Agenda item - Financial Monitoring Report 2017/18

To provide an update on the year-end forecast for the 2017/18 County Council’s Revenue and Capital Budgets.

Cllr Ray Theodoulou, Cabinet Member for Finance and Change, gave an update on the year-end forecast for the 2017/18 County Council’s Revenue and Capital Budgets.

Having considered all of the information, including known proposals and the reasons for the recommendations, Cabinet noted the report and,

RESOLVED to:

1. Note the forecast revenue year end position as at the end of July 2017 for the 2017/18 financial year of a net £1.873 million overspend.

2. Agree the following revenue contributions to capital of:

2.1 £0.066 million under spend in Property revenue budgets

towards the Fire capital programme

2.2 £0.053 million from the Highways Commissioning revenue

towards the Minor Works and Highways Locals capital

budgets

3. Approve £0.300 million transfer from the Services to Families with Young Children reserve to the Children’s Centre revenue budget to fund revenue start up costs.

4. Note the forecast capital year end position for 2017/18 of £0.420 million slippage.

5. Approve the following changes to the Capital Programme totalling £1.519 million.

5.1The deletion of the £0.300 million capital project for Children’s Centres improvements from the Children & Families Capital Programme, no longer required (see recommendation 3 above).

5.2 A new £0.250 million scheme for an additional classroom at Rissington Primary School, funded by a budget virement from unallocated schools capital basic need grant.

5.3 The allocation of £0.964 million developer s106 contribution to the Shurdington Primary scheme and a budget virement of £0.764 million grant to the unallocated basic need grant budget, increasing the Shurdington budget by £0.200 million.

5.4 An increase of £0.301 million to the Mickleton Primary scheme, funded by developer s106 contributions.

5.5 An increase of £0.057 million to the Cotswold Academy scheme, funded by developer s106 contribution.

5.6 An increase of £0.035 million to the Woodmancote Primary School scheme, funded by developer s106 contributions.

5.7 An increase of £0.161 million to the Gloucester Road Primary scheme, funded by developer s106 contributions.

5.8 An increase of £0.117 million to the Bishops Cleeve Primary scheme, funded by developer s106 contributions.

5.9 An increase of £0.118 million in the Highways Capital budget, funded £0.053 million of revenue contributions from the Minor Works and Highways Locals budgets and £0.071 million from the C&I revenue reserve. The overall increase figure off sets a reduction of £0.006 million in contributions from other agencies.

5.10 An increase of £0.066 million in the Fire Safety capital programme, funded by a £0.066 million of revenue contributions from Property towards funding of the new training towers.

Cllr Ray Theodoulou, Cabinet Member for Finance and Change, gave an update on the year-end forecast for the 2017/18 County Council’s Revenue and Capital Budgets. He also proposed a number of changes to the Capital Programme.

Reporting the forecast revenue year end position as showing an overspend of £1.873 million, Cllr Theodoulou confirmed there were significant pressures on the Adult Social Care, Children’s Services and Communities and Infrastructure Budgets. It was hoped some of the overspends would reduce over time.

Cllr Theodoulou invited Cllr Nigel Moor, Cabinet Member for Fire, Planning and Infrastructure, to comment on the current overspend of the Regulatory Services Budget, (accrued from a lower than forecast income from Registrar’s and Trading Standards). Cllr Moor reassured members that officers continued to explore opportunities on this position, and that he was confident of a significant improvement in reducing the overspend

Referring to the financial challenges impacting on Adult and Children’s Services, Cllr Theodoulou advised members of the potential additional costs arising from the recent Ofsted Inspection of Children’s Services. It was noted that some of the financial pressures had been offset by the positive variances in corporate budgets.

In terms of Capital Expenditure, Cllr Theodoulou confirmed a revised capital budget for 2017/18 at £119.844 million, an increase of £8.288 million generated from the additional grant funding and contributions agreed at the cabinet meeting in July.