South Wales Evening Post - 7 December 2007
Swansea Council's leader has hit back at his opponents in the row over the authority's controversial multi-million pound IT scheme.
Chris Holley reacted angrily after claims there are flaws in the finances of the authority's £83 million eGovernment deal.
Conservative councillor Rene Kinzett maintained the programme was not checked to see how much taxpayers' money it would actually save.
But Councillor Holley believes other parties are trying to create controversy in the run-up to next year's local elections.
He said: "I will look into these claims in detail and respond accordingly.
"What I will say is that other parties are trying to make themselves appear electable."
The council's £83 million IT deal with technology firm Capgemini has caused controversy since it was first announced in 2004.
The council's technology workers went on strike over the proposals because of fears over job cuts.
But officers insisted the scheme would improve the council's computer systems and save hundreds of thousands of pounds of taxpayers' money in the long term.
It was expected to reduce IT bills by £711,000 in its first year, but the council later admitted it missed the target by almost £500,000. This week it was revealed the new system had achieved barely 30 per cent of its original savings target.
Councillor Kinzett claimed the problem was caused because council-employed consultant Deloitte was not asked to find out if the savings were achievable.
Speaking at an audit scrutiny board meeting, he said: "Deloitte was taken on by the council to ensure the final deal with Capgemini delivered value for money.
"To be told cabinet members and officers were happy to sign off on a contract without proper external scrutiny of the savings figures is staggering."
Councillor Holley said he still had faith in the new IT system, but added he would not issue a full comment on the matter until he had read the full report of Monday night's scrutiny meeting.
He said: "I was not there because I am not on that committee."
However, Councillor Holley said he was taking the claims of political rivals - the Conservatives, Plaid and Labour - with a pinch of salt.
"It's silly season at the moment in the run-up to the elections," he added
STATEMENT RETHINK AFTER THREAT OF LEGAL ACTION
South Wales Evening Post - 5 December 2007
The leader of Swansea's Conservatives says he has had to withdraw a public statement because he was faced with a "potentially catastrophic legal action" from the council's assistant chief executive.
Councillor Rene Kinzett had issued a press release referring to the council's eGovernment scheme, and Michelle Morris's impending departure from the authority.The statement called for answers over the £83 million eGovernment programme, and the equal pay and job evaluation exercise which, he said, was "set to cost the council at least £13 million".Councillor Kinzett said Miss Morris saw the press release as a personal attack on her and threatened legal action against him.
He added he had to withdraw the release and issue another version.Councillor Kinzett said: "A senior officer has threatened an elected member with legal action over a release."
He added: "The eGovernment project is failing."It has only made about 30 per cent of its target benefit so far - that's a projected figure for the next couple of years. Eighty-three million pounds of public money is involved.
"I was really surprised to get the letter.
"Because I can't afford to defend a potentially catastrophic legal action against me, I have had to withdraw the original release."
In a revised statement, councillor Kinzett, who represents Mayals Ward and has been selected to fight the Swansea West constituency at the next General Election, said of the eGovernment scheme: "Given that the project's most senior officer is soon to depart this authority, I have very little faith in the ability of the politicians to turn this project around.
"There are still many questions left unanswered about why the eGovernment programme has yet to live up to expectations."
Michelle Morris, who is set to leave Swansea Council to join a local authority in Scotland, said: "I am not happy about a press release."I asked my solicitor to write to him and ask him to reconsider a press release.
"I don't really wish to comment through the press about this.
"It is a matter between myself and Rene Kinzett."
The leader of Swansea's Conservatives says he has had to withdraw a public statement because he was faced with a "potentially catastrophic legal action" from the council's assistant chief executive.
Councillor Rene Kinzett had issued a press release referring to the council's eGovernment scheme, and Michelle Morris's impending departure from the authority.The statement called for answers over the £83 million eGovernment programme, and the equal pay and job evaluation exercise which, he said, was "set to cost the council at least £13 million".Councillor Kinzett said Miss Morris saw the press release as a personal attack on her and threatened legal action against him.
He added he had to withdraw the release and issue another version.Councillor Kinzett said: "A senior officer has threatened an elected member with legal action over a release."
He added: "The eGovernment project is failing."It has only made about 30 per cent of its target benefit so far - that's a projected figure for the next couple of years. Eighty-three million pounds of public money is involved.
"I was really surprised to get the letter.
