Agenda item

It was noted that the Q2 financial position is forecasting a surplus of £535,000 for the general fund, a reduction of £231,000 from Q1. Strategic planning services is reporting a pressure of £984,000 for Q2, a reduction of £55,000 from Q1. For Neighbourhood Operations, there has been an additional £109,000 pressure on interim management costs since Q1 and £150,000 on tree works, which were offset by increased income from garden waste of £58,000 and recycling income of £134,000. Place has movements of interim management costs of £254,000 and a reduction in pressure on planning and income and land charges of £125,000.

A question was raised in reference to the comment that some of the works on trees that was the responsibility of HCC remains unfinished, which adds a pressure to the Council, and the councillor asked if HCC are now responsible for these trees.

SHorne explained that HCC are responsible and that Dacorum are finishing some work, which puts additional pressure on the budget.

A councillor noted the reference to 'the next play area' on page 18 of the report and it was asked where this will be. It was noted that around 8 play areas in the borough have been identified for improvements and refurbishments and that the comment therefore refers to the next play area on this list.

ACTION: To confirm the next play area identified for improvement or refurbishment as referred to on page 18 of the report.

Cllr Guest referred to paragraph 4.1 in the report regarding neighbourhood operations and the funding from HCC and the alternative model with the final payment having been received. Cllr Guest asked what has been put in place to mitigate this for the next financial year.

It was stated that part of the mitigation has been phasing out funding from the budgets over recent years and was not included in this year's budget.

Cllr Capozzi referred to table 2 on page 16 of the report regarding the general fund position for Strategic Planning and Environment. Cllr Capozzi asked, if they continue on the current trajectory, whether they will end up around £1m overspent on the allocated budget and noted that the report does not include any information on how this may be brought back in.

It was confirmed that this is being reviewed with all heads of service and budget holders for any mitigating actions, though there is currently no mitigation in place. The Chair requested that some additional commentary be added to the report from heads of services.

ACTION: To add additional commentary regarding potential overspend of around £1m.

A councillor asked how much of the overspend is related to inflation and whether pressures on the budget are purely related to this.

It was noted that planning income was a considerable pressure this year and that cost of living has impacted the number of applications being received. Waste services has been another cost pressure and there has been a large project to transform this service. It was stated that whilst some pressures are due to changes in services and operations, others have been impacted by inflation.