Issue - meetings

To consider the report of the Assistant Director Finance.

Corporate Services Scrutiny Committee considered the report at its meeting on 23 March 2017 and its comments will be reported.

The Technical Accounting Manager presented the report advising Members of the overall projected financial position of the Housing Revenue Account (HRA) and General Fund Revenue Budgets for the 2016/17 financial year after nine months and to seek approval for a supplementary budget.

The Technical Accounting Manager stated that the General Fund had a forecast underspend of £846,865 with a forecast working balance of £4,014,812 and the HRA had a forecast underspend of £958,178 with a forecast working balance of £7,884,723.

Corporate Services Scrutiny Committee considered the report at its meeting on 23 March 2017 and its comments were reported.

RECOMMENDED that Council notes and approves:-

(1)        General Fund forecast financial position for the 2016/17 financial year;

(2)        the HRA forecast financial position for 2016/17 financial year;

(3)        the additional supplementary budget listed in Appendix C;

(4)        the outstanding Sundry Debt position as at December 2016; and

(5)        the creditors’ payments performance.

To consider the report of the Assistant Director Finance

The Assistant Director Finance presented the report on the Revenue Budget, which outlined the overall projected financial position of the HRA & General Fund Revenue Budgets for the 2016/17 financial year and to seek approval for a supplementary budget.

He discussed the Council’s estimated financial position and the requirement for approval of additional expenditure during the financial year based on the under-spend outlined in the report. He commented that a supplementary budget totalling £59,000 had been approved previously by Council.

The Assistant Director Finance explained that the House Revenue Account had an opening balance of £7,068,670 with a projected surplus of £816,053. He commented on the underspend of management units and highlighted that £320,000 had been underspent on the repairs and maintenance.

He outlined the General Fund which indicated that the service committees had an under-spend of £153,519 against the revised budget of £15,028,649. He summarised the spending of the three Scrutiny committees indicating:

·         People Scrutiny Committee had an under-spend of £14,950;

·         Place Scrutiny Committee had an over-spend of £127,821;

·         Corporate Services had an under-spend of £266,390.

The Assistant Director Finance reported that the car parking under-spend for the Place Scrutiny Committee was £501,370 based on income from parking fees. He commented on the Supplementary Budgets informing Members that there was a requirement for further supplementary budgets in 2016/17. The General Fund supplementary budget was £59,000.

In response to questions from Members, the Assistant Director Finance explained:

·         The parks and green spaces had an under-spend of £108,770 which had been caused by vacant posts. Some income had come from park assets but the parks and open spaces team would be able to provide more information on this

·         Car park use across the city had increased which had caused an under-spend of £501,370. Had this not have happened the take from balances would have been closer to the revised estimate £850,000;

·         The car park machines would be adapted to be able to take the new £1 coins. The machines would initially be adapted to accept the new coins and then at a later date, be adapted again to ensure older pound coins could not be used. The cost was not known at this time but will not be significant.

Corporate Services Scrutiny Committee noted the report and requested Executive and Council to note and approve:

(1)  The General Fund forecast financial position for the 2016/17 financial year;

(2)  The HRA forecast financial position for 2016/17 financial year;

(3)  The additional supplementary budget listed in Appendix C;

(4)  The outstanding Sundry Debt position as at December 2016;

and

(5)  The creditor’s payments performance.