Agenda item
Strategic Performance and Corporate Revenue and Capital Budget Monitoring Q3 2012/13
Minutes:
Councillor Alibor Choudhury, Cabinet Member for Resources, introduced, and highlighted key points, in the monitoring report which detailed the financial position of the Council at the end of Quarter 3 2012/13 compared to budget, and service performance against targets. Chris Holme, Acting Corporate Director Resources, and Louise Russell, Service Head Corporate Strategy and Equalities, were also in attendance for this item.
A discussion followed which focused on clarification being sought and given on the following points:-
· The reported reduction of income by £1 million due to reduced Housing Benefit subsidy as a result of new systems at the DWP. Clarification, and what steps the council was taking to ensure it was not picking up the bill for DWP efficiency: Changes to DWP computer system had resulted in a more efficient ‘real time’ assessment of those entitled to benefit, including those coming out of benefit. In the past there had been a short time lag and local councils had been entitled to retain a proportion of the benefit subsidy for that period. All local council’s had budgeted for this and were similarly affected.
· What the impact of the ‘real time’ DWP assessment system was on HB claimant [Reduced income]. Whether the Council was being forced to penalise HB claimants due to out of date DWP records and the lost benefit would not be reimbursed by the DWP as previously discussed. Written response to be provided on latter.
· The reported underspend of £518k in Children, Schools and Families and whether this would be reinvested in the directorate or used to offset other overspends/ reduced income. The first responsibility was to balance the budget by offsetting overspends with underspends, however any additional resource beyond that was transferred to reserves for a future decision on usage.
· The reported identification of performance for “Crime – rate of violence with injury” as a risk, and in particular the rise in Domestic Violence (DV) which was attributed to changes in the method of recording not levels of occurrence. Concern was expressed that the same explanation had been given the previous year and if the crime rate in this area had risen again there must be more/new incidents of DV. Written response to be provided.
· The reference to a provisional figure of 34% of carers receiving a care assessment or review with finalised data available in February 2013. Finalised data to be provided.
· Noting the dip in performance for “Homelessness prevention through casework intervention” based on Q2 performance and the reference to Q3 outturn being available in late February, Q3 data to be provided with a more detailed analysis of performance and casework.
· With reference to the reported reduction of 529 in JSA claimants from December 2011 to December 2012 what the impact of this was on employment rates. The overall employment rate was reported as 62% but more specific detail to be provided in writing.
· Further information requested on Tower Hamlets Work Programme outcomes: more detailed DWP information including numbers securing employment.
· Noting the reported underspend for all capital schemes of £31.6 million, and the reported allocation of £25 million of this for the Poplar Baths/ Dame Colet House schemes what comprised the remaining £6.6 million. The main reason for the underspend was £30 million being set aside in 2011 for prudential borrowing for General Fund schemes over the 3 years to 2014 including Poplar Baths. Noting the Officer response that on the annual 2012/13 Capital Budget of £181.5 million projected expenditure of £160 million resulted in a variance or slippage of £21.5 million, a chart was requested detailing what the what the unallocated set aside and new slippage was to be applied to.
· Noting the reported net expenditure for Communications/ East End Life of £321k and the associated narrative of a risk with the achievement of the Communications income target being managed within the overall budget, what mitigating action was planned to balance the budget. Also what action the Executive was proposing to implement changes to the Communications Budget approved at Budget Council on 7th March 2013. To be discussed at a future OSC meeting.
The Chair Moved and it was:-
Resolved
1. That Quarter 3 performance for 2012/13 be noted; and
2. That the Council’s financial position as detailed in sections 3 and 4 and Appendices 1-4 of the report, be noted.
Action by:
Chris Holme, Acting Corporate Director Resources
Louise Russell, Service Head Corporate Strategy and Equalities
Supporting documents:
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Strategic Performance and corporate monitoring report, item 7.3
PDF 213 KB
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Q3 Appendix 1 - Control Budget, item 7.3
PDF 120 KB
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Q3 Appendix 2 - CMBM Month 9 GF, item 7.3
PDF 234 KB
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Q3 Appendix 3 - CMBM Month 9 HRA, item 7.3
PDF 25 KB
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Q3 Appendix 4 Capital Q3, item 7.3
PDF 100 KB
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Q3 Appendix 5 - Strategic Measures Monitoring, item 7.3
PDF 744 KB