Issue - meetings

Report of the Chief Officer (Resources).

The Financial Services Manager provided a presentation and introduced a report to present the Corporate Financial Monitoring 2016/17 Quarter 2.  A summary of the Corporate Financial Monitoring for Quarter 2 of the performance monitoring cycle was attached for Members’ consideration.

Members were advised that the overall financial position for the General Fund and the Housing Revenue Account had changed little from that reported at Quarter 1. 

It was reported that at previous meetings the Panel had requested updates on certain aspects relating to Property, covering the capital investment programme, commercial properties and energy monitoring. These updates had been incorporated into the Property Group update and were attached for Members’ consideration. 

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

·                A current General Fund net underspending of £463K, projected to reduce to £17K by the year end.  These figures had barely changed from those reported at Quarter 1. 

·                A current Housing Revenue Account net underspending of £33K, expected to increase to £73K by the year end.  The forecast full-year underspending had increased by £50K since Quarter 1. 

Members asked a number of questions on financial monitoring regarding Council Tax, sundry debts in Environmental Services, retained business rates and interest rates, the Repairs and Maintenance Service (RMS) review and council house voids, procurement and tendering for external contractors and energy efficiency savings. 

The Senior Property Officer then presented the Property Group update for the quarter ended 30^th September 2016.

Members asked a number of questions on the Property Group update regarding occupancy levels and revenue per square metre comparable to the private sector.  With regard to occupancy levels of council owned buildings Members requested that broader information be provided to the Panel to incorporate a comparison with the private sector on the average revenue income per square metre and that the next monitoring report include more detail on rental income, capital costs of buildings and what the Council property portfolio means in terms of cost. 

Members asked questions regarding occupancy levels in particular commercial properties, specifically Cheapside and King Street, Lancaster properties, the Co-op building in Morecambe and St Leonards House, Lancaster. 

The Panel also asked a number of questions regarding Capital Receipts, the Corporate Property Strategy, as well as asset management, shared services with Lancashire County Council and the Capital Investment Programme. 

Resolved:-

(1)          That the report be noted. 

(2)          That historical information be incorporated into the next Corporate Property Report on the Capital Investment Programme.

(3)          That the Panel be provided with a briefing note on procurement and tendering. 

(4)          That with regard to occupancy levels of council owned buildings broader information be provided to the Panel to incorporate a comparison with the private sector on the average revenue income per square metre and that the next monitoring report include more detail on rental income, capital costs of buildings and what the Council property portfolio means in terms of cost.