Issue - meetings
Revenue Budget Monitoring 2013/14 (Outturn)
Meeting: 15/07/2014 - Cabinet (Item 33)
As detailed in the recommendations.
The Corporate Finance Manager introduced the Council Fund and the Housing Revenue Account Outturn for 2013/14, which was subject to audit and the impact on the respective level of reserves at 31 March 2014. The details would also be included in the draft Statement of Accounts which were scheduled to be reported to Audit Committee on 16 July 2014.
The year end position on the Council Fund was:
· Net in year expenditure of £3.387m less than budget
· Contingency Reserve balance as at 31 March 2014 of £5.328m
On the Housing Revenue Account (HRA), the net in year expenditure was £0.299m less than budget with a closing balance as at 31 March 2014 of £1.662m.
The significant in year variances at final outturn were detailed in the relevant appendices to the report and details of the movement over month 12 were included in Appendix 1.
On the Council Fund, the report provided details on an overview of the year, achievement of efficiencies, non standard inflation and unearmarked reserves. On unearmarked reserves, the Corporate Finance Manager explained that as a result of movements, the final level of Contingency Reserve as at the end of March 2014 was £5.328m. This would increase to £6.073m in 2014/15 when the exit costs provision in relation to phase 1 of the senior management review were repaid to the reserve after the need to account for those costs in 2013/14 as reported at Month 12. However, this would be offset by projected costs associated with the Organisational Change and Redesign Programme totalling £0.696m which would be incurred in 2014/15.
The report also provided an overview of the year on the HRA, noting that the final outturn was an underspend of £0.229m which resulted in a final closing balance at 31 March 2014 of £1.662M which at 5.81% of the total expenditure exceeded the recommended minimum level of 3%.
(a) That the report be noted;
(b) That the Council Fund Contingency Sum available as at 31 March 2014 be noted;
(c) That the final level of balances on the Housing Revenue Account be noted; and
(d) That the additional contingency sum of £1.677m be approved to be held and its use considered for in-year and future use in relation to investment in organisational change in the context of the MTFP.