Issue - meetings

(Cabinet Member with Special Responsibility Councillor Bryning)

Report of the Head of Financial Services

(Cabinet Member with Special Responsibility Councillor Bryning)

Cabinet received a report from the Head of Financial Services (Resources) which provided summary information regarding the provisional outturn for 2011/12.  It set out information regarding the carry forward of underspent/overspent revenue budgets and capital slippage for Members’ consideration.  It also incorporated the treasury management outturn report and sought approval of various Prudential Indicators for last year for referral on to Council.

The options, options analysis, including risk assessment and officer preferred option, were set out in the report as follows:

The City Council had a legal requirement to ensure that its expenditure was fully funded and to produce a Statement of Accounts in accordance with proper accounting practice.  In addition, the Prudential Indicators were a statutory requirement linked to the budgetary framework and therefore there were no alternative options for Cabinet to consider.  Members were asked to endorse certain actions taken by the Head of Financial Services (Resources), however Cabinet needed to consider whether it had sufficient information to do so or whether it required any further justification.  With regard to reserves contributions, there would be opportunities for these to be amended during the current financial year, as part of the usual arrangements.

The report requested Cabinet to consider a number of revenue budget carry forward matters and capital slippage.  The framework for considering these was set out in the report but basically Cabinet may:

·         Approve any number of the items / requests, in full or part.

·         Refuse any number of the requests and if commitments have already been incurred, require alternative funding options to be identified.  Cabinet should note, however, that this may impact on other areas of service delivery.

·         Request further information regarding them, if appropriate.  Cabinet is asked to bear in mind any work required against the value of the individual bids.

Officer recommendations regarding any carry forward of overspendings were set out in Appendix F, as attached to the report.  Where there were alternative options for other aspects of the outturn, in view of the comments made above there were no specific officer preferred options put forward.

As at 31 March the Council had improved its financial standing overall by generating net efficiency savings and through other underspendings.  Balances were again higher than forecast and this gave the Council some flexibility and comfort for addressing future challenges.  Efforts to draw out ongoing efficiencies and other budget savings should be taken wherever possible, to improve value for money as well as financial planning.

Cabinet then voted individually on each of the recommendations, as set out in the report and made a further recommendation regarding possible use of part of the underspends. Members voted unanimously on all of the recommendations.

Councillor Bryning proposed, seconded by Councillor Smith:-

“(1)      That the provisional outturn for 2011/12 be noted, including the transfers to provisions and reserves actioned by the Head of Financial Services (Resources) as set out in section 4.2 of the report.”

Councillor Bryning proposed, seconded  ...  view the full minutes text for item 22