Document Pack - Bookmarked
West Dunbartonshire Council · 28 August 2024
Back to West Dunbartonshire Council — 28 August 2024 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
Page 1
Agenda West Dunbartonshire Council Date: Wednesday, 28 August 2024 ___________________________________________________________________ Time: 16:00 ___________________________________________________________________ Format: Hybrid meeting ___________________________________________________________________ Contact: Carol-Ann Burns, Senior Democratic Services Officer Email: carol-ann.burns@west-dunbarton.gov.uk committee.admin@west-dunbarton.gov.uk Dear Member Please attend a meeting of West Dunbartonshire Council as detailed above. Members will have the option to attend the meeting remotely or in person at the Civic Space, 16 Church Street, Dumbarton. The business is shown on the attached agenda. Yours faithfully PETER HESSETT Chief Executive Page 1
Page 2
Distribution:- Provost Douglas McAllister Councillor June McKay Councillor James Bollan Councillor John Millar Councillor Ian Dickson Councillor Karen Murray Conaghan Councillor Diane Docherty Councillor Lawrence O’Neill Councillor Fiona Hennebry Councillor Lauren Oxley Councillor Gurpreet Singh Johal Councillor Chris Pollock Councillor Daniel Lennie Councillor Martin Rooney Councillor David McBride Councillor Gordon Scanlan Councillor Jonathan McColl Councillor Hazel Sorrell Councillor James McElhill Councillor Clare Steel Councillor Michelle McGinty Councillor Sophie Traynor Chief Executive Chief Officers Date of issue: 15 August 2024 Audio Streaming Audio recordings of the meeting (including the attendance or contribution of any party participating or making a contribution) will be published on the Council’s website and the Council’s host’s webcast/audio stream platform. You should be aware that the Council is a Data Controller under the General Data Protection Regulation. Data collected during this audio stream will be retained in accordance with the Council’s Privacy Notice* and Retention Schedules including, but not limited to, for the purpose of keeping historical records and making those records available via the Council’s internet site. Page 2
Page 3
WEST DUNBARTONSHIRE COUNCIL WEDNESDAY, 28 AUGUST 2024 AGENDA 1 STATEMENT BY CHAIR – AUDIO STREAMING 2 APOLOGIES 3 DECLARATIONS OF INTEREST Members are invited to declare if they have an interest in any of the items of business on the agenda and the reasons for such declarations. 4 RECORDING OF VOTES The Council is asked to agree that all votes taken during the meeting will be carried out by roll call vote to ensure an accurate record. 5 MINUTES OF PREVIOUS MEETING 7 – 11 Submit for approval, as correct record, the Minutes of Meeting of West Dunbartonshire Council held on 19 June 2024. 6 MINUTES OF MEETING OF AUDIT COMMITTEE 13 – 14 Submit for information, and where necessary ratification, the Minutes of Meeting of the Audit Committee held on 21 February 2024. 7 OPEN FORUM The Council is asked to note that no open forum questions have been submitted by members of the public. 8 GLASGOW CITY REGION CITY DEAL – UPDATE 15 – 18 Submit report by the Chief Officer – Regulatory and Regeneration advising of the progress with the implementation of the Exxon Infrastructure Project, and providing an update on Glasgow City Region City Deal Programme. Page 3
Page 4
9 AUDITED 2022/23 ANNUAL ACCOUNTS Subject to audit completion Submit report by the Chief Officer – Resources in relation to the above. 10 DRAFT 2023/24 ANNUAL ACCOUNTS 19 – 229 With reference to the Minutes of Meeting of West Dunbartonshire Council held on 19 June 2024, submit report by the Chief Officer – Resources providing a copy of the draft 2023/24 Annual Accounts and information regarding the 2023/24 outturn as set out in the draft accounts. 11 GENERAL SERVICES CAPITAL BUDGETARY CONTROL 231 – 251 REPORT 2024/25 TO PERIOD 3 (30 JUNE 2024) Submit report by the Chief Officer – Resources providing an update on the General Services capital financial performance to 30 June 2024. 12 GENERAL SERVICES REVENUE BUDGETARY CONTROL 253 – 284 REPORT TO 30 JUNE 2024 (PERIOD 3) Submit report by the Chief Officer – Resources providing an update on the 2024/25 Revenue Budget position at 30 June 2024 and the forecast position of the General Fund Reserve as at 31 March 2025. 13 POLICY FOR ELECTION POSTERS 285 – 294 Submit report by the Chief Officer – Roads and Neighbourhood providing a proposed revision to the Arrangements in Force at the Poll prohibiting the use of election posters. 14 FESTIVE CLOSURE AND PUBLIC HOLIDAYS VARIATIONS 295 – 306 Submit report by the Chief Officer – People and Technology setting out the proposed changes to public holiday allocation for local government and craft/quasi-craft employees, and proposed variation of the festive closure arrangements agreed by Council in December 2023. 15/ Page 4
Page 5
15 NOTICE OF MOTIONS (a) Motion by Councillor Jim Bollan – Proposal to close services during the holiday period, 2024/2025. Council agrees to withdraw the proposal to close WDC services for two weeks across the Xmas/New Year holiday period, 2024/2025. Within the context of the flexible working, many employees will have to use well over twenty and in some cases 25 percent of their annual leave, which is not proportionate and unfair. Council further agrees to use £8,000 from reserves to fund the resulting gap in the budget for 2024/2025. (b) Motion by Councillor Gordon Scanlan – Child Poverty This Council recognises that tacking child poverty must be a priority for all elected members and that the 2 child cap policy imposed by the UK Government is contributing to the stark levels of poverty we are witnessing within our community and our nation. Council notes with disappointment that our newly elected Labour MP Douglas McAllister voted against the SNP’s amendment to the King’s Speech, which would remove this archaic policy and immediately lift 300,000 children across the UK out of poverty. Council calls on the UK Labour government with its huge majority and total power and control of the UK Parliament to immediately remove this policy from its programme of government and lift hundreds of thousands of children out of poverty. Page 5
Page 6
Page 6
Page 7
WEST DUNBARTONSHIRE COUNCIL At a Hybrid Meeting of West Dunbartonshire Council held in the Civic Space, 16 Church Street, Dumbarton on Wednesday, 19 June 2024 at 4.05 p.m. Present: Provost Douglas McAllister and Councillors Jim Bollan, Ian Dickson, Diane Docherty*, Fiona Hennebry, Gurpreet Singh Johal, Daniel Lennie, David McBride, Jonathan McColl, Michelle McGinty, June McKay, John Millar, James McElhill, Karen Murray Conaghan, Lauren Oxley, Chris Pollock, Martin Rooney, Gordon Scanlan, Hazel Sorrell, Clare Steel and Sophie Traynor. *Arrived later in the meeting. Attending: Peter Hessett, Chief Executive; Alan Douglas, Chief Officer – Regulatory and Regeneration (Legal Officer); Laurence Slavin, Chief Officer – Resources, and Section 95 Officer; Beth Culshaw, Chief Officer – Health & Social Care Partnership; Peter Barry, Chief Officer – Housing and Employability; Amanda Graham, Chief Officer – Citizen, Culture and Facilities; Gail Macfarlane, Chief Officer – Roads and Neighbourhood; Victoria Rogers, Chief Officer – People and Technology; Carol Alderson, Finance Manager; Alison Bowers, Senior Education Officer – Early Learning and Childcare; Michelle Lynn, Assets Co- ordinator; Kirsty Connor, Education Support Officer – Staffing; Carol-Ann Burns, Senior Democratic Services Officer; and Scott Kelly, Committee Officer. Also Attending: Tom Reid, Audit Director, Forvis Mazars. Apology: An apology for absence was intimated on behalf of Councillor Lawrence O’Neill. Provost Douglas McAllister in the Chair STATEMENT BY CHAIR Provost McAllister advised that the meeting was being audio streamed and broadcast live to the internet and would be available for playback. ITEM 5 Page 7
Page 8
DECLARATIONS OF INTEREST Councillor Scanlan declared an interest in relation to the item ‘Motion by Councillor Chris Pollock – Dumbarton Football Club’, being a member of the club’s coaching staff. RECORDING OF VOTES The Council agreed that all votes taken during the meeting would be carried out by roll call vote to ensure an accurate record. MINUTE OF PREVIOUS MEETING The Minutes of Meeting of West Dunbartonshire Council held on 24 April 2024 were submitted and approved as a correct record. OPEN FORUM The Council noted that no open forum questions had been submitted by members of the public. CLYDEBANK CENTRAL WARD BY-ELECTION RESULT The Chief Executive provided a verbal update on the result of the Council by-election which had been held on 13 June 2024 in the Clydebank Central Ward (Ward 5). In so doing, he formally advised Council that the result of the by-election was that Fiona Hennebry had been elected for Scottish Labour at the fourth stage of the count and that the full results of the by-election were available on the Council’s website. On behalf of officers, he offered his congratulations to Councillor Hennebry and welcomed her to her first Council meeting. In response, Councillor Hennebry thanked everybody who had voted for her and stated that she looked forward to working constructively with everyone within the Council. The Council noted the update which had been provided. REVIEW OF INTEGRATION SCHEME A report was submitted by the Chief Officer, Health & Social Care Partnership seeking the Council’s approval for the Integration Scheme between West Dunbartonshire Council and NHS Greater Glasgow and Clyde. Page 8
Page 9
Having heard the Chief Officer in further explanation, the Council agreed to continue consideration of this item to a future meeting of Council. FINANCIAL UPDATE A report was submitted by the Chief Officer – Resources providing an update on the financial challenges facing the Council and the estimated 2025/26 to 2029/30 revenue budget gaps. Having heard the Chief Officer in further explanation and in answer to Members’ questions, the Council agreed:- (1) to note the updated position regarding projections for the Council’s estimated revenue budget gaps in 2025/26-2029/30, and in particular the updated mid- range 2025/26 budget gap of £9.235m as summarised in paragraph 4.11 of the report; (2) the 3 year strategy to replenish the Council’s reserves using the additional £1.129m of recurring Revenue Support Grant funding, the increased benefit associated with the reduction in the employer’s Strathclyde Pension Fund contribution rate and the release of £0.860m of earmarked funding to the General Fund; (3) to note the preliminary discussions between the Section 95 officers of Inverclyde Council, Renfrewshire Council and West Dunbartonshire Council in relation to a potential future delivery model for Internal Audit and Fraud Services and agree these discussions should be further progressed with a report being brought back to Council with options at an appropriate time; (4) to transfer £100,000 from the General Fund to the Cost of Living Fund; and (5) to transfer £5,000 to West Dunbartonshire Kinship Carers. EXTERNAL AUDIT PROGRESS REPORT A report was submitted by the Chief Officer – Resources presenting a progress report from the Council’s external auditors, Forvis Mazars. Having heard the Audit Director, Forvis Mazars, and the Chief Officer in further explanation and in answer to Members’ questions, the Council agreed to note the Council’s external auditors’ progress report on the audit of the Council’s 2022/23 annual accounts and planning for the 2023/24 audit. Page 9
Page 10
UNAUDITED 2023/24 ANNUAL ACCOUNTS It was noted that it had not been possible for a report on the Unaudited 2023/24 Annual Accounts to be provided in time for the present meeting and that this report would instead be submitted to the next meeting of Council on 28 August 2024. NOTICE OF MOTIONS (a) Motion by Councillor Chris Pollock – Dumbarton Football Club Councillor Pollock moved:- Council recognises and congratulates Dumbarton Football Club, the players, fans, staff and management on gaining promotion to Scotland's League One of football. Moving through the playoffs undefeated the sons clinched victory against Spartans in Edinburgh, on May 17th with a 4-3 aggregate win. Founded in 1872 Dumbarton is one of Scotland's oldest football clubs. The club is well supported and popular with locals. The location of the stadium beneath Dumbarton Rock has been described as one of the world's most iconic football grounds. Gaining promotion is an excellent achievement for the area's biggest and most successful club. Council wishes the club and the fans all the best for next season. The motion was unanimously agreed by the Council. Note: Councillor Docherty entered the meeting during consideration of this item. (b) Motion by Councillor Gordon Scanlan – Early Years Physical Activity Programme Councillor Scanlan moved:- Council recognises the unique importance of developing physical literacy alongside traditional literacy within our early learning centres. The leisure trust’s early years physical activity programme has been operating for the last 2 years from covid recovery funding which has come to an end and this will stop the programme from running at the end of this school term. Unless action is taken to fill this gap, this programme will cease to run and no physical activity provision will be delivered from the leisure trust. Council will provide £50,000 from free reserves to run this programme for a further year and give the service time to find further funding so that the service does not simply cease to operate. Page 10
Page 11
As an amendment, Councillor Rooney moved:- Council notes the motion and agrees that a report comes to a future meeting of the relevant committee for consideration. The Corporate Services Committee agreed to approve the 2021/22 West Dunbartonshire Leisure Trust Business Plan including the efficiencies and management adjustments. The funding ceased on 17 February 2021 under the previous SNP Administration. Council notes that the leisure trust’s early years physical activity programme has been operating for the last 2 years from covid recovery funding which has come to an end. Council also notes that all Early Learning settings would now be able to identify a physical activity champion who could lead in this area and continue to extend and develop children’s physical skills within their own setting. Councillor McColl then seconded the motion and Councillor McGinty seconded the amendment. On a roll call vote being taken, 11 Members voted for the amendment, namely Provost McAllister and Councillors Hennebry, Johal, Lennie, McBride, McGinty, McKay, Millar, Rooney, Sorrell and Steel, and 10 Members voted for the motion, namely Councillors Bollan, Dickson, Docherty, McColl, McElhill, Murray Conaghan, Oxley, Pollock, Scanlan and Traynor. The amendment was accordingly declared carried. The meeting closed at 5.05 p.m. Page 11
Page 12
Page 12
Page 13
AUDIT COMMITTEE At a Meeting of the Audit Committee held in the Civic Space, 16 Church Street, Dumbarton, on Wednesday, 21 February 2024 at 10:00 a.m. Present: Councillors Ian Dickson, Michelle McGinty, John Millar, Karen Murray Conaghan, Martin Rooney and Hazel Sorrell. Attending: Peter Hessett, Chief Executive; Laurence Slavin, Chief Officer – Resources; Victoria Rogers, Chief Officer – People and Technology; Amanda Graham, Chief Officer – Citizen, Culture and Facilities; Julie Slavin, Chief Finance Officer - Health and Social Care Partnership (HSCP); Andi Priestman, Shared Service Manager – Audit and Fraud; Stephen Daly, Citizen and Digital Manager and Lynn Straker, Committee Officer. Also Attending: Caleb Oguche, External Auditor – Mazars. Apologies: Apologies for absence were intimated on behalf of Councillors Jonathan McColl and James McElhill, Lay Member Mr Chris Johnstone and Beth Culshaw, Chief Officer – HSCP. Councillor Karen Murray Conaghan in the Chair DECLARATIONS OF INTEREST It was noted that there were no declarations of interest in any of the items of business on the agenda. MINUTES OF PREVIOUS MEETING The Minutes of Meetings of the Audit Committee held on 13 December 2023 were submitted and approved as a correct record, subject to Councillor Ian Dickson being removed from the list of people for whom apologies were recorded. OPEN FORUM The Committee noted that no open forum questions had been submitted by members of the public. ITEM 6 Page 13
Page 14
INTERNAL AUDIT PLAN 2023/24 – PROGRESS TO 24 JANUARY 2024 A report was submitted by Chief Officer – Resources advising of progress at 24 January 2024 against the Internal Audit Plan for 2023/24, of recently issued Internal Audit reports and action plans and the status of implementation progress in relation to action plans from previously issued Internal Audit reports. After discussion and having heard the Chief Officer – Citizen, Culture and Facilities and the Citizen and Digital Manager in further explanation and in answer to Members’ questions, the Committee agreed to note the content of the report. PUBLIC INTEREST DISCLOSURES AND OTHER INTERNAL AUDIT INVESTIGATIONS 19 JULY 2023 – 24 JANUARY 2024 A report was submitted by Chief Officer – Resources advising of the outcome of investigations into allegations and disclosures in line with public interest disclosure and business irregularities policies received by Internal Audit between 19 July 2023 and 24 January 2024. After discussion and having heard the Shared Service Manager – Audit & Fraud in further explanation and in answer to Members’ questions, the Committee agreed to note the content of the report. STRATEGIC RISKS 2022-2027 A report was submitted by Chief Officer – People & Technology providing an update on the strategic risks for 2022-27. After discussion and having heard the Chief Officer – Resources and the Chief Officer – People and Technology in further explanation and in answer to Members’ questions, the Committee agreed to note the strategic risks as detailed in Appendix 1 to the report. The meeting closed at 10.42 a.m. Page 14
Page 15
WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer (Regeneration and Regulatory) Council: 28 August 2024 Subject: Glasgow City Region City Deal - Update 1. Purpose 1.1 To note the progress with the implementation of the Exxon Infrastructure Project and approve a Change Control Request, and to provide an update on Glasgow City Region City Deal Programme. 2. Recommendations 2.1 It is recommended that Council: i) Notes the update on the Exxon Infrastructure Project; ii) Approves a Change Control Request to vary the construction programme dates be submitted to Glasgow City Region for approval; and iii) Notes the progress of the Glasgow City Region programme 3. Background 3.1 The Glasgow City Region City Deal Infrastructure programme equates to £1.13bn of investment during period 2015-2035. Projects are progressing and have reached various stages from Strategic, Outline and Full Business Case stages of approval. 3.2 At the meeting of Council on 20 December 2023, Council agreed to delegate authority to the Chief Officer – Regulatory and Regeneration to agree the construction agreements with Balfour Beatty Civil Engineering Ltd and Network Rail and such ancillary agreements as may be required to deliver the works, all in line with the approved budget. 4. Main Issues 4.1 This report provides information on City Region progress, and includes an update on the Exxon site infrastructure project development. Exxon Infrastructure Project 4.2 It was previously reported to Council that the Esso remediation works were to be completed by the first week of June. Since then the Regulators have asked Esso to undertake additional remediation at the quay, which has added a few weeks to their programme. These delays, which have been ITEM 8 Page 15
Page 16
outside the Council’s control, have had an impact on the commencement of the main infrastructure programme. The additional remediation work is anticipated to be completed by early August, with a period of environmental reporting to follow. The estimated land transfer of the formal Esso site is now mid-September 2024. 4.3 All other required land acquisitions and temporary access agreements have now been agreed in principal. The main construction contract will be signed when these are concluded and the land from Esso is transferred to the Council. Balfour Beatty will need up to 8 weeks after receiving the contract to mobilise for site start, meaning that commencement of construction will be in mid-November. Some early enabling works on land outwith Esso’s current ownership, site clearance and archaeological surveys, are expected to begin in September. 4.4 With a site start in November 2024, project completion would be expected in July 2027, however we are discussing with Balfour Beatty an earlier phased handover of part of the site in late 2026, should this be required. 4.5 The changes to the dates of the construction programme will require a Change Control Request to be approved by Glasgow City Region following August’s Council meeting. City Region Update 4.6 A Glasgow City Region Cabinet Meeting was held on 11 June. Cabinet agreed that the recommendation to UK Government be that the sectoral focus of the Glasgow City Region Investment Zone is Advanced Manufacturing and Precision Engineering. The Investment Zone will bring £160m of investment into the City Region through a combination of capital funding and tax relief over 10 years from 2025.This decision on sectoral focus is favourable to West Dunbartonshire as the only Stage 2 bid that was submitted from the Council area was an Advanced Manufacturing Maritime development. Prior to the report to Cabinet, the Stage 2 bids had been evaluated by the City Region Programme Management Office, the Intelligence Hub and a Strategic Assessment Panel to determine the preferred sectoral focus. The bids have also been ranked according to compliance with the objectives of the Investment Zone. The ranking has not yet been made public and is expected to be disclosed following agreement with the UK Government. With a new UK Government in place, there have been some inevitable prolonged timescales for decision-making, however we are being advised by UK Government civil servants that the direction of Investment Zone is not expected to change. 4.7 As previously reported to the Council there is approximately £120m of funding being made available across the Region due to the reprogramming of City Deal, and specifically the transferring of responsibilities of the Glasgow Airport Rail Link to Clyde Metro. Half of the funding is proposed to be spent on helping meet inflation costs for existing City Deal projects, including the Exxon Infrastructure Project. UK Government had previously requested that the remaining £60m be spent on a new project that must demonstrate a Page 16
Page 17
significant impact across the City Region, and should be led by one Member Authority. Four expressions of interest were submitted in May, including two that the Council supported as a potential beneficiary. These were River Clyde flood measures and the development of small-scale new commercial and industrial premises across the Region. The decision on the successful bid(s) will require input from both Scottish and the new UK Government. In the meantime a working group has been set up by the City Region Programme Management Office to develop the proposal on commercial and industrial premises. 4.8 A commercial approach to Electric Vehicle Charging Infrastructure (EVCI) has been agreed by all City Region Member Authorities and the intention is to seek an external partner to deliver the required infrastructure. This was agreed at IRED Committee in May 2024. The funding application for this year has been agreed by all parties and submitted to Transport Scotland. Exploratory works associated with the EVCI project are currently ongoing. Based upon the current estimate, it is projected that an agreement with a Charge Point Operator would commence in May/June 2025. In the interim the Glasgow Ciity Region collaboration intend to use EV Infrastructure Fund to meet the costs of consultancy support. 4.9 A senior officers’ working group for Clyde Metro has been established for Glasgow City Region Member Authorities and the Council is represented on that group. Early engagement has been undertaken with each local authority to review the case for investment for Clyde Metro. A Case for Change and an Initial Option Development programme is underway to develop a vision, the objectives, and network options. 4.10 The Clyde Bridge is nearing completion, and Renfrewshire Council has been in touch to discuss joint publicity. 4.11 The next Cabinet meeting is on 8 August, and a verbal update from Cabinet can be given at Council. 5 People Implications 5.1 There are a number of senior officers involved in the Glasgow City Region wider programme as identified at City Region Update paper at Council on 26 August 2021. 6. Financial Implications 6.1 Spend this financial year to date on the Exxon project is £1,460,824 Overall spend is £ 8,240,350. 7. Risk Analysis 7.1 There are a number of project risks associated with the development at the Exxon project site and these are contained within the project risk register and updated by the Project Board on a regular basis. The Project Board is made up of senior officers from all key services. Page 17
Page 18
8. Equalities Impact Assessment 8.1 Previously completed. 9. Consultation 9.1 Consultation with all key stakeholders is progressing as we continue to work as part of the Glasgow City Region. 10 Strategic Assessment 10.1 At its meeting on 26 October 2022, the Council agreed that one of its main strategic priorities for the Strategic Plan 2022 - 2027 is ‘A Strong local economy and improved employment opportunities’ 10.2 The proposals within this report are specifically designed to deliver on this priority. Alan Douglas Chief Officer: Regulation and Regeneration Date: 13 March 2024 Person to Contact: Gillian McNamara gillian.mcnamara@west-dunbarton.gov.uk Appendix: None Background Papers: UK Shared Prosperity Fund Report to Housing and Communities Committee 22 August 2022 Glasgow City Region City Deal- Council 13 August 2014. “City Deal Initiative” Clyde Valley Investment Fund- Council 30 April 2014 (Memorandum of Understanding). Clyde Valley Community Planning Partnership – City Deal Initiative – Council 28 August 2013. Wards Affected: All Page 18
Page 19
WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer - Resources Council: 28 August 2024 Subject: Unaudited 2023/24 Annual Accounts 1. PURPOSE 1.1 The purpose of this report is to provide Council with a copy of the unaudited 2023/24 Annual Accounts and information regarding the 2023/24 outturn as set out in the draft accounts. 2. RECOMMENDATIONS 2.1 Members are asked to: a) note the unaudited 2023/24 Annual Accounts b) note the information provided in relation to the financial performance of the Council’s services and capital plan for 2023/24 c) note the current position regarding the Council’s reserves d) Agree to delegate authority to the Audit Committee to formally approve the audited accounts. 3. BACKGROUND 3.1 The annual unaudited accounts set out the financial statements of West Dunbartonshire Council (the Council) for the year ended 31 March 2024. Their main purpose is to demonstrate the stewardship of public funds entrusted to the Council. The requirements governing the format and content of local authority annual accounts are contained in the Code of Practice on Local Authority Accounting in the United Kingdom (the Code). The 2023/24 accounts have been prepared in accordance with this Code. 3.2 There is a statutory requirement to prepare a set of accounts and submit them to the Controller of Audit. The date set by the Scottish Government for the submission of the unaudited annual accounts is 30 June each year. 3.3 The 2023/24 accounts were submitted to Forvis Mazars on 28 June 2024. 4. MAIN ISSUES 4.1 The unaudited accounts show that the outturn on the general fund is an overspend of £7.115m after the budgeted use of additional resources of £8.656m. This represents an overspend of 2.57% against the 2023/24 revised budget of £269.842m. ITEM 10 Page 19
Page 20
4.2 The £7.115m overspend breaks down as: £000 Service overspend including loan charges 5,363 Use of earmarked reserves 2,646 Over recovery taxation and non-specific grant income (1,088) Other statutory adjustments 194 Total 7,115 The Housing Revenue Account (HRA) is reporting an in-year deficit of £1.666m. 4.3 Since 2010/11 local authorities have been required to prepare financial statements following International Financial Reporting Standards (IFRS). Under the Local Authority Accounts (Scotland) Regulations 2014 there is a requirement to include a management commentary in the accounts. The contents of the annual accounts are summarised in the paragraphs that follow. 4.4 Management Commentary: outlines the key messages regarding the objectives and strategy of the Council and its financial performance for the year. It also looks forward, outlining the future financial plans for the organisation and the challenges and risks which are faced by the Council. 4.5 Statement of Responsibilities for the annual accounts: outlines the Council’s responsibilities and also the responsibilities of the Council’s Section 95 Officer. 4.6 Annual Governance Statement: details the view on the adequacy of its governance and internal control system. It is the Council’s view that the systems for governance and internal control are operating effectively within the Council during 2023/24 and that there are no significant weaknesses. 4.7 Remuneration Report: details the remuneration policy, remuneration and pension benefits of senior councillors and senior officers in addition to detail on employee exit packages. Comprehensive Income and Expenditure Statement (CIES): 4.8 This statement shows the accounting cost of providing services rather than the amount to be funded from taxation, in order to comply with the requirements of the Code. This means that the net cost of service includes statutory accounting adjustments for depreciation, loans fund principal repayment, the net change for the pension adjustment and accrued holiday leave not taken by 31 March 2024; reducing the total cost of service provision by £4.861m. This is one of the main reasons why the actual outturn shown within the Comprehensive Income and Expenditure account differs from the actual outturn shown within the management commentary (page 8 of Page 20
Page 21
accounts), as these costs are not included as part of the service budgets. A reconciliation between the two outturns is shown at paragraph 4.10. 4.9 The Council ended the year with a 2023/24 deficit of £32.517m. This is the accounting surplus based on the IFRS compliant accounts rather than the movement in the General Fund Balance. It comprises of the following: £000 Deficit on Provision of Services 12,502 Deficit on the revaluation of long term assets (12,936) Actuarial loss on the pension fund asset 32,951 Total Deficit 32,517 4.10 The table below, sets out a reconciliation of the deficit on the provision of services of £12.502m as noted in the Statement of Comprehensive Income and Expenditure under IFRS requirements and the in-year revenue overspend of £7.115m against budget (paragraph 4.2): £000 Deficit on Provision of Services per the Comprehensive Income and Expenditure Statement 12,502 Statutory adjustments required by the Code (paragraph 4.8) 4,861 Deficit on Provision of Services per Movement in Reserves – pg 34 17,363 Adjust for movements to/from statutory reserves: Capital Receipts unapplied 171 Other Reserves (98) HRA Reserve (1,666) Movement in General Fund Balance 15,770 Use of Earmarked Reserves (8,656) Net General Fund budgetary control position 2023/24 7,115 4.11 Balance Sheet: The Balance Sheet shows that the net worth of the Council has decreased by £32.517m from £387.786m as at 31 March 2023 to £355.269m as at 31 March 2024. The major changes are set out in the table below. Movement in Reserves Statement Page 21
Page 22
4.12 This shows the movement on the different reserves held by the Council, analysed into usable reserves (resource backed reserves which can be used to fund expenditure) and unusable reserves (required purely for accounting purposes and are not backed by resources). 4.13 The total Council reserves have decreased from £387.786m at 31 March 2023 to £355.269m at 31 March 2024, a decrease of £32.517m, due to the reasons detailed in the table above. 4.14 The balance of unusable reserves has decreased by £15.513m from £355.513m as at 31 March 2023 to £340.360m as at 31 March 2024. This is mainly due to the revaluation of assets offset by the movement in the pension liability. 4.15 Cash Flow Statement: The Cash Flow Statement shows the changes in cash and cash equivalents of the Council during the financial year. The Cash and Cash Equivalents increased by £21.846m to £24.397m. This will be used to fund the repayment of temporary loans as they fall due in 2024/25. 4.16 Notes to the Financial Statement: The notes section provides further information and explanation on some of key figures included within the Accounts. The notes conform to the guidance issued by CIPFA/LASAAC within the Code of Practice on Local Authority Accounting. 4.17 Council Tax Income Account: This account shows the gross income raised from council tax levied and deductions made under the Local Government Finance Act 1992. The resultant net income is transferred to the CIES. Council Tax rate for Band D was £1,398.98 for 2023/24 compared to £1,332.36 in 2022/23 (a £66.62 increase) reflecting the 5% increase agreed by Council as part of the budget setting process. The income transferred to the general fund for Council Tax in 2023/24 was £40.798m. This compared to £39.313m in 2022/23. 4.18 Non Domestic Rate Income Account: This account is an agent’s statement that reflects the statutory obligation for billing authorities to maintain a separate Non Domestic Rate Account. Net Non-Domestic Rate Income to the Consolidated Income and Expenditure Account amounted to £93.396m for 2023/24. This compares to £107.740m in 2022/23. This is the Council’s share of the estimated NDR income which has been distributed proportionately on the basis of the Council’s 2022/23 mid-year income. It does not represent additional income to the Council, just a distribution of the national pool to reflect what is due to the Council as agreed as part of the 2023/24 settlement figure (already accounted for) and what the Council collected. 4.19 Housing Revenue Account In relation to the HRA, the draft accounts show a balance of £0.9698m as at 31 March 2024. This is below the prudential reserve target of £0.984m. Steps are being put in place to try to build the reserves back up to the Page 22
Page 23
prudential target in 2024/25 and beyond. Capital Programmes 4.20 Details of the capital programmes are shown in Appendix 4 (General Fund) and Appendix 5 (HRA) and are summarised below. The appendices detail the outturn of the projects within 2023/24 and provide further information on the projects which have been identified as red status (i.e. those projects which are likely to be significantly overspent and/or to have significant delays in completion). A list of the main capital projects progressed during 2023/24 is provided on page 12 of the Annual Accounts. The year end position is summarised as follows: Budget Spend Variance Overspend Underspend Reprofiling £,000 £,000 £,000 £,000 £,000 £,000 General Services 93,703 30,889 (62,814) 3,030 (1,872) (63,973) HRA 124,846 56,123 (68,683) 7,444 (70,636) (5,491) Total 132,290 62,227 -70,063 11,546 (72,508) (69,464) 4.21 The main areas of reprofiling in the year were: General Services District Heating Expansion Network expansion to Golden Jubilee National Hospital will commence pending positive commercial discussions. Schools Estate Improvement Plan Works Progressing. Projects anticipated to complete in 2024/25. Vehicle Replacement Delay due to the vehicle build time associated with the specialist vehicles and the delivery lead time from the date of supply order placement. Levelling Up Fund Artizan masterplan approved in November 2023. Designs are progressing as planned but some delays due to enabling works and commencement of the design phase HRA New house build Progress with new house build programme has been slower than anticipated. The projects are often complex, lengthy and require input from a range of stakeholders. A number of projects are due to complete over the next 2-3 years and these projects will increase the supply of quality affordable housing across West Dunbartonshire. Roofing Works There has been a slow down with the roofing programme because the roofing programme is increasingly renewing roofs within mixed tenure blocks. Mixed tenure works require consultation with owners and an agreement with owners on their share of costs before work commences. The challenging financial climate has made it more difficult to progress works with owners. Page 23
Page 24
4.22 Group Accounts: The Council is required to prepare Group Accounts in addition to its own Annual Accounts. Group Accounts are prepared when a Council has a material interest in other organisations. The purpose of the accounts is to combine its financial information with other organisations within its group. For 2023/24 the Council’s group consists of (a) West Dunbartonshire Leisure Trust (b) Dunbartonshire and Argyll and Bute Valuation Joint Board (c) Clydebank Property Company (d) West Dunbartonshire Energy Company (e) Health and Social Care Integrated Joint Board (f) Dumbarton Common Good and Trust Funds. 4.23 The effect of combining these entities on the Group Balances Sheet is to increase reserves and net assets by £19.031m creating an overall net asset of £374.300m. Next Steps 4.24 To enable the Council to meet its legislative requirements, Members require to approve the audited Annual Accounts for signature no later than 30 September 2024. As the audit of the Council’s 2022/23 accounts is still ongoing it is considered unlikely that the audit of the 2023/24 accounts will be completed by the 30 September 2024 deadline. It is not clear at the current time when the 2023/24 audit will be completed by and therefore it is not possible to determine which future meeting of the Council will be presented with the audited accounts for approval. Depending on the timing of the completion of the 2023/24 audit it may be that a meeting of the Audit Committee will be the most suitable time for the Accounts to be approved. Council is therefore asked to agree to delegate authority to the Audit Committee to formally approve the audited accounts if required. Charity Accounts 4.25 Appendix 7 provides Members with the accounts of the Trust Funds which are administered by the Council. These Financial Statements are also audited by our external auditors prior to submission to the Office of the Scottish Charity Regulator (OSCR). The draft Financial Statements 2023/24 have been presented to the external auditors. These are also included within the Council’s Group position. The summary position of the Trusts are noted below – interest gained was received for all trusts, with six grant payments made, four from the Alexander Cameron Bequest and two from Dr AK Glen Fund. As the AK Glen Fund has bene fully distributed it has been wound up and removed from the Scottish Charity Register. Page 24
Page 25
Opening Balance 2023/24 Surplus / (Deficit) 2023/24 Closing Balance 2023/24 Dunbartonshire Educational Trust Scheme 1962 92,508 4,216 96,507 McAuley Prize for Mathematics 22,333 1,022 23,352 Alexander Cameron Bequest 117,505 4,457 121,963 UIE Award 25,248 1,154 26,401 Totals 257,594 (10,847) 268,442 4.26 The audited Trust Fund accounts will be approved by the Council, together with the Council’s Financial Statements. 4.27 Common Good Appendix 8 provides Members with the accounts of the Dumbarton Common Good which are administered by the Council, also audited by our external auditors as part of the year end process. This is also included within the Council’s Group position. The main movements within the common good are noted below: £ Opening Balance 624,896 Income 344,439 Expenditure (408,021) Closing Balance 561,314 CONCLUSION 4.28 The Unaudited Annual Accounts have been prepared in accordance with professional and statutory requirements. The General Fund Balance has decreased by £15.770m from an opening balance of £29.303m to £13.533m, after taking into consideration the movement during the year, the end of year outturn position and earmarkings. The Council’s net worth, per the balance sheet, has decreased from £387.786m at 31 March 2023 to £355.269m at 31 March 2024, a decrease of £32.517m. 5. PEOPLE IMPLICATIONS 5.1 There are no people implications as a consequence of this report. 6. FINANCIAL AND PROCUREMENT IMPLICATIONS 6.1 There are no direct financial or procurement implications arising from this report. Page 25
Page 26
7. RISK ANALYSIS 7.1 No risk analysis was required 8. EQUALITIES IMPACT ASSESSMENT (EIA) 8.1 No equalities impact was required in relation to the preparation of this report. 9. CONSULTATION 9.1 The views of Legal Services have been requested on this report and have advised there are neither any issues nor concerns with the report. 10. STRATEGIC ASSESSMENT 10.1 Sound financial practices are cornerstones of good governance and support Council and officers to pursue the Council’s strategic priorities. Laurence Slavin Chief Officer - Resources Date: 28 August 2024 Person to Contact: Carol Alderson, Finance Manager, 16 Church Street, Dumbarton E-mail: carol.alderson@west-dunbarton.gov.uk Appendices 1. Draft Annual Accounts to 31 March 2024 2. General Services Budgetary Control Report to 31 March 2024 – Revenue 3. HRA Budgetary Control Report to 31 March 2024 - Revenue 4. General Services Budgetary Control report to 31 March 2024 – Capital 5. HRA Budgetary Control Report to 31 March 2024 - Capital 6. Draft Annual Accounts to 31 March 2024 for Trust Funds 7. Draft Position to 31 March 2024 for Dumbarton Common Good Background Papers Budget Report to Council - 6 March 2024 Page 26
Page 27
Page 27
Page 28
Page 28
Page 29
Contents Table of Contents Page Page Management Commentary 1 Note 21 Financial Instruments 67 Explanatory and Assurance Statements Note 22 Defined Benefit Pension Scheme 72 Statement of Responsibilities 18 Note 23 Termination benefits 77 Annual Governance Statement 19 Note 24 Unusable Reserves 77 Remuneration Report 25 Note 25 Related Parties 79 Principal Financial Statements of Singe Entity Note 26 Agency Services 80 Comprehensive Income and Expenditure Statement 32 Note 27 Financial Guarantees 80 Balance Sheet 33 Note 28 Contingent Assets and Liabilities 80 Movement in Reserves Statement 34 Note 29 fees payable to External Audit 81 Cash Flow Statement 35 Note 30 Events After the Balance Sheet Date 81 Notes to the Principal Statements Housing Revenue Account 82 Note 1 Accounting Policies 36 Council Tax income Account 84 Note 2 Critical Judgement in Applying Accounting Policies 47 Non-Domestic Rate Income Account 85 Note 3 Assumptions Made About the Future and Other Major Sources of Estimation Uncertainty 48 Common Good 86 Note 4 Accounting Standards that have been issued but have not yet been adopted 49 Trust Funds 88 Note 5 Expenditure and Funding Analysis 50 Group Comprehensive Income and Expenditure 89 Note 6 Adjustments between funding accounting basis and funding basis under regulations 53 Group Balance Sheet 90 Note 7 Earmarked Reserves 55 Group Movement in Reserves Statement 91 Note 8 Financing and Investment (Income) and Expenditure- 56 Group Cashflow Statement 92 Note 9 Taxation and Non-Specific Grant Income 56 Notes to the Group’s Principal Financial Statements 93 Note 10 Grant Income 56 Note 31 Details of Combining Entities 93 Note 11 Property, Plant and Equipment 58 Note 32 Non-Material Interests in other Entities 94 Note 12 Intangible Assets 61 Note 33 Financial impact of Consolidation 95 Note 13 Heritage Assets 61 Note 34 Material Items of Group Income and Expenditure 95 Note 14 Assets held for Sale 62 Note 35 Group Accounting Policies 96 Note 15 Private Finance Initiatives and Similar Contracts 63 Audit Certificate 97 Note 16 Operating Leases 64 Independent Auditor’s Report 98 Note 17 Debtors 65 Glossary of Terms 99 Note 18 Cash and Cash Equivalents 66 Note 19 Creditors 66 Note 20 Provisions 66 Page 29
Page 30
Page 1 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Management Commentary Introduction Welcome to the Financial Statements for West Dunbartonshire Council (the Council) and its group for the year ended 31 March 2024. The Statements have been compiled in accordance with the Code of Practice on Local Authority Accounting in the United Kingdom (the Code). This Management Commentary will demonstrate the stewardship of public funds entrusted to the Council and outlines the key messages regarding the performance of the Council over the 2023/24 financial year as well as providing an indication of risks and issues which may impact upon the Council in the future. Profile of West Dunbartonshire Council The Council is an average sized Council at around 71 square miles and has many strengths; including significant sites of natural beauty and heritage, good transport links and close proximity to Glasgow and its airport. The area has a rich past, shaped by its world-famous shipyards along the Clyde, and boasts many attractions ranging from the iconic Dumbarton Rock and the Titan Crane to the beauty of Loch Lomond. The Council is responsible for providing a wide range of local authority services (including education, housing, environmental health, environmental services, planning, economic development, employment, highways and transport) to residents within the West Dunbartonshire area. The Council is led by 22 councillors, elected every five years to represent the residents within the area. Following the Local Government elections in March 2022 the Council has had a Labour administration with Councillor Martin Rooney as the Council Leader. Page 30
Page 31
Page 2 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 In June 2023, in anticipation of the departure of the Chief Officer Supply, Distribution and Property, on 1 September 2023 the Chief Executive announced a reallocation of responsibilities to the remaining Chief Officers and confirmed that the post of Chief Officer Supply, Distribution and Property would be removed from the Council’s establishment. For the remainder of 2023/24 the senior management structure consisted of the Chief Executive, seven Chief Officers, with the Integration Joint Board (referred to as Health and Social Care Partnership (HSCP)) managed at a senior level by a Chief Officer. The Council also has: • West Dunbartonshire Leisure Trust – an arm’s length organisation which operates certain services on the Council’s behalf • a regeneration company called Clydebank Property Company • West Dunbartonshire Energy Company which is an energy generation company 99.9% owned by the Council. The Strategic Plan, Vision and Priorities The Strategic Plan 2022-27 sets out the Council’s direction, with an emphasis on improving the lives of residents and reducing inequality. Its vision is to ‘deliver services which build on the strengths and resilience of our neighbourhoods and support all residents to fulfil their individual potential, and that of their communities.’ This focuses on four key priorities: • Our Communities - Resilient and Thriving • Our Environment - A Greener Future • Our Economy - Strong and Flourishing • Our Council - Inclusive and Adaptable These priorities reflect those set out in wider partnership plans such as Community Planning West Dunbartonshire’s Local Outcomes and Improvement Plan and the West Dunbartonshire Health and Social Care Partnership Strategic Plan. Specific objectives within each priority provide further detail, with progress measured through a suite of performance indicators (PIs) and targets. Delivery Plans Delivery plans set out how the Strategic Plan priorities and objectives will be met. Developed annually for each strategic area, they set out actions to deliver the Strategic Plan as well as actions to address the performance challenges and service priorities identified in the planning process. They also provide an overview of services and resources, set out the Performance Indicators (PIs) for monitoring progress, and consider the relevant risks. Page 31
Page 32
Page 3 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Performance Reporting Strategic Plan and Delivery Plans Performance against the PIs and actions set out in the Strategic Plan and associated Delivery Plans is reviewed and managed by Chief Officers throughout the year and reported to Council and Committees for scrutiny twice yearly, at mid-year and year-end. The Strategic Plan progress report and Delivery Plan progress reports set out 2022/23 performance in detail while the infographic based Annual Report provides an overview across a wide range of areas including the Strategic Plan, feedback from service users and residents, as well as budget and workforce information. This was the first year of reporting on the 2022-23 Strategic Plan. The table below show the total number of indicators reported through the Strategic Plan and details latest available performance data for the 2022/23 year. Local Government Benchmarking Framework All 32 Scottish councils measure a common set of PIs called the Local Government Benchmarking Framework (LGBF). This allows us to compare performance, identify best practice, learn from each other, and improve what we do. The framework comprises 105 cost, satisfaction and service indicators covering a wide range of council services. A summary of performance in 2022/23 is set out in the table below. This is the most recent year for which comparative data is available. % (No.) of LGBF PIs Improved on previous year Better than Scottish average Better than family group average (i.e. similar councils) Cost 62% (13) 57% (12) 67% (14) Satisfaction 45% (5) 100% (11) 100% (11) Service performance 54% (41) 50% (38) 45% (34) The graph summarises our comparative performance over the last five years, showing the percentage of indicators in each of the four quartiles, with Q1 representing the top eight performing councils and Q4 the bottom eight. The year- end progress report provides details of all 105 indicators in the framework. Indicator Status Strategic Indicators 2022/23 Total Indicators 49 Green 33 (67%) Amber 9 (19%) Red 7 (14%) Page 32
Page 33
Page 4 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Key Achievements 2023/24 Some of our key achievements in 2023/24 are highlighted below in relation to our four strategic priorities: Priority 1 – Our Communities are Resilient and Thriving The Council continued to progressed a range of initiatives to assist people and community groups hardest hit by the cost of living crisis. Including: • A Household Energy Support Fund. • An enhanced school’s summer programme. • Sport & leisure for children during holiday times including the SHINE programme • A range of family fun day events. • Funding for West Dunbartonshire Kinship Carers, to help support their activities and additional costs with their new centre • Funding West Dunbartonshire Community Food Share • Phase 2 of the Cost of Living Capital Fund which supported a further 14 community groups to deliver community focused cost of living initiatives In relation to education the Council: • Developed our ‘Strategy for Excellence and Equity (2023-2026) which builds on the improvement programme delivered between 2015- 2023; and includes an improvement plan for 2023-2026 • Expanded literacy strategy, with development of ‘Come Read with me @ WDC’ programme • Provided support for parents/carers impacted by poverty, including families of young carers; families with experience of care; families on the edge of care; and families with children who have other additional support needs. • Reached financial close and commenced construction of the new Faifley Campus, due to open in 2025. Priority 2 – Our Environment Promotes a Greener Future The Council has: • Entered into a cooperation agreement with Glasgow City Council to develop an innovative Net Zero Cooperation Agreement to share skills, resources and infrastructure. • Committed to a policy that all new Council build homes will be net zero and approved planning for new energy efficient homes in Bonhill. • Continued to expand the Queens Quay District Heating Network with the connection to 46 Clydebank Housing Association flats • Performed targeted community bulk uplifts, grass cutting and litter picking to clean up our estates. • Created community woodlands in Clydebank and Bonhill. *Artists Impression Page 33
Page 34
Page 5 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Priority 3 – Our Economy is Strong and Flourishing The Council has: • Continued to invest in social housing and launched a new affordable housing plan to deliver 800 new homes over a 5 year period • Secured £20m of Levelling Up Funding over a ten year period to be invested in Clydebank as part of the UK Government's Long Term Plan for Towns initiative. • In partnership with Clydebank Housing Association and the Wheatley Group been recognised for the Queens Quay development which has received multiple prestigious awards including Best Regeneration Project – Residential’ at the Herald Property Awards. • Continued to progress key transformational projects including Queens Quay, the District Heating Network, the former Esso site at Bowling and the regeneration of Dumbarton Town Centre which includes repurposing Glencairn House as the library and museum, redeveloping the Artizan Centre and providing public realm and connectivity improvements between Dumbarton Central Train station and the town centre. *Artists Impression of Faifly campus Priority 4 – Our Council is Inclusive and Adaptable The Council has: • Refreshed our Customer Service Standards detailing how we interact and respond to the public. • Delivered an extensive programme of awareness raising on Participatory Budgeting across the organisation and Community Planning Partnership • Replaced 350 laptops in education and corporate sites, 2,000 Chromebooks in schools and host over 12,000 Chromebooks on our Education network. • Shortlisted for a Project Excellence award for “New Pathways” project within libraries to encourage disengaged learners back into education. • Completed a Modern Apprenticeship pay review. • Committed to Zero tolerance to Gender Based Violence with a new policy launched under the Equally Safe at Work programme and achievement of the Development stage. • Race at Work Charter signed with senior officer and political sponsors committed. Page 34
Page 35
Page 6 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Carbon Emissions and Energy Consumption The Council has exceeded its annual target to reduce carbon emissions as set out in the Carbon Management Plan, emitting a total of 23,150 tonnes of carbon dioxide from our operations in 2022/23. This equates to a 3.6% decrease against the previous financial year, or 29.7% total reduction overall against the 2012/13 baseline year. The Council approved a Climate Change Strategy in November 2020 which has set an overall target to reduce carbon emissions to 'net zero' by 2045 which will align with Scottish Government targets. This includes two interim targets of a 61% reduction by 2030/31 (versus 2012/13 baseline) and 87% reduction by 2040/41 (versus 2012/13 baseline). Annual progress of the Climate Change Action Plan is monitored through annual reporting to the Council’s Infrastructure, Regeneration & Economic Development (IRED) Committee and additionally monitored as part of the Regulatory and Regeneration Services Delivery Plan twice per year to Corporate Services and IRED Committees. Furthermore progress on the Action Plan is monitored via the multi-departmental Climate Change Action Group and reported to the senior management team in the Recovering and Renewal Board on a quarterly basis. Equality and Diversity The Council is firmly committed to the principle of equality of opportunity. The Council recognises its responsibility as a community leader, service provider and employer to encourage the fair treatment of all individuals and to tackle social exclusion. The Council is also committed to eradicate all forms of discrimination, direct or indirect and aims to eliminate discriminatory practices and promote measures to combat its effects. Information on the Council’s Equality Outcomes and Mainstreaming Report 2021-2025 can be found on the Council website at: https://www.west-dunbarton.gov.uk/Council/strategies-plans-and-policies/Council-wide-plans-and-strategies/equality- diversity-and-fairness/mainstreaming-report-and-equality-outcomes/ Council’s 2023/24 Budgets Revenue The Council approved the 2023/24 revenue budget on 1 March 2023 based on band D Council tax at £1,398.98. The budget was set at £265.160m (as detailed in the table below) to be funded by Scottish Government Grant (£216.826m); Council tax (£40.254m), with a net contribution from reserves and the service concessionary benefit for the remaining (£8.656m). Budget (£m) % of budget Resources 1.725 1% Regulatory and Regeneration 3.356 1% People & Technology 10.384 4% Citizens, Culture and Facilities 14.693 6% Education, Learning and Attainment 116.548 44% Roads and Neighbourhood 16.270 6% Housing and Employability 2.119 1% Health & Social Care Partnership 84.671 32% Miscellaneous Services 1.982 1% Loan Charges 11.092 4% Requisitions 2.320 1% Total 265.160 100% The budget was updated during the year for a number of variables, resulting in a final planned net expenditure of £269.842m. The year-end revenue budgetary position is detailed on page 8 of this commentary. Page 35
Page 36
Page 7 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Capital On 1 March 2023 the Council also approved the revised capital plan with a planned General Services spend in 2023/24 of £79.916m. In-year additional projects increasing the planned spend by £3.117m to £83.033m and accelerated and reprofiled budgets for 2023/24 of £10.690m resulted in an overall 2023/24 capital programme of £93.073m. This investment is funded from a range of sources including: government grants and ongoing council revenue. Major areas of investment are economic regeneration, school modernisation, roads and infrastructure and a range of other council assets. Housing Revenue Account On 1st March 2023 the Council agreed an increase in Council house rents of 5% and approved the Housing Revenue Account budget and planned capital investment for 2023/24 of £86.056m, and re-phased capital from the previous year of £31.671m making a total of £117.727m. Further in-year changes updated the planned spend for 2023/24 to £124.483m. The year-end revenue budgetary position is detailed on page 10 of this commentary, with the capital year end budgetary position. Overview of Core Financial Statements The Statement of Accounts contains the Financial Statements of the Council and its group for the year ended 31 March 2024. The Council operates two main Funds: 1. General Fund - expenditure and income associated with running council services (except the provision of council houses). Predominantly funded by Scottish Government grant and council tax. 2. Housing Revenue Account - expenditure and income associated with the provision of council housing. Predominantly funded primarily through rental income from tenants. Two major categories of expenditure are included in the financial statements: 1. Revenue expenditure - day to day running costs incurred to provide services. 2. Capital expenditure - cost of buying, constructing and improving Council assets. Expenditure is recorded in a number of the main statements in these accounts with the purposes of these main statements being as follows: Page Statement Statement Details 32 Comprehensive Income and Expenditure Statement (CIES) Income and expenditure for all Council services. 34 Movement in Reserves Statement How the surplus/deficit on the Income and Expenditure Account for the year reconciles to the movement on the General Fund. Also highlights movement on all other reserves held on the Council’s Balance Sheet. Further information on each of the reserves held and how they may be used is detailed within notes 5 and 6. 82 Housing Revenue Account Income and expenditure for Council housing services for the year and includes the Statement of Movement on the Housing Revenue Account Balance 33 Balance Sheet A summary of the Council’s assets and liabilities. It is a statement of the resources of the Council and the means by which they have been financed. It is also a snapshot of the Council’s financial affairs at the close of the year expressed in accounting terms. Page 36
Page 37
Page 8 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 34 Cash Flow Statement Inflows and outflows of cash arising from transactions with third parties on revenue transactions and capital activities. Cash is defined for the purpose of the statement as cash-in-hand and deposits repayable on demand less overdrafts repayable on demand. 35- 46 Notes to the Core Financial Statements Further information and analysis of each statement, including the main accounting policies. 2023/24 Financial Performance This account covers the day to day operational income and expenditure for each service of the Council and is reported in line with the Council’s Chief Officers. Income from council tax, non-domestic rates, capital and revenue support grants was £288.605m with a net expenditure on services for the year of £279.583m (shown on page 32 – Net Cost of Services). The Council’s financial performance is presented in the CIES on page 32 which shows a deficit on the provision of service of £12.502m (represented by a £16.422m deficit on the General Fund and a £3.920m surplus in the HRA). This statement is prepared using International Financial Reporting Standards as interpreted by the Code. However, it does not reflect the true cost or the amount to be funded from taxation and government grant income. Note 6 details the accounting adjustments required to reflect performance against the use of reserves and statutory funds. The adjustments remove the impact of non-cash items such as depreciation, revaluation and replace these with the actual cost of debt repayment. Consequently, the general fund balance has decreased by £15.770m, against a planned use of reserves during 2023/24 budget setting of £8.656m. The table below shows a summary of the movements that contributed to the final position. Budget £'000 Actual £'000 Variance £'000 £'000 Total General Services Reserves Held at 1 April 2023 (29,303) Resources 2,036 3,190 1,154 Regulatory and Regeneration 3,792 3,168 (624) People & Technology 10,490 10,462 (28) Citizens, Culture and Facilities 14,816 14,893 77 Education, Learning and Attainment 120,349 124,333 3,984 Roads and Neighbourhood 17,434 19,962 2,528 Housing and Employability 2,873 3,148 275 Miscellaneous Services 7,553 8,827 1,274 Health and Social Care Partnership 84,995 84,995 0 Loan charges 13,976 14,247 271 Capital Receipts to fund loan charges (2,884) (2,884) 0 Vacany Freeze 990 0 (990) Requisitions 2,320 2,367 47 Non GAE Allocation (8,898) (8,857) 41 Net Expenditure 269,842 277,851 8,009 Council Tax (40,254) (40,798) (544) Revenue Support Grant/NDR (220,932) (221,476) (544) Revenue Budget Outturn Position 6,921 6,921 Budgeted use of Reserves 8,656 PPP 307 Holiday pay accrual (152) CFCR (77) other statutory adjustments 115 Closing Useable Reserves Balance (13,533) As a result of the overall deficit, the General Fund reserves reduced from £29.203m to £13.533m. The graph below shows how the useable reserves of the Council are made up, including the £9.115m earmarked to support future budget strategy which are detailed in Note 5. Page 37
Page 38
Page 9 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 The Council has a policy of holding a minimum of £5.449m uncommitted balance (3% of the Council’s budgeted net annual running costs). As at 31 March 2024 the Council had £4.418m of free reserves (2.43% of actual running costs) which is below the prudential target. In June 2024 the Council agreed a recovery plan to rebuild the reserves to the required position. The use of reserves is reviewed as part of the budget setting each year. Provisions The Council has provisions totalling £2.237m on the Balance Sheet as detailed in Note 20 to the Accounts. Cash Flow Statement The Council’s cash flow statement shows an increase of cash and cash equivalents of £21.847m during 2023/24 (see Note 18) mainly as a result of borrowing for capital spend on non-current assets this balance will be used to repay temporary borrowing as they fall due in 2023/24 Housing Revenue Account (HRA) By law the Council maintains a separate account for the running and management of its housing stock and had 10,444 housing units at 31 March 2024 (2023: 10,422). The movement in year is follows: Opening House Number 10,422 Disposals (11) Buy Backs 33 New builds Closing House Number 10,444 The account reported a deficit for the year of £1.666m. In line with the prudential reserves policy (2% of expenditure), the target reserves level for the HRA for 2023/24 was £0.984m. Taking account of the £1.666m in-year deficit and the brought forward balance from the previous year of £2.634m, the reserves balance available to the HRA for future use is £0.968m. The reserves balance is therefore £0.016m below the prudential target. The Council aims to increase HRA reserves over the medium term so that reserves are maintained at or above target. The HRA’s budget performance for the year is summarised in the following table. The table also highlights how the in-year deficit affects the overall reserves balance held for future use. Further information is noted on page 82. 0 5 10 15 20 25 30 35 2022-23 2023-24 General Services Reserves Unearmarked reserves (£m) Earmarked reserves (£m) Page 38
Page 39
Page 10 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Budget Spend against Budget Variance £'000 £'000 £'000 £'000 Total HRA Reserves Held at I April 2023 (2,634) Total Expenditure 49,643 51,780 2,137 Total Income (49,643) (51,780) (2,137) Net Budgetary Control Position 0 0 0 Net transfer for earmarked reserves 1,665 Total HRA Reserves Held at 31 March 2024 (969) The net budgetary position on the HRA Statement noted compares to the surplus noted within the HRA Income and Expenditure Statement (page 82) as detailed below: £'000 £'000 (Surplus)/Deficit for the year on HRA services (3,922) HRA Movement in Reserves Adjustment to the revenue resource (2,346) Adjustment between Revenue and Capital resources 7,662 transfer (to)/from other Statutory reserves 272 Movement in HRA revenue 5,588 Adjust for earmarked funds: Use of earmarked sums (1,666) Net HRA budgetary control position 2023-24 0 HRA Reserves as at 1 April 2023 (2,635) Use of earmarked sums 1,666 HRA reserve as at 31 March 2024 (969) 2023-24 Balance Sheet The Balance Sheet on page 33 summarises the Council’s assets and liabilities as at 31 March 2024 and explanatory notes are provided. The net worth of the Council has decreased by £32.517m from £387.786m as at 31 March 2023 to £355.269m as at 31 March 2024. The major changes are set out in the table below. 31 March 2023 £’000 31 March 2024 £’000 Movement £’000 Main Reason Long-term Assets 1,124,801 1,183,868 59,067 Movement as a result of the revaluation of non-current assets and capital expenditure offset by in year depreciation Current Assets 71,415 102,334 30,919 Increase in cash and cash equivalents Current Liabilities (401,674) (337,092) 64,582 Movement of short-term borrowing to long-term borrowing in line with treasury strategy. Long-term Liabilities (406,756) (593,841) (187,085) Increase in long-term borrowing to support HRA and GS capital programme. Total 387,786 355,269 (32,517) Page 39
Page 40
Page 11 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Pension Assets and Liabilities The net asset arising from the Council’s involvement in the defined benefit scheme totals £302.324m as at 31 March 2024. However, this has been limited to nil in line with the accounting requirements of IFRIC 14 to limit the recognition of a pension asset to the extent to which the Council can recover the benefits through either refunds or reduced contributions. As the Council is not able to withdraw from the scheme or recover funds directly, the asset is therefore limited to the forecast reductions in contributions as compared to the forecast future service costs. This has limited the recognition of the pension asset to nil. The Council has continued to recognise the unfunded element of its pension liabilities as there are no scheme assets to cover the future costs of these liabilities as they are due going forward. The increase in the pension asset is mainly as a result of strong investment returns and an increase in discount rate resulting in lowering the value placed on the obligations as at 31 March 2024, partially offset by future pension, and salary decrease assumptions. The appointed actuaries remain of the view that the asset holdings of Strathclyde Pension Scheme and the contributions from employees and employers provide sufficient security and future income to meet future pension liabilities. Non-Current Assets The Council owns a number of different types of assets, as listed in the Balance Sheet. These assets are used for ongoing and future service delivery provided by the Council to its residents. The remit for the Council’s Strategic Asset Management Group is to ensure the most efficient use of these assets in pursuit of the Council’s strategic priorities. The Group manages this through ongoing review of the overarching Strategic Asset Management Plan, which is then supported by a number of individual Asset Management Plans (including properties, infrastructure, vehicles and equipment, etc.). The Council requires to assess the value of assets held based on current market conditions. During 2023/24 particular assets have increased in value by £12.260m however, at the same time, impairment and downward revaluations have reduced the value of other Council assets by £0.208m, resulting in a net increase in value of £12.052m. These movements adjust either the revaluation reserve in the Balance Sheet or are included within the Net Cost of Service within the Income and Expenditure Statement, depending on the history of the asset. Borrowing The Council’s 2023/24 Treasury Strategy was agreed by the Council on 29 March 2023. The Council raised new long- term loans of £174.000m (2022/23 £7.375m) and short-term loans of £244.591m (2022/23 £311.000m) and repaid naturally maturing debt of £315.000m (2022/23 £279.186m). The total outstanding long-term debt (excluding PPP debt) as at 31 March 2024 was £460.840m (2022//23 £300.851m) including £204.613m (2022/23 £117.047m) for the Council’s housing stock. The total outstanding short-term debt was £267.597m (2022/23 £319.980m), including £118.813m (2022/23 £132.351m) for the housing stock. The interest and expenses rate charged by the Council’s loans fund was 4.05% (2.47% in 2022/23). Capital Finance The Council is able to regulate its own capital spending limits within the framework recommended by the Chartered Institute of Public Finance and Accountancy and endorsed by the Scottish Government. The necessary treasury indicators and safeguards have been approved by Council. The Council’s Treasury Management Strategy and Capital Strategy are approved at Council. Details of the capital expenditure and financing are shown in note 11 on page 58. Total gross capital expenditure amounted to £87.052m with the split between General Services and HRA is noted in the table below. The main capital projects progressed during 2023/24 were: General Services HRA Dumbarton Town Centre - Levelling Up Fund Void House Strategy Programme Exxon City Deal Window/door renewals Faifley Campus Kitchen/Bathroom/shower upgrades Heating Improvement works During 2023/24, the Council had budgeted capital expenditure of £218.549m with an actual in year spend of £87.052m. The unspent amount (£131.497m) includes overspends, underspends and reprofiling, as noted within the table below. Page 40
Page 41
Page 12 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 The total reprofiling on planned spend was £69.464m – 31.78% (2022/23 59.64%) of the overall capital programme which is summarised in the following table: Budget Actual Spend Variance Overspend Underspend Reprofiling Service £'000 £'000 £'000 £'000 £'000 £'000 Corporate Services 48,388 13,547 (34,841) 1,626 (1,118) (35,350) Education 8,629 3,150 (5,479) 65 (28) (5,516) Infrastructure, Regeneration & Development 34,930 13,162 (21,768) 1,339 (709) (22,398) Miscellaneous Services 1,756 1,030 (726) 0 (17) (709) General Services Total 93,703 30,889 (62,814) 3,030 (1,872) (63,973) HRA 124,846 56,163 (68,683) 7,444 (70,636) (5,491) Total 218,549 87,052 (131,497) 10,474 (72,508) (69,464) The majority of the reprofiling has occurred within a number of larger capital projects and is mainly due to the timing of starting individual projects, for various reasons, not all within Council control, and the delayed spend on these projects moved into capital budgets for 2023/24 onwards. The most significant reprofiling was experienced against the following projects: General Services District Heating Expansion Network expansion to Golden Jubilee National Hospital will commence pending positive commercial discussions. Schools Estate Improvement Plan Works Progressing. Projects anticipated to complete in 2024/25. Vehicle Replacement Delay due to the vehicle build time associated with the specialist vehicles and the delivery lead time from the date of supply order placement. Levelling Up Fund Artizan masterplan approved in November 2023. Designs are progressing as planned but some delays due to enabling works and commencement of the design phase HRA New House Build Progress with new house build programme has been slower than anticipated. The projects are often complex, lengthy and require input from a range of stakeholders. A number of projects are due to complete over the next 2-3 years and these projects will increase the supply of quality affordable housing across West Dunbartonshire. Roofing Works There has been a slow down with the roofing programme because the roofing programme is increasingly renewing roofs within mixed tenure blocks. Mixed tenure works require consultation with owners and an agreement with owners on their share of costs before work commences. The challenging financial climate has made it more difficult to progress works with owners. Public Private Partnership (PPP) and other Long-Term Liabilities The Council entered into a PPP for the provision of three community learning centres and a primary school providing the Council with replacement buildings for three secondary schools which were handed over in 2009/10 with the primary school handed over during 2011/12. In accordance with statutory accounting guidance, full detail is provided within note 15 on pages 63 to 64. On 31 March 2016, the Council entered into a 25 year ‘Design, Build, Finance and Maintain’ (DBFM) arrangement with the Scottish Government via the Scottish Futures Trust, for the provision of a further new secondary school. The school was handed over for use by the Council during 2017/18. The detail is also included within note 15. Page 41
Page 42
Page 13 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Group Accounts Local authorities are required to prepare group accounts in addition to their own Financial Statements where they have material interest in other organisations. The group accounts on pages 89 to 96 consolidate the Council’s Financial Statements, the Common Good and Trust Funds and four other entities (including two further subsidiaries – West Dunbartonshire Leisure Trust and Clydebank Property Company). The effect of combining these entities on the Group Balances Sheet is to increase reserves and net assets by £19.031m creating an overall net asset of £374.300m. As there is no reason to suggest the future funding to these organisations will not continue, the accounts have been prepared on a going concern basis. The Financial Outlook, Key Risks and the Future In setting the 2024/25 budget on 6 March 2024, the Council faced a number of significant financial pressures resulting from real term reductions in government funding, inflationary pressures, in particular utilities, service demand increases and the ongoing impact of the national economic position. The 6 March 2024 Council meeting also approved the updated General Fund capital plan, the 2024/25 HRA revenue budget and the updated 5 year HRA capital plan. The capital plans include funding for a number of projects over the next five years and the revenue impact of these investments will be built into future revenue plans. Following the setting of the budget in March 2024, budget projections identified expected budget gaps in the mid-range scenario of £9.760m in 2025/26 rising cumulatively to £40.440m in 2028/29. At a Council meeting on 19 June 2024 a further Financial Update was presented which adjusted these gaps to reflect changes to budget assumptions and cost pressures and extend the outlook a further year. This resulted in amended estimated mid-range scenario budget gaps of £9.235m in 2025/26 rising cumulatively to £50.953m in 2029/30. If the Council continues to receive real term funding cuts from the Scottish Government, there will continue to be a need to review the manner in which services are delivered and also the levels they are delivered at. Management of Risk The main financial risks identified by the Council over the medium and long term include: • the unknown position from government on future funding levels particularly given the ongoing decline in Council population, and real term reductions in local government funding • changing demands and needs for Council services (particularly in relation to older people) • continued rises in inflation and interest rates which impact on the cost of service delivery and the delivery of capital programmes • ongoing ring fencing of funds made available to local government which restrict the options to the council in relation to service delivery • the impact of pay award negotiations and the extent to which responsibility for funding these is shared by the Scottish Government. The Annual Governance Statement, shown on pages 19 to 24, details the arrangements the Council has put in place for the proper governance of the Council’s affairs and for the management of risk. This Statement explains the system of internal control in place and sets out improvement actions to the governance framework identified from the Council’s ongoing review of these arrangements. Risks are identified with actions to minimise and/or mitigate those risks (where possible) through the Council’s performance monitoring system (Pentana), which is reported to Members on a regular basis. The Future In recognition of the scale of the current financial challenge the Council will continue to identify service redesign and business transformation options and these will be reported to appropriate committees during 2024/25. Significant cost Page 42
Page 43
Page 14 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 reductions have been generated through planned actions in prior years however more work is required to deliver a balanced budget in 2025/26 and future years. A number of major projects continue to be progressed as follows: Glasgow City Region City Deal – the Council, together with a number of other Scottish local authorities, is participating in the Glasgow Region City Deal which will see over £1.1 billion invested in the area. The City Deal consists of a number of significant capital projects across the area together with employability projects – in order to generate economic regeneration and additional jobs. The project within the City Deal specific to the Council is an infrastructure project at the Exxon site at Bowling to regenerate that site and to create a relief road along the A82 at Milton. The project is progressing with the full business case approved by Council in June 2023. Work will begin on site in 2024. Development of Queens Quay – The Council’s investment of £15.62m in Queens Quay over the past five years has helped fund the infrastructure needed to prepare the site for redevelopment. In collaboration with the development partners, good progress has been made on key developments, including the completion of the District Heating Energy Centre, new Care Home, social housing development, a partnership between Council, Wheatley Group and Clydebank Housing Association, and the new NHS Clydebank health centre. Housing development plots are being marketed to fulfil the ambition of delivering 1,000 new homes on Queens Quay and the Council is in dialogue with the landowner on how development can be expedited. The ongoing redevelopment of this site will be transformational for all our communities in Clydebank and create stronger links with the town centre and public transport. The District Heating Energy Centre Energy provides the heat source for existing and new developments at Queens Quay. Levelling Up Fund – The Levelling Up Fund is a capital fund to address systemic weaknesses in the economies of the UK’s towns and cities. The first round of the Levelling Up Fund was announced at the 2020 Spending Review with an aim to support communities in realising this vision. The Council were successful, as part of round 1, in securing £19.9m for three interlinked regeneration projects in Dumbarton town centre. These include the re-use of the listed Glencairn House (construction underway) as a town centre library and museum, the redevelopment of the largely vacant and run- down Artizan Centre (underway) and Connecting Dumbarton (complete) which will improve walking and cycling routes in the town centre. The funding programme runs to March 2025 but many of the positive regeneration outcomes will be longer term. Long Term Plan for Towns Fund – Clydebank was selected by the UK Government as part of the Government’s broader Levelling Up programme to receive £20m of Long-Term Plan for Towns Fund; one of seven towns in Scotland to receive this endowment-style funding. Funding will be provided over a 10-year period from 2024 and split into 75% capital funding and 25% revenue funding. In line with the UK Government’s guidance, a Clydebank Town Board has been established with an independent Chair to direct the use of the Fund. The Council will be the accountable body for the funding. Funding will be used across the investment themes of Safety & Security, High Streets, Heritage and Regeneration and Transport and Connectivity and spent on locally identified priorities within those themes. Shared Prosperity Fund – The UK Shared Prosperity Fund (SPF) is a part of the UK government’s ‘Levelling Up’ agenda and was established, in part, to replace funds available through the European Structural Funds. West Dunbartonshire has been allocated up to £3.9 million and our priorities centre on community and place; supporting business; people and skills; and Multiply. The planned activities are progressing well, shopfront and small business improvement grants have been distributed and we have made some progress to the improvement of our existing CCTV network. Through Communities and Place priorities we continue to support the development of a food pantry network. We have also supported organisations through business growth including expert help for business and early-stage growth towards net zero grants. People and skills provision has been developed to support vulnerable young people and economically inactive individuals and has progressed well, while Multiply funds have been used to improve maths skills. The UK Shared Prosperity programme will run until March 2025 and we anticipate full expenditure across the thematic areas. Other Information Asset Management The Council has a significant investment embedded in assets, comprising offices, schools, vehicles, houses, ICT infrastructure and equipment, etc. and it is important that these are managed in an efficient and effective manner. The Council has an overarching Corporate Asset Framework and Property Asset Plan 2023-2028 which was approved by Page 43
Page 44
Page 15 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Committee in February 2023. In addition, there are service specific Asset Plans covering Open Spaces, Roads Structures, Housing and Vehicle, Fleet and Plant which were all approved at the relevant service committees and will undergo refreshes in future years. We continue to identify any areas of over provision or inefficient value within the Council’s assets in line with the Property and Land Disposal Strategy 2021-2026. Equality and Diversity The Council is firmly committed to the principle of equality of opportunity. The Council recognises its responsibility as a community leader, service provider and employer to encourage the fair treatment of all individuals and to tackle social exclusion. The Council is also committed to eradicate all forms of discrimination, direct or indirect and aims to eliminate discriminatory practices and promote measures to combat its effects. Information on the Council’s Equality Outcomes and Mainstreaming Report 2021-2025 can be found on the Council website at: https://www.west-dunbarton.gov.uk/Council/strategies-plans-and-policies/Council-wide-plans-and-strategies/equality- diversity-and-fairness/mainstreaming-report-and-equality-outcomes/ Consultation and Communication with Workforce The Council has employee governance arrangements to ensure its employees are well informed, involved in decisions, appropriately trained, treated fairly and consistently and provided with a safe environment. The Council carries out regular employee engagement, and seeks the views of the workforce through regular consultations with staff and trade unions. Remuneration Report This report presents information on the remuneration of senior elected members and senior officers within the Council (pages 25 to 31). Financial Performance Indicators This commentary includes information on a set of financial performance indicators. These are aimed at providing the reader with a summary of key information and are summarised in the following table: 2022/23 Outturn General Services Performance 2023/24 Target 2023/24 Outturn £2.48 Cost of collecting council tax (per dwelling) Demonstrates the Council's effectiveness in collecting local taxation £5.00 £0.70 15.03% Council tax as a percentage of overall funding Demonstrates the amount of budget raised through council tax n/a 13.68% 94.83% In-year council tax collection rate Demonstrates the Council's effectiveness in collecting local taxation 93.50% 93.20% £38.188m Amount of income from council tax for the year that was received Demonstrates the Council's effectiveness in collecting local taxation n/a 39.513m 148% Value of free reserves expressed as a percentage of the prudential reserve target Demonstrates how much free reserves the GS has, in comparison to the agreed minimum 100% 81% 2.95% Value of free reserves expressed as a percentage of the net annual budget Demonstrates the percentage of budget covered by free reserves 3.00% 2.43% £1.641m Movement in the free reserve balance Demonstrates variances contributing to the overall free reserve position n/a £(0.073)m 104.00% Revenue budget compared to actual outturn at year end - including top up of provisions Demonstrates actual spend as a percentage of the planned budget (less than 100% indicates an underspend) n/a 102.57% Page 44
Page 45
Page 16 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 2022-23 Outturn Prudence And Affordability – Capital 2023/24 Target 2023/24 Outturn 3.97% Ratio of financing costs to net revenue stream (excluding PPP) – General Services Demonstrates how much of the General Fund revenue budget is used to support previous capital investment 8.53% 10.90% 29.40% Ratio of financing costs to net revenue stream – HRA Demonstrates how much of the HRA revenue budget is used to support previous capital investment 28.30% 41.90% £742.283m Capital Financing Requirement The amount of planned capital expenditure not yet funded £809.033m £794.537m £715.913m External Debt Levels (including PPP) The amount of external debt held by the Council. Increases due to funding of the capital programme £804.239m £815.999m 2022/23 Outturn Housing Performance 2023/24 Target 2023/24 Outturn 21.35% Percentage of current tenants owing more than 13 weeks rent, excluding those owing less than £250 Demonstrates the Council's effectiveness in collecting local housing rents n/a 20.53% 2,043 number of current tenants owing more than 13 weeks rent, excluding those owing less than £250 Demonstrates the Council's effectiveness in collecting local housing rents n/a 1,989 9.57% Current / former / total tenant arrears as a percentage of net rent due in year Demonstrates the Council's effectiveness in collecting local housing rents 10.35% 9.92% 4,345 Amount of current/ former/ total tenant rent arrears Demonstrates the Council's effectiveness in collecting local housing rents n/a 4,641 100% Value of free reserves expressed as a percentage of the prudential reserve target Demonstrates how much free reserves the HRA has, in comparison to the agreed minimum 100% 99% 2.61% Value of free reserves expressed as a percentage of the net annual budget Demonstrates the percentage of budget covered by free reserves (2% minimum target) 2.00% 1.97% £(0.044m) Movement in the free reserve balance Demonstrates variances contributing to the overall free reserve position n/a £(0.044m) 100.00% Revenue budget compared to actual outturn at year end Demonstrates actual spend as a percentage of the planned budget (less than 100% indicates an underspend) n/a 100% Where to find more information In This Publication - An explanation of the Financial Statements which follow and their purpose are shown at the top of each page. The accounting policies and a glossary of terms can be found at the end of this publication and these provide an explanation of the main guidelines and terms used. On Our Website - Further information about the Council can be obtained on the Council’s website (West Dunbartonshire Council https://www.west-dunbarton.gov.uk/) or from Finance Services, 16 Church Street, Dumbarton, G82 1QL. Page 45
Page 46
Page 17 Management Commentary West Dunbartonshire Council Annual Accounts 2023-24 Conclusion The financial results show the Council’s finances in a fairly healthy position although it has been a very challenging year from a financial perspective and the general fund has decreased significantly due to a combination of a planned use of reserves and also a need to absorb an in year deficit due primarily to in year capital receipts (used to fund principle loan charges), the cost of voluntary redundancy/severances and a service overspend. The Council continue to face a challenging financial future due to real term reductions in funding and this put further pressure on front line service delivery. The Council’s Financial Statements continue to be reported on a going concern basis. Acknowledgement The production of the Annual Financial Statements is very much a team effort and we wish to record our thanks to both Finance staff and to colleagues in all services whose efforts have contributed to the completion of these Statements of Accounts. Councillor Martin Rooney Peter Hessett Laurence Slavin Leader of the Council Chief Executive Chief Officer - Resources Date: 28 June 2024 Date: 28 June 2024 Date: 28 June 2024 Page 46
Page 47
Page 18 Statement of Responsibilities West Dunbartonshire Council Annual Accounts 2023-24 The Council’s Responsibilities The Authority is required to: • Make arrangements for the proper administration of its financial affairs and to secure that one of its officers has the responsibility for the administration of those affairs (section 95 of the Local Government (Scotland) Act 1973). In this authority, that officer is the Chief Officer – Resources; • Manage its affairs to secure economic, efficient and effective use of resources and safeguard its assets; • Ensure the Annual Accounts are prepared in accordance with legislation (The Local Authority Accounts (Scotland) Regulations 2014 and so far as is compatible with legislation in accordance with proper accounting practices (Section 12 of the Local Government in Scotland Act 2003); and • Approve the Annual Accounts for signature. I confirm that these Annual Accounts were authorised for issue on 19 June 2024. Signed on behalf of West Dunbartonshire Council Councillor Martin Rooney Leader of the Council The Chief Officer - Resources Responsibilities The Chief Officer – Resources is responsible for the preparation of the Council’s Annual Accounts, in accordance with proper practices as required by legislation and as set out in the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom (“The Accounting Code”). In preparing the Annual Accounts, the Chief Officer - Resources has: • Selected suitable accounting policies and then applied them consistently. • Made judgements and estimates that were reasonable and prudent. • Complied with legislation. • Complied with the Local Authority Accounting Code (in so far as it is compatible with legislation). The Chief Officer – Resources has also: • Kept adequate accounting records which were up to date. • Taken reasonable steps for the prevention and detection of fraud and other irregularities. • Signed and dated the Balance Sheet. I certify that the financial statements give a true and fair view of the financial position of the local authority and its group at the reporting date and the transactions of the local authority and its group for the year ended 31 March 2024. Laurence Slavin Chief Officer - Resources Page 47
Page 48
Page 19 Annual Governance Statement West Dunbartonshire Council Annual Accounts 2023-24 Annual Governance Statement The Annual Governance Statement explains the Council’s governance arrangements as it meets the requirements of the “Code of Practice for Local Authority Accounting in the UK” (the Code) and reports on the effectiveness of its system of internal control, including the reliance placed on the governance frameworks of our partners. It is included within the Council’s Financial Statements to assure stakeholders on how the Council directs and controls its functions and how it relates to communities in order to enhance transparency and scrutiny of the Council’s activities. Scope of Responsibility The Council is responsible for ensuring that its business is conducted in accordance with the law and proper standards, and that public money is safeguarded and properly accounted for, and used economically, efficiently and effectively. It also has a statutory duty to make arrangements to secure best value under the Local Government in Scotland Act 2003. In discharging this overall responsibility, the Council's Elected Members and Corporate Management Team (CMT) are responsible for putting in place proper arrangements for the governance of its affairs and facilitating the effective exercise of its functions, which includes arrangements for the management of risk. The Council has established an arms-length external organisation: West Dunbartonshire Leisure Trust – to deliver leisure services more effectively on the Council’s behalf, which reports regularly to Elected Members. From 1 July 2015 the West Dunbartonshire Health and Social Care Partnership was established to continue the development of the integration of social care and health services between the Council and NHS Greater Glasgow and Clyde. The Council has approved and adopted a Local Code of Corporate Governance (“the Local Code”), which is consistent with the principles of the Chartered Institute of Public Finance and Accountancy (CIPFA) and the Society of Local Authority Chief Executives (SOLACE) Framework: “Delivering Good Governance in Local Government”. The Local Code evidences the Council's commitment to achieving good governance and demonstrates how it complies with the governance standards recommended by CIPFA. A copy of this Code is available from the Council website at: http://www.west-dunbarton.gov.uk/media/4312582/wdc-local-code.pdf This statement explains how the Council expects to comply with the Local Code and also meets the Code of Practice on Local Authority Accounting in the UK, which details the requirements for the Annual Governance Statement. The Purpose of the Governance Framework The governance framework comprises: the systems and processes; and culture and values - by which the Council is directed and controlled and through which it accounts to and engages with communities. It enables the Council to monitor the achievement of the strategic objectives set out in the Strategic Plan. It enables the Council to consider whether those objectives have led to the delivery of appropriate and value for money services. The Council has put in place a system of internal control designed to manage risk to a reasonable level. Internal controls cannot eliminate risk of failure to achieve policies, aims and objectives and can therefore only provide reasonable and not absolute assurance of effectiveness. The system of internal control is based on an ongoing process designed to identify and prioritise the risks to the achievement of the Council's policies, aims and objectives, to evaluate the likelihood of those risks being realised and the impact should they be realised, and to manage them efficiently, effectively and economically. The governance framework has been in place at the Council for the year ended 31 March 2024 and up to the date of the approval of the Statement of Accounts. The Governance Framework The main features of our governance arrangements are described in the Local Code but are summarised below: • The overarching strategic vision and objectives of the Council are detailed in the Strategic Plan 2022/27, which sets out the key priorities of the Council and key outcomes the Council is committed to delivering with its partners, as set out in the Local Outcome Improvement Plan. • Services are able to demonstrate how their own activities link to the Council's vision and priorities through their Delivery Plans. Performance management and monitoring of service delivery is reported through service Page 48
Page 49
Page 20 Annual Governance Statement West Dunbartonshire Council Annual Accounts 2023-24 committees regularly. The CMT monitors performance information regularly. The Council regularly publishes information about its performance. • The West Dunbartonshire Community Alliance, which supports Community Planning West Dunbartonshire, represents the views of community organisations, communities of interest and geographical communities. In addition the Council has an Engaging Communities Framework in place which sets out our approach to engaging with citizens, community organisations and stakeholders. Consultation on the future vision and activities of the partnership is undertaken in a range of ways, including seeking the views of the Alliance and through specific service consultations and the Council actively engages with its partners through community planning arrangements. • The Council has adopted a Code of Conduct and associated employment policies for its employees. Elected members adhere to the nationally prescribed Code of Conduct for Members in a localised format. In addition, the Council has in place a protocol on member/officer relations and an inter-party protocol. • The Council operates within an established procedural framework which incorporates a Scheme of Delegation, Standing Orders and Financial Regulations. These describe the roles and responsibilities of Elected Members and officers and are subject to regular review. The Council facilitates policy and decision making through the agreed committee structure. • Responsibility for maintaining and operating an effective system of internal financial control rests with the Council’s Chief Officer Resources as Section 95 Officer. The system of internal financial control is based on a framework of regular management information, the Financial Regulations, administrative procedures (including separation of duties), management and supervision, and a system of delegation and accountability. Development and maintenance of the system is undertaken by managers within the Council. • The functions of the Audit Committee are undertaken as identified in CIPFA Guidance - Audit Committees: Practical Guidance for Local Authorities. • The Council’s approach to risk management is set out in the Risk Management Framework. A strategic risk register is in place and an update report on this is regularly submitted to the Corporate Services Committee and Audit Committee. The approach is embedded within the Council’s strategic planning and performance management framework with regular reporting of risk management arrangements to service committees. • Comprehensive arrangements are in place to ensure Elected Members and officers are supported by appropriate training and development. • The Council has adopted a response that is appropriate for its fraud and corruption risks and commits to maintain its vigilance to tackle fraud in accordance with the Code of Practice on Managing the Risk of Fraud and Corruption. • The Council continues to assess and monitor ongoing compliance with the CIPFA Financial Management Code. Review of Effectiveness The Council has a responsibility to review, at least annually, the effectiveness of its governance framework including the system of internal financial control. The review of effectiveness of the framework is informed by the work of the CMT which has responsibility for the development, implementation and maintenance of the governance environment, the Chief Internal Auditor’s annual report; and reports from the external auditors and other review agencies and inspectorates. The Council’s current Code of Good Governance was approved at the Audit & Performance Review Committee on 8 March 2017. An assessment of the Council’s compliance with the Code of Good Governance is supported by a process of self-assessment and assurance certification by Chief Officers and the outcome of this assessment was reported to the Audit Committee on 12 June 2024. Each Chief Officer was presented with a self-assessment checklist to complete and return as evidence of review of seven key areas of the Council’s governance framework which provided assurance for their service areas. The Audit Committee performs a scrutiny role in relation to the application of the Code of Good Governance and regularly monitors the performance of the Council's Internal Audit service. In relation to the effectiveness of governance arrangements and systems of internal control for the Council’s group entities, the Council places reliance upon the individual bodies’ management assurances in relation to the soundness of their systems of internal control. The Internal Audit service operates in accordance with the Public Sector Internal Audit Standards (PSIAS) 2017 and reports to the Audit Committee. An annual programme of work is determined and undertaken by Internal Audit, approved Page 49
Page 50
Page 21 Annual Governance Statement West Dunbartonshire Council Annual Accounts 2023-24 by the Audit Committee, based upon an established risk based methodology. The Shared Service Manager – Audit & Fraud provides an independent opinion on the adequacy and effectiveness of the Council’s System of Internal Financial Control. The Audit Committee performs a scrutiny role in relation to the application of PSIAS and regularly monitors the performance of the Internal Audit service. The Council's Shared Service Manager – Audit & Fraud (the Council’s Chief Internal Auditor) has responsibility for reviewing independently and reporting to the Audit Committee annually, to provide assurance on the adequacy and effectiveness of the code and the extent of compliance with it. It is our view that the Council has in place a sound system of internal financial control and that appropriate mechanisms are in place to identify areas of weakness. This is corroborated by an annual assurance statement prepared by the Shared Service Manager – Audit & Fraud stating that the overall control environment opinion was “Generally Satisfactory with some improvements needed” such that reasonable assurance can be placed upon the adequacy and effectiveness of the Council's internal control systems. There was one audit which received an overall opinion of “Requires Improvement”, namely Complaints Handling. An action plan is in place to address all issues identified in relation to the audit which will be monitored and reported to CMT and Audit Committee. Due to vacancies arising in the team, some audits from 2022/23 were completed in early 2023/24 which has impacted on the completion of the fieldwork for the 2023/24 audit plan. However the overall audit plan is set within the context of a multi-year approach to audit planning such that key risk areas are reviewed over a 5 year cycle. The system of governance (including the system of internal control) can provide only reasonable and not absolute assurance that the assets are safeguarded, the transactions are authorised and properly recorded, that material errors or irregularities are either prevented or would be detected within a timely period and that significant risks impacting on the achievement of the Council's objectives have been mitigated. Governance Issues and Planned Actions The following main issues and areas for improvement during 2023/24 have been identified through the self-assessment exercise carried out by Chief Officers against key aspects of the Code of Good Governance. These will be monitored as part of the next annual review in 2024/25. Improvement Area identified by 2023/24 Exercise Responsible Officer Embedding Be the Best Conversations within all service teams. Chief Officer, Citizen, Culture and Facilities Work is required in some services to review and update business continuity planning documentation. Chief Officer, Housing and Employability Business Classification Scheme will be rolled out to relevant service areas. Chief Officer, People and Technology Chief Officer, Resources Work is ongoing to implement the Council’s information classification policy and procedure as part of the Microsoft Office 365 project. Data Protection/Information Governance Officer A review of Learning Disability Service to improve on ways of working to ensure the service is fit for future demands. Full review to be picked up as part of renewal and recovery work. Internal Audit support will be provided to the project. Head of Mental Health, Addictions & Learning Disabilities Refreshed engagement policy and procedure will be presented for approval in September 2024. Chief Officer, HSCP Process for reporting on the status of external audit actions regularly to Audit Committee will be developed and implemented. Chief Officer, Resources A review of Guidance for Administration of School Funds is underway following an Internal Audit review. Chief Officer, Education, Learning and Attainment Action plans arising from reviews and inspections from Statutory Bodies including HMIE and the Care Inspectorate will be published online. Chief Officer, Education, Learning and Attainment A review of workforce and succession plans is underway to ensure the plans take cognisance of future needs. Chief Officer, Resources Page 50
Page 51
Page 22 Annual Governance Statement West Dunbartonshire Council Annual Accounts 2023-24 The 2022/23 Annual Governance Statement highlighted a range of areas for improvement during 2023/24. The following table provides an update on progress with these with a number having been completed or are areas which continue to have an ongoing focus: Improvement Area identified by 2022/23 Exercise Status Embedding Be the Best Conversations within all service teams. Ongoing. Work is required in some services to review and update business continuity planning documentation. Ongoing. Business Classification Scheme will be rolled out to relevant service areas. Ongoing. Evaluation processes are built into some key projects but not all. The HSCP would benefit from a consistent planning approach in this respect and this has been highlighted via external inspection activity. Complete. In relation to self-evaluation, work is ongoing to review complaints and consider how all feedback can be captured and used to inform service improvement across HSCP. Complete. Work is ongoing to implement the Council’s information classification policy and procedure as part of the Microsoft Office 365 project. Ongoing. A review of Learning Disability Service is underway to improve on ways of working to ensure the service is fit for future demands. Full review to be picked up as part of renewal and recovery work. Internal Audit support will be provided to the project. Ongoing. There is currently a resourcing issue in terms of community engagement and participation and although the HSCP Board have adopted a strategy this will be reviewed in 2023/24. Ongoing. Process for reporting on the status of external audit actions regularly to Audit Committee will be developed and implemented. Ongoing. Arrangements for Procurement and Commissioning remains an area of high risk for the HSCP. Additional resource is now in place to provide focus in this area and address actions arising from a recent Internal Audit review. Complete. The HSCP employ a small number of consultants through relevant procurement processes. A review of current appointments was undertaken in early 2023 utilising the manager’s guidance and the HMRC website to ensure invoices were being treated appropriately. The HSCP Head of HR and the CFO will support Heads of Service in any new contract arrangements that must comply with off payroll working guidance. Complete. Best Value Assurance Report A new approach to auditing Best Value has been introduced by the Accounts Commission. This work is now be integrated into annual audit reporting from 2023/24 to build local audit knowledge and reduce the scrutiny burden on councils. External Audit also conduct thematic reviews as directed by the Accounts Commission. In 2022/23 this direction focused on the effectiveness of council leadership in developing new strategic priorities following the elections in May 2022. The Council’s appointed external auditors completed their work on this during 2023/24 with a report presented to full Council on 20 December 2023. The overall conclusion was that ‘Administration elected members and officers worked together to agree clear strategic priorities, objectives, and measures of success. The council needs to maintain effective leadership to continue to achieve its priorities and make the difficult decisions to respond to its challenging financial position.’ Health and Social Care Integration Page 51
Page 52
Page 23 Annual Governance Statement West Dunbartonshire Council Annual Accounts 2023-24 The Council, as the funder of the Social Care services within the West Dunbartonshire Health and Social Care Partnership (HSCP) has an interest in the governance arrangements within the HSCP Board. Internal Audit arrangements for the HSCP is provided jointly by the Council’s Internal Audit service and the Health Board’s Internal Audit Service, with the Council’s Internal Audit service providing audit arrangements for social care services and the general oversight of the HSCP Board’s governance arrangements. The HSCP Board has arrangements in place to review its own ongoing compliance with the revised Code of Governance. Due to the Council’s role as social care service provider Internal Audit’s process outcomes on such services are reported to the Council’s Audit Committee as well as that of the HSCP Board. The Chief Social Worker provides the Council with an annual report on the performance of the HSCP. The financial arrangements for the Council’s funding to the HSCP Board are aligned and budget processes run parallel to ensure that appropriate budgets for the HSCP Board are aligned with Council policy and budgeting approaches. On an ongoing basis the Council continues to receive budgetary control information in relation to HSCP Board services funded by the Council. Compliance with Best Practice Statement on the role of the Chief Financial Officer in local government The Council complies with the requirements of the CIPFA Statement on “The Role of the Chief Financial Officer in Local Government 2010”. The Council’s Chief Financial Officer (Section 95 Officer) has overall responsibility for the Council’s financial arrangements and is professionally qualified and suitably experienced to lead the Council’s finance function and to direct finance staff. Statement on the role of the Head of Internal Audit in Public Service Organisations The Council complies with the requirements of the CIPFA Statement on “The Role of the Head of Internal Audit in Public Service Organisations 2019”. The Council’s Chief Internal Auditor has responsibility for the Council’s Internal Audit function and is professionally qualified and suitably experienced to lead and direct the Council’s Internal Audit staff. The Internal Audit service generally operates in accordance with the CIPFA “Public Sector Internal Audit Standards 2017”. Assurance Subject to the above, and on the basis of the assurances provided, we consider the governance and internal control environment operating during 2023/24 provides reasonable and objective assurance that any significant risks impacting on the achievement of our principle objectives will be identified and actions taken to avoid or mitigate their impact. Systems are in place to continually review and improve the governance and internal control environment with plans in place to address improvement areas. Martin Rooney Peter Hessett Laurence Slavin Leader of the Council Chief Executive Chief Officer – Resources Date: Date: Date: Page 52
Page 53
Page 24 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Remuneration Report Introduction The Council is required under statute to provide information on the remuneration of each senior elected member and senior officer and any other officer not otherwise included whose remuneration is over £0.150m per annum. All information disclosed in the tables 1-8 of the Remuneration Report is subject to audit. The other sections are reviewed by external audit to ensure that they are consistent with the Financial Statements. Remuneration - Councillors The remuneration of Councillors is regulated by the Local Governance (Scotland) Act 2004 (Remuneration) Amendment Regulations 2023 (SSI No. 2023/21).). The Regulations provide for the grading of Councillors for the purposes of remuneration arrangements, as the Leader of the Council, the Civic Head (Provost), Senior Councillors and Councillors. The Leader of the Council and the Provost cannot be the same person for the purposes of payment of remuneration. A Senior Councillor is a Councillor who holds a significant position of responsibility in the Council’s political management structure. The regulations stipulate that in addition to the Leader of the Council and the Provost, West Dunbartonshire can appoint a maximum of ten Senior Councillors. The level of remuneration paid to the Leader of the Council, Provost and Senior Councillors is detailed in Table 1. The salary that is to be paid to the Leader of the Council is set out in the Regulations. For 2023/24 the salary for the Leader of West Dunbartonshire Council was £40,205. The Regulations also state that the maximum yearly amount that may be paid to the Provost (£30,154) is 75% of the total yearly amount payable to the Leader of the Council. The Regulations also state the remuneration that may be paid to Senior Councillors and the total number of Senior Councillors the Council may have. The maximum yearly amount that may be paid to a Senior Councillor (£30,154) is 75% of the total yearly amount payable to the Leader of the Council. For 2023/24 the total yearly amount payable by the Council for remuneration of all of its Senior Councillors shall not exceed £251,280. The Council is able to exercise local flexibility in the determination of the precise number of Senior Councillors and their salary within these maximum limits. Council policy is to pay Senior Councillors £25,128 (per the decision at Council on 18 May 2022 for 2022/2023 rate of 24,467 now increased in line with revised renumeration circular for 2023/24). The Regulations also permit the Council to pay contributions or other payments as required to the Local Government Pension Scheme in respect of those Councillors who elect to become Councillor members of the pension scheme. The pension entitlements for the year to 31 March 2024 are shown in Table 6 on page 29. The Scheme of Members Allowances which encompasses the salaries of all elected members including the Leader, Provost and Senior Councillors was agreed at a meeting of the full Council on 18 May 2022. The report to Council can be found at Appointment of Senior Officers and the Register of Members Allowances can be found at https://www.west-dunbarton.gov.uk/media/wauoue1u/register-of-allowances-2023-2024.pdf. Table 1: Remuneration of Senior Councillors The Council paid the following salaries, allowances and expenses to all Councillors (including the Senior Councillors above) during the year: Page 53
Page 54
Page 25 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 2022/23 Total Remuneration Senior Members Responsibility Salary, Fees & Taxable Expenses Total Remuneration £ £ £ £ 35,885 Martin Rooney Leader of Council 40,205 40,205 Convener of Recruitment & Individual Performance Management Committee Convener of Community Planning West Dunbartonshire Management Board 27,729 Douglas McAllister Provost 30,154 30,154 24,145 Karen Conaghan Leader of the Opposition 25,192 25,192 Convener of Audit & Performance Review Committee 21,803 Gurpreet Singh Johal Convener of Appeals Committee 25,192 25,292 Convener of Housing & Communities Committee 23,677 Daniel Lennie Convener of Corporate Services Committee 25,192 25,192 23,651 David McBride Convener of Infrastructure Regeneration & Economic Dev Committee 25,128 25,128 Convener of Joint Consultative Forum 21,803 Michelle McGinty Depute Leader 25,192 25,192 Convener of West Dunbartonshire Health & Social Care Partnership Board (IJB) 23,651 John Millar Depute Provost 25,128 25,128 Convener of Tendering Committee 23,651 Lawrence O'Neill Convener of Planning Committee 25,128 25,128 21,803 Clare Steel Convener of Educational Services Committee 25,192 25,192 21,803 June McKay Convenor of Licensing Committee 25,192 25,192 Year ended 31 March 2024 Note: The term Senior Councillor means a Leader of the Council, the Civic Head or a Senior Councillor, all as defined by regulation 2 of the Local Governance (Scotland) Act 2004 (Remuneration) Regulations 2007(3). Salaries, allowances and expenses in 2023/24 have only been included for Senior Councillors. Senior Councillors’ remuneration in the tables above does not include non-taxable expenses. The values in the table above relate to the actual payments made during 2023/24 which differ slightly from those stated on page 24 due to timing differences in regards to payroll. There is no compensation/loss of office payments within the period and there were no benefits or bonuses paid during the year. Councillors’ remuneration Councillors’ payments are made in accordance with the Local Governance (Scotland) Act 2004 (Remuneration) Regulations 2007 and The Local Government (Allowances and Expenses) (Scotland) Regulations 2007. The total amount of councillors’ remuneration paid by the Council during the year was: Table 2: Councillors Total Remuneration 2022/23 Members Allowance 2023/24 £ £ 500,319 Salaries 517,724 8,508 Expenses 8,125 508,827 Total Allowances 525,849 Page 54
Page 55
Page 26 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 The annual return of councillors’ salaries and expenses for 2023-24 is available for any member of the public to view at all Council libraries and public offices during normal working hours. It is also available on the Council’s website at: https://www.west-dunbarton.gov.uk/media/wauoue1u/register-of-allowances-2023-2024.pdf Remuneration - Senior Employees and senior Employees of Subsidiaries The salary of senior employees is set by reference to national arrangements. The Scottish Joint Negotiating Committee (SJNC) for Local Authority Services sets the salaries for the Chief Executives of Scottish local authorities. Industrial Relations Circular IR/23b sets the amount of salary for the Chief Officials of the Council for the period 1 April 2023 to 31 March 2024. The post of Chief Officer Health and Social Care Partnership is a joint post between the Council and NHS Greater Glasgow and Clyde. The post of Chief Officer Roads & Neighbourhood was a joint post between the Council and Inverclyde Council until 01 June 2023. Details of the post of Chief Officer HSCP are included in the remuneration report of the Integration Joint Board. The Council funds 50% of this post and NHS Greater Glasgow fund the remaining 50%. The only benefits received by employees are: salary; employer contributions to the pension fund; and where applicable, payment for election duties. There were no bonuses, compensation for loss of office or other benefits paid to senior employees during the year. The remuneration details for senior employees are noted in Table 3. Table 3: Senior Officers Remuneration Total Remuneration 2022/23 Name Position at 31 March 2024 Salary, Fees & Allowances 2023/24 Taxable Expenses Total Remuneration 2023/24 £ £ £ £ 127,311 Peter Hessett Chief Executive 144,584 144,584 92,861 Lesley James Head of Children’s Healthcare & Criminal Justice - Chief Social Work Officer 99,581 99,581 101,506 Laura Mason Chief Officer - Education, Learning & Attainment 107,647 107,647 98,804 Laurence Slavin Chief Officer - Resources - S95 Officer 108,197 108,197 85,049 (FYE 97,458) Alan Douglas Chief Officer - Regulatory & Regeneration 105,887 105,887 101,210 Victoria Rogers Chief Officer - People & Technology 108,216 108,216 49,461 Gail MacFarlane Chief Officer - Roads & Neighbourhood ( Shared post with Inverclyde until 1 june 2023, then 100% WDC) 95,932 (FYE 105,487) 95,932 115,158 Angela Wilson Chief Officer - Supply, Distribution & Property (until 3rd September 2023) 49,302 49,302 101,210 Peter Barry Chief Officer - Housing & Employability 108,216 108,216 98,826 Amanda Graham Chief Officer - Citizen, Culture & Facilities 108,197 108,197 81,464 John Anderson General Manager of West Dunbartonshire Leisure 86,716 86,716 Remuneration of Senior Employees Remuneration of Senior Employees of Subsidairies Remuneration of Employees receiving more than £50,000 Council employees receiving more than £50,000 remuneration for the year were paid the following amounts. In accordance with the disclosure requirement of the Regulations, the information in Table 4 shows the number of employees in bands of £5,000. This information includes the senior employees who are subject to the fuller disclosure requirements in the tables above. Page 55
Page 56
Page 27 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Table 4: Remuneration of Officers receiving more than £50,000 2022/23 2023/24 Number of Officers Number of Officers 91 £50,000 - £54,999 166 106 £55,000 - £59,999 121 34 £60,000 - £64,999 56 32 £65,000 - £69,999 42 42 £70,000 - £74,999 29 10 £75,000 - £79,999 35 1 £80,000 - £84,999 9 2 £85,000 - £89,999 2 6 £90,000 - £94,999 2 2 £95,000 - £99,999 6 5 £100,000 - £104,999 0 0 £105,000 - £109,999 7 0 £110,000 - £114,999 0 1 £115,000 - £119,999 0 2 £120,000 - £124,999 0 0 £130,000 - £134,999 1 0 £140,000 - £144,999 1 334 Total 477 Range Pension Benefits Pension benefits for Councillors and most local government employees are provided through the Local Government Pension Scheme (LGPS). Councillors’ pension benefits are based on career average pay. The Councillor’s pay for each year or part year ending 31 March (other than the pay in the final year commencing 1 April) is increased by the increase in the cost of living, as measured by the appropriate index (or indices) between the end of that year and the last day of the month in which their membership of the scheme ends. The total of the revalued pay is then divided by the period of membership to calculate the career average pay. This is the value used to calculate the pension benefits. The pension entitlements for the year to 31 March 2024 are shown in Table 5 on page 29. The table details the pension entitlement and contributions made by the Council in respect of all senior Councillors and senior officers of the Council who have opted to join the LGPS. For local government employees, the LGPS 2015 is a career average pension scheme. This means that pension benefits from 01/04/2015 are based on pensionable pay with inflation added. Pension is accrued at a rate of 1/49 of pensionable pay for each scheme year. Pension benefits can be accessed from age 55 but are reduced prior to 60th birthday. Pension benefits accrued before 1 April 2015 are protected and are based on final pay on retiring. Pension benefits for teachers are provided through Scottish Teachers Superannuation Scheme (STSS). The STSS is a contributory scheme administered by the Scottish Public Pension Agency (SPPA). From 1 April 2015 the scheme is a career average pension scheme. Pension benefits are increased in line with inflation. Pension is accrued at 1/57 of pensionable earnings each year. Pension benefits can be accessed earlier than the normal state pension age but will be reduced if taken earlier than the normal pension age (state pension age). From 1 April 2009, a five tier contribution system was introduced with contributions from scheme members being based on how much pay falls into each tier. This is designed to give more equality between the cost and benefits of scheme membership. Table 5 provides information on these tiered contribution rates. Page 56
Page 57
Page 28 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Table 5: Pension Contribution Rates Contribution rate 2022/23 Contribution rate 2023/24 The tiers and members contribution rates for 2023/24 (2022/23) whole time pay: Local Government employees 5.50% On earnings up to and including £25,300 (£23,000) 5.50% 7.25% On earnings above £25,301 (£23,001) and up to £31,000 (£28,100) 7.25% 8.50% On earnings above £31,001(£28,101) and up to £42,500 (£38,600) 8.50% 9.50% On earnings above £42,501 (£38,601) and up to £56,600 (£51,400) 9.50% 12.00% On earnings above £56,601 (£51,401) 12.00% The tiers and members contribution rates for 2023/14 (2022/23) actual pay: Teachers 7.20% On earnings up to and including £29,186 (£28,309) 7.20% 8.70% On earnings above £29,186 (£28,309) and up to £39,289 (£38,108) 8.70% 9.70% On earnings above £39,289 (£38,108) and up to £46,586 (£45,186) 9.70% 10.40% On earnings above £46,586 (£45,186) and up to £61,740 (£59,884) 10.40% 11.50% On earnings above £61,740 (£59,884) and up to £84,190 (£81,659) 11.50% 11.90% On earnings above £84,190 (£81,659) 11.90% If a person works part-time their contribution rate is worked out on the whole-time pay rate for the job, with actual contributions paid on actual pay earned. There is no automatic entitlement to a lump sum. Members may opt to give up (commute) pension for lump sum up to the limit set by the Finance Act 2004. The accrual rate guarantees a pension based on 1/49th of pay from 1 April 2015. Prior to this the accrual rate guarantees a pension based on 1/60th of final pensionable salary and years of pensionable service. Prior to 2009 the accrual rate guaranteed a pension based on 1/80th and a lump sum based on 3/80th of final pensionable salary and years of pensionable service. The value of the accrued benefits has been calculated on the basis of the age at which the person will first become entitled to receive a pension on retirement without reduction on account of its payment at that age; without exercising any option to commute pension entitlement into a lump sum; and without any adjustment for the effects of future inflation. You can retire and receive your benefits in full from your normal pension age. The normal pension age is 65 for any benefits built up before 1 April 2015. For pension build up from 1 April 2015, the Normal Pension Age is not fixed at age 65 but, instead, is the same as the State Pension Age (but with a minimum of age 65). The value of benefits in the table below has been provided by the Strathclyde Pension Fund Office and is calculated on the basis of the age at which the person will first become entitled to a full pension on retirement without reduction on account of its payment at that date: without exercising any option to commute pension entitlement into a lump sum: and without any adjustment for the effects of future inflation. The pension figures shown relate to the benefits that the person has accrued as a consequence of their total Local Government service, and not just their current appointment. The pension entitlements for the year to 31 March 2024 together with the contribution made by the Council to each person’s pension during the year is shown in Table 6 for Senior Councillors and and Table 7 for Senior Officers. The tables contain information for those persons who were Senior Officers or Senior Councillors in 2023/24. Page 57
Page 58
Page 29 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Table 6: Pension Benefits for Senior Councillors Name Position at 31/03/24 For year to 31 March 2024 For year to 31 March 2023 As at 31 March 2024 Difference from 31 March 2023 Senior Councillors £ £ £ £ Martin Rooney Leader of Council 7,760 6,926 13,613 2,429 Convener of Recruitment & Individual Performance Management Committee Convener of Community Planning West Dunbartonshire Management Board Douglas McAllister Provost 5,820 5,352 3,427 1,031 Karen Conaghan Leader of the Opposition 4,862 4,647 3,827 1,037 Convener of Audit & Performance Review Committee Gurpreet Singh Johal Convener of Appeals Committee 4,862 4,233 965 514 Convener of Housing & Communities Committee Daniel Lennie Convener of Corporate Services Committee 4,862 4,564 3,270 954 David McBride Convener of Infrastructure Regeneration & Economic Dev Committee 4,850 4,565 10,301 1,624 Convener of Joint Consultative Forum Michelle McGinty Depute Leader 4,850 4,565 3,229 910 Convener of West Dunbartonshire Health & Social Care Partnership Board (IJB) John Millar Depute Provost 4,850 4,565 3,229 910 Convener of Tendering Committee Lawrence O'Neill Convener of Licensing Committee 4,850 4,565 4,681 872 Convener of Planning Committee Clare Steel Convener of Educational Services Committee 4,862 4,233 965 514 June McKay Convener of Licensing Board 453 4,489 4,636 514 In-year pension contributions Accrued pension benefits Table 7 Pension Benefits for Senior Officers Name Position at 31/03/23 For year to 31 March 2024 For year to 31 March 2023 As at 31 March 2024 Difference from 31 March 2023 £ £ £ £ Peter Hessett Chief Executive 27,905 24,171 149,939 16,545 Lesley James Head of Children’s Healthcare & Criminal Justice - Chief Social Work Officer 19,219 17,782 85,520 49,117 Laura Mason Chief Officer - Education, Learning & Attainment 20,776 19,591 163,257 13,828 Laurence Slavin Chief Officer - Resources - S95 Officer 20,882 19,051 46,446 44,338 Alan Douglas Chief Officer - Regulatory & Regeneration 20,436 16,434 122,439 10,588 Gail MacFarlane Chief Officer - Roads & Neighbourhood 16,945 - - - Victoria Rogers Chief Officer - People & Technology 20,886 19,542 87,523 9,284 Angela Wilson Chief Officer-Supply,Distrubtion & Property (until 3rd September 2023) 9,494 22,157 185,289 20,689 Peter Barry Chief Officer - Housing & Employability 20,886 19,542 73,569 8,415 Amanda Graham Chief Officer - Citizen, Culture & Facilities 20,882 19,049 15,871 3,549 Senior Employees of Subsidiaries John Anderson General Manager of West Dunbartonshire Leisure 16,736 15,694 70,294 6,226 In-year pension contributions Accrued pension benefits Senior Employees Page 58
Page 59
Page 30 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Exit Packages The number of exit packages with cost per band for compulsory and other redundancies are detailed in table 8 below. The Council only agrees exit packages where they are consistent with wider workforce planning and service delivery objectives; and where the savings accruing from an individual ceasing employment with the Council exceed the costs of the exit package within an acceptable period. For the purposes of this note Exit Packages include: • Redundancy payment; • Strain on the fund cost (the amount which the Council is required to pay to the pension fund because the employee has retired before the assumed retirement age); • Added Years Lump Sum (the amount which the Council pays to the individual in a one-off lump sum, according to the compensatory added years awarded – maximum three years). Table 8: Exit Packages Departures Total Cost (£) Departures Total Cost (£) 3 37,170 £0 - £20,000 40 442,186 0 0 £20,001-£40,000 8 205,908 1 43,000 £40,001-£60,000 5 236,548 0 0 £60,001-£80,000 5 350,362 1 82,995 £80,001-£100,000 4 354,000 1 116,107 £100,001 - £150,000 3 311,994 6 279,272 Total 65 1,900,998 2023-242022-23 Banding Termination Benefits of Employees Termination benefits are amounts payable as a result of a decision by the Council to terminate an officer’s employment before their normal retirement date or an officer’s decision to accept voluntary redundancy in exchange for those benefits. They are charged on an accruals basis to the appropriate service line in the CIES at the earlier of when the Council can no longer withdraw the offer of those benefits or when the Council recognises the costs for a restructuring. The Council terminated the contracts of a number of employees in 2023-24. The above table includes £0.060 million liabilities relating to these releases (2022-23: nil). Martin Rooney Peter Hessett Leader of the Council Chief Executive Date: 28 June 2024 Date: 28 June 2024 Page 59
Page 60
Page 31 Remuneration Report West Dunbartonshire Council Annual Accounts 2023-24 Trade Union Facility Time (Unaudited) Facility time generates benefits for employees, managers and the wider community from effective joint working between union representatives and employers. Details of the facility time within West Dunbartonshire Council during the year to 31 March 2023 is shown in Table 9 below. Further detail can be found at: https://www.west-dunbarton.gov.uk/council/performance-and-spending/trade-union-facility-time-reports/ Table 9: Trade Union Facility Time Number of Employees FTE employee Number Number of Employees FTE employee Number 32 27 63 54 Percentage Number of Employees Percentage Number of Employees Less < 1% 26 Less < 1% 23 1-50% 5 1-50% 37 51%-99% 2 51%-99% 2 100% 0 100% 1 Education Function Employee All Other Function Employee Percentage of Time Spent on Percentage of Time Spent on Facility Total cost of facility time Total cost of facility time £72,721 £100,645 Total pay bill Total pay bill £66,407,544 £91,234,484 4.21% 12.10% Percentage of Pay Bill Spent on Percentage of Pay Bill Spent on facility 11.000% 0.110% Paid TU Activities Paid TU Activities Page 60
Page 61
Page 32 Comprehensive Income and Expenditure Statement West Dunbartonshire Council Annual Accounts 2023-24 Comprehensive Income and Expenditure Statement This statement shows the accounting cost in year, of providing services in accordance with relevant International Financial Reporting Standards, rather than the amount to be funded from taxation. The Council raises taxation to cover expenditure in accordance with regulations; this may be different from the accounting cost. The taxation position is shown in the Movement in Reserves Statement and the Expenditure and Funding Analysis. 2022/23 2022/23 2022/23 2023/24 2023/24 2023/24 Gross Gross Net Gross Gross Net Expenditure Income Expenditure Expenditure Income Expenditure £'000 £'000 £'000 Note £'000 £'000 £'000 Service 45,147 (40,398) 4,749 Resources 43,286 (40,116) 3,170 10,586 (2,169) 8,417 Regulatory and Regeneration 9,848 (2,227) 7,621 12,999 (189) 12,810 People & Technology 12,328 (196) 12,132 19,317 (1,426) 17,891 Citizens, Culture and Facilities 15,176 (698) 14,478 140,073 (21,810) 118,263 Education, Learning and Attainment 149,724 (21,487) 128,237 39,262 (6,722) 32,540 Roads and Neighbourhood 31,058 (3,157) 27,901 39,155 (33,011) 6,144 Housing and Employability 12,646 (8,004) 4,642 10,641 (8,964) 1,677 Miscellaneous Services (1,675) (441) (2,116) 214,678 (122,556) 92,122 Health and Social Care Partnership 211,515 (124,699) 86,816 2,215 0 2,215 Requisitions 2,401 0 2,401 43,183 (45,927) (2,744) Housing Revenue Account 43,703 (49,402) (5,699) 577,256 (283,172) 294,084 Net Cost of Service 530,010 (250,427) 279,583 (365) Other Operating Expenditure and (income) - (Gain) / loss on Disposal of non-current assets 306 25,445 Financing and Investment (Income) and Expenditure 8 30,683 (267,663) Taxation and Non-specific Grant Income 9 (298,070) 51,501 (Surplus)/Deficit on Provision of Services 12,502 (45,031) (Surplus)/Deficit arising from revaluation of non-current assets 11 (12,936) 0 (Surplus)/Deficit on revaluation of assets held at fair value through other comprehensive income 0 (67,135) Remeasurement of the net defined benefit pension liability 22 32,951 (112,166) Other Comprehensive (Income) and Expenditure 20,015 (60,665) Total Comprehensive (Income) and Expenditure 32,517 Page 61
Page 62
Page 33 Balance Sheet West Dunbartonshire Council Annual Accounts 2023-24 Balance Sheet The balance sheet shows the value, as at the balance sheet date, of the assets and liabilities recognised by the Council. The net assets of the Council (assets less liabilities) are matched by the reserves held by the Council. Reserves are reported in two categories: 1. Usable reserves - reserves that the Council may use to provide services, subject to the need to maintain a prudent level of reserves and any statutory limitations on their use (for example the capital receipts reserve that may only be used to fund capital expenditure or repay debt). 2. Unusable reserves - reserves that the Council is not able to use to provide services. This category of reserves includes reserves that hold unrealised gains and losses (for example the revaluation reserve), where amounts would only become available to provide services if the assets are sold; and reserves that hold timing differences shown in the MIRS line ‘adjustments between accounting basis and funding basis under regulations. 31 March 2023 31 March 2024 £'000 Note £'000 1,122,069 Property, Plant and Equipment 11 1,179,145 722 Intangible Assets 12 942 20 Long Term Debtors 1774 1,518 Heritage Assets 13 1524 472 Long Term Investments 483 1,124,801 Long Term Assets 1,183,868 5,417 Asset Held for Sale 14 2,743 1,337 Inventories 1,298 62,110 Short Term Debtors 17 73,896 2,551 Cash and Cash Equivalents (net) 18 24,397 71,415 Current Assets 102,334 (75,642) Short Term Creditors 19 (64,367) (3,428) Provisions 20 (2,237) (3,129) PPP 15 (2,890) (319,475) Short Term Borrowing 21 (267,598) (401,674) Current Liabilities (337,092) (87,498) PPP and Finance Lease Liabilities 15 (84,559) (300,471) Long Term Borrowing 21 (460,953) (15,390) Net Pensions Liability 22 (43,012) (3,397) Capital Grants Receipts in Advance (5,317) (406,756) Long Term Liabilities (593,841) 387,786 Net Assets 355,269 Represented by: (32,273) Usable Reserves MIR/6 (14,909) (355,513) Unusable Reserves MIR/6 (340,360) (387,786) Total Reserves (355,269) Page 62
Page 63
Page 34 Movement in Reserves Statement West Dunbartonshire Council Annual Accounts 2023-24 Movement in Reserves Statement This statement shows the movement in the year on the different reserves held by the Council, analysed into ‘usable reserves’ (i.e. those that can be applied to fund expenditure or reduce local taxation) and other reserves. The surplus or (deficit) on the provision of services line in the Comprehensive Income and Expenditure Statement (page 32) shows the true economic cost of providing the Council’s services. These are different from the statutory amounts required to be charged to the General Fund balance and the Housing Revenue Account for council tax setting and dwelling rent setting purposes. The net increase/decrease before transfer to other statutory reserves line shows the statutory general fund balance and housing revenue account balance before any discretionary transfers to or from earmarked reserves undertaken by the Council. General Fund balance HRA Balance Capital Grants and Receipts Unapplied Account Capital Reserve Capital Fund Other Reserves Total Usable Reserves Unusable Reserves Total Reserves £000 £000 £000 £000 £000 £000 £000 £000 £000 2023/24 Balance at 31 March 2023 Carried Forward (29,303) (2,635) (72) 0 0 (262) (32,272) (355,513) (387,785) Movement in Reserve 2023/34 Total Comprehensive Expenditure and Income 16,422 (3,920) 0 0 0 0 12,502 20,015 32,517 Adjustments between accounting basis and funding basis under regulations (Note 6) 2,357 5,586 (3,082) 0 0 0 4,861 (4,861) 0 Net (Increase)/Decrease before Transfers to Other Statutory Reserves 18,779 1,666 (3,082) 0 0 0 17,363 15,154 32,517 Transfers to/from other statutory reserves (3,009) 2,941 68 0 Closing Balance at 31 March 2024 (13,533) (969) (213) 0 0 (194) (14,909) (340,360) (355,269) 2022/23 Balance at 31 March 2022 Carried Forward (15,020) (2,734) (42) (758) 0 (468) (19,052) (308,070) (327,122) Adjustment to the statutory repayment of debt for service concession arrangements - permitted flexability* (29,734) (29,734) 29,734 0 Opening Balance at 1 April 2022 (44,754) (2,734) (72) (758) 0 (468) (48,786) (278,336) (327,122) Movement in Reserve 2022/23 Total Comprehensive Expenditure and Income 51,241 262 0 0 0 0 51,503 (112,166) (60,663) Adjustments between accounting basis and funding basis under regulations (Note 6) (33,855) (432) 0 0 (702) 0 (34,989) 34,989 0 Net (Increase)/Decrease before Transfers to Other Statutory Reserves 17,386 (170) 0 0 (702) 0 16,514 (77,177) (60,663) Transfers to/from other statutory reserves (1,935) 269 0 758 702 206 0 0 0 Increase/Decrease in Year 15,451 99 0 758 0 206 16,514 (77,177) (60,663) Closing Balance at 31 March 2022 (29,303) (2,635) (72) 0 0 (262) (32,272) (355,513) (387,785) Usable Reserves Page 63
Page 64
Page 35 Cashflow Statement West Dunbartonshire Council Annual Accounts 2023-24 Cash Flow Statement The cash flow statement shows the changes in cash and cash equivalents of the Council during the reporting period. The statement shows how the Council generates and uses cash and cash equivalents by classifying cash flows as operating, investing and financing activities. The amount of net cash flows arising from operating activities is a key indicator of the extent to which the operations of the Council are funded by way of taxation and grant income or from the recipients of services provided by the Council. Investing activities represent the extent to which cash outflows have been made for resources which are intended to contribute to the Council’s future service delivery. Cash flows arising from financing activities are useful in predicting claims on future cash flows by providers of capital (i.e. borrowing) to the Council. 2022/23 2023/24 2023/24 £'000 £'000 £'000 Operating Activities 51,501 Net deficit on the provision of services 12,501 (37,954) Depreciation, amortisation and impairment (42,138) 365 Net gain/loss on fixed assets (306) (26,835) Movement in pension liabilities 5,329 58 Movement in inventories (39) (5,459) Movement in debtors 13,550 3,930 Movement in creditors and provisions 12,467 98 Other non-cash movements 0 (65,797) Adjustments to net deficit on the provision of services for non-cash movements (11,137) (6,569) Financing movements (11,170) 17,263 Investing movements 35,796 10,694 Adjustments for items included in the net surplus/deficit on the provision of services that are investing and financing activities 24,626 (3,602) Net cash (inflow)/outflow from Operating Activities 25,990 62,099 Purchase of property, plant and equipment and intangible assets 89,723 (702) Proceeds from sale of property, plant and equipment and intangible assets 3,388 411 Movement on long term investments 11 (18,568) Other receipts from investing activities (34,958) 43,240 Net cash (inflow)/outflow from investing activities 58,164 (313,896) Cash receipts of short-term and long-term borrowing (518,000) 2,339 Repayment of PPP liabilities 2,672 271,509 Repayment of short-term and long-term borrowing 409,328 (40,048) Financing Activities (106,000) (410) Net cash (inflow)/outflow from financing activities (21,846) 2,140 Cash and cash equivalents at the beginning of the reporting period 2,551 2,550 Cash and cash equivalents at the end of the reporting period 24,397 (410) Movement – (Increase)/ Decrease in Cash (21,846) Reconciliation of Liabilities arising from Financing Activities 31 March 2023 Financing Cash flows Non-cash adj to FIAA 31 March 2024 £'000 £'000 £'000 £'000 Long term Borrowing 300,471 160,481 0 460,952 Short term Borrowing 319,980 (52,958) 575 267,597 PPP Liability 90,122 (2,672) 0 87,450 710,573 104,851 575 815,999 Page 64
Page 65
Page 36 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 1 - Accounting Policies 1.1 General Principles The Financial Statements summarises the Council’s transactions for the 2023/24 financial year and its position at the year end of 31 March 2024. The Council is required to prepare an Annual Statement of Accounts by the Local Authority Accounts (Scotland) Regulations 2014. Section 12 of the Local Government in Scotland Act 2003 requires they be prepared in accordance with proper accounting practices. These practices primarily comprise the Code of Practice on Local Authority Accounting in the United Kingdom 2023/24 (“the code”) supported by International Financial Reporting Standards (IFRS). The accounting convention adopted in the Financial Statements is principally historic cost, modified by the revaluation of certain categories of non-current assets and financial instruments. The convention also adopts the assumption that the Council will continue as a going concern for the foreseeable future. 1.2 Accruals of Income and Expenditure Activity is accounted for in the year that it takes place, not simply when payment is made or received. In particular: • Revenue from contracts with service recipients, whether for services or the provision of goods, is recognised when (or as) the goods or services are transferred to the service recipient in accordance with the performance obligations in the contract. • expenses in relation to services received are recorded as expenditure when the services are received, rather than when payment is made. • supplies are recorded as expenditure when they are consumed. Where there is a gap between the date supplies are received and their consumption their value is carried as inventories on the Balance Sheet. • interest payable on borrowings and receivable on investments is accounted for respectively as expenditure and income on the basis of the effective interest rate for the relevant financial instrument, rather than on cash flows fixed or determined by the contract. • when income and expenditure have been recognised but cash has not been received or paid, a debtor or creditor for the relevant amount is recorded in the Balance Sheet. Where there is evidence that debts are unlikely to be settled, the balance of debtors is written down and charged to revenue for the income that might not be collected 1.3 Changes in Accounting Policies, Estimates and Errors Changes in accounting policies are only made when required by proper accounting practices or the change provides more reliable or relevant information about the effect of transactions, events or conditions on the Council’s financial position or performance. Where a change is made, it is applied retrospectively by adjusting opening balances and comparative figures, as if the new policy has always been applied. Changes in accounting estimates are accounted for prospectively, i.e. in the current and future years only. Material errors discovered in prior period figures are corrected retrospectively by amending opening balances and comparative figures. 1.4 Charges to Revenue for Property, Plant and Equipment Council Services are debited/credited with the following amounts to record the cost of using or holding fixed assets during the year: • depreciation, attributable to the assets used by the relevant service or trading account. • revaluation and impairment losses, where there is no accumulated gain in the Revaluation Reserve • revaluation gains, where these reverse an impairment loss previously charged to the service or trading account. • amortisation of intangible fixed assets. The Council is not required to raise council tax to cover depreciation, revaluation gains or losses or impairment losses. However, it is required to make annual provision from revenue towards the reduction in its overall borrowing requirement. Depreciation, revaluation and impairment losses and amortisations are replaced by the revenue provision in the General Page 65
