Chamber and committees

NHSScotland bodies are free toconclude property transactions without reference to the Health Department unlessparticular circumstances require notification to and the approval of the AccountableOfficer. However, they are required to adhere to the guidance contained in thehandbook which includes not only the mandatory requirements with which bodies mustcomply but also guidance on best practice in managing property transactions.

One of the principal means bywhich the department ensures that full value is achieved is by the requirement fora property adviser, an appropriately qualified external adviser, to be appointedfor every transaction. The property adviser assumes overall responsibility for advisingon the non-legal aspects of a transaction. In major or potentially difficult transactionsan Independent Valuer must be appointed as a second source of independent professionaladvice.

It also places responsibilityon NHSScotland bodies for ensuring that on completion each transaction is duly certified.The purpose of certification is to ensure that the responsibility for property transactionsgiven to NHSScotland bodies is properly recognised and acted upon by bodies’chief executives who are ultimately responsible for the overall management of allproperty transactions.

Finally all transactions aresubject to monitoring as part of each body’s internal audit programme and completedreports are submitted to the Health Department for consideration. And any furtheraction deemed appropriate.

Departmental guidance, whichmirrors that contained in the Scottish Public Finance Manual (SPFM), requires NHSScotlandbodies to carry out a trawl of Scottish Executive departments and sponsored bodies.The trawl process is now administered by Executive’s Property Advice Division whichcirculates details electronically of those properties identified as surplus to requirementfor operational purposes.

Where an interest is noted thereare detailed guidelines contained withinthe SPFM on a mechanism for dealing with the price at which the property shouldtransfer that is economical, transparent and fair and which is designed to avoidpublic bodies incurring unnecessary costs in relation to property that is alreadyheld within the public sector.

However, in every disposal NHSScotlandbodies are required to consider, in the light of professional advice, whether clawback/rightof pre-emption or other provisions covering future change of use should be includedin the disposition as part of the terms of sale. Where the planning position isuncertain or enquiries regarding the planning consents likely to be granted havenot been satisfactorily resolved the use of such provisions must be considered.Advice from the property adviser and where appointed the independent valuerwill be critical in deciding what safeguards are put in place.