Funding body requirements over estates vary in different parts of the UK. In addition, resources for a particular development may not come through the funding council - the NHS may well be an example. Governing bodies will, of course, want to assure themselves that the requirements of their primary funder are being met, but the more challenging issue may be to ensure that, when a number of funding sources are involved, their individual requirements are all addressed.
In England, HEFCE has moved to a lighter touch approach to capital funding since 2008 through the Capital Investment Framework, established with the aim of "encouraging institutions to manage their physical infrastructure as an integral part of their strategic and operational planning". The methodology is based on four factors:
The approach of other UK funding bodies has much in common with that of HEFCE, but they also have some distinctive characteristics.
The HEFCE arrangements also largely apply to Northern Ireland, although there are some variations. For example, DELNI requires data for public expenditure management purposes, and reporting arrangements for disposals of exchequer funded assets also differ.
Scottish institutions provide information for the Estate Management Statistics (EMS), and this is monitored by the Scottish Funding Council. They also submit estate strategies as part of their rolling four year strategic plans. Three year capital expenditure plans are required against the formula funded capital expenditure allocations to them, and one off mechanisms are adopted in respect of specific projects.
Welsh institutions are similarly monitored through the EMS, and are required to submit rolling three year plans, related financial forecasts, and capital investment plans, which provide a further means for HEFCW to monitor activity. Unlike England there is a direct requirement to submit capital investment plans, as well as the other strategic documents.Governors who act reasonably and take legal advice are unlikely to face questions of personal liability, but it remains important to be aware of the legal requirements, particularly relating to health and safety and disability.
Estates and infrastructure is one area where there is plenty of information to enable governors to benchmark their institution with others, principally from Estates Management Statistics published by the higher education funding bodies. The work of the Association of University Directors of Estates (AUDE) is important. It has developed a comprehensive self-assessment tool against which institutions can grade themselves.
AUDE has also, together with BRE Global, developed the Building Research Establishment Environmental Assessment Method (BREEAM), which provides a rigorous and independent tool for the environmental assessment of university buildings.
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