Issue - meetings

Consideration was given to report of the Chief Officer Resources.

The Chief Officer Resources presented the report which provided the forecast financial position across all portfolios for the current financial year.  The overall forecast outturn at June 2021 was a favourable variance of £2.494m, after the application of Welsh Government Hardship Funding.

The table at 5.1.2 of the report highlighted the variances across each portfolio and indicated additional expenditure incurred in relation to the Covid pandemic response and recovery.  The forecast included actual and estimated funding from the WG Hardship Fund to be £1.354.  Paragraphs 5.16 and 5.17 detailed the budget virements actioned to realign budgets during the year.   There were a number of adverse variances across the portfolios, and the most significant were detailed in table 2 at section 5.1.12.

The Chief Officer confirmed that Action Plans to address cost pressures had been included in the report at Appendix 3, and paragraph 5.1.14 to 5.1.39 provided a narrative for the main variances across each portfolio.  Paragraph 5.1.41 provided a summary position with fees and charges for the year, and Appendix 2 provided an analysis of income received for the financial year against individual budgets.

Table 3 of the report summarised the expected year end position for the Council’s General Reserves, and based on the current favourable position this was forecast to increase to £10m by the end of this financial year.  The Officer said Members would recall that during the July Joint (Budget) Scrutiny the 2021 draft outturn position on earmarked reserves was £20.7m which included school balances.  Significant elements of those earmarked reserves related to grant funding held in respect of specific projects or services, and was expected to be utilised in delivering the relevant service outcomes during the current and next financial years.

A Member asked what work was being done to mitigate the significant adverse variance within the Environment portfolio to bring it to a balanced position.

The Chief Officer Resources reported that the adverse variance was due to recycling collection, disposal of waste costs and disposal of recycling.

The Corporate Director Regeneration & Community Services explained that over the last 18 months during the Covid pandemic the Council had collected more residual waste resulting in increased disposal costs.  However, he confirmed that the Warden Service, which had been suspended during the Covid pandemic, had now been reintroduced to ensure we get back to pre-pandemic residual waste levels. 

He also reported that the level of recycling collected had increased, particularly cardboard, however, the market price for cardboard had dropped significantly which resulted in less income being received.  He confirmed that a review of the Council’s contracts for disposal of recyclate materials was being undertaken, looking at shorter term contracts to enable the Council to respond to market prices.  He also confirmed that all opportunities to fund the ongoing demand and purchase of recycling receptacles was being explored.

The Corporate Director said there was no budget surplus within the Portfolio, but assured that all aspects were being considered.  ...  view the full minutes text for item 6