Revenue and Capital Budget Monitoring Report
Renfrewshire Council · 20 September 2023
Back to Leadership Board — 20 September 2023 and its agenda
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To: Leadership Board On: 20 September 2023 Report by: Chief Executive, Director of Finance and Resources, and Chief Finance Officer Renfrewshire HSCP Heading: Revenue and Capital Budget Monitoring as at 23 June 2023 1. Summary of Financial Position 1.1. The projected revenue outturn at 23 June 2023 for those services reporting to the Leadership Board is an underspend of £0.008m. 1.2. The projected capital outturn at 23 June 2023 for projects reporting to the Leadership Board is a breakeven position against the revised budget for the year. 1.3. This is summarised in the table below and further analysis is provided in the Appendices. Table 1: Revenue Division Revised Annual Budget £000 Projected Annual Outturn £000 Budget Variance (Adv)/Fav £000 Budget Variance % Adult Services 97,537 97,537 0 0% Chief Executives 19,541 19,533 8 0% Total 117,078 117,070 8 0% Table 2: Capital Division Revised Annual Budget £000 Projected Annual Outturn £000 Budget Variance (Adv)/Fav £000 Budget Variance % Chief Executives 66,150 66,150 0 0% Leisure Services 2,186 2,186 0 0% Total 68,336 68,336 0 0%
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2. Recommendations 2.1. Members are requested to: (a) Note the projected Revenue outturn position detailed in Table 1 above; (b) Note the projected Capital outturn position detailed in Table 2 above; and (c) Note the budget adjustments detailed at sections 4 and 6. 3. Revenue 3.1. The Revenue Budget Monitoring report at Appendix 1 identifies a projected annual underspend of £0.008m for all services reporting to this Board. Detailed division reports can be found in Appendix 2, along with an explanation of any significant projected variance. 3.2. The projected outturn is based on information currently available and assumptions made by service budget holders. 3.3. The main reasons for the projected outturn position are indicated in the appendices showing both the subjective analysis (what the budget is spent on) and the objective analysis (which division is spending the budget). 4. Revenue Budget Adjustments 4.1. Members are requested to note, from Appendix 1, that budget adjustments totalling £2.804 million have been processed since the budget was approved in March 2023. These relate principally to: +£3.370m reallocated from Miscellaneous Services to Adult Services for Adult Social Care Living Wage funding for 2023/24; -£0.088m transferred from Adult Services to Finance and Resources for ICT software costs; and -£0.460m adjustment reflecting the transfer of the Marketing and Communications savings achieved under the Right for Renfrewshire programme to Miscellaneous Services. 5. Capital 5.1. The Capital Investment Programme 2023/24 to 2027/28 was approved by the Council on 2 March 2023. 5.2. For the Chief Executive’s Service, the revised capital spend for 2023/24 is £66.150m (£73.719m approved). For Leisure Services, the revised capital spend for 2023/24 is £2.086m (£1.725m approved). 5.3. Further details can be found in Appendix 3.
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6. Capital Budget Adjustments 6.1. Since the 2023/24 budget was approved in March, budget adjustments totalling (£7.208m) have arisen, being £0.361m for Leisure Services and (£7.569m) for Chief Executive Services, as follows: Leisure Services Budget brought forward from 2022/23 into 2023/24 (£0.161m): o Community Halls Refurbishment: (£0.161m) Budget increase for 2023/24 (£0.200m) o Linwood Running Track: arising from £0.200m approved in the Budget Motion by the Council in March 2023. Chief Executives Budget brought forward from 2022/23 into 2023/24 (£0.495m) based on updated cashflows for the following projects: o Glasgow Airport Investment Area: (£0.294m); o Clyde Waterfront and Renfrew Riverside: (-£4.599m); due to reprofiling in line with the submitted contractor cashflow. o GAIA Regeneration: (£1.891m) o AMIDS Public Realm Phase 1: (£0.337m) o AMIDS District Heating Network: (£0.830m) o AIMIDS South: (£0.752m). Budget carried back into 2022/23 from 2023/24 (£7.074m) o Clyde Waterfront and Renfrew Riverside: (£7.074m): ___________________________________________________________________
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Implications of this report 1. Financial The projected budget outturn position for the revenue budget reported to the Leadership Board is an underspend of £0.008m. Income and expenditure will continue to be monitored closely for the rest of the financial year and, where necessary, steps will be taken to mitigate any overspend. The projected outturn position for capital budgets reported to the Leadership Board is breakeven. The Capital programme will continue to be monitored closely for the rest of the financial year. 2. HR and Organisational Development None directly arising from this report. 3. Community/Council Planning None directly arising from this report. 4. Legal None directly arising from this report. 5. Property/Assets Capital projects will result in new assets (City Deal) and refurbishment, and improvement to Cultural Infrastructure and Public Realm assets. 6. Information Technology None directly arising from this report. 7. Equality and Human Rights The recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because for example it is for noting only. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health and Safety None directly arising from this report. 9. Procurement None directly arising from this report.
