Agenda item

David Skinner, Assistant Director for Finance and Resources presented the Budget Monitoring Quarter 1 2015/16 report on behalf of R Baker and highlighted some key areas within the report;

·         Finance and Resources - £479k over budget

·         Strategic Planning and Environment - £279k

·         Housing and Community – £27k

One significant area highlighted was income. Officers said they had forecast to undercover £110k from the resident property portfolio. The reason for this was due to inflation being applied at 2.8% and this may have been too optimistic. This may have been too ambitious given the current economic climate. Measures will be put in place as they go through the property register to see if there is anything they can do.

·         Car parking income will be within the budget.

Questions

Councillor Douris referred to page 59 3.2 and said that he was surprised to see the pressure on the void properties. He asked if this had changed and if so why.

D Skinner confirmed that there had been some pressure but explained that it may reduce as they go through the quarter.

Councillor Douris wanted clarification that this was an anticipated over budget.

D Skinner confirmed that this was correct.

Councillor Harden arrived at 7.40pm

Councillor Douris referred to page 59 3.3 and the use of Liberata. He asked if the Council needed to commission Liberata.

D Skinner said there were a number of properties that they found that DBC were not aware of and therefore may consider using them again if it was the most efficient and effective way of generating the additional income. He also pointed out that they would recover additional monies from Hertfordshire County Council.

Councillor Tindal referred to page 59 3.3 and the under-budgeting of the costs of cleaning. He asked how it was possible to under-budget in this area by £20k.

D Skinner confirmed that this was an error in the budgeting and would be rectified.

Councillor Tindal referred to page 59 3.3 and the third parties £54k over budget and asked the officer to confirm what the delays were.

D Skinner pointed out that they looked at the existing contractors and anticipated recruiting a new payroll provider but this hasn’t happened as of yet. Negotiations are due to take place which will hopefully happen next year.

Councillor Tindall pointed out that there had been a lot of estimations throughout the agenda with regards to the budget and reiterated that this would need to be looked at closely over the forthcoming year.

Councillor Douris referred to page 63 7.2, line 64 and the overspend of £33k on the Hemel Gym Refurbishment. He asked if this was a human error.

D Skinner explained that they are working through the budget setting process and will make sure that this error doesn’t take place again.

Councillor Douris reiterated that it is very important to have a very high level of accuracy.

Councillor Tindall referred to car parking refurbishment project in the town and asked the officers if there would be any provision for smart machines in order to help tailor the car park charges.

D Skinner said that this was more of an infrastructure issue and that they will consider the policy in due course for consideration.

Outcome

The Committee noted the forecast outturn report.