Issue - meetings

As detailed in the recommendations.

The Corporate Finance Manager introduced the Revenue Budget Monitoring 2016/17 (Month 8) report which provided the latest revenue budget monitoring position for 2016/17 for the Council Fund and Housing Revenue Account based on actual income and expenditure.  The report projected how the budget would stand at the close of the financial year if all things remained equal.

                        The projected year end position, without any further action to reduce cost pressures or to identify new efficiencies was:

Council Fund

• Net in year expenditure comprised an operating deficit of £1.810m – an increase in the deficit of £0.039m from Month 7
• The overall projected in-year position had improved by £2.886m due to the change in accounting policy for MRP as agreed by County Council  This had the effect of eliminating the operating deficit
• Projected contingency reserve balance of £4.268m

Housing Revenue Account

• Net in year expenditure forecast to be £0.037m higher than budget
• Projected closing balance as at 31^st March 2017 of £1.061m

The report had been submitted to the recent Corporate Resources Overview and Scrutiny Committee where questions had been asked on mitigating risks in the future.  The Chief Executive added that a discussion had taken place on the in-year operating deficit of £1.810m to which he had explained that a significant amount of work had been undertaken to ensure that those risks did not recur from 1^st April 2017.

On Transport costs, following the liquidation of one of the transport operators, Welsh Government (WG) had offered a provisional grant award to the three local authorities affected for 2016/17.  Negotiations were ongoing on the distribution of the grant and the information should be available to be included in the month 9 budget report. 

On the vacancies in social work outlined in the report, Councillor Bithell asked if recruitment from other countries was being considered as had previously when the Authority had recruited social workers from Canada.  The Chief Executive explained that this was not actively being done.  He commented on the area of work and the spikes in demand with the best way to obtain immediate supply being through agencies.

The report covered significant budget movements; programme of efficiencies; inflation; reserves and balances; and an overview of the Housing Revenue Account.

RESOLVED:                                                                            

(a)       That the overall report and projected Council Fund contingency sum as at 31^st March 2017 be noted, and work on actions and options for mitigating action continue to be supported; and

(b)       That the projected final level of balances on the Housing Revenue Account be noted.