Issue - meetings

The Executive Member for Finance and Support Services submitted a report which set out the proposed treasury management strategy and annual investment strategy for 2017/18.  The report detailed where changes had been made to the revised treasury management strategy and annual investment strategy for 2016/17 or to the credit criteria for selection of investment counterparties approved for 2016/17.

Finally, the report presented the 2017/18 prudential indicators for approval.  The Head of Strategic Finance and Property detailed the 3 principal areas of treasury management.  He highlighted the aims of the strategy documents and advised that the issue had also been considered by the joint meeting of Scrutiny Committees on 17 January 2017.  He referred Members to Essential Reference Paper ‘B’ of the report submitted regarding the approval of financial indicators and investment policies.

The Head of Strategic Finance and Property responded to a number of queries from Members.  He referred in particular to the good practice of maintaining flexibility when entering into day to day lease arrangements.  He also referred to the substantial exit costs associated with the conditions of long terms loans taken out by the Authority.  Members were advised that this situation was kept under regular review by Officers.

The Head confirmed to the Committee Chairman that Officers always sought to utilise cash in the bank before resorting to borrowing and, if borrowing was necessary, Officers would prefer to report this to Council before moving forward with such action. 

Councillor W Mortimer commented on whether such decision making could be taken in consultation with the Chief Executive, the Chairman of the Audit and Governance Committee and the Section 151 Officer. 

The Committee approved the recommendations now detailed.

RESOLVED – that (A) the Treasury Management Strategy and Annual Investment Strategy detailed in paragraphs 2.1 – 2.2 be received and recommended for approval by Council via the Executive;

(B)   the Prudential Indicators detailed in paragraph 2.3 be recommended for approval by Council via the Executive; and

(C)   the counterparty listing detailed in paragraph 2.4 be recommended for approval by Council via the Executive.