Page 66
Page 37 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Fund by an adjustment within the Capital Adjustment Account in the Movement in Reserves Statement for the difference between the two. 1.5 Intangible assets Internally generated assets are capitalised where it is demonstrable that the project is technically feasible and is intended to be completed (with adequate resources being available) and the Council will be able to generate future economic benefits or deliver service potential by being able to sell or use the asset. Expenditure is capitalised where it can be measured reliably as attributable to the asset and restricted to that incurred during the development phase (research expenditure is not capitalised). Expenditure on the development of websites is not capitalised if the website is solely or primarily intended to promote or advertise the Council’s goods or services. Assets are measured originally at cost and only revalued where the fair value of the asset can be determined by reference to an active market. Where an intangible asset has a finite useful life, the depreciable amount of the asset is charged over its useful life to the relevant service line(s) in the Comprehensive Income and Expenditure Statement. An asset is tested for impairment whenever there is an indication that the asset might be impaired – any losses recognised are posted to the relevant service line(s) in the Comprehensive Income and Expenditure Statement. Any gain or loss arising on the disposal or abandonment of an intangible asset is recognised in the Surplus or Deficit on the Provision of Services when the asset is derecognised. 1.6 Property, Plant and Equipment Assets that have physical substance and are held for the supply of goods and services, either directly or indirectly, and that are expected to be used during more than one financial year are classified as Property, Plant and Equipment. 1.6.1 Recognition Expenditure on the acquisition, creation or enhancement of property, plant and equipment is capitalised on an accruals basis, provided that it is probable that the future economic benefits or service potential associated with the item will flow to the Council and the cost of the asset can be measured reliably. Expenditure that maintains, but does not add to the asset’s potential to deliver future economic benefits or service potential, is charged as an expense when it is incurred. 1.6.2 Measurement Assets are initially measured at cost, comprising of: • purchase price (the Council has no de minimis level set) • any costs associated with bringing the asset to the location or condition necessary for it to be capable of operating in the manner intended by management • the initial estimate of costs for dismantling and removing the item and restoring the site on which it is located to its original state. The Council does not capitalise borrowing costs incurred during construction of an asset. The cost of assets acquired other than by purchase is deemed to be its fair value unless the acquisition will not increase the cash flows of the Council. In the latter case, the cost of the acquisition is the carrying amount of the asset given up by the Council. Donated assets are measured initially at fair value. The difference between fair value and any consideration paid is credited to the Taxation and Non-Specific Grant Income line of the Comprehensive Income and Expenditure Statement, unless the donation has been made conditionally. Until conditions are satisfied, the gain is held in the Donated Assets Accounts. Where gains are credited to the Comprehensive Income and Expenditure Statement, they are reversed out of the General Fund Balance to the Capital Adjustment Account in the Movement in Reserves Statement. Page 66
Page 67
Page 38 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Assets are then carried in the Balance Sheet using the following measurement bases: • Infrastructure, community assets & assets under construction – depreciated historic cost. • Surplus assets – current value as estimated at highest and best use from an open market perspective (fair value). • All other assets – current value, determined as the amount that would be paid for the asset in its existing use (existing use value). Where there is no market-based evidence of fair value because of the specialist nature of an asset, depreciated replacement cost (DRC) is used as an estimate of current value. For non-property assets that have short useful lives or low values, depreciated historical cost basis is used as a proxy for current value. 1.6.3 Revaluation Assets included in the Balance Sheet at current value are re-valued regularly to ensure their carrying amount is not materially different from the current value at the year end, as a minimum every five years. The programme of revaluation for 2023/24 and planned each of the following four years is as follows: 2023/24 Schools/school houses/ social work homes/adult training centres/ community education centres/early education centres 2024/25 Halls/ Public conveniences/ libraries/ outdoor centres/ golf course/ pavilions/ sports centres/ swimming pools/ travellers site/ car parks/HRA housing stock 2025/26 Any properties not previously re-valued / general re-appraisal 2026/27 Offices / depots/ cemeteries/ crematorium lodges. 2027/28 All Council non-operational properties In addition to assets being revalued within the programme of revaluation assets will be revalued in any given year if any of following three criteria is met: • When the historic cost of the building is less than £2m but the combined value of the building historic cost and any enhancement expenditure incurred since the last revaluation date exceeds £2m then the asset will be revalued and (if new valuations exceeds £2m) componentised if necessary. • Where the historic cost of the building exceeds £2m (and is therefore already componentised) and where any enhancement expenditure incurred since the last revaluation date exceeds 25% of the historic cost of the building then the asset will be revalued. • Where the combined value of building historic cost and any enhancement expenditure incurred since the last revaluation date spend is less than £2m but the value of the enhancement expenditure exceeds 50% of building historic cost and in value is more than £0.500m then the asset will be revalued. Valuations in 2023/24 have been carried out by an external valuer. Valuations of land and buildings are carried out in accordance with the methodologies and bases for estimation set out in the professional standards of the Royal Institution of Chartered Surveyors. Increases in valuations are matched by credits to the Revaluation Reserve to recognise unrealised gains. Exceptionally, gains might be credited to the Surplus or Deficit on the Provision of Services where they arise from the reversal of an impairment loss previously charged to a service. Where decreases in value are identified, the revaluation loss is accounted by: • where a balance of revaluation gains for the asset is held in the Revaluation Reserve – the carrying amount of the asset is written down against that balance (up to the amount of the accumulated gains); or • where no balance of revaluation gains for the asset is held in the Revaluation Reserve – the carrying amount is written down against the relevant service line(s) in the Comprehensive Income and Expenditure Statement. Page 67
Page 68
Page 39 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The Revaluation Reserve contains revaluation gains recognised since 1 April 2007, the date of its formal implementation. Gains arising before that date have been consolidated into the Capital Adjustment Account. 1.6.4 Impairment Assets are assessed at each year-end as to whether there is any indication that an asset may be impaired. Where indications exist and any possible differences are estimated to be material, the recoverable amount of the asset is estimated and, where this is less than the carrying amount of the asset, an impairment loss is recognised for the shortfall. Where impairment losses are identified, they are accounted for by: • where a balance of revaluation gains for the asset is held in the Revaluation Reserve – the carrying amount of the asset is written down against that balance (up to the amount of the accumulated gains); or • where no balance of revaluation gains for the asset is held in the Revaluation Reserve – the carrying amount is written down against the relevant service line(s) in the Comprehensive Income and Expenditure Statement. Where an impairment loss is reversed subsequently, the reversal is credited to the relevant service line(s) in the Comprehensive Income and Expenditure Statement, up to the amount of the original loss, adjusted for depreciation that would have been charged if the loss had not been recognised. 1.6.5 Disposals When it becomes apparent that the carrying amount of an asset will be recovered principally through a sale transaction rather than through its continuing use, it is re-classed as an Asset Held for Sale. The asset is re-valued immediately before re-classification and then carried at the lower of this amount and the fair value less sale costs. Where there is a subsequent decrease to fair value less costs to sell, the loss is posted to the Other Operating Expenditure line in the Comprehensive Income and Expenditure Statement. Gains in fair value are recognised only up to the amount of any previous losses recognised in the Surplus or Deficit on the Provision of Services. Depreciation is not charged on Assets Held for Sale. Assets that are to be abandoned or scrapped are not reclassified as Assets Held for Sale. When an asset is disposed of or decommissioned, the carrying amount of the asset in the Balance Sheet (whether Property, Plant and Equipment or Assets Held for Sale) is written off to the Other Operating Expenditure line in the Comprehensive Income and Expenditure Statement as part of the gain or loss on disposal. Receipts from disposals (if any) are credited to the same line in the Comprehensive Income and Expenditure Statement also as part of the gain or loss on disposal (i.e. netted off against the carrying value of the asset at the time of disposal). Any revaluation gains accumulated for the asset in the Revaluation Reserve are transferred to the Capital Adjustment Account. Amounts received for a disposal are categorised as capital receipts. The balance of receipts is credited to either the Capital Receipts Reserve and can only be used for capital investment, set aside to reduce the Council’s underlying borrowing requirement, to fund the principal element of loan charges or to fund premium charges. Receipts are appropriated to these reserves from the General Fund balance in the Movement in Reserves Statement. The written-off value of disposals is not a charge against council tax. It is appropriated to the Capital Adjustment Account from the General Fund balance in the Movement in Reserves Statement. 1.6.6 Depreciation Depreciation is provided on all property, plant and equipment over their useful economic lives, with an exception made for assets without a determinable finite useful life (i.e. non depreciating land and certain community assets) and assets that are not yet available for use (i.e. assets under construction). The useful lives of assets and depreciation method are as follows: Council Dwellings 10 – 80 years Straight line Other buildings 15 – 80 years Straight line Open spaces 10 – 120 years Straight line Infrastructure 15 – 120 years Straight line Vehicles, plant, equipment 5 – 20 years Straight line Intangibles 5 – 10 years Straight line Other 10 – 120 years Straight line * Including components such as structure, mechanical and electrical, etc. Page 68
Page 69
Page 40 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Where an item of property, plant and equipment assets has major components whose cost is significant in relation to the total cost of the item, the components are depreciated separately. Revaluation gains are also depreciated, with an amount equal to the difference between current depreciation charged on assets and the depreciation that would be chargeable based upon historic cost being transferred each year from the Revaluation Reserve to the Capital Adjustment Account. 1.6.7 Infrastructure Assets The CIPFA/LASAAC Code of Practice for Local Authority Accounting in the United Kingdom requires infrastructure assets to be measured using the historical cost measurement basis and carried at depreciated historical cost. Due to information deficits it is unclear as to whether when an assets component is replaced that the old component has been derecognised to avoid double counting. However, as parts of these assets are rarely replaced before the part has been fully consumed and should therefore be fully depreciated at the date of replacement, the carrying amount to be derecognised in respect of a replaced part of an infrastructure assets is a nil amount. The Scottish Government in recognising the challenge facing Council’s has agreed to permit temporary statutory overrides whilst a permanent solution is developed within the Code. As outlined in the Local Government Finance Circular 09/2022 the Council has adopted statutory overrides for the period 1 April 2021 to 31 March 2024 which permits the council not to report gross cost and accumulated depreciation for Infrastructure assets. 1.7 Assets Held for Sale These assets are measured at fair value, based on the amount at which the asset could be exchanged between knowledgeable parties at arm’s length, less costs to sell at the initial classification and at the end of each reporting date. Revaluation gains shall be recognised for any initial or subsequent increase in fair value less costs to sell but not in excess of the cumulative impairment loss or revaluation loss that have been recognised in the Surplus of Deficit on the Provision of Services. Impairment losses (or revaluation losses) will be recognised for any subsequent decrease to fair value less costs to sell following reclassification in the Surplus or Deficit on the Provision of Service even where there is a balance on the assets Revaluation Reserve. 1.8 Heritage Assets Heritage Assets are recognised and measured (including the treatment of revaluation gains and losses) in accordance with the Council’s accounting policies on property, plant and equipment. However, some of the measurement rules are relaxed in relation to heritage assets as detailed below. Type of Asset Valuation Method for Balance Sheet Purposes Ship models/ Silver and Commemorative wear The last formal valuations were by Bonhams, Sotheby’s and Phillips. Further formal valuations will be commissioned where it is considered that there could potentially be a material change in value and where the value of the asset is estimated to be in excess of £10,000. Works of art The last formal valuations were by Bonhams, Sotheby’s and Phillips. Where a lower and upper valuation has been provided the mid valuation has been used. Further formal valuations will be commissioned where it is considered that there could potentially be a material change in the value of the assets held. Civic Regalia The robes are not recognised on the balance sheet as they are considered to have no significant value. However the chains are reported in the balance sheet at insurance value. Sewing Machine Collection These collections are not recognised on the balance sheet as cost information is not readily available. Nearly all the items are believed to have an immaterial value. Listed Buildings and Scheduled Ancient Monuments These assets are not recognised on the balance sheet as it is considered that there is a lack of available, comparable market values to establish a ‘fair value’. It is unlikely that the Council Page 69
Page 70
Page 41 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Type of Asset Valuation Method for Balance Sheet Purposes would procure such assets but is more likely to refurbish or enhance existing structures. In this respect, the cost of those works will be capitalised at cost. Purchased assets are initially recognised at cost and donations are recognised at valuation where that value is estimated to be greater than the threshold of £10,000 as specified above. The carrying amounts are reviewed where there is evidence of impairment e.g. where an item has suffered physical deterioration or breakage or where doubts arise as to its authenticity. Any impairment is recognised and measured in accordance with the Council’s general policies on impairment. No depreciation shall be chargeable on any heritage asset, in view of the indeterminate life and residual value. The proceeds from any disposal of heritage assets are accounted for in accordance with the council’s general provisions relating to the disposal of property, plant and equipment. 1.9 Employee Benefits 1.9.1 Benefits payable during employment Short term employee benefits (i.e. fall due within 12 months of the year-end), such as wages and salaries, paid leave, paid sick leave, bonuses and non-monetary benefits for current employees are recognised as an expense in the year in which the employees render service to the Council. An accrual is made against the services in the Surplus or Deficit on the Provision of Service for the costs of holiday entitlement and other forms of leave earned by the employee but not taken before the year end and which employees can carry forward into the next financial year. Any accrual made is required under statute to be reversed out of the General Fund balance by a credit to the Statutory Mitigation Account in the Movement in Reserves Statement. 1.9.2 Termination Benefits Termination benefits are amounts payable as a result of a decision made by the Council to terminate an officer’s employment before the normal retirement date or an officer’s decision to accept a voluntary termination package in exchange for those benefits. Termination benefits do not provide the Council with future economic benefits and consequently they are recognised on an accrual basis immediately in the Surplus or Deficit on the Provision of Services line in the Comprehensive Income and Expenditure Account when the Council is demonstrably committed to provision of the termination benefits. Where termination benefits involve the enhancement of pensions, they are treated as pension costs for the purpose of the statutory transfer between the Pension Reserve and the General Fund of the amount by which the pension costs calculated in accordance with the Code are different from the contributions due under the pension scheme regulations. In the Movement in Reserves Statement appropriations are required to and from the Pension Reserve to remove notional debits and credits for termination benefits related to pensions enhancements and replace them with the cost of the cash paid, including any amounts due and not paid at the year end. 1.9.3 Post Employment Benefits Employees of the Council are members of two separate defined benefit pension schemes: • the Teachers’ Pension Scheme, administered by the Scottish Pensions Agency • the Local Government Pensions Scheme, administered by Glasgow City Council. Both schemes provide defined benefits to members (retirement lump sums and pensions), earned as employees working for the Council. However, the arrangements for the teachers’ scheme mean that liabilities for these benefits cannot ordinarily be identified specifically to the Council. The scheme is therefore accounted for as if it were a defined contribution scheme and no liability for future payments of benefits is recognised in the Balance Sheet. The Local Government Pension Scheme The Local Government Scheme is accounted for as a defined benefits scheme: Page 70
Page 71
Page 42 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 • The liabilities of the Strathclyde Pension Fund attributable to the Council are included in the Balance Sheet on an actuarial basis using the projected unit method - i.e. an assessment of the future payments that will be made in relation to retirement benefits earned to date by employees, based on assumptions about mortality rates, employee turnover rates, etc. and projections of projected earnings for current employees. • Liabilities are discounted to their value at current prices, using a discount rate of 4.75% (based on the indicative rate of return on high quality corporate bonds). • The assets of Strathclyde Pension Fund attributable to the Council are included in the Balance Sheet at their fair value: o quoted securities - current bid price o unquoted securities - professional estimate o unitised securities - current bid price o property - market value The change in the net pension liability is analysed into the following components: Service cost comprising: • Current service cost - the increase in liabilities as a result of years of service earned this year - allocated in the Comprehensive Income and Expenditure Statement to the services for which the employees worked. • Past service cost - the increase in liabilities as a result of a scheme amendment or curtailment whose effect relates to years of service earned in earlier years - debited to the Surplus or Deficit on the Provision of Services in the Comprehensive Income and Expenditure Statement as part of Non-Distributable Costs. • Gains/losses on settlements - the decrease in liabilities as a result of the Council entering into a transaction that eliminates all further legal or constructive obligation relating to the event, notwithstanding the financial guarantee (see Note 5) - credited to the Surplus on the Provision of Services in the Comprehensive Income & Expenditure Statement as part of Non Distributable Costs. • Net interest on the net defined benefit liability, i.e. net interest expenses for the council. The change during the period is the net defined benefit liability that arises from the passage of time charged to the Financing and Investment Income and Expenditure line of the Comprehensive Income and Expenditure Statement – this is calculated by applying the discount rate used to measure the defined benefit obligation at the beginning of the period to the net defined liability at the beginning of the period – taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. Remeasurements comprising: • The return on plan assets - excluding amounts included in net interest on the net defined benefit liability – charged to the Pension Reserve as Other Comprehensive Income and Expenditure • Actuarial gains and losses – changes in the net pensions liability that arise because events have not coincided with assumptions made at the last actuarial valuation or because the actuaries have updated their assumptions – charged to the Pensions Reserve as Other Comprehensive Income and Expenditure • Contributions paid to the Strathclyde Pension Fund – cash paid as employer’s contributions to the pension fund settlement of liabilities; not accounted for as an expense. In relation to retirement benefits, statutory provisions require the General Fund Balance to be charged with the amount payable by the Council to the pension fund or directly to pensioners in the year, not the amount calculated according to the relevant accounting standards. In the Movement in Reserves Statement, this means that there are transfers to and from the Pensions Reserve to remove the notional debits and credits for retirement benefits and replace them with debits for the cash paid to the pension fund and pensioners and any such amounts payable but unpaid at the year-end. A negative balance that may arise on the Pensions Reserve thereby measures the beneficial impact to the General Fund of being required to account for retirement benefits on the basis of cash flows rather than as benefits are earned by employees. 1.9.4 Pension Net-Asset Recognition Where the Council’s share of the Local Government Pension Scheme is an overall asset position, reflecting that its share of the Funds’ assets exceeds the present value of its liabilities to members, this is accounted for in line with the requirements of IAS 19 and IFRIC 14. Specifically, the asset recognised by the Council is limited to the extent to which Page 71
Page 72
Page 43 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 the Council can recover the benefit of the asset through refunds or reduced contributions. This is referred to as an “asset ceiling”. More information is provided in note 22 to the accounts 1.9.5 Discretionary Benefits The Council has restricted powers to make discretionary awards of retirement benefits in the event of early retirements. Any liabilities estimated to arise as a result of an award to any member of staff (including teachers) arising from the use of these discretionary powers are accrued in the year of the decision to make the award and accounted for using the same policies as are applied to the local government pension scheme. 1.10 Events after the Reporting Period Events after the reporting period are those events (both favourable and unfavourable) that occur between the end of the reporting period and the date when the Financial Statements are authorised for issue. Two types have been identified: • those that provide evidence of conditions that existed at the end of the reporting period – the Financial Statements are adjusted to reflect this. • those that are indicative of conditions that arose after the reporting period – the Financial Statements are not adjusted to reflect this. However, if the event is material, a disclosure is made within the notes of the nature and financial effect. 1.11 Exceptional Items When items of income and expenditure are material, their nature and amount is disclosed separately, either within the Comprehensive Income and Expenditure Statement or in the notes to the accounts, depending on how significant the items are to the understanding of the Council’s financial performance. 1.12 Financial Liabilities Financial liabilities are recognised on the Balance Sheet when the Council becomes party to the contractual provisions of a financial instrument and initially measured at fair value and carried at their amortised cost. Annual charges to the Financing and Investment Income and Expenditure line in the Comprehensive Income and Expenditure Statement for interest payable are based upon the carrying amount of the liability, multiplied by the effective rate of interest for the instrument. The effective interest rate is the rate that exactly discounts estimated future cash payments over the life of the instrument to the amount at which it was originally recognised. For most of the borrowing that the Council has this means that the amount presented in the Balance Sheet is the outstanding principal repayable (plus accrued interest). Interest charged to the Comprehensive Income and Expenditure Statement is the amount payable for the year according to the loan agreement. 1.13 Financial Assets Financial assets are classified using a classification and measurement approach that reflects the business model for holding the financial assets and their cash flow characteristics. There are three mail classes of financial assets measured at: • amortised cost • fair value through other comprehensive income • fair value through profit or loss The Council’s business model is to hold investments to collect contractual cash flows. Financial assets are all therefore classified as amortised cost. In previous years these assets, although still recorded as amortised costs, were classed as loans and receivables. Financial Assets Measured at Amortised Cost Financial assets measured at amortised cost are recognised on the Balance Sheet when the authority becomes party to the contractual provisions of a financial instrument and are initially measured at fair value. They are subsequently measured at their amortised cost. Annual credits to the Financing and (Investment) Income and Expenditure line in the CIES for interest receivable are based on the carrying amount of the asset multiplied by the effective rate of interest for Page 72
Page 73
Page 44 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 the instrument. For all financial assets held by the Council, this means that the amount presented in the Balance Sheet is the outstanding principal receivable (plus accrued interest) and interest credited to the CIES is the amount receivable for the year in the loan agreement. Expected Credit Loss Model The Council recognises expected credit losses on its financial assets held at amortised cost with the exception of deposits with Central Government and other Local Authorities. Only lifetime losses are recognised for trade receivables (debtors) held by the council. Financial Assets measured at Fair Value through profit or Loss Financial assets that are measured at fair value through profit or loss are recognised on the Balance Sheet when the Council becomes a party to the contractual provisions of a financial instrument and are initially measured and carried at fair value. Fair value gains and losses are recognised as they arrive in the Surplus or Deficit on the Provision of Services. The fair value measurements of the financial assets are based on the following techniques: • Instruments with quoted market prices – the market price • Other instruments with fixed and determinable payments – discounted cash flow analysis Inputs to the measurement techniques are categorised in accordance with the following three levels: • Level 1 inputs– quoted prices (unadjusted) in active markets for identical assets or liabilities that the authority can access at the measurement date. • Level 2 inputs – inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3 inputs – unobservable inputs for the asset or liability. Any gains and losses that arise on the derecognition of the asset are credited or debited to the Financing and Investment Income and Expenditure line in the Comprehensive Income and Expenditure Statement. 1.14 Government Grants and Contributions Government grants and other contributions are recognised as due by the Council when there is reasonable assurance that: • the Council will comply with the conditions attached to the payments • the grants or contributions will be received. Amounts recognised as due to the Council are not credited to the Comprehensive Income and Expenditure Account until conditions attached to the grant or contribution have been satisfied. Conditions are stipulations that specify that the future economic benefits or service potential embodied in the asset acquired using the grant or contribution are required to be consumed by the recipient as specified for future economic benefit or service potential must be returned to the transferor. Monies advanced as grants and contributions for which conditions have not been satisfied are carried in the Balance Sheet as creditors. When conditions are satisfied, the grant or contribution is credited to the relevant service line (attributable revenue grants/contributions) or Taxation and Non Specific Grant Income (non ringfenced revenue grants and all capital grants) in the Comprehensive Income and Expenditure Statement. Where capital grants are credited to the Comprehensive Income and Expenditure Statement, they are reversed out of the General Fund balance in the Movement in Reserves Statement. Where the grant has not yet been used to finance capital expenditure, it is posted to the Capital Grants Unapplied Account. Where it has been applied, it is posted to the Capital Adjustment Account. Amounts in the Capital Grants Unapplied Account are transferred to the Capital Adjustment Account once they have been applied. 1.15 Inventories Inventories are held by a number of Council services, such as asset maintenance services, roads, services, school technician services, hospitality services, etc., and include consumable stock and work in progress, where appropriate. Page 73
Page 74
Page 45 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Consumable stock is included in the Balance Sheet on a cost price basis, with inventory quantities based on physical stock at the end of the year. 1.16 Leases Leases are classified as finance leases where the terms transfer substantially all the risks and rewards incidental to ownership from the lessor to the lessee. All other leases are classified as operational. Where the lease covers both land and buildings, the elements are considered separately for classification. 1.16.1 Council as Lessee Finance Leases Assets held under finance lease are recognised in the Balance Sheet at the start of the lease at its fair value at the lease’s inception, or, if lower the present value of the minimum lease payments. The asset recognised is matched by a liability for the obligation to pay. Initial direct costs are added to the carrying amount of the asset. Premiums paid on entry into a lease are applied to writing down the lease liability. Contingent rents are charged to revenue in the years they incur. Lease payments are apportioned between: • a charge for the acquisition of the interest in the asset – applied to write down the lease liability • a finance charge (debited to the Financing and Investment income and Expenditure line in Comprehensive Income and Expenditure Statement). Assets recognised under the finance lease are accounted for using the policies applied generally to council owned assets, subject to depreciation being charged over the lease term if this is shorter than the asset’s estimated useful life. Operating Leases Rentals paid under operating leases are charged to the Comprehensive Income and Expenditure Statement as an expense. Charges are made on a straight line basis over the life of the lease, even if it does not match the pattern of payment. 1.16.2 Council as Lessor Finance Leases When the Council grants a finance lease over an asset, the asset is written out of the Balance Sheet as a disposal. At the start of the lease the carrying amount of the asset is written off to the Other Operating Expenditure line in the Comprehensive Income and Expenditure Statement as part of the gain/loss on disposal. A gain, representing the Council’s net investment in the lease is credited to the same line in the Comprehensive Income and Expenditure Statement, matched by a lease asset in the Balance Sheet. Lease rentals receivable are apportioned between: • a receipt for the acquisition of the interest in the asset – applied to write down the lease asset (together with any premiums received) • finance income (credited to the Financing and Investment income and Expenditure line in Comprehensive Income and Expenditure Statement). The gain credited to the Comprehensive Income and Expenditure Statement on disposal is not permitted by statute to increase the General Fund balance and will be required to be treated as a capital receipt. Where a premium has been received, this is posted out of the General Fund Balance to the Capital Receipts Reserve in the Movement in Reserves Statement. Where the amounts due in relation to the lease asset is to be settled by the payment of rentals in future financial years, this is posted out of the General Fund Balance to the Deferred Capital Receipts Reserve in the Movement in Reserves Statement. When the future rentals are paid, the element of the charge for the acquisition of the interest in the asset is used to write down the lease asset. At this point, the deferred capital receipts are transferred to the Capital Receipts Reserve. The written off value of the disposals is not a charge against council tax, as the cost of fixed assets is fully provided for under separate arrangements for capital financing. Amounts are appropriated to the Capital Adjustment Account from the General Fund balance in the Movement in Reserves Statement. Operating Leases Page 74
Page 75
Page 46 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Where the council grants an operating lease over an asset, the asset is retained in the Balance Sheet. Rental income is credited to the Other Operating Expenditure line in the Comprehensive Income and Expenditure Statement. Credits are made on a straight line basis over the life of the lease, even if it doesn’t match the pattern of payment. 1.17 Overhead and Support Services The costs of overheads and support services are charged to non General Fund services that benefit from the supply in accordance with the costing principles of the CIPFA Service Reporting Code of Practice 2023/24. The total absorption costing principle is used – the full cost of overheads and support services are shared between those users in proportion to the benefits received. General Fund Services have not been charged for these support service costs, in line with the Council’s budgetary reporting structure. 1.18 Public Private Partnership (PPP) and Similar Contracts PPP and similar contracts are agreements to receive services, where the responsibility for making available the property, plant and equipment needed to provide the services passes to the private contractor. As the Council is deemed to control the services that are provided under the PPP scheme and as ownership of the property, plant and equipment will pass to the council at the end of the contract for no additional charge, the Council carries the asset on its Balance Sheet. 1.19 Financial Instruments Annuity method for revised repayment of debt liability The recalculation of the debt liability charges applies the annuity method to calculate the revised repayments. This method best represents the consumption of the assets over their useful lives. This methodology is applied within the Councils current Loans Fund repayment policy. The use of an annuity method for the writing down of the PPP debt liability therefore ensures a consistent approach for the writing down of all debt which is financing capital expenditure, in that; • The annuity method provides a fairer charge than equal instalments as it takes account of the time value of money, whereby paying £100 in 10 years’ time is less of a burden than paying £100 now. • The schedule of charges produced by the annuity method thus results in a consistent charge over an asset’s life, considering the real value of the amounts when they fall due. • The annuity method is a prudent basis for providing for assets that provided a steady flow of benefits over their useful life.’ Useful Economic Life The most appropriate asset life for the calculation is considered to be 60 years which replicates the useful asset life of other similar type assets held on the Council’s balance sheet i.e. schools. The Council’s Loans Fund methodology use a Useful Economic Life (UEL) of 60 years when calculating the repayment of debt liability for borrowing to support capital expenditure for similar types of assets. The proposed application a UEL of 60 years for the two SCAs arrangements is therefore considered consistent with current council methodology. Capital Financing Requirement The reprofiling of the debt liability repayments over the life of the asset rather than the life of the contract increases the Capital Financing Requirement (CFR) as at 1 April 2022. The increase in the CFR will continue to be reduced by the revised repayments after each Service Concession Arrangement (SCA) contract has expired until the end of the revised period. Accounting Treatment During 2022/23, the Scottish Government issued Finance Circular 10/2022, which permits the authority to apply an accounting flexibility for service concession arrangements entered into prior to April 2022. The application of this flexibility has resulted in the repayment of the liability being reprofiled over the asset life, therefore extending the repayment period. The statutory adjustment can be made as at 1 April in the year the revised repayments are applied. This option was exercised in 2022/23 and has been applied retrospectively. Being a cumulative statutory adjustment there is no prior year restatement of statutory adjustments in the Annual Accounts. The statutory adjustment results in Page 75
Page 76
Page 47 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 a debit to the Capital Adjustment account with a corresponding credit in the Movement in Reserves Statement within the General Fund. Until the end of the contract period for each of the five service SCAs. Thereafter the revised charges will result in higher cost being charged to the General fund that the current repayment profile until the end of the UEL. 1.20 Provisions Provisions are made where an event has taken place that gives the Council a legal obligation or constructive obligation that probably requires settlement by a transfer of economic benefits or service potential and a reliable estimate can be made of the amount of that obligation. Provisions are charged as an expense to the appropriate service line in the Comprehensive Income and Expenditure Statement in the year the Council becomes aware of the obligation and measured at the best estimate at the Balance Sheet date, taking account of relevant risks and uncertainties. When payments are made they are charged to the provision carried in the Balance Sheet. Estimated settlements are reviewed at the end of each financial year. Where it becomes less probable that a transfer of economic benefits is required; the provision is reversed and credited back to the relevant service. 1.21 Interest in Companies and Other Entities The council has material interests in companies and other entities that have the nature of associates/ subsidiaries and require it to prepare group accounts. In the Council’s own single entity accounts, the interests of two companies are recorded as an investment in the Balance Sheet, as the council has shares and full ownership of the Clydebank Property Company (purchased during 2014/15) and has an investment with Hub West Scotland (invested 2015/16). No other interests are recorded in the council’s single entity accounts of any of other organisation. 1.22 VAT VAT payable is included as an expense only to the extent that it is not recoverable from HM Revenue and Customs. VAT receivable is excluded from income. 1.23 Loans Advances Repayment In accordance with The Local Authority (Capital Finance and Accounting) (Scotland) Regulations 2016, the Council has recalculated the repayments of the loans fund advances to reflect the life of the specific assets associated with the debt, using an annuity of 9%. Note 2 – Critical Judgement in Applying Accounting Policies The preparation of the consolidated financial statements requires management to make some judgements and assumptions when applying the accounting policies that have the most significant effect on carrying amounts in the financial statements. These judgements are usually about complex transaction or involve uncertainty about future events. Where a critical judgement has been made, this is referred to in the relevant note to the core financial statements; however a summary of those with the most significant effect are detailed below: Public Private Partnership (PPP) and Design-Build-Finance-Maintain (DBFM) - The Council has entered into a PPP contract for the provision of three secondary schools and one primary school. The Council has also entered into a DBFM contract for one secondary school. The contracts include the build of the schools as well as their maintenance and provision of related facilities over the period of each contract. After consideration of International Financial Reporting Interpretations Committee IFRIC12 (Service Concession Arrangements), it has been concluded that these are service concession arrangements and the Council controls the services provided under the scheme and ownership of the schools will pass to the Council at the end of the contracts for no additional charge. The assets used to provide services at the schools are recognised on the Council’s Balance Sheet as operational assets and as a finance lease liability. The value of these assets (£98.765m) is included within the Property, Plant and Equipment (note 14) and the liability within note 15 - Private Finance Initiatives and similar Contracts (£90.122m). Council Acting as Principal or Agent - When the Council receives funding it requires to consider the degree of control it has over how this funding is to be utilised. If the Council has no discretion over the utilisation of the funds it deems that Page 76
Page 77
Page 48 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 it is acting as an agent and this funding is reported in the Agency Services note and not reflected in the Council’s income and expenditure, but with any amounts owed to/ from the Council held within its Balance Sheet. Provision or Contingent Liability - Where the Council faces a future liability and this can be quantified with a reasonable degree of certainty, a provision for that liability is made. If the liability cannot be quantified, it will be disclosed as a Contingent Liability (Note 30). Most of these involve ongoing or prospective legal action meaning the outcome and potential amounts involved cannot be determined with any level of accuracy. Note 3 – Assumptions Made About the Future and Other Major Sources of Estimation Uncertainty The Financial Statements contain estimated figures that are based on assumptions about the future or that are otherwise uncertain. Estimates are made taking into account historical experience, current trends and other relevant factors. However, because balances cannot be determined with certainty, actual results could be materially different from the assumptions and estimates. The items in the Council’s balance sheet as at 31 March 2024, for which there is a significant risk of material adjustment in the forthcoming financial year are noted below: Item Uncertainties Effect if Actual results Differ from Assumptions Property Plant and Equipment – valuation The Council’s assets are valued on a rolling programme over a maximum of 5 years. The valuation assumptions are ascertained by the professional valuers used by the Council. If the actual results differ from the assumptions, the value of the assets could be affected. The value of the assets subject to revaluation over the rolling programme is £898.688m. During 2023/24 the assets that were revalued are now held in the Balance Sheet to a total value of £600.080m. The impact for each 1% change in these valuations would be £0.256m within the Balance Sheet, resulting in an increase or a decrease to the Revaluation Reserve, or an impairment charge, but with no effect on the General Fund or the HRA reserves. Any change would also impact on annual depreciation charges in future years. Property Plant and Equipment – depreciation / useful lives Assets are depreciated over useful lives that are dependent on assumptions about the level of repairs and maintenance that will incur in relation to those assets. The current economic climate makes it uncertain that the Council will be able to sustain its current level of spending on maintenance, bringing into doubt the useful lives assigned to assets. If the useful life of an asset is reduced, depreciation increases and the carrying amount of the asset falls. For example, it is estimated that for a building valued at £20 million with a useful economic life of 60 years, the annual depreciation charge would increase by £5,650 if the useful economic life had to be reduced by one year. Pension Liability/Asset Estimation of the net asset/liability to pay pensions depends on a number of complex judgements relating to the discount rates used, the rate at which salaries are projected to increase by, changes to retirement ages, mortality rates and expected returns on pension assets held. This is further detailed within Note 14 to the Financial Statements. A firm of consulting actuaries is engaged to provide the Council with expert advice about the assumptions applied. The effect on the net asset/liability can be measured. For example, a decrease in the discount rate of 0.1% would decrease the pension asset held on the Balance sheet by 2% or £14.033m; and increase in the pension rate by 0.1% would decrease the pension asset held on the Balance sheet by 1% or £12.290m. The interaction of assumptions is extremely complex. See note 22 for further assumptions. Page 77
Page 78
Page 49 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 4 Accounting Standards that have been issued but have not yet been adopted For 2023/24, the Code requires the disclosure of information relating to the expected impact of an accounting change that will be required by a new standard that has been issued but not yet adopted. This applies to the adoption of the following new or amended standards: • IFRS 16 Leases issued in January 2016 • Classification of Liabilities as Current or Non-current (Amendments to IAS 1) issued in January 2020 • Lease Liability in a Sale and Leaseback (Amendments to IFRS 16) issued in September 2022 • Non-current Liabilities with Covenants (Amendments to IAS 1) issued in October 2022 • International Tax Reform: Pillar Two Model Rules (Amendments to IAS 12) issued in May 2023 • Supplier Finance Arrangements (Amendments to IAS 7 and IFRS 7) issued in May 2023 Overall, these new or amended standards are not expected to have a significant impact on the Annual Accounts in future years. IFRS16 Leases will require local authorities that are lessees to recognise these leases on their Balance sheet as right- of-use assets along with the corresponding liabilities, except for low value and short term leases. CIPFA/LASACC have deferred implementation of this until 1 April 2024. In 2024/5, the Authority will apply IFRS 16 Leases as adopted by the Code of Accounting Practice. IFRS 16 will mean that the majority of leases where the Council act as lessee will come onto the balance sheet and lessor accounting is effectively unchanged. The main impact of the new requirements is that, for arrangements previously accounted for as operating leases (i.e. without recognising the leased vehicles, plant, equipment, property and land as an asset and future rents as a liability), a right-of-use asset and a lease liability are to be brought into the balance sheet at 1 April 2024. Leases for items of low value and leases that expire on or before 31 March 2025 are exempt from the new arrangements. IFRS 16 will be applied retrospectively, but with the cumulative effect recognised at 1 April 2024. This means that right- of-use assets and lease liabilities will have been calculated as if IFRS 16 had always applied but recognised in 2024/25 and not by adjusting prior year figures. As a lessee, the Authority has previously classified leases as operating or finance leases based on its assessment of whether the lease transferred significantly all of the risks and rewards incidental to ownership of the underlying asset to the Authority. Under IFRS 16, the Authority recognises right-of-use assets and lease liabilities for most leases – i.e. these leases are on-balance sheet. The Authority has decided to apply recognition exemptions to short-term leases and has elected not to recognise right- of-use assets and lease liabilities for short term leases that have a term of 12 months or less and leases of low value assets. The Authority recognises the lease payments associated with these leases as an expense on a straight-line basis over the lease term. It is anticipated that the application of the Code’s adaptation of IFRS16 will result in the following additions to the balance sheet: • £2.200m Property, plant and equipment – land and buildings (right-of-use assets) • £1.620m Non-current creditors (lease liabilities) • £0.400m Current creditors (lease liabilities). Page 78
Page 79
Page 50 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 5 Expenditure and Funding Analysis The Expenditure and Funding Analysis shows how annual expenditure is used and funded from resources (Government Grants, Council Tax and Non-Domestic Rates) by local authorities in comparison with those resources consumed or earned by authorities in accordance with generally accepted accounting practices. It also shows how expenditure is allocated for decision making purposes between the Council’s services. Income and expenditure accounted for under generally accepted accounting practices is presented more fully in the Comprehensive Income & Expenditure Statement. Expenditure and Funding Analysis 2023-24 Expenditure chargeable to the General Fund and HRA Balance Adjustments between Funding and Accounting Basis Net Expenditure in the Comprehensive Income and Expenditure Statement £'000 £'000 £'000 Resources 2,070 1,100 3,170 Regulatory and Regeneration 3,189 4,432 7,621 People & Technology 10,517 1,615 12,132 Citizens, Culture and Facilities 14,053 425 14,478 Education, Learning and Attainment 115,177 13,060 128,237 Roads and Neighbourhood 20,706 7,195 27,901 Housing and Employability 4,478 164 4,642 Miscellaneous Services (727) (1,389) (2,116) Health and Social Care Partnership 85,126 1,690 86,816 Requisitions 2,401 0 2,401 Housing Revenue Account (19,584) 13,885 (5,699) Net Cost of Service 237,406 42,177 279,583 (Gain)/Loss on disposal of non-current assets 0 306 306 Financing and Investment (Income) and Expenditure (Note 8) (262,741) (35,329) (298,070) Taxation and Non-specific Grant Income (Note 9) 45,780 (15,097) 30,683 (Surplus) or Deficit on the Provision of Services 20,445 (7,943) 12,502 Opening General Fund and HRA Balance at 1 April 2023 (31,938) Surplus/(Deficit) on HRA in the year 1,666 Surplus/(Deficit) on General Fund in the year 18,779 transfer (to)/from other Statutory Reserves (3,009) Closing General Fund and HRA balance at 31 March 2024 (14,502) Adjustments between General Fund and Comprehensive Income and Expenditure Statement 2023-24 Adjustment for Capital Purposes Net change to Pension Adjustment Other differences Total Adjustments £'000 £'000 £'000 £'000 Resources 1,036 64 0 1,100 Regulatory and Regeneration 4,390 42 0 4,432 People & Technology 1,577 38 0 1,615 Citizens, Culture and Facilities 325 100 0 425 Education, Learning and Attainment 12,666 220 172 13,058 Roads and Neighbourhood 7,070 125 0 7,195 Housing and Employability 0 164 0 164 Miscellaneous Services 0 (1,368) (20) (1,388) Health and Social Care Partnership 1,240 360 12 1,612 Requisitions 0 0 0 0 Housing Revenue Account 13,833 52 0 13,885 Net Cost of Services 42,137 (203) 164 42,098 Other operating expenditure 306 0 0 306 Financing and Investment (Income) and Expenditure (9,931) 0 0 (9,931) Taxation and Non-specific Grant Income (35,796) (5,126) 39 (40,883) Difference between General Fund and HRA (Surplus)/Deficit and Comprehensive Income & Expenditure Statemet (Surplus)/Deficit on the Provision of Service (3,284) (5,329) 203 (8,410) Page 79
Page 80
Page 51 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 2022/23 Expenditure chargeable to the General Fund and HRA Balance Adjustments between Funding and Accounting Basis Net Expenditure in the Comprehensive Income and Expenditure Statement £'000 £'000 £'000 Resources 4,129 3,828 7,957 Regulatory and Regeneration 3,261 5,156 8,417 People & Technology 7,025 2,577 9,602 Citizens, Culture and Facilities 14,895 2,996 17,891 Education, Learning and Attainment 107,086 13,312 120,398 Roads and Neighbourhood 22,470 10,070 32,540 Housing and Employability 2,262 3,882 6,144 Miscellaneous Services 4,013 (2,336) 1,677 Health and Social Care Partnership 82,657 9,465 92,122 Requisitions 2,215 0 2,215 Housing Revenue Account (17,018) 14,274 (2,744) Net Cost of Service 232,995 63,224 296,219 (Gain)/Loss on disposal of non-current assets 0 (365) (365) Financing and Investment (Income) and Expenditure (Note x) (252,535) (17,263) (269,798) Taxation and Non-specific Grant Income (Note x) 36,756 (11,311) 25,445 (Surplus) or Deficit on the Provision of Services 17,216 34,285 51,501 Opening General Fund and HRA Balance at 1 April 2022 (47,488) transfer (to)/from other Statutory Reserves (1,666) Surplus/(Deficit) on General Fund and HRA in the year 17,216 Closing General Fund balance at 31 March 2023 (31,938) Adjustments between General Fund and Comprehensive Income and Expenditure Statement 2022-23 Adjustment for Capital Purposes Net change to Pension Adjustment Other differences Total Adjustments £'000 £'000 £'000 £'000 Resources 2,122 1,706 0 3,828 Regulatory and Regeneration 3,997 1,159 0 5,156 People & Technology 1,706 871 0 2,577 Citizens, Culture and Facilities 582 2,414 0 2,996 Education, Learning and Attainment 7,892 5,132 288 13,312 Roads and Neighbourhood 7,227 2,843 0 10,070 Housing and Employability 13 3,869 0 3,882 Miscellaneous Services 0 (2,321) (15) (2,336) Health and Social Care Partnership 1,245 8,220 0 9,465 Requisitions 0 0 0 0 Housing Revenue Account 13,170 1,104 0 14,274 Net Cost of Services 37,954 24,997 273 63,224 Other operating expenditure (365) 0 0 (365) Financing and Investment (Income) and Expenditure (17,263) 0 0 (17,263) Taxation and Non-specific Grant Income (12,274) 1,839 (876) (11,311) Differnece between general Fund (Surplus)/Deficit and Comprehensive Income & Expenditure Statemet (Surplus)/Deficit on the Provision of Service 8,052 26,836 (603) 34,285 Adjustments for Capital Purposes This column adds in depreciation, impairment and revaluation gains and losses in the services line, and for: Page 80
Page 81
Page 52 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 • Other operating expenditure – adjusts for capital disposals with a transfer of income on disposal of assets and the amounts written off for those assets. • Financing and investment income and expenditure – the statutory charges for capital financing and other revenue contributions are deducted from other income and expenditure as these are not chargeable under generally accepted accounting practices. • Taxation and non-specific grant income and expenditure – capital grants are adjusted for income not chargeable under generally accepted accounting practices. Revenue grants are adjusted from those receivable in the year to those receivable without conditions or for which conditions were satisfied throughout the year. The Taxation and Non-Specific Grant Income and Expenditure line is created with capital grants receivable in the year without conditions or for which conditions were satisfied in the year. Net Change for the Pension Adjustments Net change for the removal of pension contributions and the addition of IAS19 Employee Benefits pension related expenditure and income: • For services, this represents the removal of the employers contributions made by the Council as allowed by statute and the replacement with current service costs and past service costs. • For financing and investment income and expenditure, the net interest on the defined benefit liability is charged to the Comprehensive Income and Expenditure Statement. Other Differences Other differences between amounts debited or credited to the Comprehensive Income and Expenditure Statement and amounts payable or receivable to be recognised under statute: • For services an adjustment is made for the accrual of holiday pay and other similar entitlements, this is required under generally accepted accounting principles but the impact on the General Fund and the HRA is mitigated by statute which allows the impact to be reversed out through the Movement in Reserves. • For Financing and investment income and expenditure, the ‘other differences’ column recognises adjustments to the General Fund for the timing differences for premiums and discounts. Expenditure and Income Analysed by Nature Where items are not disclosed on the face of the Comprehensive Income and Expenditure Statement (CIES). The code requires a disclosure of the nature and amount of material items. An analysis of material items of income and expenditure by nature is shown below: 2022-23 2023-24 £'000 £'000 Expenditure 245,142 Employee Benefits Expenses 239,621 293,308 Other Service Expenses 247,326 37,954 Depreciation, Amortisation, Impairment 42,215 24,426 Interest payments 30,315 2,215 Precepts and levies 2,401 (365) (Gain) or Loss on Disposal of Assets 306 602,680 Total Expenditure 562,184 Income (550,929) (280,787) fees, charges and Other Service Income (250,427) (39,313) Income from Council Tax (40,798) (107,740) income from Non-domestic rates (93,396) (344) Interest and Investment Income (1,185) (122,745) Government grants and Contributions (163,876) (550,929) Total Income (549,682) 51,751 (Surplus)/Deficit on the Provision of Service 12,502 Page 81
Page 82
Page 53 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 6 Adjustments between Accounting Basis and Funding Basis under Regulations This note provides further breakdown of the adjustments summarised in the Movement in Reserves Statement on page 34. It is identified under the headings Usable and Unusable Reserves. Further detail of the reserves identified under the classification of usable and unusable is given in notes 7 and 24 respectively. 2023-24 General Fund Balance HRA Balance Capital Grants and Receipts Unapplied Account Other Reserves Total Usable Reserves Capital Adjustment Account Revaluation Reserve Pension Reserve Employee Statutory Adjustment Account FIAA Total Unusable Reserves £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Charges for depreciation and impairment of non-current assets (28,199) (13,827) (42,026) 42,026 42,026 Amortisation of intangible assets (106) (6) (112) 112 112 Capital Grants and Contributions applied 24,252 11,544 35,796 (35,796) (35,796) Capital expenditure charged in year to revenue balances (77) 0 (77) 77 77 Disposal of Fixed Assets (306) (3,082) (3,388) 3,388 3,388 Capital expenditure charged to revenue (CFCR) 0 Statutory Repayment of Debt - Loans Fund Advances 4,363 7,933 12,296 (11,684) (612) (12,296) Statutory Repayment of Debt - PPP Finance - service concession adjusment (3,139) (3,139) 3,139 3,139 Adjustment to the statutory repayment of debt for service concession arrangements - permitted flexability 307 307 (307) (307) Amounts by which finance costs charged to the CIEs are different from finnace costs chargeable in the year in accordance with statutory requirements 33 6 39 (39) (39) Reversal of items relating to retirement benefits debited or credited to the CIES (Note 22) (18,980) (52) (19,032) 19,032 19,032 Employers' pension contributions payable in the year 24,361 24,361 (24,361) (24,361) Amount by which employees’ remuneration charged to the CIES on an accrual basis is different from remuneration chargeable in the year in accordance with statutory requirements (152) (12) (164) 164 164 Total Statutory Adjustments 2,357 5,586 (3,082) 4,861 955 0 (5,329) 164 (651) (4,861) Page 82
Page 83
Page 54 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Comparative Information 2022-23 2022-23 General Fund Balance HRA Balance Capital Grants and Receipts Unapplied Account Capital Fund Total Usable Reserves Capital Adjustment Account Revaluation Reserve Pension Reserve Employee Statutory Adjustme nt Account FIAA Total Unusable Reserves £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Charges for depreciation and impairment of non-current assets (24,691) (13,179) (37,870) 37,870 37,870 Amortisation of intangible assets (84) (84) 84 84 Capital Grants and Contributions applied 12,761 4,502 17,263 (17,263) (17,263) Capital expenditure charged in year to revenue balances (226) 2,911 2,685 (2,685) (2,685) net gain or (loss) on non-current asset disposal 365 0 (702) (337) 337 337 Statutory Repayment of Debt - Loans Fund Advances 2,988 6,510 9,498 (9,498) (9,498) Statutory Repayment of Debt - PPP Finance 90 90 (90) (90) Amounts by which finance costs charged to the CIEs are different from finance costs chargeable in the year in accordance with statutory requirements 948 (72) 876 (876) (876) Amount by which pension costs calculated in accordance with the Code are different from the contributions due under pension scheme regulations (25,731) (1,104) (26,835) 26,835 26,835 Amount by which employees’ remuneration charged to the CIES on an accrual basis is different from remuneration chargeable in the year in accordance with statutory requirements (273) (273) 273 273 Total Statutory Adjustments (33,853) (432) 0 (702) (34,987) 8,755 0 26,835 273 (876) 34,987 Page 83
Page 84
Page 55 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 7 Earmarked Reserves Reserves are created by appropriating amounts from the General Fund balance in the Movement in Reserves Statement. When expenditure to be financed from a reserve is incurred, it is charged to the appropriate service within the CIES. The reserve is then appropriated back into the General Fund balance in the Movement in Reserves Statement (MiRS) so that there is no net charge against Council Tax for the expenditure. The Council has several usable reserve funds. The Capital Fund is used to meet the costs of capital investment in assets and for the repayment of the principal element of borrowings. Movements in the Council’s usable reserves are detailed in the Movement in Reserves Statement (MiRS). The major part of the General Fund balance shown in the MiRS has been earmarked and effectively committed to fund specific projects in future years. The amounts set aside for earmarked reserves are shown in the following table: Balance at 1 April 2022 Transfers Out 2022/23 Transfers In 2022/23 Balance at 31 March 2023 Transfers Out 2023/24 Transfers In 2023/24 Balance at 31 March 2024 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Earmarked reserves: General Fund General Covid 3,445 (3,445) 0 0 0 0 0 Education - Covid reserves 2,662 (2,452) 0 210 (180) 0 30 Housing & Communities - Covid reserves 421 (307) 0 114 (101) 0 13 Resourses - Covid reserves 263 (263) 0 0 0 0 0 Change Fund 257 (137) 18 138 (137) 0 1 HR/Legal Commitments 210 0 0 210 0 0 210 Miscellaneous Employability Reserves 337 (337) 250 250 (250) 126 126 Miscellaneous Housing & Communities Reserves 165 (165) 41 41 0 499 540 Miscellaneous HSCP 35 (35) 0 0 0 0 0 Miscellaneous CCF Reserves 106 (82) 6 31 (6) 0 25 Miscellaneous Resources Reserves 339 (232) 144 252 (215) 0 37 Miscellaneous Economic Development & Regulatory Reserves 53 0 18 71 (31) 0 40 Miscellaneous Education Reserves 132 (32) 979 1,079 (225) 0 854 DABVJB - Scottish Parliamentary Elections 39 (13) 0 26 (26) 0 0 (1,171) 2022/23 budget commitment 1,034 (1,034) 0 0 0 0 0 Young person guarantee 1,018 (1,018) 0 0 0 0 0 Early Retiral/Voluntary Severence Reserve 1,000 (7,038) 15,000 8,962 (1,662) (3,950) 3,350 Cost of Living 0 (161) 2,000 1,839 (341) 0 1,498 Smoothing Fund for 2 year Service Transformation Project 0 0 3,000 3,000 (609) 0 2,391 Future Pay Awards 0 (2,195) 4,390 2,195 (2,195) 0 0 Prudential Target Future Years 0 0 1,799 1,799 (1,799) 0 0 Budget Funding reserve 0 (6,607) 11,205 4,598 (4,598) 0 0 Total: Earmarked Reserves - General Fund 11,517 (25,553) 38,850 24,815 (12,375) (3,325) 9,115 Earmarked Reserves: Housing Revenue Account Service Improvements 650 (650) 0 0 Welfare Reform resilience Reserve 1,000 (1,000) 0 0 non-earmarked balance - HRA 985 (16) 0 969 Total: Earmarked Reserves - Housing Revenue Account 2,635 (1,666) 969 Capital Grants and receipts unapplied 72 (30) 171 213 Other Reserves 262 (68) 0 194 Non-earmarked balance 4,489 (4,489) 4,418 4,418 TOTAL RESERVES 32,273 (18,628) (3,154) 14,909 Page 84
Page 85
Page 56 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 8 Financing and Investment (Income) and Expenditure 2022-23 2023-24 £'000 £'000 Interest payable and similar charges: 8,037 Schools' Public Private Partnership finance lease 8,197 14,550 Other Interest Payable and Similar Charges 27,245 (344) Interest and Investment Income (1,185) 1,363 Impairment Loss- Debtors 1,553 1,839 Net Pension Interest Expense (5,127) 25,445 Total 30,683 Note 9 Taxation and Non-Specific Grant Income 2022-23 2023-24 £'000 £'000 (39,313) Council Tax (40,798) (107,740) Non-Domestic Rates (93,396) (103,347) Revenue Support Grant (128,080) (17,263) Recognised Capital grants and contributions (35,796) (267,663) Total (298,070) Note 10 Grant Income Government grants and third-party contributions and donations are recognised as due to the Council when there is reasonable assurance that: • The Council will comply with the conditions attached to the payments, and • The grants or contributions will be received. Monies advanced as grants and contributions for which conditions have not been satisfied are carried in the Balance Sheet as creditors. Where conditions are satisfied, the grant or contribution is credited to the relevant service line (attributable revenue grants) or Taxation and Non-specific Grant Income (non-ring-fenced revenue grants and all capital grants). Where capital grants are credited to the CIES, they are reversed out of the General Fund balance in the Movement in Reserves Statement. The Council credited the following grants and other contributions to Taxation and Non-specific Grant Income within the Comprehensive Income and Expenditure Statement in 2023/24: 2022-23 Grant Income 2023-24 £'000 £'000 Credited to Taxation and Non Specific Grant Income 213,222 Revenue Support Grant 221,496 8,550 General Capital Grant 14,786 4,018 New House Build 11,544 17,273 1,319 Levelling Up Fund 4,733 35,796 337 Cycling, walking and safer Streets 492 821 Exxon City Deal 2,834 838 Strathclyde Partnership for Transport 154 0 Place Based Investments 738 439 Green Infrastructure Fund 10 717 Clydebank Can on the Canal 0 154 Sustrans 35 80 Other Grants 470 17,273 230,495 Total 257,292 Page 85
Page 86
Page 57 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The Council credited the following grants to Services within the Comprehensive Income and Expenditure Statement in 2023/24: 2022/23 Grant Income 2023/24 £'000 £'000 Credited to Services 30,789 Housing Benefit Subsidy 30,587 10,256 NHS Resource Transfer 10,791 10,007 Early Learning 10,012 3,766 Pupil Equity Fund 4,587 2,027 Criminal Justice 2,328 1,910 Scottish Attainment 1,448 2,135 Unitary Charge for DBFM 2,144 0 UK Shared Prosperity 1,006 542 Asylum Seekers 988 0 Child Poverty 760 586 Business Gateway 577 335 Young Person's Guarantee 0 446 Private Sector Housing 329 345 Care Experienced Children and young People 405 0 School Milk and Healthy Snacks 273 231 Mental Wellbeing 160 288 Education Maintenance Allowance 248 0 Community Food Bank Garden 100 196 Parental Employability Support Fund 0 1,897 Holiday Hunger 0 580 Teacher's Pay Award 0 275 No-one Left Behind 505 559 Grants under £0.100m 357 67,170 Total 67,605 Capital Grant Receipts in Advance The council has received a number of grants that have yet to be recognised as income as they have conditions attached to them that will require the monies or property to be returned to the giver. The balances at the yearend are as follows: 31 March 2023 31 March 2024 1,105 Levelling Up Funding 1,711 0 Clyde Mission 1,672 707 Clydebank Canal Investment 757 676 Place Based Investment 409 0 Inspiring School Age Childcare Spaces Fund 205 119 Pappert New Builds 0 136 Willox Park 0 102 Bank Street 8 140 Queen Mary Avenue 107 401 Grants under £0.100m 449 3,386 5,317 Page 86
Page 87
Page 58 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 11 Property, Plant and Equipment 11.1 Movement in Property, Plant & Equipment 2023-24 Council dwellings Other Land & buildings Industrial Units Vehicles & Plant Community Surplus Assets Assets Under Construction Total 2023-24 Infrastructure* £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Cost/Valuation at 1 April 2023 573,357 449,955 41,570 35,272 10,295 5,591 39,462 1,155,502 171,076 Additions 37,923 7,591 2,986 724 386 28,139 77,749 9,204 Disposals (41) (449) (225) (715) Revaluation adjustments to Revaluation Reserve Revaluation adjustments to CIES (87) (87) Assets reclassified to/from Assets under Construction 12,827 (12,827) Other reclassification of assets As at 31 March 2024 611,280 470,245 41,121 38,258 11,019 5,752 54,774 1,232,449 180,280 Depreciation/Impairment at 1 April 2023 (94,015) (31,838) (288) (16,165) (3,426) 0 0 (145,732) (58,776) Depreciation charge (13,392) (9,668) (421) (3,605) (1,029) (28,115) (8,512) Depreciation on Disposals 5,893 Depreciation written out to the Revaluation Reserve 1,659 1,659 Revaluation written out to the CIES Impairment losses/(reversal) to the Revaluation Reserve Impairment losses/(reversal) to the CIES Other movements in depreciation and impairment As At 31 March 2024 (107,407) (33,954) (709) (19,770) (4,455) 0 0 (172,188) (67,288) Net Book Value at 31 March 2023 479,342 388,250 41,283 19,107 6,869 5,837 39,462 980,150 112,519 Net Book Value at 31 March 2024 503,873 436,291 40,412 18,488 6,564 5,752 54,773 1,066,153 112,992 Page 87
