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Local Authorities are responsible for managing and improving their own performance.  On both corporate and service levels, Local Authorities are expected to set out and monitor improvement objectives, identify specific governance and performance challenges and take responsibility for addressing and managing these.  


We are all aware of the challenges some Authorities have faced in respect of their corporate and service management.  On occasion, this has resulted in my Ministerial predecessors issuing directions to intervene, or to provide formal support, under the Local Government (Wales) Measure 2009 to drive improvements in the corporate performance of  particular Authorities.


There have been examples of significant progress as a result of this Ministerial intervention and support, most notably at **Anglesey County Council** and **Blaenau Gwent County Borough Council**.  


In considering the impact of recent Ministerial intervention, Members will all be aware of the problems which plagued Anglesey County Council for a number of years.  Fundamentally, they related to poor Member behaviour and a lack of strategic direction, and the impact this had on the delivery of services to the people of the island.  The situation within the Council was extremely serious, and demanded vigorous and sustained action to prevent the Council from reaching the point of no return.  


In 2011, the Auditor General for Wales conducted a special re\-inspection.  His findings and recommendations were damning.  The then Minister, Carl Sargeant AM, was left with no choice but to suspend the executive functions of the Council and appoint five Commissioners to run the Council on his behalf.


This was not an easy decision.  It was totally unprecedented. No other Local Authority in the UK had ever had all of its powers withdrawn.  However, it was necessary given the seriousness of the Council’s problems and such stern action was essential to protect the future of the Council and, more importantly, the delivery of services to the citizens of Anglesey.


The decision to appoint Commissioners and to allow them time to establish sustainable functions and processes proved to be a turning point.  Following the appointment of the Commissioners and their hard work, the Council turned itself around, and made remarkable progress.  Everyone involved in the recovery process benefitted greatly from the Commissioners’ oversight, experience and expertise.  


Following significant boundary changes and the subsequent election in May 2013, the Council has clearly demonstrated it is capable of delivering functional and sustainable democracy, and continued and sustained improvement.  It became clear the Council could manage its own affairs without external intervention and support. This was endorsed by the former Commissioners, and by the Auditor General for Wales (AGW).  As a result, the Ministerial intervention formally came to an end at the end of May last year.  Members will appreciate this was a remarkable turnaround, and a major achievement for the Council


Despite the situation in Anglesey County Council being an unprecedented one, it does not mean a similar intervention will not be needed in another Local Authority in Wales in the future.  In light of this, the Welsh Government commissioned an independent evaluation of the Anglesey intervention.  The purpose of the evaluation was to assess the effectiveness and outcomes of the model of intervention employed in Anglesey, and to identify the lessons and good practice to inform any similar interventions which might be necessary in the future.  The evaluation report is being published today and will be available on the Welsh Government’s website.


**Road to Recovery: An Independent Evaluation of the Anglesey Intervention**


The evaluation shows the Welsh Government intervention was a success and gives particular recognition to the work of the Commissioners.  It identifies useful lessons, particularly in relation to the importance of being clear as to the most appropriate form of action from an early stage.  I will consider the evaluation and take account of  these lessons in the event of any future interventions.  We will also consider the evaluation in the context of Reforming Local Government.


  

In respect of directed support, my predecessor, Lesley Griffiths AM, advised Assembly Members of her planned support package for Blaenau Gwent County Borough Council, after concerns were raised as part of audit and inspection programmes.  


The Improvement Assessment Letter from the AGW to the Council in October 2013 made it clear leadership and decision\-making in Blaenau Gwent were inconsistent, and the Council had not put in the work to address its serious financial position and variable service performance with the necessary urgency.


In view of those concerns, the AGW made two statutory recommendations to the Council to address its financial planning, decision\-making and scrutiny arrangements.  The assessment also included a recommendation to my immediate predecessor to exercise Ministerial powers to offer the Council support, as it was clear the Authority did not have the capacity to take the action necessary to deliver improvements by itself.


At the end of October 2013, the Minister notified Assembly Members of her intention to use her powers to require the Council to accept a formal package of support.  This support was in place for six months, and concluded at the end of March this year.  


Through tailored support, challenge, and expertise from the appointed Advisors, the Council has made significant progress, which simply would not have been possible without Ministerial support.  The support provided access to, and advice on, the tools and processes needed to enable the Council to establish corporate and financial systems to move forward and deliver on its budget.  The Council is in now a stronger position to meet its democratic responsibilities, and to deliver better services for its citizens.


