(Cabinet Member with Special Responsibility Councillor Whitehead)
Cabinet received a report from the Director of Corporate Services to consider and approve an updated Reserves Strategy and Action Plan.
The options, options analysis, including risk assessment and officer preferred option, were set out in the report as follows:
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Option 1: Adopt the Strategy |
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Advantages · Improved clarity with respect to the use of reserves. · Greater assurance that reserves expenditure fits with corporate priorities and is appropriately authorised and monitored. |
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Disadvantages · None |
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Risks · The agreement of principles for the use of reserves reduces the risk that reserves expenditure is not adequately controlled which in turn might result in reduced financial resilience. |
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Option 2:Do not adopt the Strategy |
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Advantages · None |
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Disadvantages · Lack of clarity with respect to using reserves and processes for authorisation and monitoring of reserves will remain unclear. |
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Risks · The lack of an updated Reserves Strategy increases the risks that reserves expenditure is not adequately controlled. |
The officer preferred option is Option 1. This option is designed to clarify how reserves are managed and utilised in order to balance the delivery of council priorities with securing financial resilience.
In accordance with Part 3 Section 5 Paragraph 2(d) of the Constitution, the Overview and Scrutiny Committee or the Budget and Performance Panel would have the opportunity to comment on the proposals prior to the revised Reserves Strategy being considered at full Council.
Councillor Whitehead proposed, seconded by Councillor Parr:-
“That the recommendations, as set out in the report, be approved.”
Councillors then voted:-
Resolved unanimously:
(1) That the revised Reserves Strategy and Action Plan set out in Appendices One and Two be approved.
(2) That full Council amend the Budget & Policy Framework to incorporate the amendment to the Reserves Strategy.
Officer responsible for effecting the decision:
Director of Corporate Services
Reasons for making the decision:
The report and appendices provide an update to the Council’s Reserves Strategy to clarify how reserves are managed and utilised in order to balance the delivery of council priorities with securing financial resilience. Any decision to amend the Budget Framework is a function of full Council. Overview and Scrutiny/Budget & Performance will be consulted on the proposals in accordance with the Constitution prior to their submission to full Council.