Page 88
Page 59 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 11.2 Movement in Property, Plant & Equipment 2022-23 Council dwellings Other Land & buildings Industrial Units Vehicles & Plant Community Surplus Assets Assets Under Construction Total 2022-23 Infrastructure* £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Cost/Valuation at 1 April 2022 542,780 420,810 45,360 31,511 10,168 6,011 28,179 1,084,819 162,227 Additions 30,577 7,247 3,761 127 11,316 53,028 8,849 Disposals (16) (460) (79) (33) (588) Revaluation adjustments to Revaluation Reserve 21,991 (621) 264 21,634 Revaluation adjustments to CIES (2,344) (682) (3,026) Assets reclassified to/from Held for Sale 0 Adjustments - assets at nil NBV (365) Other reclassification of assets (77) 77 0 As at 31 March 2023 573,357 449,955 41,570 35,272 10,295 5,591 39,462 1,155,867 171,076 Depreciation/Impairment at 1 April 2022 (81,351) (46,215) (2,052) (12,525) (2,582) 3 0 (144,722) (50,722) Depreciation charge (12,664) (10,539) (410) (3,640) (844) (3) (28,100) (8,054) Depreciation on Disposals 0 Depreciation written out to the Revaluation Reserve 24,083 1,504 25,587 Revaluation written out to the CIES 833 305 1,138 Impairment losses/(reversal) to the Revaluation Reserve 0 Impairment losses/(reversal) to the CIES 365 365 Other movements in depreciation and impairment 0 As At 31 March 2023 (94,015) (31,838) (288) (16,165) (3,426) 0 0 (145,732) (58,776) Net Book Value at 31 March 2022 461,429 374,595 43,308 18,986 7,586 6,014 28,179 940,097 111,508 Net Book Value at 31 March 2023 479,342 418,117 41,282 19,107 6,869 5,591 39,462 1,009,770 112,300 *As permitted by Finance Circular 09-2022 the council has adopted both Statutory Override 1 & 2 relating to infrastructure assets which allow for the following; Statutory Override 1: For accounting periods commencing from 1 April 2021 until 31 March 2024 a local authority is not required to report the gross cost and accumulated depreciation for infrastructure assets. Statutory Override 2: For accounting periods commencing 1 April 2010 until 31 March 2024 the carrying amount to be derecognised in respect of a replaced part of an infrastructure asset is to be taken and accounted for as a nil amount. No subsequent adjustment shall be made to the carrying amount of the asset with respect to that part. Page 88
Page 89
Page 60 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 11.3 Commitments under Capital Contracts At 31 March 2024, the Council had commitments on capital contracts for the construction or enhancement of property, plant and equipment for non-housing projects of £3.531m and housing projects of £0.435m. This expenditure will be funded from a combination of Government Grants, borrowing and income from selling assets and contributions from Revenue Accounts. Similar commitments at 31 March 2023 were £5.816m and £27.514m respectively. The major commitments are: General Services £'000 Strathleven Place 1,540 Posties Park 120 Our Lady’s & St Patrick’s Changing Facility 341 Alexandria Cemetery 174 Dillichip Allotments 173 Salt Barn 400 Linnvale & Whitecrook Primary School Pitches 203 Artizan Centre Demolition 297 HRA £'000 87 O Hare Retro Fit 194 Bonhill Gap Sites - Ground Investigation 70 M&E 58 11.4 Summary of Capital Expenditure and Financing Capital expenditure involves the creation of assets, the benefit of which will be available to future rates and Council taxpayers. It is financed from borrowing, capital receipts and capital grants. The cost of the asset is effectively borne over a period of years. In 2023-24 total spending on capital projects was £87.383m. 2022-23 2023-24 £'000 £'000 680,113 Opening Capital Financing Requirement 742,283 Capital Investment 61,887 Property, Plant and Equipment 87,018 189 Intangibles 332 0 Asset held for sale 0 32 Heritage Assets 33 91,842 Total Capital Investment 87,383 Sources of Finance 702 Receipts from Sale of Assets 3,083 29,734 Sevice Concession - statutory adjustment 2,832 (17,263) Government Grants and other Contributions (26,331) (702) Transfer to Capital Fund/ Capital Receipts Fund (2,184) (2,911) Revenue Contributions (77) (9,498) Loan Fund Principal Repayments (12,292) 62 Total Capital Financing (34,969) 742,283 Closing Capital Financing Requirement 794,231 Movements in the year 34,809 Increase in Underlying Need to Borrow 49,742 27,361 Increase/(Reduction) in PPP finance lease creditor 2,672 62,170 Movement in Capital Financing Requirement 52,414 Page 89
Page 90
Page 61 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 12 Intangible Assets Expenditure on non-monetary assets that do not have physical substance but are controlled by the Council as a result of past events (e.g. computer software and/or software licences) is capitalised when it is expected that future economic or service benefits will flow from the asset to the Council. The Council accounts for its software as intangible assets, to the extent that the software is not an integral part of a particular IT system and accounted for as part of the hardware item of property, plant and equipment. The intangible assets include purchased licences. Where appropriate, the carrying amount of intangible assets is amortised on a straight line basis. The amortisation of £0.106m charged to revenue in 2023/24 was charged to Information Services. The charge to Information Services is then absorbed as an overhead across all the service headings in the Net Cost of services. It is not possible to quantify exactly how much of the amortisation is attributable to each service heading. The movement in intangible assets during the year was: 2022/23 2023/24 £'000 £'000 Balance at 1 April 1,053 Gross carrying amount 1,242 (436) Accumulated amortisation (520) 617 Net carrying amount at start of year 722 189 Acquisitions in year 332 (84) Amortisation for period (112) 722 Net carrying amount at 31 March 942 Comprising: 1,242 Gross Carrying amounts 1,574 (520) Accumulated amortisation (632) 722 942 Note 13 Heritage Assets Heritage assets are both tangible and intangible assets with historic, artistic, scientific, technological, geographical or environmental qualities, which are held and maintained primarily for their contribution to knowledge and culture. The authority holds heritage assets of six main types: • Models of Ships; • Works of Art; • Silver and Commemorative Ware; • Civic Regalia (Robes and Chains); • Sewing Machine Collections; and • Listed Buildings and Scheduled Ancient Monuments. The valuation of these assets held on the balance sheet as detailed below: 2022/23 2023/24 £'000 £'000 1,485 Balance at 1 April 1,517 32 Additions/ Disposals / Newly Classified 7 1,517 Balance at 31 March 1,524 The models of ships, works of art, silver and commemorative ware, civic regalia and sewing machine collections are the responsibility of the Libraries and Museums Service and accounts for approximately 90% of the overall collection with the remaining 10% being recorded and accessioned into the collection on a regular basis in line with museum accreditation. These works are held at the following locations: Page 90
Page 91
Page 62 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 • Collections Store, Poplar Road • Collections Store, Stanford Street • Clydebank Town Hall. Models of Ships - include MV Rangitane, MV Essex and HMS Vanguard. Works of Art - there are 474 paintings within the works of art collection. Civic Regalia - predominately relates to the collection of provost robes and chains of office. It would be relatively rare for the authority to purchase, or dispose of, items of civic regalia. Sewing Machine Collection - there are 813 sewing machines (of various models) included within the sewing machine collection. Listed Buildings and Scheduled Ancient Monuments - the Council holds and maintains listed buildings and ancient monuments of historic significance, many of which are tributes to the war dead. As well as memorial structures and buildings, the Council maintains statues and fountains. Note 14 Assets Held for Sale Assets held for sale are those where the carrying amount will be recovered principally through a sale transaction rather than through continued use. Before an asset can be classified as held for sale, the following conditions must be met: • the asset must be available for immediate sale in its present condition; • the sale must be highly probable and an active programme to locate a buyer and complete the plan must have been initiated; • the asset must be actively marketed for sale at a price that is reasonable in relation to its current fair value; and • the sale should be expected to qualify for recognition as a completed sale within one year of the date of classification. When these criteria are met, assets within the category of Property, Plant & Equipment will be reclassified to “Assets Held for Sale”. 2022/23 2023/24 £'000 £'000 5,417 Balance at 1 April 5,417 0 Acquisitions 0 0 Assets newly classified as held for sale 0 0 Property, Plant and Equipment - Impairment 0 0 Revaluation Gains 0 0 Disposals (2,674) 0 Assets declassified as held for sale* 0 5,417 As at 31 March 2,743 Note 15 Private Finance Initiatives and Similar Contracts Schools PPP Scheme and Long Term Liability (Design, Build, Finance and Maintain (DBFM) Scheme) 2023/24 was the fifteenth year of a thirty-year public private partnership for provision of three secondary schools and one primary school in Clydebank and Alexandria. 2023/24 was the seventh year of a twenty-five year DBFM partnership for the provision of one secondary school in Dumbarton. The Council has rights to use the schools for core educational purposes between agreed hours. The contract specifies minimum standards for the services to be provided by the contractor, with deductions from the fee payable being made if facilities are unavailable or performance is below the minimum standards. Page 91
Page 92
Page 63 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The partnership agreement was for the design, build, finance and operation of the schools which means that the contractor took on the obligation to construct the schools and maintain them in a minimum acceptable condition and to procure and maintain the plant and equipment needed to operate the schools. When the agreement ends, after thirty years, unrestricted use and operation of the buildings will be handed back to the Council at nil cost. The Termination rights are in line with the market norms reflected in the Scottish Standard Schools Contract, as approved by the Scottish Government, prior to financial close. 15.1 Assets held under Schools PPP and DBFM Contracts The construction costs of the five school buildings, adjusted for revaluations on 31 March 2024 and depreciation to date are included as part of Operational Land and Buildings. 2022/23 2023/24 £'000 £'000 Cost or Valuation 114,219 At 1 April 124,419 Revaluations 11,993 To Revaluation Reserve 10,963 0 Additions 0 126,212 At 31 March 135,382 Accumulated Depreciation and Impairment (10,104) At 1 April (1,793) (5,350) Depreciation Charge (5,350) Depreciation written out 13,661 To revaluation reserve 2,643 0 To Net Cost of Service 690 (1,793) At 31 March (3,810) 116,108 Opening Net Book value 124,419 124,419 Closing Net Book value 131,572 15.2 Payments The amounts payable to the PPP and DBFM operators each year is analysed into five elements: • fair value of the services received during the year; • finance cost – an interest charge on the outstanding Balance Sheet liability; • contingent rent – increases in the amount to be paid for the property arising during contract; • payment towards the liability – applied to write down the Balance Sheet liability towards the PPP contractor; and • lifecycle replacement costs – proportion of the amounts payable posted to the Balance Sheet as a prepayment and then recognised as additions to property, plant and equipment when the relevant work is carried out. Page 92
Page 93
Page 64 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Payments remaining to be made under the PPP and DBFM contracts at 31 March 2024 (excluding any estimation of inflation and availability/performance deductions) are as follows: Repayment of Liability Interest Charges Operating Costs Lifecycle Replacement Total Unitary Payment £'000 £'000 £'000 £'000 £'000 less than 1 year 2,890 8,977 2,502 1,611 15,980 2-5 years 14,778 32,748 13,793 6,562 67,881 6-10 years 22,614 32,795 22,315 13,687 91,411 11-15 years 38,600 17,869 27,120 13,850 97,439 16-20 years 8,567 817 7,229 1,505 18,118 PPP Contractual Liability as at 31 March 2024 87,449 93,206 72,959 37,215 290,829 Although the payments made to the contractor are described as unitary charge payments, they have been calculated to compensate the contractor for the fair value of the services they provide, the capital expenditure incurred and interest payable whilst the capital expenditure remains to be reimbursed. The liability outstanding to be paid to the contractor for capital expenditure incurred is as follows: 2022/23 2023/24 £'000 £'000 92,485 Opening Balance as at 1 April 90,121 (2,364) Repayments (2,672) 90,121 School finance Lease Liability as at 31 March 87,449 Split: 2,623 Obligation payable within 1 year 2,890 87,498 Obligation payable after 1 year 84,559 90,121 School finance Lease Liability as at 31 March 87,449 Note 16 Operating Leases 16.1 Operating Leases – Council as Lessee The Council occupies a number of properties by way of an operating lease. The future minimum lease payment due under non-cancellable leases in future years are: 31 March 2023 31 March 2024 £'000 £'000 717 Not later than one year 560 1,747 Later than one year and not later than five years 1,316 1,446 Later than five years 1,391 3,910 3,267 The expenditure charged to the appropriate service lines in the Comprehensive Income and Expenditure Statement during the year in relation to these leases was £0.774m (2022/23 £0.741m). The Council has acquired vehicles and equipment by entering into operating leases. The future minimum lease payment due under non-cancellable leases in future years are: Page 93
Page 94
Page 65 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 31 March 2023 31 March 2024 £'000 £'000 286 Not later than one year 198 232 Later than one year and not later than five years 113 518 311 The expenditure charged to the appropriate service lines in the Comprehensive Income and Expenditure Statement during the year in relation to these leases was £0.172m (2022/23: £0.172m). 16.2 Operating Leases – Council as Lessor The Council leases out property under operating leases for the following purposes: • For the provision of community services, such as sports facilities, tourism services and community centres; and • For economic development purposes to provide suitable affordable accommodation for local businesses. The future minimum lease payment due under non-cancellable leases in future years are: 31 March 2023 31 March 2024 £'000 £'000 4,228 Not later than one year 3,815 11,145 Later than one year and not later than five years 10,810 131,838 Later than five years 129,652 147,211 144,277 The minimum lease payments receivable do not include rents that are contingent on events taking place after the lease was entered into, such as adjustments following rent reviews. In 2023/24, £2.819m contingent rents were receivable by the Council (2022/23 £2.610m). 16.3 Finance Leases The Council does not have any assets or liabilities under a finance lease, either as Lessee or Lessor. Note 17 Debtors £'000 £'000 £'000 £'000 14,505 Central Government Bodies 16,529 639 Scottish Government (including NHS bodies) 1,394 788 Other Local Authorities 3,251 8 Public Corporations and Trading funds 8 Other Entities and Individuals 43,466 Council Tax receivable 53,740 (25,205) Impairment allowance for doubtful debt (27,862) 18,261 Council Tax (net of impairment) 25,878 27,909 Other Debtors 26,836 62,110 Total Debtors 73,896 31 March 2023 31 March 2024 Page 94
Page 95
Page 66 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 18 Cash and Cash equivalents Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are investments that mature in three months or less from date of acquisition and that are readily convertible to known cash amounts, with insignificant risk of change of value. The investments comprise solely of short term lending of surplus funds to a limited number of pre-approved UK banks and other local authorities. All deposits are held in sterling. The carrying amount is the outstanding principal receivable. Bank balances are included in the Balance Sheet at the closing balance in the Council’s ledger and include cheques payable not yet cashed. 31 March 2023 Movement 31 March 2024 £'000 £'000 £'000 Net Bank Current Account* (3,946) (833) (4,779) Short term deposits with UK banks 6,496 22,680 29,176 Net Cash and Cash equivalents 2,550 21,847 24,397 *A further breakdown of the bank account is noted below: 31 March 2022 31 March 2023 £'000 £'000 604 Bank current Accounts in balance 691 (4,550) Current Accounts in overdraft (5,469) (3,946) (4,778) Note 19 Creditors 31 March 2023 31 March 2024 £'000 £'000 13,153 Central government bodies 8,701 14,872 Other local authorities 17,036 2,646 Scottish Government including NHS Bodies 4,958 Trade Creditors 44,971 Other Entities and individuals 33,602 75,642 64,297 Note 20 Provisions VS/ER Legal Litigations Other Total £'000 £'000 £'000 £'000 Opening Provision as at 1 April 2022 0 0 0 0 Contributions in year 3,412 0 16 3,428 Amounts utilised in year 0 0 0 0 Unutilised amounts reversed in year 0 0 0 0 Closing Provision as at 31 March 2023 3,412 0 16 3,428 Contributions in year 525 250 0 775 Amounts utilised in year (1,966) 0 0 (1,966) Unutilised amounts reversed in year 0 0 0 0 Closing Provision as at 31 March 2024 1,971 250 16 2,237 Compensation Payments – Voluntary Severance/Early Retirement (VS/ER) cost £1.971m This provision is for future severance costs that were identified as part of the 2023/24 budget setting process. Legal Litigation costs £0.250m This provision is for future legal costs as the Council is involved in an ongoing case that will incur costs in future years. The provision is based on anticipated future costs. Other Provisions £0.016m Intromission liability for historic abuse claims following reorganisation of Strathclyde regional Council amounts agreed due from West Dunbartonshire Council to Glasgow City Council. Page 95
Page 96
Page 67 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 21 Financial Instruments Categories of financial Instrument Long Term Current Long Term Current £'000 £'000 £'000 £'000 Debtors 20 44,473 Financial assets at amortised cost 1,774 49,395 Borrowing 301,605 324,531 Financial liabilities at amortised cost 460,841 273,907 Other long term liabilities 86,993 2,623 PPP and finance leases 84,560 2,890 Creditors - 75,642 Financial liabilities at contract amount 0 64,298 31 March 202431 March 2023 Accounting regulations require the “financial instruments” (investment, lending and borrowing of the Council) shown on the Balance Sheet to be further analysed into various defined categories. The investments, lending and borrowing disclosed in the Balance Sheet are made up of the following categories of “financial instruments”: Fair Value of Assets and Liabilities carried at Amortised Cost Financial assets (represented by lending and receivables) and financial liabilities (represented by borrowings) and are carried in the Balance Sheet at amortised cost. Fair values have been calculated with reference to the following: • The valuation date is 31 March 2023 • No early repayment or impairment is recognised • The discount factor used in the NPV calculations is the comparable new borrowing or deposit rate of the same financial instruments from a comparable lender with a published market rate at the valuation date, using bid process where applicable. A consistent approach has been applied to assets and liabilities. • For all Public Works Loan Board (PWLB debt), the new borrowing rate at 31 March has been used as the discount rate. • The fair values include accrued interest up to and including the valuation date. • Where an instrument will mature within the next twelve months, carrying amounts are assumed to approximate to fair value. • The fair value of trade and other receivables is taken to be the invoiced or billed amount. Changes in the Valuation Technique • There has been no change in the valuation technique used during the year for the financial instruments: Carrying Amount Fair Value Carrying Amount Fair Value £'000 £'000 £'000 £'000 Debtors 44,493 44,493 Financial Assets at Amortised Cost1 51,169 51,169 Creditors 75,642 75,642 Financial liabilities at contract amount1 64,298 64,298 Borrowing 626,136 574,824 Financial liabilities2 734,748 650,392 Other Long Term Liabilities 90,121 136,477 PPP and Finance Lease Liabilities2 84,560 109,315 31 March 2023 31 March 2024 1 The fair value is equal to the carrying amount because all Financial assets at amortised cost are either short term or at a fixed interest rate or a variable rate linked to base rate without significant transaction costs. The Council does not hold any equity investments in an unquoted market and, therefore, this type of investment is excluded from the above table. 2 The fair value is higher than the carrying amount because the Council’s portfolio of loans includes a number of fixed rate loans where the interest rate payable is higher than the rates available for similar loans at the balance sheet date. The commitment to pay interest above current market rates increases the amount that the Council would have to pay if the lender requested or agreed to early repayment of the loans. A further breakdown of types of borrowing held by the Council as at 31 March 2024 is noted below: Page 96
Page 97
Page 68 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Principal outstanding Accrued interest / EIR adjustment Carrying amount Principal outstanding Accrued interest / EIR adjustment Carrying amount £'000 £'000 £'000 £'000 £'000 £'000 2,410 1,736 4,146 PWLB 17,325 0 17,325 0 682 682 Mortgage loans 0 575 575 310,578 2,896 313,474 Local Authority 248,410 0 248,410 1,257 0 1,257 Other 1,257 0 1,257 314,245 5,314 319,559 Short Term Loans 266,992 575 267,567 234,066 0 234,066 PWLB 394,144 0 394,144 65,799 1,256 67,055 Mortgage loans 66,647 0 66,647 0 0 0 Local Authority 0 0 0 153 0 153 Other 50 0 50 300,018 1,256 301,274 Long Term Loans 460,841 0 460,841 31 March 2023 31 March 2024 Gains and Losses on Financial Instruments The gains and losses recognised in the Comprehensive Income and Expenditure Account in relation to financial instruments are made up as follows: Financial Assets: Loans & receivables Financial Liabilities: amortised cost Total Financial Assets: Loans & receivables Financial Liabilities: amortised cost Total £'000 £'000 £'000 £'000 £'000 £'000 344 0 344 Interest (investment) 1,185 0 1,185 Interest payable and similar charges 0 0 (22,967) (22,967) Interest/expense* 0 (26,467) (26,467) 0 151 151 (Gain)/Loss on de-recognition 0 151 151 344 (22,816) (22,472) Net (Gain)/loss in year 1,185 (26,316) (25,131) 31 March 2022 31 March 2023 * Interest/Expense has been calculated on an EIR basis where appropriate for market instruments. There has been no gain/loss on either of the following classes of financial instruments, as the Council does not own them: • available for sale financial assets • financial assets or liabilities at a fair value through profit and loss. Nature and Extent of Risks arising from Financial Instruments The Council activities expose it to a variety of financial risks: • Credit risk – the possibility that other parties might fail to pay amounts due to the Council; • Liquidity risk – the possibility the Council might not have funds available to meet its commitments to make payments; • Market risk – he possibility that financial loss might arise for the Council as a result of changes in such measures as interest rates and stock market movements. The Council’s management of treasury risks actively works to minimise the Council’s exposure to the unpredictability of financial markets and implementing restrictions to minimise these risks. The procedures for risk management are set out through a legal framework in the Local Government (Scotland) Act 2003 and the associated regulations. During 2023/24 these required the Council to comply with the CIPFA Prudential Code, the CIPFA Treasury Management in the Public Services Code of Practice and the Local Government Investments (Scotland) Regulations 2010. Overall these procedures require the Council to manage risk in the following ways: (i) by formally adopting the requirements of the Code of Practice (ii) by the adoption of a Treasury Policy Statement and treasury management clauses within its financial regulations/standing orders (iii) by approving annually in advance prudential and treasury indicators for the following three years in limiting the Council’s: Page 97
Page 98
Page 69 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 • overall borrowing. • maximum and minimum exposures to fixed and variable rates. • maximum and minimum exposures regarding the maturity structure of debt • maximum annual exposure to investments maturing beyond a year. (iv) by approving an investment strategy for the forthcoming year setting out its criteria for both investing and selecting investment. These are required to be reported and approved prior to the start of the year to which they relate. These items are reported with the annual treasury management strategy which outlines the detailed approach to managing risk in relation to the Council’s financial instrument exposure. Actual performance is reported to Members to assess the effectiveness of controls established. The 2024/25 annual Treasury Management Strategy which incorporates the prudential indicators was approved by Council on 27 March 2024 and is available on the Council website. The key issues within the strategy were: • the authorised limit for 2023/24 was set by Council at that meeting at £1,031.839m. This is the maximum limit of external borrowing • the operational boundary was expected to be £945.852m. This is the expected level of debt during the year • the maximum amounts of fixed and variable interest rate exposure were set at 100% and 50% based on the Council’s gross debt • the maximum exposures to the maturity structure of debt is detailed with refinancing and maturity risk. The Council has fully adopted all required CIPFA Codes and statutory regulation currently in force, and maintains written principles for overall risk management, as well as written policies and procedures covering specific areas such as credit risk, liquidity risk, refinancing/maturity risk and market risk. Management of Credit Risk Credit risk arises from the short-term lending of surplus funds to banks, building societies and other local authorities as well as credit exposures to the Council’s customers. It is the policy of the Council to place deposits only with a limited number of pre-approved UK banks and building societies whose credit rating is independently assessed as sufficiently secure by the Council’s treasury advisers and to restrict lending to a prudent maximum amount for each institution. The Council’s maximum exposure to credit risk in relation to investments in banks and building societies of £28.176m cannot be assessed on a general basis as the risk of any institution failing to make interest payments or repay principle sums is specific to each individual institution, however, recent experience has shown that the institutions invested in at the year-end are unlikely to default on their commitments. A risk of irrecoverability applies to all of the Council’s deposits but there was no evidence at 31 March 2024 that this was likely to happen. The following analysis summarises the Council’s maximum exposure to credit risk on other financial assets, based on past experience and current market conditions. Amount at 31 March 2024 Historical experience of non- payment adjusted for market conditions at 31 March 2024 Estimated maximum exposure to default and uncollectibility £'000 % £'000 Customers and other income 51,246 8.82 1,524 The Council does not hold any of the following in relation to financial assets: • collateral as security in case of default of investment; or • financial assets that would otherwise be past due or impaired but have been renegotiated. The council does not generally allow credit for customers, however currently £15.431m is past its due date for payment (2022/23: £15.057m). The past due amount can be analysed by age as follows: Total £'000 Less than three months 3,862 Three to six months 1,079 Six months to one year 1,830 More than one year 8,660 Total 15,431 Page 98
Page 99
Page 70 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 In general, provisions are made in accordance with Code Guidance, whereby a judgement is made regarding the probability of collection for each category of debt. This judgement is based upon the past experience of collecting each category of debt to calculate the appropriate percentage of each debt that may not be eventually recovered. It should be noted that due to the limitations on the available age analysis of rent arrears, the bad debt provision of this debt is based on the total value of the debt by tenant, and not by age past due. No financial assets have been individually determined to be impaired and no collateral is held on past due or impaired financial assets, therefore the Council has not obtained financial or non-financial assets during the financial year by taking possession of any collateral or calling on other credit enhancements. Management of Liquidity risk The Council manages its liquidity position through the risk management procedures noted above (i.e. the setting and approval of prudential indicators and the approval of the treasury and investment strategy reports), as well as through a comprehensive cash flow forecast management system, as required by the CIPFA Code of Practice. This seeks to ensure that cash is available when it is needed. The Council has ready access to borrowing from the Money Markets to cover any day to day cash flow need if required. The Council is required to provide a balanced budget through the Local Government Finance Act 1992, which ensures that sufficient funds are raised to cover annual expenditure. There is, therefore, no significant risk that the Council will be unable to raise finance to meet its commitments under financial instruments. Refinancing and Maturity Risk The Council maintains a significant debt portfolio and whilst the cash flow procedures above are considered against the refinancing risk procedures, longer term risk to the council relates to managing the exposure to replacing financial instruments as they mature. This risk relates to the maturing of longer term financial liabilities. The approved treasury indicator limits for the maturity structure of debt are the key parameters used to address this risk and the central treasury team address the operational risks within the approved parameters. This includes: • monitoring the maturity profile of financial liabilities and amending the profile as appropriate through either new borrowing or the rescheduling of the existing debt • monitoring the maturity profile of investments to ensure that sufficient liquidity is available for the Council’s day to day cash flow needs. The Council has safeguards in place to ensure that a significant proportion of its borrowing does not mature for repayment at any one time in the future to reduce the financial impact of re-borrowing at a time of unfavourable interest rates. No more than 50% of borrowings are due to mature within any financial year or within any rolling five-year period. The maturity analysis of financial liabilities is as follows: Creditors PPP Borrowing Total £'000 £'000 £'000 £'000 Less than one year 64,298 2,890 273,907 341,095 Between one and two years 7,478 67,269 74,747 Between two and five years 14,217 128,500 142,717 More than five years 62,864 265,071 327,935 64,298 87,449 734,747 886,494 Management of Market risk Changes in market interest rates influence the interest payable on borrowings and on interest receivable on surplus funds invested. For example, a rise in interest rates would mean an increase in the interest charges on borrowing at variable rates and an increased cost to the taxpayer. An increase in interest rates would also mean an increase in the income received on lending at variable rates and a reduction in cost for the taxpayer. Changes in market rates also affect the notional “fair value” of lending and borrowing. For example, a rise in interest rates would reduce the fair value of both lending and borrowing at fixed rates. Changes in the fair value of lending and borrowing do not impact upon the taxpayer and are confined to prescribed presentational aspects in the Accounts. Page 99
Page 100
Page 71 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The Council has a variety of strategies for managing the uncertainty of future interest rates and the financial impact on the Council: • it is the policy of the Council to limit its exposure to variable rate borrowing to a maximum of 50% of what it borrows • during periods of falling rates and where it is economically advantageous to do so, the Council will consider the repayment and restructuring of fixed interest rate debt • the Council takes advice from its specialist treasury advisers and actively monitors changes in interest rates to inform decisions on the lending of surplus funds, new borrowings and restructurings of existing borrowings • any potential for a financial impact on the Council is also significantly limited by the Scottish Government’s grant distribution mechanism that automatically adjusts for changes in interest rates in the government grant support the Council receives for “loan charges”. The interest rate profile of the Council’s borrowing is as follows: £'000 % Fixed Interest Debt 728,521 99.2 Variable Interest Debt 6,227 0.8 734,748 To illustrate the impact of changes in interest rates upon the Council, the following table shows the financial effect if rates had been 1% higher at 31 March 2024, with all other variables held constant: The impact of a 1% fall in interest rates would be as above but with the changes being reversed. Impact on tax payers and rent payers £'000 Increase on interest payable on variable debt borrowings 1 Increase in interest receivable on variable rate investments (1,185) Increase in government grant receivable for ‘loan charges’ (41) Impact on Income and Expenditure Account (1,225) Share of overall impact due credited to the HRA (526) Other accounting presentational changes Decrease in fair value of fixed rate debt borrowings (disclosure confined to notes to the core financial statements) 36,692 Management of Foreign Exchange Risk The Council does not lend or borrow in foreign currencies and has no exposure to gains or losses arising from movements in exchange rates. Page 100
Page 101
Page 72 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 22 Defined Benefit Pension Scheme As part of the terms and conditions of employment of its officers and other employees, the council offers retirement benefits. Although these benefits will not actually be payable until employees retire, the Council has a commitment to make the payments that needs to be disclosed at the time that employees earn their future entitlement. The Council participates in the following pension schemes: The Local Government Pension Scheme which is a defined benefit statutory scheme, operated as Strathclyde Pension Fund, and administered by Glasgow City Council in accordance with the Local Government Pension Scheme (Scotland) Regulations 1998. This is a funded scheme, meaning that the Council and employees pay contributions into a fund, calculated at a level intended to balance the pensions liabilities with investment assets. The employer’s contribution rate is set by the Fund actuaries following valuation. The employer contribution rate for 2023/24 was 19.3%, and 2024/25 is set at 6.5%. In 2023/24, the Council paid an employer’s contribution of £24.361m (2022/23 £21.084m). The Teachers’ Pension Scheme (Scottish Teachers’ Superannuation Scheme (STSS) which is a defined benefit scheme administered by the Scottish Public Pension Agency. The scheme is technically a multi-employer defined benefit scheme but is unfunded and the Scottish Government used a notional fund as the basis for calculating the employers’ contribution rate paid by local authorities. Due to the type of scheme, the Council is not able to identify its share of the underlying financial position and performance of the scheme with sufficient reliability for accounting purposes. For the purpose of this Statement of accounts, it is accounted for on the same basis as a defined contribution scheme. The employer pays a set contribution rate of 23% which is effective from 1 September 2019 and 2024/25 is set for 26%. This is charged directly to the revenue account for the Education service. The amount paid over in respect of employer’s contribution was £11.708m (2022/23 £11.100m) and in respect of expenditure for teachers added years, £0.056m payments were made (2022/23 £0.041m). The scheme is unfunded and all contributions (payable by members or employers) are paid to the Scottish Government, and the Scottish Government then meets the costs of all the benefits. A specific amount is held by the Scottish Government for this purpose. As a proportion of the total contributions into the Scottish Teachers Superannuation Scheme 2023/24, the Council’s own contribution equates to 1.66%. The Council is not liable to the scheme for any other entities obligations under the plan. Local Government Pension Scheme: Councils are required to disclose the capital cost of discretionary increases in pension payments agreed by the Council. In 2023/24 the capitalised costs that would have arisen from the early retiral of the Council employees and from predecessor authorities were as follows: £'000 2023/24 (408) In earlier years 43,420 Total 43,012 The Council fully complies with the International Accounting Standard (IAS 19) concerning the disclosure of information on the pension. IAS 19 states that although the pension benefits will not be paid until the employee retires, the Council has a commitment to make these payments and must disclose the cost of this in its accounts at the time employees earn their full entitlement. The Council therefore recognises the cost of the pension commitment within the Comprehensive Income and Expenditure Account when the employees earn their pension entitlement rather than when the benefits are paid as pensions. However, the cost to the taxpayer is calculated on the basis of pension contributions paid in the year, the cost of retirement benefits under IAS19 is reversed out, to ensure there is no impact on the overall cost to be funded by council tax and government grants. Page 101
Page 102
Page 73 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The following transactions have been made in the Comprehensive Income and Expenditure Account and Movement in Reserves Statement during the year: 2022/23 2023/24 £'000 £'000 Net cost of services 48,832 Current service cost 25,541 190 Past service cost 1,795 49,022 27,336 Financing and investment Income and Expenditure 1,839 Net interest expense (5,127) 50,861 Total post employment benefit charged to the Surplus or Deficit on the provision of Services 22,209 44,999 Expected return on assets (52,939) (27,468) Actuarial gains and losses arising from changes in demographic assumptions 0 (400,621) Actuarial gains and losses arising from changes in financial assumptions (28,752) 68,024 Actuarial gains and losses arising from experience assumptions 23,161 247,931 Change in the effect of the asset ceiling 2022-23 (253,855) Change in the effect of the asset ceiling 2023-24 344,336 (16,274) Total post employment benefit charged to the comprehensive income and expenditure statement 54,160 Movement in Reserves Statement (16,274) Reversal of gross charges made to surplus or deficit for post employment benefits (22,209) 24,253 Actual amount charged against the General Fund balance in the year - employer contributions payable to Scheme 27,538 7,979 Reversal of gross charges made to surplus or deficit for post employment benefits 5,329 The underlying assets and liabilities for retirement benefits attributable to the council as at 31 March are as follows: 2022/23 2023/24 £'000 £'000 1,033,063 Fair value of plan assets 1,135,350 (800,522) Present value of defined benefit obligations (833,026) (204,511) Asset ceiling adjustment (302,324) 28,030 Net assets in the Strathclyde Pension Fund 0 Present Value of Unfunded Liabilities (20,792) LGPS Unfunded (20,793) (18,258) Teachers’ pensions (18,167) (4,370) Pre Local Government Reorganisation (4,052) (15,390) Net pension asset/(liability) (43,012) The liabilities show the underlying commitments that the Council has in the long run to pay post-employment (retirement) benefits. The amount included in the Balance Sheet arising from the Council’s obligation in respect of its defined benefit plans is shown in the tables below. The net asset arising from the Council’s involvement in the defined benefit scheme totals £302.324m at 31 March 2024. However the funded obligation has been limited to nil in line with the accounting Page 102
Page 103
Page 74 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 requirements of IFRIC 14 to limit the recognition of a pension asset to the extent to which the Council can recover the benefits through either refunds or reduced contributions. As the Council is not able to withdraw from the scheme or recover funds directly, the asset is therefore limited to the forecast reductions in contributions as compared to the forecast future service costs. This has limited the recognition of the funded pension asset to nil. The Council has continued to recognise the unfunded element of its pension liabilities as there are no scheme assets to cover the future costs of these liabilities as they are due going forward. The Council’s Local Government Pension Scheme has a material surplus as at 31 March 2024. The Council accounts for its pension fund using International Accounting Standards IAS 19. The surplus asset is to be determined as outlined in IFRIC 14 based on the expected future reduction in accounting contributions. The fund remains open to new employees therefore the potential future benefits have been measured in perpetuity. The fair value of plan assets have increased by £102.287m. This is mainly due to strong investment returns. The estimated liabilities have increased by £32.504m, due to a 6.7% increase to accrued LGPS benefits which has increased the obligations. Pension Assets and Liabilities Liabilities have been valued on an actuarial basis using the projected unit method which assesses the future liabilities of the fund discounted to their present value. The liabilities have been assessed by Hymans Robertson, an independent firm of actuaries, contracted by Glasgow City Council to provide all IAS19 calculations on behalf of the councils within the Strathclyde Pension Fund. The funded obligation is noted below: £'000 % Active Members 372,203 47.1% Deferred Members 74,324 9.4% Pensioner Members 311,212 39.4% Pre-Local Government Re-organisation Members 32,273 4.1% 790,012 100% The movement during the year on the defined obligation is noted as: 2022/23 2023/24 £'000 £'000 1,107,892 Opening balance 800,522 48,832 Current service cost 25,541 30,292 Interest cost 38,026 6,446 Contributions by Members 7,002 (27,468) Actuarial gains/losses – change in demographic assumptions 0 (400,621) Actuarial gains/losses – change in financial assumptions (28,752) 62,154 Actuarial gains/losses – other experience 23,161 190 Past service costs/(gains) 1,795 (2,942) Estimated unfunded benefits paid (3,177) (24,253) Estimated benefits paid (31,092) 800,522 Closing Balance as at 31 March 833,026 Page 103
Page 104
Page 75 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The movement during the year on the fair value of the employer’s assets is: 2022/23 2023/24 £'000 £'000 1,052,202 Opening balance 1,033,063 (44,999) Expected return on assets 52,939 (5,870) Actuarial gains/ losses - other experience 0 28,453 Interest Income 49,077 6,446 Contributions by Members 7,002 21,084 Contributions by employer 24,361 2,942 Contributions in respect of unfunded benefits 3,177 (2,942) Estimated unfunded benefits paid (3,177) (24,253) Estimated benefit paid (31,092) 1,033,063 Closing Balance as at 31 March 1,135,350 The Council’s share of the pension fund asset at 31 March 2024 comprised: Quoted prices in Active Markets Prices not quoted in Active Market Total Quoted prices in Active Markets Prices not quoted in Active Market Total £'000 £'000 £'000 Asset Category £'000 £'000 £'000 201,732 1,853 203,585 Equity Securities 229,305 249 229,554 253,914 253,914 Private Equity 0 271,055 271,055 85,175 85,175 Real Estate 0 89,272 89,272 4,450 466,368 470,818 Investment funds and unit trusts 4,663 519,760 524,423 14,288 5,283 19,571 Cash and Cash Equivalent 1,768 19,278 21,046 220,470 812,593 1,033,063 Total 235,736 899,614 1,135,350 2022/23 2023/24 Assets are now held at bid value. Asset and Liability Matching strategy The main fund of Strathclyde Pension Fund does not have an asset and liability matching strategy (ALM) as this is used mainly by mature funds. The Fund does match, to the extent possible, the types of assets invested to the liabilities in the defined benefit obligation. As is required by the pensions and investment regulations, the suitability of various types of investment has been considered, as has the need to diversify investments to reduce the risk of being invested into narrow a range. The Fund invests in equities, bonds, properties and in cash. The Fund has now taken account of the national change to the Local Government Pension Scheme in Scotland such as the new career average revalued earning scheme (CARE) for future accruals. The actuarial valuation states that assets held on the valuation date were sufficient to cover 136% (2022/23 129%) of accrued liabilities at that date. Page 104
Page 105
Page 76 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 The principal actuarial assumptions used at the Balance Sheet date are as follows: 31 March 2023 31 March 2024 Long term expected return on assets 2.95% Pension increase rate 2.95% 3.65% Salary Increase rate 3.65% 4.75% Discount rate 4.75% Mortality Based on these assumptions, the average future life expectancies at the age of 65 are: 19.4 Current pensioners – Men 19.4 22.0 Current pensioners - Women 22.0 20.0 Future pensioners – Men 20.0 23.8 Future pensioners - Women 23.8 The above excludes any net pension liability that the Council may have to contribute to in respect of the Joint Boards of Partnership for Transport and Valuation. These costs are shown within each Joint Board’s Balance Sheet and the Council may be required to make an increased constituent contribution in the years when the liability fails to be met. The principal risks to the Council of the scheme are the longevity assumptions, statutory changes to the scheme, structural changes to the scheme (i.e. large-scale withdrawals from the scheme), changes to inflation, bond yields and the performance of the equity investments held by the scheme. These are mitigated to a certain extent by the statutory requirements to charge to the General Fund and Housing Revenue Account the amounts required by statute as described in the accounting policies note. Sensitivity Analysis In order to quantify the impact of a change in the financial assumptions used, the actuaries have calculated and compared the value of the scheme liabilities as at 31 March 2024 on varying bases. The approach taken is consistent with that adopted to derive at the IAS19 figures provided. To quantify the uncertainty around life expectancy, the actuaries have calculated the difference in cost to the employer of a one year increase in life expectancy. For sensitivity purposes, this is assumed to be an increase in the cost of benefits of around 3% to 5%. In practice the actual cost of a one year increase in life expectancy will depend on the structure of the revised assumption (i.e. if improvements to survival rates predominately apply at younger or older ages). The figures have been derived based on the membership profile of the Employer as at the date of the most recent actuarial valuation. The estimation of defined benefit obligation is sensitive to the actuarial assumptions. The sensitivity regarding the principal assumptions used to measure the schemes liabilities are set out below: Approximate % increase to Employer Liability Approximate monetary Amount (£'000) Real Discount Rate (0.5% decrease ) 2% 14,033 1 year increase in the member life expectancy 4% 33,321 Salary Increase Rate (0.5% increase) 0% 1,970 Pension Increase Rate (0.5% increase) 1% 12,290 The total contribution expected to be made to the Local Government pension scheme for 2024/25 is £7.758m. Page 105
Page 106
Page 77 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 23 Termination Benefits A number of savings options have been agreed at Council budget meetings to balance the Council budget. A number of these savings options were reliant on a reduction in the Councils staffing levels. The Council had forewarning of the level of savings required to balance the budget and had previously asked all Council employees to express an interest in voluntary redundancy. As a result of the budget savings options approved by the Council a number of employees have had their redundancy application accepted. Redundancy costs have been incurred in prior years in relation to the budget savings agreed. In each year, provision was made within the financial year for the costs of all employees who had accepted redundancy or where redundancy was probable as at 31 March ending that year, including accounting for costs for employees who confirmed redundancy by 31 March but left or were leaving after this date. Termination costs for all Council employees who have accepted redundancy by 31 March 2024 are recognised in the Exit Packages note in 2023-24, or in previous financial years. The total cost recognised in the Exit Packages note in 2023-24 is £0.060m for 1 employee and in 2022-23 was nil. These costs are detailed further in Table 8 of the Remuneration Report on page 30. The reduction in the staffing establishment includes posts from all services across the Council and reductions were in line with the savings agreed by the Council. There will be further redundancy costs incurred as the Council is required to make further savings to balance the budget in future years and the council have earmarked monies from the loans fund one-off reprofiling gain. Note 24 Unusable Reserves Reserves are created by appropriating amounts from the General Fund balance in the Movement in Reserves Statement. When expenditure to be financed from a reserve is incurred, it is charged to the appropriate service within the CIES. The reserve is then appropriated back into the General Fund balance in the Movement in Reserves Statement so that there is no net charge against Council Tax for the expenditure. Certain reserves are kept to manage the accounting process for non-current assets, financial instruments, retirement and employee benefits and do not represent usable resources for the authority. These reserves are explained on the following pages. Summary of Year-end Balances The total for Unusable Reserves in the Balance Sheet is made up of the following reserves: 31 March 2023 31 March 2024 £'000 £'000 219,210 Capital Adjustment Account 218,255 166,630 Revaluation Reserve 179,567 (15,390) Pension Reserve (43,012) (4,373) Employee Statutory Adjustment Account (4,536) (10,564) Financial Instruments Adjustment Account (9,914) 355,513 Total Unusable Reserves 340,360 Movement on balances - Capital Adjustment Account The Capital Adjustment Account absorbs the timing differences arising from the different arrangements for accounting for the consumption of non-current assets and for financing the acquisition, construction or enhancement of those assets under statutory provisions. Note 3 provides a summary of transactions posted to the Account during the year, apart from those involving the Revaluation Reserve. Page 106
Page 107
Page 78 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 31 March 2023 31 March 2024 £'000 £'000 224,788 Opening Balance 219,457 (36,246) Depreciation (36,741) (1,707) Impairment (5,397) 3,423 Increase in Depreciation Caused by Revaluation 0 0 Service concession adjustment 2,832 (337) Disposal of Fixed Assets (3,388) 17,263 Government Grants Applied 31,920 2,685 Capital Financed by Current Revenue (77) 9,784 Long Term Debt Payment 11,684 (196) To/from other statutory reserves 0 219,457 Closing Balance 220,290 Movement on Balances – Revaluation Reserve The revaluation reserve contains the gains made by the Council arising from increases in the value of its property, plant and equipment (and intangible assets). The reserve contains only revaluation gains accumulated since 1 April 2007, the date that the reserve was created. Accumulated gains arising before that date are consolidated into the balance on the capital adjustment account. 31 March 2023 31 March 2024 £'000 £'000 124,788 Opening Balance 166,631 47,632 Unrealised Gains on Revaluation of Assets 7,611 (1,959) Impairments and Losses on Revaluation of Assets 0 (3,830) Depreciation due to Revaluation of Assets 5,325 166,631 Closing Balance 179,567 Movement on Balances – Pensions Reserve The pension reserve absorbs the timing differences arising from the different arrangements for accounting for post- employment benefits and for funding benefits in accordance with statutory provisions. The triennial review by the Pension Fund in 2023 set employer’s contribution rates for the Council at 6.5% for the period 1 April 2024 to 31 March 2026 and 17.5% thereafter. 31 March 2023 31 March 2024 £'000 £'000 (55,690) Opening Balance (15,390) 67,135 Actuarial (Loss)/Gain (19,032) 24,026 Employer Contributions 24,361 (50,861) Reversal of IAS19 Entries (32,951) (15,390) Closing Balance (43,012) Movement on Balances - Employee Statutory Adjustment Account The Employee Statutory Adjustment Account absorbs the differences that would otherwise arise on the General Fund balance from accruing for compensated absences earned but not taken in the year e.g. annual leave entitlement carried forward at 31 March. Page 107
Page 108
Page 79 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 31 March 2023 31 March 2024 £'000 £'000 (4,100) Opening Balance (4,373) (273) Staff Accrual Movement (164) (4,373) Closing Balance (4,537) Movement on Balances - Financial instrument Adjustment Account The Financial Instruments Adjustment Account absorbs the timing difference arising from the different arrangements for accounting for income and expenses relating to certain financial instruments and for bearing losses or benefiting from gains per statutory provisions. The Council uses the account to manage premiums paid on the early redemption of loans. Premiums are debited to the comprehensive income and expenditure statement when they are incurred, but reversed out of the general fund balance to the account in the movement in reserves statement. Over time, the expense is posted back to the general fund balance in accordance with statutory arrangements for spreading the burden on council tax. In the Council’s case, this period is the unexpired term that was outstanding on the loans when they were redeemed. As a result, the balance on the account as at 31 March 2024 will be charged to the General Fund over the next thirty-seven years. 31 March 2023 31 March 2024 £'000 £'000 (11,440) Opening Balance (10,564) 662 Annual Write off of Premiums and Discounts 612 0 New Premiums and Discounts 0 214 Annual EIR Adjustment to Stepped Interest Instruments 39 (10,564) Closing Balance (9,913) Note 25 Related Parties The Council is required to disclose material transactions with related parties – bodies or individuals that have the potential to control or influence the Council or to be controlled or influenced by the Council. Disclosure of these transactions and balances allows readers to assess the extent to which the Council might have been constrained in its ability to operate independently or might have secured the ability to limit another party’s ability to bargain freely with the Council. The Scottish Government The Scottish Government has significant influence over the general operations of the Council, being responsible for providing the statutory framework within which the Council operates. The Scottish Government also provides the majority of the Council’s funding in the form of grants and prescribes the terms of many of the transactions that the Council has with other parties (such as Council Tax bills and Housing Benefits). Grants received from the Scottish Government are disclosed in Note 10 Taxation and Non-specific Grant Income on page 56. Elected Members Elected Members of the Council have direct control over the Council’s financial and operating policies. The total of members’ allowances paid in 2023-24 is shown within the Remuneration Report. There are no other significant related party transactions with members of the Council. Elected Members are required to declare an interest if he or she believes that there may be a perception that their decision making may be influenced in any way by a personal interest. Should this arise, the relevant Member does not take part in any discussion or decision relating to that interest. The Register of Interests of each Member is available on the Councils’ website: https://www.west- dunbarton.gov.uk/council/councillors-and-committees/councillors-allowances/. Senior Officers Senior Officers, as listed within the Remuneration Report, are required to declare an interest if he or she believes that there may be a perception that their decision making may be influenced in any way by a personal interest. Page 108
Page 109
Page 80 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Entities Controlled or Significantly Influenced by the Council The Council has entered into a number of transactions under subsidiaries, associates and other trading arrangements deemed to be a related party mainly through the Council’s ability to exert influence over the entity through its representation on the respective Boards. The relevant transactions with the bodies are detailed below. Income from Related Parties Expenditure to Related Parties Amounts due to Related Parties Amounts owed by Related Parties Income from Related Parties Expenditure to Related Parties Amounts due to Related Parties Amounts owed by Related Parties £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Subsidiaries West Dunbartonshire Leisure Trust (132) 6,085 0 0 0 0 0 0 Clydebank Property Company (50) 287 0 0 0 0 0 0 West Dunbartonshire Energy LLP 0 537 0 903 0 0 0 1,754 Associates and Joint Ventures Dumbartonshire and Argyll and Bute Valuation Joint Board 0 779 0 0 0 779 0 0 West Dunbartonshire Health & Social Care Partnership (83,178) 83,178 0 0 (84,996) 84,996 0 0 Non-Material Interest in Other Entities 0 0 0 Strathclyde Partnership for Transport 0 2,243 0 0 0 2,259 0 0 Strathclyde Concessionary travel Scheme Joint Board 0 163 0 0 0 166 0 0 Strathclyde Pension fund 0 2,218 0 0 0 779 0 0 Clydebank Municipal Bank 0 24 0 0 0 7 5 2 2022-2023 2023-2024 *Further details of these entities are disclosed in the group Accounts Note 30 Combining Entities. Note 26 Agency Services Where the Council acts as an agent for another entity, transactions are not reflected in the Council’s financial statements, with the exception of cash collected or expenditure incurred by the Council on behalf of the other entity, in which case there is a debtor or creditor position in the balance sheet for amounts due or owed. The Council bills and collects Non-Domestic Rates on behalf of the Scottish Government. During 2023-24 the Council collected £83.970 million and received £87.129 million to the Non-Domestic Rates pool (2022-23: £86.119 million and £83.772 million). The Council also bills and collects domestic water and sewerage charges on behalf of Scottish Water with the Council Tax. During 2023-24 the Council collected and paid over £15.614 million (2022-23: £15.419 million) and is due to receive £0.294 million (2022-23: £0.200 million) for providing this service. Note 27 Financial Guarantees In terms of West Dunbartonshire Leisure Trust’s admission to the Strathclyde Pension Scheme, the Council has guaranteed to accept liability for any unfunded pension costs should they cease to exist, withdraw from the Scheme or become unable to meet any unfunded liability. The Council has not quantified the possible liability. Note 28 Contingent Assets and Liabilities A contingent asset arises where an event has taken place that gives the Council a possible asset whose existent will only be confirmed by the occurrence or otherwise of uncertain future events not wholly within the control of the Council. Contingent assets are not recognised in the Balance Sheet but disclosed in a note to the accounts where it is probable that there will be an inflow of economic benefits. A contingent liability arises where an event has taken place that gives the Council a possible obligation whose existence will only be confirmed by the occurrence or otherwise of uncertain future events, not wholly within the control of the Council. Contingent liabilities also arise in circumstances where a provision would otherwise be made but either it is not probable that an outflow of resources will be required or the amount of the obligation cannot be measured reliably. Page 109
Page 110
Page 81 Notes to the Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Contingent liabilities are not recognised in the Balance Sheet but are disclosed as a note to the accounts, unless the possibility of an outflow of resources embodying economic benefits or service potential is remote. The Council has a residual contingent liability relating to those workers who have yet to settle their pay protection claims. The Council has outstanding Employment Tribunals, if the Employees’ action is successful will result in a liability to the Council. The removal of the limitation period for childhood abuse claims could result in a liability to the Council. The extent of any claims and resultant liability is unknown at this stage. The Council has a potential contingent liability relating to paid holiday entitlement, with approximately 350 live cases. Following an EU ruling UK employers are bound by employment law in relation to the definition of paid holiday entitlement. Case law has clarified that all pay elements intrinsically linked to the performance of a contract of employment should be included in the calculation of holiday pay, including payments made for additional working. The Council adjusted the method of calculation in August 2014 (backdated in line with the leave year to April) and has included on-going costs within the long term financial strategy. The legal position remains subject to challenge however, given the action taken, any potential claim by employees for any retrospective payments is likely to be minimal. As a result, whilst recognising there may be such a requirement, it is not possible to quantify such. The Council agreed the sale of land in 2023/24. £1.500m of the sale proceeds have been recognised in 2023/24 however depending on the outcome of planning decisions the Council could receive up to an additional £0.504m. The Council is not aware of any other contingent assets or liabilities which may be outstanding. Note 29 Fees Payable to External Auditors In 2023-24 the following fees relating to external audit and inspection were incurred alongside comparative figures for 2022-23: 2022-23 2023-24 £'000 Auditor's Remuneration £'000 323 Fees payable to External Auditors with regard to external audit services carried out by the appointed Auditor 331 323 Total Remuneration 331 The figure above includes fees for the audit of the Council’s charitable trusts. Forvis Mazars have been appointed as external auditors for 2023-24. Forvis Mazars did not undertake any non-audit work in 2023-24. Note 30 Events After the Balance Sheet Date These are events, both favourable and unfavourable, that occur between the end of the reporting period and the date when the Statement of Accounts is authorised for issue. An adjustment is made to the financial statements where there is evidence that the event relates to the reporting period; otherwise the financial statements are not adjusted, and where the amount is material, a disclosure is made in the notes. The Chief Officer - Resources issued the unaudited Statement of Accounts on 28 June 2024. There have been no material events after the balance sheet date which necessitate revision of figures in the financial statements or notes thereto including contingent assets or liabilities. Page 110
Page 111
Page 82 Housing Revenue Account West Dunbartonshire Council Annual Accounts 2023-24 Housing Revenue Account Movement on the Housing Revenue Account Statement This statement shows the movement in the year on the Housing Revenue Account reserve. The surplus or (deficit) on the housing revenue account income and expenditure statement is reconciled to the surplus or deficit for the year on the housing revenue account balance, calculated in accordance with the Housing (Scotland) Act 1987. 2022/23 2023/24 £'000 £'000 (2,734) Balance on the Housing Revenue Account as at 1 April (2,635) 262 Total Comprehensive Income and Expenditure (3,921) (1,104) Pension Scheme Adjustments (52) (72) Financial Instruments Adjustment 6 0 Holiday Pay Adjustment (12) (8,677) Reversal of entries included in the Surplus/Deficit on the Provision of Services in relation to capital expenditure (2,288) (9,853) Adjustments to the revenue resource (2,346) 0 Net gain or loss on sale of non-current assets 0 6,510 Statutory Repayment of Debt (Loans Fund Advances) 7,933 2,911 CFCR 0 9,421 Adjustments between Revenue and Capital Resources 7,933 (432) Total Statutory Adjustments 5,587 269 Transfers (to)/from Other Statutory Reserves 99 (Increase)/Decrease in Year 1,666 (2,635) Balance on the Housing Revenue Account as at 31 March (969) Housing Revenue Account Income and Expenditure Statement The HRA income and expenditure statement shows the economic cost in the year of providing housing services in accordance with generally accepted accounting practices rather than the amount to be funded from rents and government grants. The Council charges rents to cover expenditure in accordance with regulations; this may be different from the accounting cost. The increase or decrease in the year, on the basis of which rents are raised, is shown in the Movement on the HRA Statement. 2022/23 2023/24 £'000 £'000 Income (43,656) Dwelling Rents (net of voids) (46,789) (244) Other Rents (154) (2,027) Other Income (2,447) (45,927) (49,390) Expenditure 15,255 Repairs and Maintenance 15,788 14,315 Supervision and Management 14,747 13,178 Depreciation and Impairment 13,833 443 Other Expenditure 358 43,191 44,726 (2,736) Net Cost of Service as Included in the Council Comprehensive Income and Expenditure Statement (4,664) HRA Share of the Operating Income and Expenditure Included in the Comprehensive Income and Expenditure Statement (4,502) Recognised Capital Income (Grants, Contributions and Donations) (11,545) 0 Gain or Loss on the Sale of HRA Non Current Assets 0 6,914 Interest Payable and Similar Charges 11,483 0 Amortisation of Premiums and Discounts 1,004 821 Impairment Loss - Debtors (199) (235) HRA Interest and Investment Income 2,998 743 262 (Surplus)/Deficit for the year on HRA Services (3,921) Page 111
Page 112
Page 83 Housing Revenue Account West Dunbartonshire Council Annual Accounts 2023-24 Notes to the Housing Revenue Account Income and Expenditure Statement Note 1 The number and types of dwellings in the council’s stock The Council was responsible for managing 10,423 dwellings during 2023/24 (10,423 in 2022/23). The following shows an analysis of these dwellings by type. 2022/23 2023/24 Number at 31 March 2023 Average weekly rent Number at 31 March 2024 Average weekly rent £ Type of Dwelling £ 2,745 81.07 Two-apartment 2,745 84.92 4,701 83.37 Three-apartment 4,700 87.45 2,618 88.63 Four-apartment 2,633 92.54 338 96.13 Five-apartment 346 98.61 14 111.41 Six-apartment 14 116.98 3 238.15 Seven-apartment 3 250.06 2 97.40 Eight-apartment 2 102.27 2 97.40 Nine-apartment 1 102.27 10,423 Total 10,444 Note 2 Dwelling Rents The £46.789m noted in the Income and Expenditure Statement is the total rental income less voids chargeable for the year of £1.165m (2022/23 £1.740m). It excludes irrecoverables and bad debts. Average rents were £88.53 per week in 2023/24 (£84.59 per week in 22/23). Note 3 Other Rents This is the total income received from travelling person site rentals, lock-ups and shops less voids chargeable for the year, but excludes irrecoverables and bad debts. Lost rents from lock-ups in 2023/24 were £0.084m (£0.078m in 2022/23). Note 4 Rent arrears As at 31 March 2024, total rent arrears amounted to £4.641m (£4.345m as at 31 March 2023). This is 9.92% of the total value of rents due at 31 March 2024. It should be noted that the total arrears do not all relate to 2023/24 and the year on year movement in value of arrears is an increase of £0.296m. Note 5 Provision for Bad Debts In the financial year 2023/24, the rental bad debt provision has been increased by £0.080m (£0.116m increase in 2022/23). The provision to cover loss of rental income stands at £2.561m as at 31 March 2024 – equivalent of 63% (60% in 2022/23) of the total value of rents due at that date. Page 112
Page 113
Page 84 Council Tax Income Account West Dunbartonshire Council Annual Accounts 2023-24 Council Tax Income Account The Council Tax Income Account shows the gross income raised from Council Taxes levied and deductions made under statute. The resultant net income is transferred to the Comprehensive Income and Expenditure Statement of the Council. 2022/23 2023/24 £'000 £'000 56,288 Gross council tax 59,405 Less: (8,573) Council Tax Reduction Scheme Discount* (9,084) (7,092) Other discounts and reductions (7,750) (463) Provision for bad and doubtful debts (771) (847) Adjustments for prior years (1,006) 39,313 Transfer to General Fund 40,794 Dwellings are valued by the Assessor and placed within a valuation band ranging from the lowest “A” to the highest “H”. The Council Tax charge is calculated using the Council Tax Base, Band D equivalent as below. This value is then decreased or increased dependent upon the band of the dwelling. The charge for each band for 2023-24 was as follows: 2022/23 2023/24 £ per year £ per year 740.20 Band A* 777.21 888.24 Band A 932.65 1,036.28 Band B 1,088.10 1,184.32 Band C 1,243.54 1,332.36 Band D 1,398.98 1,750.57 Band E 1,838.10 2,165.09 Band F 2,273.34 2,609.21 Band G 2,739.67 3,264.28 Band H 3,427.50 Calculation of the Council Tax base Band No of Dwellings No of Exemptions Disabled Relief Discounts 25% Discounts 50% CTRS Discount Total Dwellings Ratio to Band D Band D Equivalent A(Disabled) 0 0 21 10 0 10 25 200/360 17 Band A 7,544 407 45 4,328 141 3,681 8,396 240/360 5,597 Band B 16,963 625 (15) 8,254 140 5,944 18,074 280/360 14,057 Band C 7,835 211 3 3,150 37 1,840 8,101 320/360 7,201 Band D 6,261 132 11 2,099 27 714 6,090 360/360 6,090 Band E 4,860 76 (41) 1,143 18 240 4,593 473/360 6,035 Band F 1,768 18 (12) 287 7 47 1,691 585/360 2,747 Band G 840 6 (10) 119 3 21 806 705/360 1,579 Band H 67 0 (2) 6 6 2 62 882/360 153 43,476 (551) 42,925 Provision for bad debt Council Tax Base Page 113
Page 114
Page 85 Non-Domestic Rates Income Account West Dunbartonshire Council Annual Accounts 2023-24 Non-Domestic Rates Income Account The Non-Domestic Rate Income Account is an agent’s statement that reflects the statutory obligation for billing authorities to maintain a separate Non-Domestic Rate Account. The statement shows the gross income from the rates and deductions made under the Local Government (Scotland) Act 1975 as amended by the Local Government Finance Act 1992 on non-domestic property. The net income is paid to the Scottish Government as a contribution to the national non-domestic rate pool. 2022/23 2023/24 £'000 £'000 96,645 Gross rates levied 95,539 Less: (8,997) Reliefs and other deductions (9,621) (966) Provision for bad and doubtful debts (954) 86,682 Net non-domestic rate income 84,964 (1,029) Adjustments for prior years (942) 466 Adjustments for prior years - bad debt (53) 86,119 Total Non Domestic Rate Income (before retention) 83,969 0 Non Domestic Rate Income Retained by the Council (BRIS) 0 86,119 Contribution to National Non Domestic Rate Pool 83,969 107,740 Distribution from National Non Domestic Rate Pool 93,396 (21,621) Net contribution to/(from) National Non Domestic Rate Pool (9,427) 107,740 Net Non Domestic Rate Income to Comprehensive Income & Expenditure Statement 93,396 The non-domestic rates pool operates on a cash accounting basis and as such the non-domestic rate income account within the Council is calculated on a similar basis. Analysis of Rateable Values Analysis of rateable Values: £ Rateable value at 1/4/23 185,670,660 Running roll (full year RV) (2,555,590) Rateable value at 31/3/24 183,115,070 Less: partially exempt (735,000) Less: wholly exempt (1,524,185) Net rateable value at 31 March 2024 180,855,855 Non-Domentic Rate Charge The amount paid for non-domestic rates is determined by the rateable value placed on the property by the Assessor multiplied by the rate per £ announced each year by the government. The national non-domestic rate poundage set by the First Minister for Scotland for 2023/24 was: 2022-23 2023-24 Pence Pence 49.8p Basic Property Rate per £ 49.8p 1.3p Suplementary Rate per £ for Properties between £51,000 and £100,000 1.3p 2.6p Suplementary Rate per £ for Properties over £100,000 2.6p Page 114
