SUMMARY OF MAJOR VARIANCES (Qtr 2 2007/08)
(Not included elsewhere in the report)
Service Service Area Reason for Variance & Action being taken Variance to Date Projected Variance to Year End Previous Projection Movement
      £ £ £ £
      + = Adverse              ( ) = Favourable + = Increase              ( ) = Reduction
VARIANCES REPORTED THROUGH PRT PROCESS  (SERVICE HEAD COMMENTS)    
Legal & HR Licences - Betting & Gaming income Income from Gambling Act 2005 not anticipated. (26,000) (26,000) New +0 (26,000)
Search Fees (net) Previously reported as a variance in Qtr 1 - position now in line with budget. +0 +0 +2,200 (2,200)
Corporate Strategy Performance Reward Grant Grant received less than budgeted due to reduced allocation. +0 +19,000 New +0 +19,000
Information & Customer Services Mobile Phones Significant increase in cost of mobile phones.  Previous years costs offset by credit received from previous provider. +20,000 +29,500 New +0 +29,500
Financial Services Pension Costs (net) Lancs. Pension Fund monthly recharge now c.£1,200 less than budgeted, but additional ER costs incurred .  Tameside Scheme monthly contributions c £1,500 higher from May onwards, following 2006/07 outturn and reassessment. +21,100 +19,000 +1,700 +17,300
Audit Fees Projected variance based on straight comparison with approved fee (incl. CPA reassessment) but profiling between years needs reviewing. +0 +22,000 New +0 +22,000
Investment Interest Broad estimate based on current position, budget currently being reviewed as part of budget process. (9,800) (20,000) (50,000) +30,000
Bank Charges Broad estimate based on current position, budget currently being reviewed as part of budget process. (5,300) (8,000) New +0 (8,000)
Interest Payable Savings of around £50k achieved through debt rescheduling.  Remaining £50k saving linked to changes in borrowing assumptions. +0 (100,000) (50,000) (50,000)
Service Mgt & Admin Net saving for period after allowing for extra spend on contract staffing.  No overall saving expected for year. (3,200) +0 New +0 +0
LABGI Additional LABGI payment received Sept - final year instalment due Feb. (Projected variance assumes that a further £87K will be receivable then). (163,000) (100,000) New +0 (100,000)
Health & Strategic Housing Bed & Breakfast Savings due to successful prevention initiatives (9,700) (10,000) New +0 (10,000)
CC(D)S Public Conveniences : NNDR Closed toilets have resulted in retrospective refund of NNDR (4,000) (4,000) (6,800) +2,800
Public Conveniences - Clock Tower & Arndale Centre Shortfall between usage income and the cost of maintenance contract - rental opportunity of unit in Clock Tower still being pursued. +5,000 +10,000 New +0 +10,000
Street Cleansing : employee costs Reduced sickness levels resulting in less agency staff and overtime being required. (20,000) (20,000) (10,000) (10,000)
Waste Collection : employee costs 11 vacant posts are being held.  Reduced sickness levels have reduced resulting in less agency staff being required. (140,000) (140,000) (35,000) (105,000)
Waste Collection : Clothing & Uniforms Improved specification clothing issued in respect of handling glass/needle stick injuries/waterproofing.  Higher turnover of staff has equated to new clothing being required more often. +5,000 +10,000 New +0 +10,000
Waste Collection : County contributions Number of properties under-estimated for cost sharing purposes. (19,000) (76,000) New +0 (76,000)
Trade Refuse - income Income has been impacted on by loss of work and approach to schedule 2 customers.  Performance of university contract and roll out of cardboard recycling are key.  Detailed analysis of expenditure is taking place. +145,000 +145,000 New +0 +145,000
Highways Highways work is 'jobbing' and by nature unpredictable in terms of profitability - estimates are conservative but it is anticipated that the projected variance will not be detrimentally affected. (15,000) (15,000) New +0 (15,000)
Property Services Off Street Car Parks : Fees & Permits Fees above target at present but could be below in Q3/4.  Reduced permit sales due to price increase and new private car park. (41,300) (10,000) +38,300 (48,300)
DPE : On-street parking Variance reflects proposed reduction of £40K - Cabinet Sept 07 +15,700 +20,000 New +0 +20,000
DPE : On-street parking Reduced deployment of operatives and reduced cost per ticket issued. (8,600) (15,000) New +0 (15,000)
Church Street Market Increased attendance but may slow down in Q3/4 (9,900) (15,000) New +0 (15,000)
Lancaster Market Reduction in tenant numbers +9,000 +20,000 New +0 +20,000
Mail Room - postages Increase in postage by Services +11,800 +12,000 New +0 +12,000
City Lab Slow uptake of tenancies, resulting in reduced rent and service charge income. +31,400 +25,000 +17,300 +7,700
St Leonard's House Slow uptake of tenancies, resulting in reduced rental income. +52,000 +50,000 +26,500 +23,500
Economic Development Storey Feasibility / Implementation Costs incurred on the feasibility study and implementation of the project currently unfunded. +46,900 +46,900 New +0 +46,900
  Lancaster TIC Rent Provision for rent in Storey Institute not required until 2008/09 +0 (6,400) New +0 (6,400)
Cultural Services Salt Ayre : Gas & Electricity Period 12 06/07 invoices paid in 07/08 without any allowance being made at year end, Managers aware and monitoring position. +23,000 +23,000 +23,000 +0
Planning Services Development Control Planning Application Fees Increased application numbers.  Government proposal to increase application fees. (Note also use of PDG allocation will need consideration.) (22,600) (40,000) (95,000) +55,000
Luneside East Regeneration Project Costs No original budget set.  Costs relate to Estate Management costs prior to site being handed over to private sector.   +83,000 +128,700 +46,000 +82,700
             
VARIANCES NOT REPORTED THROUGH PRT PROCESS    
             
Planning Services Planning approvals Costs awarded against Council following successful appeal against refused planning application. (Note that PDG could be a funding option). +96,000 +96,000 New +0 +96,000
Health & Strategic Hsg Poulton Homezones Compensation costs following court ruling on property disposals.  To be considered at Cabinet 13 November. +0 +42,200 New +0 +42,200
TOTAL VARIANCES +67,500 +112,900 (91,800) +204,700
    Net Qtr1 Movements +3,500
Net New Qtr2 Variances +201,200
Health & Strategic Hsg
Legal & HR
Management Team
Financial Services
Corporate Strategy
IS
Democratic Services
Revenues
Cultural Services
Planning
Econ Dev & Tourism
Council Housing
PRT Report Produced
No PRT Report Required
No PRT Report Produced but required