Issue - meetings

The Leader introduced the report on the Council’s capital and revenue position for the 2014/15 financial year, as at 30 June 2014.

The General Fund showed a projected end of year spend of £167.87m against the total approved budget of £165.32m, which would reduce the General Fund balance to £24.59m at the year end.  The Housing Revenue Account (HRA) was projected to break-even, maintaining the HRA reserve at £8.74m while the Capital Programme showed a projected spend of £152.11m against the total revised budget of £153.97m.

The projected overspend on the General Fund related to a pressure of £2.98m in respect of the Children’s Services Complex Needs and Social Care division.  The Leader advised that the matter was under review and the Chief Finance Officer commented on the potential solutions to bring the budget back into line.  The Cabinet Member for Education and Schools acknowledged the difficulties being caused by the current levels of social care need and pressures on placements but pointed out that the Children’s Services department was delivering on the in-year savings target of £2.964m for 2014/15.  In respect of the latter, the Chief Finance Officer apologised for the omission of any narrative on the Children’s Services savings contained within Appendix B to the report.

Other issues raised during the discussions included:

·  Capital expenditure of £255,000 on the Controlled Parking Zones (CPZ) 2013 to 2015 project - The Chief Finance Officer confirmed that income from CPZ fees and charges would finance the project;

·  The significant under-achievement against the Facilities Management savings target of £300,000 - The Leader raised concerns that only £5,000 was projected when he understood that all staff had been relocated from 2 and 90 Stour Road offices; and

·  The savings target of £9,000 in respect of mobile telephone masts in parks - The Cabinet Member for Children’s Social Care suggested that the income level could be increased through higher charges to the mobile telephone operators.

The report also included a proposal to release £1m set aside for the Asset Strategy programme for inclusion in the 2014/15 Capital Programme.

Cabinet resolved:

(i)  To note the projected outturn position for 2014/15 of the Council’s General Fund revenue budget at 30 June 2014, as detailed in paragraphs 2.4 to 2.9 and Appendix A of the report;

(ii)  To note the progress against the 2014/15 savings targets at 30 June 2014, as detailed in section 3 and Appendix B of the report;

(iii)  To note the position for the HRA at 30 June 2014, as detailed in section 4 and Appendix C of the report;

(iv)  To note the projected outturn position for 2014/15 of the Council’s capital budget as at 30 June 2014, as detailed in section 5 and Appendix D of the report; and

(v)  To approve the inclusion in the 2014/15 Capital Programme of the previously agreed £1m for the Asset Strategy programme, as detailed in paragraph 5.3 of the report.