Agenda item

Joint Report of the Corporate Director of Regeneration and Local Services and the Corporate Director of Resources - Principal Accountant, Resources.

The Chairman introduced the Principal Accountant, Paul Raine to speak to Members in relation to the Quarter 2 Revenue and Capital Outturn 2017/18 (for copy see file of minutes).

The Principal Accountant reminded Members of the areas reported upon, the General Fund Revenue Account, and the Capital Programme for Regeneration and Local Services.  Members noted the service was reporting a cash limit underspend of approximately £0.263 million at Quarter 2 2017/18, against a revised General Fund Revenue Budget of £27.756 million.  Members noted the major variances were set out within the report and that the service grouping was on track to maintain spending within the cash limit and more details were contained within Appendix 2 to the report.

As regards the Capital Programme, the Principal Accountant explained that the budget now stood at approximately £43.472 million, with a breakdown of the major capital projects given at Appendix 3 to the report.  Members noted the spend to date of £13.55 million and 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 2018 would be in line with the revised budget. 

The Chairman thanked the Principal Accountant and asked Members for their comments and questions.

Councillor P Howell noted within the table at section 7 of the report, Subjective Analysis that some elements had been almost spent up to budget in the half-year, yet other elements, such as supplies and services had not spent as much.  The Principal Accountant noted that it would depend upon schemes and how they were profiled over the year.  Councillor P Howell noted the same for Capital, and asked if there would not more benefit in being able to get work undertaken early in terms of efficiency and delivery, and would comparison to a half-year budget not be more beneficial in terms of understanding the position.  The Principal Accountant noted he would look into the reporting including the half-year budget.

Councillor J Clare noted the underspends in terms of Visit County Durham (VCD) and Housing Solutions, adding that these were vital services and he hoped that any vacant posts would be filled as soon as possible.  He also noted the delay in terms of an award linked to skills development.  The Principal Accountant noted that VCD had made MTFP savings early and that in terms of the award regarding employability and skills, the Authority were awaiting Government to deliver this.

Councillor M Wilkes noted that within paragraph 4 of the report there were a lot of adjustments and good use of reserves, however, he asked whether these were an intention to spend more or to prevent delays.  The Principal Accountant noted that, for example, the transport cash-limit was in terms of one-off projects regarding traffic management, not managing overspends.  

Resolved:    

That the report be noted.