Council and councillors

To receive Report No. 83/2018 from the Director for Resources.

(Report circulated under separate cover)

Report No. 83/2018 was received from the Director for Resources.

During discussion the following points were noted:

      i.        The Medium Term Financial Plan in Appendix F of the report sets out projected spending for the next few years, alongside funding that the Council would receive. Areas shaded in grey were speculative. At present the Use of General Funds Balances’ which effectively presents a deficit on the Council budget were going to escalate quickly. The Council was looking at options to address this in order to avoid the situation that Northamptonshire had found themselves in. The Council will consider a variety of options including being more commercial, looking at headcount, and value for money from contracts.

    ii.        Mr Brown noted the Council would be looking at rents at Oakham Enterprise Park (OEP) and the King Centre in order to review where additional income can be gained.

   iii.        The Scrutiny Panel would receive a report on the Medium Term Financial Plan in September 2018.

   iv.        Mr Bird noted that the report highlighted that there were underspends due to staff vacancies and asked whether we could continue to function effectively without those roles. Mr Della Rocca mentioned that Cabinet had asked the same question. It would be difficult in some areas such as social work, but could be possible in others, although it would be necessary to be realistic regarding the impact on service levels and whether this would be acceptable.

    v.        Discussions were being had on reducing the expenditure associated with paint disposal.

   vi.        Mr Bird requested further information regarding the £428k spent on the Oakham Town Centre project. Mr Della Rocca agreed to provide that detail outside of the meeting but indicated that the majority was for design work.

  vii.        Mr Cross asked whether it would be possible to question Sir Alan Duncan, Member of Parliament for Rutland and Melton, regarding reduced Government funding and how it impacted on services to the people. The Chair noted that there was an intention to invite Sir Alan Duncan for a discussion either one-to-one or with a small group.

viii.        Mr Cross noted that while cutting staff would reduce costs, staff morale was also important to ensure efficiency.

   ix.        Mr Bird noted that there was a feeling from tenants at Oakham Enterprise Park that their access to Council resource had diminished compared to that at the King Centre.

RESOLVED

That the Panel NOTED the report.

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Mr Cross left the meeting at 7.48pm and did not return.

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(KEY DECISION)

Report No. 83/2018

Report no. 83/2018 from the Director for Resources was received.

The Assistant Director – Finance introduced the report, the purpose of which was to inform Cabinet of the provisional outturn figures (subject to audit) for the financial year 2017/18. In reporting the outturn, Cabinet was being asked to carry forward some budgets to 2018/19 and put aside some additional funding in earmarked reserves.

During discussion the following points were raised:

      i.        The predicted overspend of £350k for Q2 and 3 had been reduced by £100k.

    ii.        If money had not been put aside for earmarked reserves this would have resulted in underspending for these quarters.

DECISION:

1.    Cabinet NOTED the provisional outturn on the revenue budget and updated capital programme.

2.    Cabinet APPROVED the transfer of £1.025m from 17/18 underspends to earmarked reserves for future use, of which £60k related to the ring fenced budgets, £400k for business rates and £315k for social care.

3.    Cabinet APPROVED the revenue budget carry forwards of £821k as outlined in Appendix A para 1.3.3

4.    Cabinet NOTED that the MTFP in Appendix F reflected the outturn position but that assumptions were currently under review.

Reasons for the decision

1.    As the Council was required to make savings over the medium term, the outturn position was positive compared to Quarter 3.  The approval of budget carry forwards would allow the 2018/19 budget to be updated to reflect spending plans