Agenda item

Budget Monitoring 2021/22 Period 6

Summary:

 

 

 

Options considered:

This report summarises the budget monitoring position for the revenue account, capital programme and reserves to the end of September 2021. 

 

Not applicable.

 

Conclusions:

 

The overall position at the end of September 2021 shows an £3,764,805 underspend for the current financial year on the revenue account, this is however currently expected to deliver a full year underspend of £78,924.

 

Recommendations:

 

 

 

 

 

 

 

 

 

 

 

 

 

Reasons for

Recommendations:

It is recommended that Cabinet:

 

1)    Note the contents of the report and the current budget monitoring position.

 

2)    That £40,000 is released from the Invest to Save reserve to fund the purchase and implementation of Planning s106 software.

 

3)    That £150,000 is released from the Capital Receipts Reserve to fund the new Financial Management System purchase and implementation.

 

To update Members on the current budget monitoring position for the Council.

 

LIST OF BACKGROUND PAPERS AS REQUIRED BY LAW

(Papers relied on the write the report and which do not contain exempt information)

 

 

System budget monitoring reports

 

 

 

Cabinet Member(s)

Cllr Eric Seward

Ward(s) affected: All

Contact Officer, telephone number and email: Lucy Hume, 01263 516246, Lucy.Hume@north-norfolk.gov.uk

 

 

 

 

 

 

Decision:

Decision

RESOLVED

 

1)    That £40,000 is released from the Invest to Save reserve to fund the purchase and implementation of Planning s106 software.

 

2)    That £150,000 is released from the Capital Receipts Reserve to fund the new Financial Management System purchase and implementation.

 

Reason for the decision:

 

To update Members on the current budget monitoring position for the Council.

Minutes:

Cllr E Seward, Portfolio Holder for Finance, introduced this item. He said that although there was currently a small underspend, it was anticipated that expenditure would match income at the end of the financial year. The waste contractor, Serco, had not invoiced the Council as yet, which meant that this money was currently set aside. He added that parking income and planning application and building control income were both above that forecast. Final works on the Reef were going ahead without additional borrowing being required.

 

Cllr C Cushing asked for clarification regarding the reserve figures. The Director of Resources replied that the forecast balance for 01 April 2023 was £17,988,379 with the balance as at 01 April 2021 being £28,871,047. He added that this looked artificially high due to an accounting entry for the business rates reserve.

 

Cllr Holliday asked whether enquiries had been made as to why Serco had not invoiced the Council yet and whether there should be cause for concern. Cllr Lloyd, Portfolio Holder for Environment, confirmed that it had been chased up. Serco’s accounting was undertaken overseas. The money would continue to accrue and be set aside until an invoice was issued. The Director of Communities confirmed that this was an issue across the consortium. There had been discussions regarding the financial modelling on which the invoices would be based as all of the local authorities had had concerns. These issues had now been resolved and it was anticipated that billing was imminent. He added that due to the size of Serco, the company could carry a relatively high level of cost on their balance sheet.

 

It was proposed by Cllr E Seward, seconded by Cllr J Toye and

 

RESOLVED

 

1)    That £40,000 is released from the Invest to Save reserve to fund the purchase and implementation of Planning s106 software.

 

2)    That £150,000 is released from the Capital Receipts Reserve to fund the new Financial Management System purchase and implementation.

 

Reason for the decision:

 

To update Members on the current budget monitoring position for the Council.

Supporting documents: