Form PM3 ( Interim Report2:

		FORMAT OF PROGRESS REPORT
(To be submitted by Grantee with each grant drawdown application, or at intervals no greater than 3 months)
Form PM3(Part 2-Capital)
Project Title:	Scottish Archive Network			Project Ref No:	DG-95-05231
Name of Grantee:	Scottish Archive Network
As stated in the Monitoring Documents referred to in your Grant Contract, you are required to submit to NHMF a Progress Report with each grant drawdown application, or at maximum intervals of 3 months in the absence of an application, reporting on how the project is progressing towards meeting the Approved Purposes. The headings and format of the Report, addressing the principal monitoring criteria, are shown below. These headings and format must be followed, but you may prepare your Report using computer software incorporating spreadsheets as appropriate. All sections (expanded in size as necessary) are to be completed fully on each monthly report. (Use supplementary sheets if necessary). PM forms should be returned in hardcopy and must be completed fully. Failure to do so will delay processing your Grant
Report No:	50		Report Date:			13 Jun 2003
			Covering Period:			May 2003

1. General Progress/ Programme and Project Objectives

Enter summary report on general progress towards achievement of the Approved Purposes identifying any problems or issues to which NHMF’s attention should be drawn. Note any actions proposed in response to problems or particular areas of risk.

The project remains within budget and is scheduled to be completed on time.

See annex 1 for detailed progress.

See annex 2 for update on special conditions.

The Project Performance Information is now held on the accompanying spreadsheet.

2. Partnership Funding

Enter progress towards securing partnership funds

Source of Funding	Amount expected (A)	Amount received to date (B)	Balance to come A-B)	Date balance expected
NAS	£425,967	£177,826	£248,141	Oct 2003
GSU	£703,785	£669,955	£ 33,830	Oct 2003
	£1,129,752	£84,7781	£281,971	Oct 2003
Totals

Explain any changes to sources of Partnership Funding since the last Progress Report

3. Change Control

Enter requests for any material change to the Approved Purposes which have been approved by NHMF since the last Report and advise of any potential requests for such change in the future.

Description of Change Item

Date of request to NHMF

Date of NHMF response

Effect on achievement of Approved Purposes

Effect on Programme

Effect on Costs

Note: NHMF Approval is required for any material change to the Approved Purposes

Report on any effect to delivery of the Approved Purposes of any cost transfer between the principal cost elements stated in your “Notification of Grant”. (Note: no such transfer is to be made between capital and revenue elements, or between VAT and any other cost element, without NHMF prior consent ).

Amount of cost transfer (£’000)	Cost transfer from (cost element):	Cost transfer to (cost element):	Effect on delivery of Approved Purposes
N/A

4. Review of Design Drawings and Documentation

Enter any design reviews or comments received from NHMF or its Project Monitors since your last report

Work element for which Design/Document review has been carried out	Date reviewed	NHMF/Project Monitor’s comments (if any)
N/A

5. Timetable/Programme

Enter progress compared with the agreed Timetable/Programme for key activities

Grant Expiry Date:

Key Activity or milestone	Planned completion date	Actual (or currently forecast) completion date	Variance	Comment
Overall Project Completion

6. Expenditure on Approved Costs

a) Cost Control

Enter expenditure to date against the key items of Approved Cost (i.e. the costs on which NHMF has agreed to pay the Payment Percentage) compared with that detailed in the pre-commencement documentation. (VAT and Contingencies to be separately identified).

Items of Approved Cost (Principal cost elements)	Approved Costs to completion as agreed at award	Out-turn Costs as currently forecast (A)	Planned costs to date - as submitted with Form PM1 (B)	Actual costs to Date (C)	Variance (C-B)	Balance of costs (A- C)
Staff	£2,170,889	£2,170,889	£2,170,889	£2,176,666	£ 5,777	£ -5,777
Internet Server	£449,700	£ 449,700	£ 449,700	£ 103,370	£-346,330	£346,330
Communication	£51,222	£ 51,222	£ 51,222	£ 61,197	£ 9,975	£ -9,975
Digitisation	£349,191	£ 349,155	£ 349,155	£ 150,601	£ -198,554	£198,554
Other	£543,500	£ 543,500	£ 543,500	£ 369,339	£-174,161	£174,161
Contingency	£ 335,498	£171,457	£171,457		£-171,457	£171,457
VAT	N/A
Totals	£3,900,000	£3,735,923	£3,735,923	£2,861,173	£ -874,750	£ 874,750

Note any significant changes to the apportionment of costs between the principal cost elements prior to their commitment. Note the effect of any such changes and confirm that they will not affect the Approved Purposes including expected quality.

Cost transfer from :	Cost transfer to:	Amount (£)	Effect of Transfer
N/A

b) Cash Flow

Enter the expected timing of expenditure of the total Balance (A-C) calculated above and the funding sources to cover the expenditure

	To date	Next Qtr	2^nd Qtr	3^rd Qtr	4^th Qtr	5^th Qtr	Later	Total to Completion
Expenditure of Approved Cost	Enter Total of C above							Enter Total of A above
Funded by:
NHMF	£2,861,173							£3,735,923
Other source (1)
Other source (2)
Other source (3)
Total Funding (to equal Expenditure of Approved Cost)	£2,861,173							£3,735,923

7. Procurement

Enter the current procurement status of any significant goods, works, or services currently being procured for the project, or awarded since the last Report.

Goods/Works/ Services : brief description

Approx Value

EU procurement Applies? Yes./No

No of tenderers

Date of tender return

Date of award

Selected Contractor/supplier/ consultant

Identify any goods/works/services not awarded to the lowest tenderer and provide reasons why the selected supplier/consultant/contractor offered best value for money.

8. Property Ownership and Possession

Note any evidence provided at the request of NHMF or the Project Monitor.

Property Description and evidence provided	Date evidence provided to NHMF
N/A

9. Insurance

Enter the insurances you have effected:

Cover	Effective From Date	Expiry Date
Employer Liability Insurance	01/02/03	31/01/04
Computer Insurance	21/10/02	20/10/03
Office Insurance: Including Goods In Transit & Officers Liability Insurance.	01/02/03	31/01/04

10. Appointment of Staff (Revenue Elements only, if any)

List the salaried staff appointed (applicable to “Revenue” elements of project only) since your last Report and the total number of volunteers currently employed (if any).

a) Salaried Staff (Note: applicable only to staff whose salaries are included as Eligible Costs in the Approved project.

Position

Date Appointed

Job Description sent to NHMF (Yes/No)

Media in which advert placed

Employment Contract to NHMF (Yes/No)

b) Volunteer Staff

The total number of Volunteer staff employed at present is …………11…… (Details are provided with PM3 (Part1)

11. Statutory Consents

Enter the status of the principal statutory consents required to complete the project

Consent Required	Granting Authority	Actual or expected date of consent
Planning	N/A
Listed Building
Scheduled Monument
Others

12. Publicity and Grant Acknowledgement

Enter displayed acknowledgement, press releases, or other publicity issued since the last report:

Description	Date Issued	Approved by NHMF (Yes/No)
Displayed acknowledgement	N/A
Publicity issued

13. Photographic Records

Y

Confirm that you are making photographic records of the project Y

14. Special Conditions

Indicate progress towards satisfying the Special Conditions (if any) noted in the Contract:

No	Special Condition	Target Date for compliance	Current Status
	See Annex 2

Name of Grantee: Scottish Archive Network

Address: Thomas Thomson House, 99 Bankhead Crossway North, Edinburgh, EH11 4DX

Signed for Grantee: …Rob Mildren……………………………………………………..

Date: 13/06/03………………………….

Annex 1

Sub Project Reports

1. Online Catalogues

Progress:

Work on collection description creation continued in the following archives:

• Archdiocese of Glasgow
• Clackmannanshire Council Archives
• Royal College of Nursing Archives
• Dumfries and Galloway Archives
• National Archives of Scotland
• Scottish Screen Archives

Editing work took place on

• Greater Glasgow NHS Board Archives
• Royal College of Surgeons Edinburgh
• Dundee University Archives

Data was dispatched to Royal College of Surgeons Edinburgh for local review. Continued checking of WeeArkis data migrated into CALM occurred, including the work on reconciling potential duplicate name authorities.

