Issue - meetings

(Report of the Chief Financial Officer – To be introduced by the Cabinet Member for Resources): To set out the provisional revenue and capital outturn for 2007/08 and consider the carry forward requests.

(Report of the Chief Financial Officer – Agenda Item 10):

The interleaved report set out the Council’s provisional outturn for 2007/08. We were advised that the year end general fund surplus was £2.109m (0.9% of the approved revenue budget) excluding the dedicated schools grant (DSG).  After carry forward requests of £1.490m set out in the report this left a net under spend of £0.619m. 

The report further set out the capital outturn position, which was noted to be a net under spend of £6.878m (6.8% of the approved budget).  Carry forward requests of £5.955m were submitted for consideration. The position on the HRA, non-schools and schools DSG was also reported.  These showed small under spends against the approved budgets.

In overall terms, after taking into account adjustments previously reported through the budget management process, we noted that the financial outturn was in line with the agreed financial strategy.

Concern was expressed at the timing of capital expenditure. In response to this it was important to note that capital spends had been planned and account should be given to the ultimate outcome of a capital project. There was also a need to take into consideration the necessary re -profiling undertaken in some areas and the current financial conditions.  We were advised that the BSF capital projects were a complex example of where there were numerous processes to adhere to as well as various stakeholder requirements to fur fill.  As, part of understanding the complexities of projects, an example we noted was the need of the Council to adhere to set  cost allocations at the design stages of the BSF schools construction projects to not allow overspend at an early stage . This was against the need to meet stakeholder detailed design expectations. Nonetheless the process had been successful and stringent milestones kept to.

RESOLVED:

1.      That the provisional general fund outturn for 2007/08 set out at paragraph 9.1 and 9.8 of the interleaved report for revenue and for capital respectively be noted.

2.      That the reasons for variations detailed in Appendices A and B be noted and approval granted to the planned transfers to reserves as set out in Appendix A to the interleaved report.

3.      That the provisional housing revenue account (HRA) outturn set out at paragraph 9.11 of the interleaved report be noted.

4.      That approval be granted to the revenue carry forward proposals of £1.490 million detailed in Appendix C to the interleaved report.

5.      That approval be granted to the capital carry forward proposals of £5.955 million as set out in Appendix D to the interleaved report.

6.      That the provisional outturn of a £2 million under spend for schools be noted and authority be delegated to the Chief Financial Officer to finalise the position and the carry forward.

7.      That authority to prepare the Council’s financial statements such that the financial position of the Council is optimised be delegated to the Chief Financial Officer.

8.      That it be noted that the Council’s Financial Statements for  ...  view the full minutes text for item 8