Issue - meetings

That the Treasury Management Mid Year Report 2012/13 be approved.

The Head of Finance introduced the recommendations made by the Cabinet at its meeting on the 16 October, 2012 on the Treasury Management Mid Year Report for 2012/13.  The key points contained within the Treasury Management Mid Year Report were outlined within the report.  On Landsbanki investments, Flintshire received an additional payment in October, 2012 taking the total received to date to £1.7m of the £3.40m original investment.  The pattern of future distributions was not yet known.

            Arrangements were being made for the annual Member Training Workshop on the 29 January, 2012 which would be hosted by the Audit Committee.  All Members were encouraged to attend the Workshop.

            Councillor W. Mullin thanked the Clwyd Pension Fund Manager and his team for their work in preparing the report and for managing the investments of Flintshire County Council.  He also thanked the Audit Committee for the work undertaken in scrutinising the reports.  He proposed that the County Council approve the Treasury Management Mid Year Report 2012/13.  This was seconded by Councillor J.B. Attridge.

            Councillor M.J. Peers commented on the debt maturity profile and suggested that information on investment rates and penalties for early re-payment be included in future reports.  He asked for clarification on the figures shown under the interim investment and performance report and the self-imposed restrictions as detailed in the report.

            The Head of Finance thanked Councillor Peers for his suggestion on investment information and said that this would be taken on board for future reports.  She explained that the financial information shown within the interim investment and performance report differed because one of the figures referred to the position of the Council at the end of August 2012 and the other figure referred to the projected figure for the end of the 2012/13 financial year.  She also explained that details of a longer term investment had been included within the report as this deviated from the Council’s self-imposed restriction of investing for no longer than 3 months.

            In response to a question on the format of the report, the Head of Finance explained that the report submitted to County Council was the final version and that she would take on board Members comments that the word ‘draft’ should be removed in future.

            Councillor R.J.T. Guest asked if the deposits received from Landsbanki included interest on the amount originally invested.  The Head of Finance explained that the deposit received was the capital investment and did not include interest.

            In response to a question on the transfer of the Treasury Management Function, the Head of Finance explained that as part of the Finance Function Review, responsibility for the managing of the Treasury Management Function was being transferred to the Strategy and Technical Team within Corporate Finance.  This would not impact future reporting on Treasury Management.   

RESOLVED:

That the Treasury Management Mid Year Report 2012/13 be approved.