The reports in respect of the items listed under Agenda Item A.1 have been reproduced in a Budget Book and circulated under cover of a letter dated 12 November 2021 from the Corporate Director of Governance and Regulatory Services.
(Key Decision – KD.10/21)
(a) Budget Update – Revenue Estimates 2022/23 to 2026/27 (Budget Book Pages 1 – 28)
The Corporate Director of Finance and Resources to submit a report providing a summary of the Council’s revised revenue base estimates for 2021/22, together with base estimates for 2022/23 and forecasts up to 2026/27 for illustrative purposes. Potential new spending pressures, bids and savings are also considered. (Report RD.46/21)
(b) Review of Charges 2022/23
The Senior Management Team to submit charges review reports as follows:
(i) Community Services (Report CS.37/21) (Budget Book Pages 29 - 54) (ii) Economic Development (Report ED.39/21) (Budget Book Pages 55 - 64) (iii) Governance and Regulatory Services (Report GD.55/21) (Budget Book Pages 65 - 96) (iv) Licensing (Report GD.82/21) (Budget Book Pages 117 - 128) (c) Revised Capital Programme 2021/22 and Provisional Capital Programme 2022/23 to 2026/27 (Budget Book Pages 117 – 128)
The Corporate Director of Finance and Resources to submit a report summarising the revised capital programme for 2021/22 together with the proposed method of financing as set out in Appendices A and B. The report also summarises the proposed programme for 2022/23 to 2026/27 in the light of new capital proposals identified and summarises the estimated capital resources available to fund the programme. (Report RD.47/21)
(d) Corporate Assets – 3 Year Repair and Maintenance Programme 2022/23 to 2024/25 (Budget Book Pages 129 – 134)
The Corporate Director of Governance and Regulatory Services to submit a report setting out the repair and maintenance programme budget proposals for the Council’s corporate property assets for the three-year period 2022/23 to 2024/25. A progress update on building maintenance is also provided. (Report GD.79/21)
(e) Treasury Management Base Estimates (Budget Book Pages 135 – 148)
The Corporate Director of Finance and Resources to submit a report on the Treasury Management Base Estimates. (Report RD.49/21)
(f) Local Taxation 2022/23 – 2026/27 (Budget Book Pages 149 – 158)
The Corporate Director of Finance and Resources to submit a report outlining considerations as part of the budget process that need to be made in relation to aspects of funding received by the Council from local taxation. (Report RD.48/21)
The Deputy Leader introduced Agenda item A.1 which constituted the official start of the 2022/23 Budget process. The reports under consideration by the Executive today would proceed to Scrutiny, and come back before the Executive, prior to submission to the Special Council meeting scheduled to take place on 1 February 2022.
(Key Decision)
(The Leader agreed to this Key Decision item being considered at this meeting, although not in the Notice of Executive Key Decisions)
The Corporate Director of Finance and Resources to submit a report summarising the resources required to fund the implementation costs of Local Government Reorganisation (LGR) within Cumbria, and requests appropriate delegations to the Council’s S151 Officer to identify a funding source from earmarked reserves held by the Council in order to contribute up to £1.6million to a County wide Implementation Reserve. (Copy report RD.54/21 herewith)
(Non Key Decision)
Portfolio Cross-Cutting
Relevant Scrutiny Panel Health and Wellbeing; Economic Growth; Business and Transformation
Subject Matter
The Notice of Executive Key Decisions published on 22 October 2021 was submitted for information.
The Corporate Director of Governance and Regulatory Services was scheduled to submit a report regarding the Corporate Assets 3 Year Repair and Maintenance Programme 2022/23 – 2024/25 (KD.25/21). This matter had been included in the Budget Process Key Decision Notice and will therefore be considered as part of KD.10/21.
The Corporate Director of Economic Development was scheduled to submit a private report noting the proposals for the redevelopment of the Citadels and approve the land assembly activity required by the Council to enable the delivery of scheme (Key Decision – KD.23/21). However, discussions with the University of Cumbria are still ongoing to finalise the approach to the delivery of the land assembly workstream for the project, the matter has been deferred.
Summary of options rejected none
DECISION
That the Notice of Executive Key Decisions dated 22 October 2021 be received.
Reasons for Decision Not applicable
A Schedule detailing decisions taken by the Leader / Portfolio Holders under delegated powers is attached for information. (Copy Decisions herewith)
Background Papers – as detailed within the Schedule
(Non Key Decision) Portfolio Cross-cutting
Details of decisions taken by the Leader and Portfolio Holders under delegated powers were submitted.
That the decisions, attached as Appendix A, be noted.
Reasons for Decision
Not applicable
A Schedule detailing decisions taken by Officers under delegated powers is attached for information.(Copy Decision Schedule herewith)
Portfolio Cross-cutting
Relevant Scrutiny Panel
Health and Wellbeing; Economic Growth; Business and Transformation
Details of decisions taken by Officers under delegated powers were submitted.
That the decisions, attached as Appendix B, be noted.
The Minutes of the meeting of the Joint Management Team held on 25 October 2021 were submitted for information.
That the Minutes of the meeting of the Joint Management Team held on 25 October 2021, attached as Appendix C, be received.
The Corporate Director of Finance and Resources to submit a report providing an overview of the Council’s overall budgetary position for the period April to September 2021 for revenue schemes only and provides details of the impact of COVID-19 on the revenue budget. The report also includes details of balance sheet management issues, bad debts written off in the period and progress against the budget savings is also provided. (Copy Report RD.50/21 herewith)
Portfolio Finance, Governance and Resources
Relevant Scrutiny Panel Business and Transformation
The Deputy Leader submitted the Revenue Budget Overview and Monitoring Report (RD.50/21) for the period April to September 2021. Outlined within the report were the overall budget position for revenue schemes only and details of the impact of Covid 19 on the revenue budget. The report also included details of balance sheet management issues. bad debts written off and progress against the budget savings.
Set out at paragraph 2 was the summarised budgetary position as at September 2021; the main variances were as summarised at paragraph 2.4. The table at paragraph 2.9 showed the position as at September 2021 of savings achieved against the transformation savings targets to date.
The Council's financial position, which was affected by a number of external factors which had a financial impact during the course of the year and ultimately at the year end, would continue to be closely monitored and reported more fully in a future monitoring report. It would be important to maintain a prudent approach so as to ensure a sustainable budget position for future years to avoid any significant variance at the year end.
Information on the main variances in the Directorates' Budgets; the forecast outturn position for 2021/22; and impact of COVID-19 was provided .
The Deputy Leader concluded by moving the report, which was seconded by the Leader.
That the Executive:
To show that the Executive had been informed of the Council’s actual financial position compared with the budgeted position, and to bring to their attention any areas of concern.
The Corporate Director of Finance and Resources to submit a report providing an overview of the budgetary position of the City Council’s capital programme for the period April to September 2021. (Copy Report RD.51/20 herewith)
The Deputy Leader submitted report RD.51/21 providing an overview of the budgetary position of the City Council's capital programme for the period April to September 2021. Detailed therein were the capital budget overview; the overall budget position for the various Directorates; the monitoring and control of expenditure against budget allocations and the exercise of virement.
As at the end of September, expenditure of £8,382,797 had been incurred on the Council’s core capital programme. When considered against the profiled budget of £8,792,106 that equated to an underspend of £409,309. The unspent balance remaining of the revised annual budget of £29,537,200 was £21,154,403. A review of the 2021/22 capital programme would be undertaken to identify accurate project profiles for the remainder of the financial year, any potential slippage into future years.
In addition, paragraph 3.10 recorded that a number of schemes were included in the capital programme for 2021/22 which required reports to be presented to the Executive for the release of funding before the project could go ahead.
The 2021/22 programme had been kept to a level that took account of the Council’s ability to deliver schemes with regard to capacity and available resources. Work was ongoing to continue to monitor the profiling of budgets, and those were adjusted to reflect progress in current capital schemes. It was likely that there would still be a requirement for some carry forwards at the year end due to further slippage and delays on projects. Budgets now totalling £380,000 were being held in reserves until approved by Executive for release, noting that the Levelling Up bid had not been successful.
The Deputy Leader then moved the recommendations set out in the report, which were seconded by the Leader.
To inform the Executive of the Council’s actual financial position opposite its Capital programme for 2021/22.
- NIL -
Councillor J Mallinson (Leader's Portfolio)
Councillor G Ellis (Deputy Leader, and Finance, Governance and Resources Portfolio Holder)
Councillor S Higgs (Culture, Heritage and Leisure Portfolio Holder)
Councillor Mrs E Mallinson (Communities, Health and Wellbeing Portfolio Holder)
Enquiries, requests for reports, background papers etc to: committeeservices@carlisle.gov.uk
Officers: Town Clerk and Chief Deputy Chief Executive Corporate Director of Governance and Regulatory Services Corporate Director of Finance and Resources Corporate Director of Economic Development