To invite cabinet members to consider performance for the first six months of 2016/17 and the projected budget outturn for the year.

The cabinet member for economy and corporate services introduced the report.

The cabinet member for health and wellbeing noted a much improved position for adult social care, although challenges remained. There was a projected overspend for 2016/17. There had been an increase in the number of reviews completed, ensuring that the right care was being provided for the right people.

The director for children’s wellbeing reported that the projected overspend in children’s wellbeing was stable and there was confidence that savings would be delivered in 2017/18. The inspection by OfSTED and the Care Quality Commission of services for children with special educational needs and disabilities had recognised a number of strengths and this would be reported fully on receipt of the final inspection letter.

The director highlighted that education performance was improving in every key stage, with a 3 year trend of improvement. The performance of the early years foundation stage had shown particular improvement and Herefordshire was now in the top quartile nationally.

The cabinet member for economy and corporate services highlighted the projected underspend for the ECC directorate but warned that poor weather over the coming winter months could impact on this with additional gritting costs for example. He noted that the reduction in both the headcount and the level of absence had contributed to savings. The city centre link road was reported to be progressing and the energy from waste plant was ahead of schedule.

The director of resources reported that at the end of September 2016 the council was projecting a small overspend and that work was ongoing on the savings plan. He stated that he believed the council would achieve a balanced budget by the end of the financial year. The director noted slippage on capital spend and highlighted the potential impact of winter weather on projects. He also noted some small savings on borrowing costs due to low interest rates.

In response to a query from a group leader the director for economy communities and corporate stated that the overall income from car parking had increased but by less than had been forecast and the options to address this were being explored.

A scrutiny chair noted that the council had received a £2m grant for rural improvements and asked if some of this funding could be used for rural road repairs. The leader responded that a statement on the use of the grant would be made shortly.

A group leader noted that the adults and wellbeing budget had increased but the projected overspend had reduced by a lesser amount. The head of corporate finance highlighted that information had been combined in the dashboard but listed separately in the budget information.

It was noted that the children’s dashboard did not have coloured RAG ratings on projects. This was inadvertent and the information could be recirculated if required. The director for children’s wellbeing reported that by and large the projects listed were proceeding in accordance with the plans.

A group leader asked if some of the increase in costs in children’s services could be due to actions the council had taken. The head of corporate finance responded that some of the planned savings would take time to implement. The director for children’s wellbeing commented that the budget would be volatile depending on the number of children and level of need but that the number of children in care was reducing slowly. The summer period was a pressure point for the children’s care budget as children were not in school and placements could come under pressure, leading to breakdowns and emergency action by the council. The council had a responsibility to step in if families could not provide appropriate care for children but renewed clarity over the thresholds for levels of intervention was delivering cost reductions.

In response to a query from a group leader the director for economy communities and corporate stated that the minerals and waste plan should be adopted in approximately 18 months time.

A group leader asked if worn white lines could be a contributing factor to the increase in the number of people killed or seriously injured on Herefordshire roads. The director for economy communities and corporate responded that this had not been flagged as a significant factor in accident investigation reports.

A group leader noted that the proportion of debt written off was small compared to other authorities. He asked for greater detail on the age of the debts and number and value of smaller write offs that were business rates as this could have an impact on the council in the future when business rates were retained.

The cabinet member for contracts and assets congratulated the collection team for the low levels of debt write offs.

A group leader queried if the WISH portal was now performing as expected and whether any feedback had been received showing how many people had contacted WISH directly rather than being referred through the council. The cabinet member for health and wellbeing responded that a review of the WISH service was being undertaken and that a report was expected shortly.

 Resolved that:

a)    Cabinet notes the council is projected to spend within budget in 2016/17; and

b)    Performance for the first six months of 2016/17 is considered.