To ask the Scottish Executive, further to the answer to question S2W-16075 by Mr Tom McCabe on 27 April 2005, what the safeguards are in the Local Government in Scotland Act 2003 relating to how local authorities should account for any surplus or deficit in pension funds. I refer the member to theanswers to question S2W-17667 and S2W-17668 on 27 July 2005.It is for each localauthority to address a surplus or deficit in the pension fund and this will bedone over a long period taking into account actuarial recommendations on theemployer contribution rate, investment strategy and information on demographics.The Local Government inScotland Act 2003 does not give specific safeguards for the control of localauthority finances, rather it provides Scottish ministers with the power to interveneand exercise control:The act provides:a duty to secure best value inlocal government service provision;an extension of the AccountsCommission for Scotland's powers to hold hearings and publish findings sothat they cover issues relating to best value and community planning;the provision of a ministerialintervention power for continued or extraordinary statutory failure in BestValue or a significant misuse of the power of well being;amendments to constraints onlocal authority trading activity, with the repeal of all existing legislationrelating to compulsory competitive tendering;a statutory basis for publicperformance reporting and arrangements to improve accountability;a statutory basis for communityplanning to ensure long-term commitment to effective partnership working withcommunities and between local authorities and other key bodies andorganisations;a power of well-being toenable local authorities to work in a more innovative and creative way inresponding to the needs of their communities, anda vehicle to progress anumber of miscellaneous provisions which relate to local government matters.