Agenda item

Third Quarter Finance, Procurement & Performance Review 2021/22

Minutes:

The report provided members with the Council’s overall Performance, Financial and Procurement position at the end of the 3rd Quarter 2021/22 (31 December 2021) with headlines as follows:-

 

Subject

Headline

Reference

Finance

The Finance headlines for the Third Quarter were:

Performance against Budget

·       At the Third Quarter stage the General Fund projected outturn for 2021/22 was an underspend of £1,749,210 including £0.906m in Section 31 grants, which needed to be placed into reserves at year-end for distribution via the Collection Fund in future years.

Efficiency Programme

·       At Quarter Three £633.000 in savings had been taken against the 2021/22 general fund efficiency target of £830,430. It was anticipated that there would be a £160,000 shortfall in the year.

Capital Programme

·       The revised Capital Programme budget for 2021/22 was £4.83m including the carry forward of capital underspends from 2020/21. The projected outturn for the year at Quarter Three was £13.96m’ an overspend of £9.13m. This reflected a £10m loan to Your Housing Group in relation to the provision of affordable housing in the District.

Treasury Management

·       Cash investments held at 31 December 2021 totalled £18.7m. The Ascent loan and debenture stood at £17.15m;

·       Council borrowing at 31 December 2021 totalled £8m (relating to the Ascent loan);

·       The Council’s net interest income receipts for the year was forecast to exceed the budget by £2,130 at the Quarter Three stage.

Revenue Collection

·       83.07% of Council Tax was collected by 31 December 2021 compared to 83.03% for the same period last year (43.92% in 2019/20);

·       76.34% of Business Rates was collected by 31 December 2021 compared to 801.61% for the same period last year (80.45% in 2019/20);

·       At the end of the Third Quarter debt that was over 60 days old was £46,727 which compared with £71,620 at 31 December 2020.

Appendix A

Procurement

The Procurement headlines for the Third Quarter were:

·       13 procurement activities were completed;

·       The Procurement forward plan included 41 procurement activities for completion in 2021/22 (either SMDC only or joint);

·       At 31 December 2021, 50% of procurement activity undertaken was on the forward plan.

Appendix B

Performance

The Performance headlines for the Third Quarter were:

·       74% of the key performance indicators were on track;

·       The Council received 47 complaints, 142 comments and 35 compliments;

·       Priority Actions – 13 green, 2 amber, 1 completed, 16 grey.

Appendix C

 

Member enquiries were as follows (responses in brackets):-

 

·       Leisure provision was very poor. What would happen to the reported £199,130 underspend? (The budget was set to continue to support Parkwood Leisure throughout the year. The underspend occurred due to an early recovery from the effects of Covid. Any decision on the use of year end underspends would be made as part of consideration of the outturn report);

·       Why was £22,000 used from the Climate Change reserve for the Energy Audit? Could this not be funded from the £61,110 underspend in the Member Services budget? (This was an un-budgeted exercise to baseline future energy savings resulting from climate change activity and was therefore a legitimate use of the reserve);

·       How much had been saved by the fact that large areas of Moorlands House had been under-occupied during Covid? (The building had still been occupied by other partners during the pandemic and some staff were in most days, so heating and lighting savings were likely to be minimal. There had also been extra I.T. costs incurred);

·       What was the cost of the collection of Fly-Tipping? (A breakdown would be provided).

 

RESOLVED – That the Panel NOTE the Third Quarter 2021/22 financial, procurement and performance position as detailed in Appendices A, B and C and summarised at 3.3 of the report.

Supporting documents: