Scrutiny Cttee of 2nd February 2016:
[5]http://eastdevon.gov.uk/media/1985871/02....
This is not a different document.
A demonstration of the current status of Gateway 7 of the project,
specifically with regard to the decision by the DMC of 6th December 2016
and the failure to secure planning permission for the Knowle site.
No demonstration of this is currently held and we are not obliged to
create new information in order to respond to this request.
The case for “decoupling” relocation to Exmouth from the relocation to
Honiton, which is not allowed for under Gateway 7 of the project; the case
for separating the two into distinct projects to pass through Gateway 7,
each with its own governance; and the checks and systems to ensure that
the business case for each new stand-alone project is still valid.
Information regarding the decision to bring the relocation to Exmouth
forward can be found here
[6]http://eastdevon.gov.uk/media/1950011/it...
A demonstration that there is a net positive benefit on a formal business
case for both the Exmouth and Honiton projects.
No information which constitutes a demonstration of this is held over and
above the regular minutes and project reports which are referred to
elsewhere and we are not obliged to create new information in order to
respond to this request.
A demonstration that the project is complying with best practice for
Gateway Reviews, which “assist the delivery of … procurement projects in
local government”, whose “use is recommended in the Efficiency Review and
the National Procurement Strategy” and which highlight the need to
“Develop [a] business case”– for example:
[7]https://www.whatdotheyknow.com/request/3...
Gateway%20Review%20Guidance.pdf
No information held
I hope this information is helpful but if you feel dissatisfied with our
response and would like to request an internal review, please contact our
Monitoring Officer, Henry Gordon Lennox, at
[8][email address]
You may also approach the Information Commissioner for advice at
[9]www.ico.org.uk
Regards
Kate
Mrs Kate Symington
Information and Complaints Officer
East Devon District Council
01395 517417
[10]www.eastdevon.gov.uk
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References
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3. http://eastdevon.gov.uk/media/1950011/it...
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5. http://eastdevon.gov.uk/media/1985871/02...
6. http://eastdevon.gov.uk/media/1950011/it...
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Dear Ms Symington,
Please pass this on to the person who conducts Freedom of Information reviews.
I am writing to request an internal review of East Devon District Council's handling of my FOI request 'Business case for Knowle relocation project – 1st February 2017'.
I find the response of 28th February inadequate on the following grounds:
> The current business case which reflects the costs of the project as they stand right now (1st February 2017).
> Your response of 28th February:
“In addition to the information we provided in response to your recent similar request, in which we reiterated that there is no file entitled ‘Business Case’, we assume you are essentially after the most up to date costs of the project. Accordingly, please find attached the latest cost report currently available (as at 31^st December). You will note that there have been some redactions to the figures. This is to reflect the fact that these figures are not yet subject to contract and the disclosure of this detail, at this point in time, would weaken the council’s negotiating position and our ability to achieve best value. This information is exempt from disclosure under Reg 12(5)(e) of the Environmental Information Regulations.”
> Whilst it is not within the scope of a FOI request to query whether or not there should be a specific “file entitled ‘Business Case'”, I would nevertheless claim that the attached “latest cost report” does not reflect the “Business Case”.
> Furthermore, I must challenge the redactions and the reasons you stipulate; the fact is that you have released the PegasusLife contract which you had earlier refused to do so for the same reasons, namely that it “would weaken the council’s negotiating position and our ability to achieve best value.”
> The proper impact assessment which reflects the considerable changes to the scope of the project.
> Your response of 28th February:
“There have been no “considerable changes to the scope of the project” and so we are unsure precisely the type of information you are seeking here. If you would like to clarify this element of your request, we can then perhaps refine our information search.”
> If I might clarify: by “considerable changes to the scope of the project”, I mean that now that the sale of Knowle has been delayed due to the refusal of the DMC to grant PegasusLife planning permission in December 2016, there should be consideration undertaken by the Council as to the impact of this event on its relocation project.
> The formal change management process which reflects the changes to the project.
