Issue - meetings

A report from the Director of Finance, Resources and Customer Services is attached. This sets out the Council’s revenue budget monitoring position based on information to the end of July 2016. (Key decision – reference number 4365)

(Report No.62)

(8.25 – 8.30 pm)

Councillor Dino Lemonides (Cabinet Member for Finance and Efficiency) introduced the report of the Director of Finance, Resources and Customer Services (No.62) setting out the Council’s revenue budget monitoring position based on information to the end of July 2016.

NOTED

1.               That, the report forecast an outturn position of a £7.9m overspend for 2016/17. Members noted the budget pressures highlighted within the report. Cabinet Members were asked to discuss the revenue monitoring position in detail with their respective Directors. The next revenue monitoring report to Cabinet would include proposals on how to address the identified budget pressures within each Department.

2.               Councillor Lemonides asked Rob Leak (Chief Executive) and James Rolfe (Director of Finance, Resources and Customer Services) to facilitate quarterly meetings with all Cabinet Members and Directors to collectively discuss the ongoing financial monitoring and projected outturns.

3.               In relation to recommendation 2.3 of the report. Councillor Lemonides sought delegated authority to himself and James Rolfe (Director of Finance, Resources and Customer Services) to come to a decision as to whether an application should be made to the Government to accept the multi-year settlement. It was not clear at this stage what was being offered by the Government. The Council also needed to consult with other London Boroughs on their proposals before reaching a decision. It was noted that there was a lot of uncertainty at present concerning the proposed multi-year settlement. The delegated authority sought related to the application only.

Alternative Options Considered: Not applicable to this report.

DECISION: The Cabinet agreed

1.               To note the £7.9m overspend revenue outturn projection.

2.               That departments reporting pressures should formulate and implement action plans to ensure that all possible actions were undertaken to remain within budget in 2016/17.

3.               To delegate authority to the Cabinet Member for Finance and Efficiency and the Director of Finance, Resources and Customer Services to come to a decision as to whether an application should be made to the Government to accept the multi-year settlement offer. Application for the multi-year settlement required the Council to publish an efficiency plan on its website. Responsibility for preparing and publishing the efficiency plan should be devolved to the Director of Finance, Resources and Customer Services in consultation with the Cabinet Member for Finance and Efficiency. Further information on the application process, as well as the information expected in an efficiency plan was provided in Appendix D to the report.

Reason: To ensure that Members were aware of the projected budgetary position, including all major budget pressures and underspends which had contributed to the present monthly position and that were likely to affect the final outturn.

(Key decision – reference number 4365)