Agenda item

Consideration was given to report of the Chief Officer Resources.

The Chief Officer Resources presented the report which provided an overview of each Portfolio’s actual and forecast capital expenditure against funding approvals for the 2021/2022 financial year, as at 30^th June 2021.  The Overall financial position indicated an adverse variance of just over £287,017k against a total in-year capital budget of £15.3m. 

The report identified significant overspends on two projects which have been reported previously, namely the HWRC (£42,725) related to an increase in costs due to the Covid pandemic and future proofing of the site; and Lime Avenue business park (£234,710k) due to the loss and expenses claim for items in relation to unforeseen issues caused by the Covid pandemic.  The Officer confirmed that the Council was currently in discussions with the funding bodies for both schemes, and whilst discussions were positive, the final outcome was not known at this point in time.  However, if additional was not forthcoming, the schemes would need to be built into the capital contingency fund unless alternative funding could be identified.

Members raised questions on the following budgets:

328340 LTF Metro Plus £220k

The Corporate Director Regeneration & Community Services reported that this money was drawn down to undertake work on the Abertillery Railway Station and related to land acquisition and consultancy costs.

The Member asked whether the costs for land acquisition were incurred prior to the report received by Members on the loan for the Ebbw Valley Railway.

In response the Corporate Director said the intent to acquire land for the railway had been worked on for a number of years.  He understood that completion of the land acquisition was undertaken during the last financial year, but said he would check to see if this was correct.

The Member sought clarification that decision to acquire land was undertaken under delegated powers and not part of Council agreement.

The Corporate Director confirmed that the land acquisition was not reported to Council, and the Member asked that details of the land acquisition be forwarded to all Members.

Another Member questioned the figures for the budget, and the Chief Officer Resources said it was likely that income of £186,209 had been received which had increased to the budget to £406,209, and we are forecasting to spend £220k in the year.  The Officer undertook to provide details to Members.

The Member then requested a breakdown of spend on the following budgets:

·        332368 Play Area Schemes Boroughwide

·        327061 CATs

·        327103 Civic Centre Decommissioning

·        327140 Democratic Hub (GO)

 327090 Fly Tipping CCTV

In response to a question raised, the Service Manager Neighbourhood Services confirmed that £14k grant funding was secured through Keep Wales Tidy for the purchase of equipment to be used as part of the new Joint Enforcement Service, and Members would see a more proactive approach to fly tipping moving forward.

The Committee AGREED to recommend that the report be accepted, and;

·        Provided appropriate challenge to the financial outcomes in the report.

·        Continued to support appropriate financial control procedures agreed by Council.

·        Noted the budgetary control and monitoring procedures in place within the Capital Team, to safeguard Authority funding.