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Waverley Borough Council Committee System - Committee Document

Meeting of the Executive held on 06/09/2005
Budget Monitoring July 2005



Summary & Purpose
This report provides details of the expenditure and income position to the end of July 2005 compared with budget for the General Fund and the Housing Revenue Account.

Quality of Life Implications
Natural Resource Use
Pollution Prevention and Control
Biodiversity and Nature
Local Environment
Social Inclusion
Safe Communities
Local Economy
Natural
Resource Use
Pollution
Prevention and Control
Biodiversity
and Nature
Local
Environment
Social
Inclusion
Safe, Healthy
and Active
Communities
Local
Economy
N/A
N/A
N/A
N/A
N/A
N/A
N/A


APPENDIX G
WAVERLEY BOROUGH COUNCIL

EXECUTIVE – 6TH SEPTEMBER 2005

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Title:
BUDGET MONITORING JULY 2005

[Wards Affected: All]
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Summary and purpose:

This report provides details of the expenditure and income position to the end of July 2005 compared with budget for the General Fund and the Housing Revenue Account.

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Quality of life implications – social, environmental & economic (sustainable development):


E-Government implications:

There are no E-Government implications relating to this report.

Resource and legal implications:

This report shows the budget monitoring position to the end of July 2005 for the General Fund and the Housing Revenue Account. It monitors the progress of revenue expenditure and income and projects the likely year-end position.

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General Fund


1. Budget Monitoring for the period 1st April 2005 to 31st July 2005 identifies an underspend of 149,500. This includes a saving of 124,460 arising from the new contracts commencing on 1st November 2005.

2. This latest Budget Monitoring report is broadly in line with on-going savings identified in previous monitoring and the outturn position for 2004/05, which indicated an underspend in the region of 100,000 for 2006/07 to be likely. However, there is potential for a more significant underspend to be achieved by the year-end. Waste recycling volumes are currently increasing and the Officer Manpower savings target could be exceeded by the year-end. Also, prior-year adjustments could arise, particularly in the area of Housing Benefits, which was subject to a major funding change in 2004/05, and is currently subject to external audit.

3. The main variations from Budget are shown below:-

Major variations to Budget
Service
Reason
Additional Expenditure
Other GF Housing Services
10,000
Increased activity Printing, Consultancy
Development Control
16,000
Legal Fees – four further known Inquiries
Office Accommodation
7,350
Continued use of CAB until November 2005
Grounds Maintenance Contract
40,740
Additional budget requirement – new Contract
Establishment Expenses
5,500
Books and Publications
Loss in income
Interest & Finance Expenses
15,000
Net loss from lower interest rates outweighing higher balances
Land Charges
50,000
Unlikely to reach budget income – lower numbers
Farnham Sports Centre
10,400
Loss in income share based on current level
Overspends
154,990
Savings
Community Care
-7,750
Exercise and Mobility saving from staffing budget
Environment Contract
-165,200
Contract savings 211,900-46,700 depot income
Additional Income
Licensing
-85,000
Additional income from new Liquor Licences
Benefits
-28,270
Increase in Administration Grant
Waste Recycling
-35,000
Increased Recycling Credit
(Defra grant received of 41,000 will be spent)
Underspends
-321,220
Net Other Variations
16,730
Anticipated Underspend
-149,500
Officer ManpowerThe current projection identifies savings of 262,720. It is likely that the target will be achieved by the year-end.
Total
-151,420
Inflation Provision

4. The Budget includes an Inflation Provision of 500,000, of which 263,210 has been allocated. This mainly covers the inflation on the existing contract costs to the end of November 2005.

Use of Balances

5. The Budget did not allow for a contribution from the General Fund working balance. Any underspend at the year-end will be a contribution to balances.

Housing Revenue Account

6. Budget Monitoring for the period 1st April 2005 to 31st July 2005 has identified a net underspend of 30,000.

This is from:

Major variations to Budget
Service
Reason
Additional Income
Interest on Balances
-30,000
Improved opening balance and cash-flow
Anticipated Underspend
-30,000
Total
-30,000
Inflation Provision

7. The budget includes an Inflation Provision of 40,260, of which 5,560 has been allocated.

Use of Balances

8. The use of balances is budgeted at 40,840 from the Housing Revenue Account Working Balances.

Conclusion

The Chief Officer Group will continue to monitor the position closely and take action where appropriate to contain budgets.

Recommendation

It is recommended that the report be received, being the financial position to 31st July 2005.

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Background Papers (DoF)

There are no background papers (as defined by Section 100D(5) of the Local Government Act 1972) relating to this report.

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CONTACT OFFICER:

Name: Mr B Long Telephone: 01483 523253

E-mail: blong@waverley.gov.uk

comms/exec/05-06/099