Public Audit (Wales) Bill [HL]

House of Commons

Session 2003 - 04
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Public Audit (Wales) Bill [HL]

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 2 — Studies and performance standards
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(4)
A person guilty of an offence under subsection (3) is liable on summary
conviction to a fine not exceeding level 3 on the standard scale.
(5)
Subsection (6) applies if—
(a)
a person is convicted of committing an offence under subsection (3) in
relation to a body, and
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(b)
expenses are incurred by an auditor in connection with proceedings for
the offence.
(6)
The expenses may be recovered from the convicted person or the body, to the
extent that they are not recovered from any other source.
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Documents relating to police authorities
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(1)
If the Auditor General for Wales receives a copy of a report under section 22(5)
or (6) and the report relates to a police authority for a police area in Wales, he
must send a copy of the report to the Secretary of State and the Assembly.
(2)
If the Auditor General for Wales has sent a document (or a copy of a document)
relating to one or more police authorities for police areas in Wales to a police
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authority for a police area in Wales, he may send a copy of the document to the
Secretary of State and the Assembly.
Chapter 2
Studies and performance standards
Studies
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41
Studies for improving economy etc in services
(1)
The Auditor General for Wales must for each financial year undertake or
promote studies designed to enable him to make recommendations—
(a)
for improving economy, efficiency and effectiveness in the discharge of
the functions of best value authorities in Wales;
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(b)
for improving economy, efficiency and effectiveness in the provision of
services provided by other local government bodies in Wales;
(c)
for improving the financial or other management of local government
bodies in Wales.
(2)
The studies which the Auditor General for Wales is required to undertake or
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promote under subsection (1) include in particular—
(a)
studies designed to enable the Auditor General for Wales to determine
what directions he should give under section 47;
(b)
studies of information published in pursuance of section 47 which are
designed to enable the Auditor General for Wales to determine, in
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relation to each financial year, what comparative information to
publish himself about the standards of performance achieved by bodies
which are relevant bodies for the purposes of that section.
(3)
The Auditor General for Wales may undertake or promote other studies
relating to the provision of services by local government bodies in Wales.
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(4)
Where the Auditor General for Wales undertakes or promotes a study under
this section, he must publish or otherwise make available—

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 2 — Studies and performance standards
29

(a)
the results of the study, and
(b)
any recommendations made by him.
(5)
Before undertaking or promoting a study under this section, other than a study
of a kind mentioned in paragraph (a) or (b) of subsection (2), the Auditor
General for Wales must consult—
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(a)
any associations of local government bodies in Wales which appear to
him to be concerned, and
(b)
any associations of employees which appear to him to be appropriate.
(6)
The Auditor General for Wales and the Assembly must co-operate with each
other with respect to the exercise of their respective functions under this
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section and sections 94 and 95 of the Health and Social Care (Community
Health and Standards) Act 2003 (c. 43) (reviews, investigations and studies by
Assembly).
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Studies on impact of statutory provisions etc
(1)
The Auditor General for Wales must undertake or promote studies designed
15
to enable him to prepare reports as to the impact of —
(a)
the operation of any statutory provisions, or
(b)
any directions or guidance given by the Assembly (whether or not
under a statutory provision),

on economy, efficiency and effectiveness in the discharge of the functions of
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local government bodies in Wales.
(2)
The Auditor General for Wales must from time to time lay before the Assembly
a report of any matters which, in his opinion—
(a)
arise out of studies under this section, and
(b)
ought to be drawn to the attention of the Assembly.
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(3)
Before undertaking or promoting a study under this section, the Auditor
General for Wales must consult—
(a)
any associations of local government bodies in Wales which appear to
him to be concerned, and
(b)
any associations of employees which appear to him to be appropriate.
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(4)
The Auditor General for Wales and the Assembly must co-operate with each
other with respect to the exercise of their respective functions under this
section and section 95(2) of the Health and Social Care (Community Health and
Standards) Act 2003 (c. 43) (studies by Assembly on impact of statutory
provisions).
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43
Co-operation with Audit Commission
The Auditor General for Wales must co-operate with the Audit Commission
where it seems to him appropriate to do so for the efficient and effective
discharge of his functions under sections 41 and 42.
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Studies at request of local government bodies in Wales
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(1)
The Auditor General for Wales may, at the request of a local government body
in Wales, undertake or promote studies designed to enable him to make
recommendations for improving economy, efficiency and effectiveness in the
discharge of the functions of the body.

