Agenda item

Financial Management 2022/23 to 2024/25 and Framework for Change 2020 - Revenue and Capital Budget Update 2022/23 – September Update

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

Further to Minute No, 50 of the meeting of the Cabinet held on 1 September 2022, the Council considered the report of the Executive Director of Corporate Resources and Customer Services that informed of:

 

(1)

the current position relating to the 2022/23 revenue budget;

 

(2)

the current forecast on Council Tax and Business Rates collection for 2022/23; and

 

(3)

the monitoring position of the Council’s capital programme to the end of July 2023 in respect of:

 

·       the forecast expenditure to year end;

·       variations against the approved budgets and an explanation of those variations for consideration by Members; and

·       Updates to spending profiles and proposed amendments to capital budgets necessary to ensure the efficient delivery of capital projects are also presented for approval.

 

It was moved by Councillor Maher, seconded by Councillor Fairclough and

 

RESOLVED: That

 

Revenue Budget

 

1)    the current position relating to the 2022/23 revenue budget be noted;

 

2)    the actions included in the Remedial Action Plan to offset the budget pressures being faced in 2022/23 including the use of £2.9m of General Balances and the release of £1.666m from the Business Rates Income Reserve be approved;

 

3)    the financial risks associated with the delivery of the 2022/23 revenue budget be recognised and it be acknowledged that the forecast outturn position will continue to be reviewed to ensure a balanced forecast outturn position and financial sustainability can be achieved; and

 

4)    the potential implications on the Medium-Term Financial Plan for 2023/24 and 2024/25 be noted.

 

Capital Programme

 

5)    a supplementary capital estimate for £2.000m for Core Disabled Facilities Grants (paragraph 57.11) be approved;

 

6)    a supplementary revenue estimate of £1.064m for the City Region Sustainable Transport Settlement support grant (paragraph 7.13.1) be approved;

 

7)    a supplementary capital estimate of £1.620m for Tranche 3 of the Active travel Fund (paragraph 7.13.5) be approved;

 

8)    a supplementary capital estimate of £4.789m for the Highways Maintenance budget 2022/23 (paragraph 7.13.7) be approved;

 

9)    a supplementary capital estimate of £0.680m for Phase 1 of the Strand Repurposing project funded from the Economic Recovery Earmarked Reserve as recommended by Cabinet in July 2022 (paragraph 7.18) be approved;

 

10) a supplementary capital estimate of £0.171m for the completion of the Crosby Lakeside Adventure Centre improvements, funded from the Economic Recovery Earmarked Reserve as recommended by Cabinet in July 2022 (paragraph 7.22) be approved;

 

11) a supplementary capital estimate of £3.782m for the Summerhill Primary School Expansion – Phase 1 scheme funded by Section 106 contributions be (paragraph 7.25) be approved;

 

12) a Supplementary Capital Estimate of £69.1m for the Marine Lake Events Centre (MLEC) to be funded by: £31.7m from the Town Deal; £17.7m from the Liverpool City Region Combined Authority; and £19.7m to be funded by the Council as recommended by a separate report to Cabinet in September 2022 (paragraph 7.29) be approved;

 

13) It be noted that, in addition to the £69.1m identified above in resolution (12), £1.6m and £2.3m of pre-development funding, from the Town Deal and the Liverpool City Region Combined Authority respectively, has already been included within the Capital Programme as approved by Council in September 2021. Therefore, the total capital scheme for the MLEC is £73m and this is the total value of the scheme which will be included within the Capital Programme;

 

14). it be noted that the finance arrangements for the Council’s contribution of £19.7m to the MLEC will be agreed following consultation with the Council’s Treasury Management advisors and reported to Cabinet through the quarterly Treasury Management reports and the final proposal will be included within the Budget Report;

 

15) delegated authority for the completion and signing of Grant Funding Agreement of £17.7m from the Liverpool City Region Combined Authority be granted to the Chief Executive and the Executive Director of Corporate Resources and Customer Services, in consultation with the Executive Director (Place), the Cabinet Member for Regeneration and Skills and Cabinet Member for Regulatory, Compliance and Corporate Services, should it be formally approved by the Liverpool City Region Combined Authority;

 

16) .delegated authority to approve the Grant Funding Agreement of £33.3m from the Southport Town Deal, following Full Business Case approval, be granted to the Chief Executive and the Executive Director of Corporate Resources and Customer Services, in consultation with the Executive Director (Place), the Cabinet Member for Regeneration and Skills and Cabinet Member for Regulatory, Compliance and Corporate Services; should it be formally approved by Government;

 

17)  a supplementary capital estimate of £3m for the Southport Pier Decking Project funded from prudential borrowing as recommended by report to Cabinet in September 2022 (paragraph 7.34) be approved;

 

18)  it be noted that the annual cost of borrowing for the Southport Pier Decking Project will be £0.178m and it be agreed that this is added as a growth item to the Council’s medium term financial plan and as such will be funded as part of the 2023/24 budget plan; and

 

19)  a supplementary capital estimate of £0.188m for Corporate Essential Maintenance funded from capital receipts (paragraph 7.37) be approved.

Supporting documents: