Agenda item

Mr Mark Green, the Director of Finance and Business Improvement, introduced the report providing an overview of the revenue and capital budgets and outturn at the end of 2017/18.  Mr Green explained that:

·  The figures included within the report were still subject to external audit so should be considered provisional at this stage.  The report also included an update on other matters which might have a material impact on the Council’s Medium Term Financial Strategy and Balance Sheet.

·  The main headline was positive in that the overall position for 2017/18, after write-offs and adjustments for amounts to be carried forward, was an underspend of £185k against the budget.

·  The Policy and Resources Committee was responsible for co-ordinating financial management across the Council and it was therefore appropriate for the Committee to make a decision about the allocation of the underspend.  The Heritage, Culture and Leisure Committee had asked that £75k of the underspend be set aside for reviews of a number of areas within its remit.  However, it was important to look at the position of the Council in aggregate and it was recommended that it would be appropriate to take an overall Council-wide approach to the allocation of the underspend with a report back to the next meeting of the Committee with detailed proposals.  This would enable the other Service Committees to have an input.

·  There had been very positive performance in relation to Business Rates growth, and it was recommended that the Committee receive a report setting out how it was proposed to use the Kent Business Rates pool surplus to promote the Council’s economic development strategy and as a growth fund.

·  The report sought agreement to the write-off of income following a dispute over contract payments and unpaid business rates.

·  The capital outturn reflected substantial investment in major schemes including housing for temporary accommodation and the acquisition of commercial property.

In response to a question by a Member, the Director of Finance and Business Improvement said that he would circulate to Members of the Committee an explanation for the overspend of £53k for Phoenix Park in the year 2017/18.

It was noted that the paragraph of the report referred to in recommendation 5 should read 1.8.

RESOLVED:

1.  That the revenue position of the Council at the end of 2017/18 as set out within Appendix 1 to the report of the Head of Finance be noted.

2.  That the revenue resources to be carried forward into the current financial year, detailed at Appendix 2 to the report of the Head of Finance, be noted.

3.  That the write-off of uncollectable debt totalling £13,750 be approved.

4.  That the 2017/18 underspend of £185,000 be ringfenced within General Fund balances for one-off expenditure that is required to deliver Council strategic objectives and that a report be submitted to the next meeting of the Committee setting out specific proposals.

5.  That a report be submitted to the Committee setting out how it is proposed to use the Kent Business Rates Pool surplus to promote the Council’s economic development strategy and as a Growth Fund, as set out in paragraph 1.8 of the report of the Head of Finance.

6.  That the use of the 2016/17 underspend detailed at paragraph 1.18 of the report of the Head of Finance be noted.

7.  That the capital outturn and slippage within the capital programme in 2017/18, detailed in Appendix 3 to the report of the Head of Finance, be noted.

8.  That the performance of the Collection Fund and the level of balances at 31 March 2018 be noted.

9.  That the write-off of unpaid business rates as set out in Appendix 4 to the report of the Head of Finance be approved.

10.  That the performance in relation to the Treasury Management Strategy for the final quarter of 2017/18 be noted.

Voting:  15 – For  0 – Against  0 – Abstentions