The Director of Finance will submit a report (Document “X”) which provides Members with an overview of the forecast financial position of the Council for 2019-20.

It examines the latest spend against revenue and capital budgets and forecasts the financial position at the year end. It states the Council’s current reserves and forecasts school balances for the year. 

Recommended –

That the Executive

(1)       Note the contents of this report and the actions taken to manage          the forecast overspend.

(2)       Approve the following capital expenditure schemes.

•           £0.04m for the completion of drainage works at Dow Park Water            Activities Centre, to be funded from the general contingency budget.

•           £0.46m to replace the pool tank at Ilkley Lido. This will be funded          by a mixture of general contingency and as an invest to save          scheme with the additional income funding the capital spend.

•           £1.2m of additional funding to complete. This will be funded by a          mixture of Service Prudential borrowing and additional grant.

•           £1.75m for the completion of the Affordable Housing Programme          2015-18. The additional spend will be funded by Service    Prudential borrowing from rental income. 

•           £0.3m to extend the fitness facilities at Shipley Pool. This will be            funded by the additional income generated through increased      membership.

•           £0.05m to replace and repair the roof on a property that the         Council leases. The works would be funded from the general        contingency line of the Capital Investment Programme. 

•           £1.4m to relocate the Schools Meals Central Production Unit to a          smaller more efficient property. The works to the Council property             will be funded by a mixture of capital receipt, revenue         contributions and corporate funding.

•           £2.1m for the 2019-20 IT capital programme. It will be funded from         revenue resources.

Overview and Scrutiny Committee: Corporate

(Andrew Cross - 01274 436823)

The Director of Finance submitted a report (Document “X”) which provided Members with an overview of the forecast financial position of the Council for 2019-20.

It examined the latest spend against revenue and capital budgets and forecasted the financial position at the year end. It stated the Council’s current reserves and forecasted school balances for the year. 

It was reported that based on a projection at September 30th 2019, the Council was forecasted to underspend the £359.9m net revenue budget (£1.123bn gross budget) by £0.1m. Children’s Services were forecasting to overspend the £97.4m net expenditure budget by £8.5m, due mainly to a £9.0m forecast overspend on Children’s Social Care linked to increasing numbers of Looked After Children (LAC) and Children requiring support.

The Leader welcomed the news regarding the underspend on the overall budget, but acknowledged that pressures remained particularly in the area of Children’s Social Care. The Leader alluded to how cuts in Local Government funding over the years had impacted severely on Council services, and that although the figures showed an underspend, this was not without pain.

She urged that Government needed to understand the challenges facing Local Government, particularly in the area of Children’s Social Care and that investment was needed to ensure the best outcomes for our children, adding that one off monies did not adequately cover the shortfall, however she thanked officers and services for their effort on making the necessary savings and ensuring that the budget was on target.

An Ilkley Ward Councillor was present and stated that he welcomed the investment proposals for Ilkley Lido and he urged that some further discussions should be had regarding development of the Pavilion and how the works could be funded.  The Leader started that these could be explored in further discussions between the Councillor and the portfolio holder.

Resolved –

(1)       That the contents of this report and the actions taken to   manage         the forecast overspend be noted.

(2)       That the  following capital expenditure schemes be approved:

•           £0.04m for the completion of drainage works at Dow Park            Water Activities Centre, to be funded from the general   contingency budget.

•           £0.46m to replace the pool tank at Ilkley Lido. This will be             funded by a mixture of general contingency and as an invest to        save scheme with the additional income funding the capital            spend.

•           £1.2m of additional funding to complete Adults Residential          and Extra Care Schemes . This will be funded by a mixture of       Service Prudential borrowing and additional grant.

•           £1.75m for the completion of the Affordable Housing         Programme 2015-18. The additional spend will be funded by       Service Prudential borrowing from rental income. 

•           £0.3m to extend the fitness facilities at Shipley Pool. This             will be funded by the additional income generated through increased membership.

•           £0.05m to replace and repair the roof on a property that the         Council leases. The works would be funded from the general        contingency line of the Capital Investment Programme. 

•           £1.4m to relocate the Schools Meals Central Production   Unit to a        smaller more efficient property. The works to the          Council         property will be funded by a mixture of capital receipt, revenue         contributions and corporate funding.

•           £2.1m for the 2019-20 IT capital programme. It will be funded from         revenue resources.

ACTION: Director of Finance

Overview and Scrutiny Committee: Corporate