Since the end of March, the Council has continued to progress.  The Advisors returned in June to review progress, and will be returning to Blaenau Gwent to undertake a final monitoring visit in October.  


More recently, a similar but shorter term support package was established in Merthyr Tydfil County Borough Council.  This support package came as a request from the Council itself to assist in addressing financial concerns raised by the AGW.  


Advisors were appointed to carry out a health\-check of the Council’s financial position, and to provide an independent perspective on, and external validation of, the robustness of its financial planning and the processes supporting it.  The Advisors were also asked to assess the Council’s transformation work programme, to ensure it was fit for purpose.  Most importantly, the Advisors were asked to make an assessment of whether, in their view, the Council had the capability and capacity to deliver the necessary improvements without external support and challenge.  


The Advisors identified, not unexpectedly, areas for improvement in the Council’s finance function, and in its transformation programme, but the overall outcome of the support package was, again, positive.  


As a result of the Advisors findings, no further Ministerial support will be provided to the Council at this stage.  The Advisors will, however, be returning to the Council in October to ensure the position remains stable and sufficient progress is being made.


I will be meeting the Advisors after their visits to Blaenau Gwent and Merthyr Tydfil to receive an update.  I expect both Councils to build on the support, challenge and expertise they received from the Advisors, and ensure the beneficial changes are sustained, and remain embedded in the everyday business of both Authorities.


Whilst we have seen positive progress in the corporate performance of Anglesey, Blaenau Gwent and Merthyr Tydfil, there remain serious issues in relation to Blaenau Gwent's and Merthyr's education services.  They remain in special measures, as do Monmouthshire and Torfaen.  Ministerial recovery boards continue to operate in these four local authorities.


Intervention and support packages should be a means of last resort, or for unanticipated emergencies.  Intervention and support can be costly and time\-consuming.  They can confuse local democracy and reflect serious reputational damage to the Council concerned, and to Local Government in Wales more generally. Reactive, radical and sometimes intrusive external intervention and support are not sustainable solutions as they often deal with failure after the event.  


Local Authorities need to take full responsibility for the functioning of their democracy and the performance of their services; and for promoting well being through preventative, rather than reactive, action.  Authorities must take responsibility for their corporate and service improvement, making use of effective scrutiny to provide challenge and hold them to account.  The onus should be on Local Authorities identifying and responding to emerging issues of performance or governance before they are highlighted by auditors or inspectors.  


The Local Government Intervention and Support Protocol was developed to minimise the need for formal support or intervention by promoting honest self\-evaluation by Local Authorities, information\-sharing between national partners, and prompt offers of support.  We know this happens in some Local Authorities for some services but it is by no means widespread.  


We also know there are considerable costs to the current approach.  The Welsh Government makes significant investment in supporting improvement.  It would clearly be better to target this investment towards prevention and longer term well\-being, towards service improvement and good governance, rather than recovery.  The consultation on our first White Paper on Reforming Local Government closes on 1 October.  We will be considering the responses in light of the experiences I have just outlined.  


I will keep Members informed of developments.







Translation:


 
Mae Awdurdodau Lleol yn gyfrifol am reoli a gwella eu perfformiad eu hunain. Ar lefel gorfforaethol ac ar lefel gwasanaeth, disgwylir i Awdurdodau Lleol bennu a monitro eu hamcanion ar gyfer gwella, nodi heriau penodol o ran llywodraethu a pherfformiad a bod yn gyfrifol am ymdrin â’r rhain a’u rheoli.

Rydym i gyd yn ymwybodol o’r heriau y mae rhai Awdurdodau wedi’u hwynebu mewn perthynas â rheoli corfforaethol a rheoli gwasanaethau. Ar brydiau, mae hyn wedi arwain at  fy rhagflaenwyr Gweinidogol yn rhoi cyfarwyddiadau i ymyrryd, neu i gynnig cefnogaeth ffurfiol, o dan Fesur Llywodraeth Leol (Cymru) 2009 i ysgogi gwelliannau ym mherfformiad corfforaethol rhai Awdurdodau.

Cafwyd enghreifftiau o gynnydd arwyddocaol oherwydd ymyrraeth a chefnogaeth gan Weinidogion, yn fwyaf nodedig yn achos Cyngor Sir Ynys Môn a Chyngor Bwrdeistref Sirol Blaenau Gwent.  

