Meetings

Commissioners were updated on the Commission’s 2022-23 financial position. It highlighted that a supplementary budget decreasing the overall net cash requirement by £0.975 million was recommended. The primary drivers for this supplementary budget were:

·       The reversal in the increase to employer National Insurance Contributions;

·       A reduction in the provision for accrued annual leave;

·       A forecast underspend in the budgets earmarked for i) the Remuneration Board’s Determination, ii) support for the Remuneration Board and iii) support for the office of the Standards Commissioner; and

·       The implementation of the new accounting standard IFRS 16 – Leases.

Commissioners agreed to note and approve the Explanatory Memorandum, in relation to the 2nd Supplementary Budget for 2022-23, to be submitted for inclusion in the Welsh Government’s February 2023 budget motion. This would decrease the 2022-23 laid First Supplementary Budget by £1.075 million, a decrease of £0.975 million in the net cash requirement.

They also approved the letter to the Chair of the Finance Committee to accompany the proposed Supplementary Budget.

Commissioners discussed a proposal to support the lowest-paid Commision employees with a Cost of Living payment, and the reason for the conclusions reached by the Executive Board. The Commission agreed to:

·       support Executive Board’s decision to make a payment of £500 to each Commission employee whose salary is at TS and M3 (EO) grades (staff below full time equivalent £32,000);

·       support Executive Board’s decision to make a full payment to all eligible staff including part time staff on the basis of its EQIA;

·       note the Executive Board’s intention to make this payment in three smaller payments, January to March; and

support Executive Board’s decision not to make this payment to the staff of contractors, and support instead a decision to write to contracted bodies encouraging similar arrangements.

A letter to update the Public Accounts and Public Administration Committee about progress in relation to single use plastic and spend on suppliers from Welsh based companies was agreed.

Commissioners were updated on the 2022-23 financial position. They noted the information provided, and an oral update relating to the costs identified to support the administration of the Independent Remuneration Board (the drivers that have increased the Board’s workload, and its strategy along with the outline work programme it has agreed for the 6th Senedd).  Commissioners also requested additional information be prepared for them about the use of the ‘pool car’ and discussed encouraging EV usage with reference to that vehicle.

The Commission agreed the Explanatory Memorandum in order to submit a Supplementary Budget for inclusion in the Welsh Government’s first budget motion for 2022-23. This would increase the 2022-23 laid Budget by £2.061 million, with a resulting increase of £0.325 million in the net cash requirement. Commissioners reflected that the next step would be for scrutiny of the Explanatory Memorandum by the Finance Committee.

Changes set out in the Explanatory Memorandum would relate to:

-          an increase of £1.736 million in the overall budget, to reflect the new International Financial Reporting Standard (IFRS) 16 – Leases, that took effect on 1 April 2022. This would have no increase in the net cash requirement;

-          changes to the budget identified for the Independent Remuneration Board’s Determination on Members' Pay and Allowances. Changes proposed to the individual budget lines result in no overall increase;

-          a net increase of £150k in the overall budget and net cash requirement, in light of costs to support the administration of the Independent Remuneration Board (an increase of £218k) and the Standards Commissioner’s Office (a decrease of £68k), (with additional transparency on these costs in this and in future laid budgets);

-          an increase of £175k in the overall budget and net cash requirement for staffing, to reflect the increase in employer National Insurance contributions.

Commissioners would receive a written briefing relating to support for the administration of the Independent Remuneration Board, with additional information to be included in the agreed letter to the Chair of the Finance Committee.

Commissioners noted the update that would be sent to the Committee further to their letter dated 8 November 2021 which had responded to the committee’s Report on the Scrutiny of the Senedd Commission Draft Budget 2022-2023.

Commissioners were updated on the progress of the 2021-22 Senedd Commission Budget through its scrutiny process.

Commissioners agreed their response to the recommendations raised in the Finance Committee Report and approved the Final Budget for 2022-23 to be laid on 10 November.

Commissioners considered the 2022-23 Draft Budget, which reflected the strategy agreed upon at the 12 July Commission meeting. 

They considered project priorities for 2022-23 and their approach to the likely additional pressure, on the 2022-23 draft Budget, of the recent announcement of an increase in National Insurance contributions.

Commissioners agreed to lay the Commission draft budget of £62.942 million, reflecting that UK budget announcements may require later considerations regarding a supplementary budget.

The Commission also noted the Finance Committee’s statement of principles and the letter sent from the Minister for Finance and Local Government to the Chair of the Finance Committee.

Commissioners were provided with background and context to inform their thinking on the budget strategy and considered approaches in relation to the budget for 2022-23.

Having reflected on the relative merits of alternatives and information provided, the Commission requested that work be taken forward on Option C. This was to take account of the need to consider the capacity required to deliver in ways to suit Members’ needs, for example continuing hybrid working. The 2022-23 draft Commission Budget would be presented to the Commission at its September meeting before being laid in line with the requirements of Standing Orders.

Commissioners also discussed the window replacement project, which had been subject of a feasibility report undertaken during 2020 to seek specialist advice to inform a future decision on the budget implications, timing and phasing of work needed to replace windows in Tŷ Hywel.

Commissioners discussed the need, in the context of overall future accommodation requirements and agreed that discussions should continue on a timescale that would allow these matters to be considered in parallel.