Issue - meetings

Report of the Interim Section 151 Officer attached.

Decision made (Unanimously):

1.    Cabinet notes the report.

The Cabinet Member (Finance, Property and Assets), Councillor Matthew Tomlinson, presented a report of the Interim Section 151 Officer that provided an update on the Councils overall financial position as at the end of September 2019, Quarter 2 of the financial year 2019/20.

The report also provided a forecast of the projected outturn to 31 March 2020 compared to the current approved budget and explains what the differences are and what impact they will have.

The Cabinet Member reported that the revenue outturn forecast for 2019/20 is a net saving of £515,000 which represents a variance of 3.5% of the total net budget requirement. A breakdown of how this had been achieved was provided within the report.

In response to a query around the purchase of assets, the Cabinet Member explained that the current Strategy had an allocated budget spend and that the Cabinet’s current intention was to keep within this amount. The current Investment Strategy would be circulated to all Members of the Council.

Decision made (Unanimously):

1.    Cabinet notes the report.

Reason(s) for the decision:

Robust financial monitoring, including scrutiny and challenging information, is a crucial aspect of running a successful and effective organisation.

Alternative Options Considered and Rejected:

None.

Report of the Interim Section 151 Officer attached.

The Panel considered a report of the Interim Section 151 Officer which provided an update on the Council’s overall financial position at the end of Quarter 2 of the 2019-20 financial year.

Councillor Matthew Tomlinson, Cabinet Member for Finance, Property and Assets, informed the Panel that an underspend of £515,000 was forecasted for the end of the financial year but that new budgets had been approved for a music festival in Leyland and for consultancy fees on the borough’s leisure facilities.

It was acknowledged that much of this underspend had been caused by low expenditure on staffing and a list of vacant posts was provided to the Panel. Information on the length of time that the posts had been vacant would be included in future budget monitoring reports. 

The report highlighted the capital programme for the financial year which provided a breakdown in projects and schemes. Members requested that a progress column be added to the Capital Programme 2019-20 Quarter 2 Monitoring document to demonstrate the progress of these projects against their allocated budgets and spend forecasts.

Budgets for each My Neighbourhood Forum would be allocated in early 2020 and would be aligned to the Council’s formal budget process.

Pooling arrangements for business rates were queried and members were informed that the current temporary arrangement of pooling 75% of business rate income would end and that a return to previous arrangements had now been confirmed.

Members requested a breakdown of the budget by service area to gain a better understanding as to each department budgetary spend. A subjective analysis of budgets would be provided as part of the budget planning process in February 2020.

RESOLVED: (Unanimously)

That

1.    information on the length of time that posts have been vacant be included in future budget monitoring reports.

2.    the Panel requests a progress column be added to Capital Programme 2019-20 Quarter 2 Monitoring (Appendix A) in future reports.

3.    the Panel welcomes the alignment of My Neighbourhoods Plans and the Council’s budget.

4.    the Panel looks forward to receiving a subjective analysis of budgets as part of the budget planning process.