Page 115
Page 86 Common Good Fund West Dunbartonshire Council Annual Accounts 2023-24 Common Good Fund The Council administers the Dumbarton Common Good Fund Account. The Fund is applied for the benefit of the people of Dumbarton. The figures below summarise the income and expenditure for the year as well as the assets and liabilities as at 31 March 2024. The fund does not represent assets of the Council and has not been included within the Balance Sheet on page 33. Common Good Income and Expenditure Account for the year ended 31 March 2024 Usable Reserves Unusable Reserves Usable Reserves Unusable Reserves 2023-2024 Revenue Revaluation Reserve Total Revenue Revaluation Reserve Total £'000 £'000 £'000 £'000 £'000 £'000 287 287 Gross Expenditure 408 408 (320) (320) Gross Income (320) (320) (33) (33) Cost of Service 88 88 Interest Payable and Similar Charges - - (11) (11) Interest and Investment Income (24) (24) (11) (11) Financing and Investment Income and Expenditure (24) (24) (44) (44) (Surplus) or Deficit on Provision of Services 64 64 Other Income and Expenditure - - Unrealised gains on revaluation of land and buildings - (367) (367) (44) (44) (Surplus)/Deficit for the Year 64 (367) (303) (581) (3,487) (4,068) Balance on Reserves brought forward (625) (3,487) (4,112) (625) (3,487) (4,112) Balance on reserves carried forward (561) (3,854) (4,415) 2022/23 2023/24 Common Good Balance Sheet as at 31 March 2024 31 March 2023 31 March 2024 £'000 £'000 Non-current Assets 3,486 Investment properties 3,854 Current Assets 625 Investments – West Dunbartonshire Council 568 8 Debtors (5) Current Liabilities (8) Creditors falling due within one year (2) 4,111 Total assets 4,415 Funds 3,486 Capital Adjustment Account 561 625 General Fund 3,854 4,111 Total Funds 4,415 Page 115
Page 116
Page 87 Common Good Fund West Dunbartonshire Council Annual Accounts 2023-24 Note to the Common Good Note 1 Property, Plant and Equipment 2022-23 2023-24 £'000 £'000 Cost or Valuation At 1 April 3,487 3,487 Disposals in year Revaluation Adjustments 367 - Other reclassifications At 31 March 3,854 3,487 At 31 March 3,854 3,487 Other Land and Buildings Page 116
Page 117
Page 88 Trust Funds West Dunbartonshire Council Annual Accounts 2023-24 Trust Funds The Council acts as sole or custodian trustee for a number of trust funds, which may be used for various purposes depending on the terms of the Trust. In all cases, the funds do not represent assets of the Council and they have not been included within the Balance Sheet on page 32. Under the provisions of the “2005 Act” and the “Accounts Regulations” above, all registered charities in Scotland are required to prepare financial statements which must be externally scrutinised. The trust funds below are registered, under one registration, with the Office of the Scottish Charity Regulator. Management has reviewed the current arrangements for the trust funds to ensure the current arrangements reflect the needs of the Council and ensure that all obligations are met. Responsibility for the compliance with the new regulations was delegated to the Chief Officer - Resources. Receipt and Payment Account (Surplus)/ (Surplus)/ Receipts Payments Deficit ReceiptsPayments Deficit £'000 £'000 £'000 £'000 £'000 £'000 (2) 0 (2) Dunbartonshire Educational Trust Scheme 1962 (4) 0 (4) Endowments amalgamated to form trust 0 0 0 McAuley Prize for Mathematics (1) 0 (1) Provide prizes for those studying maths & computing (4) 6 2 Alexander Cameron Bequest (10) 0 (10) To encourage and support one-off community activities in Clydebank 0 5 5 Dr A K Glen Fund 0 0 0 Provide outings for Pensioners resident in Dumbarton 0 0 0 UIE Award (1) 0 (1) For students studying apprenticeships or training in industry (6) 11 5 Total (16) 0 (16) 2022/23 2023/24 Statement of Balances as at 31 March 2024 01 April 2023 (Surplus)/deficit for year 31 March 2024 Bank and Cash £'000 £'000 £'000 Dunbartonshire Educational Trust Scheme 1962 (93) (4) (97) McAuley Prize for Mathematics (22) (1) (23) Alexander Cameron Bequest (118) (4) (122) Dr A K Glen Fund 0 0 0 UIE Award (25) (1) (26) Total (258) (10) (268) Page 117
Page 118
Page 89 Group Comprehensive Income and Expenditure Statement West Dunbartonshire Council Annual Accounts 2023-24 Group Comprehensive Income and Expenditure Statement This statement shows the accounting cost in year, of providing services in accordance with relevant International Financial Reporting Standards, rather than the amount to be funded from taxation. The council raises taxation to cover expenditure in accordance with regulations; this may be different from the accounting cost. The taxation position is shown in the Movement in Reserves Statement. 2022/23 2022/23 2022/23 2023/24 2023/24 2023/24 Gross Gross Net Gross Gross Net Expenditure Income Expenditure Expenditure Income Expenditure £'000 £'000 £'000 Note £'000 £'000 £'000 Service 45,147 (40,366) 4,781 Resources 43,286 (44,946) (1,660) 10,586 (2,169) 8,417 Regulatory and Regeneration 9,848 (2,227) 7,621 12,999 (221) 12,778 People & Technology 12,328 (196) 12,132 19,317 (1,426) 17,891 Citizens, Culture and Facilities 15,176 (698) 14,478 140,073 (21,810) 118,263 Education, Learning and Attainment 149,724 (21,887) 127,837 39,262 (6,722) 32,540 Roads and Neighbourhood 31,058 (3,157) 27,901 39,155 (33,011) 6,144 Housing and Employability 12,646 (8,004) 4,642 10,641 (8,964) 1,677 Miscellaneous Services (1,651) (441) (2,092) 214,678 (122,556) 92,122 Health and Social Care Partnership 211,515 (124,778) 86,737 2,215 0 2,215 Requisitions 2,401 0 2,401 43,183 (45,927) (2,744) Housing Revenue Account 43,703 (49,416) (5,713) 9196 (3,782) 5,414 Subsidiaries 10,671 (4,538) 6,133 586,452 (286,954) 299,498 Net Cost of Service 540,705 (260,288) 280,417 (365) Other Operating Expenditure and (income) - (Gain) / loss on Disposal of non-current assets 306 25,510 Financing and Investment (Income) and Expenditure (Note 5) 30,125 (267,663) Taxation and Non-specific Grant Income (Note 6) (298,070) 56,980 (Surplus)/Deficit on Provision of Services 12,778 4,193 Share of other Comprehensive Income and Expenditure of Associates and joint Ventures (9,113) (45,031) (Surplus)/Deficit arising from revaluation of non-current assets (12,936) 0 (Surplus)/Deficit on revaluation of assets held at fair value through other comprehensive income 0 (67,135) Remeasurement of the net defined benefit pension liability 32,951 (107,973) Other Comprehensive (Income) and Expenditure 10,902 (50,993) Total Comprehensive (Income) and Expenditure 304,097 Page 118
Page 119
Page 90 Group Balance Sheet West Dunbartonshire Council Annual Accounts 2023-24 Group Balance Sheet The balance sheet shows the value, as at the balance sheet date, of the assets and liabilities recognised by the group. The net assets (assets less liabilities) are matched by the reserves held. Reserves are reported in two categories (pages 33 and 34 provides a further explanation). 31 March 2023 31 March 2024 £000 Note £000 1,122,069 Property, Plant and Equipment 16 1,179,740 6,967 Investment Properties 7,199 722 Intangible Assets 17 952 20 Long Term Debtors 2,047 1,518 Heritage Assets 19 1,524 (506) Long Term Investments 210 13,637 Investment in Associates & Joint Ventures 9,651 1,144,427 Long Term Assets 1,201,323 5,417 Asset Held for Sale 18 2,743 1,337 Inventories 1,330 62,110 Short Term Debtors 23 74,528 5,782 Cash and Cash Equivalents (net) 26 27,320 74,646 Current Assets 105,921 (75,642) Short Term Creditors 28 (64,910) (3,428) Provisions (2,237) (3,129) PPP 22 (2,890) (319,475) Short Term Borrowing 27 (266,347) (401,674) Current Liabilities (336,384) (87,498) PPP and Finance Lease Liabilities 22 (84,560) (300,471) Long Term Borrowing 27 (460,952) (15,390) Net Pensions Liability 13 (43,012) (3,397) Capital Grants Receipts in Advance 10 (5,317) Liabilities in associates (2,719) (406,756) Long Term Liabilities (596,560) 410,643 Net Assets 374,300 Represented by: (49,207) Usable Reserves MIR/30 (30,900) (361,436) Unusable Reserves MIR/31 (343,400) (410,643) Total Reserves (374,300) Page 119
Page 120
Page 91 Group Movement in Reserves Statement West Dunbartonshire Council Annual Accounts 2023-24 Group Movement in Reserves Statement This statement shows the movement in the year on the different reserves held by the group, analysed into ‘usable reserves’ (i.e. those that can be applied to fund expenditure or reduce local taxation) and other reserves. The surplus or (deficit) on the provision of services line shows the true economic cost of providing the group’s services, more details of which are shown in the Comprehensive Income and Expenditure Statement. These are different from the statutory amounts required to be charged to the General Fund balance and the Housing Revenue Account for council tax setting and dwelling rent setting purposes. The net increase/decrease before transfer to earmarked reserves line shows the statutory general fund balance and housing revenue account balance before any discretionary transfers to or from earmarked reserves undertaken by the Council. General Fund balance HRA Balance Capital Fund Capital Grants and Receipts Unapplied Account Other Reserves Total Usable Reserves Unusable Reserves Share of Subsidiaries, Associates & Joint Ventures Usable Reserves Share of Subsidiaries, Associates & Joint Ventures Unusable Reserves Total Reserves £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 2023/24 Balance at 31 March 2023 Carried Forward (29,304) (2,635) 0 (71) (262) (32,272) (355,514) (16,934) (5,923) (387,786) Movement in Reserve 2023/34 Total Comprehensive Expenditure and Income 16,422 (3,920) 0 0 0 12,502 20,015 4,058 0 36,575 Adjustments between accounting basis and funding basis under regulations (Note 6) 2,824 5,586 0 (3,082) 0 5,328 (5,328) 0 (279) 0 Net (Increase)/Decrease before Transfers to Other Statutory Reserves (10,058) 1,666 0 (3,082) 0 17,830 14,687 4,058 (279) 36,296 Transfers to/from other statutory reserves (3,009) 2,941 68 47 1 48 Closing Balance at 31 March 2023 (13,067) 1,666 0 (141) (194) (14,442) (340,827) (12,829) (6,202) (374,300) 2022/23 Balance at 31 March 2022 Carried Forward (15,020) (2,734) (830) (468) (19,052) (308,070) (22,022) (6,885) (356,029) Adjustment to the statutory repayment of debt for service concession arrangements - permitted flexability* (29,734) (29,734) 29,734 0 Opening Balance at 1 April 2022 (44,754) (2,734) (758) (71) (468) (48,786) (278,336) (22,022) (2,312) (351,456) 0 Movement in Reserve 2022/23 Total Comprehensive Expenditure and Income 51,241 262 0 0 0 51,503 (112,166) 5,187 (3,953) (59,429) Adjustments between accounting basis and funding basis under regulations (Note 6) (33,856) (432) (702) 0 0 (34,990) 34,988 (99) 101 0 Net (Increase)/Decrease before Transfers to Other Statutory Reserves 17,385 (170) (1,460) (71) 0 16,513 (77,178) 5,088 (3,852) (59,429) Transfers to/from other statutory reserves (1,935) 269 1,460 206 0 241 0 Closing Balance at 31 March 2022 (29,304) (2,635) 0 (71) (262) (32,273) (355,514) (16,934) (5,923) (410,644) Council Usable Reserves * See Accounting policy 21 and Note 22 of the financial statements for more information on the Service Concession Arrangement (SCA) flexibility Page 120
Page 121
Page 92 Group Cash Flow Statement West Dunbartonshire Council Annual Accounts 2023-24 Group Cash Flow Statement The cash flow statement shows the changes in cash and cash equivalents of the group during the reporting period. The statement shows how the group generates and uses cash and cash equivalents by classifying cash flows as operating, investing and financing activities. The amount of net cash flows arising from operating activities is a key indicator of the extent to which the operations of the authority are funded by way of taxation and grant income or from the recipients of services provided by the authority. Investing activities represent the extent to which cash outflows have been made for resources which are intended to contribute to the Council’s future service delivery. Cash flows arising from financing activities are useful in predicting claims on future cash flows by providers of capital (i.e. borrowing) to the group. 2022/23 2023/24 2023/24 £'000 £'000 £'000 Operating Activities 52,341 Net deficit on the provision of services 18,077 (37,954) Depreciation, amortisation and impairment (42,138) 365 Net gain/loss on fixed assets (306) (26,835) Movement in pension liabilities 5,329 67 Movement in inventories (39) (6,017) Movement in debtors 9,320 3,553 Movement in creditors and provisions 12,378 98 Other non-cash movements 0 (66,723) Adjustments to net deficit on the provision of services for non- cash movements (15,456) (6,569) Financing movements (11,170) 17,263 Investing movements 35,796 10,694 Adjustments for items included in the net surplus/deficit on the provision of services that are investing and financing activities 24,626 (3,688) Net cash inflow from Operating Activities 27,247 62,099 Purchase of property, plant and equipment and intangible assets 89,723 (702) Proceeds from sale of property, plant and equipment and intangible assets 3,084 461 Movement on long term investments 11 (18,568) Other receipts from investing activities (35,796) 982 Group Investment Transactions 192 44,272 Net cash outflows from investing activities 57,214 (313,846) Cash receipts of short-term and long-term borrowing (518,000) 2,339 Repayment of PPP liabilities 2,672 271,129 Repayment of short-term and long-term borrowing 409,328 (40,378) Financing Activities (106,000) 206 (21,539) 5,987 Cash and cash equivalents at the beginning of the reporting period 5,781 5,781 Cash and cash equivalents at the end of the reporting period 27,320 206 Movement – (Increase)/ Decrease in Cash (21,539) Page 121
Page 122
Page 93 Notes to the Group’s Principal Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 31 - Details of Combining Entities The notes required for the Financial Statements of the Council are disclosed separately in the preceding pages. Associates and Joint Ventures Dunbartonshire and Argyll and Bute Valuation Joint Board was formed in 1996 at local government re-organisation by an Act of Parliament. The Board maintains the electoral, council tax and non-domestic rates registers for the three councils of West Dunbartonshire, East Dunbartonshire and Argyll and Bute. The Board’s running costs are met by the three authorities, with surpluses and deficits on the Board’s operations also shared between the councils. In 2023/34, the Council contributed £0.796m (2022/23 £0.779m) or 28.03% of the Board’s estimated running costs and its share of the year end net asset of £0.373m (2022/23 £0.058m net liability) is included in the Group Balance Sheet. Copies of its accounts may be obtained from the Treasurer to the Valuation Joint Board, 16 Church Street, Dumbarton G82 1QL. The West Dunbartonshire Health & Social Care Partnership - the Public Bodies (Joint Working) Act (Scotland) 2014 sets out the arrangements for the integration of health and social care across the country. The Scottish Government approved the Integration Scheme for West Dunbartonshire which details the ‘body corporate’ arrangement by which NHS Greater Glasgow & Clyde Health Board and the Council agreed to formally delegate health and social care services for adults and children (including criminal justice, social work services) to a third body, which is described in the Act as an Integration Joint Board. The Integration Joint Board for West Dunbartonshire is known as the West Dunbartonshire Health & Social Care Partnership Board (HSCP Board) and started operations on 1 July 2015. The Board’s running costs are met by the two bodies mentioned above, with surpluses and deficits on the Boards operations also shared between them. In 2023/24, the Council contributed £84.995m (2022/23 £83.178m) towards estimated running costs and its share of the year end net asset of £9.327m (2022/23 £13.088m) is included in the Group Balance Sheet. Copies of its accounts may be obtained from the Chief Financial Officer to the Integration Joint Board, 16 Church Street, Dumbarton G82 1QL. The Council’s share of its associates and joint ventures are as follows: Dunbartonshires and Argyll and Bute Valuation Joint Board West Dunbartonshire Health & Social Care Total £'000 £'000 £'000 2023/24 Surplus/ (Deficit) on Operating Activities 59 (3,764) (4,311) Non Current Assets 189 0 128 Current Assets 188 9,547 13,484 Non Current Liabilities (49) 0 0 Current Liabilities (4) (220) (172) 2022/23 Surplus/ (Deficit) on Operating Activities 127 (4,193) 6,314 Non Current Assets 187 0 296 Current Assets 273 13,236 17,622 Non Current Liabilities (48) 0 0 Current Liabilities (28) (145) (101) Subsidiaries West Dunbartonshire Leisure Trust was formed in December 2011 and started trading on 5 April 2012. The Trust is a charitable company registered in Scotland and provides leisure facilities within the West Dunbartonshire area to the general public and operates sports centres, leisure centres, swimming pools, halls and community education centres owned by the Council. The Trust is paid a management fee by the Council for the provision of these services. The Trust’s net asset at 31 March 2024 was £2.628m (2022/23 £15.258m net asset) and its surplus for the year was £0.573m (2022/23 £0.094m). The accounts of the Trust are published separately and can be obtained from the Manager, Leisure Trust Headquarters, Alexandria CE Centre, Alexandria, G83 0NU which is also the company’s principal place of business. Page 122
Page 123
Page 94 Notes to the Group’s Principal Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Clydebank Property Company was part of a group organisation previously known as Clydebank Rebuilt which was a pathfinder urban regeneration organisation, limited by guarantee and included a commercial letting company (industrial units) and a registered charity (the Titan Trust). On 11 August 2014, following the transfer of the Titan Crane to the Property Company, the Council bought the commercial letting company with a view to continuing its regeneration objective. The Company’s net asset at 31 March 2024 was £3.128m (2021/22 £3.215m) and its surplus for the year before payment of a dividend was £0.000m (2021/22 £0.050m). The accounts of the Company are published separately and can be obtained from the Company’s Headquarters, Titan Enterprise, 1 Aurora Avenue, Queen’s Quay, Clydebank G81 1BF which is also the Company’s principal place of business. West Dunbartonshire Energy Limited Liability Partnership is a company established in April 2021 and was Scotland’s first large-scale water source heat pump district heating scheme. The ESCo is a Limited Liability Partnership (LLP) structure and is 99.9% controlled by WDC, with 0.1% being owned by Clydebank Property Company. Following its first year of inception, the Company has a net liability at 31 March 2024 of £1.059m (2022/23: £0.764m) funded as working capital advance from the Council. Its deficit for the year was £0.378m (2022/23: £0.400m). The accounts of the Company are published separately and can be obtained from the Company’s Headquarters, 16 Church Street, Dumbarton G82 1QE. Dumbarton Common Good is held in Trust by the Council. Although the council does not contribute to this fund financially, it has been included within the Council’s Group through materiality by nature. Net usable spend in 2023/24 was £0.064m (2022/23 £0.044m net usable spend). Trust Funds are held in Trust by the Council. Although the Council does not contribute to these funds financially, they have been included within the Council’s Group through materiality by nature. The net increase in funds of £0.010m (2022/23: net decrease of £0.005m) for the Trust Funds. For the purposes of the Group Accounts, two Trust Funds managed by the Council (Dunbartonshire Educational Trust and McAulay Prize for Mathematics Trust) have been consolidated based on the Council’s share of the assets. Copies of the accounts may be obtained from West Dunbartonshire Council, 16 Church Street, Dumbarton G82 1QL. The Council’s subsidiaries year end results are as follows: West Dunbartonshire Leisure Trust Clydebank Property Company WD Energy LLP Common Good Trust Funds Total £'000 £'000 £'000 £'000 £'000 £'000 2023/24 Surplus/ (Deficit) on Operating Activities (573) 155 (378) (64) 10 (850) Non Current Assets 105 3,845 0 3,854 0 7,804 Current Assets 4,294 625 1,049 563 268 6,799 Non Current Liabilities 0 (809) (1,910) 0 0 (2,719) Current Liabilities (1,771) (533) (198) (2) 0 (2,504) 2022/23 Surplus/ (Deficit) on Operating Activities 104 (206) (273) 60 (17) (332) Non Current Assets 360 4,376 0 3,485 0 8,221 Current Assets 4,963 355 196 589 184 6,287 Non Current Liabilities 0 (975) (397) 0 0 (1,372) Current Liabilities (1,855) (121) (72) (8) 0 (2,056) Note 31 – Non-Material Interest in Other Entities The Council has an interest in a number of other organisations. The Council’s share of their net assets or liabilities is not material to the fair understanding of the financial position and transactions of the Council. Accordingly, the Group Accounts do not include these organisations. Under Accounting Regulations, the Council is required to disclose the business nature of each organisation. Page 123
Page 124
Page 95 Notes to the Group’s Principal Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Strathclyde Partnership for Transport is the statutory body responsible for formulating the public transport policy on behalf of the 12 local authorities in the West of Scotland. In 2023/24, the Council contributed £1.422m (2022/23 £2.243m). Strathclyde Concessionary Travel Scheme Joint Board oversees the operation of the concessionary fares scheme for public transport on behalf of the 12 local authorities in the West of Scotland. The costs of the scheme are funded through requisitions from the 12 councils and by the Scottish Executive via a ‘section 70’ grant. In 2023/24, the Council contributed £0.166m (2022/23 £0.164m). Scotland Excel is a joint committee established through Section 57 of the Local Government (Scotland) Act 1973. The main purpose of the committee includes co-ordination of collaborative buying initiatives, representation of interests in public sector contracts, and the development and operation of a centre of procurement expertise for Local Government in Scotland. Hub West of Scotland is a public private Joint Venture development organisation established in 2012. They work with the public sector partners to plan, design, build, and fund and maintain buildings in the most efficient and effective manner delivering better value for money and ultimately improving public services. Hub West of Scotland comprises: Hub West Territory Participants, Scottish Futures Trust and The Wellspring Partnership. Business Loans Scotland Ltd was formed in March 2017 with 27 Scottish local authorities full members, including the Council, and the remaining five Scottish local authorities becoming associate members. In this respect, each member local council provides a level of loan finance for companies in their area under Phase 1, augmented in Phase 2 by Scottish Growth Scheme and European Regional Development Funding (ERDF). Note 32 – Financial Impact of Consolidation The effect of inclusion of the entities on the Group Balance Sheet is to increase reserves and net assets by £19.031m (2022/23 £22.857m) respectively representing the Council’s share of the realisable surpluses/deficits in these organisations. The group account has an overall net asset of £374.300m (2022/23 £407.186m). Note 33 – Analysis of Material Items of Group Income and Expenditure The following table provides an analysis of the council’s share of the material amounts as a result of the inclusion of the associates, joint ventures and subsidiaries. 2022/23 2023/24 £'000 £'000 2,481 Valuation Joint Board 324 13,088 West Dunbartonshire Health & Social Care 9,327 15,255 West Dunbartonshire Leisure Trust 2,628 3,212 Clydebank Property Company 3,128 (400) WD Energy LLP (1,059) 4,112 Common Good 4,415 180 Trust Funds 268 37,928 Total 19,031 Page 124
Page 125
Page 96 Notes to the Group’s Principal Financial Statements West Dunbartonshire Council Annual Accounts 2023-24 Note 34 - Group Accounting Policies: Disclosure of differences with main Statement of Accounting Policies The financial statements in the Group Accounts are prepared in accordance with the accounting policies set out in Note 1 with additions and exceptions noted below: Group Income and Expenditure Account Proceeds from disposal of fixed assets – profits and losses from the disposal of fixed assets are credited or debited to the Group Income and Expenditure Account within the net cost of services. The proceeds are then appropriated out after net operating expenditure. For those proceeds associated with the disposal of the Council’s assets, appropriation is to the Group Reserves. For those proceeds associated with the disposal of associates’ assets, appropriation is to the Group Income and Expenditure Reserve. Group Balance Sheet Inventories – valuation methods vary slightly across the Group. The Council uses cost price basis. The difference in valuation methods does not have a material impact on the results of the group given the levels of stock held within the organisations; and Pensions – West Dunbartonshire Leisure Trust complies with the Financial Reporting Standard FRS102 concerning the disclosure of information on pensions. There is no difference in the Profit and Loss Account by using this method in comparison with IAS19 (which is used by other group entities) therefore there is no impact on the results of the group. Page 125
Page 126
Page 97 Independent Auditor’s Report West Dunbartonshire Council Annual Accounts 2023-24 Independent Auditor’s report to the Members of west Dunbartonshire council and the Audit Commission Audit Arrangements Under arrangements by the Accounts Commission for Local Authorities, the auditor with the responsibility for the audit of the accounts of West Dunbartonshire Council is: Tom Reid Director Forvis Mazars 100 Queen Street Glasgow G1 3DN Statement The audit of the Council’s Accounts for 2023-24 is yet to be undertaken i.e. the figures are “subject to audit”. The certified Accounts will be presented to the Council for approval after audit. Page 126
Page 127
Page 98 Independent Auditor’s Report West Dunbartonshire Council Annual Accounts 2023-24 Page 127
Page 128
Page 99 Glossary of Terms West Dunbartonshire Council Annual Accounts 2023-24 Accounting Period: The period of time covered by the accounts, normally a period of twelve months commencing on 1 April. The end of the accounting period is the Balance Sheet date. Accruals: The concept that income and expenditure are recognised as they are earned or incurred, not as money is received or paid. Actuarial Gains and Losses (Pensions): For a defined benefit scheme, the changes in actuarial deficits or surpluses that arise because events have not coincided with the actuarial assumptions made for the last valuation (experience gains and losses) or the actuarial assumptions have changed. Asset: An item having value to the Council in monetary terms. Assets are categorised as either current or non-current. A current asset will be consumed or cease to have material value within the next financial year (e.g. cash and stock). A non- current asset provides benefit to the Council and to the Services it provides for a period of more than one year. Associates: These are entities (other than a subsidiary or a joint venture) in which the Council has a participating interest or over whose operating and financial policies the Council is able to exercise significant influence. Audit of Accounts: An independent examination of the Council’s financial affairs. Balance Sheet: A statement of the recorded assets, liabilities and other balances at the end of the accounting period. Capital Adjustment Account: This account absorbs the timing differences arising from the different arrangements for the consumption of non-current assets and for financing the acquisition, construction or enhancement of those assets under statutory provisions. Capital Expenditure: Expenditure on the acquisition of a non-current asset, which will be used in providing services beyond the current accounting period, or expenditure which adds to and not merely maintains the value of an existing non-current asset. Capital Financed from Current Revenue: This is expenditure incurred in creating, acquiring or improving assets where that expenditure is charged directly to the revenue account. Capital Financing: Funds raised to pay for capital expenditure. There are various methods of financing capital expenditure including borrowing, leasing, capital receipts and grants, and revenue funding. Capital Grants Unapplied Account: Holds the grants and contributions received towards capital projects for which the Council has met the conditions that would otherwise require repayment of the monies but which have yet to be applied to meet expenditure. Capital Receipt: The proceeds from the disposal of land or other non-current assets. CIES: The Comprehensive Income & Expenditure Statement (CIES) shows the accounting cost of providing services and managing the Council during the year. It includes, on an accruals basis, all of the Council’s day-to-day expenses and related income. It also includes transactions measuring the value of non-current assets actually consumed during the year and the real projected value of retirement benefits earned by employees during the year. The statement shows the accounting cost in accordance with generally accepted accounting practices, rather than the cost according to the statutory regulations that specify the net expenditure that Councils need to take into account when setting the annual Council Tax. The required adjustments between accounting basis and funding basis under regulations are shown in the Movement in Reserves Statement. CIPFA: The Chartered Institute of Public Finance and Accountancy (CIPFA) is one of the major accountancy bodies in the United Kingdom. It develops and sets accounting standards for the public sector. Page 128
Page 129
Page 100 Glossary of Terms West Dunbartonshire Council Annual Accounts 2023-24 The Code: The Code of Practice on Local Authority Accounting in the United Kingdom (The Code) is the basis on which local authority accounts are prepared. The Code is based on European Union adopted International Financial Accounting Standards (that are primarily drafted for the commercial sector) and where required it interprets and adapts these standards to address all the accounting issues relevant to local government in the UK. Community Assets: Assets that the Council intends to hold in perpetuity, that have no determinable useful life and that may have restrictions on their disposal. Examples of community assets are municipal parks. Consistency: The concept that the accounting treatment of like items within an accounting period and from one period to the next, are the same. Contingent Liability: A contingent liability is either • A possible obligation arising from past events whose existence will be confirmed only by the occurrence of one or more uncertain event, not wholly within the Council’s control; or A present obligation arising from past events where it is not probable that a transfer of economic benefits will be required, or the amount of the obligation cannot be measured with sufficient reliability. Creditor: Amounts owed by the Council for work done, goods received or services rendered within the accounting period, but for which payment has not been made by the end of that accounting period. Current Service Cost (Pensions): The increase in the present value of a defined benefit scheme’s liabilities, expected to arise from employee service in the current period. Debtor: Amount owed to the Council for works done, goods received or services rendered within the accounting period, but for which payment has not been received by the end of that accounting period. Defined Benefit Pension Scheme: Pension schemes in which the benefits received by the participants are independent of the contributions paid and are not directly related to the investments of the scheme. Depreciation: The measure of the cost of wearing out, consumption or other reduction in the useful economic life of the Council’s non-current assets during the accounting period, whether from use, the passage of time or obsolescence through technical or other changes. Discretionary Benefits (Pensions): Retirement awards, which the employer has no legal, contractual or constructive obligation to award and are awarded under the Council’s discretionary powers. Employee Statutory Adjustment Account: The Employee Statutory Adjustment Account absorbs the difference that would otherwise arise on the General Fund from accruing for compensated absences earned but not taken in the year e.g. annual leave entitlement carried forward at 31 March. Entity: A corporate body, partnership, trust, unincorporated association, or statutory body that is delivering a service or carrying on a trade or business with or without a view to profit. It should have a separate legal personality and is legally required to prepare its own single entity accounts. Equity: The Council’s value of total assets less liabilities. Events after the Balance Sheet Date: Events after the Balance Sheet date are those events, favourable or unfavourable, that occur between the Balance Sheet date and the date when the Annual Accounts are authorised for issue. Exceptional Items: Material items which derive from events or transactions that fall within the ordinary activities of the Council and which need to be disclosed separately by virtue of their size or incidence to give fair presentation of the accounts. Page 129
Page 130
Page 101 Glossary of Terms West Dunbartonshire Council Annual Accounts 2023-24 Fair Value: The fair value of an asset is the price at which it could be exchanged for in an arm’s length transaction, less where applicable, any grants receivable towards the purchase or use of the asset. Finance Lease: A lease that transfers substantially all the risks and rewards of ownership of a non- current asset to the lessee. Financial Instruments Adjustment Account: The Financial Instruments Adjustment Account absorbs the timing differences arising from the different arrangements for accounting for the income and expenses relating to certain financial instruments, and for bearing losses or benefitting from gains, per statutory provisions. General fund Balance: This contains the net surplus on the provision of Council services combined with balances from previous years and any contributions from other funds made during the year. General Revenue Grant: A grant paid by the Scottish Government to Councils, contributing towards the general cost of their services. Going Concern: The concept that the Annual Accounts are prepared on the assumption that the Council (and its Associate bodies) will continue in operational existence for the foreseeable future. Government Grants: Grants made by the Government towards either revenue or capital expenditure in return for past or future compliance with certain conditions relating to the activities of the Council. These grants may be specific to a particular scheme or may support the revenue spend of the Council in general. Gross Expenditure: This includes all expenditure attributable to the service and activity including employee costs, premises and transport costs, supplies and services, third party payments, support services and depreciation Gross Income: This includes grant income and all charges to individuals and organisations for the direct use of the Council’s services. Heritage Asset: A tangible or intangible asset with historical, artistic, scientific, technological, geophysical or environmental qualities that is held and maintained principally for its contribution to knowledge and culture. IFRS: International Financial Reporting Standards (IFRS) are a set of accounting standards developed by the International Accounting Standards Board (IASB) that is becoming the global standard for the preparation of public company financial statements and has been extended into the public sector in the UK. 43. Impairment A reduction in the value of a non-current asset to below its carrying amount on the Balance Sheet. Infrastructure Assets: Non-current assets belonging to the Council that cannot be transferred or sold, on which expenditure is only recoverable by the continued use of the asset created. Examples are highways, footpaths and bridges. Intangible Assets: An intangible (non-physical) asset may be defined as such when access to the future economic benefits it represents are controlled by the Council. This Council’s intangible assets are comprised solely of computer software licenses. Interest Cost (Pensions): For a defined benefit scheme, the expected increase during the period of the scheme’s liabilities because the benefits are one period closer to settlement. Inventories: Items the Council has procured and holds in expectation of future use. Examples are consumable stores and raw materials. Liability: A liability is where the Council owes payment to an individual or another organisation. A current liability is an amount which will become payable or could be called in within the next accounting period e.g. creditors or cash overdrawn. A non-current liability is an amount which by arrangement is payable beyond the next Page 130
Page 131
Page 102 Glossary of Terms West Dunbartonshire Council Annual Accounts 2023-24 year, at some point in the future, or is to be paid off by an annual sum over a period of time. MiRS: The Movement in Reserves Statement (MiRS) shows the movement in the year on the different reserves held by the Council, analysed into usable reserves (those reserves that can be applied to fund expenditure or to reduce taxation) and unusable reserves. National Non-Domestic Rates Pool: All Non- Domestic Rates collected by local authorities are remitted to the national pool and thereafter distributed to Councils by the Scottish Government. Net Carrying Value: The amount at which non- current assets are included in the Balance Sheet, i.e. their historical cost or current value less the cumulative amounts provided for depreciation. Non-current Assets: non-current Assets are not expected to be realised within 12 months and are held to provide future economic benefit to the Council. Operating Leases: A lease where the ownership of the non-current asset remains with the lessor. Past Service Cost (Pensions): For a defined benefit scheme, the increase in the present value of the scheme’s liabilities relating to employee service in prior periods arising in the current period as a result of the introduction of, or improvement to, retirement benefits. Pension Reserve: The Pension Reserve recognises the Council’s share of the actuarial gains and losses in the Strathclyde Pension Fund and the change in the Council’s share of the net liability chargeable to the CIES. Pension Scheme Liabilities: The liabilities of a defined benefit pension scheme for outgoings due after the valuation date. The scheme’s liabilities, measured using the “project unit method”, reflect the benefits that the employer is committed to provide for service up to the valuation date. Post-Employment Benefits: All forms of consideration given by an employer in exchange for services rendered by employees that are payable after the completion of employment e.g. pensions in retirement Prior Year Adjustment: Material adjustments applicable to previous years arising from changes in accounting policies or from the correction of fundamental errors. This does not include normal recurring corrections or adjustments of accounting estimates made in prior years. Provision: An amount put aside for future liabilities or losses which are certain or very likely to occur but the amounts or dates of when they will arise are uncertain. Public Works Loan Board (PWLB): A Central Government Agency which provides loans for one year and above to Councils at interest rates based on those at which the Government can borrow itself. Rateable Value: The annual assumed rental of land or property, which is for national Non-Domestic Rates purposes. Related Parties: Bodies or individuals that have the potential to control or influence the Council or to be controlled or influenced by the Council. For the Council’s purposes related parties are deemed to include the Elected Members, the Chief Executive and its Corporate Directors. Remuneration: All sums paid to or receivable by an employee and sums due by way of expenses or allowances (as far as these sums are chargeable to UK income tax) and the monetary value of any other benefits received other than in cash. Reserves: The accumulation of surpluses, deficits and appropriation over past years. Reserves of a revenue nature are available and can be spent or earmarked at the discretion of the Council. Some capital reserves such as the Revaluation Reserve cannot be used to meet current expenditure. Page 131
Page 132
Page 103 Glossary of Terms West Dunbartonshire Council Annual Accounts 2023-24 Residual Value: The net realisable value of an asset at the end of its useful life. Revaluation Reserve: Records unrealised gains arising since 1 April 2007 on the revaluation of fixed assets not yet realised through sales. Revenue Expenditure: The day-to-day expenses of providing services. Short-term Borrowing: Money borrowed where repayment is due in the following financial year. Significant Interest: The reporting authority is deemed to have Significant Interest if it is actively involved and is influential in the direction of an entity through its participation in policy decisions. Unusable Reserves: Reserves which hold unrealised gains and losses where amounts would only become available to provide services if the assets are sold and reserves that hold a timing differences. Usable reserves: Those reserves which the Council may use to provide services, subject to the need to maintain a prudential level of reserves and any statutory limitations on their use. Trust Funds: Funds administered by the Council for such purposes as awards and specific projects. Some of the Council’s Trust Funds are Charities. Useful Economic Life: The period over which the local authority will derive benefits from the use of a non-current asset. Page 132
Page 133
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 SUMMARY PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % Resources 2,036 3,190 1,154 56.7% Regulatory and Regeneration 3,792 3,168 (624) -16.5% People & Technology 10,490 10,462 (28) -0.3% Citizens, Culture and Facilities 14,816 14,893 78 0.5% Education, Learning and Attainment 120,349 124,333 3,984 3.3% Roads and Neighbourhood 17,434 19,962 2,528 14.5% 2,873 3,148 275 9.6% Miscellaneous Services 7,553 8,827 1,274 16.9% Vacancy Freeze 990 0 (990) -100.0% Loan Charges 13,976 14,247 271 1.9% Capital Receipts used to fund Loan Charges (2,884) (2,884) 0 0.0% Requisition (VJB) 732 779 47 6.4% Requisition (SPT) 1,588 1,588 0 0.0% Requisition (HSCP) 84,995 84,995 0 0.0% Non GAE Allocation (8,898) (8,857) 41 -0.5% Total Expenditure 269,842 277,852 8,010 3.0% Council Tax (40,254) (41,041) (787) 2.0% Revenue Support Grant (127,536) (128,080) (544) 0.4% Non Domestic Rates (93,396) (93,396) 0 0.0% Use of Reserves (8,656) (10,465) (1,809) 20.9% Total Resources (269,842) (272,982) (3,140) 1.2% Net Expenditure 0 4,870 4,870 1.8% Department Summary Variance Housing and Employability Page 133
Page 134
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 RESOURCES SUMMARY PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % 90 76 (14) -16% 1,564 1,551 (13) -1% (341) 165 506 -148% 2,301 2,316 15 1% 333 346 13 4% 17 (37) (54) -315% (798) (1,147) (349) 44% Office Accommodation 1,231 1,593 362 29% Corporate Assets (2,361) (1,634) 727 -31% 0 (39) (39) 0% 2,036 3,190 1,154 57% Total Net Expenditure Finance Cost of Collection of Council Tax Cost of Collection of Rates Rent Rebates & Allowances Corporate Asset Maintenance Variance Service Summary Service / Subjective Summary Finance Business Centre Audit Revenues & Benefits Page 134
Page 135
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 REGULATORY AND REGENERATION SUMMARY PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % 802 774 (28) (0) 766 755 (11) (0) (143) (238) (95) 1 890 852 (38) (0) 714 201 (513) (1) 589 624 35 0 Economic Development 174 200 26 0 3,792 3,168 (624) (0) Democratic and Registration Service Legal Services Licensing Environmental Health Planning Variance Total Net Expenditure Service / Subjective Summary Service Summary Procurement Page 135
Page 136
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 PEOPLE AND TECHNOLOGY PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % 835 830 (5) -1% 2,073 2,080 7 0% 4,688 4,683 (5) 0% Central Administration Support 2,893 2,869 (24) -1% 10,490 10,462 (28) 0% Variance Total Net Expenditure Transactional Services Information Services Strategic People and Change Service / Subjective Summary Service Summary Page 136
Page 137
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 CITIZENS, CULTURE AND FACILITIES PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % 267 233 (35) -13% 1,394 1,394 (0) 0% 244 220 (24) -10% Clydebank Town Hall 345 289 (56) -16% Libraries 1,865 1,834 (31) -2% Arts and Heritage 311 339 28 9% Catering Services 4,786 4,775 (10) 0% Building Cleaning 1,854 1,914 61 3% Building Cleaning PPP (187) (136) 50 -27% Facilities Assistants 2,394 2,411 17 1% Facilities Management 578 609 32 5% Communities 917 951 34 4% Events 48 61 13 28% 14,816 14,893 78 1% Variance Total Net Expenditure Citizen Services Service / Subjective Summary Service Summary Communications & Marketing Performance & Strategy Page 137
Page 138
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 EDUCATION, LEARNING AND ATTAINMENT PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % Primary Schools 33,554 33,207 (347) -1% Secondary Schools 33,392 33,301 (91) 0% Specialist Educational Provision 17,600 20,771 3,171 18% Psychological Services 621 585 (36) -6% Sport Development / Active Schools 627 551 (76) -12% Early Education 9,759 9,602 (157) -2% PPP 16,501 17,556 1,055 6% Creative Arts 658 634 (24) -4% Curriculum for Excellence 92 96 4 4% Central Admin 956 1,202 247 26% Workforce CPD 369 328 (41) -11% Performance & Improvement 457 454 (2) -1% Education Development 2,065 2,133 68 3% Raising Attainment - Primary 560 560 0 0% Leisure Management 3,701 3,916 215 6% Raising Attainment - Secondary (560) (560) 0 0% Pupil Equity Fund (including LAC PEF) 0 0 0 0% 120,349 124,333 3,984 3% Variance Service Summary Service / Subjective Summary Total Net Expenditure Page 138
Page 139
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ROADS AND NEIGHBOURHOOD PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % Transport, Fleet & Maintenance Services (540) 64 604 -112% Roads Services 3,106 3,894 788 25% Grounds Maintenance & Street Cleaning Client 7,416 7,415 (1) 0% Outdoor Services 197 298 101 51% Burial Grounds (265) (218) 47 -18% Crematorium (1,101) (952) 149 -14% Waste Services 9,868 10,455 587 6% Depots (1) (0) 1 -116% Capital Investment Programme (5) 1 6 -118% Consultancy Services 1,009 1,034 26 3% Ground Maintenance & Street Cleaning Trading A/c (2,250) (2,029) 221 -10% 17,434 19,962 2,528 15% Service / Subjective Summary Service Summary Variance Total Net Expenditure Page 139
Page 140
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 HOUSING AND EMPLOYABILITY PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % Working 4 U 2,328 2,584 256 11% Homeless Persons 552 828 276 50% Private Sector housing 18 15 (3) -17% Private Sector Housing Grants 83 0 (83) -100% Housing Maintenance Trading A/c (550) (569) (19) 3% Housing Asset and Investment 50 0 (50) -100% Anti Social Behaviour 392 291 (101) -26% 2,873 3,148 276 10% Variance Total Net Expenditure Service / Subjective Summary Service Summary Page 140
Page 141
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 MISCELLANEOUS PERIOD END DATE 31 March 2024 Total Budget Actual Spend Annual RAG Status £000 £000 £000 % 5,590 6,918 1,328 24% 701 671 (30) -4% 1,262 1,238 (24) -2% 7,553 8,827 1,274 17% Variance Total Net Expenditure Service / Subjective Summary Chief Executive and Chief Officers Service Summary Sundry Services Members Allowances, etc Page 141
Page 142
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % Rent Rebates & Allowances (341) 165 506 -148% Service Description Main Issues / Reason for Variance Office Accommodation 1,231 1,593 362 29% Service Description Main Issues / Reason for Variance Cost of Collection of Rates 17 (37) (54) -315% Service Description Main Issues / Reason for Variance Cost of Collection of Council Tax (798) (1,147) (349) 44% Service Description Main Issues / Reason for Variance Corporate Assets (2,361) (1,634) 727 -31% Service Description Main Issues / Reason for Variance This service provides asset and estate management Savings options have not been realised in respect of re letting of proposed sites, which has therefore left the Council liable. 23/24 shortfall to be funded from the smoothing fund. This service provides the office buildings for the Council. The overspend is mainly due to higher rates and energy costs than anticipated when the budget was set. 31 March 2024 This service collects Council tax from local residents. The services also provides support and advice to those residents regarding council tax Budget Details The favourable variance in this service is due to a higher incidence of Statutory Additions being applied to outstanding debts owed to the council. An additional 10% charge is levied to debts when they have remained unpaid. Variance Analysis Variance Reduction in overpayment (OP) recoveries is due to DWP recovering some HB OP’s against Universal Credit, subject to the OP reason. Previously the Council would have received 40% subsidy in OP’s with the ability to recover 100% of the OP, therefore a potential to receive up to 140% of the OP value. This change means we receive 100% subsidy of the OP therefore a reduction from the potential 140% that could have been recovered. Resources Payment of Rent Rebates and other Allowances The favourable variance in this service is due to a higher incidence of Statutory Additions being applied to outstanding debts owed to the council. An additional 10% charge is levied to debts when they have remained unpaid. This service collects Non Domestic Rates from local (and some national) organisations on behalf of Scottish Government Page 142
Page 143
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Licensing (143) (238) (95) 67% Service Description Main Issues / Reason for Variance Planning 714 201 (513) -72% Service Description Main Issues / Reason for Variance There are two main favourable variances; income received is higher than budgeted due to one-off additional fees. As such, this additional income is an in- year benefit only. Staffing is favourable due to vacancies. This Service provides Building & Planning services This service provides all licensing on behalf of the Council The main reason for the variance is an increase in expected income. Regulatory and Regeneration Page 143
Page 144
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Building Cleaning 1,854 1,914 61 3% Service Description Main Issues / Reason for Variance Building Cleaning PPP (187) (136) 50 -27% Service Description Main Issues / Reason for Variance Clydebank Town Hall 345 289 (56) -16% Service Description Main Issues / Reason for Variance Cleaning material costs greater than anticipated. This service provides cleaning services across all council buildings The main reason for the favourable variance is expenditure on property costs and supplies & services being less than budgeted This service provides cleaning services to PPP schools Cleaning material costs greater than anticipated. The service provides civic accommodation and facilities within Clydebank Citizens, Culture and Facilities Page 144
Page 145
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Primary Schools 33,554 33,207 (347) -1% Service Description Main Issues / Reason for Variance Secondary Schools 33,392 33,301 (91) 0% Service Description Main Issues / Reason for Variance Education , Learning and Attainment This service area includes all Primary Schools. The principal adverse variances are an increase in the caseload for clothing grants (£66k) and an overspend against employee costs (£245k) , mainly APT&C following the increase in turnover targets . Other property costs are greater than expected (£36k) principally due to fencing requirements at Our Lady of Loretto. SPT bus contract costs are also anticipated to be higher (£36k) than when the budget was set. Offsetting this is a favourable variance against school meals income following an alteration in the timetable for the expansion of free school meals to primaries 6 and 7 (£220k) albeit income from lets is adverse (£19k). Utility prices have been particularly volatile over the past 18 months. Electricity and gas budgets were increased by about 11% for 2023/24 . However, actual prices for electricity have increased by up to 70% while gas prices have fallen by 22%. The overall impact has been favourable with an aggregate favourable variance of £497k. This service area includes all Secondary Schools. The reason for this favourable variance is due to the cost of utilities being less than expected. Page 145
Page 146
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Specialist Educational Provision 17,600 20,771 3,171 18% Service Description Main Issues / Reason for Variance Leisure Management 3,701 3,916 215 6% Service Description Main Issues / Reason for Variance This service area covers all ASN Services. The management fee to WDLT has been higher because of delays in the reduction in community facilities provision. In addition budgeted contribution from Education towards overall management fee overstated.The unachieved saving will be considered for funding from the smoothing fund for 2023/24 Payment to West Dunbartonshire Leisure Trust for leisure services The principal adverse variances are an overspend on APT&C employee costs (£291k) following the increase in turnover targets and the knock-on effects of last year's higher pay increase . Transport costs will be significantly over-budget due to difficulties sourcing sufficient taxis with a subsequent need to replace them with buses (£299k). The number of pupils on day placements is now 2 per month greater than last year's and the average increase in daily rates from providers is 28% .Day placement costs are therefore significantly higher (£780k) while residential placements (£2.051m) are 33% greater at a time when residential placement costs have also increased considerably. There is an adverse variance against the budget for placements with other local authorities (£67k) and projected income from other local authority placements within West Dunbartonshire is also adverse (£96k). Property costs (£13k) are favourable because of backdated rates relief offsetting higher electricity costs. Income to assist with Ukrainian pupils (£176k) has been received and will offset additional employee costs. Page 146
Page 147
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Sport Development / Active Schools 627 551 (76) -12% Service Description Main Issues / Reason for Variance Early Education 9,759 9,602 (157) -2% Service Description Main Issues / Reason for Variance PPP 16,501 17,556 1,055 6% Service Description Main Issues / Reason for Variance Central Admin 956 1,202 247 26% Service Description Main Issues / Reason for Variance Education Development 2,065 2,133 68 3% Service Description Main Issues / Reason for Variance The reason for this adverse variance relates to the increased cost of free school meals. This service includes spend in areas such as technician service, language programmes and senior phase programme. This service area includes all Sports Development and Active School Activities within West Dunbartonshire. The reason for this adverse variance is due to the Unitary charge being higher than assumed within budget due to a higher inflation rate being applied. This service area includes Vale of Leven, Clydebank High and St Peter the Apostle High Schools and St Eunan's Primary School. The costs charged to this service are Property costs and the Unitary charge. This service area covers Education Directorate A small favourable variance has occurred due to the receipt of unbudgeted income, offsetting an increase in payments to other bodies. The reason for this adverse variance is in relation to the increase cost of supplies and services. The reason for this favourable variance is due to the cost of utilities being less than expected. This services area includes all Early Years establishments within West Dunbartonshire. Page 147
Page 148
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Roads Services 3,106 3,894 787 25% Service Description Main Issues / Reason for Variance Transport, Fleet & Maintenance Services (540) 64 603 -112% Service Description Main Issues / Reason for Variance Transport services across WDC This service relates to Roads operations, design, structures, street lighting, road safety and school crossing patrols The cost of specialist repairs and materials/parts has increased to levels not reflected in current budgets and overtime is over budget. VTU income remains adverse (£55k) due to continuing restrictions on what MOTs are undertaken. Overall income less than budget following reassessment of HSCP recharges. Roads and Neighbourhood Plant hire costs have increased during the year to a level not foreseen when the budget was set (£309k) . Similarly, street lighting costs have increased during the year to a level not anticipated when the budget was set due to unique inflationary pressures (£243k). Miscellaneous property costs are also (£19k) greater than anticipated (the largest being the depot cost allocation including a higher electricity element and non-domestic rates charges). Payments to contractors/materials (£353k) are higher than anticipated when the budget was set. Some of these higher operating costs have been recovered in greater income. Page 148
Page 149
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Outdoor Services 197 298 101 51% Service Description Main Issues / Reason for Variance Crematorium (1,101) (952) 149 -14% Service Description Main Issues / Reason for Variance Waste Services 9,868 10,455 587 6% Service Description Main Issues / Reason for Variance Ground Maintenance & Street Cleaning Trading A/c (2,250) (2,029) 222 -10% Service Description Main Issues / Reason for Variance Employee costs are higher due to higher turnover targets and higher overtime than reflected in the budget (£269k) . Transport costs, principally hires, are greater than anticipated when the budgets were set because of delays in acquiring new vehicles (£512k) and property costs (principally repairs and electricity) were higher than budgeted .Supplies and Services, principally waste removal charges, were lower due changes to collection methods (£232k). Income from fees and charges less than budgeted (£73k). Other costs - principally electricity - are higher than when the budget was set. Income from cremations is less than budgeted . Trading operation providing grounds maintenance and street cleaning services This service covers the outdoor sporting facilities provided by WDC and public conveniences This service provides crematorium services within the Council area Employee costs are over-budget because of a combination of turnover not being achieved and higher than anticipated overtime). Overall income was less than the levels anticipated when the budget was set. Waste Collection and Refuse disposal services Page 149
Page 150
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Working 4 U 2,328 2,584 256 11% Service Description Main Issues / Reason for Variance Homeless Persons 552 828 276 50% Service Description Main Issues / Reason for Variance Private Sector Housing Grants 83 0 (83) -100% Service Description Main Issues / Reason for Variance Anti Social Behaviour 392 291 (101) -26% Service Description Main Issues / Reason for Variance This service seeks to prevent homelessness occurring across the authority and improves access to support services Referrals for grant were lower than anticipated during 2023/24 due to staffing pressures in neighbouring service. These will be caught up during 2024/25. The adverse variance is due to the inflationary effect on costs of white goods and furniture together with requirement to retain bed and breakfast places due to demand / delay in having WDC properties available. Favourable variance due to vacant post plus reduced recharges from HRA. This service provides assitance to private owners with regards to repairs and home improvements This is the provision of Working 4u service This is the provision of the anti social behaviour service within the Council area Housing and Employability The favourable variance reflects an in-year reduction in payments to other bodies. Page 150
Page 151
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Housing Asset and Investment 50 0 (50) -100% Service Description Main Issues / Reason for Variance Sundry Services 5,590 6,918 1,328 24% Service Description Main Issues / Reason for Variance Vacancy Freeze 990 0 (990) -100% Service Description Main Issues / Reason for Variance Council Tax (40,254) (41,041) (787) 2% Service Description Main Issues / Reason for Variance Miscellaneous This service area budgets for non departmental specific costs such as pensions costs, external grants, external audit fees and insurance costs. The service heading also holds a number of general savings options which have still to be fully allocated eg procurement targets. There are a number of reasons for this variance: an increase in the cost of insurance (£0.300m). The Council's insurance policies have recently been renewed and the revised policies have increased excesses with an increased requirement of "self-insurance"; the accounting treatment of the cost of living capital expenditure being funded by revenue (£0.275m) and the remaining balance is the result of the procurement savings target not being fully achieved. Employee costs are showing a favourable variance due to vacant posts within the service. Employee cost underspend is offset by a reduction in the level of income being recharged to the Housing Revenue Account. This service manages capital investment across council and private sector housing stock. Other This budget represents the removal of budgeted vacancies from service departments. The favourable variance reflects the non filling of vacancies due to the implementation of recruitment restrictions. This funding details the amount of income anticipated to be collected from residents in the form of Council Tax. This favourable variance is due to an increase in the amount of council tax collected, which resulted in the bad debt provision being less than originally anticipated. Resources Page 151
Page 152
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Actual Spend RAG Status £000 £000 £000 % 31 March 2024 Budget Details Variance Analysis Variance Revenue Support Grant (127,536) (128,080) (544) 0% Service Description Main Issues / Reason for Variance Use of Reserves (8,656) (10,465) (1,809) 21% Service Description Main Issues / Reason for Variance This budget represents the use of General Fund Reserves. The budgeted amount of reserves reflects the amount that was required to balance the budget at the beginning of the financial year. Since then, additional amounts have been identified for use, from within the earmarked balances, including the use of the smoothing fund, to fund the cost of those savings options which will not be achieved fully in year. This income represents the funding received from the Scottish Government known as the "Revenue Support Grant". Additional general revenue grant income which has been increased to reflect the final Scottish Government payment profile. This favourable variance mainly represents further Ukraine Refugee Resettlement funding. Page 152
Page 153
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 HRA REVENUE BUDGETARY CONTROL 2023/24 PERIOD END DATE Subjective Summary Total Budget 2023/24 £000 Spend to Date 2023/24 £000 Forecast 2023/24 £000 Annual RAG Status Employee Costs 7,669 8,037 8,037 368 5% Property Costs 2,377 2,518 2,518 141 6% Transport Costs 142 153 153 11 0% Supplies, Services And Admin 389 408 408 19 5% Support Services 2,720 2,766 2,766 46 2% Other Expenditure 534 801 801 267 50% Repairs & Maintenance 16,257 15,063 15,063 (1,194) -7% Bad Debt Provision 1,089 1,094 1,094 5 0% Void Loss (Council Tax/Lost Rents) 1,261 1,518 1,518 257 20% Loan Charges 15,476 19,422 19,422 3,946 25% CFCR 1,729 0 0 (1,729) -100% Total Expenditure 49,643 51,780 51,780 2,137 4% House Rents (47,728) (47,954) (47,954) (226) 0% Lockup Rents (217) (211) (211) 6 -3% Factoring/Insurance Charges (1,434) (1,499) (1,499) (65) 5% Other rents (117) (121) (121) (4) 3% Interest on Revenue Balance (30) (199) (199) (169) 563% Miscellaneous income (117) (130) (130) (13) 11% Transfer from / to Reserves 0 (1,666) (1,666) (1,666) 0% Total Income (49,643) (51,780) (51,780) (2,137) 4% Net Expenditure 0 0 0 0 31 March 2024 Forecast Variance 2023/24 £000 % Page 153
Page 154
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 HRA REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 March 2024 PERIOD 12 Budget Forecast Spend RAG Status £000 £000 £000 % Employee Costs 7,669 8,037 368 5% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % Property Costs 2,377 2,518 141 6% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % Other Expenditure 534 801 267 50% Main Issues Mitigating Action Anticipated Outcome This budget covers rent abatements, payments to the Womens Aid service, legal expenses and other sundry costs. Variance Narrative The overspend is due to higher rent abatement payments this year due to challenges in Building Services addressing the backlog of voids and repairs alongside complex meter related issues preventing tenants being able to return to their homes. The abatement overspend was partly offset by underspends in legal and banking costs. A year end overspend. Budget Details Variance Analysis Subjective Analysis forecast Variance Subjective Description Property costs overspend mainly due to increased electricity costs advised through the electricity national framework agreement after the budget was set. In addition, insurance costs exceeded budget reflecting the high rate of inflation and cost pressures across the insurance market. A year end overspend. Subjective Analysis forecast Variance Subjective Description This budget covers electricity, gas, rates, rents, cleaning and insurance costs. Variance Narrative This budget covers all employees charged directly to the HRA including caretakers. Variance Narrative The employee cost overspend reflects the impact of the 2023/24 local government pay award that was greater than the budgeted pay increase. A year end overspend. Budget Details Variance Analysis Budget Details Variance Analysis Subjective Analysis forecast Variance Subjective Description Page 154
Page 155
HRA REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 March 2024 PERIOD 12 Budget Forecast Spend RAG Status £000 £000 £000 % Repairs & Maintenance 16,257 15,063 (1,194) -7% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % Void Loss (Council Tax/Lost Rents) 1,261 1,518 257 20% Main Issues Mitigating Action Anticipated Outcome This budget covers the rents lost on void houses and lockups and the cost of council tax on void properties. Variance Narrative The adverse variance relates to void numbers being higher than expected at time of budget setting. The increased void numbers have an adverse impact on void rent loss and void house council tax payments. Void turnaround times were longer than anticipated as result of the high number of voids at the start of the financial year. We also continue to experience challenges with utility companies resolving debt on meters and meter reconnections which adversely impacts on the length of time properties are void. There was an improving trend with voids, with void numbers reducing during the year. A year end overspend. Budget Details Variance Analysis Subjective Analysis forecast Variance Service Description A year end underspend. Service Description This budget covers all repair and maintenance expenditure to houses and lockups Variance Narrative A higher volume of repair orders, partly due to the clearance of a COVID related backlog, and inflationary pressures with pay and construction materials has driven up both in-house repairs team ( Building Services) and external contractor costs. These costs pressures have led to overspends on responsive repair and void repair budgets. These overspends have been offset by an underspend against the electrical installation inspection reports ( EICR) budget where some of the planned programme has slipped into the next financial year, an underspend against the WDTRO budget and by additional rechargeable repair income. Budget Details Variance Analysis Subjective Analysis forecast Variance Page 155
Page 156
HRA REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 March 2024 PERIOD 12 Budget Forecast Spend RAG Status £000 £000 £000 % Loan Charges 15,476 19,422 3,946 25% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % CFCR 1,729 0 (1,729) -100% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % House Rents (47,728) (47,954) (226) 0% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % Factoring/Insurance Charges (1,434) (1,499) (65) 5% Main Issues Mitigating Action Anticipated Outcome A year end income over-recovery. Service Description Income received from insurance and factoring Variance Narrative The increased income reflects a 10% increase in fees in 2023/24 in line with the council's sales fees charges increase approved in March 2023. The budget only assumed a 4% increase Budget Details Variance Analysis Subjective Analysis forecast Variance Service Description This budget covers the rental income due from tenants Variance Narrative Rent income slightly higher than budget relecting a lower than budgeted transfer of sheltered housing rental income to the HSCP A year end income over-recovery. A year end underspend. Budget Details Variance Analysis Subjective Analysis forecast Variance Service Description This budget covers the contribution from revenue to capital Variance Narrative The cost pressures across the HRA revenue budget meant that there was no scope to make a revenue contribution to capital spend in 2023/24. The adverse variance is the due to loan interest payments being higher than anticipated at time of budget setting. Local authority borrowing costs have increased over the last 12 - 18 months and this has driven up our debt financing costs. A year end overspend. Budget Details Variance Analysis Subjective Analysis forecast Variance Subjective Analysis forecast Variance Service Description Loan Charges is made up of the repayments of principal sums and the payment of interest and expenses Variance Narrative Budget Details Variance Analysis Page 156
Page 157
HRA REVENUE BUDGETARY CONTROL 2023/24 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 March 2024 PERIOD 12 Budget Forecast Spend RAG Status £000 £000 £000 % Interest on Revenue Balance (30) (199) (169) 563% Main Issues Mitigating Action Anticipated Outcome Budget Forecast Spend RAG Status £000 £000 £000 % Transfer from / to Reserves 0 (1,666) (1,666) 0% Main Issues Mitigating Action Anticipated Outcome Reduction in HRA reserves at 31 March 2024 Service Description Transfer of year end under/overspend to HRA reserves. Variance Narrative The recent sharp increase in local government borrowing costs and the inflationary pressures across budgets meant that it was necessary to drawdown £1.666mm from HRA reserves to deliver a break even position. The current reserve balance is £2.634M. The drawdown has reduced HRA reserves to £0.968m at March 24 which is below the 2023/24 prudential target of £0.984M. Budget Details Variance Analysis Subjective Analysis forecast Variance Interest receivable on HRA balances Variance Narrative The favourable variance relates to the recent increase in interest rates. This has resulted in higher interest earned on cash balances. A year end income over-recovery. Budget Details Variance Analysis Subjective Analysis forecast Variance Service Description Page 157
Page 158