O ystyried effaith ymyrraeth Weinidogol yn ddiweddar, bydd Aelodau’n ymwybodol o’r problemau a fu’n fwrn ar Gyngor Sir Ynys Môn am flynyddoedd lawer. Yn y bôn, roeddent yn ymwneud ag ymddygiad gwan Aelodau a diffyg cyfeiriad strategol, ac  effaith hynny ar ddarpariaeth gwasanaethau i bobl yr ynys. Roedd y sefyllfa o fewn y Cyngor yn hynod ddifrifol, ac yn galw am gamau grymus a chyson i atal y Cyngor rhag cyrraedd y pwynt di\-droi’n\-ôl.

Yn 2011, cynhaliodd Archwilydd Cyffredinol Cymru ail arolygiad arbennig. Roedd ei ganfyddiadau a’i argymhellion yn ddamniol. Nid oedd gan y Gweinidog ar y pryd, Carl Sargeant AC, unrhyw ddewis ond gohirio swyddogaethau gweithredol y Cyngor a phenodi pum Comisiynydd i redeg y Cyngor ar ei ran.

Nid penderfyniad hawdd oedd hwn. Ni welwyd sefyllfa debyg o’r blaen. Ni thynnwyd ei holl bwerau oddi ar unrhyw Awdurdod Lleol yn y DU erioed o’r blaen. Fodd bynnag, roedd hyn yn angenrheidiol o ystyried pa mor ddifrifol oedd problemau’r Cyngor ac roedd camau llym o’r fath yn hanfodol er mwyn amddiffyn dyfodol y Cyngor ac, yn bwysicach fyth, y ddarpariaeth o wasanaethau i ddinasyddion Ynys Môn.

Roedd y penderfyniad i benodi Comisiynwyr a chaniatáu amser iddynt sefydlu swyddogaethau a phrosesau cynaliadwy wedi bod yn drobwynt. Yn dilyn penodi’r Comisiynwyr a’u gwaith caled, mae’r Cyngor wedi gweddnewid yn llwyr, ac wedi gwneud cynnydd rhyfeddol. Roedd pawb a oedd yn gysylltiedig â’r broses adfer wedi elwa’n fawr o oruchwyliaeth, profiad ac arbenigedd y Comisiynwyr.

Yn dilyn newidiadau sylweddol i ffiniau a’r etholiad dilynol ym mis Mai 2013, mae’r Cyngor wedi dangos yn glir fod ganddo’r gallu i gyflawni democratiaeth swyddogaethol a chynaliadwy, a gwelliant parhaus a pharhaol. Daeth yn amlwg y gallai’r Cyngor reoli ei faterion ei hunan heb ymyrraeth a chefnogaeth allanol. Cafodd hyn ei gadarnhau gan y Comisiynwyr blaenorol, a hefyd gan Archwilydd Cyffredinol Cymru. O ganlyniad, daeth ymyrraeth y Gweinidog i ben yn ffurfiol ddiwedd mis Mai y llynedd. Bydd Aelodau’n sylweddoli bod hyn yn drawsnewid rhyfeddol, ac yn gyflawniad sylweddol i’r Cyngor.

Er gwaethaf y ffaith na welwyd sefyllfa debyg i’r un yng Nghyngor Sir Ynys Môn o’r blaen, nid yw’n golygu na fydd angen ymyrraeth debyg mewn Awdurdod Lleol arall yng Nghymru yn y dyfodol. Yng ngoleuni hyn, comisiynodd Llywodraeth Cymru werthusiad annibynnol o’r ymyrraeth ym Môn. Diben y gwerthusiad oedd asesu effeithiolrwydd a chanlyniadau’r dull o ymyrraeth a ddefnyddiwyd ym Môn, gan nodi’r gwersi i’w dysgu a’r arferion da er mwyn llywio unrhyw ymyriadau tebyg a allai fod yn angenrheidiol yn y dyfodol. Mae’r adroddiad gwerthuso’n cael ei gyhoeddi heddiw a bydd ar gael ar wefan Llywodraeth Cymru.

Cyrraedd Gwelliant: Gwerthusiad Annibynnol o’r Ymyrraeth ar Ynys Môn

Mae’r gwerthusiad yn dangos bod ymyrraeth Llywodraeth Cymru wedi bod yn llwyddiant ac mae’n rhoi cydnabyddiaeth benodol i waith y Comisiynwyr. Mae’n nodi gwersi defnyddiol, yn arbennig mewn perthynas â phwysigrwydd bod yn glir o ran y dull mwyaf priodol o weithredu o gyfnod cynnar. Byddaf yn ystyried y gwerthusiad ac yn ystyried y gwersi hyn os digwydd unrhyw ymyriadau yn y dyfodol. Byddwn hefyd yn ystyried y gwerthusiad yng nghyd\-destun Diwygio Llywodraeth Leol.

O ran cymorth a gyfarwyddir, roedd fy rhagflaenydd, Lesley Griffiths AC, wedi rhoi gwybod i Aelodau’r Cynulliad am ei phecyn cymorth arfaethedig ar gyfer Cyngor Bwrdeistref Sirol Blaenau Gwent, ar ôl i bryderon gael eu codi fel rhan o raglenni archwilio ac arolygu.

Roedd Llythyr Asesu Gwelliant gan yr Archwilydd Cyffredinol i’r Cyngor ym mis Hydref 2013 yn egluro bod arweinyddiaeth a gwneud penderfyniadau ym Mlaenau Gwent yn anghyson, ac nid oedd y Cyngor wedi gwneud unrhyw beth fel mater o frys i ymdrin â’i sefyllfa ariannol ddifrifol  a pherfformiad newidiol gan wasanaethau.

Yng ngoleuni’r pryderon hynny, gwnaed dau argymhelliad statudol i’r Cyngor gan yr Archwilydd Cyffredinol sy’n ymdrin â’i gynllunio ariannol, ei ddull o wneud penderfyniadau a’i drefniadau craffu. Roedd yr asesiad hefyd yn cynnwys argymhelliad bod fy rhagflaenydd yn arfer pwerau Gweinidogol i gynnig cymorth i’r Cyngor, gan ei bod yn glir nad oedd gan yr Awdurdod ei hunan y capasiti i gymryd y camau angenrheidiol i gyflawni gwelliannau.

Ar ddiwedd Hydref 2013, hysbysodd y Gweinidog Aelodau’r Cynulliad am ei bwriad i ddefnyddio ei phwerau i’w gwneud yn ofynnol i’r Cyngor dderbyn pecyn cymorth ffurfiol. Bu’r cymorth hwn yn ei le am chwe mis, a daeth i ben ddiwedd Mawrth eleni.

Ar ôl i’r Ymgynghorwyr a benodwyd ddarparu cymorth pwrpasol, her ac arbenigedd, gwnaed cynnydd sylweddol gan y Cyngor, na fyddai wedi bod yn bosibl heb gymorth Gweinidogol. Roedd y cymorth yn cynnig mynediad i, a chyngor ar, yr adnoddau a’r prosesau oedd eu hangen i alluogi’r Cyngor i sefydlu systemau corfforaethol ac ariannol er mwyn symud ymlaen a chyflawni ar ei gyllideb. Erbyn hyn mae’r Cyngor mewn sefyllfa gryfach i wireddu ei gyfrifoldebau democrataidd, ac i ddarparu gwasanaethau gwell i’w ddinasyddion.

Ers diwedd mis Mawrth, mae’r Cyngor wedi parhau i wneud cynnydd. Dychwelodd yr Ymgynghorwyr ym mis Mehefin i adolygu’r cynnig, a byddant yn dychwelyd i Flaenau Gwent i gynnal ymweliad monitro terfynol ym mis Hydref.

Yn fwy diweddar, cafodd pecyn cymorth tebyg ond byrrach ei sefydlu yng Nghyngor Bwrdeistref Sirol Merthyr Tudful. Daeth y pecyn cymorth hwn fel cais gan y Cyngor ei hun er mwyn helpu i ymdrin â phryderon ariannol a godwyd gan yr Archwilydd Cyffredinol.

Penodwyd Ymgynghorwyr i gynnal archwiliad o sefyllfa ariannol y Cyngor, ac i ddarparu safbwynt annibynnol, a dilysiad allanol, o ran cadernid ei gynlluniau ariannol a phrosesau i gefnogi’r rheini. Hefyd, gofynnwyd i’r Ymgynghorwyr asesu rhaglen waith y Cyngor ar y trawsnewid er mwyn gwneud yn siŵr ei bod yn addas i’r diben. Yn bwysicach fyth, gofynnwyd i’r Ymgynghorwyr wneud asesiad i weld a oedd gan y Cyngor, yn eu barn hwy, y gallu a’r capasiti i wireddu’r gwelliannau angenrheidiol heb yr her a chymorth allanol.

