Agenda item

The Director of Resources submitted a report which outlined the outturn position for the Council’s General Fund, Housing Revenue Account (HRA) and the Capital Programme for the financial year 2011/12 along with a Housing Revenue Account Capital Variation form for 2012/13. The Assistant Head of Finance explained that the pre audit outturn position for the year-end would result in general reserves in the region of £3 million, in line with the minimum risk levels. It was noted that the Capital expenditure for 2011-12 totalled £33.09 million against the approved budget of £35.36 million – the majority of which was carried forward to 2012/13 to complete the projects. The Committee noted that the Councils accounts arecurrently being audited.

In response to a question asked by the Committee, the Director of Resources explained that there had been a movement  of £1,219K from the period 10 forecast to the final outturn. In response to a comment made by the Committee she explained that the level of the gap in forecasting the underspend was not acceptable but that more robust monitoring of would be put in place.

The Deputy Chair questioned if the underspend could be used to offset any potential problems with the budget. He was assured by the Director of Resources that all  underspends were being examined and where relevant would be reflected in the 2013/14  budget.

Members commented that whilst they welcomed the underspends, there was still a concern about some considerable overspends. It was noted that of those areas where there were projected overspends, careful monitoring and reviews were being undertaken protect against potential large overspends.

RESOLVED:

That the following be noted:

1.    The outturn position for the General Fund and Housing Revenue Account for the financial year 2011/12.

2.    The net movement in General Fund Revenue Reserves of £200k, and the detailed movement in Earmarked Reserves shown in Appendix 4 of the report

3.    The net movement in Housing Revenue Account Reserves and working balances.

4.    The outturn position for the Council’s capital programme for 2011-12 and how the expenditure was financed.

5.    The carry forward of unfinished capital schemes from 2011-12 into the 2012-13 capital programme.

6.    The HRA Capital project variation for Community Energy Savings Programme (CESP) of £1.5m.for 2012/2013.