Issue - meetings

To consider the report of the Cabinet Member for Performance and Resources updating Members on the final Council position against agreed budgets for the 2015/16 financial year.

RESOLVED:

1. It be noted that:

(i)            The savings achieved in year total £1.174m

(ii)          The year-end position for the financial year 2014/15 is to decrease the Council’s General Fund balance by £246k

(iii)         The General Fund balance has decreased from £1.881m to £1.635m at the end of 2015/16

(iv)         That the business rates pool has returned a surplus of £173k to the City Council.

2. The transfers to and from earmarked reserves as below and detailed in section 8 of this report be approved.

·         £710k to adopted land reserve

·         £291k to VAT Shelter reserve

·         £200k to Business Rates reserve

·         £5k from Members Allocation Reserve

·         £13k to Portfolio Reserve

·         £197k to Regeneration Reserve

·         £50k to Trading Development Reserve

Cabinet considered the report of the Cabinet Member for Performance and Resources (Councillor David Norman) which updated Members on the final Council position against agreed budgets for the 2015/16 financial year.

Councillor Dallimore (The Cabinet Member for Communities and Neighbourhoods) summarised key areas of the report noting the significant savings achieved.

RESOLVED:

1. It be noted that:

(i)            The savings achieved in year total £1.174m

(ii)          The year-end position for the financial year 2014/15 is to decrease the Council’s General Fund balance by £246k

(iii)         The General Fund balance has decreased from £1.881m to £1.635m at the end of 2015/16

(iv)         That the business rates pool has returned a surplus of £173k to the City Council.

2. The transfers to and from earmarked reserves as below and detailed in section 8 of this report be approved.

·         £710k to adopted land reserve

·         £291k to VAT Shelter reserve

·         £200k to Business Rates reserve

·         £5k from Members Allocation Reserve

·         £13k to Portfolio Reserve

·         £197k to Regeneration Reserve

·         £50k to Trading Development Reserve

To receive the report of the Cabinet Member for Performance and Resources which informs Members of the final Council position against agreed budgets for the 2015-16 financial year.  The report includes a summary of how the Council has progressed against key savings for the year and also highlights some key performance indicators.

The Chair welcomed Councillor Norman, Cabinet Member for Performance and Resources; Mr Jon Topping, Head of Finance; and Mr Andrew Cummings, Management Accountant, to the meeting.

Members were presented with a report which detailed the final Council position against agreed budgets for the 2015/16 financial year including a summary of how the Council had progressed against key savings targets for the year.  The report also highlighted some key performance indicators.  Councillor Norman concluded by saying that the challenges of budgeting continued to become more complex.

Members discussed the following matters.

1.       The Member sought clarification on the amount written off in respect of the historic Icelandic Bank debt of £413K and information on earmarked reserves and the level of the General Fund.  The information was provided to the Member by the Head of Finance.  The Member then asked why some savings targets had been rolled forward.  Councillor Norman acknowledged the Member’s comment and added that he would be meeting with Officers in the next few weeks to make it clear that the challenges of achieving the targets could not be avoided.

2.       A Member discussed the Council’s reserves as set out in paragraph 10 of the report and questioned whether money should be set aside for potential challenges to Planning Committee decisions.  Councillor Norman acknowledged the Member’s comment and said that it was important seek good legal advice and to take a prudent approach as reserves could not be set aside for every possibility.  Councillor Norman agreed to discuss the Member’s views with Officers.

3.       A Member questioned why the Council had not employed the level of apprentices that were originally budgeted for (paragraph 5.4).  The Head of Finance advised the Member that there had been no demand for them from service areas during the year, but that there would be a recruitment drive shortly.

4.       A Member sought clarification on paragraph 9 of the report concerning Business Rates and Business Rates Pooling and questioned how much had been spent on appeals.  The Management Accountant explained the position to the Member.

5.       A Member queried the reserve for the Three Choirs Festival as set out in paragraph 10.1 of the report.  The Management Accountant explained the background to the reserve.

The Chair thanked Councillor Norman and the Officers for their presentations.

RESOLVED TO RECOMMEND TO CABINET – That the report be noted.

SUSPENSION OF COUNCIL PROCEDURE RULE 6

On the motion of the Chair, and in accordance with the Constitution, the Committee resolved that the meeting be extended beyond two hours.