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Agenda Item No.

 

 

THE VALE OF GLAMORGAN COUNCIL

 

CABINET: 4TH MARCH, 2013

 

REFERENCE FROM SCRUTINY COMMITTEE (SOCIAL CARE AND HEALTH): 11TH FEBRUARY, 2013

 

 

“842    REVENUE AND CAPITAL MONITORING FOR THE PERIOD 1ST APRIL, 2012 TO 31ST DECEMBER, 2012 AND UPDATE ON THE SOCIAL SERVICES BUDGET PROGRAMME (DSS) – 

 

Committee received a report which:

 

·                     advised the Committee of the position in respect of revenue and capital expenditure for the period 1st April 2012 to 31st December, 2012 regarding those revenue and capital budgets within the Committee's remit and which sought a change to the Capital Programme

·                     updated Committee on the progress made in delivering the Social Services Budget Programme.

 

The current forecast for Social Services at the year end still remained as an underspend of £403,000.  This was as a result of the savings identified for the year and anticipated to be achieved, being £403,000 in excess of the actual savings required for the year, set as part of the Social Services Budget Programme.  Whilst this was an achievement for the Directorate, it was noted that this was only a short-term gain as the total savings target for the whole of the Budget Programme over the four year period had not yet been finalised. 

 

Children and Young People’s Services - the year end projected outturn was an overspend of £123,000.  An underspend in the Social Services Business Management and Innovation Division would reduce the recharge to Children and Young People’s Services, and thus reduce the overspend.  The service itself was actually projected to overspend by £177,000.  There continued to be pressure on the Children's Placement Budget, specifically from children with especially complex needs.  There was also pressure on the budget in respect of accommodation costs for homeless young people and on the Adoption Budget due to the high cost post adoption support package.  Any increase in the number of children becoming looked after by the Council over the year could have a significant impact on the service.

 

Adult Services - the year end projected outturn was an underspend of £526,000.  An underspend in the Social Services Business Management and Innovation Division would reduce the recharge to Adult Services and thus increase the underspend.  The service itself was actually projected to underspend by £391,000.  There was continuing pressure on the Community Care Packages Budget, which was extremely volatile and could be adversely affected by outside influences such as last years introduction of the First Steps Initiative by the Welsh Government which capped charging for non-residential services to £50 per week.  The impact of this change would continue to be monitored as the year progressed, and discussions with the Welsh Government regarding the issue continued.  Another issue to affect the year end position would be the 2012/13 fee set by the Council in respect of personal care costs for residents placed by the Council in residential and nursing homes provided by the independent sector.  Currently, 2% was included in the budget but a higher increase was being sought by the sector.

 

Business Management and Innovation - the year end projected outturn was an underspend of £189,000 but this would be recharged to other areas of Social Services showing a breakdown position under this heading.  The reason for the underspend was mainly due to staff vacancies being held under the Protection and Policy heading pending a review of service provisions. 

 

Appendix 2 to the report detailed financial progress on the Capital Programme as at 31st December, 2012. 

 

Extra Care / Elderly Mental Infirm (EMI) Feasibility - studies into a suitable site for the provision of a new EMI facility were on hold whilst an Older People's Accommodation Strategy was drafted, which would inform the future development requirements.  As a result, the current year allocation of £50,000 would no longer be required.  It was proposed that some of the underspend on the EMI Budget would be used to fund works at Rondel House, in place of a proposed revenue contribution from Social Services of £25,000.

 

With regard to the Social Services Budget Programme Update, the Directorate was currently required to find savings totalling £8.5m by the end of 2015/16.  Progress in identifying the savings had been made and the following table showed the current position.  Sufficient savings had been identified to meet the targets for 2012/13 and 2013/14 but there still remained £3.9m to be identified for 2014/15 and 2015/16.  In addition, Directors had been requested to formulate additional options for savings for future years in the light of a predicted worsening financial position for the Council. 

 

Year

Savings Required

£000

Savings Identified

£000

In Year (Surplus)/Shortfall

£000

Cumulative (Surplus)/Shortfall

£000

2012/13

1,430

1,833

(403)

(403)

2013/14

2,150

2,040

110

(293)

2014/15

2,150

675

1,475

1,182

2015/16

2,757

25

2,732

3,914

TOTAL

8,487

4,573

3,914

 

 

The Social Services Directorate was committed to achieving a balanced budget.  The corporate programme board and project teams overseeing the plan would continue to develop it further and ensure delivery and progress. 

 

It was reported that the reference in Recommendation (3) of the report to Scrutiny Committee (Corporate Resources) should have read “Cabinet”.

 

RECOMMENDED -

 

(1)       T H A T the position with regard to the 2012/13 Revenue and Capital Monitoring be noted.

 

(2)       T H A T the proposed amendments to the Capital Programme to reduce the Extra Care / Elderly Mental Infirm (EMI) Feasibility Budget to nil be endorsed and referred to Cabinet for approval.

 

(3)       T H A T the progress made on the Social Services Budget Programme be endorsed and referred to Cabinet for information.

 

Reasons for recommendations

 

(1)       That Scrutiny Members are aware of the position in regard to the 2012/13 Revenue and Capital Monitoring.

 

(2)       That Cabinet approves the proposed amendment to the Capital Programme.

 

(3)       That Scrutiny and Cabinet Members are aware of the progress made to date on the Social Services Budget Programme.”

 

 

 

 

Attached as Appendix - Report to Scrutiny Committee (Social Care and Health): 11th February 2013

 

 

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