> Your response of 28th February:
“There is no ‘change management process’ which is generally speaking phraseology associated with commercial contracts where parties may need to change the scope of what was agreed between them. Any changes or developments to the process are documented in the minutes of the officer relocation group, executive board, project reports and reports to Cabinet. Minutes up to September 2016 are available here
[1]http://eastdevon.gov.uk/access-to-inform...
and minutes up to December 2016 will be published online in early April 2017, and will continue to be updated on a quarterly basis thereafter.”
> Whilst I cannot understand why such formal change management process procedures are not undertaken by the council, I would like to ask why the council does not publish the minutes of the officer relocation group, executive board, project reports and reports to Cabinet as and when they are produced, rather than delayed by several months.
> An assessment of the general financial risks and the rationale for decisions made, with reference to:
– the relocation of departments, as decided, to premises at Exmouth and Manstone; and, as planned, to the new HQ in Honiton;
– the lack of certainty and clarity as to how to finance these stages, following the failure to secure planning permission for the Knowle site.
> Your response of 28th February:
“The Cabinet report of December 2016
[2]http://eastdevon.gov.uk/media/1950011/it...
provided an update specifically referencing Exmouth Town Hall. Again, minutes up to September 2016 for the office relocation group and executive group are available online and more recent minutes are due for future publication in line with the timescale above.”
> Again, I would ask why the council does not publish the minutes of the officer relocation group, executive board, project reports and reports to Cabinet as and when they are produced, rather than delayed by several months.
> This question only addresses the Exmouth Town Hall premises – and not “the general financial risks and the rationale for decisions made, with reference to the relocation of departments, as decided, to premises at Manstone; and, as planned, to the new HQ in Honiton.” I would like you to provide me with these.
> Furthermore, you do not provide “an assessment of the general financial risks and the rationale for decisions made, with reference to the lack of certainty and clarity as to how to finance these stages, following the failure to secure planning permission for the Knowle site.” Again, I would like you to provide me with these. Thank you.
> An assessment of any specific financial risks and the rationale for decisions made, for example:
– the updating of refurbishment costs for Exmouth Town Hall;
– estimates for staff relocation costs, TUPE conditions for staff reimbursement and any moving costs;
– the mothballing of parts of the current Knowle HQ.
> Your response of 28th February:
“No information is currently held with regard to the financial risks and rationale for mothballing parts of the current Knowle HQ”
> Whilst it is beyond the scope of a FOI request to question why such documentation has not been compiled, you fail to provide me with “an assessment of any specific financial risks and the rationale for decisions made, for example: estimates for staff relocation costs, TUPE conditions for staff reimbursement and any moving costs.” I would like you to provide me with these. Thank you.
> Any recent surveys which have been carried out to determine the above.
> Your response of 28th February:
“No recent surveys are held.”
> I must accept your response.
> The model prepared by Grant Thornton which was reviewed by Members before the vote to postpone the project was made in March 2015.
> Your response of 28th February:
“It is presumed you mean ‘proceed with’ rather than ‘postpone’. This matter is currently the subject of a complaint you have made to the Information Commissioner. We have explained that the council owns the rights to this computer model. It is a working model which, if printed in its entirety, would run into approximately 8000 pages and it is really only practical to view the model on-screen. Within the model is commercially confidential detail identifying budgeted construction costs for the new build offices in Honiton – which have not yet been subject to contract and which have been subject to a decision by the ICO already
[4]https://ico.org.uk/media/action-weve-tak...
The purpose of the model is to produce outputs which have been reported to committee. The model would not make very much sense to the untrained eye and, as a live working model, we would be concerned about allowing access to the public who could inadvertently make changes which would be extremely difficult to detect and rectify. Once contracts have been awarded for this work, we would be happy to allow Mr Woodward to view the model here at the council offices, should he wish to.
To clarify our position in terms of this model, to extract commercially confidential data would take an unreasonable amount of time, if indeed it would be possible to do so. We estimate that this work would take at least 3 days possibly longer and, even then, the model would not be accurate / function correctly, nor could we be sure that all confidential data has been removed.
As the outputs from the model have been reported publicly, we do not see that there is significant public interest in viewing this very complex background working model."
> You state that it would be extremely onerous for the council to produce this document; and yet could you explain how the council was able to allow Members to review the model prepared by Grant Thornton before the vote to proceed with the project was made in March 2015?
> [And if this is a different document] “The business case by the Audit and Governance Committee and external auditors Grant Thornton” as referred to in the agenda of the Scrutiny Cttee of 2nd February 2016: http://eastdevon.gov.uk/media/1985871/02...
> Your response of 28th February:
“This is not a different document.”
> I would therefore like to ask in what way was this document considered to be “the business case”?
> A demonstration of the current status of Gateway 7 of the project, specifically with regard to the decision by the DMC of 6th December 2016 and the failure to secure planning permission for the Knowle site.
> Your response of 28th February:
“No demonstration of this is currently held and we are not obliged to create new information in order to respond to this request.”
> Again, whilst it is beyond the scope of a FOI request to question why such documentation has not been compiled, could you nevertheless provide me with the procedures for reviewing the status of any Gateway, should such a Gateway be put into any doubt due to unexpected events. Thank you.
> The case for “decoupling” relocation to Exmouth from the relocation to Honiton, which is not allowed for under Gateway 7 of the project; the case for separating the two into distinct projects to pass through Gateway 7, each with its own governance; and the checks and systems to ensure that the business case for each new stand-alone project is still valid.
> Your response of 28th February:
“Information regarding the decision to bring the relocation to Exmouth forward can be found here
[6]http://eastdevon.gov.uk/media/1950011/it...
> Whilst this does indeed provide “information regarding the decision to bring the relocation to Exmouth forward”, this document does not provide “the case for separating the two into distinct projects to pass through Gateway 7, each with its own governance; and the checks and systems to ensure that the business case for each new stand-alone project is still valid.” I would like you to provide me with these. Thank you.
> A demonstration that there is a net positive benefit on a formal business case for both the Exmouth and Honiton projects.
> Your response of 28th February:
“No information which constitutes a demonstration of this is held over and above the regular minutes and project reports which are referred to elsewhere and we are not obliged to create new information in order to respond to this request”.
> Again, whilst I find it extraordinary that the council has not carried out such an exercise, I must accept your response.
> A demonstration that the project is complying with best practice for Gateway Reviews, which “assist the delivery of … procurement projects in local government”, whose “use is recommended in the Efficiency Review and the National Procurement Strategy” and which highlight the need to “Develop [a] business case”– for example: https://www.whatdotheyknow.com/request/3...
> Your response of 28th February:
“No information held”
> Again, whilst I find it extraordinary that the council has not carried out such an exercise, I must accept your response.
A full history of my FOI request and all correspondence is available on the Internet at this address: https://www.whatdotheyknow.com/request/b...
Yours sincerely,
Jeremy Woodward
Dear Mr Woodward,
Thank you for submitting a request for an internal review. We will respond to your request where reasonably possible, within 20 working days.
For updates on this case, please quote your unique reference number 101000706348.
Yours sincerely,
Sara
Ms S Harvey
Information and Complaints Officer
East Devon District Council
01395 571659
www.eastdevon.gov.uk
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Mr Woodward,
I am sorry that you feel dissatisfied with our previous response to your
request. I have pulled out from your email the key points you have raised
and answer them, in turn, below:
Whilst it is not within the scope of a request to query whether or not
there should be a specific file entitled “business case”, I would claim
that the latest cost report does not reflect the business case
Your request specifically asked for the current business case “which
reflects the costs of the project as they stand right now” and so we have
provided you with the most up to date cost report, In addition to this we
have previously provided you with information which we believe constitutes
the business case for this project dating back to the project’s inception.
We are not sure what more detail you feel is held which has not been
disclosed and would ask that you be as specific as you can be in
requesting further documentation. As far as we are concerned, and using a
definition of “business case” passed to us by the Information
Commissioner, we have provided all information held falling within the
scope of your request.
In addition to our previous response, we now also have available this
report
[1]http://eastdevon.gov.uk/media/2057626/co...
which outlines the reasons for the project and the current position. This
report was not held at the time of your original request but does provide
useful additional detail now. This also covers your query regarding
‘considerable changes to the project’ although I can confirm that there is
no document that would be considered an ‘impact assessment’ which is held.
I must challenge the reasons you stipulate (for withholding information)
as the Pegasus Life contract has now been disclosed and this was
previously withheld for the same reasons
The Pegasus Life contract was disclosed once it became clear that it would
not become unconditional in the near future ( i.e. because planning
permission had been refused). The figures we have withheld in respect of
this request relate to construction costs and are not yet subject to
contract. So, if we were to disclose them at this point in time, our
negotiating position would be severely weakened. We maintain that this
information is commercially confidential under Reg 12(5)(e) of the
Environmental Information Regulations. The information you have requested
is very similar in nature (if not the same) as the information the subject
of ICO Decision FER0608237, issued on 25^th October 2016, in which the ICO
upheld our application of this exemption. As with all information relating
to the re-location project, our stated intention is to publish, in full,
at appropriate project milestones.
I would like to ask why the council does not publish the minutes of the
officer relocation group, executive board, project reports and reports to
Cabinet as and when they are produced, rather than being delayed by
several months.
Notwithstanding the reasons that have been provided for withholding
commercial information at key points in the project, this question does
not fall within the scope of the FOI Act. Your request did not ask for any
specific set of minutes or reports and moreover you are asking for
explanation not information.
Please provide me with the general financial risks and rationale for
decisions made with reference to the relocation of departments to premises
at Manstone and to the new HQ in Honiton.
This effectively is the same as and forms part of the business case and I
refer you to information previously provided.
Please provide me with an assessment of the general financial risks and
the rationale for decisions made following the failure to secure planning
permission for the Knowle site
In addition to our previous response, this report
[2]http://eastdevon.gov.uk/media/2057626/co...
(which was not held at the time of your request) outlines the next stages
in the project and seeks Member decisions in terms of which specific
project options to pursue in the light of the refusal of planning
permission for the Knowle.
Please provide me with cost estimates for staff relocation costs, TUPE
conditions for staff reimbursement and any moving costs
The costs for relocating staff physically are contained within the overall
relocation budget. While the TUPE Regulations do not apply, there is a sum
of £200k in the budget to cover the expenses claims from those members of
staff entitled to claim for increased travel due to relocation, which I
believe you have been advised of previously.
Can you explain how the council was able to allow Members to review the
Grant Thornton model before the vote to proceed with the project was made
in March 2015?
This is not within the scope of your request as it requires an explanation
not provision of information.
I would like to ask in what way the document provided was considered to be
the business case
We have explained the definition we have used in determining the business
case. If there are specific documents which you feel we hold which also
fall within the scope of your request, but which have not been disclosed,
please let me know.
Can you provide me with the procedures for reviewing the status of any
gateway
This did not form part of your original request.
Please provide the case for decoupling the Exmouth and Honiton element of
the projects into two distinct projects
We have provided you with a report to Cabinet which outlines the reasons
for the decision to bring the relocation to Exmouth forward. It is not so
much a case for “decoupling” the two elements of the project but, for the
reasons stated in the report, it made sense to accelerate progress with
the move of some staff to Exmouth. As above, this report
[3]http://eastdevon.gov.uk/media/2057626/co...
does provide useful additional detail.
I hope this is helpful but if you remain dissatisfied with our response to
your request, you may refer the matter to the Information Commissioner
[4]www.ico.org.uk.
Yours sincerely,
HENRY GORDON LENNOX
Monitoring Officer
East Devon District Council
Tel: 01395 517401
Ext: 2601
Email: [email address]
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Dear Mr Gordon Lennox,
Thank you for the response.
I shall come back to you should I need any further clarification.
Yours sincerely,
Jeremy Woodward
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