Agenda item 3 is on a follow-up response from the Scottish Executive to the Auditor General for Scotland's report "Overview of the 2001/02 water authority audits". Members will recall that the committee considered an initial Executive response to the report on 18 February. Following consideration of that response, the committee agreed to write to the Executive to seek further information on several issues. The Executive's reply is now before us. I refer members to that response and seek any comments that they may have.
I have one point on the collection rates. The Executive's response states that local authorities will be rewarded for good performance. Is that a financial incentive? What will it cost?
The agreements have not been established yet and we do not know the details.
I presume that we are talking about a financial incentive.
I would read that from what is stated in the Executive's response.
It would be nice to know what the incentive is. If it is going to be effective, it might have to be quite large.
I notice that the Executive states that significant improvement is expected in debt collection during the next financial year. However, it also states that local authority agreements are "at an early stage". Therefore, the situation is being monitored and must be checked against delivery. That will be done in the Auditor General's review of Scottish Water's first year in operation. That is an on-going matter and we should keep it in mind. I suggest that we bring the Official Report of the meeting to the attention of our successors, perhaps through our legacy report. Is that acceptable?