Agenda item

Joint Report of the Corporate Director of Regeneration and Economic Development and Corporate Director – Resources – Finance Manager, Resources.

The Chairman introduced the Principal Accountant, Resources, Stephen Barber to speak to Members in relation to the Quarter 3 Revenue and Capital Outturn 2015/16 (for copy see file of minutes).

The Principal Accountant reminded Members of the areas reported upon, the General Fund Revenue Account, the Housing Revenue Account (HRA) and the Capital Programme for the RED Service.  Members noted the service was reporting a cash limit underspend of approximately £1.521 million at Quarter 3 2015/16, against a revised General Fund Revenue Budget of £26.770 million.  Members noted the major variances fell within Housing Solutions and Development Management, with the detailed explanations as set out within the report including additional planning fee income.  The Committee were informed that the service grouping was on track to maintain spending within the cash limit and Medium Term Financial Plan (MTFP) savings were incorporated into the outturn position.

Members were reminded that the Housing Revenue Account (HRA) was no longer required as the housing stock had been transferred to the new County Durham Housing Group and would be closed after some residual transactions reflecting the short period of activity in 2015/16.

As regards the Capital Programme, the Principal Accountant explained that the RED programme was significant and represented 138 schemes managed by 25 Project Delivery Officers.  It was noted that subsequent to revisions to take into account grant additions/reductions and re-profiling meant that the budget now stood at £33.034 million, with a breakdown of the major capital projects given at Appendix 2 to the report.  Members were reminded that many capital programmes profiles were such that they completed in the final quarter and it was anticipated that the projected outturn at 31 March 2016 would be in line with the revised budget. 

The Chairman thanked the Principal Accountant and asked Members for their questions on the finance report.

Councillor O Temple made reference to £742,000 use of corporate reserve – office accommodation and asked whether this was work in respect of a “new County Hall” and could he have more detail.  The Principal Accountantnoted he would check and confirm and the Performance and Planning Manager, Regeneration and Economic Development, Graham Tebbutt added that he thought it was spend in connection with staffing for RED.  The Principal Accountant agreed that he would check and get more detail and then respond to the Member appropriately.

Councillor J Armstrong added that a small, cross-party working group had been established in connection with future office accommodation and had visited new Council offices at North Tyneside and Redcar and would be looking at the requirements for the Authority moving forward.

Resolved:   

That the report be noted.