Issue - meetings

That (A) the Net Cost of Services Revenue Outturn as detailed in paragraph 2.2 of the report submitted for 2015/16 be noted;

(B)     the transfer of the underspend in Contingency budget for 2015/16 to the Transformation Reserve as detailed in paragraph 2.6 of the report submitted, be agreed;

(C)    the transfer of funds to reserves as detailed in paragraph 2.4 of the report submitted, be agreed;

(D)    the level of General Reserve Balances at 31 March 2016 as detailed within the report be noted;

(E)     the carry forward requests from 2015/16 to 2016/17 budgets as detailed in paragraph 3.7 of the report submitted, be agreed;

(F)     the Capital outturn for 2015/16 as detailed in paragraph 4.2 of the report submitted, be noted;

(G)    Capital slippage as set out in paragraph 4.3 of the report submitted, be approved; and

(H)    the Capital Programme for 2016/17 to 2019/20 as detailed in paragraph 4.5 of the report submitted, be noted.

The Executive Member for Finance and Support Services submitted a report advising on the Net Cost of Services Revenue Outturn for 2015/16 and providing explanations for significant variances against the approved Budget.  He also advised on the financing arrangements for the 2015/16 Capital Outturn and the planned financing of the updated 2016/17 Capital budget allowing for the approved slippage from 2015/16.

The Executive approved the proposals as now detailed.

RESOLVED - that (A) the Net Cost of Services Revenue Outturn as detailed in paragraph 2.2 of the report submitted for 2015/16 be noted;

(B)      the transfer of the underspend in Contingency budget for 2015/16 to the Transformation Reserve as detailed in paragraph 2.6 of the report submitted, be agreed;

(C)      the transfer of funds to reserves as detailed in paragraph 2.4 of the report submitted, be agreed;

(D)      the level of General Reserve Balances at 31 March 2016 as detailed within the report be noted;

(E)      the carry forward requests from 2015/16 to 2016/17 budgets as detailed in paragraph 3.7 of the report submitted, be agreed;

(F)       the Capital outturn for 2015/16 as detailed in paragraph 4.2 of the report submitted, be noted;

(G)      Capital slippage as set out in paragraph 4.3 of the report submitted, be approved; and

(H)      the Capital Programme for 2016/17 to 2019/20 as detailed in paragraph 4.5 of the report submitted, be noted.

The Executive Member for Finance and Support Services submitted a report advising Members on the financing arrangements for the 2015/16 Capital Outturn and the planned financing of the updated 2016/17 capital budget allowing for the approved slippage from 2015/16.

The Head of Strategic Finance and Property Services advised that the figure regarding the Council’s net expenditure outturn position of £14,449,000 had been stated incorrectly in paragraph 2.2 of the report submitted.  He stated that the 2015/16 outturn figures were correct in table 1.  He also referred to the collective agreement with Unison regarding the removal of the essential lump payment of £1,239 per annum and reducing the mileage rate from 65p per mile to the HMRC rate of 45p per mile.

Members were advised of the policy regarding general reserves and the dual purpose of having reserves to manage and mitigate risks.  A full and detailed list of reserves would be submitted to the Audit and Governance Committee within the Statement of Accounts.

Councillor J Wyllie commented on the community right to challenge in respect of the management fee to Bishop’s Stortford Town Council exceeding the approved budget.  He was advised that this matter had been resolved slightly to the benefit of the Town Council and East Hertfordshire District Council and lessons had been learned.

Councillor M Pope referred to an increase in housing benefits overpayments and in bad debts.  The Chief Executive advised that the Authority was often not advised of changes in the circumstances of claimants and the Authority was subsequently unable to accurately calculate claims.

Councillor M Casey commented on the funding of the £1m pension fund from reserves.  The Chief Executive advised Members of the recent changes to the pension fund scheme whereby employees contributed more than they used to.  Members were advised that the Authority had very little discretion or choice in this matter.

The Chief Executive responded to a further query from Councillor Casey regarding redundancy payments and how many had been and the average payment.  Members had a short general debate in respect of the pension fund and Councillor M Casey referred to expenditure and was given advice by the Head of Strategic Finance and Property Services regarding specific items in the revenue budget.

Members debated the redundancy payment multipliers and the fact that they were within the control of the Council subject to negotiation with the union.  Members recommended that the Executive be advised that Human Resources Officers should review the redundancy payment multiplier.  Members received the report and approved the recommendations now detailed.

RESOLVED – that (A) the report be received; and

(B)   the Executive be advised that Corporate Business Scrutiny Committee has no comments to make in respect of the following:

·               the Net Cost of Services Revenue Outturn as set out in paragraph 2.2 of the report submitted for 2015/16;

·               the transfer of the underspend in Contingency budget for 2015/16 to the Transformation Reserve as set out in paragraph 2.6 of the report submitted;

·               the transfer of funds to reserves  ...  view the full minutes text for item 49