Issue - meetings

Report of the Chief Officer (Resources).

The Financial Services Manager gave a presentation and introduced a report to present the Corporate Financial Monitoring 2016/17 Quarter 1. A summary of the financial monitoring for quarter 1 of the 2016/17 performance monitoring cycle was attached for Members’ consideration.

Members were advised that the focus for quarter 1 had been on financial monitoring, in particular the status of savings and growth approved as part of the 2016/17 budget process. Not all savings had progressed as originally planned in the year and there were lessons to be learnt from this, however, the financial consequences could be managed through the additional business rates coming through from renewable energy. It was reported that, in future years, savings were expected to get back on track as renewable energy income was set to continue at least for the medium term and financial prospects for 2018/19 onwards were better than previously forecast.

The Financial Services Manager advised that the headline variances and projections were as follows:-

·         General Fund revenue budget had a current net underspending of £462K, which was projected to reduce to £3K by the year end.

·         Allowing for the projected underspending, General Fund balances were currently forecast to be £4.519M by the year end (with £3.019M available above the £1.5M minimum level. This was £334K higher than budgeted, allowing for last year’s underspend).

·         Housing Revenue Account (HRA) had a current net underspend of £20K, which was projected to increase to £23K by the year end.

·         Allowing for that projected underspending, HRA balances were currently forecast to be £1.991M by year end (with £1.641M available above the £350K minimum level. This was £371K higher than budgeted, allowing for last year’s underspend).

Members asked a number of questions on financial monitoring regarding staff salary savings, the Splash Park, green waste and impacts on recycling of charging for green waste collection, the Business Rate Retention Scheme and associated appeals. Members also asked questions regarding the Charter Market and empty shopping units in the city centre with particular reference to Council owned units on Cheapside, and litter enforcement.

Members requested that the updated Property Group Monitoring report focus on occupancy levels on commercial properties and income generated, and include spend on municipal buildings, be circulated to Panel Members as a briefing note.

Members also discussed the amended report lay out and commented that the addition of the s.151 comments throughout and the summary table at Annex A of the report were particularly helpful in providing clarity to the report. 

Resolved:-

(1)          That the report be noted.

(2)          That the Property Group Monitoring report be updated and circulated to the Panel separately as a briefing note.