Issue - items at meetings - Targeted Budget Management (TBM) 2012/13 Month 7

Report of the Acting Director of Finance (to be circulated).

(1)               That the forecast outturn position for the General Fund, which has an underspend of £3.534m be noted;

(2)               That the forecast outturn for the Housing Revenue Account (HRA), which has an underspend of £1.045m be noted;

(3)               That the forecast outturn position on the Capital Programme be noted;

(4)               That the following changes to the Capital Programme be approved:

(i)           The budget re-profiling and budget variations as set out in Appendix 2;

(ii)         The carry forward of slippage into the 2013/14 capital programme, to meet on-going commitments on these schemes as set out in Appendix 2;

(iii)       The new schemes as set out in Appendix 3; and

(5)               That it be agreed that Stagecoach South be paid a fixed price concessionary fares reimbursement of £495,000 for 2012/13 and for 2013/14 the sum of £495,000 plus the average increase in RPIX for the financial year 2012/13 for the reasons set out in paragraph 3.10 of the report.

77.1         The Acting Director of Finance introduced the report which outlined the forecast outturn position as at month 7 on the council’s overall revenue and capital budgets for the financial year 2012/13.  He stated that good progress had been made since month 5, although pressures remained in some areas such as parking revenue, homelessness, community safety and capital financing.  He also drew the committee’s attention to the proposed re-profiling of some HRA schemes.

77.2         Councillor Littman welcomed the report and thanked the officers involved for their excellent work in enabling a significant underspend to be projected.  He noted that the value for money programme was running at 43% ahead of target and that would lead to further benefits across the organisation.

77.3         Councillor A. Norman noted the forecast underspend in HR which was welcome and the extra savings identified in Children’s Services and Adult Social Care and Health budgets, which reflected good work in what were high spending areas.  She also noted that there was still a projected shortfall in parking income targets and queried whether action would be taken to address this situation.  She then raised a number of queries in relation to budgetary areas.

77.4         The Chair stated that the paring income was down and that it could be attributed to mitigating factors, such as the high level of rainfall during the summer and the summer.  However, he noted that there had been increases in bus usage and off-street parking which was welcome.

77.5         The Acting Director of Finance stated that other areas had been affected by restructuring and a complex array of funding mechanisms which were being reviewed and would hopefully be clarified in the report at month 9.

77.6         Councillor Hamilton welcomed the forecast underspend and queried whether the concessionary budget for Stage Coach and Home to School Transport was being looked at, along with the dedicated schools grant as he believed there could be possible benefits.  He was also encouraged by the value for money programme and wished to congratulate the officers at this stage.

77.7         Councillor Shanks stated that a review of Home to School Transport was being undertaken and a report would be brought to committee in the New Year.

77.8         Councillor Mitchell queried when the £2m slippage for works to the North Whitehawk High Rise would be completed.

77.9         The Strategic Director; Place stated that he would provide a time table for works for Councillor Mitchell.

77.10    The Chair noted the comments and put the recommendations to the vote.

77.11    RESOLVED:

(1)         That the forecast outturn position for the General Fund, which has an underspend of £3.534m be noted;

(2)         That the forecast outturn for the Housing Revenue Account (HRA), which has an underspend of £1.045m be noted;

(3)         That the forecast outturn position on the Capital Programme be noted;

(4)         That the following changes to the Capital Programme be approved:

(i)           The budget re-profiling and budget variations as set out in Appendix 2;

(ii)         The carry forward of slippage into the 2013/14 capital programme, to meet on-going commitments on these schemes as set out in Appendix 2;

(iii)       The new schemes as set out in Appendix 3; and

(5)         That it be agreed that Stagecoach South be paid a fixed price concessionary fares reimbursement of £495,000 for 2012/13 and for 2013/14 the sum of £495,000 plus the average increase in RPIX for the financial year 2012/13 for the reasons set out in paragraph 3.10 of the report.