Training and Outreach:

Preparations were in hand for the provision of CALM training to those participating archives who would be obtaining licences to use CALM through us. The first training sessions will be in July; the local installation of CALM will commence in early June.

2. Internet Resources project

General:

In May most of the Internet Resources teams’ work was devoted to digitisation projects and the future of the SCAN website. Much of Robin Urquhart’s time was spent preparing for the digitisation of poor relief records from Highland Council Archive for possible inclusion in the Scottish Documents website; for the digitisation of the minute books of the Royal College of Surgeons of Edinburgh (one of SCAN’s participating archives); and for the digitisation of the Lauder Burgh minutes on behalf of the Scottish Borders Council.

Staff, training and outreach:

The vacant B2 post remained unfilled during April. Robin Urquhart continued to work on the project while the future of SCAN was discussed. Robin Urquhart sat two ECDL exams and attended meetings with web designers (MMI) regarding development of the SCAN and ScottishDocuments websites; Highland Council Archives staff regarding the digitisation of poor relief records; and the Royal College of Surgeons of Edinburgh, regarding the digitisation of the College’s minute books. He also attended the launch of the Am Baile project in Inverness, of which SCAN is a contributor. He also spoke at the Scottish Records Association conference at Dumfries on 31 May on the subject of poor relief records.

Digitisation:

Jim Oakley worked principally on digitising High Court records for the National Archives of Scotland’s Court and Legal branch, and servant tax records for the SCAN site. He also worked on copying existing SCAN images to the I drive and digitising charters and seals on behalf of the National Archives of Scotland’s Readers’ Services branch.

3. Testaments Project

Digitising of the following 1876-1901 Sheriff Court testaments continues:

· Edinburgh Inventories (SC70/1/177-408)

· Edinburgh Probates Resealed (SC70/6/1-83)
Digitising of the following Commissary Court warrants continues:

· Stirling (CC21/6/1-102)
Digitising of the following Commissary Court warrants was completed:

· Brechin (CC3/4)
Digitising of Church of Scotland Kirk Session records of the presbytery of Moray was started.

Conservation:

Conservation of a badly damaged bundle of Brechin warrants (CC3/4/6) by NAS was completed this month.

Ann Gibson continued to sleeve and repack Stirling and Brechin Commissary Court warrants before and after digitising. She also flattened 6874 pages from Edinburgh Probates Resealed (CC70/6) prior to numbering and digitising.

Editorial:

• The GSU team continued index/image linking of Aberdeen Inventories (SC1/36/78-144). They continued paginating Edinburgh Probates Resealed (SC70/6/1-83) as well as Kirk Session records for the Presbytery of Moray (CH2/45,144,145,158,342,839)
• Jane Hill completed linking Brechin Commissary Court registers (CC3/3/1-12, CC3/5/1-7), and began work on Lauder Commissary Court registers (CC15/5/1-12, CC15/7/1-3).
• Nicola Mills continued linking registers of Edinburgh Commissary Court (CC8/8 and CC8/11).
• Margaret Fox linked registers in Caithness Commissary Court (CC4/3/1-3)
• Ralph Moffat continued work on additions (biographies and transcripts) to the Famous Scots pages of www.scottishdocuments.com. There are now nearly 60 wills available on these pages.
• Charles Kelham and Ann Gibson completed sorting the warrants of Kirkcudbright Commissary Court (CC13/6/128). Ann then began numbering the selected documents in preparation for digitizing

Work on assigning references to the index entries for the 1876-1901 registers was completed.

Staff, training and outreach:

Visits to the SCAN camera room were received from:

• Liverpool Record Office on 14^th May
• National Archives of Iceland on 16^th May

Margaret attended a SCAN team leader meeting in Hazel’s absence on 9^th May, and Hazel attended a SCAN marketing meeting on 28^th May. Margaret’s end-year appraisal took place on 22^nd May.

Staff leave during the month was as follows:

The GSU team, 19^th – 23^rd May (attending their annual zone seminar in Preston).

Hazel, 5^th-12^th May.

