Top

Top

Agenda Item No 5

 

The Vale of Glamorgan Council

 

Scrutiny Committee (Lifelong Learning) 9th February 2015

 

Report of the Director of Learning and Skills

 

Revenue and Capital Monitoring for the period 1st April to 31st December 2014

 

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 to 31st December 2014 regarding those revenue and capital budgets, which form this Committee’s remit.

Recommendation

It is recommended that :-

1.         Scrutiny Committee note the position with regard to the 2014/15 revenue and capital monitoring.

Reason for the Recommendation

1.         That Members are aware of the position with regard to the 2014/15 revenue and capital monitoring relevant to this Scrutiny Committee.

Background

2.         Cabinet on the 17th November 2014 (minute nos. C2533 and C2534 respectively) approved the amended Revenue and Capital Budgets for 2014/15.  Reports monitoring expenditure are brought to this Committee on a regular basis.

Relevant Issues and Options

Revenue

 

3.         The Revenue Budget and projected outturn for 2014/15 are shown in the following table.  It is projected that by year end there will be an underspend of £288k.  It is proposed that at year-end, any underspend will be transferred into the Libraries reserve to assist with the implementation of the Libraries review.  Provision has been made within the budget to make unsupported borrowing repayments in relation to the Schools Investment Programme of £435k per annum.

 

Lifelong Learning  

Revenue Budget

 

Probable Outturn

Variance

(+ ) Favourable

(-) Adverse

 

£000

£000

£000

Schools

79,229

79,229

0

School Improvement & Inclusion

3,591

3,591

0

Service Strategy & Regulation

243

243

0

Strategic & Resources

10,292

10,292

0

Children and Young Peoples Partnership

336

336

0

Total Education and Schools

93,691

93,691

0

Libraries

2,550

2,550

0

Youth Service

1,069

1,069

0

Adult Community Education

247

247

0

Catering

1,775

1,775

0

TOTAL

99,332

99,332

0

 

4.         A graph and table setting out the variance between profiled budget and actual expenditure to date is attached at Appendix 1

5.         Schools - The delegated budget relating to schools is expected to balance as any under/over spend is carried forward by schools.

6.         School Improvement & Inclusion - It is anticipated that this area will overspend by £37k after offsetting adverse variances on the internal respite provision of £50k, recoupment income of £38k and behaviour support of £22k with favourable variances on Additional Learning Needs staffing and resources of £73k.  Any overspend at year end will be off set by underspends elsewhere in the Directorate.

7.         Service Strategy & Regulation - This service will outturn with a favourable variance of £13k due to efficiencies within the Business Support section.  It is intended that any underspend at year end will be transferred into the Libraries reserve to assist with the implementation of the Libraries Review.

8.         Strategic & Resources  - It is anticipated that this area will underspend by £189k after funding overspends  on urgent repairs in schools of £69k and Special Education Needs transport of £10k, offset by favourable variances on mainstream transport of £143k, independent nursery placements of £36k, staffing of £44k and non-delegated schools costs of £45k.  It is intended that any underspend at year end will be transferred into the Libraries reserve to assist with the implementation of the Libraries Review.

9.         Children and Young People's Partnership– It is anticipated that this service will underspend by £60k due to 2015/16 savings being implemented early and temporary changes to the funding of childcare umbrella groups.  It is intended that any underspend at year end will be transferred into the Libraries reserve to assist with the implementation of the Libraries Review.

10.      £164k will be transferred into the Early Retirement Voluntary Redundancy Invest to Save reserve in respect of the schools early retirement and voluntary redundancy scheme. In addition a transfer of £196k will be taken from the schools Long Term Sickness and Maternity reserve to fund the current year deficit on the scheme.

11.      Libraries - The service is projecting a favourable variance of £63k due to staff vacancies.  It is intended that any underspend will be transferred into the Libraries reserve to assist with the implementation of the Libraries Review.

12.      Youth Service - It is anticipated that this service will outturn on target after transferring £107k from the Youth Service reserve to fund the Area 41 dilapidation costs, Westhouse surrender payment and the Youth Engagement and Progression Framework in schools.

13.      Adult Community Education - This service will outturn at revised budget after transferring £62k from reserves to assist with funding reductions from Welsh Government and Cardiff and Vale Colleges.

14.      Catering - The Catering Client will outturn on target after a transfer of £44k from the Catering reserve.  There are projected underspends on the breakfast club of £43k, Appetite for Life Coordination of £15k, Premise Costs of £20k and revenue costs for the new catering system of £26k.  These underspends have been reinvested into the service to fund kitchen equipment in schools.  The transfer from the reserve has been used for the same purpose.  The trading account is predicting a surplus of £50k which will be transferred to capital and used towards the cost of the cashless catering system.

15.      Attached at Appendix 2 of the report is a statement showing the progress made to date against the 2014/15 savings targets.  All planned savings will be achieved this year.

Capital

16.      Appendix 3 details financial progress on the Capital Programme as at 31st December 2014.

17.      Oakfield Playing Fields - This budget is part of a larger Ysgol Gwaun y Nant/Oakfield scheme.  As the external works funded by this sum are not planned to take place until next financial year, it has been requested to carry forward £147k to the 2015/16 Capital Programme.

18.      For all schemes where it is evident that the full year's budget will not be spent during the year, the relevant officers are required to provide an explanation for the shortfall and this shall be taken to the earliest available Cabinet.

19.      Appendix 4 provides non-financial information on capital construction schemes with a budget of over £100k.   Where a budget shown in Appendix 3 is more than £100k but is made up of several schemes that individually are less than £100k, the scheme is not included in Appendix 4.

Variance between Actual Spend to date and Profiled Spend

20.      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:-

21.      Ysgol Gwaun Y Nant/Oakfield - Amendments to programming/sequencing of works has resulted in actual expenditure that is less than the initial spend profile.  This does not adversely affect the final cost of the project.

Resource Implications (Financial and Employment)

22.      As detailed in the body of the report.

Sustainability and Climate Change Implications

23.      As detailed in the body of the report.

Legal Implications (to Include Human Rights Implications)

24.      There are no legal implications.

Crime and Disorder Implications

25.      There are no crime and disorder implications.

Equal Opportunities Implications (to include Welsh Language issues)

26.      There are no equal opportunity implications.

Corporate/Service Objectives

27.      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

28.      The report is in accordance with the Policy Framework and Budget.

Consultation (including Ward Member Consultation)

29.      The appropriate Chief Officer has been consulted. This report does not require Ward Member consultation.

Background Papers

None.

 

Contact Officer

Carolyn Michael (Operational Manager - Accountancy) (01446 709778)

 

Officers Consulted

Director of Learning and Skills

Head of Strategy, Community Learning & Resources

 

Responsible Officer:

Jennifer Hill

Share on facebook Like us on Facebook