Issue - meetings

To consider the report of the Chief Finance Officer.

The Chief Finance Officer presented the report which advised Members of the overall projected financial position of the HRA & General Fund Revenue Budgets for the 2018/19 financial year after nine months.

The Chief Finance Officer also requested an additional recommendation be put forward to Council, for the approval of a supplementary budget of £30,000 to fund the delivery of a housing needs survey.

During discussion, the following points were made:-

·         Members supported the request for the supplementary budget as it would inform the Council as to the housing needs across the City, and therefore allow for appropriate planning to meet those needs;

·         That the projected stabilisation of the Council’s financial position should be welcomed

Corporate Services Scrutiny Committee considered the report at its meeting on 28 March 2019 and its comments were reported.

RECOMMENDED that Council notes and approves the:-

(1)    General Fund forecast financial position for the 2018/19 financial year;

(2)    HRA forecast financial position for 2018/19 financial year;

(3)    Outstanding Sundry Debt position as at March 2019;

(4)    Creditors’ payments performance; and

(5)    Request for a supplementary budget of £30,000 to deliver a housing needs survey.

To consider the report of the Chief Finance Officer.

The Chief Finance Officer presented the report for the Revenue Budget for 2018/19, advising Members of the overall projected financial position of the HRA & General Fund Revenue Budgets and for the Members to formally note the Council’s projected financial position and to approve additional expenditure required during the financial year.

He explained that work had been undertaken during the second quarter, to prevent the General Fund level from falling below the £3 Million level, which was initially expected to happen. Although the level had not dropped, there was still a requirement to continue to identify means of funding for unexpected financial pressures throughout the year.

The Housing Revenue Account (HRA), showed a significant reduction in the amount to be taken from the working balance, and the projected reduction was £396,482, leaving the balance at £9,815,762. Members were informed that the HRA position had been affected by delays from the Capital Programme, which had resulted in a large reduction to the amount to be taken from the working balance. Members noted that there should be progress moving schemes forward.

The General Fund Balance, had remained stable during the last quarter, with an overall net contribution of £1,645,926, leaving the projected year-end balance at £3,046,478, which was marginally above the £3 million minimum level approved by Council. Members were referred to the key variances for Planning Services, noting that there was no £357,000 overspend as this would be funded from the Community Infrastructure Levy (CIL) and it was confirmed that without this, the Planning Services would be in surplus.

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

·         The £130K additional consultancy cost for procurement, covered the whole year, and there had been no consultancy spend since October 2018. There had been a temporary HRA Procurement Manager in post for over a year, with the costs re-charged to the HRA. The Manager would be leaving the Council and the work would be incorporated into the internal Procurement Team.

·         There was an error with the debt write off figures in the report, which would be corrected and re-issued to Members.

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 2018/19 financial year;

(2)  The HRA forecast financial position for 2018/19 financial year;

(3)  The outstanding Sundry Debt position as at March 2019; and

(4)  The creditors’ payments performance.