Annex 2

HLF Special Conditions

1.1	Prior to commencing the Works the Grantee will sign and complete all contracts required to enable the Grantee to fulfill the Approved Purposes including all contracts with contractors and professional advisers before the work to which such contracts relate is due to commence. Each such contract shall provide for the provision of the work or services contracted for on terms which do not differ to a material extent (save as provided by this Contract) from the terms (including appropriate provisions for a retention on practical completion) that would be entered into by a reasonably experienced relevant employer engaging parties to provide similar work or services for projects of the size, value, complexity and prominence of the Approved Purposes. Any material divergence from such terms requires the Approval of NHMF.	Fulfilled. The Scottish Archive Network follows all Scottish Executive procurement rules. This has been verified by Mr J Grady, Chief Procurement Officer NAS.
1.2	Prior to commencing the Works the Grantee will sign and complete all contracts required to enable the Grantee to fulfill the Approved Purposes including all contracts with contractors and professional advisers before the work to which such contracts relate is due to commence. Each such contract shall provide for the provision of the work or services contracted for on terms which do not differ to a material extent (save as provided by this Contract) from the terms (including appropriate provisions for a retention on practical completion) that would be entered into by a reasonably experienced relevant employer engaging parties to provide similar work or services for projects of the size, value, complexity and prominence of the Approved Purposes. Any material divergence from such terms requires the Approval of NHMF.
1.3	NHMF may reduce the Grant by such amount as it thinks fit up to an amount which bears the same proportion to the difference between the lowest tender price and the price of the tender accepted by the Grantee as the Grant bore to the original cost of the Approved Purposes if NHMF, in its absolute discretion, disagrees with the reason given by the Grantee for not accepting the lowest tender.
1.4	The Grantee agrees that it shall only accept tenders that it believes in good faith will result in the Approved Purposes being carried out to the standard prescribed by Special Conditions 2 and 9 of this Contract.
2.	The Grantee shall carry out the Works or shall procure that the Works are carried out in a professional manner in accordance with currently accepted best practice in the Information Technology industry. The Grantee will ensure that best practice or proven and widely adopted standards are applied especially in the areas of project management, requirements analysis, system or application, design, testing, documentation, installation and maintenance and in the area of the preservation of digital materials.	SCAN believes that it is carrying out the Works and procuring the Works in a professional manner in accordance with currently accepted best practice in the Information Technology industry
3.	Prior to commencing the Works the Grantee shall secure to NHMF’s satisfaction all necessary planning permissions building consents and statutory approvals.	Fulfilled
4.	Prior to commencing the Works the Grantee shall prepare a detailed cost plan for carrying out the Approved Purposes in a format which has been agreed in advance by NHMF and shall submit the same to NHMF for Approval. Thereafter the Grantee shall spend the Grant and other funds provided for the Approved Purposes only in accordance with the Approved cost plan (“the Cost Plan”). The Grantee must obtain prior written Approval for any changes in expenditure which are not in accordance with the details of the Cost Plan and in particular for movement of funds between the various elements of the Cost Plan.	Detailed cost plan submitted and agreed with the HLF. No changes in expenditure have been made without prior written approval. The budget has been updated following the PID review and a report detailing the variations form the original budget estimates has also been submitted for discussion with the HLF at our next quarterly meeting
5.	Prior to commencing the Works the Grantee shall prepare a draft monthly project report form and a draft monthly cash flow report form and shall submit the same to NHME for Approval. Thereafter the Grantee shall submit signed monthly reports in the Approved forms to NHMF until the Approved Purposes have been fulfilled.	Signed monthly project reports and monthly cash flows are submitted to the HLF
6.	Prior to commencing the Works the Grantee shall submit to NHMF for Approval a revised and updated programme for the Project. For the avoidance of doubt the Programme shall contain details of the works to be carried out at the development stage. The Grantee shall only carry out the Works in accordance with the Approved programme (“the Programme”) or any modification thereof Approved by NHMF.	The Project Initiation Document (PID) was submitted to the HLF as requested. The revised PID has also been submitted and discussed with the HLF