"Because I can't afford to defend a potentially catastrophic legal action against me, I have had to withdraw the original release."
In a revised statement, councillor Kinzett, who represents Mayals Ward and has been selected to fight the Swansea West constituency at the next General Election, said of the eGovernment scheme: "Given that the project's most senior officer is soon to depart this authority, I have very little faith in the ability of the politicians to turn this project around.
"There are still many questions left unanswered about why the eGovernment programme has yet to live up to expectations."
Michelle Morris, who is set to leave Swansea Council to join a local authority in Scotland, said: "I am not happy about a press release."I asked my solicitor to write to him and ask him to reconsider a press release.
"I don't really wish to comment through the press about this.
"It is a matter between myself and Rene Kinzett."
FIRM CLAIMS IT SAVINGS WERE NEVER VERIFIED
South Wales Evening Post - 5 December 2007
Consultants working on Swansea Council's £83 million eGovernment programme were never asked if projected savings were actually achievable, it has been claimed.
The revelation comes as councillors investigate why the authority's controversial IT deal has not delivered the promised millions of pounds in expected savings.
The new system has instead barely achieved 30 per cent of its original savings target.
Quizzing a senior director of management consultants Deloitte, the firm hired to check the deal, councillors were told the company had never been asked to verify whether the original savings estimates claimed by IT from Capgemini were achievable.
They also revealed that they had warned senior council officers and cabinet members about the risks to the authority's budgets if the projected savings targets were not reached.
But the warnings were set aside and the contract to run the eGovernment programme was awarded to Capgemini.
Councillor Rene Kinzett, chairman of the performance scrutiny board, which is carrying out the investigation, said: "It was quite shocking to hear that Deloitte had not been asked by Swansea Council to review the estimated savings figures."
Deloitte was taken on by the council to help it ensure that the final deal with Capgemini delivered value for money, and manage the risks associated with a contract of this size and complexity. To be told that cabinet members and officers were happy to sign off on a contract without proper external scrutiny of the savings figures is staggering."
The revelation contradicts previous information given to the performance scrutiny board, which said that cabinet members believed the savings figures had been verified by external expert advice, added Mr Kinzett.
The warnings from Deloitte, which also made specific reference to the fact that the savings figures had not been scrutinised by Deloitte, were contained in the contract award report which went to cabinet members on Swansea Council in December 2005.
Vice-chairman councillor Mark Child, said: "Delloite clearly felt that it had warned the council in the strongest possible terms about the reliability of the savings figures.
"The board were clearly taken aback, as they have had no previous mention of these warnings from either officers or cabinet members over the past six months of this investigation."
Consultants working on Swansea Council's £83 million eGovernment programme were never asked if projected savings were actually achievable, it has been claimed.
The revelation comes as councillors investigate why the authority's controversial IT deal has not delivered the promised millions of pounds in expected savings.
The new system has instead barely achieved 30 per cent of its original savings target.
Quizzing a senior director of management consultants Deloitte, the firm hired to check the deal, councillors were told the company had never been asked to verify whether the original savings estimates claimed by IT from Capgemini were achievable.
They also revealed that they had warned senior council officers and cabinet members about the risks to the authority's budgets if the projected savings targets were not reached.
But the warnings were set aside and the contract to run the eGovernment programme was awarded to Capgemini.
Councillor Rene Kinzett, chairman of the performance scrutiny board, which is carrying out the investigation, said: "It was quite shocking to hear that Deloitte had not been asked by Swansea Council to review the estimated savings figures."
Deloitte was taken on by the council to help it ensure that the final deal with Capgemini delivered value for money, and manage the risks associated with a contract of this size and complexity. To be told that cabinet members and officers were happy to sign off on a contract without proper external scrutiny of the savings figures is staggering."
The revelation contradicts previous information given to the performance scrutiny board, which said that cabinet members believed the savings figures had been verified by external expert advice, added Mr Kinzett.
The warnings from Deloitte, which also made specific reference to the fact that the savings figures had not been scrutinised by Deloitte, were contained in the contract award report which went to cabinet members on Swansea Council in December 2005.
Vice-chairman councillor Mark Child, said: "Delloite clearly felt that it had warned the council in the strongest possible terms about the reliability of the savings figures.
"The board were clearly taken aback, as they have had no previous mention of these warnings from either officers or cabinet members over the past six months of this investigation."
