Agenda item

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

RESOLVED that Cabinet –

(a)       note the budgets set for 2019/20 and progress against the agreed budget strategy;

(b)       approve the HRA proposal to build Passivhaus homes at Lodge Farm, Denbigh (as detailed in Appendices 6, 7 and 8 to the report;

(c)        approve the proposal to construct a new centre for recycling waste materials, and that £63k is set aside in the Medium Term Financial Plan to pay for the annual prudential borrowing costs (as detailed in Appendices 6 and 9 to the report);

(d)       approve the proposal to replace the substandard and environmentally inefficient accommodation at Botanical Gardens, Rhyl and that £39k is set aside in the Medium Term Financial Plan to pay for the annual Prudential Borrowing Costs (as detailed in Appendices 6 and 10 to the report), and

(e)       approve to replace £440k of the £616k cash allocation with base budget to help ensure the sustainability of the SC2 provision going forward (as detailed in Section 4 to the report).

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 –

·        the net revenue budget for 2019/20 was £198.538m (£194.418m in 2018/19)

·        an overspend of £2.109m was forecast for service and corporate budgets

·        highlighted current risks and assumptions relating to individual service areas

·        detailed required savings and efficiencies of £5.672m with an approved allocation of £616k from the Savings Achievement Contingency to offset known non-achievement savings (approximately 11% of the total savings identified)

·        provided a general update on the Capital Plan, Housing Revenue Account and Housing Capital Plan.

With regard to the previously approved allocation of £616k from the Savings Achievement Contingency it was recommended that £440k be made a permanent base budget adjustment in order to ensure that SC2 was funded appropriately going forward.  Cabinet was also asked to approve proposals recommended by the Strategic Investment Group relating to (1) Passivhaus homes at Lodge Farm, Denbigh, (2) Central Highways Depot, and (3) Botanical Gardens Accommodation.  Councillor Brian Jones referred to the situation with the legacy tip sites and the need for a purpose built facility for highways waste and he fully supported that proposal together with replacement accommodation at Botanical Gardens, Rhyl given the very poor standard of the current accommodation.

RESOLVED that Cabinet –

(a)       note the budgets set for 2019/20 and progress against the agreed budget strategy;

(b)       approve the HRA proposal to build Passivhaus homes at Lodge Farm, Denbigh (as detailed in Appendices 6, 7 and 8 to the report;

(c)        approve the proposal to construct a new centre for recycling waste materials, and that £63k is set aside in the Medium Term Financial Plan to pay for the annual prudential borrowing costs (as detailed in Appendices 6 and 9 to the report);

(d)       approve the proposal to replace the substandard and environmentally inefficient accommodation at Botanical Gardens, Rhyl and that £39k is set aside in the Medium Term Financial Plan to pay for the annual Prudential Borrowing Costs (as detailed in Appendices 6 and 10 to the report), and

(e)       approve to replace £440k of the £616k cash allocation with base budget to help ensure the sustainability of the SC2 provision going forward (as detailed in Section 4 to the report).