Stockton-on-Tees Borough Council

Big plans, bright future

View Cabinet Decision Record

Cabinet Decision: 14th July 2016
Title of Item/Report
MTFP Outturn - March 2016
Record of the Decision
Consideration was given to a report on Medium Term Financial Plan - March 2016.

The report focused on the financial performance and position at the end of the 2015/16 financial year and updated the Medium Term Financial Plan as at 31 March 2016

The details of the MTFP position of each service were outlined within the report. Officers had continued to be mindful of the financial pressures and had been continuing to monitor expenditure closely in all areas.

Members noted that the overall position for CESC (Non Big Ticket) had improved by 296,000 since the last report, largely due to staff vacancies in advance of service reviews.

The position for DANS (Non Big Ticket) at the financial year end had worsened overall by 72,000. Additional Catering income had been offset by increased pressures in the Transport Service.

The position for Resources, Law and Democracy and Public Health were broadly in line with the previous projection.

A summary of the outturn position for each Big Ticket area was detailed within the report.

At the time that the 2016/17 budget was set it was expected that a sum of 878,000 would be available as on-off resource. This sum was allocated for use as a one-off resource in 2016/17. The position at outturn had improved by 975,000, reducing to 725,000 after accounting for the recommended allocation in respect of Londonderry Bridge. A number of factors had contributed to the improved position, largely relating to the technical aspects of the Business Rates Scheme.

The work to facilitate the replacement of Londonderry Bridge which removed the flood risk from communities across Lustrum Beck required the full closure of Durham Road. A number of options were considered in consultation with members and community representatives that considered the impact of having to divert buses as a result of the road closure. On balance and following very detailed analysis of community views and risk assessment processes it was required to keep diverted buses away from narrow residential streets and local schools but this required buses to operate lengthy diversions along Durham Road bypass and required additional vehicles to maintain the current frequency of services. This required therefore a financial contribution to supporting the additional bus services as this was a direct result of the Council's activity in the bridge replacement and the additional funding of 250K was required to support this with several bus operators who operate in that area.

The Capital budget for 2012/18 was provided.

The Department for Education had recently announced a Basic Need Grant allocation of 31.5m for 2018/19. This was in recognition of the pressure on School Places in areas of the Borough and an Investment Plan was currently being developed which would be presented to Cabinet at a future meeting.

Members noted that the programme had been updated to reflect the approvals contained within the 2016/17 Budget Report and to reflect changes to the programme resulting from the sourcing of external funding. The changes were summarised.

The Programme had also been updated to reflect schemes which had been completed in 2015/16.

Following the formation of the Tees Valley Combined Authority in April 2016, balances previously held by Stockton on Tees Borough Council as accountable body to the LEP/TVU would require to be transferred to the new Combined Authority. The balances were summarised along with the delegation of administrative functions.

RESOLVED that:-


- That the Medium Term Financial Plan (MTFP) and the current level of General Fund balances be noted.

- That surplus General Fund Balances of 250,000 be allocated to the developments at Londonderry Bridge.

- That the revised Capital Programme be noted.

- That the balances of 52,622,790 be transferred to the Tees Valley Combined Authority.

- That the Council accept a delegation from the Tees Valley Combined Authority to undertake the administrative functions.
Reasons for the Decision
To update Members on the Medium Term Financial Plan.
Alternative Options Considered and Rejected
None
Declared (Cabinet Member) Conflicts of Interest
Cllr Bob Cook declared a personal non prejudicial interest in Agenda item 5 - Medium Term Financial Plan Outturn - March 2016 as he was a Member of the Tees Valley Combined Authority

Cllr Jim Beall declared a personal non prejudicial interest in Agenda item 5 - Medium Term Financial Plan Outturn - March 2016 as he was a substitute Member of the Tees Valley Combined Authority

Cllr Steve Nelson declared a personal non prejudicial interest in Agenda item 5 - Medium Term Financial Plan Outturn as he was a Board Member of Thirteen Group.
Details of any Dispensations
N/A
Date and Time by which Call In must be executed
Midnight, 25th July 2016
Attachment

Date of Publication: 19 July 2016


Can't find it

Can't find what you're looking for? Let us know and we'll do our best to point you in the right direction