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 2 — Studies and performance standards
30

(2)
Before making the request the body must consult any associations of
employees which appear to it to be appropriate.
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Benefit administration studies for Secretary of State
(1)
The Auditor General for Wales may, at the request of the Secretary of State,
conduct, or assist the Secretary of State in conducting, benefit administration
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studies.
(2)
Benefit administration studies are studies designed to enable
recommendations to be made for improving economy, efficiency, and
effectiveness and quality of performance in the discharge by one or more local
authorities in Wales of functions relating to the administration of housing
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benefit or council tax benefit (or both).
(3)
Any information obtained in the course of a benefit administration study may
be disclosed by the Auditor General for Wales to the Secretary of State for the
purposes of any functions of the Secretary of State which are connected with
housing benefit or council tax benefit.
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(4)
The Auditor General for Wales must send to the Secretary of State a copy of a
report of a benefit administration study carried out by the Auditor General for
Wales.
(5)
The Secretary of State or the Auditor General for Wales may send a copy of a
report of a benefit administration study to any local authority to which the
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study relates.
(6)
The Secretary of State may publish a report of a benefit administration study in
conjunction with the Auditor General for Wales.
(7)
The Auditor General for Wales may conduct, or assist the Secretary of State in
conducting, a benefit administration study only if the Secretary of State has
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made arrangements for the payment to the Auditor General for Wales of a fee
in respect of the study.
(8)
The amount of the fee must be a reasonable amount agreed between the
Secretary of State and the Auditor General for Wales.
Performance standards
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46
Performance standards: relevant bodies
(1)
Each of these local government bodies in Wales is a relevant body for the
purposes of sections 47 to 49—
(a)
a local authority in Wales;
(b)
a committee of a local authority in Wales (including a joint committee
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of two or more local authorities in Wales);
(c)
a National Park authority for a National Park in Wales;
(d)
a police authority for a police area in Wales;
(e)
a fire and rescue authority in Wales constituted by a scheme under
section 2 of the Fire and Rescue Services Act 2004 or a scheme to which
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section 4 of that Act applies.

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 2 — Studies and performance standards
31

(2)
The Assembly may by order provide for sections 47 to 49 to have effect as if any
other local government body in Wales were a relevant body for the purposes
of those sections.
(3)
In this section “local authority in Wales” does not include a community
council.
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47
Publication of information as to standards of performance
(1)
The Auditor General for Wales must give any directions which he thinks fit for
requiring relevant bodies to publish the information mentioned in subsection
(2).
(2)
The information is information relating to their activities in a financial year
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which will, in the opinion of the Auditor General for Wales, facilitate the
making of appropriate comparisons—
(a)
between the standards of performance achieved by different relevant
bodies in the financial year, or
(b)
between the standards of performance achieved by relevant bodies in
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different financial years.
(3)
The comparisons are to be made by reference to the criteria of cost, economy,
efficiency and effectiveness.
(4)
If a relevant body is required by a direction under this section to publish
information in relation to a financial year, it must—
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(a)
make arrangements for collecting and recording the information which
secure that the information is available for publication and (so far as
practicable) that everything published in pursuance of the direction is
accurate and complete,
(b)
publish the information in accordance with the direction and in a
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method permitted under section 48 before the end of the period of 9
months starting immediately after the end of the financial year, and
(c)
keep a document containing any information published in pursuance
of the direction available for inspection by local government electors
for its area.
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(5)
The Assembly may by order vary the period specified in subsection (4)(b).
(6)
The period specified in an order under subsection (5) must not be longer than
9 months starting immediately after the end of the financial year in question.
(7)
A local government elector for the area of a relevant body may—
(a)
at all reasonable times and without payment, inspect and make copies
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of the whole or any part of a document kept available for inspection by
the body under subsection (4)(c);
(b)
require copies of the whole or part of any such document to be
delivered to him on payment of a reasonable sum for each copy.
(8)
A person who has custody of a document kept available for inspection under
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subsection (4)(c) commits an offence if—
(a)
he obstructs a person in the exercise of his rights under subsection (7),
or
(b)
he refuses to comply with a requirement under subsection (7)(b).

