Issue - meetings

To consider a report by Councillor Julian Thompson-Hill, Lead Member for Finance, Corporate Plan and Performance (copy enclosed) detailing the latest financial position and progress against the agreed budget strategy.

RESOLVED that Cabinet  –

(a)       notes the budgets set for 2015/16 and progress against the agreed budget strategy;

(b)       approves the allocation of £4.8m contingency to support Glasdir and Ysgol Carreg Emlyn schemes within the 21st Century Schools Programme, to be funded from the release of revenue budgets from within the overall Schools Modernisation Programme;

(c)        approves the write-off of debts owed by The Scala Prestatyn Company Limited amounting to £140k, and

(d)       approves the allocation of £1.5m from the review of balance sheet provisions and in year contingencies to the Capital Plan.

Councillor Julian Thompson-Hill presented the report detailing the latest financial position and progress against the agreed budget strategy.  He provided a summary of the Council’s financial position as follows –

·        a net under spend of £0.418m was forecast for service and corporate budgets

·        91% of agreed savings had been achieved to date (target £7.3m) and the majority of the remaining savings were projected to be achieved by 2016/17 at the latest

·        highlighted key variances from budgets or savings targets relating to individual service areas, and

·        a general update on the Housing Revenue Account, Housing Capital Plan and the Capital Plan (including the Corporate Plan element).

Cabinet was also asked to approve £4.8m contingency to support Glasdir and Ysgol Carreg Emlyn schemes; £1.5m to the Capital Plan together with the write off of £140k debts owed by The Scala Prestatyn Company Limited.

The following matters were raised during debate –

·         Cabinet commended the significant investment in major capital projects, particularly given the difficult financial times, which included investments in Schools, Rhyl Seafront, the Nova Development and West Rhyl Coastal Development Scheme, and congratulated all those involved with those projects

·         the investment in the Ruthin Primary Schools 21st Century Schools project was also highlighted and members were pleased to note that the Glasdir and Ysgol Carreg Emlyn schemes were on track for delivery in September 2017 and an update on those projects had been added to Cabinet’s regular finance report.  It was agreed that, in terms of Glasdir, future reference be made to ‘shared site’ as opposed to ‘shared school’ in order to denote the two schools on the site

·         following confirmation of the final year-end figures the treatment of underspends would be considered by Cabinet in the financial outturn report – it was anticipated that many services would retain their underspends to continue with planned projects in the next financial year

·         it was confirmed that the Corporate Plan was robust and, based on current assumptions, resources were in place to ensure its delivery

·         the detrimental impact of severe weather on highways was also discussed and the additional road maintenance required as a consequence of flooding – Welsh  Government funding was being sought but if no external funding was available the necessary work would be funded from the Severe Weather Reserve

·         the delay in project work and changes in the approach to business planning had contributed to the underspend in the Economic and Business Development service and assurances were given regarding the intention to carry forward funding  in the next financial year to progress those planned projects.

RESOLVED that Cabinet  –

(a)       notes the budgets set for 2015/16 and progress against the agreed budget strategy;

(b)       approves the allocation of £4.8m contingency to support Glasdir and Ysgol Carreg Emlyn schemes within the 21st Century Schools Programme, to be funded from the release of revenue budgets from within the overall Schools Modernisation Programme;

(c)        approves the write-off of debts owed by The Scala Prestatyn Company Limited amounting to £140k, and

(d)       approves the allocation of £1.5m from the review of balance sheet provisions and in year contingencies to the Capital Plan.