END OF MAY CORPORATE BUDGET AND PERFORMANCE REPORT
To invite cabinet members to consider performance for the first two months of 2016/17 and the projected budget outturn for the year.
Cabinet received a report to consider performance for the first two months of 2016/17 and the projected budget outturn for the year.
The Leader pointed out that at the meeting on the 16th June, that there had been a misalignment of figures in Appendix B of the end of year corporate budget and performance report 2015/16 that had subsequently been rectified. The totals figures were not affected and no decisions had been dependent on the report. An updated report had been issued with the agenda for the meeting on the 28th of July.
In reply to a question from a Group Leader, the head of corporate finance said that these were not the figures that had been questioned at full Council. Those figures pertained to the cost of borrowing and had been reported in the treasury out-turn report.
The director for economy, communities and corporate said that the headline figure for this report was the projected full year outturn, based on spend until the end of May 2016, of an overspend of £1.5m. Action plans were in hand in all directorates to address the in-year pressures and to help mitigate the impacts of the external economic environment. It was not unusual at this period in the year for there to be forecasted overspends.
The projected full year outturn based on spend until the end of May 2016 is an over spend of £1.5m, which represented 1% of the budget. The 2016/17 savings are £10.9m; £9.4m (86%) of which are on track to be delivered during the current year. Action plans are being undertaken in all directorates to address the in-year pressures and to help mitigate the impacts of the external economic environment. It is not unusual at this period in the year for there to be a forecasted over spend; actions contained within the directorate overviews in paragraphs 8-39 are expected to manage this
The assistant director environment and place said that as the performance reports were only for the first two months, some areas had not reported as they did not report on a monthly basis. Each directorate had a performance dashboard. He added that there would be a seminar on the 5 year land supply on the 25th July.
The cabinet member, health and wellbeing said that work was ongoing in both children’s and adult’s wellbeing in order to address areas of overspend. The key for the directorates to address was the overspend in client groups. Whilst the forecast overspend was still £2m, this figure was lower than the previous year’s expenditure, and much had been done to address cultural issues within the directorates around partner organisations and key workers such as social workers. She went on to say that the quality of care within adult’s wellbeing had improved over the last year which was beneficial for the service user and the service, as good care was better value for money. The assistant director, commissioning adults and wellbeing, detailed the four elements of the recovery plan, which were single handed care; to minimise voids and maximise block contract use; the implementation of a cultural change programme and internal support and challenge process with specialist staff supporting social workers.
She went on to say that whilst there was an overspend in children’s wellbeing, there was also a significant improvement against the previous year. The directorate faced a challenge from the increase in numbers of looked after children, but the young people’s plan was having a positive impact in this area.
In reply to a question from a Group Leader, the director, children’s wellbeing said that there were issues around the recruitment of experienced social workers and that all west midlands councils were experiencing difficulties in recruitment. The number of agency workers had been reduced from around fifty in previous years to nine.
In reply to a question from a Group Leader, the assistant director environment and place said that there was a gap in the cycle network in Kings Acre road but that there was an opportunity to rectify this with the Three Elms housing development, which would come to planning committee shortly.
In the ensuing debate, the following points were made:
· That schemes of less than £500k all followed the same rigorous budget management process as larger projects and were monitored on a monthly basis.
· That the annual report on the 5 year land supply would be available to members at the seminar on the 25th July, which would take members through the figures that were contained in that report.
· That gross expenditure had not been reported in the adult’s wellbeing report, but these figures could be supplied if required.
· That the most recent submission of the Better Care Fund to NHS England had been approved and the council’s exposure to the risk sharing arrangement with the Herefordshire Clinical Commissioning Group had been limited.
(a) Cabinet notes the council was currently projecting an overspend of £1.5m; and;
(b) Performance for the first two months of 2016/17 be considered.
- End of May corporate performance and budget report (v2), item 10. PDF 330 KB
- Appendix A - revenue forecast (v2), item 10. PDF 227 KB
- Appendix B - capital forecast, item 10. PDF 212 KB
- Appendix C - treasury management forecast, item 10. PDF 241 KB
- Appendix D - AWB Scorecard, item 10. PDF 260 KB
- Appendix D - CWB Scorecard, item 10. PDF 320 KB
- Appendix D - ECC Scorecard, item 10. PDF 261 KB
- Appendix D - strategic overview, item 10. PDF 317 KB