7.	The Grantee will effect and maintain (or will procure the effecting and maintenance of) during the Works construction and project insurance of the project on terms which note the interest of and are Approved by NHMF.	Insurance has been obtained and full details given to the HLF. Any renewal notices will automatically be dealt with by SCAN
8.	Prior to issuing invitations to tender the grantee shall prepare a report on the information and communication technology to be installed at the Property pursuant to the Approved Purposes and without prejudice to the generality of the foregoing the report shall include:-	An ICT report was prepared and the tendering process undertaken as agreed. The ICT infrastructure is now in place and has been paid in full. The next requirement will be to increase the data storage capacity as the digital imaging workflow increases
8.1	a feasibility report
8.2	the specification for the Digital Deliverables
8.3	the design of the system which shall in particular include details of all interactives
8.4	the proposals for the purchase of network infrastructure.
	On receipt of Approval for the report (“the ICT Report”) the Grantee shall prepare invitations to tender and tender evaluation criteria for such works and shall submit the same to NHMF for Approval. Thereafter the Grantee shall issue invitations to tender in accordance with the Approved tender invitations and evaluation criteria.
9.	The Grantee shall carry out the information and communication technology works in accordance with currently accepted best practice in the Information Technology industry. The Grantee will ensure that best practice or proven and widely adopted standards are applied especially in the areas of project management, requirements analysis, system or application specification, design testing, user and system documentation, installation and maintenance and in the areas of the preservation of digital materials.	SCAN believes it has fulfilled and is fulfilling this condition
10.	The Grantee shall submit to NHMF for Approval details of the standards that the Grantee intends to implement.	SCAN has submitted to the HLF its draft cataloguing standards
11.1	Prior to commencing the Works relating to the information communication and technology the Grantee shall submit to NHMF for Approval a report for the safeguarding and enhancement of, and public access to, the Property including without limitation its proposals for:
	a) such testing as may be necessary to demonstrate that the Digital Deliverables and capable of fulfilling the Approved Purposes	Schedule of Requirements for the Supply of Digital Cameras	October 1999
		Information and Communications Technology Requirements	March 1999
		Information and Communications Technology Tender Document	February 2000
		Test plan submitted for installation of ICT equipment	October 2000
		Data Capture Specification for Indexes	November 1999
		Website design specification	November 1999
	b) such evaluation as may be necessary to demonstrate that the Digital Deliverables are capable of fulfilling the Approved Purposes	Evaluation and selection criteria for ICT equipment submitted in evaluation report “SCAN ICT Requirements Tender Report”	April 2000
		Book Cradle Evaluation	July 2000
		Web Site Tender Evaluation	January 2000
		Camera Evaluation for HLF	May 2000
		Resolution Requirements for Testaments	May 2000
		Data Capture Tender Evaluation	December 2000
	c) the preservation and security of all data and other material collected or created in the course of carrying out the Approved Purposes by the keeping of back-up copies of the Digital Deliverables and otherwise;	Weekly backups and daily incremental backups take place for all SCAN information (excluding images)	April 2001
		Uncompressed TIFF images are written to DLT and stored locally	November 2000 (and ongoing)
		Compressed JPEG images are written to the Internet Server where a backup is taken weekly	November 2000 (and ongoing)
	d) the form of licence(s) to be used by the Grantee permitting third party exploitation of the Intellectual Property;	This was included as part of the contract negotiations with the Genealogical Society of Utah. The HLF have a copy of this document July 1999
	e) the form(s) of assignment(s) consent(s) waiver(s) licence(s) or permission(s) to be used by the Grantee for the securing of third party rights in the Intellectual Property;
	f) error correction, maintenance and updating of the Digital Deliverables	Data flow diagram of the digitisation process available May 2001 Proposed data flow for the maintenance of distributed data for the online catalogues available from May 2001
	g) user manuals or instructions and interfaces for the Digital Deliverables and its use.	All manuals received for ICT equipment and standard operation of digital cameras Additional operator manual developed with GSU for the use of the digital camera. ser manual produced in association with the GSU for the installation, maintenance and delivery of digital imaging in June 2000 Guidelines for capture of fonds level descriptions produced by SCAN in September 2000
	Thereafter the Grantee shall submit signed monthly written reports in the form agreed with NHMF and show the progress made in relation to the above matters. The Grantee must obtain prior written Approval for any changes in the proposals which are not in accordance with the Approved reports
11.2	On receipt of Approval of such proposals or monthly reports the Grantee shall implement such proposals in carrying out the Approved Purposes.