Heb fod yn annisgwyl, nododd yr Ymgynghorwyr feysydd  y gellid eu gwella o ran swyddogaeth ariannol y Cyngor, ac o ran rhaglen y Cyngor ar drawsnewid, ond unwaith eto roedd canlyniad y pecyn cymorth ar y cyfan yn gadarnhaol.

Yn sgil canfyddiadau’r Ymgynghorwyr, ni fydd unrhyw gymorth Gweinidogol pellach yn cael ei ddarparu i’r Cyngor ar hyn o bryd. Fodd bynnag, bydd yr Ymgynghorwyr yn dychwelyd i’r Cyngor ym mis Hydref i wneud yn siŵr bod y sefyllfa’n parhau’n sefydlog a bod digon o gynnydd yn cael ei wneud.

Byddaf yn cyfarfod â’r Ymgynghorwyr ar ôl eu hymweliadau â Blaenau Gwent a Merthyr Tudful i gael yr wybodaeth ddiweddaraf. Rwy’n disgwyl y bydd y ddau Gyngor yn adeiladu ar y cymorth, yr her a’r arbenigedd a gafwyd gan yr Ymgynghorwyr, ac yn sicrhau y bydd newidiadau buddiol yn cael eu cynnal, ac yn aros yn rhan ganolog o fusnes beunyddiol y ddau Awdurdod.

Er ein bod wedi gweld cynnydd positif ym mherfformiad corfforaethol Ynys Môn, Blaenau Gwent a Merthyr Tudful, mae problemau difrifol yn dal i fodoli mewn perthynas â gwasanaethau addysg Blaenau Gwent a Merthyr Tudful. Maent yn parhau i fod dan fesurau arbennig, felly hefyd Sir Fynwy a Thorfaen. Mae byrddau adfer Gweinidogl yn dal i weithredu yn y pedwar awdurdod lleol hyn.

Dylai ymyrraeth a phecynnau cymorth ddigwydd pan fetha popeth arall, neu ar gyfer argyfyngau nas rhagwelwyd. Gall ymyrraeth a chymorth fod yn gostus a gall gymryd llawer o amser. Gallant ddrysu democratiaeth leol ac achosi niwed difrifol i enw da’r Cyngor, ac i Lywodraeth Leol yng Nghymru yn fwy cyffredinol. Nid yw ymyrraeth allanol adweithiol, radical ac weithiau ymwthiol yn atebion cynaliadwy gan eu bod yn aml yn delio â methiant ar ôl y digwyddiad.

Mae angen i Awdurdodau Lleol gymryd cyfrifoldeb llawn dros weithredu eu democratiaeth a pherfformiad eu gwasanaethau; ac am hyrwyddo lles drwy gamau ataliol yn hytrach na chamau adweithiol. Mae’n rhaid i Awdurdodau gymryd cyfrifoldeb dros eu gwelliant corfforaethol ac am wella eu gwasanaethau, gan wneud defnydd o graffu effeithiol i ddarparu her a’u dal i gyfrif. Dylai’r cyfrifoldeb fod ar yr Awdurdodau Lleol i adnabod ac ymateb i broblemau sy’n dod i’r amlwg o ran perfformiad neu lywodraethu cyn iddynt gael eu hamlygu gan archwilwyr neu arolygwyr.

Datblygwyd Protocol ar Gefnogi ac Ymyrryd ym materion Llywodraeth Leol i leihau’r angen am gymorth neu ymyrraeth ffurfiol drwy annog hunanwerthusiad gonest gan Awdurdodau Lleol, rhannu gwybodaeth rhwng partneriaid cenedlaethol a chynigion prydlon o gymorth. Gwyddom fod hyn yn digwydd mewn rhai Awdurdodau Lleol ar gyfer rhai gwasanaethau ond nid yw’n digwydd yn eang o bell ffordd.

Gwyddom hefyd y dull presennol o weithredu’n gostus iawn. Mae Llywodraeth Cymru yn buddsoddi’n sylweddol mewn cefnogi gwelliant. Yn amlwg byddai’n well targedu’r buddsoddiad hwn at rwystro sefyllfa debyg rhag digwydd eto, at les mwy hirdymor, at wella gwasanaethau a llywodraethu da, yn hytrach nag adfer. Daw’r ymgynghoriad ar ein Papur Gwyn cyntaf ar Ddiwygio Llywodraeth Leol i ben ar 1 Hydref. Byddwn yn ystyried yr ymatebion yng ngoleuni’r profiadau a nodwyd uchod.

Byddaf yn rhoi gwybod i Aelodau am unrhyw ddatblygiadau.