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME OVERALL PROGRAMME SUMMARY PERIOD END DATE PERIOD 12 Spend to Date Spend to Date £000 £000 Red 75 80.6% 80,037 93.8% 75 80.6% 28,980 85.2% Amber 0 0.0% 0 0.0% 0 0.0% 0 0.0% Green 18 19.4% 5,298 6.2% 18 19.4% 5,039 14.8% 93 100% 85,335 100% 93 100% 34,019 100% Budget Spend to Date Forecast Spend Forecast Variance Budget Spend at 31/3/24 Actual Variance Re-profiling Over/ (Under) £000 £000 £000 £000 £000 £000 £000 £000 £000 226,010 80,037 225,998 (12) 91,583 28,980 (62,603) (63,698) 2,785 0 0 0 0 0 0 0 0 0 5,298 4,089 5,039 (258) 2,120 1,908 (212) (275) (1,627) 231,307 84,126 231,037 (270) 93,703 30,888 (62,815) (63,973) 1,158 (231,307) (84,126) (231,037) 270 (93,703) (30,888) 62,815 0 0 0 (0) 0 (0) (0) Projects are on target both in relation to overall budget and the forecast stages in the project life cycle and no issues are anticipated at this time TOTAL EXPENDITURE TOTAL RESOURCES NET EXPENDITURE Projects are forecast to be overspent and/or significant delay to completion Amber Projects are either at risk of being overspent and/or delay in completion (although this is unquantifiable at present) or the project has any issues that require to be reported at this time Green TOTAL EXPENDITURE Project Status Analysis Project Life Financials Current Year Financials Red Red Projects are forecast to be overspent and/or experience material delay to completion Amber Projects are either at risk of being overspent and/or delay in completion (although this is unquantifiable at present) or the project has any issues that require to be reported at this time Green Projects are on target both in relation to overall budget and the forecast stages in the project life cycle and no issues are anticipated at this time 31 March 2024 Project Status Analysis Project Life Status Analysis Current Year Project Status Analysis Number of Projects at RAG Status % Projects at RAG Status % Project Spend at RAG Status Number of Projects at RAG Status % Projects at RAG Status % Project Spend at RAG Status Page 158
Page 159
Page 159
Page 160
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % 1 Project Life Financials 50 43 86% 50 0 0% Current Year Financials 7 0 0% 0 (7) -100% Project Description Project Manager Karen Shannon Chief Officer Laurence Slavin Project Lifecycle 31-Mar-23 31-Mar-24 2 Project Life Financials 30 5 16% 30 (0) 0% Current Year Financials 25 0 0% 0 (25) -100% Project Description Project Manager Karen Shannon Chief Officer Laurence Slavin Project Lifecycle 30-Sep-23 30-Nov-23 3 Project Life Financials 62 62 100% 62 0 0% Current Year Financials 23 55 244% 55 32 144% Project Description Project Manager Adrian Gray Chief Officer Laurence Slavin Project Lifecycle 30-Apr-24 30-Apr-24 Main Issues / Reason for Variance Work to significantly reduce the database size to facilitate a system upgrade has now been completed. Upgrade work can now commence, ICT currently building required servers in preparation for new version to be installed, configured and tested. Mitigating Action None required Anticipated Outcome Anticipate completion of upgrade during 23-24 financial year. Anticipated Outcome Enhancements to the cash receipting system including PCI compliant telephone payment system. Agresso development The purpose of this project is to carry out an upgrade of the Agresso Finance System which was last upgraded in 2015. The requirement to upgrade is to maintain a level of support available from Unit 4 who have advised that support for older versions of the system is being reduced. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Budget has been reprofiled to Financial Year 2024-2025. Version 2 of the upgrade was completed Jan 2023. Call Secure Module went Live in October 2023. Mitigating Action None required at this time. Mitigating Action None required at this time. Anticipated Outcome Upgraded Electronic Insurance System. Enhancements to Cash Receipting System To enhance the cash receipting system in the way payments are made and allocated to back office by increasing the level of security that is required for online payments made by customers Electronic Insurance System Acquisition of a claims/incident management system supported by an electronic document management system. Planned End Date Forecast End Date Main Issues / Reason for Variance Budget has been reprofiled to Financial Year 2024-2025. 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Page 160
Page 161
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 4 Project Life Financials 5 0 0% 5 0 0% Current Year Financials 5 0 0% 0 (5) -100% Project Description Project Manager Jackie Nicol Thomson Chief Officer Laurence Slavin Project Lifecycle 31-Mar-23 31-Mar-24 5 Project Life Financials 1,540 0 0% 1,540 0 0% Current Year Financials 1,590 0 0% 0 (1,590) -100% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-24 31-Mar-25 6 Project Life Financials 1,146 1,146 100% 1,146 (0) 0% Current Year Financials 5 2 33% 2 (4) -67% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-22 30-Apr-23 Mitigating Action None required. Anticipated Outcome To create new community facilities with additional space for early years provisions. Dalmonach CE Centre To create new community facilities with additional space for early years provisions. Planned End Date Forecast End Date Main Issues / Reason for Variance Project complete and final account to be agreed. Main Issues / Reason for Variance This project is linked to Glencairn House and Depot Rationalisation and will free up the current museum store and office space in Poplar Road. Opportunities exist to attract external funding. Detailed design work ongoing for Glencairn House and the budget will be reprofiled into 2024/25. Mitigating Action None available at this time Anticipated Outcome Project delivered with required specifications Strathleven Place Re-development of Strathleven. Planned End Date Forecast End Date Mitigating Action None available at this time. Anticipated Outcome Completion of project by 31 March 2025 IFRS 16 Database This is a system which will ensure that WDC has the correct level of information and adheres to correct reporting of IFRS16 - Leasing. Planned End Date Forecast End Date Main Issues / Reason for Variance Database not implemented in 2023/24 and budget will be reprofiled into 2024/25 Page 161
Page 162
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 7 Project Life Financials 2,980 2,658 89% 2,980 0 0% Current Year Financials 2,980 2,658 89% 2,658 (321) -11% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-24 31-Mar-24 8 Project Life Financials 349 9 3% 349 0 0% Current Year Financials 340 0 0% 0 (340) -100% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-24 31-Mar-25 9 Project Life Financials 270 270 100% 270 0 0% Current Year Financials 134 254 190% 254 120 90% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-21 31-Mar-24 10 Project Life Financials 2,366 113 5% 2,366 (0) 0% Current Year Financials 1,085 22 2% 22 (1,062) -98% Project Description Project Manager Michelle Lynn Chief Officer Laurence Slavin Project Lifecycle 31-Mar-22 31-Mar-25 Anticipated Outcome To deliver new community centre. Planned End Date Forecast End Date Main Issues / Reason for Variance A bid for RCGF funding was unsuccessful. Council agreed to remove this project from the capital programme when agreeing the 2024/25 budget however Council officers will continue to support the group in terms of any future funding bids. (Note this decision was taken after P10 which this report relates to however as it is a significant change it was felt appropriate to update the narrative to reflect the most up to date position Mitigating Action None available at this time Mitigating Action None available at this time Anticipated Outcome To deliver new sports changing facility. New Westbridgend Community Centre New Westbridgend Community Centre New Sports Changing Facility at Lusset Glen in Old Kilpatrick New Sports Changing Facility at Lusset Glen in Old Kilpatrick Planned End Date Forecast End Date Main Issues / Reason for Variance Project had been delayed due to a number of COVID-19 related issues and utilities issues. Unit is now in production but delay to site due to the utility disconnection and demolition works. Demolition works complete. Main Issues / Reason for Variance No confirmation of start date. Can't be confirmed until works commence on the wider housing site. Budget will be reprofiled into 2024/25 Mitigating Action None available at this time Anticipated Outcome To deliver new sports changing facility. Anticipated Outcome Projects delivered to required specifications New Sports Changing Facility Dumbarton West (Old OLSP site) New Sports Changing Facility Dumbarton West (Old OLSP site) Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works progressing and remaining budget will be reprofiled into 2024/25 Mitigating Action None required at this time Building Upgrades and H&S - lifecycle & reactive building upgrades Lifecycle and reactive building upgrades. Page 162
Page 163
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 11 Project Life Financials 33 0 0% 33 0 0% Current Year Financials 33 0 0% 0 (33) -100% Project Description Project Manager Alan Douglas Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 12 Project Life Financials 25 15 61% 25 0 0% Current Year Financials 10 5 54% 5 (5) -46% Project Description Project Manager Pamela Clifford Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 13 Project Life Financials 155 145 94% 155 0 0% Current Year Financials 10 0 0% 0 (10) -100% Project Description Project Manager Pamela Clifford Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 14 Project Life Financials 4 4 100% 4 (0) 0% Current Year Financials 58 1 1% 1 (57) -99% Project Description Project Manager Rachel Moir Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-25 Mitigating Action None required Anticipated Outcome Works to be undertaken in 24/25 Installation of Solar PV at Clydebank Leisure Centre Installation of Solar PV at Clydebank Leisure Centre. Planned End Date Forecast End Date Main Issues / Reason for Variance Tender works delayed due to Energy Officer being off sick. Work underway and will be undertaken in 24/25. Main Issues / Reason for Variance This outstanding money is being sought through the recharging order and through debtors. Mitigating Action No action required at this time in the hands of Legal Anticipated Outcome Demolition of 215 Main Street. Anticipated Outcome Anticipate full budget spend. Demolition 215 Main Street Alexandria Demolition of 215 Main Street Alexandria. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance This goes into the overall Antonine Project budget - 5 Councils and Historic Environment Scotland - Unspent budget will be reprofiled into 2024/25 Mitigating Action No action required Re -imagine Antonine Wall Council's capital contribution towards the multi-partner (five local authorities and Historic Environment Scotland) Rediscovering the Antonine Wall project which is also funded by the Heritage Lottery Fund. Main Issues / Reason for Variance Budget has been rephased from 2022/23. Project was originally delayed due to COVID19 restrictions and a decision was made to resume project once Microsoft 365 was implemented. Budget will be reprofiled into 2024/25 Mitigating Action None available at this time. Anticipated Outcome Legal Case Management System Legal Case Management System Legal Case Management System Planned End Date Forecast End Date Page 163
Page 164
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 15 Project Life Financials 92 85 92% 92 0 0% Current Year Financials 79 85 107% 85 5 7% Project Description Project Manager Rachel Moir Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-24 16 Project Life Financials 14 14 100% 14 0 0% Current Year Financials 7 1 19% 1 (6) -81% Project Description Project Manager Rachel Moir Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-24 17 Project Life Financials 290 64 22% 290 0 0% Current Year Financials 227 1 0% 1 (226) -100% Project Description Project Manager Rachel Moir Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-24 18 Project Life Financials 8,964 1,004 11% 8,964 0 0% Current Year Financials 2,983 410 14% 410 (2,572) -86% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-25 Main Issues / Reason for Variance LED budget is invested across our town centres and strategic sites and is used to develop and implement projects as well as providing match funding to lever in external funding. During 2023/2024 the key projects developed and delivered include a Alexandria Town Centre Masterplan projects (Smollet Fountain, Green heritage Corridors), and in Clydebank implementation of the Development Framework. Many regeneration projects are subject to factors outwith Council control and close monitoring of the programming is required. Enabling works at Mitchell Way have been delayed as they are subject to the timescale of the developer. Activity Centre in Clydebank is delayed and now planned to be delivered in 2024/2025. A contingency is included for increasing costs and new funding opportunities. The remaining budget will be reprofiled into 2024/25 Mitigating Action none required Anticipated Outcome projects delivered on time and on budget Regeneration/Local Economic Development Budget to facilitate the delivery of Regeneration throughout West Dunbartonshire, aligned to the Economic Strategy. External funding will be sought to maximise opportunities for redevelopment of these sites. Planned End Date Forecast End Date Mitigating Action None required. Anticipated Outcome Delivery of project with full budget spend. Leisure Energy projects - air handling units, upgrade lighting, circulating pumps, and draught proofing Measures to be installed at both Meadow Centre & Vale of Leven Swimming Pool; new pool hall Air Handling Units, upgrade lighting, circulating pumps Vale of Leven Swimming Pool, internal and external lighting and draught proofing. Planned End Date Forecast End Date Main Issues / Reason for Variance Works have been delayed due to flooding issues. Tender process due to be undertaken shortly; however, due to additional issues identified, the current budget may require review. The budget will be reprofiled into 2024/25 Main Issues / Reason for Variance Expected completion in 24/25 Mitigating Action None required. Anticipated Outcome Delivery of project with full budget spend. Anticipated Outcome Works to be undertaken in 24/25 Replace failed heating controls/valves & recommission Replace failed heating controls/valves & recommission. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works are currently being undertaken to upgrade controls in Clydebank Town Hall and remaining budget will be reprofiled into 24/25 Mitigating Action None required Replace existing main hall Air Handling unit at Clydebank Town Hall Replace existing main hall Air Handling unit at Clydebank Town Hall. Page 164
Page 165
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 19 Project Life Financials 10,931 4,907 45% 10,931 0 0% Current Year Financials 4,098 9 0% 9 (4,089) -100% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-25 20 Project Life Financials 2,650 1,398 53% 2,650 0 0% Current Year Financials 1,147 618 54% 618 (529) -46% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 31-Mar-24 21 Project Life Financials 747 40 5% 747 0 0% Current Year Financials 707 0 0% 0 (707) -100% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Dec-22 30-Jun-24 22 Project Life Financials 322 161 50% 322 0 0% Current Year Financials 221 62 28% 62 (159) -72% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Mar-23 30-Jun-24 23 Project Life Financials 23,271 6,849 29% 23,271 0 0% Current Year Financials 21,665 4,733 22% 4,733 (16,932) -78% Project Description Project Manager Gillian McNamara Chief Officer Alan Douglas Project Lifecycle 31-Mar-25 31-Mar-25 Anticipated Outcome Projects delivered on budget Planned End Date Forecast End Date Main Issues / Reason for Variance Artizan Masterplan approved by IRED in Nov 2023, deigns progressing as planned but some delay to early enabling works (demolition) and commencement of the delivery phase (Glencairn House). The remaining budget will be reprofiled into 2024/25 Mitigating Action None available at this time Mitigating Action None available at this time Anticipated Outcome Projects delivered on budget LUF Year one LUF spend includes acquisition cost of Artizan Centre, and design development for Glencairn House and Connecting Dumbarton Levelling Up Capacity Successful LUF applications that meet UK Government's over-riding objective of Levelling Up and transformational regeneration. Planned End Date Forecast End Date Main Issues / Reason for Variance This capacity funding is used to fund consultancy work associated with current and future LUF projects development and remaining budget will be reprofiled into 2024/25 Main Issues / Reason for Variance Kier is appointed to design and deliver the Activities Centre at Clydebank Town Centre. Design of the project is underway and a commencement date for construction will be later in 2024. Mitigating Action None available at this time Anticipated Outcome Projects delivered on budget Anticipated Outcome Projects delivered on budget Clydebank Can On The Canal New activities centre in Clydebank Town Centre. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Projects continue progressing. Remaining budget will be reprofiled into 2024/25. Mitigating Action None required at this time Mitigating Action None required Anticipated Outcome Projects will be delivered. Place Based Investment Programme Scottish Government Funding to establish a Place-Based Investment Programme to ensure that all place based investments are shaped by the needs and aspirations of local communities. Regeneration Fund Funding to implement major regeneration projects linked to community charrettes. Planned End Date Forecast End Date Main Issues / Reason for Variance Progress being made by Malin Group with expenditure of Clyde Mission funding at the Scottish Marine Technology Park. Remaining projects are multi-year and remaining budget will be reprofiled into 2024/25. Page 165
Page 166
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 24 Project Life Financials 10,924 (40) 0% 10,924 0 0% Current Year Financials 7,209 (40) -1% (40) (7,249) -101% Project Description Project Manager Patricia Rowley/ Craig Jardine Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 25 Project Life Financials 2,880 2,504 87% 2,880 0 0% Current Year Financials 814 556 68% 556 (257) -32% Project Description Project Manager Michelle Lynn Chief Officer Amanda Graham Project Lifecycle 31-Mar-23 30-Sep-24 Anticipated Outcome Budget to be taken per Council savings option Planned End Date Forecast End Date Main Issues / Reason for Variance Administration budget commitment. All projects progressing with unspent budget reprofiled into 2024/25. Mitigating Action Unallocated budget to be taken per Council savings option Heritage Capital Fund 00 January 1900 Main Issues / Reason for Variance Network expansion to GJNH (Golden Jubilee National Hospital) will commence pending approval to proceed by the GJNH Board including agreeing tariff rates . Unable to confirm exact programme until approval has been given. Mitigating Action Network expansion to Golden Jubilee is discussed at every District Heating Project Board Anticipated Outcome Project to be delivered on programme and within budget once it has been fully set. District Heating Network Expansion District Heating Network Expansion. Planned End Date Forecast End Date Page 166
Page 167
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 26 Project Life Financials 478 84 18% 478 0 0% Current Year Financials 478 84 18% 84 (394) -82% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 27 Project Life Financials 446 228 51% 446 0 0% Current Year Financials 446 169 38% 169 (277) -62% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 30-Sep-24 28 Project Life Financials 37 45 122% 45 8 23% Current Year Financials 13 0 0% 0 (13) -100% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-23 31-Mar-24 29 Project Life Financials 250 14 6% 250 0 0% Current Year Financials 250 0 0% 0 (250) -100% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-25 30 Project Life Financials 4,316 5,902 137% 6,045 1,729 40% Current Year Financials 864 1,462 169% 1,462 598 69% Project Description Project Manager Craig Jardine Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-22 31-Mar-24 Anticipated Outcome New sports Hub delivered Planned End Date Forecast End Date Main Issues / Reason for Variance Scottish Water connection now complete. Programme to completion being finalised by Contractor. Mitigating Action None available at this time Mitigating Action None required at this time. Anticipated Outcome Sustainable burial environment for local residents. Posties Park Sports Hub - New sports hub to include gym & running track Creation of a sports hub at Posties/Marinecraft to include a new changing pavilion/Gym, new all-weather 6 lane running track, conversion of blaze sports pitch to grass, new fencing, upgrade of existing floodlights and additional car parking. This combines the budget approved by the Council in February 2015 for Community Sports Facilities at Posties Park, draw down of budget from the generic sports facilities budget line. Cemetery Extension, North Dalnotter Cemetery Extension, North Dalnotter Planned End Date Forecast End Date Main Issues / Reason for Variance North Dalnotter will now be delivered in financial year 24/25 Main Issues / Reason for Variance Project Underway with remaining budget being reprofiled into 2024/25. Mitigating Action None available at this time Anticipated Outcome Sustainable burial environment for local residents. Anticipated Outcome Additional allotments delivered within budget Kilmaronock Cemetery Expansion Expansion of existing cemetery at Kilmaronock. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works Progressing. Remaining budget will be reprofiled into 2024/25 Mitigating Action None required at this time. Mitigating Action None required at this time. Anticipated Outcome Better access with parks, cemeteries and open spaces. Allotment Development To develop an allotment site. Public non-adopted paths and roads Upgrades to drainage and lighting to enhance the lifespan of paths and roads within facilities in public parks, cemeteries and civic spaces. Planned End Date Forecast End Date Main Issues / Reason for Variance Full budget committed. Works progressing in 2024/25. Page 167
Page 168
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 31 Project Life Financials 876 876 100% 876 (0) 0% Current Year Financials 529 589 111% 589 60 11% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-25 32 Project Life Financials 381 6 2% 381 0 0% Current Year Financials 385 6 2% 6 (379) -98% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-25 33 Project Life Financials 1,338 123 9% 1,338 (0) 0% Current Year Financials 380 65 17% 65 (316) -83% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-28 31-Mar-28 34 Project Life Financials 600 0 0% 600 0 0% Current Year Financials 200 0 0% 0 (200) -100% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 30-Nov-23 31-Mar-25 Mitigating Action None required at this time. Anticipated Outcome Balloch Mountain Bike Track Balloch Mountain Bike Track Develop a mountain bike skills trail at Balloch Castle Country Park. Planned End Date Forecast End Date Main Issues / Reason for Variance Design undertaken this financial year. Work is due to progress during financial year 2024/25. Main Issues / Reason for Variance Tender documentation complete, commencement programmed February 24 with remaining budget being reprofiled into 2024/25. Mitigating Action None required at this time. Anticipated Outcome Renewal of play parks Anticipated Outcome Resurfacing of 3G pitch at East End Park. Play Parks Grant Funding Renew and replace play park equipment Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance External funding confirmed and design commencing. Project will progress in 2024/25. Mitigating Action None required. Mitigating Action None available at this time. Anticipated Outcome Extension to existing cemetery providing a sustainable burial environment. East End Park Resurfacing Resurfacing of 3G pitch at East End Park. Vale of Leven Cemetery Extension Extension of existing cemetery in Vale of Leven. Planned End Date Forecast End Date Main Issues / Reason for Variance Project will be completed Summer 2024 Page 168
Page 169
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 35 Project Life Financials 3 3 100% 3 0 0% Current Year Financials 214 0 0% 0 (214) -100% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 36 Project Life Financials 561 482 86% 561 0 0% Current Year Financials 561 482 86% 482 (79) -14% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 37 Project Life Financials 358 358 100% 358 0 0% Current Year Financials 42 0 0% 0 (42) -100% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance Works instructed for link path to be combined with Golden Jubilee Active travel contributions. Budget will be reprofiled into 2024/25. Mitigating Action None available at this time. Anticipated Outcome To complete remaining civil works required. Anticipated Outcome To improve connectivity and enhanced Cycling routes within West Dunbartonshire. Auld Street Clydebank - Bond Footpath still to be done after xmas spend. Part funded by Golden jubie £20k. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works for a footway/cycleway improvement at Bellsmyre Avenue are now complete. Dropped kerbs at various locations are underway. Proposed further works to cycleways will progress in 2024/25. Mitigating Action None required at this time. Mitigating Action None available at this time. Anticipated Outcome To improve journey times and reliability of bus services. Cycling, Walking and Safer Streets Introduction of enhanced walking routes and traffic calming schemes to introduce safer streets within West Dunbartonshire. Bus Rapid Deployment Fund Funding has been awarded from Sustrans to assist with social distancing measures required as a result of the COVID-19 pandemic. Planned End Date Forecast End Date Main Issues / Reason for Variance Funding no longer available. Will be removed from capital progamme in 2024/25 Page 169
Page 170
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 38 Project Life Financials 55 55 100% 55 0 0% Current Year Financials 5 0 0% 0 (5) -100% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 39 Project Life Financials 299 299 100% 299 (0) 0% Current Year Financials 56 41 73% 41 (15) -27% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-23 31-Mar-24 40 Project Life Financials 500 161 32% 500 0 0% Current Year Financials 500 161 32% 161 (339) -68% Project Description Project Manager Raymond Walsh Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 41 Project Life Financials 801 181 23% 801 0 0% Current Year Financials 620 0 0% 0 (620) -100% Project Description Project Manager Raymond Walsh Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-26 Anticipated Outcome Project should be completed within budget. Planned End Date Forecast End Date Main Issues / Reason for Variance Awaiting outcome of Scottish Government & SEPA consideration of submitted study . Budget will be reprofiled into 2024/25. Mitigating Action None required at this time. Mitigating Action None required at this time. Anticipated Outcome Projects should be complete within budget. River Leven Flood Prevention Scheme River Leven Flood Prevention Scheme. Flood Prevention Various flood prevention projects. Planned End Date Forecast End Date Main Issues / Reason for Variance Limited uptake on property level protection. Remaining budget will be reprofiled into 2024/25. Anticipated Outcome To provide Electric Vehicle Charging points within West Dunbartonshire. Planned End Date Forecast End Date Main Issues / Reason for Variance Balloch Park 50kw EVC to be upgraded with unspent budget reprofiled into 2024/25. Mitigating Action None required at this time. Mitigating Action None required at this time. Anticipated Outcome Traffic calming to be installed in Dumbarton East. Electrical Charging Points - Rapid Charge Funding has been awarded from Transport Scotland for the Installation of electrical charging points Turnberry Homes - traffic calming/ management at Turnberry housing development off Castle Road Funding has been received from Turnberry Homes and will be used to introduce traffic calming and traffic management measures to mitigate the impact of additional traffic accessing the housing development off Castle Road, Dumbarton. Planned End Date Forecast End Date Main Issues / Reason for Variance Project progressing with remaining unspent budget reprofiled into 2024/25. Page 170
Page 171
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 42 Project Life Financials 1,781 951 53% 1,781 0 0% Current Year Financials 650 154 24% 154 (496) -76% Project Description Project Manager Raymond Walsh Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 43 Project Life Financials 2,195 2,285 104% 2,285 90 4% Current Year Financials 2,195 2,285 104% 2,285 90 4% Project Description Project Manager Hugh Campbell Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 44 Project Life Financials 99 99 100% 99 (0) 0% Current Year Financials 29 31 107% 31 2 7% Project Description Project Manager Hugh Campbell Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 45 Project Life Financials 14,781 691 5% 14,781 (0) 0% Current Year Financials 1,530 237 16% 237 (1,293) -84% Project Description Project Manager Sharron Worthington Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-27 Mitigating Action None available at this time. Anticipated Outcome Project should be completed within budget. Gruggies Burn Flood Prevention Commission of Gruggies Flood Prevention Scheme. Planned End Date Forecast End Date Main Issues / Reason for Variance Detailed design underway. Design will be completed 24/25 Main Issues / Reason for Variance Detailed design underway. Design will be completed 24/25 Mitigating Action None available at this time. Anticipated Outcome Intention is to complete works within budget. Depot Improvement Works Improvement of WDC Roads Depot. Planned End Date Forecast End Date Mitigating Action None required at this time. Anticipated Outcome Intention is to complete various surfacing works by the end of March 2024. Infrastructure - Roads Infrastructure - Roads. Planned End Date Forecast End Date Main Issues / Reason for Variance Roads Operations have completed an extensive surfacing program . A programme of structural patching is ongoing. Main Issues / Reason for Variance For Bus Infrastructure a program of works Is being developed. For A8014 Kilbowie Rd works are being planned awaiting further feedback from Utilities, For A814 Congestion measures further development & expansion of vehicle detection systems and for Balloch P & R Consultants are appointed, agreement in principal with Network Rail & further investigatory works are planned for 2024/25. Mitigating Action None required at this time. Anticipated Outcome Improve accessibility to Public Transport and improve journey time reliability. Strathclyde Partnership for Transport - Bus, cycling and walking infrastructure improvements & Park and Rides Strathclyde Partnership for Transport - Bus, cycling and walking infrastructure improvements. Planned End Date Forecast End Date Page 171
Page 172
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 46 Project Life Financials 1,550 1,057 68% 1,550 0 0% Current Year Financials 693 50 7% 50 (643) -93% Project Description Project Manager Sharron Worthington Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-26 31-Mar-27 47 Project Life Financials 50 0 0% 50 0 0% Current Year Financials 50 0 0% 0 (50) -100% Project Description Project Manager Sharron Worthington Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 48 Project Life Financials 4,303 4,215 98% 4,303 (0) 0% Current Year Financials 138 54 39% 54 (85) -61% Project Description Project Manager Sharron Worthington Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-22 31-Mar-24 49 Project Life Financials 14 14 100% 14 0 0% Current Year Financials 75 9 12% 9 (66) -88% Project Description Project Manager Hugh Campbell Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-25 31-Mar-25 50 Project Life Financials 274 274 100% 274 0 0% Current Year Financials 26 0 0% 0 (26) -100% Project Description Project Manager Raymond Walsh Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-25 31-Mar-25 Main Issues / Reason for Variance Upgrade of obsolete equipment budget will be reprofiled in 2024/25. Mitigating Action None required. Anticipated Outcome To upgrade traffic signals. Anticipated Outcome To purchase equipment. Traffic Signal Upgrades Upgrade Traffic Signals Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance New plant has been purchased. Budget will be reprofiled into 2024/25. Mitigating Action None required. Mitigating Action None available at this time. Anticipated Outcome Project will enhance the A814 through Clydebank. Roads Plant Purchase of Roads plant and equipment. Clydebank Charrette, A814 Clydebank Charrette, A814 Planned End Date Forecast End Date Main Issues / Reason for Variance Works complete and on maintenance period - retention payment to be paid. Main Issues / Reason for Variance New funding which will be allocated to appropriate projects. Mitigating Action None required at this time. Anticipated Outcome Projects will be delivered. Anticipated Outcome To provide an improved A813. Roads Safety Roads Safety Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Initial works commencing March 23 with majority of works to be delivered 24/25 Mitigating Action None required at this time. A813 Road Improvement Phase 1 A813 Road Improvement Phase 1. Page 172
Page 173
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 51 Project Life Financials 900 0 0% 900 0 0% Current Year Financials 1,400 0 0% 0 (1,400) -100% Project Description Project Manager Craig Jardine Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-25 31-Mar-25 52 Project Life Financials 3,314 590 18% 3,314 0 0% Current Year Financials 3,314 590 18% 590 (2,724) -82% Project Description Project Manager Craig Jardine Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 30-May-24 53 Project Life Financials 1,780 0 0% 1,780 0 0% Current Year Financials 1,980 0 0% 0 (1,980) -100% Project Description Project Manager Gail MacFarlane Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Dec-25 Mitigating Action None Required. Anticipated Outcome Project delivered within budget. Waste Transfer Station The design, development and construction of a recycling and bulk waste transfer facility that will ensure all recycling material can be sorted and disposed off appropriately to ensure compliance with landfill ban in 2025. Planned End Date Forecast End Date Main Issues / Reason for Variance Detailed design ongoing - budget will be reprofiled into 2024/25. Main Issues / Reason for Variance Vehicles have been ordered including bin lorries, sweepers and tractors. Expected delivery of bin lorries between April and July 2024. Mitigating Action None Required. Anticipated Outcome Replacement of fleet within budget. Anticipated Outcome Replacement of refuse collection vehicles. Vehicle Replacement Replacement of vehicles which have reached end of programmed lifespan (7 year heavy vehicles, 10 year light vehicles). Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Bin lorries ordered and build slot allocated in 2023/24. Budget will be reprofiled in 2024/25. Mitigating Action None available. Vehicle Replacement Strategy Replacement of refuse collection vehicles. Page 173
Page 174
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 54 Project Life Financials 72 44 61% 72 0 0% Current Year Financials 89 5 5% 5 (84) -95% Project Description Project Manager Gail MacFarlane Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-23 31-Mar-24 55 Project Life Financials 150 0 0% 0 (150) 0% Current Year Financials 150 0 0% 0 (150) -100% Project Description Project Manager Gail MacFarlane Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-25 56 Project Life Financials 0 115 0% 115 115 0% Current Year Financials 0 115 0% 115 115 0% Project Description Project Manager Craig Jardine Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-25 31-Mar-25 Main Issues / Reason for Variance Further invoices to be processed in 2024/25. Mitigating Action None Required. Anticipated Outcome Office Rationalisation Anticipated Outcome Project delivered within budget. Office Rationalisation Office Rationalisation Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance MUGA due for commencement in February and environmental improvements complete. Budget will be reprofiled into 2024/25. Mitigating Action None Required. Park Improvements and Multi Games Area - Goldenhill Park Park Improvements and Multi Games Area - Goldenhill Park Main Issues / Reason for Variance Project in progress. Remaining budget will be reprofiled into 2024/25. Mitigating Action None Required. Anticipated Outcome ELECTRIC VEHICLE INFRASTRUCTURE ELECTRIC VEHICLE INFRASTRUCTURE Electric Vehicle Infrastructure Planned End Date Forecast End Date Page 174
Page 175
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 57 Project Life Financials 32,326 6,780 21% 32,326 0 0% Current Year Financials 11,845 2,834 24% 2,834 (9,011) -76% Project Description Project Manager Patricia Rowley Chief Officer Gail McFarlane Project Lifecycle 31-Mar-27 31-Mar-27 Anticipated Outcome Delivery of the project on time and within the increased budget Planned End Date Forecast End Date Main Issues / Reason for Variance Regular updates are provided at every Council meeting and monthly Project Board meetings and to City Deal. The main issues contained within the new Council's approved Outline Business Case are still valid, which include Exxon's remediation strategy, land transfer arrangements and issues relating to adjoining owners. WDC Consultants are monitoring the remediation process to ensure compliance with specification, also Esso are independently monitoring the remediation works. Final Business Case submission was June 2023. Through the Scape framework we are working closely with Balfour Beatty to achieve a formal pre construction agreement to allow the detailed design works to commence and the full construction programme to be developed. Agreements in principle are progressing with third party land owners. Mitigating Action None Required Exxon City Deal As part of the City Deal project the WDC Exxon site at Bowling regeneration with alternative A82 route included. Page 175
Page 176
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 58 Project Life Financials 8,774 684 8% 8,774 (0) 0% Current Year Financials 2,238 339 15% 339 (1,900) -85% Project Description Project Manager Craig Jardine Chief Officer Gail McFarlane Project Lifecycle 31-Mar-25 31-Mar-25 59 Project Life Financials 238 8 3% 238 0 0% Current Year Financials 250 8 3% 8 (242) -97% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 60 Project Life Financials 39 39 100% 39 0 0% Current Year Financials 60 39 65% 39 (21) -35% Project Description Project Manager Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 61 Project Life Financials 859 292 34% 859 0 0% Current Year Financials 397 31 8% 31 (366) -92% Project Description Project Manager David Jones/ Julie McGrogan Chief Officer Laura Mason Project Lifecycle 31-Mar-29 31-Mar-29 Mitigating Action None required at this time. Anticipated Outcome Purchase of AV Equipment for Education. AV Equipment - Education Purchase of AV Equipment for Education. Planned End Date Forecast End Date Main Issues / Reason for Variance Progressing as expected. Spend is not linear AV boards replaced as a when they fail. Main Issues / Reason for Variance Project progressing in 2024/25. Mitigating Action None available at this time Anticipated Outcome Deliver project outcomes within agreed budget Anticipated Outcome Deliver project outcomes within agreed budget Switched on Fleet Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Expecting work to commence in financial year 2024/25. Budget will be reprofiled into 2024/25. Mitigating Action None available at this time Pappert 2G pitch Resurfacing of blaze pitch to 3G all weather surface Main Issues / Reason for Variance Committee approval given to upgrade and improve depots. Project delivery will be phased, work underway to determine phasing of spend and scope. Garage facilities will be treated as a priority Mitigating Action None available at this time Anticipated Outcome Deliver project outcomes within agreed budget Depot Rationalisation Depot Rationalisation. Planned End Date Forecast End Date Page 176
Page 177
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 62 Project Life Financials 365 344 94% 365 (0) 0% Current Year Financials 41 9 21% 9 (32) -79% Project Description Project Manager David Jones/ Julie McGrogan Chief Officer Laura Mason Project Lifecycle 31-Mar-23 31-Mar-24 63 Project Life Financials 48,377 16,269 34% 48,377 0 0% Current Year Financials 4,222 699 17% 699 (3,523) -83% Project Description Project Manager Michelle Lynn/ Craig Jardine Chief Officer Laura Mason Project Lifecycle 31-Mar-24 31-Mar-24 64 Project Life Financials 6,638 2,396 36% 6,638 0 0% Current Year Financials 3,495 1,591 46% 1,591 (1,904) -54% Project Description Project Manager Craig Jardine Chief Officer Laura Mason Project Lifecycle 31-Mar-26 31-Jul-27 65 Project Life Financials 823 823 100% 823 0 0% Current Year Financials 122 251 206% 251 129 106% Project Description Project Manager Michelle Lynn Chief Officer Laura Mason Project Lifecycle 31-Mar-24 31-Mar-24 66 Project Life Financials 8,854 9,230 104% 9,230 376 4% Current Year Financials 287 439 153% 439 153 53% Project Description Project Manager Michelle Lynn Chief Officer Laura Mason Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance Works completed . Linnvale PS ELCC adaptations will commence in 2024/25 this is due to the delay in receiving a building warrant. Mitigating Action None at this time Anticipated Outcome The project will be completed to deliver the requirements of the Early Years expansion plans. Anticipated Outcome Project delivered within amended timescales. Early Years Early Learning and Childcare Funding Early learning and childcare funding awarded to West Dunbartonshire Council to facilitate the expansion in entitlement to funded ELCC to 1140 hours from August 2020. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Provision of Capital Funding from Scottish Government to implement free school meal initiative. Mitigating Action None available at this time. Mitigating Action None required at this time Anticipated Outcome Project delivered to required specification Free School Meals Provision of Capital Funding from Scottish Government to implement free school meal initiative. Schools Estate Improvement Plan - next Phase - Faifley Campus Improvement of Schools Estate. Planned End Date Forecast End Date Main Issues / Reason for Variance The next phase of the Schools Estate Improvement Plan involves the development of a new Campus provision in the Faifley area. WDC has been successful in securing funding from the Scottish Government Learning Estate Improvement Programme. SFT confirmed the indicative funding allocation for this project at £18.416m on the 4 May 2021, this will be received as a revenue stream over the 25 years of the Scottish Government financial support (subject to the Council adhering to the funding criteria). Site Options Appraisal has taken place and Members approved the recommendation to proceed with the new Faifley Campus on the St Joseph's site at Education Committee on 9th June 2021. Planning permission has been agreed and Stage 1 Building Warrant approved. Remaining budget will be reprofiled into 2024/25. Main Issues / Reason for Variance Works progressing in line with programme - unspent budget will be reprofiled into 2024/25 Mitigating Action None at this time Anticipated Outcome Project delivered within budget and to required specification Anticipated Outcome Increase the Chromebook ratio for most disadvantaged children. Schools Estate Improvement Plan Improvement of Schools Estate. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Delay in identifying appropriate cohort for project delivery. Current challenge is finding a suitable and available location. Mitigating Action None required at this time. Digital Inclusion Increase the ratio of chrome book devices for most disadvantaged children and families and support for families with remote access. Page 177
Page 178
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 67 Project Life Financials 845 960 114% 960 115 14% Current Year Financials 845 960 114% 960 115 14% Project Description Project Manager Julie Slavin Chief Officer Beth Culshaw Project Lifecycle 31-Mar-24 31-Mar-24 68 Project Life Financials 584 40 7% 584 0 0% Current Year Financials 584 40 7% 40 (543) -93% Project Description Project Manager Alastair Handley Chief Officer Beth Culshaw Project Lifecycle 31-Mar-24 31-Mar-24 69 Project Life Financials 308 27 9% 308 0 0% Current Year Financials 308 27 9% 27 (281) -91% Project Description Project Manager Julie Slavin Chief Officer Beth Culshaw Project Lifecycle 31-Mar-24 31-Mar-24 70 Project Life Financials 19 3 14% 19 0 0% Current Year Financials 19 3 14% 3 (17) -86% Project Description Project Manager Julie Slavin Chief Officer Beth Culshaw Project Lifecycle 31-Mar-24 31-Mar-24 71 Project Life Financials 892 962 108% 962 69 8% Current Year Financials 892 962 108% 962 69 8% Project Description Project Manager James Gallacher Chief Officer Victoria Rogers Project Lifecycle 31-Mar-24 31-Mar-24 Anticipated Outcome projects delivered. Planned End Date Forecast End Date Main Issues / Reason for Variance Device replacement project completed. Mitigating Action none required Mitigating Action None available at this time Anticipated Outcome Renovation of Unit 11 Leven side Business Court ICT Modernisation This budget is to facilitate ICT infrastructure and modernise working practices. Criminal Justice Adaptations Renovation of Unit 11 Levenside Business Court. Planned End Date Forecast End Date Main Issues / Reason for Variance Works Complete Main Issues / Reason for Variance While there has been some movement on the project to date, progress is slow. Procuring equipment that is fully compatible with the platform is the priority to enable WDHSCP to best support the digital rollout, however delays from Scotland Excel has required an alternative procurement solution to be identified for a smaller scale initial purchase. The contract for the Digital ARC has been awarded and a test unit and access to the demo platform has been received with a plan to on-board partnerships to the live platform in Spring 2024, while the process to formalise arrangements with East Dunbartonshire Council for the ARC cover for the calls is ongoing with the cost for the call handling service still to be confirmed. Remaining budget will be reprofiled into 2024/25. Mitigating Action Officers will continue to progress the project as quickly as possible but is complex and dependent on 3rd parties and equipment being compliant with the platform Anticipated Outcome Community Alarm Upgrade Anticipated Outcome Upgrade and enhance digital systems within HSCP Community Alarm upgrade To upgrade Community Alarm Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance A HSCP Digital Strategy 2024-2027 is in development. The strategy will have an internal focus, identifying areas where the HSCP would need to progress to support digital transformation and improve the digital maturity of the partnership. The strategy will focus on areas where structures are in place to support change, where focus will be required and setting the stage for opportunities to move forward. As well as digital technologies, the strategy will focus on staff skills and digital inclusion within our communities, and support digital change projects over the duration of the strategy. A draft version of the strategy is out for comment, and has been submitted to the Senior Management Team, with a view to a final version being submitted to HSCP Board for approval on 25th June. Remaining budget will be reprofiled into 2024/25 for progressing planned works Mitigating Action None available at this time as project spend will be dependent upon the digital strategy being approved by the HSCP Board Mitigating Action None available at this time Anticipated Outcome Provision of adaptations and equipment to HSCP clients as anticipated. HSCP ICT Upgrade of systems Review/replace the current case management systems. Aids & Adaptations - Special Needs Adaptations & Equipment Reactive budget to provide adaptations and equipment for HSCP clients. Planned End Date Forecast End Date Main Issues / Reason for Variance There is likely to be a small underspend in the current year due to the implementation of the new system, however this will require to be carried forward to 2024/25 in light of anticipated equip cost increases and as activity levels increase back to normal levels. Page 178
Page 179
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 72 Project Life Financials 50 50 100% 50 0 0% Current Year Financials 10 0 0% 0 (10) -100% Project Description Project Manager James Gallacher Chief Officer Victoria Rogers Project Lifecycle 31-Oct-22 31-Mar-24 73 Project Life Financials 873 873 100% 873 0 0% Current Year Financials 873 735 84% 735 (138) -16% Project Description Project Manager James Gallacher Chief Officer Victoria Rogers Project Lifecycle 31-Mar-24 31-Mar-24 74 Project Life Financials 898 418 47% 898 0 0% Current Year Financials 185 100 54% 100 (85) -46% Project Description Project Manager James Gallacher Chief Officer Victoria Rogers Project Lifecycle 30-Sep-23 30-Sep-23 Anticipated Outcome 365 Implementation Planned End Date Forecast End Date Main Issues / Reason for Variance Delay to Sharepoint implementation project. External resourcing requirements less than expected and small underspend being carried into 2024/25.. Mitigating Action none required Mitigating Action none required Anticipated Outcome ICT Security & DR 365 Implementation Project services to delivery Microsoft 365 Implementation including 3rd party supplier, training, technical consultancy etc. ICT Security & DR The project is for the enhancement of security systems, server replacement and the update of corporate applications to ensure compliance with 15/16 PSN requirements, to enhance the disaster recovery capabilities of WDC. Planned End Date Forecast End Date Main Issues / Reason for Variance Various projects in progress and orders raised for Cyber Security technology, Citrix replacement devices, SAN storage, server hardware, system security remediation and upgrades - remaining budget will be reprofiled into 2024/25. Main Issues / Reason for Variance Project Complete Mitigating Action None available at this time. Anticipated Outcome projects delivered on time. Internet of Things Asset Tracking Asset Tracking. Planned End Date Forecast End Date Page 179
Page 180
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Electronic Insurance System 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance 75 Project Life Financials 1,586 1,586 100% 1,586 0 0% Current Year Financials 1,586 3,895 246% 3,895 2,309 146% Project Description Project Manager N/A Chief Officer N/A Project Lifecycle 31-Mar-24 31-Mar-24 Mitigating Action None required. Anticipated Outcome Direct project support costs allocated as appropriate. Direct Project Support Business support cost such as reallocation of architects and project support at year end. Planned End Date Forecast End Date Main Issues / Reason for Variance Salary Capitalisation in 2023/2024. Page 180
Page 181
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 1 Project Life Financials 25 25 100% 25 0 1% Current Year Financials 2 2 100% 2 0 0% Project Description Project Manager Russell Hewton Chief Officer Russell Hewton Project Lifecycle 31-Mar-23 31-Mar-24 2 Project Life Financials 20 10 50% 20 0 0% Current Year Financials 10 10 99% 10 (0) -1% Project Description Project Manager Karen Shannon Chief Officer Laurence Slavin Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance The module is live Mitigating Action None required at this time. Anticipated Outcome Upgraded version with PCI compliant telephone payment system. None available at this time. Anticipated Outcome Requisition of ICT Equipment. Payment Card Industry Data Security Standard (PCIDSS) Module would ensure that WDC were compliant with the current requirements of PCIDSS for card payments without the need for numerous costly workarounds Planned End Date Forecast End Date Requisition ICT Equipment. Planned End Date Forecast End Date Main Issues / Reason for Variance Replacement of laptops, monitors and other ICT equipment. Mitigating Action 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 181
Page 182
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment3 Project Life Financials 750 250 33% 750 0 0% Current Year Financials 0 0 0% 0 0 0% Project Description Project Manager Adrian Gray Chief Officer Laurence Slavin Project Lifecycle 31-Mar-26 31-Mar-26 Anticipated Outcome Project will be delivered on time and on budget Planned End Date Forecast End Date Main Issues / Reason for Variance The budget has been spent. Spend is transferred at year end as part of the year end process Mitigating Action None required at this time. Cost of Living To support Council and community organisations with capital costs for cost of living initiatives. Page 182
Page 183
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 183
Page 184
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment4 Project Life Financials 46 41 88% 46 0 0% Current Year Financials 7 0 0% 0 (7) -100% Project Description Project Manager Alan Douglas Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 Mitigating Action None required at this time. Anticipated Outcome Solicitor support for Capital Projects. Solicitor Project Support for Capital Projects Solicitor costs to directly support capital projects Planned End Date Forecast End Date Main Issues / Reason for Variance Trainee solicitor now in place. Page 184
Page 185
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment5 Project Life Financials 450 193 43% 193 (258) -57% Current Year Financials 0 0 0% 0 0 0% Project Description Project Manager Rachel Moir Chief Officer Alan Douglas Project Lifecycle 31-Mar-24 31-Mar-24 Anticipated Outcome Credit note received and project closed Planned End Date Forecast End Date Main Issues / Reason for Variance This project has been completed. Mitigating Action This project has been completed. Zero Carbon Zero Carbon Page 185
Page 186
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 186
Page 187
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment6 Project Life Financials 326 326 100% 326 (0) 0% Current Year Financials 116 20 18% 20 (95) -82% Project Description Project Manager Emma Eremin Chief Officer Amanda Graham Project Lifecycle 31-Mar-24 31-Mar-25 7 Project Life Financials 906 906 100% 906 0 0% Current Year Financials 6 5 83% 5 (1) -17% Project Description Project Manager Elaine Troup Chief Officer Amanda Graham Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance Project complete. Mitigating Action Project complete Anticipated Outcome Project complete Invest in "Your Community Initiative" Capital budget to support the roll out of Your Community, an initiative designed to achieve coordinated service delivery in response to community need. This is complimented by community capacity building, empowering WD citizens to do more for their own communities (leading to less reliance on council). Also included is the implementation of participatory budgeting to support and build capacity in communities. Planned End Date Forecast End Date Mitigating Action Non required Anticipated Outcome Projects delivered on budget Transformation of Infrastructure Libraries and Museums To improve performance and efficiency of Council's Libraries and Cultural Services. Planned End Date Forecast End Date Main Issues / Reason for Variance Library colocations of Dalmuir and Balloch being fitted out by Asset Management. Awaiting outcome for Duntocher and Parkhall libraries. Remaining Libraries capital to be spent in 24/25 once colocation plans completed. Page 187
Page 188
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 188
Page 189
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment8 Project Life Financials 220 220 100% 220 0 0% Current Year Financials 8 7 87% 7 (1) -13% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 03-Apr-21 31-Mar-24 Main Issues / Reason for Variance Project works complete. Retentions to be paid. Mitigating Action None required at this time. Anticipated Outcome New all weather tennis courts. Sports Facilities Upgrades - Argyll Park - Construction of 3 All Weather Tennis Courts Project is part of wider investment in sporting facilities and is dependent on match funding from Sports Scotland. Agreement in principle to wider WDC strategic priorities. Planned End Date Forecast End Date Page 189
Page 190
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment9 Project Life Financials 25 25 100% 25 0 0% Current Year Financials 6 6 100% 6 0 0% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-23 31-Mar-24 10 Project Life Financials 574 519 90% 574 0 0% Current Year Financials 430 519 121% 519 89 21% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance Projects identified with a number commenced. Budget will be reprofiled into 2024/25 and claimed back from the Scottish Government. Mitigating Action None required at this time. Anticipated Outcome completion of project on time. Anticipated Outcome Large bins provided for high traffic areas Nature Restoration Fund Nature resource for Faifley Community Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Project complete. Mitigating Action None required at this time. Large bins for high traffic areas (pilot) Supply and install extra large litter bins as a pilot project within hotspot problem areas. Page 190
Page 191
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment11 Project Life Financials 237 237 100% 237 0 0% Current Year Financials 237 237 100% 237 0 0% Project Description Project Manager Raymond Walsh/ Derek Barr Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 Main Issues / Reason for Variance Works completed. Mitigating Action None required at this time. Anticipated Outcome Project complete within budget. Flood Risk Management Enhancement of drainage infrastructure to ensure compliance with Flood Risk Management Act 2009. Planned End Date Forecast End Date Page 191
Page 192
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment12 Project Life Financials 84 70 84% 84 0 0% Current Year Financials 84 70 84% 70 (14) -16% Project Description Project Manager Hugh Campbell Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 Anticipated Outcome Intention is to complete works within budget. Planned End Date Forecast End Date Main Issues / Reason for Variance Lighting works completed - final invoices to be received and processed. Mitigating Action None available at this time. Street lighting and associated electrical infrastructure 00 January 1900 Page 192
Page 193
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 193
Page 194
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment13 Project Life Financials 958 958 100% 958 0 0% Current Year Financials 878 837 95% 837 (42) -5% Project Description Project Manager Hugh Campbell Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-25 31-Mar-25 14 Project Life Financials 169 71 42% 169 0 0% Current Year Financials 9 0 0% 0 (9) -100% Project Description Project Manager Gail MacFarlane Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-23 31-Mar-24 Anticipated Outcome Project delivered within budget. Planned End Date Forecast End Date Main Issues / Reason for Variance Works complete awaiting final invoice Mitigating Action None Required. Replacement of compactors at Dalmoak civic amenity site The purchase of 2 compactors for the Council civic amenity site at Dalmoak. Mitigating Action None required. Anticipated Outcome Improvement to pavements. Pavement improvements Various pavement improvement projects. Planned End Date Forecast End Date Main Issues / Reason for Variance Footway resurfacing works completed final invoices to be received & processed. Page 194
Page 195
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment15 Project Life Financials 20 0 0% 20 0 0% Current Year Financials 20 0 0% 0 (20) -100% Project Description Project Manager Gail MacFarlane Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 16 Project Life Financials 44 44 100% 44 0 0% Current Year Financials 59 44 75% 44 (15) -25% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 31-Mar-24 31-Mar-24 Mitigating Action None Required. Anticipated Outcome Whitecrook Tennis Court Up-grade Whitecrook Tennis Court Up-grade Whitecrook Tennis Court Up-grade Planned End Date Forecast End Date Main Issues / Reason for Variance Project Complete Mitigating Action None Required. Anticipated Outcome Project delivered within budget. River bank erosion repair - Levenhowe River bank erosion repair in the Levenhowe area Planned End Date Forecast End Date Main Issues / Reason for Variance Works complete awaiting final invoice Page 195
Page 196
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 196
Page 197
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment17 Project Life Financials 151 151 100% 151 0 0% Current Year Financials 200 151 75% 151 (49) -25% Project Description Project Manager Ian Bain Chief Officer Gail MacFarlane Project Lifecycle 30-Nov-23 30-Nov-23 Mitigating Action None available at this time Anticipated Outcome Deliver project outcomes within agreed budget Dalmonach Steps upgrade Upgrading steps at Dalmonach to make them more accessible Planned End Date Forecast End Date Main Issues / Reason for Variance Project complete. Page 197
Page 198
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 198
Page 199
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 199
Page 200
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment18 Project Life Financials 291 42 14% 291 0 0% Current Year Financials 46 0 0% 0 (46) -100% Project Description Project Manager Arun Menon Chief Officer Victoria Rogers Project Lifecycle 31-Mar-30 31-Mar-30 Main Issues / Reason for Variance Project complete. Mitigating Action none required Anticipated Outcome Development of Workforce Management System Development of Workforce Management System Project to develop the Workforce Management System. Planned End Date Forecast End Date Page 200
Page 201
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS PERIOD END DATE PERIOD 12 Budget Spend at 31/3/24 £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend at 31 March 2024 Variance Valuation Joint Board - Requisition of ICT Equipment Page 201
Page 202
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RESOURCES PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % 1 Project Life Financials (3,473) 1,372 -39% (3,473) 0 0% Current Year Financials (2,115) 1,272 -60% 1,272 3,387 -160% Project Description Project Lifecycle 31-Mar-24 31-Mar-24 2 Project Life Financials (73,090) (49,208) 67% (81,658) (8,568) 12% Current Year Financials (7,453) (14,786) 198% (14,786) (7,333) 98% Project Description Project Lifecycle 31-Mar-30 31-Mar-30 3 Project Life Financials (56,921) (13,645) 24% (51,914) 5,007 -9% Current Year Financials (16,027) (9,140) 57% (9,140) 6,887 -43% Project Description Project Lifecycle 31-Mar-26 31-Mar-26 4 Project Life Financials (9,604) (5,363) 56% (9,604) 0 0% Current Year Financials (5,315) (2,754) 52% (2,754) 2,561 -48% Project Description Project Lifecycle 31-Mar-24 31-Mar-24 Anticipated Outcome Match funding received. Planned End Date Forecast End Date Main Issues / Reason for Variance Application of resources is dependent on capital project progressing in year as planned. Mitigating Action None required. Mitigating Action None required. Anticipated Outcome Application of resources as appropriate. Match Funding / Other Grants and Contributions Match Funding / Other Grants and Contributions Ring Fenced Government Grant Funding This is ring fenced grant funding which is primarily anticipated to be received from the Scottish Government and relates to Cycling, Walking, Safer Streets, Regeneration Placed Based Investment Programme, Early Years, Gruggies Burn Flood works, Early Years funding, City Deal and Town Centre Fund. Planned End Date Forecast End Date Main Issues / Reason for Variance Application of resources applied to capital project as planned. Main Issues / Reason for Variance General services capital grant received. Mitigating Action None required at this time Anticipated Outcome General services capital grant received. Application of resources held on balance sheet as at 31 March 2024 as appropriate. General Services Capital Grant This is a general grant received from the Scottish Government in relation to General Services capital spend Planned End Date Forecast End Date Mitigating Action None required at this time. Anticipated Outcome Planned End Date Forecast End Date Main Issues / Reason for Variance Application of resources applied to relevant capital projects. Spend to Date Forecast Variance Resources Carried Forward These are resources that have been received in previous years relating to Turnberry Homes, Town Centre Fund Grant, Digital Inclusion, Clydebank Can on the Canal, Internet of Things Asset Tracking, Renew Playparks, Knowes Nature Reserve, Flood Prevention, District Heating Electric Vehicle Infrastructure and Auld Street Bond. 31 March 2024 Budget Details Project Life Financials Page 202
Page 203
WEST DUNBARTONSHIRE COUNCIL GENERAL SERVICES CAPITAL PROGRAMME ANALYSIS OF RESOURCES PERIOD END DATE PERIOD 12 Budget Forecast Spend £000 £000 % £000 £000 % Spend to Date Forecast Variance Resources Carried Forward 31 March 2024 Budget Details Project Life Financials 5 Project Life Financials (88,219) (20,450) 23% (91,238) (3,019) 3% Current Year Financials (62,794) (5,481) 9% (5,481) 57,313 -91% Project Description Project Lifecycle 31-Mar-26 31-Mar-26 Mitigating Action None available at this time. Anticipated Outcome Prudential borrowing was less than anticipated. Prudential Borrowing Prudential borrowing is long term borrowing from financial institutions that has been approved for the purposes of funding capital expenditure Planned End Date Forecast End Date Main Issues / Reason for Variance Prudential borrowing is impacted by programme delivery therefore mitigating action is detailed in the red and amber analysis. Page 203
Page 204
APPENDIX 5 WEST DUNBARTONSHIRE COUNCIL HRA CAPITAL PROGRAMME OVERALL PROGRAMME SUMMARY MONTH END DATE PERIOD 12 Spend to Date Spend to Date £000 £000 Red 28 90.3% 56,127 99.9% 28 90.3% 56,127 99.9% Green 3 9.7% 36 0.1% 3 9.7% 36 0.1% 31 100% 56,163 100% 31 100% 56,163 100% Budget Spend to Date Forecast Spend Forecast Variance Budget Spend to Date Actual Spend Actual Variance Reprofiled Over/ (Under) £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 359,792 56,127 295,303 (64,489) 124,709 56,127 56,127 (68,583) (5,491) (63,091) 6,936 36 6,336 (600) 136 36 36 (101) 0 (101) 366,729 56,163 301,639 (65,088) 124,846 56,163 56,163 (68,683) (5,491) (63,192) 366,729 56,163 301,639 65,088 124,846 56,163 56,163 68,683 0 0 0 0 0 0 0 0 Projects are on target both in relation to overall budget and the forecast stages in the project life cycle and no issues are anticipated at this time 31 March 2024 Project Status Analysis Project Life Status Analysis Current Year Project Status Analysis Number of Projects at RAG Status % Projects at RAG Status % Project Spend at RAG Status Number of Projects at RAG Status % Projects at RAG Status % Project Spend at RAG Status Red Projects are forecast to be overspent and/or experience material delay to completion Green Project Status Analysis Project Life Financials Current Year Financials Red TOTAL RESOURCES NET EXPENDITURE Projects are forecast to be overspent and/or significant delay to completion Green Projects are on target both in relation to overall budget and the forecast stages in the project life cycle and no issues are anticipated at this time TOTAL EXPENDITURE Page 204
Page 205
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 1 Project Life Financials 3,216 642 20% 3,258 42 1% Current Year Financials 600 642 107% 642 42 7% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 2 Project Life Financials 2,814 3,102 110% 5,391 2,577 92% Current Year Financials 525 3,102 591% 3,102 2,577 491% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 3 Project Life Financials 1,493 56 4% 1,493 0 0% Current Year Financials 529 56 11% 56 (473) -89% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 4 Project Life Financials 10,000 103 1% 10,000 0 0% Current Year Financials 2,000 103 5% 103 (1,897) -95% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Mitigating Action None required Anticipated Outcome Full budget spend Environmental Sensors Programme Environmental sensors programme, funded by enhanced housing investment programme. Planned End Date Forecast End Date Main Issues / Reason for Variance Project introduced as part of the enhanced capital programme, with aim to install an environmental sensor in every Council owned property. Installation of sensors has commenced, albeit later than originally anticipated. Remaining current year budget to be rephased to 24/25 for continuation of project. Mitigating Action None required Anticipated Outcome Full budget spend Planned End Date Forecast End Date Main Issues / Reason for Variance A number of priority initiatives, supported by the Better Homes Project Board, are being investigated and are envisaged to have a positive impact on the current council housing stock and budget. Due to time taken to progress projects, unspent budget is required to be reprofiled to 24/25. Main Issues / Reason for Variance Budget is overspent due to costs and demand for budget being higher than anticipated at time of budget setting. Mitigating Action None available at this time. Anticipated Outcome Project to complete over budget. 31 March 2024 Budget Details Project Life Financials Spend to Date Variance Special needs adaptations None available at this time Anticipated Outcome Full budget spend Capitalised minor works This is a budget to undertake specific minor ad hoc capital projects that arise on demand throughout the financial year. Planned End Date Forecast End Date Adaptations to Housing for Special Needs Planned End Date Forecast End Date Main Issues / Reason for Variance Overspend incurred in 2023/24 due to price increases and demand levels rising. Mitigating Action Better Homes Priority Budget Priority projects as prioritised by the Better Homes Group Page 205
Page 206
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 5 Project Life Financials 750 0 0% 750 0 0% Current Year Financials 250 0 0% 0 (250) -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-25 6 Project Life Financials 203 10 5% 98 (106) -52% Current Year Financials 116 10 9% 10 (106) -91% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 7 Project Life Financials 209 0 0% 138 (71) -34% Current Year Financials 71 0 1% 0 (71) -99% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 8 Project Life Financials 17 0 0% 17 0 0% Current Year Financials 17 0 0% 0 (17) -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Planned End Date Forecast End Date Main Issues / Reason for Variance Works to progress as part of enhanced capital programme for 23/24 and to be led by Council CCTV team. Due to survey and planning time, works are commencing later than anticipated, with unspent budget required to be rephased to 24/25 for project progression. Mitigating Action None required Anticipated Outcome Full budget spend Mitigating Action None required Anticipated Outcome Full budget spend Community Safety Projects Community Safety Projects Planned End Date Forecast End Date Main Issues / Reason for Variance Budget required to be rephased to 24/25 Main Issues / Reason for Variance Programme being progressed with revised budget in 24/25 capital plan. Mitigating Action None available Anticipated Outcome Works to prgress in 24/25 Anticipated Outcome Full budget spend Gypsy Travellers Site Gypsy/ Traveller Site improvements Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Development of QL system to carry on through 24/25. Salaries of staff directly involved with development of system to be coded to direct project support. Mitigating Action None required QL Development This budget relates to the costs associated with the development of the Integrated Housing Management System Housing CCTV Installation Programme CCTV Installation Programme, funded by enhanced housing investment programme Page 206
Page 207
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 9 Project Life Financials 96 0 0% 96 0 0% Current Year Financials 96 0 0% 0 (96) -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 10 Project Life Financials 32,986 5,125 16% 32,986 0 0% Current Year Financials 6,146 5,125 83% 5,125 (1,021) -17% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 11 Project Life Financials 19,286 3,404 18% 15,713 (3,573) -19% Current Year Financials 5,679 3,404 60% 3,404 (2,275) -40% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Anticipated Outcome Scheduled works to complete under current year budget. Planned End Date Forecast End Date Main Issues / Reason for Variance Works expected to meet revised timescales which will be less than current year budget and therefore project will report an in year underspend. Mitigating Action None required Mitigating Action None available at this time Anticipated Outcome Full budget spend over project life Roof Coverings Building external component renewals, roofs/chimneys/flashings/fascias/gutters/svp Targeted SHQS /EESSH compliance works This budget is to focus on work required to maintain the SHQS compliance and energy efficiency with WDC housing stock. Planned End Date Forecast End Date Main Issues / Reason for Variance Works progressing well, however unspent budget to be rephased to 24/25. Main Issues / Reason for Variance West Dunbartonshire Council are no longer eligible for match funding from Glasgow Airport Association, following assessment of properties within West Dunbartonshire. West Dunbartonshire is not deemed to have any commercial or residential properties that fall within the scope of the scheme to be eligible for match funding, and budget therefore has been reduced from £0.192m to £0.096m. The remaining budget will be used to develop a programme of works following engagement with an aircraft noise consultant, who will work with Officers to make adaptations to previously identified properties. The budget will be reprofiled as required. Mitigating Action None required Anticipated Outcome Full budget spend in future year Airport Noise Noise Insulation Project Planned End Date Forecast End Date Page 207
