An influential body of public accountants today published guidelines aimed at modernising the financial arrangements of Scotland’s Common Good Funds. The Local Authority Scotland Accounts Advisory Committee (LASAAC) said their proposals would ensure consistency in the funds’ financial reporting and registration of assets.
Common Good is the name given to the inherited property of the former burghs of Scotland and consists of a range of assets both moveable (furniture, paintings, etc.) and heritable (land and buildings).These assets are now held by local authorities on behalf of the inhabitants of the former burghs.
Grant Macrae, chair of LASAAC, said:
“Although the principal focus of our recommendations is on accounting procedures, we recognize the complexities of the Common Good means that financial guidance in itself will not address all of the wider concerns and interest of stakeholders in the Common Good. It is however an important first step in matching the historic Common Good with the modern era in which local authorities now operate.”
The organization revealed it had undertaken its own consultation on the issue of modernizing the Common Good fund, from which it had drawn up its recommendations. Setting out these proposals before the Scottish Parliament it also called on all local authorities to compile an up to date register of Common Good assets by March 2009.
LASAAC said it had now taken the accounting issues as far as it could but there still existed a clear need for legislative and policy clarity on the Common Good.
As Grant Macrae, summed up:
“There remains scope for clarification of the policy intention on the relationship between the Common Good, the local authority and the role of elected members. This is, of course, a matter for the Scottish Government.”