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10. Risk The risk that the Council will overspend its approved budgets for the year will be managed at a Council-wide level by the Chief Executive and Directors. 11. Privacy Impact None directly arising from this report. 12. Cosla Policy Position N/a. 13. Climate Risk None directly arising from this report. __________________________________________________________________ List of Background Papers Revenue Budget and Council Tax 2023/24, Council 2 March 2023 Non Housing Capital Investment Programme, Prudential Framework and Treasury Management Strategy, and Capital Strategy 2023/24 – 2027/28, Council 2 March 2023 __________________________________________________________________ Authors: Revenue - Valerie Howie, Finance Business Partner / Alison Burns, Corporate Finance Manager Capital – Linsey McGregor, Capital Accountant
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Appendix 1 Objective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Adult Services 94,264 3,273 97,537 97,537 0 0.0% Chief Executive's Service 20,010 (469) 19,541 19,533 8 0.0% NET EXPENDITURE 114,274 2,804 117,078 117,070 8 0.0% Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Employees 41,462 1,696 43,158 43,155 3 0.0% Premises Related 807 (30) 777 777 0 0.0% Transport Related 836 (17) 819 819 0 0.0% Supplies and Services 16,168 1,407 17,575 17,572 3 0.0% Third Party Payments 75,589 4,376 79,965 79,965 0 0.0% Transfer Payments 7,322 (2,520) 4,802 4,801 1 0.0% Support Services 74 0 74 74 0 0.0% Depreciation and Impairment Losses 0 0 0 0 0 0.0% GROSS EXPENDITURE 142,258 4,912 147,170 147,163 7 0.0% Income (27,984) (2,108) (30,092) (30,093) 1 0.0% NET EXPENDITURE 114,274 2,804 117,078 117,070 8 0.0% RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2023/24 1 April 2023 to 23 June 2023 Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable POLICY BOARD : LEADERSHIP BOARD
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Appendix 2 Objective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Older People 61,356 870 62,226 62,226 0 0.0% Physical or Sensory Difficulties 7,492 374 7,866 7,866 0 0.0% Learning Difficulties 20,966 1,971 22,937 22,937 0 0.0% Mental Health Needs 3,794 48 3,842 3,842 0 0.0% Addiction Services 656 10 666 666 0 0.0% NET EXPENDITURE 94,264 3,273 97,537 97,537 0 0.0% Objective Heading Older People Physical or Sensory Difficulties Learning Difficulties Mental Health Needs Addiction Services No significant projected year end variances to report. Key Reasons for Projected Variance No significant projected year end variances to report. No significant projected year end variances to report. RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2023/24 1 April 2023 to 23 June 2023 Budget Variance (Adverse) or Favourable POLICY BOARD : LEADERSHIP BOARD ‐ ADULT SERVICES No significant projected year end variances to report. No significant projected year end variances to report.
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Appendix 2 Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Employees 37,537 1,567 39,104 39,104 0 0.0% Premises Related 434 (30) 404 404 0 0.0% Transport Related 835 (17) 818 818 0 0.0% Supplies and Services 1,962 1,637 3,599 3,599 0 0.0% Third Party Payments 75,589 4,376 79,965 79,965 0 0.0% Transfer Payments 5,246 (2,269) 2,977 2,977 0 0.0% Support Services 70 0 70 70 0 0.0% Depreciation and Impairment Losses 0 0 0 0 0 0.0% GROSS EXPENDITURE 121,673 5,264 126,937 126,937 0 0.0% Income (27,409) (1,991) (29,400) (29,400) 0 0.0% NET EXPENDITURE 94,264 3,273 97,537 97,537 0 0.0% 1 April 2023 to 23 June 2023 RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2023/24 POLICY BOARD : LEADERSHIP BOARD ‐ ADULT SERVICES Budget Variance (Adverse) or Favourable
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Appendix 2 Objective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Chief Executive and Management 283 (1) 282 279 3 1.1% Policy and Commissioning 3,467 (5) 3,462 3,459 3 0.1% Marketing and Communications 3,641 (463) 3,178 3,176 2 0.1% City Deal & Infrastructure 0 0 0 0 0 0.0% Leisure Services (incl Renfrewshire Leisure) 12,619 0 12,619 12,619 0 0.0% NET EXPENDITURE 20,010 (469) 19,541 19,533 8 0.0% Objective Heading Chief Executive and Management Policy and Commissioning Marketing and Communications City Deal & Infrastructure Leisure Services (incl Renfrewshire Leisure) 1 April 2023 to 23 June 2023 POLICY BOARD : LEADERSHIP BOARD ‐ CHIEF EXECUTIVE'S SERVICE REVENUE BUDGET MONITORING STATEMENT 2023/24 No significant projected year end variances to report. No significant projected year end variances to report. RENFREWSHIRE COUNCIL No significant projected year end variances to report. Key Reasons for Projected Variance No significant projected year end variances to report. No significant projected year end variances to report. Budget Variance (Adverse) or Favourable
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Appendix 2 Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Employees 3,925 129 4,054 4,051 3 0.1% Premises Related 373 0 373 373 0 0.0% Transport Related 1 0 1 1 0 0.0% Supplies and Services 14,206 (230) 13,976 13,973 3 0.0% Third Party Payments 0 0 0 0 0 0.0% Transfer Payments 2,076 (251) 1,825 1,824 1 0.1% Support Services 4 0 4 4 0 0.0% Depreciation and Impairment Losses 0 0 0 0 0 0.0% GROSS EXPENDITURE 20,585 (352) 20,233 20,226 7 0.0% Income (575) (117) (692) (693) 1 0.1% NET EXPENDITURE 20,010 (469) 19,541 19,533 8 0.0% Budget Variance (Adverse) or Favourable POLICY BOARD : LEADERSHIP BOARD ‐ CHIEF EXECUTIVE'S SERVICE 1 April 2023 to 23 June 2023 RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2023/24
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Appendix 3