Agenda item

Purpose: the capital financing performance report provided to Members reports on the under or over spends against the Council’s approved capital programme and associated capital financing implications. This report presents the provisional outturn position for financial year 2023/24 as forecast at quarter one, and future borrowing requirement for financial year 2024/25 which is funded from the Council’s revenue budget.      

Resolved that Executive:

·         Note the quarter one underspend position of £15.1 million and reprofiling proposals of £14.1 million. Reprofiling proposals are included in appendix D.

·         Note the budget changes included in the quarter one position detailed in appendix A, and proposed external funding changes in appendix B. The proposed external funding changes result in a net increase in expenditure budgets of £1.9 million and a reduction in the Council funded element of the programme of £4.4 million.

Executive approve:

·         A new Council funded project for the procurement of a new Adult Social Care client management system (£224k) is added to the 2023/24 capital programme (appendix C). The current contract is due for retender and procurement activity is due to commence in the current financial year with full implementation of a software solution in financial year 2025/26.

·         A new Council funded project for installation of CCTV cameras at Market Street (£18k) to be added to the 2023/24 capital programme, as per Appendix C. This is to provide coverage of external areas not presently benefiting from CCTV, in response to an upward trend in theft of bicycles and vandalism to the plant room fencing and nearby street lighting.

·         A new Council funded project to acquire polling booths to be added to the 2023/24 capital programme (£40.5k), as per Appendix C. This is to replace existing equipment in poor condition, and which will then incorporate an accessible level for ease of use by disabled voters.

·         A new Council funded project to acquire accounting software to be added to the 2023/24 capital programme (£22.5k), as per Appendix C. This is required to support mandatory compliance with accounting requirements on adoption of the International Financial Reporting Standard 16 on lease accounting (IFRS16). Fees for future years licence costs will be included as part of the 2024/25 capital build process.

This decision is eligible to be ‘called-in’.  However, if the decision has not been ‘called-in’ by 5.00pm on 29 September 2023, then it will be implemented.

Councillor Iain Cottingham introduced a report (Agenda Item 6), noting a Quarter One underspend position of £15.1 million with reprofiling proposals of £14.1 million. Councillor Cottingham highlighted section seven of the report and in particular the s151 Officer’s statement that he was confident that the capital expenditure would be affordable in the longer term. 

Councillor Lee Dillon proposed the report.

Councillor Jo Stewart referred to page 27 of the report and the fact that no reprofiling had been requested in relation to Modernising Adult Social Care, and the Learning Disability Supported Living, Walnut Close Transformation projects. It was queried whether this reflected the facet that both projects had been halted. Paul Coe, Executive Director Adult Social Care, reported that certain elements of the projects had been withdrawn and that he would be happy to provide a full breakdown in writing.

Councillor David Marsh queried the status of the capital funding that had previously been allocated to the Sports Hub project. Councillor Cottingham responded that it was likely that the sum would be reprofiled into another project.

Councillor Carolyne Culver referred to section 5.11 of the report and queried why there had been an underspend on the joint venture with Sovereign Housing Association. Councillor Denise Gaines commented that negotiations were ongoing with Sovereign Housing Association, and it was hoped that projects would be proceeding in the near future.

Councillor Jeff Brooks seconded the recommendations within the report.

RESOLVED that: Executive

·       Note the quarter one underspend position of £15.1 million and reprofiling proposals of £14.1 million. Reprofiling proposals are included in appendix D.

·       Note the budget changes included in the quarter one position detailed in appendix A, and proposed external funding changes in appendix B. The proposed external funding changes result in a net increase in expenditure budgets of £1.9 million and a reduction in the Council funded element of the programme of £4.4 million.

Executive approved:

·       A new Council funded project for the procurement of a new Adult Social Care client management system (£224k) is added to the 2023/24 capital programme (appendix C). The current contract is due for retender and procurement activity is due to commence in the current financial year with full implementation of a software solution in financial year 2025/26.

·       A new Council funded project for installation of CCTV cameras at Market Street (£18k) to be added to the 2023/24 capital programme, as per Appendix C. This is to provide coverage of external areas not presently benefiting from CCTV, in response to an upward trend in theft of bicycles and vandalism to the plant room fencing and nearby street lighting.

·       A new Council funded project to acquire polling booths to be added to the 2023/24 capital programme (£40.5k), as per Appendix C. This is to replace existing equipment in poor condition, and which will then incorporate an accessible level for ease of use by disabled voters.

·       A new Council funded project to acquire accounting software to be added to the 2023/24 capital programme (£22.5k), as per Appendix C. This is required to support mandatory compliance with accounting requirements on adoption of the International Financial Reporting Standard 16 on lease accounting (IFRS16). Fees for future years licence costs will be included as part of the 2024/25 capital build process.