12.1	Prior to commencing the Works relating to the information communication and technology the Grantee shall submit to NHMF for Approval a report on the hardware technology to be used with the Digital Deliverables (“the Hardware”) including without limitation its proposals for: (a) such testing as may be necessary to demonstrate that the Hardware is capable of fulfilling the Approved Purposes; (b) such evaluation as may be necessary to demonstrate that the Hardware is capable of fulfilling the Approved Purposes; (c) error correction, maintenance and updating of the Hardware; and (d) user manuals and instructions for the Hardware and its use. Thereafter the Grantee shall submit signed monthly written reports in the form agreed with NHMF and show the progress made in relation to the above matters. On receipt of Approval of the said monthly reports the Grantee shall implement the reports in carrying out the Approved Purposes. The Grantee must obtain prior written Approval for any changes in the proposals which are not in accordance with the Approved reports.	A presentation and report covering the entire ICT requirements for the project was given	May 2000
		Information and Communications Technology Requirements	March 1999
		Information and Communications Technology Tender Document	February 2000
		Test plan submitted for installation of ICT equipment	October 2000
		Data Capture Specification for Indexes	November 1999
12.2	On receipt of Approval of such proposals or monthly reports the Grantee shall implement such proposals in carrying out the Approved Purposes.
13.	The Grantee shall enter into a deposit agreement with a third party Approved by NHMF for all Digital Deliverables and any associated or necessary software and applications and shall thereafter deposit escrow copies of the said Digital Deliverables on a basis to be agreed with NHMF.	Escrow discussed for deposit of digital images. SCAN has a contract clause with GSU to provide mutual restore and backup of digital images	Early discussions held with NCC Follow Up Required
14.	The Grantee shall ensure that all applications and software necessary to access use or present the digital deliverables are transferable to a third party.	Escrow discussed for deposit of any software packages	Early discussions held with NCC Follow Up Required
15	The Grantee agrees that it shall take all reasonable steps to mitigate to NHMF’s satisfaction the amount of VAT payable upon, or to recover the VAT payable upon, or to recover the VAT attributable to, the cost of fulfilling the Approved Purposes. The Grant shall be reduced by an amount which bears the same proportion to the VAT not payable or recovered as the Grant, prior to such decrease, bore to the original costs of the Approved Purposes.	SCAN has fulfilled this condition: VAT is fully recovered.
16	At the end of Year 1 the Grantee is to produce a policy statement to support the extensibility of membership of Scottish Archive Network Limited with no financial implications.	SCAN supports the extensibility of membership of the Scottish Archive Network with no financial implications. Currently there is an interest shown by the Roman Catholic Archdiocese of Glasgow Archives for inclusion
17	The Grantee will effect and maintain (or will procure the effecting and maintenance of) during the Works construction and project insurance for the Project on terms which note the interest of and are Approved by NHMF.	SCAN has fulfilled this condition
18	The documents required to be submitted or provided to NHMF under these special conditions, are required to be submitted or provided by the Grantee only for NHMF’s own purposes in connection with the Grant and NHMF’s approval or acceptance of such documents cannot be taken as approval or acceptance for any other purpose.	This is accepted by SCAN
	19. [Clause to go in here annexing contracts between a Scottish Archive Network Ltd and others]
20	The Grantee shall take account of any representations which NHMF may make with regard to the carrying out of the Approved Purposes in accordance with the Programme, Design, specification, Cost Plan, ICT Report and the contracts referred to in special conditions 1.1. In particular the Grantee shall take account of any representations which NHMF may make prior to the issue of a certificate of practical completion of the Works and shall pass such representations on to the person authorised to sign a certificate of practical completion.	This is accepted by SCAN
21	Without prejudice to the generality of Clause 13.2 of this Contract NHMF may at any time appoint by notice in writing to the Grantee a third party (“the Lead Monitor”) to monitor the progress of the Approved Purposes and additional monitors to advise on specialist matters arising from the implementations regarding the Approved Purposes the Grantee shall take such reasonable steps as may be necessary to comply with the recommendations.	This is accepted by SCAN
22	Prior to commencing the Works the Grantee shall secure to the satisfaction of NHMF all the additional funding required to complete the Approved Purposes.	The additional funding required by the HLF was secured. Budget projections supplied to HLF in March 2001 indicate that the project will complete within budget and with the agreed percentage of partnership funding