Page 208
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 12 Project Life Financials 17,937 4,417 25% 17,937 0 0% Current Year Financials 4,547 4,417 97% 4,417 (130) -3% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 13 Project Life Financials 242 78 32% 275 32 13% Current Year Financials 45 78 171% 78 32 71% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 14 Project Life Financials 242 22 9% 219 (24) -10% Current Year Financials 45 22 48% 22 (24) -52% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 15 Project Life Financials 606 41 7% 534 (72) -12% Current Year Financials 113 41 37% 41 (72) -63% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Mitigating Action None required Anticipated Outcome Works complete as required Statutory/regulatory compliance works (lifts/electrical/legionnella/fire etc) This budget will be used to upgrade / replace components / installations in order to comply with the relevant standards / legislation / health and safety in relation to housing stock. Planned End Date Forecast End Date Main Issues / Reason for Variance 23/24 demand for budget less than anticipated at time of budget setting therefore there has been an underspend in the current year. Main Issues / Reason for Variance This programme always presents challenges with owner liaison and reaching agreements to install door entry where none exists, this contributes directly to achieving SHQS compliance for this element. As a result an in year underspend has been achieved. Mitigating Action Officers continue to liaise with owners to encourage agreement for install. Anticipated Outcome It is likely that this will not to meet full spend in the current year despite best efforts but officers will endeavour to gain owners agreement. Anticipated Outcome Full budget spend Secure entry component renewals This budget is to focus on secure door entry component renewals as identified and recommended from the housing stock condition survey and appropriate council officer referrals. Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Demand for budget higher than anticipated at time of budget setting, with overspend in 23/24. Mitigating Action None required External stores/garages/bin stores/drainage component renewals This budget is to focus on external stores/garages/bin stores etc. component renewals as identified and recommended from the housing stock condition survey. Main Issues / Reason for Variance Project is progressing well in 23/24, however element of unspent budget required to be rephased to 24/25. Mitigating Action None required at this time Anticipated Outcome Full budget spend Doors/window component renewals Doors/Windows Component Renewals Planned End Date Forecast End Date Page 208
Page 209
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 16 Project Life Financials 9,872 2,248 23% 10,280 408 4% Current Year Financials 1,840 2,248 122% 2,248 408 22% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 17 Project Life Financials 303 7 2% 254 (49) -16% Current Year Financials 57 7 13% 7 (49) -87% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 18 Project Life Financials 17,775 3,333 19% 17,873 98 1% Current Year Financials 3,235 3,333 103% 3,333 98 3% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 19 Project Life Financials 103 0 0% 0 (103) -100% Current Year Financials 103 0 0% 0 (103) -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Anticipated Outcome In year underspend Planned End Date Forecast End Date Main Issues / Reason for Variance Budget not utilised in 23/24 Mitigating Action None required Mitigating Action Officers will work to minimise any overspend whilst being mindful of tenant demand. Anticipated Outcome Full budget spend, possibility of overspend. Improvement works (Risk St) Risk Street Over clad Modern facilities and services New Kitchens, Bathrooms and Showers Planned End Date Forecast End Date Main Issues / Reason for Variance Pace of installations were ahead of targets. Budget therefore has overspent in 23/24. Main Issues / Reason for Variance 23/24 demand for budget less than anticipated at time of budget setting. Current year underspend to be carried forward to future years. Mitigating Action None required Anticipated Outcome Works complete as required Anticipated Outcome Full budget spend, likely overspend. Energy improvements/energy efficiency works Energy improvements/ efficiency works (e.g. loft insulation, pipe/tank insulation, draught exclusion) Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Demand has exceeded expectations. Due to the nature of this project (ensuring heating and hot water availbility) there is no option for a conscious reduction of installs. Project has therefore overspent in 23/24. Mitigating Action Whilst demand is leading spend, officers will work to minimise any budget overspend. Heating improvement works Carry out works to renew inefficient boilers/full systems as identified from the stock condition survey and renewal of obsolete/damaged boilers. Page 209
Page 210
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 20 Project Life Financials 13,900 6,683 48% 17,584 3,683 26% Current Year Financials 3,000 6,683 223% 6,683 3,683 123% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 21 Project Life Financials 3,835 490 13% 3,448 (387) -10% Current Year Financials 877 490 56% 490 (387) -44% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 22 Project Life Financials 5,454 1,287 24% 5,723 269 5% Current Year Financials 1,017 1,287 126% 1,287 269 26% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 23 Project Life Financials 1,212 102 8% 1,088 (124) -10% Current Year Financials 226 102 45% 102 (124) -55% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Mitigating Action None required Anticipated Outcome Spend as required Asbestos management works This budget is to fund work associated with the management of current asbestos legislation and the Council's asbestos policy within housing stock. Planned End Date Forecast End Date Main Issues / Reason for Variance Budget underspent in 23/24. Main Issues / Reason for Variance Work progressed well and ahead of spend targets, therefore budget has incurred an in year overspend. Mitigating Action None available at this time Anticipated Outcome Overspend incurred in current year Anticipated Outcome Spend as required Environmental renewal works, paths/fences/walls/parking area's Environmental renewal works, paths/fences/walls/parking areas Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works expected to meet revised timescales which will be less than current year budget and therefore project has an in year underspend. Mitigating Action None required Defective structures/component renewals Defective structures Main Issues / Reason for Variance Void works continued in 2023/24 to bring void properties up to a lettable standard. The high number of voids and costs associated has led to a higher than expected demand for this budget, resulting in an overspend in 2023/24. Mitigating Action None available at this time Anticipated Outcome Void properties to be brought up to lettable standard, budget to overspend. Void house strategy programme Spend on Void Properties to bring them up to letting standard Planned End Date Forecast End Date Page 210
Page 211
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 24 Project Life Financials 5,050 65 1% 5,050 0 0% Current Year Financials 1,300 65 5% 65 (1,235) -95% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 25 Project Life Financials 21,073 4,065 19% 21,073 0 0% Current Year Financials 4,435 4,065 92% 4,065 (371) -8% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Main Issues / Reason for Variance The main objective of the Buy Back Scheme is to bring former council properties that were sold through the RTB scheme, back into council use. These properties must assist the council with reducing housing need on the waiting list and where appropriate assist with external capital works. From 23/24, over 5 years, the buy back back scheme is benefiting from an additional £2m investment each year, included in this revised budget, totaling £10m over 5 years, to futher reduce the waiting list. £0.371m of the 23/24 budget remains and to be carried to 24/25. Mitigating Action None required. Anticipated Outcome Budget spend incurred, as criteria is met. Anticipated Outcome Full budget spend Buy Backs This is a budget to undertake specific projects that will deliver housing policies/strategies, example: Ex local authority and mortgage to rent buy-back scheme Planned End Date Forecast End Date Planned End Date Forecast End Date Main Issues / Reason for Variance Works taking longer to progress than anticipated. Budget required to be rephased to 24/25. Mitigating Action None required Multi Story Flats ( including Fire Risk Assessment Works) High Rise Fire Safety Measures Page 211
Page 212
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 26 Project Life Financials 177,132 17,961 10% 109,786 (67,346) -38% Current Year Financials 85,209 17,961 21% 17,961 (67,248) -79% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Variance to 23/24 Budget Site/ Spend £000 Overspend Underspend Reprofiling Haldane Primary School 77 77 0 0 Clydebank East (13,861) 0 (13,861) 0 Queens Quay Site B (99) 0 (99) 0 Queens Quay Site C (9,423) 0 (9,423) 0 Pappert (10,177) 0 (10,177) 0 Bank Street (3,570) 0 (3,570) 0 Clydebank Health Centre (4,668) 0 (4,668) 0 Willox Park Phase1 (5,402) 0 (5,402) 0 Mount Pleasant (8,479) 0 (8,479) 0 Silverton (2,557) 0 (2,557) 0 Gap sites (5,756) 0 (5,756) 0 Fees, Staffing Costs, contingency (3,333) 0 (3,333) 0 TOTAL OF ALL PROJECTS (67,248) 77 (67,325) 0 Affordable Supply Programme Affordable Housing Supply Programme Planned End Date Forecast End Date Main Issues / Reason for Variance The £67.248m variance is made up of £0.077m overspend, and underspend of £67.235m. Revised budgets profilied in 24/25 capital plan. Summary of reprofiled sites together with site specific updates as follows:- Variance Category Page 212
Page 213
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF RED PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance 27 Project Life Financials 0 184 #DIV/0! 184 184 #DIV/0! Current Year Financials 0 184 #DIV/0! 184 184 #DIV/0! Project Description Project Lifecycle 31-Mar-28 31-Mar-28 28 Project Life Financials 13,984 2,703 19% 14,058 73 1% Current Year Financials 2,629 2,703 103% 2,703 73 3% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 TOTAL OF RED PROJECTS Project Life Financials 359,792 56,127 16% 295,303 (64,489) -18% Current Year Financials 124,709 56,127 45% 56,127 (68,583) -55% Demoliton related costs incurred as required Demolitions Costs associated with demolition of surplus stock Planned End Date Forecast End Date Main Issues / Reason for Variance Costs associated with demolition of old lock ups and stock surplus to requirements Mitigating Action None required Anticipated Outcome Mitigating Action Mount Pleasant -19 units to be completed on site by March 2025. Demolition now complete and contractor award appointment made in September. £0.250m estimated to be spent this financial year with remaining current year budget to be reprofiled to 2024/25 for site start in March 2024. Bonhill Gap Site - Spend reprofiled from 2023/24 to 2024/25 as design team procurement was delayed. Projected spend in 2023/24 was on design and statutory fees. Mitigating Action Staff will work closely with all stakeholders to try and ensure timely resolutions of issues as they arise. Anticipated Outcome Project will still complete and will meet revised spend profiles . Clydebank East - 88 units to be completed by March 2025. Project delivery reprofiled due to extensive groundworks. Project on site and programme adhering to amended delivery plan. Queens Quay Site B - 29 units completed on site in 2022/23. Project completed, retention figure included and associated costs in terms with road construction. Queens Quay Site C - 20 units to be completed on site, however no further progress due to land owner issue. At the time it is assumed approximately £2m will be spent on land purchase, but this will be reviewed in early 2024, with the remaining current year budget to be reprofiled in 2024/25. Pappert - 26 units to be completed on site by April 2025. Planning delay negated anticipated spend profile for 2023/24, however Planning approval received 20 September 2023 and site start in 2024 planned. Bank Street - 22 units to be completed on site. Spend reprofiled from 2023/24 to 2024/25 as design team procurement was delayed. Spend in 2023/24 consisted of design and statutory fees. Willox Park Phase1 - 17 units to be completed on site. Spend reprofiled from 2023/24 to 2024/25 as design team procurement was delayed. Projected spend in 2023/24 was on design and statutory fees. None required Anticipated Outcome Full budget spend Salaries/central support/offices Allocation of costs from other WDC services who support the HRA capital programme Planned End Date Forecast End Date Main Issues / Reason for Variance Budget utilised for salaries and support of the HRA capital programme. Haldane - Site complete, retention paid in 2023/24 Clydebank Health Centre - Physical site start will not be achieved until 2024/25. Page 213
Page 214
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF GREEN PROJECTS MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 1 Project Life Financials 36 36 99% 36 (1) -1% Current Year Financials 36 36 99% 36 (0) -1% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 2 Project Life Financials 6,400 0 0% 6,400 0 0% Current Year Financials 0 0 #DIV/0! 0 0 #DIV/0! Project Description Project Lifecycle 31-Mar-27 31-Mar-27 3 Project Life Financials 500 0 0% (100) (600) -120% Current Year Financials 100 0 0% 0 (100) -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 TOTAL OF RED PROJECTS Project Life Financials 6,936 36 1% 6,336 (601) -9% Current Year Financials 136 36 26% 36 (101) -74% 31 March 2024 Budget Details Project Life Financials Spend to Date Variance Mitigating Action None required Anticipated Outcome Full budget spend Redployable CCTV Cameras Purchase of 5 redeployable CCTV cameras for Housing use Planned End Date Forecast End Date Main Issues / Reason for Variance Works for this project complete in April 23/24. Main Issues / Reason for Variance Works expected to commence next financial year, therefore no Issues to report at this time. Project anticipated to meet full spend and targets. Mitigating Action None required Anticipated Outcome Full budget spend District Heating District Heating Connection to the Dalmuir and Littleholm multi storey flats Planned End Date Forecast End Date Contingencies This is a contingent budget for unforeseen matters which may arise during the year. Planned End Date Forecast End Date Main Issues / Reason for Variance Contingent budget held for unplanned spend. Not utilised in 23/24. Mitigating Action None required Anticipated Outcome Spend as required Page 214
Page 215
APPENDIX 5 WEST DUNBARTONSHIRE COUNCIL HRA CAPITAL PROGRAMME ANALYSIS OF RESOURCES MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 1 Project Life Financials (46,875) (8,258) 18% (27,078) 19,797 -42% Current Year Financials (28,055) (8,258) 29% (8,258) 19,797 -71% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 2 Project Life Financials (8,646) 0 0% (6,917) 1,729 -20% Current Year Financials (1,729) 0 0% 0 1,729 -100% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 3 Project Life Financials (311,208) (44,920) 14% (264,660) 46,548 -15% Current Year Financials (95,062) (44,920) 47% (44,920) 50,142 -53% Project Description Project Lifecycle 31-Mar-28 31-Mar-28 4 Project Life Financials 0 (2,985) #DIV/0! (2,985) (2,985) #DIV/0! Current Year Financials 0 (2,985) #DIV/0! (2,985) (2,985) #DIV/0! Project Description Project Lifecycle 31-Mar-28 31-Mar-28 Main Issues / Reason for Variance 31 March 2024 Budget Details Project Life Financials Spend to Date Variance New Build Grant Grant to facilitate the building of new build housing Planned End Date Forecast End Date Mitigating Action Income received in line with spend incurred. Mitigating Action None required Anticipated Outcome Income due to be received CFCR This is capital spend which is funded by revenue budgets Planned End Date Forecast End Date Main Issues / Reason for Variance Contribution to Capital from Revenue not possible in 23/24 due to cost pressures in revenue. Prudential borrowing incurred as required None required Anticipated Outcome Income to Capital if possible Prudential Borrowing Prudential borrowing is long term borrowing from financial institutions that has been approved for the purposes of funding capital expenditure Planned End Date Forecast End Date Main Issues / Reason for Variance Prudential borrowing is impacted by programme delivery. Mitigating Action None available at this time. Anticipated Outcome Mitigating Action None available Anticipated Outcome Income will be received when due Other Capital Income Other Income to capital Planned End Date Forecast End Date Main Issues / Reason for Variance Grant from Scottish Government in relation to properties bought back into Council stock. Page 215
Page 216
WEST DUNBARTONSHIRE COUNCIL HRA CAPITAL PROGRAMME ANALYSIS OF RESOURCES MONTH END DATE PERIOD 12 Budget Forecast/ Actual Spend £000 £000 % £000 £000 % 31 March 2024 Budget Details Project Life Financials Spend to Date Variance New Build GrantTOTAL RESOURCES Project Life Financials (366,729) (56,163) 15% (301,639) 65,089 -18% Current Year Financials (124,846) (56,163) 45% (56,163) 68,683 -55% Page 216
Page 217
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 HRA CAPITAL PROGRAMME ANALYSIS OF AFFORDABLE HOUSING SUPPLY PROGRAMME MONTH END DATE PERIOD 12 Budget Spend to Date Forecast/ Actual Spend £000 £000 £000 £000 % RAG Status Haldane Primary School - 77 77 77 #DIV/0! Aitkenbar Primary School - - - - #DIV/0! Clydebank East 37,992 14,979 24,131 13,861- -36% Creveul Court - - - - #DIV/0! Dumbarton Harbour Ph 3 - - - - #DIV/0! Queens Quay Site B 660 562 562 99- -15% Queens Quay Site C 25,175 3 15,753 9,423- -37% Pappert 13,276 517 3,100 10,177- -77% Bank Street 5,751 13 2,181 3,570- -62% Clydebank Health Centre 11,016 690 6,348 4,668- -42% Willox Park Phase1 6,185 120 783 5,402- -87% Willox Park Phase2 7,500 - 7,500 - 0% Mount Pleasant 8,717 238 238 8,479- -97% Silverton 2,590 33 33 2,557- -99% 0 - - - - #DIV/0! Gap sites Gap sites budget remaining 9,182 - 4,081 5,101- -56% Bonhill Gap Site - all Bonhill Sites 245 0 0 245- -100% Bonhill Gap Site - Old Bonhill/ Campbell Street - 35 - - Bonhill Gap Site - O'Hare - 28 - - 0% Bonhill Gap Site - Braehead - 36 - - #DIV/0! Clydebank Gap Sites ( prev Lilac Avenue) - unallocated 13,622 - 13,000 622- -5% Clydebank Gap Sites ( prev Lilac Avenue) - 7-9 Gilmour Avenue 50 39 39 11- -21% Clydebank Gap Sites ( prev Lilac Avenue) - Queen Mary Avenue 50 32 32 18- -35% Future New build sites 27,000 - 27,000 - 0% 28 Bridge Street Alexandria 23 165 165 141 605% Fees, Staffing Costs, contingency 8,097 396 4,764 3,333- -41% Total Expenditure 177,132 17,961 109,786 (67,346) 31 March 2024 Site Project Life Financials Variance Page 217
Page 218
WEST DUNBARTONSHIRE TRUST FUNDS DRAFT ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 APPENDIX 6 Page 218
Page 219
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 2 | P a g e Contents Pages Contents 2 Trustees’ Annual Report 3 – 6 Statement of Receipts and Payments 7 Statement of Balances 8 Page 219
Page 220
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 3 | P a g e Trustees’ Annual Report Introduction The Trustees present the annual report together with the Financial Statements for the year ended 31 March 2024. Administration Information West Dunbartonshire Council (the Council) is sole Trustee for all Trust Funds with the exception of Dunbartonshire Educational Trust Scheme 1962 and McAuley Prize for Mathematics. The table below identifies the Trustees for 2023/24. Trust Funds Charity Number Trustees Local Authority Contact Address Alexander Cameron Bequest SC025070 Provost Douglas McAllister Councillor Daniel Lennie Councillor June McKay Councillor Lawrence O’Neill Councillor Clare Steel Councillor Diane Docherty Councillor Jim McElhill Councillor Lauren Oxley Councillor Gordon Scanlan Councillor Sophie Traynor West Dunbartonshire Council West Dunbartonshire Council, Church Street, Dumbarton, G82 1QL UIE Award SC025070 Provost Douglas McAllister Laura Mason (Chief Officer – Education) Laurence Slavin (Chief Officer – Resources) Liz Connolly (Principal) West Dunbartonshire Council West Dunbartonshire Council West Dunbartonshire Council West College Scotland West Dunbartonshire Council, Church Street, Dumbarton, G82 1QL Dunbartonshire Education Trust SC025070 Councillor Clare Steel Councillor John Millar Councillor Hazel Sorrell Councillor James McPhilemy Councillor Gordon Currie Councillor Lynda Williamson Councillor Callum McNally Councillor Math Campbell- Sturgess West Dunbartonshire Council West Dunbartonshire Council West Dunbartonshire Council North Lanarkshire Council North Lanarkshire Council East Dunbartonshire Council East Dunbartonshire Council Argyll and Bute Council West Dunbartonshire Council, Church Street, Dumbarton, G82 1QL McAuley Prize for Mathematics SC025070 Page 220
Page 221
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 4 | P a g e Objectives and 2023/24 Activity All trusts are advertised on the Council’s website and details have been passed to West Dunbartonshire Community and Volunteering Service (WDCVS) to publicise them. The objectives and activities of each of the Trusts are detailed below: Charity Number Trust Fund Objective 2023/24 Activity SC018701 Dr A K Glen Fund The benefit of the people of Dumbarton, to assist and relieve those in need by reason of age. No awards. Fund is now closed. SC025070 Alexander Cameron Bequest The benefit of the people of Clydebank to assist those in need by reason of age, ill health, disability, financial hardship or other disadvantage. One grant was awarded during 2023/24 as detailed within note 3. SC025070 UIE Award For students studying apprenticeships or training in industry. No awards but work to review and modernise the Trust’s governance arrangements to encourage funding applications in the future continues. SC025070 Dunbartonshire Educational Trust Scheme 1962 Awards educational prizes and bursaries. No awards for either. Trustees continue to seek clarification as to amendments to the governance arrangements. As these Trusts are governed by statute, discussions are ongoing between the Council (as Administrator) and Scottish Ministers and Office of the Scottish Charity Regulator (OSCR) regarding these arrangements. SC025070 McAuley Prize for Mathematics Provides prizes for those studying maths and computing Structure and Governance West Dunbartonshire Trust Funds are OSCR registered. The governance arrangements are under the control of the Council which appoints trustees as required. The current list of trustees are shown within the table on page 3. Following a review of the governance documents, it was agreed at Council on 31 August 2016 that the Alexander Cameron Bequest Trust Fund noted below would be delegated to the Alexander Cameron Committee. Page 221
Page 222
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 5 | P a g e The trustees have overall responsibility for ensuring there are appropriate systems of control, financial and otherwise. They are also responsible for keeping proper accounting records which disclose, with reasonable accuracy, the financial position of the Trusts and enable them to ensure Financial Statements comply with Charities Accounts (Scotland) Regulations 2006. They are also responsible for safeguarding the assets of the charity and are therefore responsible for taking reasonable steps to prevent and detect fraud and other irregularities and also provide reasonable assurances that: • The trusts are operating efficiently and effectively. • Assets are safeguarded against unauthorised use and disposition. • Proper records are maintained and financial information used by the charities is reliable. • The trusts comply with relevant laws and regulations. The systems of internal controls are designed to provide reasonable, but not absolute, assurance against material misstatement or loss. The systems of internal control follow those of the Council and, as such, much of this is delegated to the Council’s Chief Officer - Resources. The Council continually seeks to improve the effectiveness of its systems of internal control so that any irregularities are either prevented or quickly detected. The systems of internal control are based on a framework of regular management information, financial regulations, financial and administrative procedures (including segregation of duties), management supervision and a system of delegation and accountability. The Financial Statements and Trustees Report are prepared by the Council’s Finance Service. The appointed external auditors are Forvis Mazars. The Council has agreed to meet the cost of this audit and not pass this on to the Trusts. This is to provide additional financial support to the Trusts, ensuring that core funds are not eroded, and objectives can continue to be achieved. The Trustees only meet as and when required during the year and will ensure that the required accounting arrangements are adhered to. Management of Funds and Investment Policy Decisions regarding the management of the Trusts are made by the Trustees. Trustees rely on the expertise of Council staff to manage the investments to ensure the maximum return at the least risk to the Trusts. In this way, the income stream for the future benefit of the Trusts is protected. Funds available are invested each year with interest earned. Investments are made both internally and externally, with the majority invested in the Council’s Loans Fund and externally managed by the Council. Performance (Investments) Income for West Dunbartonshire Trusts comes from investment returns. All Trusts (with the exception of those investments noted below) received income on their reserves held based upon the average interest rate used for internal investments within the Council’s loans fund was 4.569%. Page 222
Page 223
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 6 | P a g e Following a Trustee decision in 2019/20, Alexander Cameron had an element of their funds in a fixed interest agreement. Trustees met and agreed in February 2022 to continue this investment for a further fixed term of 2 years (the revised interest rate was 2.04%) and the overall impact of this was £2,957 of interest gained during 2023/24. Dunbartonshire Educational Trust Scheme 1962 continues to receive income from external investments i.e. 3% Clydeport and 4% Clydeport Consolidated Stock. These investments are managed by the Council and achieved investment income of £5 in 2023/24 (£5 in 2022/23). Financial Review The total balance on the Trusts as at 31 March 2024 (including stocks) is £268,442. On 8 July 2016 Clydeport Operations Ltd delisted 3% and 4% stocks from the London Stock Exchange. These are stocks held by Dumbarton Educational Trust. Until further information is available it has been assumed that the balance of this stock has remained the same as the previous year (£218). The Trusts held cash and bank balances at 31 March 2024 of £170,717. Reserves are held by the Council on behalf of the Trusts and revenue income, generated from investment interest that has not been disbursed at 31 March every year, is invested in line with the investment policy outlined above. Declaration This report was signed on behalf of the Trustees on 30 June 2024 by: Councillor Martin Rooney West Dunbartonshire Council 30 June 2024 Page 223
Page 224
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 7 | P a g e Statement of Receipts and Payments Account Receipts 2022/22 Payments 2022/23 (Surplus) /Deficit 2022/23 Receipts 2023/24 Payments 2023/24 (Surplus) /Deficit 2023/24 £ £ £ £ £ £ (1,796) 0 (1,796) Dunbartonshire Educational Trust Scheme 1962 (4,216) 0 (4,216) (435) 0 (435) McAuley Prize for Mathematics (1,020) 0 (1,020) (3,436) 6,200 2,764 Alexander Cameron Bequest (10,272) 300 (9,972) 0 4,947 4,947 Dr AK Glen 0 0 0 (491) 0 (491) UIE Award (1,154) 0 (1,154) (6,158) 11,147 4,989 Total (16,662) 300 (16,362) Page 224
Page 225
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 8 | P a g e Statement of Balances as at 31 March 2024 Opening Balance 2022/23 (Surplus) /Deficit 2022/23 Closing Balance 2022/23 Note Cash and Bank Opening Balance 2023/24 (Surplus) /Deficit 2023/24 Closing Balance 2023/24 £ £ £ £ £ £ (90,494) (1,796) (92,290) Dunbartonshire Educational Trust Scheme 1962 (92,290) (4,216) (96,507) (21,898) (435) (22,333) McAuley Prize for Mathematics (22,333) (1,020) (23,352) (20,000) 5,515 (14,485) Alexander Cameron Bequest (14,485) (9,972) (24,457) (4,947) 4,947 0 Dr AK Glen 0 0 0 (24,757) (491) (25,248) UIE Award (25,248) (1,154) (26,401) (162,096) 7,740 (154,356) Total Cash and Bank (154,356) (16,362) (170,717) Investment (218) 0 (218) 5 Dunbartonshire Educational Trust Scheme 1962 (218) 0 (218) (100,269) (2,751) (103,020) 5 Alexander Cameron Bequest (103,020) 5,515 (97,506) (100,487) (2,751) (103,238) Total Investment (103,238) 5,515 (97,724) (90,712) (1,796) (92,508) Dunbartonshire Educational Trust Scheme 1962 (92,508) (4,216) (96,725) (21,898) (435) (22,333) McAuley Prize for Mathematics (22,333) (1,020) (23,352) (120,269) 2,764 (117,505) Alexander Cameron Bequest (117,505) 4,457 (121,963) (4,947) 4,947 0 Dr AK Glen 0 0 0 (24,757) (491) (25,248) UIE Award (25,248) (1,154) (26,401) (262,583) 4,989 (257,594) Overall Total (257,594) 10,847 (268,441) All funds are unrestricted which means they may be used for any purpose relevant to the Trust Fund. The draft Financial Statements were authorised for issue on 30 June 2024. Signed on behalf of the Trustees by:- Councillor Martin Rooney West Dunbartonshire Council 30 June 2024 Page 225
Page 226
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 9 | P a g e Notes to the Financial Statements Note 1 - Basis of Accounting The Financial Statements have been prepared on a receipts and payments basis and in accordance with the Charities & Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. Note 2 – Trustee Remuneration, Expenses and Related Party Transactions • No remuneration or expenses were paid to the Trustees or any connected persons during the 2023/24. • The Trusts received interest of £9,347 from the Council at 31 March 2024, and all transactions incoming and outgoing are made via the Council’s bank accounts. • The Council has not charged the Trusts any fees for legal, financial or administrative services provided during the year. Note 3 – Grants A single grant was awarded during 2023/24 by Alexander Cameron Bequest of £300 to the Faifley Art Group. Note 4 – Cash and Bank Balances During the year the Trust’s balances were held by the Council, which manages the administration of the funds on behalf of the Trustees. No costs were incurred by the Trusts for this administration. The Council also acts as the banker for the Trusts and, as detailed above, all transactions incoming and outgoing are made via the Council’s accounts. The balances are repayable on demand. Interest is paid on balances. Note 5 – Investment Dunbartonshire Educational Trust - The investment valuation of £218 (shown in the table below) is the market value as at 31 March 2016, as valued by the Council. Notification was received that the stocks were delisted in July 2016. There has been no further update on this and therefore the assumption is that the market price remains the same. Purchase Price as at 31 March 2023 Market Price as at 31 March 2023 Investment Purchase Price as at 31 March 2024 Market Price as at 31 March 2024 £ £ £ £ (289) (199) 4% Clydeport authority (289) (199) (35) (19) 3% Clydeport Authority (35) (19) (324) (218) Total (324) (218) Page 226
Page 227
West Dunbartonshire Trust Funds Draft Financial Statements for the year ended 31 March 2024 10 | P a g e Alexander Cameron – Following a decision on 23 February 2022, £20,000 was invested on a short term variable basis, with the remainder (£100,269) invested on a longer term fixed interest rate basis with the Council for two years at 2.04%. The opening value of the investment, including interest was £103,020. During 2023/24 a sum of £5,515 was withdrawn from the investment in order to replenish the fund’s cash and bank balance, thus reducing the investment to £97,505. Note 6 – Audit Fee The audit fee for the year of £6,500 (£6,500 2022/23) was absorbed by the Council. Page 227
Page 228
11 | P a g e Page 228
Page 229
DUMBARTON COMMON GOOD FUND APPENDIX 7 Statement of Income & Expenditure 22/23 23/24 23/24 Final Outturn Revised Budget Final Outturn Description £ £ £ Alcoholics Anonymous - Grant for Property 21,078 21,706 14,502 Alternatives 5,000 5,000 5,000 Bellsmyre Digital Project 35,602 35,602 35,602 Bellsmyre Schools Out 2,500 - - Bellsmyre Development Trust 36,000 36,000 36,000 Christmas Lights 15,000 15,000 15,000 Dumbarton Senior Citizens 10,000 10,000 10,000 Dumbarton Fireworks 11,780 12,369 12,369 Town Centre Management - Capital & Revenue 22,777 22,777 - Rockvale Rebound - Rent 2,630 2,630 2,600 Scottish Maritime Museum 50,000 50,000 50,000 Small Grants - 7,000 - West Dunbartonshire Citizen's Advice Bureau 40,000 40,000 40,000 Central Admin Allocation 24,000 24,000 24,000 Vacant Property Costs in relation to Overburn Ave - - 44,808 Estates Dept - Management Fee 10,840 10,840 10,840 WD Community Foodshare - 18,403 17,403 Dumbarton library resources - 10,000 10,000 Pipe Band Championships - 50,000 50,000 Food For Thought SCIO - 16,251 16,251 Corra Foundation - 13,000 13,000 Dalreoch United Free Church (Women's Fellowship) - 645 645 Total Expenditure 287,207 401,222 408,021 Interest on Revenue Balance / Investments - 11,211 - 360 24,548- Rental Income - External - 140,578 - 140,585 142,141- Rental Income - Internal - 179,000 - 181,000 177,750- Total Income - 330,789 - 321,946 - 344,439 Net Expenditure - 43,582 79,276 63,582 Balance b/fwd - 581,313 - 624,896 - 624,896 Balance c/fwd - 624,896 - 545,619 - 561,314 Page 229
Page 230
Page 230
Page 231
WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council 28 August 2024 ___________________________________________________________________ Subject: General Services Capital Budgetary Control Report 2024/25 to Period 3 (30 June 2024) 1. Purpose 1.1 This report provides an update on the General Services capital financial performance to 30 June 2024. 2. Recommendations 2.1 Committee is asked to: i) Note the current position of the 2024/25 General Services capital budget. ii) Approve £0.04m of additional capital budget for the Agresso Development project. iii) Approve the revised completion dates detailed in appendix 3. iv) Note an in-year variance of £15.786m due to reprofiling of projects. 3. Background 3.1 On 6 March 2024 the Council approved the updated General Services Capital Plan for 2024/2025 to 2032/33. The three years from 2024/25 to 2026/27 were approved in detail with the remaining years being indicative. The budget agreed was £76.757m for 2024/25 and £318.357m for the project life budget. ITEM 11 Page 231
Page 232
3.2 Since then budget adjustments have taken place which result in a revised General Services capital budget as set out in Exhibit 1. Exhibit 1: Revised Capital Budget 2024/25 (£m) Project Life (£m) Capital Budget Agreed 6 March 2024 76.757 318.357 Capital Projects Removed (Para 4.6) (0.09) (0.017) Add Res7 Community Capital Fund 0.150 0,150 Add Res8 Community Sports Success Capital Fund 0.250 0.250 Capital Project Added (Para 4.6) 1.197 2.000 Developers Contributions for Clydebank Can on the Canal 0.050 0.050 New Scottish Government Funding – Nature Restoration 0.034 0.034 New Scottish Government Funding – Cycling, Walking and Safer Streets 0.389 0.389 Revised Capital Budget as at Period 3 78.737 315.501 4. Main Issues 4.1 Progress against the 2024/25 capital plan is detailed in: Appendix 1 – Project Life Summary by Chief Officer Appendix 2 – Off Track Projects Appendix 3 – Changes to Capital Plan for Noting Appendix 4 – All Approved Projects 4.2 The overall programme summary report at Appendix 1 shows that planned expenditure is higher than the budget agreed by £0.040m (0.14% of budget) due to an anticipated overspend the Agresso Development Plan. 4.3 Appendix 2 highlights thirteen projects currently showing as off-track. One due to additional budget required (Agresso Development) and twelve due to revised completion dates. These are: Agresso Development Transformation of Infrastructure Libraries and Museums Legal Case Management System (RR1) Installation of Solar PV at Clydebank Leisure Centre Replace failed heating controls/valves & recommission - Original Levelling Up Capacity Auld Street Clydebank – Bond Riverbank Erosion Repair – Levenhowe Pavement Improvements Waste Transfer Station Park Improvements and Multi Games Area - Goldenhill Park Page 232
Page 233
Kilmaronock Cemetery Expansion Digital Inclusion 4.4 Appendix 3 highlights thirty six projects where the project expenditure requires to be reprofiled but there is no need for additional budget. 4.5 Appendix 4 shows all projects with approved in year and project life budgets as well as anticipated expenditure. It highlights that the 2024/25 budget is £78.737m with current forecast spend of £62.951m, a variance of £15.786m, (20.05%) relating to projects which require reprofiling. The spend as at period 3 is £8.298m (13.18%) of the current forecast spend of £62.951m. 4.6 Other minor changes to the capital plan already included in the summarised plan in appendix 4 are: The Clyde Mission Catalyst Fund has been added onto the Capital Plan (Project RR13). This is not a new project and funding for it was received 16 April 2021 from Scottish Government. It was omitted from the Capital Plan in March 2024 as it has been managed through a different method. The presentation has been corrected and the project will be monitored through the capital plan moving forward. This has no impact on funding as it is fully funded. Early Early Years Early Learning and Childcare Funding project has been removed. It was anticipated that there would be a carry forward of budget into 2024/25 from 2023/24. However, projects were completed by 31 March 2024 and therefore no carry forward was required The Demolition 215 main street electronic insurance projects have been removed as they are both complete. 5. Option Appraisal 5.1 No option appraisal was required for this report. 6. People Implications 6.1 There are no people implications. 7. Financial and Procurement Implications 7.1 The report notes the projected in-year financial position for capital budgets. 8. Risk Analysis 8.1 The main risks are as follows: (a) The reported variances should be viewed in the knowledge that there are a number of variable factors which could arise between now and 31 March which could affect the year end results for capital budgets. Page 233
Page 234
(b) As a consequence of current market conditions, inflation is at an all-time high and interest rates continue to be volatile. To forecast for the full year costs budget assumptions have been required. These assumptions continue to change regularly and therefore it is likely the projected year end budgetary position will change from that reported. 9. Equalities Impact Assessment (EIA) 9.1 No equalities impact assessment was required in relation to this report. 10. Environmental Sustainability 10.1 No assessment of environmental sustainability was required in relation to this report. 11. Consultation 11.1 All services involved in delivering the capital budgets have been consulted in the compilation of this report. 12. Strategic Assessment 12.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s current Strategic Plan. This report forms part of the financial governance of the Council. ________________ Laurence Slavin Chief Officer – Resources Date: 8 August 2024 Person to Contact: Jackie Thomson Council Offices, Church Street, Dumbarton E-mail: jackie.nicolthomson@west-dunbarton.gov.uk Appendices: Appendix 1 - Project Life Summary Appendix 2- Off Track Projects Appendix 3 - Reprofiling and Acceleration of Projects Appendix 4 - Details of all Projects. Background Papers: General Services Capital Plan Update - Council 6 March 2024. Wards Affected All Wards Page 234
Page 235
Period 3 - 30 June 2024 Appendix 1 Summary TO BE LINKED Project Life Budget Project Life Forecast Spend Project Life Variance On Track/Complete Off Track £'000 £'000 £'000 Chief Officer Resources 51,608 51,647 40 11 1 Chief Officer Citizen, Cultural and Facilities 2,912 2,912 - 1 1 Chief Officer Regulatory and Regeneration 58,213 58,213 - 9 4 Chief Officer Roads and Neighbourhoods 123,662 123,646 16- 26 6 Chief Officer Education 59,633 59,633 0 3 1 Chief Officer HSCP 9,331 9,331 - 3 0 Chief Officer People and Transformation 10,141 10,141 - 4 0 Total 315,501 315,524 24 57 13 Page 235
Page 236
Page 236
Page 237
Projects that are Off Track as at Period 3 - 30 June 2024 Appendix 2 Service Project Approved Project Life Cost Revised Project Life Cost Project Life Variance Initial Completion Date Revised Completion Date £'000 £'000 £'000 Res4 Agresso Development (Res4) 62 102 40 30/04/2024 30/09/2024 CCF2 Transformation of Infrastructure Libraries and Museums (CCF2) 421 421 0 31/03/2024 31/03/2025 RR1 Legal Case Management System (RR1) 33 33 0 31/03/2024 31/03/2026 RR3 Installation of Solar PV at Clydebank Leisure Centre 61 61 0 31/03/2023 31/03/2025 RR4 Replace failed heating controls/valves & recommission - Original 20 20 0 31/03/2023 31/03/2025 RR11 Levelling Up Capacity 320 320 0 31/03/2023 31/03/2026 R&N6 Auld Street Clydebank - Bond 256 256 0 31/03/2024 31/03/2025 R&N7 River Bank Erosion Repair - Levenhowe 20 20 0 31/03/2024 31/03/2025 R&N11 Pavement Improvements 1,000 1,000 0 31/03/2025 31/03/2025 R&N22 Waste Transfer Station 1,980 1,980 0 31/03/2024 31/03/2026 R&N27 Park Improvements and Multi Games Area - Goldenhill Park 150 150 0 31/03/2024 31/03/2025 R&N30 Kilmaronock Cemetery Expansion 50 50 0 31/03/2023 31/03/2025 Educ2 Digital Inclusion 356 356 0 31/03/2023 31/03/2025 Project Name: Agresso Development Initial End Date: 30/04/2024 Revised End Date: 30/9/24 How was this project initially funded: Please Detail any additional funding Prudential Borrowing £40k Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? Additional Funding Requested: £40k New Completion Date: 30/9/24 What are the implications on the actions proposed? Revenue Implications: £6k over five years Virement Implications Project Name: Transformation of Infrastructure Libraries and Museums Initial End Date: 31/3/24 Revised End Date: 31/3/25 How was this project initially funded: Please Detail any additional funding Prudential Borrowing N/A Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date: 31/3/25 What are the implications on the actions proposed? Revenue Implications N/A Virement Implications N/A Project Name: Legal Case Management System Initial End Date: 31/3/24 Revised End Date: 31/3/26 How was this project initially funded:Prudential Borrowing Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? This project is delayed as waiting to explore the functionality of Sharepoint to see if a new standalone system is required for this. What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/26 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Installation of Solar PV at Clydebank Leisure Centre Initial End Date: 31/3/23 Revised End Date: 31/3/25 How was this project initially funded:Prudential Borrowing Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? The project has been delayed due to resourcing issues. Resources redirected to District Heating Network in the absence of District Heating Project Lead. What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Chief Officer Regulatory and Regeneration Source of Funding Chief Officer Resources Source of Funding Prudential Borrowing Chief Officer CCCF Project delayed due to savings options taken at Council which had an impact on sites and previous spend profile was then refocused to accommodate the new decisions for colocations. Source of Funding Chief Officer Regulatory and Regeneration Source of Funding Notification from the supplier of a policy change towards supporting only cloud based installations necessitated futher expenditure to ready the system for cloud migration. Page 237
Page 238
Project Name: Replace failed heating controls/valves & recommission Initial End Date: 31/3/23 Revised End Date: 31/3/25 How was this project initially funded:Prudential Borrowing Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? The project has been delayed due to resourcing issues. Resources redirected to District Heating Network in the absence of District Heating Project Lead. What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Levelling Up Capacity Initial End Date: 31/3/25 Revised End Date: 31/3/26 How was this project initially funded:SG funded Please Detail any additional funding N/A Why is the project classified as off track and what has caused the issues identified? The funding has been realigned to match the Level Up Funding project What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/26 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Auld Street Clydebank - Bond Initial End Date: 31/3/24 Revised End Date: 31/3/25 How was this project initially funded:Funded via road bond provided by Developer Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: River bank erosion repair - Levenhowe Initial End Date: 31/3/24 Revised End Date:31/3/25 How was this project initially funded:Capital Investment Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date: What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Pavement Improvements Initial End Date: 31/3/2024 Initial End Date: 31/3/2025 How was this project initially funded: Prudential Borrowing Please Detail any additional funding N/A Why is the project classified as off track and what has caused the issues identified? Projects are complete however this budget is required for retentions due to be paid in 24/25. What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Waste Transfer Station Initial End Date: 31/3/25 Revised End Date: 31/3/26 How was this project initially funded:Prudential Borrowing Please Detail any additional funding N/A Why is the project classified as off track and what has caused the issues identified? Project has been delayed as it has inter-dependencies with the wider depots/office rationalisation projects What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/26 What are the implications on the actions proposed? Revenue Implications Virement Implications Chief Officer RNT Source of Funding N/A Source of Funding N/A Chief Officer Regulatory and Regeneration Source of Funding Chief Officer Regulatory and Regeneration Source of Funding Chief Officer RNT Some river bank repair was undertaken through existing capital budget for Levenhowe however, delayed whilst survey and recommendations report undertaken. Works identified for progress 24/25 and await outcome of SEPA approval Source of Funding Chief Officer RNT Chief Officer RNT Initial road bond was used to complete the drainage and street lighting installations as well as road construction. Remaining funding was not enough to complete the installation of remote footway. Additional funding now available through Jubilee developer contributions to complete. Source of Funding Page 238
Page 239
Project Name: Park Improvements and Multi Games Area - Goldenhill Park Initial End Date: 31/3/24 Revised End Date: 31/3/25 How was this project initially funded: Please Detail any additional funding Why is the project classified as off track and what has caused the issues identified? Project delayed due to longer than anticipated lead times for MUGA materials What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Kilmaronock Cemetery Expansion Initial End Date: 31/3/24 Revised End Date: 31/3/25 How was this project initially funded:Prudential Borrowing Please Detail any additional funding N/A Why is the project classified as off track and what has caused the issues identified? Unable to deliver project as originally planned due to unforeseen adverse ground conditions. What action will be taken to rectify the position? Additional Funding Requested: £0 New Completion Date:31/3/25 What are the implications on the actions proposed? Revenue Implications Virement Implications Project Name: Digital Equipment Chief Officer Education Initial End Date: 31/3/23 Revised End Date: 31/03/2025 How was this project initially funded: Please Detail any additional funding N/A Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? Additional Funding Requested: £0 N/A New Completion Date: 31/3/25 What are the implications on the actions proposed? Revenue Implications N/A Virement Implications N/A Chief Officer RNT Source of Funding N/A Chief Officer RNT Source of Funding Delay in sourcing a suitable location for the programme. The chromebook repair school projects in in second phase and will be implemented in academic year 2024/25 Source of Funding Page 239
Page 240
Changes to Capital Plan and Implications Appendix 3 RESOURCES Project - RES9 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan Strathleven Place (formerly part of Glencairn House project) - Original 50 1,540 - - - - 1,590 Strathleven Place (formerly part of Glencairn House project) - Revised 1,590 - - - - 1,590 Explanation Project delayed due to internal resources and impact of Glencairn House project completion. Project - RES11 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan Building Upgrades and H&S - lifecycle & reactive building upgrades - original 331 2,791 2,781 2,781 2781 13,905 25,370 Building Upgrades and H&S - lifecycle & reactive building upgrades - Revised 3,122 2,781 2,781 2,781 13,905 25,370 Explanation Carry forward required for retentions for projects and projects agreed in pipeline Project - RES13 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Depot Rationalisation - Original 238 500 3,000 4,590 - - 8,328 Depot Rationalisation - Revised 500 3,000 4,828 - - 8,328 Explanation Awaiting feasibility report on garage replacement. Once received the will be reviewed by services and progress to detailed design. Page 240
Page 241
CITIZENS CULTURE AND FACILITIES Project - CCF 1 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Heritage Capital Fund (132) 389 - - - - 257 Heritage Capital Fund 257 - - - - 257 Explanation Acceleration of works Project - CCF 2 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Transformation of Infrastructure Libraries and Museums - Original 95 - - - - - 95 Transformation of Infrastructure Libraries and Museums - Revised 95 - - - - 95 Explanation Earmarked for future works within retained libraries Project - RR2 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Re -imagine Antonine Wall - Original 5 10 - - 0 - 15 Re -imagine Antonine Wall - Revised 15 - - - - 15 Explanation Multi year project Project - RR7 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Regeneration Fund - Original 265 350 1,530 974 970 4,089 Regeneration Fund - Revised 615 1,530 974 970 4,089 Explanation These are multi-year programmes of work/projects that are subject to external factors. Page 241
Page 242
Project - RR8 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Place Based Investment - Original 219 310 471 471 0 - 1,471 Place Based Investment - Revised 529 - - 529 Explanation Project - RR10 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 Level Up Funding - Original 1,171 11,959 2,200 - - - 15,330 Level Up Funding - Revised 11,959 3,371 - - - 15,330 Explanation These are multi-year programmes of work/projects that are subject to external factors. Project - RR12 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 District Heating Network Expansion - Original 140 2,500 4,609 3,095 760 - 11,104 District Heating Network Expansion - Revised 1,500 5,000 3,595 1,009 - 11,104 Explanation Unable to commence construction works until agreements are in place with Golden Jubilee Hospital and other partners. ROADS & NEIGHBOURHOOD Project - R&N1 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Infrastructure - Roads (90) 2,544 2,544 2,544 2,544 12,720 22,806 Infrastructure - Roads 2,454 2,544 2,544 2,544 12,720 22,806 Explanation Acceleration of Works These are multi-year programmes of work/projects that are subject to external factors. Project has been reduced as it is not clear yet whether there will be further funding provided. Page 242
Page 243
Project - R&N3 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 R £'000 Street lighting and associated electrical infrastructure - Original 14 - - - - - 14 Street lighting and associated electrical infrastructure - Revised 14 - - - - 14 Explanation Rolling programme of column upgrade works. Some delay in finalising programme for last year but will continue into 24/25 Project - R&N4 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Flood Prevention - Original 189 150 - - - - 339 Flood Prevention - Revised 339 - - - - 339 Explanation Limited uptake on property level protection however scheme will be continued into 24/25. Additional evaluation of Clydebank Surface Water Plan and River Leven Study planned for 2024/25 Project - R&N5 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Vehicle Replacement - Original (135) 3,000 1,939 1,040 1,040 5,200 12,084 Vehicle Replacement - Revised 2,865 1,939 1,040 1,040 5,200 12,084 Explanation Acceleration of Project Project - R&N9 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Roads Plant - Original 66 - - - - - 66 Roads Plant - Revised 66 66 Explanation Plant purchased, awaiting invoices Page 243
Page 244
Project - R&N10 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 A813 Road Improvement Phase 1 - Original 150 493 - - - - 643 A813 Road Improvement Phase 1 - Revised 643 - - - - 643 Explanation Project - R&N12 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Traffic Signal Upgrades - Original 26 - - - - - 26 Traffic Signal Upgrades - Revised 26 - - - - 26 Explanation Works delayed awaiting funding decision from LUF.Further lighting upgrades will be completed this year. Project - R&N13 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Gruggies Burn Flood Prevention - Original 363 7,270 6,820 - - - 14,453 Gruggies Burn Flood Prevention - Revised 551 742 6,340 6,820 - 14,453 Explanation Project - R&N14 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Electrical Charging Points - Rapid Charge Original 15 - - - - - 15 Electrical Charging Points - Rapid Charge Revised 15 - - - - 15 Explanation New chargers installed however delay to commissioning and testing. Will be delivered 24/25 Road Upgrade completed however delay in undertaking footway extension whilst land ownership resolved. Designs ready to go to start construction on the footway upgrade Priority given to progressing consultation and concept design due to notification submission target of March 2024. Outline design will be delivered over 2024/25 with detailed design also progressed with planned delivery December 2025. Significant costs associated with design elements. Page 244
Page 245
Project - R&N16 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Vehicle Replacement Strategy - Original 500 900 - - - - 1,400 Vehicle Replacement Strategy - Revised 1,400 - - - - 1,400 Explanation This budget complement the wider vehicle replacement budget with a focus this year on Greenspace plant/vehicles. Project - R&N18 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Public non-adopted paths and roads - Original 394 225 225 225 225 1,125 2,419 Public non-adopted paths and roads - Revised 619 225 225 225 1,125 2,419 Explanation Projects have been identified and are currently being developed for tendering. Project - R&N20 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Vale of Leven Cemetery - original 60 - - - - - 60 Vale of Leven Cemetary - revised 60 - - - - 60 Explanation Retentions for project have extended inti 24/25. The project works are complete. Project - R&N21 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Allotment Development - Original 91 186 277 Allotment Development - Revised 150 127 - - - 277 Explanation Tender documents currently being developed. Page 245
Page 246
Project - R&N23 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Play Area Upgrade Programme - Original 32 449 100 100 100 534 1,315 Play Area Upgrade Programme - Revised 481 100 100 100 534 1,315 Explanation Longer than anticipated lead time for steel used in construction of play equipment. Project - R&N25 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Whitecrook Tennis Court Upgrade - Original 15 - - - - - 15 Whitecrook Tennis Court Upgrade - Revised 15 - - - - 15 Explanation Retentions to be paid 24/25 Project - R&N26 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 East End Park Resurfacing - Original (6) 385 - - - - 379 East End Park Resurfacing - Revised 379 - - - - 379 Explanation Acceleration of Project Project - R&N28 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Balloch Mountain Bike Track - Original 10 590 - - - - 600 Balloch Mountain Bike Track - Revised 600 - - - - 600 Explanation Awaiting match funding decision from Sportscotland Page 246
Page 247
Project - R&N29 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Pappert 2G Pitch - Original 12 230 - - - - 242 Pappert 2G Pitch - Revised 242 - - - - 242 Explanation Tender documents are currently being developed Project - R&N31 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 Exxon City Deal - Original 10,797 9,845 10,820 4,277 1,162 36,901 Exxon City Deal - Revised 3,000 20,000 11,067 2,834 - 36,901 Explanation EDUCATION Project - Educ1 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan AV Equipment - Education - Original 9 100 100 100 100 167 576 AV Equipment - Education - Revised 109 100 100 100 167 576 The reason for reprofiling is that the construction start was delayed due to a delay of the Esso Remediation and third party land acquisitions. The 28 May 2023 Council paper confirms that the increased project cost of £44.325m, which will be split between City Deal £23.991m and Council £20.334m. The original total budget has been profiled to reflect on the Council paper. Explanation Delay in spend in year 1-2 due to covid, limited access to school and external suppliers. The project has been approached as a roll out programme over a 10 year period. The current estate consists of ~650 AV Screens (30 Early years, 400 Primary and 220 Secondary) of the 650, 100 were faulty and have now been replaced. 105 screens were of the same age as the failing 100 and have since been replaced. The life expectancy of a board is 7 years. The remaining screens were bought on an ad hoc basis and as such are being replaced on an ad hoc basis as and when required, either due to failure or incompatibility with modern peripherals/devices regardless of age. It is impossible to determine when a board will fail hence the non-linear spend. Replacement programme is essential to ensuring a fit for purpose digital learning environment in all classrooms and early learning centres. Page 247
Page 248
Project - Educ4 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan Schools Estate Improvement Plan - Original (177) 4,242 0 - 4,065 Schools Estate Improvement Plan - Revised 4,065 - - 4,065 HSCP Project - HSCP2 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan ICT Modernisation HSCP - Original 9 659 125 125 125 625 1,668 ICT Modernisation HSCP - Revised 125 397 397 125 625 1,668 Explanation Project - HSCP3 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan Community Alarm upgrade - Original 23 412 0 0 154 308 897 Community Alarm upgrade - Revised 155 333 67 67 276 897 Explanation The Scotland Excel framework for the alarms & peripherals is due to be released July 2023, EDC/WDC now have access to Chubb platform for the call handling (ARC). We hope to go live with this October 2024. With a live digital platform, we can then start installing the digital alarms and peripherals (Procurement exercise still needs to be completed). Currently we plan to install 600 alarms and peripherals in 2024/25 and the remaining 1200 alarms and peripherals in 2025/26 The digital strategy is across 2022/27, so covering 2024/25, 2025/26 and 2026/27 financial years. This will drive spend over that period, given where we are in 2024/25 and the position with it going to the board and spend related to this would need to be weighted towards the next 2 financial years. Depending on progress on a replacement case management system, and if some of that is funded from this budget (whether costs for licences, resources etc) that is also likely to feature in the next two financial years. Given the procurement exercise required for this, and following experience of other HSCPs who are further forward,these costs are likely to be more across the next two financial years than the current one. Come 2027 we'll need to have a new strategy in place for the 2027/28 financial year. Explanation Acceleration of projects to deliver the service requirements within a shorter timeframe. Page 248
Page 249
PEOPLE & TECHNOLOGY Project P&T 1 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 ICT Modernisation - Original (69) 551 696 554 806 2,180 4,718 ICT Modernisation - Revised 482 696 554 806 2,180 4,718 Explanation Acceleration of projects Project P&T 2 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 ICT Security & DR - Original 138 504 792 387 387 1,935 4,143 ICT Security & DR - Revised 642 792 387 387 1,935 4,143 Explanation We were still researching suitable infrastructure upgrade options for end of life equipment, this has now been complete and will be spent this year. Project P&T 3 2023/24 Reprofiling Current Year 2024/25 2025/26 2026/27 2027/28 Future Years Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 365 Implementation - Original 85 240 240 0 - 565 365 Implementation - Revised 325 240 0 565 Explanation Reprofiled to ensure that we continue the deployment of sharepoint and one drive through 2025/26. Page 249
Page 250
All Approved Projects at Period 3 - 30 June 2024 Appendix 4 Service Project Initial End Date Revised End Date Project Life Budget Spend to 31 /3/24 Spend to Date Projected Future Spend Total Projected Spend Project Variance Approved Budget 2024/25 Actual to date 2024/25 Revised Forecast 2024/25 In Year Variance £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RES 1 Valuation Joint Board - Requisition of ICT Equipment 31/03/2025 31/03/2025 25 6 6 19 25 - 11 - 11 - RES 2 Cash Receipting system enhancements 30/09/2023 31/03/2025 30 5 5 25 30 - 25 - 25 - Res 4 Agresso Development 30/04/2024 30/09/2024 62 62 96 6 102 40 - 34 40 40 RES 5 Cost of Living 31/03/2026 31/03/2026 1,002 502 565 437 1,002 - 250 63 250 - RES 6 IFRS 16 Database 31/03/2023 31/03/2025 5 - - 5 5 - 5 - 5 - RES 7 Community Success Capital Fund 31/03/2025 150 - - 150 150 - 150 - 150 - RES 8 Community Sports Success 31/03/2025 250 - - 250 250 - 250 - 250 - RES 9 Strathleven Place (formerly part of Glencairn House project) 31/03/2024 31/03/2025 1,590 - - 1,590 1,590 - 1,540 - 1,590 50 RES 10 New Sports Changing Facility Dumbarton West (Old OLSP site) 31/03/2024 31/03/2025 349 9 9 340 349 - 340 - 340 - RES 11 Building Upgrades and H&S - lifecycle & reactive building upgrades 31/03/2025 31/03/2033 25,370 - 305 25,065 25,370 - 2,791 305 3,122 331 RES 12 Direct Project Support 31/03/2025 31/03/2025 14,274 - 31 14,243 14,274 - 1,586 31 1,586 - RES 13 Depot Rationalisation 01/04/2025 31/03/2025 8,500 649 831 7,669 8,500 - 500 182 262 (238) Total Resources 51,608 1,232 1,848 49,799 51,647 40 7,448 616 7,631 183 CCF 1 Heritage Capital Fund 31/03/2023 30/09/2024 2,491 2,234 2,241 251 2,491 - 389 7 257 (132) CCF 2 Transformation of Infrastructure Libraries and Museums 31/03/2024 31/03/2025 421 326 326 95 421 - - 95 95 Total CCCF 2,912 2,560 2,566 346 2,912 - 389 7 353 (36) RR 1 Legal Case Management System 31/03/2024 31/03/2026 33 - - 33 33 - - - - - RR 2 Re -imagine Antonine Wall 31/03/2024 31/03/2025 25 15 15 10 25 - 10 - 15 5 RR 3 Installation of Solar PV at Clydebank Leisure Centre 31/03/2023 31/03/2025 61 4 4 57 61 - - - 57 57 RR 4 Replace failed heating controls/valves & recommission 31/03/2023 31/03/2025 20 14 14 6 20 - - - 6 6 RR 5 Leisure Energy projects - air handling units, upgrade lighting, circulating pumps, and draught proofing 31/03/2023 31/03/2025 290 64 64 226 290 - 226 - 226 - RR 6 Regeneration/Local Economic Development 31/03/2025 31/03/2033 7,922 5,991 6,043 1,879 7,922 - 1,100 52 1,100 - RR 7 Regeneration Fund 31/03/2024 31/03/2028 10,931 7,107 7,144 3,787 10,931 - 350 37 615 265 RR 8 Place Based Investment 31/03/2023 31/03/2027 2,650 1,398 1,400 1,249 2,650 - 310 3 310 - RR 9 Clydebank Can on the Canal 31/12/2022 31/12/2025 757 40 40 757 757 - 757 - 757 - RR 10 Level Up Funding 31/03/2025 31/03/2026 22,100 7,553 8,542 13,558 22,100 - 11,959 989 11,959 - RR 11 Level Up Capacity Funding 31/03/2023 31/03/2026 320 161 161 159 320 - 161 - 161 - RR 12 District Heating Network Expansion 31/03/2024 31/03/2028 11,104 40- 141 10,963 11,104 - 2,500 182 1,500 (1,000) RR 13 Clyde Mission Catalyst Fund 31/03/2024 31/03/2026 2,000 415 415 1,585 2,000 1,197 - 1,197 - Total Regulatory and Regeneration 58,213 22,721 23,983 34,269 58,213 - 18,570 1,262 17,903 (667) R&N 1 Infrastructure - Roads 31/03/2025 31/03/2033 22,806 - - 22,806 22,806 - 2,544 - 2,454 (90) R&N 2 Flood Risk Management 31/03/2025 31/03/2033 2,315 - - 2,315 2,315 - 500 - 500 - R&N 3 Street lighting and associated electrical infrastructure 31/03/2025 31/03/2033 914 - 13 901 914 - 100 13 114 14 R&N 4 Flood Prevention 31/03/2025 31/03/2033 500 160 180 320 500 - 150 20 339 189 R&N 5 Vehicle Replacement 31/03/2024 31/03/2033 12,219 - 27 12,192 12,219 - 3,000 27 2,865 (135) R&N 6 Auld Street Clydebank - Bond 31/03/2024 31/03/2025 256 214 214 42 256 - - - 42 42 R&N 7 River bank erosion repair - Levenhowe 31/03/2024 31/03/2025 20 - - 20 20 - - - 20 20 R&N 8 Clydebank Charrette, A814 31/03/2022 31/03/2024 4,300 4,215 4,215 85 4,300 - 88 - 88 - R&N 9 Roads Plant 31/03/2025 31/03/2025 80 14 14 66 80 - - - 66 66 Full Project Life In Year Page 250
Page 251
Service Project Initial End Date Revised End Date Project Life Budget Spend to 31 /3/24 Spend to Date Projected Future Spend Total Projected Spend Project Variance Approved Budget 2024/25 Actual to date 2024/25 Revised Forecast 2024/25 In Year Variance Full Project Life In Year R&N 10 A813 Road Improvement Phase 1 31/03/2026 31/03/2027 1,700 1,057 1,366 334 1,700 - 493 309 643 150 R&N 11 Pavement Improvements 31/03/2025 31/03/2025 1,000 958 958 42 1,000 - - - 42 42 R&N 12 Traffic Signal Updates 31/03/2025 31/03/2025 300 274 274 26 300 - - - 26 26 R&N 13 Gruggies Burn Flood Prevention 31/03/2024 31/03/2028 15,028 576 696 14,332 15,028 - 7,270 120 550 (6,720) R&N 14 Electrical Charging Points - Rapid Charge 31/03/2023 31/03/2025 314 299 299 15 314 - - - 15 15 R&N 15 River Leven Flood Prevention Scheme 31/03/2024 31/03/2026 801 181 181 620 801 - - - - - R&N 16 Vehicle Replacement Strategy 31/03/2025 31/03/2033 900 - - 900 900 - 900 - 1,400 500 R&N 17 Posties Park Sports Hub - New sports hub to include Gym & running track 31/03/2022 31/03/2024 6,021 5,878 6,008 13 6,021 - 143 130 143 - R&N 18 Public non-adopted paths and roads 31/03/2024 31/03/1933 2,419 - - 2,419 2,419 - 225 - 619 394 R&N 19 Cemetery Extension, North Dalnotter 31/03/2024 31/03/2025 264 14 14 250 264 - 250 - 250 - R&N 20 Vale of Leven Cemetery 31/03/2025 31/03/2025 817 741 760 40 801 - 16 - 19 60 60 R&N 21 Allotment Development 31/03/2024 30/09/2024 492 215 341 151 492 - 186 126 150 (36) R&N 22 Waste Transfer Station 31/03/2024 31/03/2026 1,980 - 41 1,939 1,980 - 1,780 41 200 (1,580) R&N 23 Play Area Upgrade Programme 31/03/2028 31/03/2033 1,399 149 282 1,117 1,399 - 449 133 417 (32) R&N 24 Nature Restoration Fund 31/03/2025 31/03/2025 608 574 608 - 608 - 34 33 34 - R&N 25 Whitecrook Tennis Court 31/03/2024 31/03/2024 59 44 44 15 59 - - - 15 15 R&N 26 East End Park Resurfacing 31/03/2024 31/03/2025 385 6 6 379 385 - 385 - 379 (6) R&N 27 Park Improvements and Multi Games Area - Goldenhill Park 31/03/2024 31/03/2025 150 - - 150 150 - - - 150 150 R&N 28 Balloch Mountain Bike Track 30/11/2023 30/09/2024 600 - - 600 600 - 590 - 600 10 R&N 29 Pappert 2G Pitch 31/03/2024 31/03/2025 250 8 8 242 250 - 230 - 242 12 R&N 30 Kilmaronock Cemetery Extension 31/03/2023 31/03/2025 50 45 45 5 50 - - - 13 13 R&N 31 Exxon City Deal 31/03/2027 31/03/2028 44,325 6,235 7,424 36,901 44,325 - 9,845 1,188 2,500 (7,345) R&N 32 Cycling, Walking and Safer Streets 31/03/2025 31/03/2025 389 - 15 374 389 - 389 15 389 - Total Roads and Neighbourhood 123,662 21,859 24,034 99,611 123,646 16- 29,551 2,174 15,323 (14,228) Educ 1 AV Equipment - Education 31/03/2030 859 292 312 547 859 - 100 20 60 (40) Educ 2 Digital Inclusion 31/03/2023 31/03/2025 356 324 324 32 356 - 21 - 32 11 Educ 3 Schools Estate Improvement Plan - next Phase Faifley 31/03/2027 35,619 2,450 6,626 28,993 35,619 0 15,181 4,176 15,181 - Educ 4 Schools Estate Improvement Plan 31/03/2025 22,799 18,734 18,737 4,062 22,799 - 4,242 3 4,065 (177) Total Education 59,633 21,800 25,999 33,634 59,633 0 19,544 4,199 19,338 (206) HSCP 1 Special Needs - Aids & Adaptations for HSCP clients 31/03/2025 31/03/2025 6,765 1,888 1,896 4,869 6,765 - 823 7 629 (194) HSCP 2 ICT Modernisation HSCP 31/03/2025 31/03/2025 1,668 40 41 1,628 1,668 - 659 0 125 (534) HSCP 3 Community Alarm upgrade 31/03/2025 31/03/2025 897 27 27 871 897 - 412 - 155 (257) Total HSCP 9,331 1,955 1,963 7,368 9,331 - 1,894 8 909 (985) P&T 1 ICT Modernisation 31/03/2025 31/03/2025 4,718 - 54 4,664 4,718 - 551 54 482 (69) P&T 2 ICT Security & DR 31/03/2025 31/03/2025 4,143 - - 55 4,198 4,143 - 504 55- 642 138 P&T 3 365 Implementation 30/09/2023 31/03/2026 983 418 453 530 983 - 240 34 325 85 P&T 4 Development of Workforce Management System 31/03/2030 31/03/2030 298 - - 298 298 - 46 - 46 - Total P&T 10,141 418 451 9,690 10,141 - 1,341 33 1,494 153 Overall Total 315,501 72,546 80,845 234,718 315,524 24 78,737 8,298 62,951 (15,786) Page 251
Page 252
Page 252
Page 253
WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council – 28 August 2024 ___________________________________________________________________ Subject: General Services Revenue Budgetary Control Report to 30 June 2024 (Period 3) 1. Purpose 1.1 The purpose of this report is to advise Council of the 2024/25 Revenue Budget position at 30 June 2024 and the forecast position of the General Fund Reserve as at 31 March 2025. 2. Recommendations 2.1 Council is asked to note a current projected annual underlying adverse variance on the revenue account of £2.542m (0.88% of total budget). 3. Background 3.1 At the meeting of West Dunbartonshire Council (the Council) on 6 March 2024, Members agreed the revenue estimates for 2024/2025. A total net budget of £284.668m was approved for General Services. 3.2 Since the budget was agreed, as reported to Council in June 2024, additional funding has been provided by the Scottish Government of £3.916m to fund the pay uplift to a minimum rate of £12 per hour for workers providing direct adult social care in the third and independent sectors. Also reported to Council in June was further budget adjustments due to: • £1.129m to support the freezing of Council Tax. • £0.860m from the release of an unspent matched European Structural Fund balance (ESF) which was returned to the general fund. • £1.051m made available from the revised reduction in employer pension contributions. 3.3 The budget has also been adjusted to remove the effects of the Criminal Justice specific grant which is paid direct to HSCP; removing both the cost and income from the General Services budget while maintaining a 2024/25 balanced budget. The revised 2024/25 Revenue Budget of £289.927m (excluding earmarked reserves) is made up as follows: ITEM 12 Page 253
Page 254
Service £m £m Agreed budget 6 March 2024 284.668 Additional Resources: Additional Share of £230m for Social Care Uplift HSCP Requisition 3.916 Share of £62.7m in relation to Council Tax Freeze Strategy to rebuild reserves 1.129 Release of unspent matched ESF funding Strategy to rebuild reserves 0.860 Increased Pension benefit Strategy to rebuild reserves 1.051 Total Additional Resources 6.956 Base Budget Adjustment: Removal of Criminal Justice Specific Grant Criminal Justice Requisition (1.697) Total adjustments 5.259 Revised budget as at Period 3 289.927 4. Main Issues 4.1 The summary report at Appendix 1 highlights a projected net annual underlying adverse variance (overspend) of £2.542m (0.88% of the total budget). Appendix 2 provides more detailed service reports by Chief Officer. The main reason for this overspend is detailed in the table below with explanations provided in Appendix 3. In addition, services are projecting the use of £0.668m of earmarked reserves. £m £m Service Variances Roads and Neighbourhoods – Adverse - A working group has been established to review where any anticipated overspends can be reduced and where there may be options for additional income generation. 2.329 Education, Learning and Attainment - Adverse 0.395 Citizens, Culture and Facilities - Favourable (0.190) People and Technology – Adverse 0.053 Other service variance less than £0.050m - Favourable (0.045) Total Service Variance 2.542 Strategy to rebuild reserves: Reduction in employer pension contribution rate (1.051) Additional RSG funding re Council Tax Freeze (1.129) Release of Matched ESF funding (0.860) Transfer to reserves re SPFO reductions – after in year savings of £5.332m (1.978) Transfer to Earmarked reserves (5.018) Projected spend of earmarked balances 0.668 Total Variance at Period 3 (1.808) Page 254