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 2 — Studies and performance standards
32

(9)
A person guilty of an offence under subsection (8) is liable on summary
conviction to a fine not exceeding level 3 on the standard scale.
48
Permitted methods of publishing information under section 47
(1)
The permitted methods of publication referred to in section 47(4)(b) are these.
(2)
The relevant body may publish the information in a newspaper which is—
5
(a)
printed for sale, and
(b)
circulating in its area.
(3)
If the relevant body ensures that the distribution condition is met with respect
to the information, it may publish the information in a newspaper or periodical
publication which—
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(a)
is produced and distributed by another person (other than a local
authority company), and
(b)
is free of charge to the recipient.
(4)
A relevant body ensures that the distribution condition is met with respect to
information if—
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(a)
in any case, the body takes all reasonable steps to secure that a copy of
a publication containing the information is distributed to each dwelling
house in its area;
(b)
in a case where the body considers that the information is of concern to
persons carrying on business in its area, the body takes such steps as it
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considers reasonable and practicable to secure that a copy of a
publication containing the information is also distributed to business
premises in its area.
(5)
A local authority company is a company under the control of a local authority.
(6)
Section 68(1) of the Local Government and Housing Act 1989 (c. 42) (company
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under control of local authority) has effect for the purposes of subsection (5) as
it has effect for the purposes of Part 5 of that Act.
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Directions under section 47
(1)
A direction under section 47 requiring the publication of information must—
(a)
identify the financial year or years in relation to which the information
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is to be published,
(b)
specify or describe the activities to which the information is to relate,
and
(c)
make provision as to the matters to be contained in the information and
as to the form in which it is to be published.
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(2)
A direction under section 47—
(a)
may be given so as to apply either to all relevant bodies or to all relevant
bodies of a description specified in the direction;
(b)
may be varied or revoked by a subsequent direction under that section.
(3)
Before giving a direction under section 47 which imposes a new requirement
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on a relevant body as to the publication of any information the Auditor General
for Wales must consult—
(a)
any associations of relevant bodies he thinks fit, and
(b)
any other persons he thinks fit.

Public Audit (Wales) Bill [HL]
Part 2 — Local government bodies in Wales
Chapter 4 — General
33

(4)
A direction under section 47 imposing a new requirement on a relevant body
as to the publication of any information must not be given later than the 31
December in the financial year which precedes the relevant financial year.
(5)
The relevant financial year is the financial year in relation to which the
information is to be published.
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(6)
If the Auditor General for Wales gives a direction under section 47 he must—
(a)
publish the direction in the manner he considers appropriate for
bringing it to the attention of members of the public, and
(b)
send a copy of the direction to every relevant body on which duties are
imposed by virtue of the direction.
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(7)
References in this section to the imposition of a new requirement on a relevant
body as to the publication of information are to—
(a)
the imposition of a requirement by the first direction under section 47
to apply to the body;
(b)
any subsequent extension of or addition to—
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(i)
the matters to be contained in the information which the body
is required to publish in relation to a financial year in pursuance
of directions under section 47, or
(ii)
the activities to which any such information is to relate.
Chapter 3
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Best value
50
Best value audit and inspections
Schedule 1 has effect (amendments to Part 1 of the Local Government Act 1999
(c. 27): best value).
Chapter 4
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General
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Social security references and reports to Secretary of State
(1)
The Auditor General for Wales may refer to the Secretary of State any matter
arising from an audit or study under this Part if it appears that the matter may
be relevant for the purposes of any of the functions of the Secretary of State
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relating to social security.
(2)
An auditor may refer to the Secretary of State any matter arising from an audit
under Chapter 1 if it appears that the matter may be relevant for the purposes
of any of the functions of the Secretary of State relating to social security.
(3)
The Auditor General for Wales may send to the Secretary of State a copy of any
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report—
(a)
of which a copy is sent to the Auditor General for Wales under section
22(5) or (6), and
(b)
which contains observations on the administration by a local authority
in Wales of housing benefit or council tax benefit.
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