Agenda Item No
The Vale of Glamorgan Council
Scrutiny Committee (Housing and Public Protection) 13th February 2013
Joint Report of the Director of Development Services and the Director of Visible Services and Housing
Revenue and Capital Monitoring for the Period 1st April 2012 to 31st December 2012
Purpose of the Report
1. To bring to the attention of this Scrutiny Committee, 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, which form this Committee’s remit.
It is recommended that :
1. The position with regard to the Authority’s 2012/13 Revenue Budget and Capital Budget be noted.
2. The proposed amendment to reduce the Castleland Renewal Area capital budget to £1.26m in 2012/13 and carry forward £445K to 2013/14, is endorsed and referred to Cabinet and Council for approval.
Reasons for the Recommendations
1. That Scrutiny Committee note the position with regard to the 2012/13 revenue and capital monitoring.
2. That Cabinet and Council approve the proposed amendment to the Capital Programme.
2. Cabinet on 19th November 2012 (min no C1910, C1911 and C1912) approved the amended capital, revenue and Housing Revenue Account budgets for 2012/13. Reports monitoring expenditure are brought to this Committee on a regular basis.
Relevant Issues and Options
3. The Revenue Budget and projected outturn for 2012/13 are shown in Appendix 1.
4. Public Sector Housing (HRA) - The Housing Revenue Account is predicted to outturn on target and there is currently a favourable variance of £134k against the profiled budget. This variance is made up of an adverse variance on the housing repairs demand led responsive maintenance service of £65k, which will be monitored closely throughout the year to attempt to bring expenditure within budget. This variance is offset by favourable variances on Salaries (£40k), Income (£28k), Premises Costs (£21k), Transport (£9k) and other Supplies and Services (£101k).
5. General Fund Housing - The Housing Services General Fund Account is currently showing a favourable variance of £11k on supplies and services but is expected to outturn on target.
6. Private Sector Housing and Public Protection - Both these areas are predicted to outturn on target.
7. Appendix 2 details financial progress on the Capital Programme as at 31st December 2012.
8. Housing Improvement Programme - As works are proceeding on the Welsh Housing Quality Standard it has become evident that the existing budgets need to be updated in order to reflect what is achievable on each budget by year-end. There is no issue with under spending on the total budget but each individual allocation needs to be reviewed. This will take place in the next month and will be undertaken via delegated authority to officers. Members will be advised of any changes in the next Capital Monitoring Report
Variance between Actual Spend to date and Profiled Spend
9. Cabinet have previously agreed that further information would be provided where schemes have a value of over £500k and show a variance of 20% or more between actual spend and the profile. The following scheme meets this criteria:-
10. Castleland Renewal Area - As stated in the previous report to Committee on 16th January 2013, payments have been behind profile on this property face lifting scheme, due, in part, to low take-up of insulation works by householders who have already had these works undertaken by other means as well as delays on site due to bad weather. As a result it is requested that Cabinet (and Council) be asked to approve slippage of the projected under spend of £445k into 2013/14 in order to fund the next phases of the renewal area works.
11. Appendix 3 provides non-financial information on capital construction schemes with a budget of over £100,000. Where a budget shown in Appendix 2 is more than £100,000 but is made up of several smaller schemes that individually are less than £100,000, the scheme is not included in Appendix 3.
Resource Implications (Financial and Employment)
12. As detailed in the body of the report.
Sustainability and Climate Change Implications
There are no direct implications arising from this report.
Legal Implications (to Include Human Rights Implications)
13. There are no legal implications.
Crime and Disorder Implications
14. There are no crime and disorder implications.
Equal Opportunities Implications (to include Welsh Language issues)
15. There are no equal opportunity implications.
16. Effective monitoring assists in the provision of accurate and timely information to officers and Members and in particular allows services to better manage their resources.
Policy Framework and Budget
17. Report is in accordance with the Policy Framework and Budget.
Consultation (including Ward Member Consultation)
18. The appropriate Chief Officer has been consulted. This report does not require Ward Member consultation.
Carolyn Michael (Senior Group Accountant) (01446 709778)
Director of Development Services
Director of Visible Services and Housing