Page 255
4.2 In June (as per paragraph 3.2) a strategy was agreed to replenish general reserves from: • additional funding from the Revenue Support Grant in relation to the council tax freeze • the release of matched ESF funding • additional revised benefit from reduction in employer pension contributions. The saving from the employer pension contribution rate as explained at paragraph 4.5, would be smoothed over 4 years thus generating £5.332m in savings in the years 2024/25-2027/28. Additional savings from the reduction in pension contributions will be added to an earmarked reserve to be used to balance the budget in future years. 4.3 Information on any projected annual variances in excess of £0.050m are highlighted and noted within Appendix 3, with additional information on action being taken to minimise or mitigate overspends where possible. 4.4 A list of agreed efficiencies and management adjustments totalling £6.649m is shown within Appendix 4. Current indications show, £6.556m is on target to be achieved. However, Appendix 4 also shows that it is anticipated that £0.093m will not be achieved and will be funded by the smoothing fund for 2024/25 only, with the expectation that the full saving will be achieved in future years. 4.5 On 20 December 2023, a report to Council presented the financial benefit to the Council as a consequence of the Strathclyde Pension Fund (SPF) Board reducing the employer pension contribution rate in the years 2024/25 and 25/26 from 19.3% to 6.5%. Service superannuation budgets have been reduced via a virement to a central reserve, to reflect the saving. The Council agreed to smooth the total saving over 4 years thus generating £5.332m in savings in 2024/25 with the balance to be used in future years as agreed at Council on 6 March 2024. The budgeted transfer to Reserves to date is £7.310m which reflects the current in year reduction of the service budget. The underspend of £1.978m will be transferred to an earmarked reserve to be used to balance the budget in future years. General Fund Reserves Position 4.6 Appendix 5 shows the latest position in respect of Unallocated and Earmarked Reserves and shows the projected balance as at 31 March 2025: Unearmarked Balance (£m) Earmarked Balance (£m) Total General Fund Reserves (£m) As at 31 March 2024 (draft) 4.418 9.115 13.533 In year movements 1.607 4.844 6.451 Projected in year use of reserves (2.542) (0.668) (3.210) Projected Balance as at 31 March 2025 3.483 13.291 16.774 Page 255
Page 256
4.7 A breakdown of the 2024/25 earmarked balances and the movements in reserves is summarised in Appendix 6. 4.8 The Council’s General Fund contingency (Prudential Target) is set at 3% of net expenditure for 2024/25 and amounts to £5.400m. After taking into consideration the forecast adverse outturn position of £2.542m at 30 June 2024, the Council is currently forecast to have £1.917m below the current Prudential Target. The services have mitigating actions to reduce their projected adverse variances. In addition, the June Finance Update advised how the additional benefit from the reduction in pension contributions would continue to rebuild reserves with an additional £1.621m over 2025-2027. 5. Option Appraisal 5.1 No option appraisal was required for this report. 6. People Implications 6.1 There are no people implications. 7. Financial and Procurement Implications 7.1 The report notes the projected in-year financial position for both General Services revenue and capital budgets. 8. Risk Analysis 8.1 The main risks are as follows: (a) The present variances should be viewed in the knowledge that there are a number of variable factors which could arise between now and 31 March which could affect the year end; (b) As a consequence of current market conditions, capital receipts may either not be received or they may be less than anticipated. The budget assumption is that all capital receipts achieved in 2024/25 will be used to the principal and premium repayments within the loan charges budget. Any shortfall in capital receipts below that budgeted will affect the revenue budget position. This is being closely monitored and any issues will be reported to Council; (c) As a consequence of current market conditions, inflation is at an all-time high and interest rates continue to rise. To forecast for the full year costs budget assumptions have been required (particularly around energy and interest costs). These assumptions continue to change regularly and therefore it is likely that the projected year end budgetary position will change from that reported; Page 256
Page 257
9. Equalities Impact Assessment (EIA) 9.1 No equalities impact assessment was required in relation to this report. 10. Environmental Sustainability 10.1 No assessment of environmental sustainability was required in relation to this report. 11. Consultation 11.1 All services involved in delivering the revenue and capital budgets have been consulted in the compilation of this report. 12. Strategic Assessment 12.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s current Strategic Plan. This report forms part of the financial governance of the Council. __________________ Laurence Slavin Chief Officer – Resources Date: 28 August 2024 __________________________________________________________________ Person to Contact: Carol Alderson. Finance Manager Council Offices, Church Street, Dumbarton E-mail: carol.alderson@west-dunbarton.gov.uk Appendices: Appendix 1 - Revenue Budgetary Control 2024/25 – Corporate Summary; Appendix 2 - Revenue Budgetary Control 2024/25 – Chief Officer Summaries; Appendix 3 - Analysis of Revenue Variances over £50,000; Appendix 4 - Monitoring of Efficiencies Appendix 5 - Reconciliation of General Fund Reserves Appendix 6 - Monitoring of Earmarked Balances Background Papers: • Ledger output – Period 3; • General Services Revenue Estimates 2024/25 Wards Affected All Wards Page 257
Page 258
WEST DUNBARTONSHIRE COUNCIL APPENDIX 1 REVENUE BUDGETARY CONTROL 2024/25 SUMMARY PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 Resources 3,729 5,346 3,817 87 2.3% 77 10 Regulatory and Regeneration 3,569 892 3,574 5 0.1% 38 (33) People & Technology 10,024 3,342 10,138 114 1.1% 61 54 Citizens, Culture and Facilities 14,153 3,184 13,986 (167) -1.2% 23 (190) Education, Learning and Attainment 125,120 30,162 125,573 453 0.4% 58 395 Roads and Neighbourhood 14,917 6,464 17,296 2,379 15.9% 50 2,329 2,371 608 2,738 367 15.5% 361 6 Miscellaneous Services 7,845 3,630 7,818 (27) -0.3% 0 (27) Loan Charges 18,342 0 18,342 0 0.0% 0 0 Capital Receipts used to fund Loan Charges (2,884) 0 (2,884) 0 0.0% 0 0 Transfer to Reserves re SPFO reductions 7,310 0 5,332 (1,978) -27.1% (1,978) 0 Strategy to Rebuild Reserves 3,040 0 0 (3,040) -100.0% (3,040) 0 Requisition (VJB) 782 0 782 0 0.0% 0 0 Requisition (SPT) 1,588 1,587 1,587 (1) -0.1% 0 (1) Requisition (HSCP) 88,945 0 88,945 0 0.0% 0 0 Non GAE Allocation (8,925) 0 (8,925) 0 0.0% 0 0 Total Expenditure 289,927 55,214 288,119 (1,808) -0.6% (4,350) 2,542 Council Tax (40,920) (9,126) (40,920) 0 0.0% 0 0 Revenue Support Grant (150,138) (32,965) (150,138) 0 0.0% 0 0 Non Domestic Rates (87,481) (21,870) (87,481) 0 0.0% 0 0 Service Concessionary Benefit (3,259) 0 (3,259) 0 0.0% 0 0 Use of Reserves (8,129) 0 (8,129) 0 0.0% 0 0 Total Resources (289,927) (63,961) (289,927) 0 0.0% 0 0 Net Expenditure 0 (8,747) (1,808) (1,808) -0.6% (4,350) 2,542 Department Summary Variance Housing and Employability Page 258
Page 259
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 RESOURCES SUMMARY PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 17 68 (3) (21) -120% 0 (21) 1,487 339 1,528 41 3% 0 41 1,957 2,039 1,957 0 0% 0 0 2,317 562 2,377 61 3% 66 (5) 328 65 323 (5) -1% 0 (5) 6 0 18 11 177% 11 (0) (823) (76) (823) 0 0% 0 0 Office Accommodation 1,208 264 1,208 0 0% 0 0 Corporate Assets (2,767) 2,135 (2,767) 0 0% 0 0 0 (49) 0 0 0% 0 0 3,729 5,346 3,817 88 2% 77 11 Variance Service Summary Service / Subjective Summary Finance Business Centre Audit Revenues & Benefits Total Net Expenditure Finance Cost of Collection of Council Tax Cost of Collection of Rates Rent Rebates & Allowances Corporate Asset Maintenance Page 259
Page 260
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 REGULATORY AND REGENERATION SUMMARY PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 743 129 688 (55) (0) 0 (55) 609 180 612 3 0 0 3 (156) (18) (142) 14 (0) 0 14 746 197 785 39 0 0 39 552 97 567 15 0 15 0 564 111 534 (31) (0) 0 (31) Economic Development 511 196 530 19 0 0 19 3,569 892 3,574 5 0 15 (10) Variance Total Net Expenditure Service / Subjective Summary Service Summary Procurement Democratic and Registration Service Legal Services Licensing Environmental Health Planning Page 260
Page 261
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 PEOPLE AND TECHNOLOGY PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 839 195 857 18 2% 0 18 1,806 421 1,887 81 4% 35 46 4,748 2,118 4,735 (13) 0% 0 (13) Central Administration Support 2,631 608 2,660 28 1% 26 2 10,024 3,342 10,138 114 1% 61 54 Variance Total Net Expenditure Transactional Services Information Services Strategic People and Change Service / Subjective Summary Service Summary Page 261
Page 262
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 CITIZENS, CULTURE AND FACILITIES PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 277 62 251 (26) -9% 0 (26) 1,316 392 1,359 43 3% 3 40 236 48 226 (9) -4% 0 (9) Clydebank Town Hall 317 (13) 354 37 12% 0 37 Libraries 1,708 350 1,703 (5) 0% 0 (5) Arts and Heritage 293 5 329 36 12% 0 36 Catering Services 4,740 1,076 4,621 (119) -3% 0 (119) Building Cleaning 1,898 470 1,726 (172) -9% 0 (172) Building Cleaning PPP (208) (86) (290) (82) 39% 0 (82) Facilities Assistants 2,362 516 2,242 (119) -5% 0 (119) Facilities Management 404 118 510 107 26% 0 107 Communities 785 304 938 153 19% 0 153 Events 27 (58) 17 (10) -36% 0 (10) 14,153 3,184 13,986 (167) -1% 3 (170) Variance Total Net Expenditure Citizen Services Service / Subjective Summary Service Summary Communications & Marketing Performance & Strategy Page 262
Page 263
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 EDUCATION, LEARNING AND ATTAINMENT PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 Primary Schools 33,429 7,827 33,155 (274) -1% 0 (273) Secondary Schools 34,632 8,926 34,474 (158) 0% 0 (158) Specialist Educational Provision 21,142 4,053 21,652 510 2% 0 510 Psychological Services 699 203 688 (11) -2% 0 (11) Sport Development / Active Schools 627 (165) 627 0 0% 0 0 Early Education 9,095 3,568 9,237 142 2% 0 142 PPP 18,082 3,403 18,076 (6) 0% 0 (6) Creative Arts 676 144 706 30 4% 0 30 Curriculum for Excellence 78 18 78 0 0% 0 0 Central Admin 864 634 1,000 136 16% 58 78 Workforce CPD 310 106 313 3 1% 0 3 Performance & Improvement 421 109 429 9 2% 0 9 Education Development 1,977 383 2,018 41 2% 0 41 Raising Attainment - Primary 0 0 0 0 0% 0 0 Leisure Management 3,090 953 3,121 31 1% 0 0 Raising Attainment - Secondary 0 0 0 0 0% 0 0 Pupil Equity Fund (including LAC PEF) 0 0 0 0 0% 0 0 125,120 30,162 125,573 453 0% 58 365 Variance Service Summary Service / Subjective Summary Total Net Expenditure Page 263
Page 264
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 ROADS AND NEIGHBOURHOOD PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 Transport, Fleet & Maintenance Services (807) 548 (470) 337 -42% 0 337 Roads Services 2,544 1,001 3,319 775 30% 0 775 Grounds Maintenance & Street Cleaning Client 7,414 1,854 7,414 0 0% 0 0 Outdoor Services 205 18 192 (13) -6% 0 (13) Burial Grounds (313) (128) (157) 156 -50% 0 156 Crematorium (1,234) (160) (1,033) 201 -16% 0 201 Waste Services 8,916 1,673 9,612 696 8% 50 646 Depots 0 0 0 0 0% 0 0 Capital Investment Programme 7 67 1 (6) -81% 0 (6) Consultancy Services 668 0 648 (20) -3% 0 (20) Ground Maintenance & Street Cleaning Trading A/c (2,484) 1,592 (2,230) 254 -10% 0 254 14,917 6,464 17,296 2,380 16% 50 2,330 Service / Subjective Summary Service Summary Variance Total Net Expenditure Page 264
Page 265
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 HOUSING AND EMPLOYABILITY PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 Working 4 U 1,954 710 2,284 330 17% 340 (10) Homeless Persons 620 35 663 43 7% 0 43 Private Sector housing 15 0 15 0 0% 0 0 Private Sector Housing Grants 41 5 41 0 0% 0 0 Housing Maintenance Trading A/c (589) (227) (589) 0 0% 0 0 Housing Asset and Investment 0 (1) (1) (1) 0% 0 (1) Anti Social Behaviour 330 86 325 (5) -2% 21 (26) 2,371 608 2,738 367 15% 361 6 Variance Total Net Expenditure Service / Subjective Summary Service Summary Page 265
Page 266
WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2024/25 MISCELLANEOUS PERIOD END DATE 30 June 2024 Total Budget Spend to Date Projected Spend Annual RAG Status Net Variance attributable to earmarked reserves spend Underlying Variance excluding earmarked reserves spend £000 £000 £000 £000 % £000 £000 5,988 3,231 5,944 (44) -1% 0 (44) 677 145 689 12 2% 0 12 1,180 254 1,185 5 0% 0 5 7,845 3,630 7,818 (27) 0% 0 (27) Variance Total Net Expenditure Service / Subjective Summary Chief Executive and Chief Officers Service Summary Sundry Services Members Allowances, etc Page 266
Page 267
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % Revenues & Benefits 2,317 2,377 61 3% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Variance is offset by £66k earmarked balance None required Favourable variance is anticipated The service provided by this area deal with benefits, council tax and debt recovery. 30 June 2024 Budget Details Variance Analysis Variance Resources Page 267
Page 268
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Democratic and Registration Service 743 688 (55) -7% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Strategic People and Change 1,806 1,887 81 4% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome This service area provides strategic and operational HR advice, H&S advice and guidance (including fire safety) and strateigc and operational risk management. The adverse variance in staffing costs is due to full turnover savings not being fully met. None at this time An adverse variance is anticipated. People & Technology Regulatory and Regeneration This services deals with the administration functions and Democratic Services within the Authority The favourable variance is due to a number of vacancies that are yet to be filled. Recruitment is being undertaken to fill necessary vacancies Favourable variance is anticipated Page 268
Page 269
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Catering 4,740 4,621 (119) -3% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Building Cleaning 1,898 1,726 (172) -9% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Building Cleaning PPP (208) (290) (82) 39% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Facilities Assistants 2,362 2,242 (119) -5% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Facilities Management 404 510 107 26% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome employee costs are lower due to a number of vacancies none a favourable variance anticipated Management and Team Leaders for Facilities Services such as Cleaning, Catering and Facilities Assistants £50k savings allocated across Facilities Management have not been realised yet.In addition £20k salaries previously allocated to Early Years will no longer happen.The remaining balance is attributable to turnover not being achieved . none at present adverse variance anticipated This service provides Facility Assistants throughout WDC buildings This service provides cleaning services across all council buildings The reason for the favourable variance is the number of ongoing vacancies None required at present Underspend likely This service provides cleaning services to PPP schools employee costs are lower due to a number of vacancies none a favourable variance anticipated none a favourable variance anticipated Citizens, Culture and Facilities Catering Services across WDC employee costs are lower due to a number of vacancies Page 269
Page 270
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Communities 785 938 153 19% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Primary Schools 33,429 33,155 (274) -1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Secondary Schools 34,632 34,474 (158) 0% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Specialist Educational Provision 21,142 21,652 510 2% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome favourable variance This service area covers all ASN Services. Employee costs are adverse following the Council decision after the budget was set to accommodate additional ASN cases in mainstream schools as part of the enhanced support within local learning communities. In addition electricity costs and taxis have been higher than anticipated when the budget was set. The final budget pressure is increased costs for placements within other local authorities. none possible at present overspend anticipated Education , Learning and Attainment This service area includes all Primary Schools. The favourable variance is attributable to the average unpromoted salary being slightly less than predicted when the budget was set none favourable variance This service area includes all Secondary Schools. The favourable variance is attributable to the average unpromoted salary being slightly less than predicted when the budget was set. This has offset the adverse variance which has arisen due to the increase in electricity costs being higher than anticipated when the budget was set and accidental/malicious damage costs being higher than expected. none This service provides support to communities There have been delays in achieving the communities restructure savings Progression with restructure Adverse variance Page 270
Page 271
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Early Education 9,095 9,237 142 2% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Central Admin 864 1,000 136 16% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Transport, Fleet & Maintenance Services (807) (470) 337 -42% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Transport services across WDC Income is anticipated to be less than budgeted due to number of external users of MOT station being low. Although currently showing and under recovery of full costs a review of service requirements is being undertaken to ensure all applicable costs are recovered. Service User Review Overspend anticipated although may reduce following review Roads and Neighbourhood overspend anticipated This service area covers Education Directorate Summer Programme activities (£59k) is covered by an earmaked balance. The remaining adverse variance is attributable to school meal holiday payments being in excess of the sum allocated by the Scottish Government - our eligible caseload is about 24% higher than the caseload implicit in our actual allocation. none possible Net cross-boundary transactions are a net cost of £102k. In addition, the budget assumed a £31k recharge to capital which will no longer proceed. none possible at present adverse variance This services area includes all Early Years establishments within West Dunbartonshire. Page 271
Page 272
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Roads Services 2,544 3,319 775 30% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Burial Grounds (313) (157) 156 -50% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Crematorium (1,234) (1,033) 201 -16% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Income from cremations is less than budgeted. This is demand led and may change throughout the year. None at the moment. Under recovery of income anticipated This service provides burial services within the Council area Income from burials is less than budgeted. This is demand led and may change throughout the year. None at the moment. Under recovery of income anticipated This service provides crematorium services within the Council area This service relates to Roads operations, design, structures, street lighting, road safety and school crossing patrols Employee costs are anticipated to overspend by £167k mainly due to essential overtime. Plant hire costs and material costs have increased due to higher inflation than anticipated. The overspend anticipated on this is £384k. Winter gritting is anticipated to overspend £60k due to costs of salt and quantity required. Diesel is anticipated to overspend by £40k due to increased fuel costs. Street lighting is overspending due increased utility costs. The remaining overspend anticipated is in relation to general increased costs and inflationary pressures to undertake works required. Costs within the service are recharged to capital however, costs recharged are not sufficient to offset all costs incurred by the service. A review of the delivery of how capital projects are delivered will be undertaken. Overspend anticipated although may reduce following review Page 272
Page 273
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Waste Services 8,916 9,612 695 8% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Ground Maintenance & Street Cleaning Trading A/c (2,484) (2,230) 254 -10% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Working 4 U 1,954 2,284 330 17% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome None at the moment. overspend anticipated Housing and Employability This is the provision of Working 4u service The adverse variances on payments to other bodies/ other reflect agreed spend on payments to other bodies/ other which are to met by the use of earmarked balances. None Required A year end underspend is anticipated Waste Collection and Refuse disposal services Transport costs, are anticipating an overspend of £213k principally due to hire costs being greater than anticipated when the budgets were set because of delays in acquiring new refuse vehicles. This is a part year issue as the majority of vehicles have now been received and hire costs for these vehicles will cease. Employee costs are overspending by £260k mainly due to overtime costs due to requirement to cover public holidays and periods of annual leave or sickness. In addition overtime budgets do not include pay award increase. The garden waste permit sale is anticipated to be lower than budgeted however will be partly offset by reduced disposal costs. Leaving an anticipated under recovery of £50k . The remaining underspend is mainly due to an anticipated reduction in income All refuse vehicles will be received by September so hires will cease. overspend anticipated Trading operation providing grounds maintenance and street cleaning services Supplies and services is showing an anticipated overspend of £210k. £60k is due to cost of parts for repairs which is demand led. The remaining overspend is mainly in relation to overspending on contractors. A review of all contractor spend is underway to identify any opportunities to reduce or mitigate the anticipated overspend. Page 273
Page 274
WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2024/25 ANALYSIS FOR VARIANCES OVER £50,000 YEAR END DATE Total Budget Projected Spend RAG Status £000 £000 £000 % 30 June 2024 Budget Details Variance Analysis Variance Transfer to Reserves re SPFO reductions 7,310 5,332 (1,978) -27% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Strategy to Rebuild Reserves 3,040 0 (3,040) -100% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome This budget represents the approved strategy to rebuild general reserves At its meeting in June, Council approved a 3 year strategy to replenish the Council's reserves using the additional £1.129m of recurring Revenue Support Grant Funding, £1.051m additional reduction in pension contribution and the release of £0.860m of earmarked funding to the general fund. This favourable variance reflects the strategy to rebuild the Council reserves. None Required The anticipated underspend will be transferred to reserves to help rebuild the general fund back to the prudential level. This budget represents the removal of the excess budgeted pension costs as a result of the reduction in pension rate from service departments. On 20 December 2023, a report to Council presented the financial benefit to the Council as a consequence of the Strathclyde Pension Fund (SPF) Board reducing the employer pension contribution rate in the years 2024/25 and 2025/26 to 6.5% from 19.3%. Service superannuation budgets have been reduced via a virement to a central reserve and to date £7.310m has been vired, to reflect the saving. £5.332m is to be used to balance the budget in year with the balance to be used in future years as agreed at Council on 6 March 2024. As a result the budgeted transfer to Reserves is £7.310m which reflects the in year reduction in service staff cost budget. It was agreed on 6 March 2024 to use None Required The underspend of £1.978m will be transferred to an earmarked reserve to be used to balance the budget in future years as agreed by Council on 6th March 2024. Other Page 274
Page 275
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment December 2023 Management Adjustments 1 Remove a 1.0 FTE vacant post from the Facilities Management team with service delivery being maintained through new structure with increased number of team leaders CCF09 A Graham 36 36 - 2 Remove two vacant posts in the Communications team which will result in campaign activity being on digital platforms only, minimal design activity and less capacity for events CCF10 A Graham 50 50 - 3 Reduces the budget that funds furniture for temporary accommodation from £1,065 per property to £1,000 per property HE07 P Barry 16 16 - 4 Rightsize ICT Budgets to better reflect expected costs for GIS software and general ICT inflationary pressures PT01 V Rogers 46 46 - 5 Reflect reduction in employer NI/Pension contributions through implementing VivUp Employee Benefits PT02 Shared 30 30 - 6 Restrict choice in office equipment to pre-agreed catalogue items/amounts. PT05 Shared 10 10 - 7 Reduction in Mobile Phone usage for Council owned phones PT06 Shared 22 22 - 8 Reduce the Council’s training budget, retaining budget to cover essential corporate requirements PT07 V Rogers 10 10 - 9 Estimated saving from replacing ISDN telephony lines with SIP cloud telephone support (SIP is a digital method of making calls) PT11 V Rogers 76 76 - 10 Replacement of Citrix Technology with cheaper technology PT12 V Rogers 75 75 - 11 Implement the Water Direct Scheme which facilitates the collection of water and sewerage debt from residents direct from their benefits at source by the DWP RES05 L Slavin 60 60 - 12 Remove two franking machines and further reduce use of first class mail RES11 L Slavin 12 12 - 13 Seek commercial opportunities for Balloch Park kiosk RES12 L Slavin 15 15 - 14 Rightsize minor sundry service budget lines such as travel, books etc RES14 L Slavin 17 17 - 15 Rightsize income budgets as consequence of historical lease review RES15 L Slavin 25 25 - Page 275
Page 276
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 16 Adjust charge to Dumbarton Common Good for support services to reflect cost recovery RES19 L Slavin 21 21 - 17 Adjust charge to Valuation Joint Board for support services to reflect cost recovery RES20 L Slavin 11 11 - 18 Remove 3.41 FTE vacant posts in revenue and benefit team and review work processes to minimise impact on income recovery RES21 L Slavin 109 109 - 19 Procure vehicles considered permanently required rather than hiring them RN17 G Macfarlane 100 100 in progress 20 Remove a 0.6 FTE vacant registrar post - no longer required as Clydebank Registration Service is now managed centrally from Dumbarton RR02 A Douglas 30 30 - Page 276
Page 277
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 21 Remove a 1 FTE vacancy in the Leadership Support Team whilst retaining 2:1 PA/CO ratio RR04 A Douglas 39 39 - 22 Remove a 0.4 FTE vacancy in the Member Services Team to reflect requirements of elected members RR05 A Douglas 15 15 - 23 Reduce 0.2 FTE in Democratic and Registration Service via a two year phased retirement RR07 A Douglas 18 18 - 24 Right sizing anticipated income from regulatory and regeneration fees RR12 A Douglas 130 130 - - December 2023 Saving Options - 25 Reduce the West Dunbartonshire Leisure Trust Mgt Fee by up to 30% CCF01 A Graham 940 940 - 26 Reduce Additional Management Time in Primary Schools EDU08 L Mason 304 304 - 27 Reduce DMR Budgets by up to 10% EDU11 L Mason 80 80 - 28 Two week Christmas closedown bar delivery of essential services RES07 L Slavin 7 7 - 29 End the provision of hybrid committee meetings which would enable the committee team to return to its existing establishment RR03 A Douglas 21 21 - - March 2024 Saving Options - 30 Reduce opening hours of Clydebank Town Hall to 4 days a week CCF02 A Graham 30 30 - 31 Reduce investment in materials in library service CCF06 A Graham 50 50 - 32 Reduce financial commitment to the Highland Games CCF11 A Graham 14 14 - 33 Review core library staffing (outwith branch libraries) and remove one post CCF19 A Graham 18 18 - 34 Review menus in educational establishments to reduce waste whilst ensuring compliance with nutritional guidance CCF20 A Graham 60 60 - 35 Reduce Community Budgeting fund by 50% reducing money available for community groups to bid for CCF24 A Graham 27 27 - Page 277
Page 278
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 36 Reduce the Community Engagement budget by 50% reducing the number of events supported CCF25 A Graham 22 22 - 37 Review the Communities team reducing the delivery of community based services CCF26 A Graham 87 67 20 Delay in implementation, in year shortfall will be covered by the smoothing fund. Full year savings expected in future years. 38 Increased use of Pupil Equity Funding to pay for associated support service costs EDU02 L Mason 70 70 - 39 Introduce Early Start Clubs at schools with associated fees (£2) for pupils not entitled to a free school meal EDU05 L Mason 187 187 - To be assessed when schools start new term in August. 40 Increase fees for Out of School Care Service at St Eunan’s Primary School and Linnvale Primary School by £3 from April 2024 EDU09 L Mason 14 14 - 41 Remove 1 of 2 Education Officer posts responsible for quality assuring and monitoring the performance of West Dunbartonshire schools EDU13 L Mason 75 75 - 42 Reduce the number of ELC Early Stage Teachers from 16.4 FTE to 11.4 FTE across the entire ELC learning estate EDU14 L Mason 219 219 - 43 Reduce the number of Early Learning Childcare Posts from 223 FTE to 217 FTE across the entire ELC learning estate EDU15 L Mason 134 134 - 44 Remove ELC Lead Officer in Bellsmyre and Dalmonach ELC with remaining management team required to take over aspects of their remit EDU16 L Mason 62 62 - 45 Reduce the Collaborative Support Service by 3.6 FTE EDU17 L Mason 190 190 - 46 Reduce use of SMS text messages with schools communicating with parents using Groupcall. EDU18 L Mason 10 10 - 47 Review the current flexibility in primary school classification and allocate class structures based on numerical information which aligns with statutory obligations EDU20 L Mason 400 400 - 48 Reduce funding provided to YSortIt by 25% HE02 P Barry 29 29 - 49 Reduce funding provided to LCCR by £40k HE06 P Barry 40 40 50 Reduce pay preservation period to 12 months PT04 Shared 14 14 - 51 Remove counselling and physio PT10 V Rogers 47 47 - Page 278
Page 279
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 52 Remove 3.6 FTE in CAS team PT13 V Rogers 112 112 - 53 Reduce WDCVS funding by 50% RES02 L Slavin 75 75 - 54 Remove one Council officer RES09 L Slavin 26 26 - 55 School crossing patrollers - adhere to best practice RN01 G Macfarlane 24 24 - Implemented August 56 Introduce £60 Garden Waste Charge RN02 G Macfarlane 180 130 50 Implemented August, 4000 permits to date. The smoothing fund will be used to cover the variance for 2024/25 and it is anticipated that the full saving will be made in 2025/26 57 Amend roads service activities to support education to statutory level RN04 G Macfarlane 37 37 - complete 58 Reduce the Consultancy Services/Capital Investment Team by 25% RN18 G Macfarlane 10 10 - in progress 59 Reduce the roads operations service from 29 FTE to 26 FTE which will reduce resilience in the team RN21 G Macfarlane 80 80 - complete 60 Reduce maintenance costs through replacing 6 under utilised grass pitches with 3 new 4G pitches RN22 G Macfarlane 10 10 - in progress 61 Implement new approach to road defect repairs which will capitalise costs previously charged to revenue RN23 G Macfarlane 200 200 - complete 62 Reduce weed killing from twice a year to once a year RN26 G Macfarlane 50 50 - in progress, in design stage 63 Increase commercial waste fees by 14% RN27 G Macfarlane 45 45 - complete 64 Remove £12,500 of Nightzone West funding provided to Police Scotland RR01 A Douglas 12 12 - 65 Reduction in 2 FTE paralegal support to contracts and property section RR08 A Douglas 90 67 23 Delay in implementation March 2024 Management Adjustments 66 Review Arts & Heritage Service CCF16 A Graham 24 24 67 Removal of GF Contribution to Housing Asset & Investment Team HE05 P Barry 50 50 - 68 Review compliance with Strategic Opening Model to identify areas where teams or posts can be merged PT08 Shared 200 200 - Page 279
Page 280
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 69 Restructure of Transactional Services to remove one vacant G10 post PT09 V Rogers 30 30 - 70 Increase Council Tax on Second Homes RES06 L Slavin 82 82 - 71 Remove Empty Property Relief for Listed Buildings RES18 L Slavin 34 34 - 72 Remove vacant posts in asset management RES22 L Slavin 99 99 complete 73 Remove facility assistants at Aurora House bringing service in line with that provided at Clydebank Town Centre Office RES23 L Slavin 54 54 - complete 74 Generate income from Levengrove Pavilion and ass land RES25 L Slavin 63 63 - complete 75 Right size water authority income budget RES26 L Slavin 25 25 - Page 280
Page 281
WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2024/25 Efficiency Detail Ref Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 76 Outsourcing mgt of retail assets RES27 L Slavin 33 33 - 77 Transfer cost of solicitor support for the council housing building prog to HRA capital budget RR09 A Douglas 60 60 - 78 Remove vacant contaminated land officer post RR11 A Douglas 30 30 - 79 Reduce support to planning and building standards by removing a vacant part time technical support assistant post RR13 A Douglas 16 16 - 80 Remove a service co-ordinator in env health team and invite 2 service co-ordinators to be interviewed for the principal env health officer post. RR14 A Douglas 68 68 - 81 Remove vacant Planning Compliance Officer post RR15 A Douglas 30 30 - 82 Remove one of the 3 Building Standards Surveyor Posts RR16 A Douglas 53 53 - 83 Reduce hours of solicitor from 5 days to 4 days RR17 A Douglas 12 12 - 84 Fund existing Grade 8 post from UK Towns Fund Support RR18 A Douglas 60 60 - 85 Fund officer costs associated with Levelling Up from final year of Levelling Up Rev funding. RR19 A Douglas 60 60 - 86 March 2024 Increases in Fees and Charges Shared 492 492 6,649 6,556 93 TOTAL EFFICIENCIES/MANAGEMENT ADJUSTMENTS Page 281
Page 282
WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 RECONCILIATION OF GENERAL FUND RESERVES Unearmarked Balance Earmarked Balance (further detail at Appendix 6) £(m) £(m) £(m) £(m) Balance on General Fund as at 31 March 2024 (draft) 13.939 Earmarked as at 31 March 2024 9.115 Capital Grants and Receipts unapplied (0.212) Other Reserves (0.194) In Year Movements: Closing General Fund Balance 13.533 Budgeted use of Reserves (9.343) Less Earmarked Balances (9.115) Allocation to service reserve balances 0.658 Unearmarked Balance as at 31 March 2024 (draft) 4.418 Allocation to pension smoothing reserve 10.489 Strategy to rebuild reserves 3.040 In Year Movements: Total In Year Movements 4.844 Available Resources: Pension Contribution Saving 10.489 Service use of reserves at as at 30 June 2024 (0.575) Service Concession 3.259 Use of smoothing fund for 2024/25 (0.093) Release from Suspense 0.860 In Year use of reserves (0.668) Additional Pension Saving 1.051 Earmarked as at 31 March 2025 13.291 CTAX freeze RSG 1.129 Allocation of DHP - RSG 24/25 2.265 Service Reserve Transfer to/from EMR: Allocation to Community Success Revenue Fund (0.250) Allocation to Youth Success Revenue Fund (0.100) Additional Cost of Living (0.105) Service balances carry forward (0.237) Release of Reserves 0.034 Strategic Reserve transfer to/from EMR: Allocation to pension smoothing reserve (10.489) Strategy to rebuild reserves (3.040) Approved use to balance budget - service concession (3.259) Total In Year Movements 1.607 Forecast Service Outturn for 2024/25 as at 30 June 2024 (2.542) Forecast unallocated Balance as at 31 March 2025 3.483 Prudential Target (3%) 5.400 Forecast unallocated Balance Above/(Below) Prudential Target (1.917) Page 282
Page 283
WEST DUNBARTONSHIRE COUNCIL APPENDIX 6 MONITORING OF EARMARKED BALANCES 2024/25 BY CHIEF OFFICER DEPARTMENT Amount b/fwd into 24/25 from 23/24 24/25 Transfers in/(Out) Revised 24/25 Estimate 24/25 Probable Outturn 24/25 Temporary Use of Reserves as agreed at Council 6 March 2024 24/25 Rebuild Reserves as agreed at Council June 2024 24/25 to be released To be carried forward into 25/26 £ £ £ £ £ £ £ £ RESOURCES 1 Barclay Review Implementation: SG Funding for standardised NDR billing & publication relief recipients 11,187 - 11,187 11,187- - - - - 2 Social Welfare Fund - 66,187 66,187 66,187- - - - - REGULATORY & REGENERATION 3 Zero carbon (carried forward from 20/21) 38,000 - 38,000 - - - - 38,000 4 Previous provision for equal pay/holiday pay 209,859 - 209,859 - - - 209,859 5 Regulatory - Econ Development- Business Awards 2,420 - 2,420 - - - - 2,420 6 Regulatory - Underspend in 'design panel' budget for IDOX upgrade (new 23/24) - 15,000 15,000 15,000- - - - - PEOPLE & TECHNOLOGY 7 Automation Team (VKY) 26,284 - 26,284 26,284- - - - - 8 OD & Change Training Budget (new 23/24) - 34,500 34,500 34,500- - - - - CITIZENS, CULTURE & FACILITIES 9 Library Improvement Fund 12,500 - 12,500 - - - - 12,500 10 Community focused activity programme in Alexandria Library 6,000 - 6,000 3,000- - - - 3,000 11 Events Income & spend-Comms & Marketing 1,000 - 1,000 - - - - 1,000 12 Be the best unspent monies (Good Idea Fund) 4,743 4,743- - - - - - 13 Community Success Revenue Fund - 250,000 250,000 - - - - 250,000 14 Youth Success Revenue Fund - 100,000 100,000 - - - - 100,000 EDUCATION 15 Education recovery (ELT) 29,834 - 29,834 - - - - 29,834 16 Holiday Hunger 3,885 100,000 103,885 58,000- - - - 45,885 17 Probationers 474,000 - 474,000 - - - - 474,000 18 Whole Family Wellbeing Funding 216,941 - 216,941 - - - - 216,941 19 Ending Core curriculum charges 129,000 - 129,000 - - - - 129,000 20 Removal of music instruction fees 30,000 - 30,000 - - - - 30,000 HOUSING & EMPLOYABILITY 21 Parental Employee Support Fund Boost 12,818 12,818- - - - - - - 22 Communities - Comm Empowerment budget 15,000 15,000- - - - - - - 23 Housing green growth redetermination 26,000 - 26,000 - - - - 26,000 24 Modern Apprentice 23/24 underspend 126,289 - 126,289 126,289- - - - - 25 Ukraine Refugee Resettlement Teams 499,255 - 499,255 234,711- - - - 264,544 26 CCTV Network Upgrade - 21,000 21,000 - - - - 21,000 CHANGE FUND 27 Direct debit functionality 1,557 1,557- - - - - - - COST OF LIVING 28 Cost of Living b/fwd -Committed 1,322,929 5,000 1,327,929 - - - - 1,327,929 29 Cost of Living b/fwd - UnCommitted 174,599 100,000 274,599 - - - 274,599 TOTAL USE OF SERVICE RESERVES 3,374,100 657,569 4,031,669 - 575,158 - - - 3,456,511 STRATEGIC RESERVES 30 Voluntary Redundancy & Early Retirement Reserve 3,350,000 3,350,000 637,000- 3,077,000- 3,040,000 2,676,000 31 Smoothing Fund 2,391,000 - 2,391,000 390,000- - - - 2,001,000 32 23/24 In year reduction in Strathclyde Pension Fund Employer Contribution - 10,489,000 10,489,000 5,332,000- - - 5,157,000 TOTAL USE OF STRATEGIC RESERVES 5,741,000 10,489,000 16,230,000 - 6,359,000 - 3,077,000 3,040,000 - 9,834,000 TOTAL USE OF EARMARKED RESERVES 9,115,100 11,146,569 20,261,669 - 6,934,158 - 3,077,000 3,040,000 - 13,290,511 Page 283
Page 284
Page 284
Page 285
WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer - Roads and Neighbourhood Council: 28 August 2024 Subject: Policy for Election Posters 1. Purpose 1.1 The purpose of this report is to provide Council with a proposed revision to the Arrangements in Force at the Poll prohibiting the use of election posters. 2. Recommendations 2.1 Members are asked to: a) Note the negative environmental impact from the use of election posters resulting in unnecessary waste and litter; b) Note the safety concerns in relation to the installation and removal of election posters and potential driver distraction: and c) Approve the proposed revision to the Returning Officer'’s Arrangements in Force at the Poll policy to prohibit election posters (item 4.8). 3. Background 3.1 An urgent motion was raised at Council by Councillor McColl on the 3 March 2021 as follows: Given the limited opportunities for political campaigning due to COVID-19 restrictions, Council agrees to permit political posters on public street furniture for the upcoming Holyrood election, from the beginning of April 2021. In agreeing this motion, Council requires Candidates/Agents to adhere to the following rules for posters on public street furniture, and in erecting any poster, Candidates/Agents agree to ALL of these terms: • No poster shall interfere with the primary use of the street furniture. • No poster shall obstruct pavements or roads. • No poster shall reduce visibility/sightlines for drivers or pedestrians. • All posters must be adequately stiff so as not to flap in the wind and be attached with cord/cable ties of sufficient strength to secure the poster. They must not be attached to street furniture using glue or any form of adhesive. • Posters must not, in any circumstances, be attached to any traffic signal post or control box, or to street furniture in central reservations and pedestrian refuge islands. • Posters may not be mounted upon any lighting column or post which is already fitted with permanent statutory or regulatory signs. ITEM 13 Page 285
Page 286
• For structural and electrical safety reasons, ladders should not be placed against lighting columns etc – free standing stepladders or other means of access should be used. • Posters must not obscure any identifying marks/numbers on lighting columns. • No poster shall be affixed to any part of the curtilage of any premise being used for voting. • Only one poster per candidate (or two posters back-to-back), is allowed on each item of street furniture. • No poster shall remain on public street furniture after Sunday 16th May 2021. • All posters will comply with election rules, including bearing an imprint identifying the candidate, promoter (usually election agent) and printer and their respective contact details. • Candidates/Agents will comply with all other restrictions imposed reasonably by the Returning Officer or her delegates in respect of polling places and the area immediately surrounding them. • Candidates will comply with all instructions from the Council. Any poster displayed in breach of these rules will be treated as illegal fly posting and the offending Candidate/Agent may face prosecution in terms of Section 100 of the Roads (Scotland) Act 1984. This carries a maximum fine of £1000 per offence. Permission is granted on the understanding that those concerned indemnify the Council against any third-party claim arising from the attachment. The Council also accepts no liability for injury to persons erecting or removing posters. The Council will issue election guidance to all candidates and election agents, which must be complied with. The guidance will include appropriate contact details for candidates to raise concerns regarding election posters, and candidates must not use this in a frivolous or vexatious manner. The Council reserves the right to recover costs from candidates, agents and parties for action taken to enforce compliance with the rules or for time spent handling vexatious or frivolous complaints. Costs may include the cost of removing posters from inappropriate locations or after 16th May 2021. Costs may also include staff time contacting candidates to resolve a breach. These examples are not exhaustive, and it will be the prerogative of the Chief Executive to determine what costs require to be recovered by the Council. 3.2 A further motion was raised at Council by Councillor Jonathan McColl on 22nd March 2022 requesting that: Council agrees to permit political posters on public street furniture for future elections, including the upcoming Local Government elections. Posters will be permitted from the 1st April each election year and must be down no later than two weeks after polling day. In agreeing this policy, Page 286
Page 287
Council requires Candidates/Agents to adhere to the following rules for posters on public street furniture: As set out in item 3.1 above. 3.3 The Council’s Arrangements in Force at the Poll is issued to all election candidates and their agents in advance of all elections, by-elections and referendums setting out election guidance. The criteria for use of election posters is currently set out in item 4 of the policy. 4. Main Issues 4.1 West Dunbartonshire Council permits the attaching of election posters and campaign materials to public street furniture. The criteria for their use is set out within the Returning Officer’s Arrangements in Force for the Poll. 4.2 This report sets out a number of issues considered in relation to the use of election posters affixed to street furniture, in particular environmental impact, driver distraction and health and safety concerns. 4.3 The use of election posters and campaign materials can contribute to increased levels of waste and litter leading to an increase in our carbon footprint. The posters are usually coated with fluted polypropylene and are affixed to street furniture with single use plastic cable ties, both of which are non recyclable materials. The reduction in the use of these materials would lead to a reduction in the amount of waste generated over the course of an election. 4.4 The prohibition of election posters would also reduce the transport costs and emissions for those engaged in attaching and removing the materials as well as the emissions generated in creating the materials. 4.5 The Roads Service respond to issues raised and complaints received in relation to election posters. The assessment requires Officers to undertake a site inspection to review the poster and the street furniture to ensure it has been erected in line with the criteria. The prohibition of election posters will reduce the resource implications for the Roads Service during the course of an election. 4.6 The use of posters and repeated signage can distract drivers through visual clutter and can cause confusion. It can also be detrimental to the attractiveness of an area and contribute to litter accumulating. 4.7 Working at height with the use of ladders whilst erecting and removing the signage is a health and safety hazard. The prohibition would reduce the Page 287
Page 288
risk to candidates and agents as they would no longer be working at height in the proximity of live carriageways and footways. In addition, this would reduce the risk of obstruction and impact on pedestrians during these activities. 4.8 It is proposed that the policy is updated to incorporate the following: Fly Posting Flyposting is defined as “the display of advertising material on buildings and street furniture without the consent of the owner” and it is illegal. In West Dunbartonshire Council election posters or campaign materials are not permitted to be erected on any land or property within the Council’s control. In addition the Roads (Scotland) Act makes it an offence to place anything on a public road without the consent of the Roads Authority. Therefore election posters and campaign materials must not be attached to any street furniture such as lighting columns, bus shelters, road signs etc within the limits of the public road. This includes footways, traffic islands and road verges or other Council property such as bins. The basis for this prohibition is: The posters can be a hazard to road users by potentially causing distraction; There are health and safety issues in the erection and removal of the posters in proximity of the road network and due to working at height: Obstruction of the footway during the erection and removal of election materials can limit access for pedestrians; and Litter resulting from posters and cable ties. In addition, the prohibition of election posters and cable ties will contribute to a reduction in our carbon footprint through a reduction in waste, transport costs and production emissions. Any poster displayed will be treated as illegal fly posting and the offending Candidate/Agent may face prosecution in terms of Section 100 of the Roads (Scotland) Act 1984. This carries a maximum fine of £1000 per offence. The Council will issue election guidance to all candidates and election agents, which must be complied with. The guidance will include appropriate contact details for candidates to report election posters, and candidates must not use this in a frivolous or vexatious manner. If any candidate and/or election agents, wishes to report election posters on council street furniture, Page 288
Page 289
please contact the Roads Section on 01389 737542. The Council reserves the right to recover costs from candidates, agents and parties for action taken to enforce compliance with the rules. Costs may include the cost of removing posters. Costs may also include staff time contacting candidates to resolve a breach. These examples are not exhaustive, and it will be the prerogative of the Chief Executive, or the appropriate Chief Officer, to determine what costs require to be recovered by the Council. 5. People Implications 5.1 It is anticipated there will be reduced people implications associated with this proposal due to fewer inspections required by the Roads Service. 6. Financial and Procurement Implications 6.1 There are no procurement implications associated with this report however it is anticipated there will be a reduced cost to the Council with the requirement of fewer inspections. 7. Risk Analysis 7.1 There is no evidence that posters increase voter turnout and consequently no evidence that amending the policy would have a detrimental impact on participation and engagement. 8. Equalities Impact Assessment (EIA) 8.1 A full EIA has been conducted to identify any impacts which the proposed policy may have and is attached to this report as an appendix. 9. Consultation 9.1 Consultation was undertaken with the Election Team, Waste Service and the Roads Service. 10. Strategic Assessment 10.1 A full Strategic Assessment was not required for this Report. Chief Officer:Gail Macfarlane Service Area: Roads and Neighbourhood Date: 08 August 2024 Person to Contact: Gail Macfarlane Page 289
Page 290
Chief Officer - Roads and Neighbourhood gail.macfarlane@west-dunbarton.gov.uk Appendices: Appendix 1 EIA Wards Affected: All wards Page 290
Page 291
Assessment No 1052 Owner GHAWTHORN Resource Regeneration, Environment and Growth Service Environment and Neighbourhood FirstName Surname Job Title Head Officer George Hawthorn Manager of Democratic and Registration Services Members Alan Douglas Gail McFarlane (Please note: the word 'policy' is used as shorthand for strategy policy function or financial decision) Policy Title Council Policy on Campaign Posters on Street Furniture The aim, objective, purpose and intended out come of policy The policy aims to ban all political parties from using Council street furniture to display political campaign posters. Service/Partners/Stakeholders/service users involved in the development and/or implementation of policy. Roads Service Does the proposals involve the procurement of any goods or services? No If yes please confirm that you have contacted our procurement services to discuss your requirements. No SCREENING You must indicate if there is any relevance to the four areas Duty to eliminate discrimination (E), advance equal opportunities (A) or foster good relations (F) Yes Relevance to Human Rights (HR) No Relevance to Health Impacts (H) No Relevance to Social Economic Impacts (SE) No Who will be affected by this policy? All voters in the West Dunbartonshire Council area. Who will be/has been involved in the consultation process? No consultation has taken place or is planned. APPENDIX 1 Page 291
Page 292
Please outline any particular need/barriers which equality groups may have in relation to this policy list evidence you are using to support this and whether there is any negative impact on particular groups. Specific group to consider Needs Evidence Impact Age none Disability Partially sighted persons who who may be unable to see campaign materials via other means such as on a small screen may be able to see posters on street furniture thus raising awareness of the election. There is no evidence to support this. Every voter receives a poll card to advise that an election will be held. Minor - Partially sighted voters may not be as aware that an election is taking place if there are no campaign posters on street furniture. Gender Reassign none Marriage & Civil Partnership none Pregnancy & Maternity none Race none Religion and Belief none Sex none Sexual Orientation none Human Rights none Health none Social & Economic Impact none Cross Cutting none Page 292
Page 293
Actions Page 293
Page 294
Policy has a negative impact on an equality group,but is still to be implemented, please provide justification for this. The impact referred to above is minor and there is no evidence to show that campaign posters affect voter awareness of an election. Indeed the turnout at the 2024 election, with campaign posters, was much lower than the 2019 General Election when there were no posters allowed. Will the impact of the policy be monitored and reported on an ongoing bases? yes Q7 What is you recommendation for this policy? Intoduce Please provide a meaningful summary of how you have reached the recommendation The impact identified in this assessment is minor and cannot be supported with any evidence to suggest that turnout is affected by the display of candidates therefore there is no evidence to suggest that awareness of partially sighted voters is affected by the display of posters. Page 294
Page 295
ITEM 14 WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer – People & Technology Council: 28 August 2024 Subject: Festive Closure and Public Holiday Variations 1. Purpose 1.1 The purpose of this report is to set out the proposed changes to public holiday allocation for local government and craft/quasi-craft employees, and proposed variation of the festive closure arrangements agreed by Council in December 2023. 2. Recommendations 2.1 Council is asked to approve the following proposals: • Negotiate replacement of the additional 4 public holidays for craft employees as per paragraph 4.9 with additional days transferred to annual leave entitlement. • Negotiate replacement of 1 further public holiday (last Monday in September) for all employee groups, transferring the day to annual leave entitlement. • Replace the 6-day festive closure with a 3/4-day closure (paragraph 4.14). • Authorise the Chief Officer, People and Technology to implement public holiday variations from April 2025 subject to consultation, and • Authorise the Chief Officer, Resources to implement festive closure variation from December 2024. 3. Background Terms and conditions 3.1 The Council previously agreed a revised package of terms and conditions to support the national Single Status Agreement in 2009. One of the fundamental principles of this Scottish Joint Council (SJC) agreement was to harmonise the many disparate sets of conditions that existed at that time with the primary intention of achieving an equality-based package of terms and conditions. 3.2 Various incremental changes to further harmonise employment terms have been implemented, as follows: • Alignment of annual leave accrual with SJC/LG (i.e., one additional day per year of service). • Application of the SJC Job Evaluation Scheme to the craft/quasi-craft groups. Page 295
Page 296
• Strong encouragement by politicians, officers and trades unions that all employees join an occupational pension scheme (including via auto- enrolment) resulting in a 15% increase to 93% total membership. • Introduction of new pay arrangements in 2015, including a 4-weekly cycle, removal of weekly pay, moving many processes online and enabling self-service resulting in improved experiences. • Further simplification of pay frequency arrangements in 2023 with a temporary cessation of fortnightly pay, then becoming permanent in February 2024. 3.3 The Council has also focused on addressing the three main causes of occupational segregation, namely: gender stereotyping, inflexible working practices, and the undervaluing of roles and occupations. The approach included: • Strong support of flexible working, with this being applicable to ALL roles, from application stage (recognised by the Council’s inclusion within Top 10 Flexible Employers in UK). • Support for carers through dedicated paid and unpaid leave and guaranteed interviews for parents returning to the workplace after a period out of the workplace. • Having a robust job evaluation process which ensure all roles are jointly (employer and trade union) analysed following extensive data gathering from jobholders. Festive Closure 3.4 In December 2023, the Council approved saving option RES07 to close the majority of Council office accommodation and depots for six days over the Christmas period. Only those undertaking key statutory functions and essential services, as identified by Chief Officers, would require access to office accommodation and not be required to take the days as annual leave. This would result in most buildings being closed for the two-week period at Christmas and New Year, saving around £7,000 per year. 3.5 Arrangements were put in place to implement the Council decision, including the allocation of 6 days (based on a full-time equivalent worker) from annual leave entitlement to the period. 3.6 While many were satisfied with this arrangement, anecdotal feedback indicated a preference for a lesser closure. 3.7 Consequently, an online survey was issued, available to all employees via the intranet and trickle engagement platform (both accessible via work and personal devices). The summary of responses is included in Appendix 1. 4. Main Issues Page 296
Page 297
4.1 As a public sector employer, it is essential the Council continues efforts to future-proof terms and conditions of employment, delivering a package that is affordable within the funds available, is gender pay neutral and is otherwise considered fair in terms of consolidation of provisions across different categories of employee. Employee Survey 4.2 The survey was launched on 19 April and closed on 10 May. More than 20% of the workforce responded (1187 employees), with a good spread of desk and non-desk based across each service area. 4.3 In relation to public holidays, 83% of responses confirmed no appetite for a return to 12 public holidays which would have a consequential 4-day reduction in annual leave. 4.4 Just under a third of respondents (29%) supported a variation to the 8 public holidays voting for a reduction to 6 days and 54% voted for the current 8 days provision. The most popular day to convert to annual leave being the first Monday in May followed closely by the last Monday in September. 4.5 While any variation in enhanced leave would be minimal, a fair number of respondents wanted an additional offer in hours to be available. 4.6 In respect of the festive closure, the views were polarised with many pleased to have the seldom enjoyed two weeks off while others wanted the opportunity to work from home and/or have a lesser closure. 38% of respondents confirmed they were happy with the closure and 62% were not. Of those 62%, 47% wanted a shorter period of closure while the remainder did not want any closure. Public Holidays 4.7 There are different leave and public holiday entitlements for local government and craft/quasi-craft employees, resulting in approximately 190 employees enjoying four more public holidays than the rest of the workforce. 4.8 Many council services are delivered on a 24/7, 365-day basis and by employees who follow other religions and have different beliefs beyond the traditional Christian public holiday schedule. In recognition of these factors, many organisations are offering a more flexible approach to public holidays/annual leave to allow a diverse workforce to choose when to use leave for celebrations, holidays, religious festivals, and caring responsibilities. 4.9 Consequently, to further support the provision of flexibility, it is proposed that the public holiday entitlement is varied to 7 days (for all local government, craft/quasi-craft employees) with the following declassified as public holidays and added to annual leave entitlement from April 2025: Page 297
Page 298
• Last Friday and Monday in May*; • Third Monday in July*; • Last Friday in September*; • Last Monday in September (noting that while the first Monday in May was marginally more popular with respondents, this day is now most known as ‘International Workers’ Day’ and, as such, the declassification would likely not be supported). *currently only applicable to craft employees. 4.10 Subject to approval and the necessary consultation and local agreement, the minimum paid (full) annual leave entitlement (the 7 public holidays are in addition to this) will increase, for all employee groups, to a minimum 26 days and maximum 36 days per annum (including the additional day agreed for SJC and SJNC employees in 2022). This entitlement is well above the statutory minimum (28 days including public holidays) and remains generous compared with other councils. 4.11 Reduction in the number of fixed public holidays with the addition to annual leave entitlement (as implemented in neighbouring authorities) would enhance service delivery to the residents of West Dunbartonshire, many of whom now expect a service on those days previously regarded as public holidays, as well as further enhancing the flexibility offered to those, predominantly female employees, with caring responsibilities. Festive Closure 4.12 The Council decision to close buildings over the festive period has a small saving but also recognises that many take or would like the opportunity to take this time off. The ability to work from home was suspended as this would create an inequality with those who cannot due to the nature of their roles. 4.13 Essential services, and those in support of same, would continue to operate during this period albeit with a reduced workforce. 4.14 The proposal would retain a closure from Christmas Eve to the first Monday in January requiring 4 days annual leave, from individual entitlement, in year 1 and 3 days in years 2 and 3. In year 3, the second New Year public holiday falls on Monday 4th January so there would be an option to vary this (reducing leave required to 2 days) or re-open on Tuesday 5th instead. 5. People Implications 5.1 Effective and regular monitoring and analysis of pay and remuneration is critical to ensure equality and sound people practice for all employees. 5.2 The changes proposed will increase the annual leave entitlements of all employees, thereby allowing greater flexibility. The new full-time equivalent Page 298
Page 299
(FTE) minimum would be 26 days, rising annually until the maximum 36 days is reached. This is in addition to the proposed 7 public holidays. 5.3 To minimise the impact on those who welcomed the closure and opportunity for a two-week break, managers will be encouraged to allow them to retain the time off, subject to service delivery. 6. Financial and Procurement Implications 6.1 There will be a small reduction in the annual saving. 7. Risk Analysis 7.1 There is a risk of retaining the current leave provisions, as detailed above, and therefore continuing the unequal allocation. 8. Equalities Impact Assessment (EIA) 8.1 Equalities Impact Assessments have been undertaken in relation to the above proposals, in addition to inclusion as appendices to the December Council report and which remain available as background papers. 9. Consultation 9.1 Discussions with the Trade Unions continued afresh in January 2024 with public holidays featuring as a standing item at monthly meetings. 9.2 Formal proposals were submitted on 20 June 2024 to allow consultation with the workforce to commence. 10. Strategic Assessment 10.1 The proposals set out within this report will assist the Council to deliver against its strategic priority ‘Our Council – Inclusive and Adaptable’ by contributing to the underpinning objective: ’Our Council is adaptable and focused on delivering best value for our residents’. Victoria Rogers Chief Officer People & Technology Date: 22 July 2024 Person to Contact: Appendices: 1. Employee Survey Summary 2. EIA 1022 June 2024 Page 299
Page 300
Background Papers: Council Report – Equality Review of Terms and Conditions, 22 December 2022; Appendices - Equality Impact Assessments Demographic assessments of each element – submitted for negotiation Jan – April 2023 WDC Terms and Conditions (LGE) V3.6 - April 2021 Scheme of Pay and Conditions of Service (Craft Operatives) Equal Pay Audit – Allowances remitted to JCF in December 2017 Wards Affected: None Page 300
Page 301
SurveyResults June 2024 Public Holidays Christmas Closure Introduction This survey invited employees to share their views regarding proposed changes to the public holiday entitlement, to address the different allocation (a small minority on 12 days with the rest of the workforce on 8). Additionally, views were sought on the Council budget saving decision to initiate a 2- week closure over the festive period for the next 3 years. The summary results of the survey are detailed below. Response Rate 21% Total responses - 1187 Role Type Split of those who responded by role type Preferences regarding public holidays for all employees By a large majority, the public holidays which were preferred to be re-designated as leave were: First Monday in May (20.13%) and/or thelast Monday in September (17.94%) Enhanced Leave Are you interested in having more options to purchase enhanced leave? Enhanced Leave What are your preferences for how this could be offered? Are you happy with the arrangements for Christmas closure using 6 days of annual leave entitlement? Christmas Closure For those that responded 'No' to the previous question, what alternative would you prefer? organisational.development@west-dunbarton.gov.uk APPENDIX 1 Page 301
Page 302
Assessment No 1022 Owner lgalasso Resource Transformation Service People and Technology FirstName Surname Job Title Head Officer Leeanne Galasso People & Change Partner Members Leeanne Galasso, People & Change Partner Lisa MacGregor, People & Change Partner Alison McBride, Strategic People & Change Manager (Please note: the word 'policy' is used as shorthand for strategy policy function or financial decision) Policy Title Ethical Review of Terms and Conditions - Review of Public Holiday Entitlement The aim, objective, purpose and intended out come of policy The primary aim is to further eradicate inequality. Following employee survey the proposal is to vary public holiday entitlement and following consultation, the proposal is to align all employees to 7 days public holidays. This will add 1 day to annual leave for SJC and those craft employees who started employment after April 2015 and 5 days to craft employees who started before April 2015. This will align public holidays for the workforce and will mean that annual leave entitlement will start at 26 days (FTE), which employees can use as it suits them. This will benefit new starters and could help in recruitment as well as providing an equal public holiday entitlement. It is essential that the Council continues to act to future-proof its terms and conditions of employment, ensuring an employment package is gender pay neutral and which is otherwise considered fair in terms of consolidation of provisions across different categories of employees. Service/Partners/Stakeholders/service users involved in the development and/or implementation of policy. Chief Officers, Strategic HR Does the proposals involve the procurement of any goods or services? Yes If yes please confirm that you have contacted our procurement services to discuss your requirements. No SCREENING You must indicate if there is any relevance to the four areas Duty to eliminate discrimination (E), advance equal opportunities (A) or foster good relations (F) Yes Relevance to Human Rights (HR) No Relevance to Health Impacts (H) No Relevance to Social Economic Impacts (SE) Yes Who will be affected by this policy? Who will be/has been involved in the consultation process? APPENDIX 2 Page 302
Page 303
Please outline any particular need/barriers which equality groups may have in relation to this policy list evidence you are using to support this and whether there is any negative impact on particular groups. Specific group to consider Needs Evidence Impact Age The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty The Council's age profile confirms that the highest percentage of employees remain clustered in the age groups 50-59. There is no specific impact identified in relation to age. It is noted that this change may attract a younger demographic into roles with the increased flexibility in the way they use leave. Disability The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty The Council's disability profile confirms 1.38% of employees have declared a disability. It is well documented and reported that people with a disability can be impacted by pay inequality. There is no specific impact in relation to disability. Gender Reassign The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty The Council's transgender profile confirms that 0.15% have declared transgener and 19.01% not transgender and 80.71% unknown. There is no specific impact in relation to gender reassign Marriage & Civil Partnership The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty No information reported on marital status/civil partnership. It is well documented and reported that males typically earn more than females with greater opportunity to access enhancements through overtime and public holiday working. There is no specific impact in relation to marriage & civil partnerships Pregnancy & Maternity Cross-Cutting with Sex Cross-Cutting with Sex It is well document and reported that pregnancy and maternity have contributed to the gender pay inequality agenda. Cross-Cutting with Sex Race The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty The Council's race profile confirms 0.58% of the workforce are BAME. There is no specific impact in relation to race Religion and Belief The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty The Council's religion and belief provide confirms that 1.45% are Christian, 0.89% other and 8.56% none. There is no specific impact in relation to religion and belief. Page 303
Page 304
Sex The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty Workforce profile concludes 71% female and 29% male. It is well understood that females are main caregivers and benefit from flexibility to support the balance of working and home life. In relation to public holidays, by aligning craft to local government workers, this will impact on males as they are typically male (90%), Quasi-Craft employees (those employed after 1st April 2015) are also predominately male (95%) and Local Government employees, who are predominately female (74%). However this could be objectively justified to provide an equal public holiday entitlement and reflect the increased flexibility that additional annual leave provides to the workforce. It will also further benefit females as they are typically the main care givers and will give flexibility in use of leave. Sexual Orientation The council has duty of care toward all its workers, and in terms of the Public Sector Equality Duty , this proposal does not impact on sexual orientation The Council's sexual orientation profile concludes that 0.81% of the workforce have declared LGB and 18.26% as heterosexual with 80.41 unknown There is no specific impact in relation to sexual orientation Human Rights N/A N/A N/A Health N/A N/A N/A Social & Economic Impact N/A N/A N/A Cross Cutting N/A N/A N/A Page 304
Page 305
Actions Page 305
Page 306
Policy has a negative impact on an equality group,but is still to be implemented, please provide justification for this. Will the impact of the policy be monitored and reported on an ongoing bases? Q7 What is you recommendation for this policy? Please provide a meaningful summary of how you have reached the recommendation Page 306