Issue - meetings

Overview of Revenue Budget 2

Meeting: 09/07/2019 - Executive (Item 70)

70 Overview of Revenue Budget pdf icon PDF 147 KB

To consider the report of the Chief Finance Officer.

 

Corporate Services Scrutiny Committee considered the report at its meeting on 27 June 2019 and its comments will be reported. (The appendices were previously circulated to the Scrutiny Committee on the above date).

Decision:

Agreed

RECOMMENDED that Council notes and approves (where applicable):

 

(1)   That the net transfer of £1,717,058 to Earmarked Reserves as detailed in paragraph 9.3.6 is approved.

 

(2)  That supplementary budgets of £2,344,257 be approved as detailed in paragraph 9.3.8

 

(3)  That Earmarked Reserves at 31 March 2019 be noted;

 

(4)  That the Council Tax account and collection rate be noted;

 

(5)  That the outstanding sundry debt, aged debt analysis and debt write-off figures be noted;

 

(6)  That the creditor payments performance be noted;

 

(7)   By taking into account the overall financial position of the Council, the General Fund working balance at 31 March 2019, be approved at £4,395,024;

 

(8)  That the Housing Revenue Account working balance at 31 March 2019 is approved at £10,025,355 and the Council Own Build working balance is approved at £274,855.

 

Reason for Decision:

As set out in the report.

 

 

 

Minutes:

The Executive received a report, which had already been considered by Corporate Services Scrutiny Committee on 27 June 2019 and advised Members of the overall financial position of the Housing Revenue Account (HRA) and General Fund revenue budgets for the 2018/19 financial year.  It sought approval for the General Fund working balance, HRA working balance, a number of supplementary budgets and the creation of new earmarked reserves.  Members’ attention was drawn to the detailed minutes of Corporate Services Scrutiny which had been circulated.

 

RECOMMENDED that Council notes and approves (where applicable):

 

(1)           That the net transfer of £1,717,058 to Earmarked Reserves as detailed in paragraph 9.3.6 of the report circulated, is approved;

 

(2)           That supplementary budgets of £2,344,257 be approved as detailed in paragraph 9.3.8 of the report circulated;

 

(3)           That Earmarked Reserves at 31 March 2019 be noted;

 

(4)           That the Council Tax account and collection rate be noted;

 

(5)           That the outstanding sundry debt, aged debt analysis and debt write-off figures be noted;

 

(6)           That the creditor payments performance be noted;

 

(7)           That by taking into account the overall financial position of the Council, the General Fund working balance at 31 March 2019, be approved at £4,395,024; and

 

(8)           That the Housing Revenue Account working balance at 31 March 2019 be approved at £10,025,355 and the Council Own Build working balance be approved at £274,855.

 


Meeting: 27/06/2019 - Corporate Services Scrutiny Committee (Item 23)

23 Overview of Revenue Budget pdf icon PDF 148 KB

To consider the report of the Chief Finance Officer.

 

Additional documents:

Minutes:

The Chief Finance Officer presented the report for the Overview of Revenue Budget which advised Members of the overall financial position of the HRA & General Fund RevenueBudgets for the 2018/19 financial year. The report also sought approval for the General Fund working balance, HRA working balance, a number of supplementary budgets and the creation of new earmarked reserves.

 

Members were referred to the Housing Revenue Account (HRA) balance, which showed a deficit of £186,889 with an overall balance of £10,025,355, at 31 March 2019. The Chief Finance Officer confirmed that there had been less spending, no borrowing and changes made to the Capital Programme.

 

He referred to the General Fund balance, which showed an under-spend of £2,149,518 against the revised budget of £15,288,840 for Service Committees. There had been two major issues which had impacted on the under-spend during the financial year:-

 

·         The Council had won an appeal for the business rates for the Royal Albert Memorial Museum (RAMM), earning £1million. The Valuation Office, then appealed against this appeal, resulting in the £1million being put on hold, until the outcome of the appeal.

 

·         The agreed transfer of the Valley Parks to the Devon Wildlife Trust (DWT) and the fact that the legal paperwork could not be completed in the last financial year, delayed the agreed payment of £425,000. This had now been resolved.

 

He discussed the business rate income for the previous financial year, which was based on the 100% business rate pilot, and had generated £950,000 for the Council. The Government hadn’t allowed for a second year for the 100% business rate for Devon local authorities. The Chief Finance Officer referred Members to the request for £2,344,257 supplementary budget detailed in the report, providing an overview for the request.

 

In response to questions from Members, the Chief Finance Officer explained that:-

 

·         There were Section 106 agreements in place for some of the City’s Parks and Green Spaces, however the matter was a legal issue. Members could address concerns about the closure of the City’s Parks and Green Spaces, where Section 106 agreements were in place to the City Solicitor & Head of HR. A report was also being presented to Executive in July 2019 on the outcome of the consultation.

 

·         The funding for the Council was part of the Government Fair Funding review and would be included as a risk in the Medium Term Financial Plan.

 

·         The Accounts team would be notified about amending the details of the job roles listed in the report.

 

·         Permanent Procurement Officers were now in post, meaning there should be no need for further consultancy spend.

 

·         The £2,149,518 reported underspend partly related to the RAMM appeal, which was currently on hold. Once the outcome was known, it may then be used for potential key services across the city. The legal fees for the appeal may be up to £30,000.

 

·         The £100,000 saving for play areas, was a standalone saving, following the advice from last year, for Council staff to look at ways of reducing  ...  view the full minutes text for item 23