Item 14 - Corporate Services Budgetary Control Report to 30 June 2023
West Dunbartonshire Council · 16 August 2023
Back to Corporate Services Committee — 16 August 2023 and its agenda
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WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer - Resources Corporate Services Committee – 16 August 2023 ___________________________________________________________________ Subject: Corporate Services Budgetary Control Report to 30 June 2023 (Period 03) 1. Purpose 1.1 The purpose of this report is to advise the Committee on the performance of the Corporate Services budget for the period to 30 June 2023. 2. Recommendations 2.1 Members are asked to: i) note that the revenue account currently shows a projected annual adverse variance of £0.034m (0.1% of the total budget) and ii) note that the capital account is showing a projected in-year overspend of £0.011m (0.2% of in-year budget) due to 9 projects showing projected variances as a result of delays to these projects with explanations for delays detailed in Appendices 5 and 6. The project life projection is currently showing a projected underspend of £-0.068m (- 0.53% of project life budget). 3. Background 3.1 Revenue Budget At the meeting of West Dunbartonshire Council on 1 March 2023, Members agreed the revenue estimates for 2023/24. A total net budget of £34.850m was approved for services under the remit for Corporate Services at that time. 3.2 Capital Budget At the meeting of Council on 1 March 2023, Members also agreed the updated 10 year General Services Capital Plan for 2023/2024 to 2031/32. The three years from 2023/24 to 2025/26 have been approved in detail with the remaining 7 years being indicative at this stage. The total project life budget approved for projects that have either commenced or are due to commence in that period total for Corporate Services was £5.347m. 4. Main Issues Revenue Budget ITEM 14
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4.1 The summary report at Appendix 1 identifies a projected annual adverse variance (overspend) of £0.034m (0.10% of the total budget). Detailed service reports are attached as Appendix 2. 4.2 There are ten projected annual variances in excess of £0.050m. Notes on these variances are highlighted and noted within Appendix 3, with additional information on action being taken to minimise or mitigate overspends where possible. 4.3 Although the report indicates that expenditure is adverse in comparison to that anticipated during the budget exercise, the present variance should be viewed in the knowledge that there are a number of variable factors which could arise between now and 31 March 2024 and which could affect the year end results. Capital Budget 4.4 Appendices 4 to 6 highlight 9 projects showing an in-year overspend and 10 projects on target. The overall Corporate Services programme summary report at Appendix 4 shows that there is a projected £0.011m (0.2%) of the total programmed budget) to be re-phased in future years. There is one significant variance within the Capital Budget, which is shown in the following table. See Appendices 5 and 6 for more details. Project Variance £m ICT Modernisation -0.087 5. People Implications 5.1 There are no people implications. 6. Financial and Procurement Implications 6.1 Other than the financial position noted above, there are no financial or procurement implications from this budgetary control report. 7. Risk Analysis 7.1 The main financial risks to the ongoing financial position relate to unforeseen costs being identified between now and the end of the financial year. This can affect all service areas 8. Equalities Impact Assessment (EIA) 8.1 No equalities impact assessment was required in relation to this report. 9. Consultation
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9.1 All services involved in delivering the revenue and capital budgets have been consulted in the compilation of this report. 10. Strategic Assessment 10.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the 5 strategic priorities of the Council’s Strategic Plan. This report forms part of the financial governance of the Council. __________________ Laurence Slavin Chief Officer Resources Date: 02 August 2023 ________________________________________________________________ Person to Contact: Adrian Gray, Finance Business Partner Council Offices, 16 Church Street, Dumbarton Telephone: (01389) 737838 E-mail: adrian.gray@west-dunbarton.gov.uk Appendices: Appendix 1 - Revenue Budgetary Control 2023/24 – Summary Report Appendix 2 - Revenue Budgetary Control 2023/24 – Service Reports Appendix 3 - Analysis of Revenue Variances over £50,000 Appendix 4 - Overall Capital Programme Summary Financials Appendix 5 - Capital Programme – Red Status Appendix 6 - Capital Programme – Green Status Background Papers: Ledger output – Period 03 General Services Revenue Estimates 2023/24 – Council 1 March 2023 General Services Capital Strategy 2023/24 to 2032/33 - Council 1 March 2023 Wards Affected All Wards