Issue - meetings

(a)       That the Revenue Budget monitoring Report for Month 8, 2016/17 be accepted; and

(b)       That having regard to the extent of the detail provided in the report, the Committee confirms that there are no specific issues which it wishes to bring to the attention of the Cabinet.

The Corporate Finance Manager introduced a report on the revenue budget monitoring position for 2016/17 as at Month 8 for the Council Fund and Housing Revenue Account (HRA) prior to its consideration by Cabinet on 17 January 2017.

On the Council Fund, the overall projected in-year position had improved by £2.886m due to the inclusion of previously approved accounting changes for Minimum Revenue Provision (MRP) which more than offset an operating deficit of £1.810m, and meant that net spend at the end of the financial year was now projected to be £1.076m lower than the budget.

Reference was made to two significant in-year pressure areas for Out of County Placements and Professional Support within Children’s Services and the mitigating actions being taken to reduce costs.

It was also reported that 89% of planned efficiencies included in the budget were expected to be achieved.

On the HRA, an overspend of £0.037m was reported, with reserves projected to be within recommended guidelines.

Councillor Paul Shotton praised the change in MRP accounting policy which had reflected positively on the outturn.  He expressed appreciation for the team in working to provide bus services to schools following the demise of GHA Coaches and asked for clarity on the distribution of the Welsh Government grant for replacement services.  The Chief Executive advised that the grant would not cover the full cost of continuing with all of the services and that this remained an ongoing risk area.  Whilst Flintshire would receive the majority share of this income, it was likely that 50% of the cost would need to be met by the Council.

On bus services, Councillor Richard Jones commented on the use of smaller companies and deposit requests from larger companies as ways of reducing risk and protecting the Council.  The Chief Executive spoke about the increased costs involved in re-procuring services and the limited competition in the market.

Following a question from Councillor Robin Guest on unearmarked reserves, the Corporate Finance Manager confirmed that the £0.076m allocated for play schemes was for the current financial year and that the additional sum quoted for 2017/18 would need to be taken from the remaining amount.

RESOLVED:

(a)       That the Revenue Budget monitoring Report for Month 8, 2016/17 be accepted; and

(b)       That having regard to the extent of the detail provided in the report, the Committee confirms that there are no specific issues which it wishes to bring to the attention of the Cabinet.