Cabinet considered a report that presented the 2010/11 provisional revenue and capital outturn and identified and explained variations of actual spend against budgets. The report focused on the year end balance sheet position including the level of general balances and reserves. The report also included proposals for the allocation of revenue carry forwards in 2011/12.
Councillor Zoé Patrick, Opposition Leader offered congratulations on the underspend in the current economic situation but raised a number of concerns. This included the management of transport projects and the need, acknowledged in the report, to improve profiling. She referred to the underspend in Environment & Economy Directorate Capital budget and to the previous suggestion by Councillor Armitage that budgets be over committed to ensure better use of resources. She referred to the annual net income in relation to Oxford City residential parking charges which contrasted with the announced intention that the charges would only cover administration costs. It also contrasted with the loss on parking accounts in Abingdon and Henley.
In response to a question Councillor Patrick was unable to confirm whether the charges for Abingdon had been set by the District Council.
The Cabinet Member for Finance & Property highlighted the impact on the outturn figures of the introduction of International Financial Reporting Standards (IFRS). He rejected concerns over the level of capital spending commenting that in the context of the emergency budget and the moratorium on capital projects an outcome of 91% was a creditable achievement. The reserves as detailed in the report was evidence of prudent management and all Directorates were to be congratulated on the carry forwards achieved.
RESOLVED: to:
(a) note the provisional revenue and capital outturn, and the year end position on balances and reserves as set out in the report;
(b) approve the carry-forwards and virements as set out in Annex 2;
(c) recommend Council to approve the virements greater than £0.5m for Children, Young People & Families, Social & Community Services and Environment & Economy Directorates as set out in Annex 2b;
(d) agree that the surplus in the On-Street Parking Account at the end of the 2010/11 financial year, so far as not applied to particular eligible purposes in accordance with Section 55(4) of the Road Traffic Regulation Act 1984, be carried forward in the account to the 2011/12 financial year (paragraph 114); and
(e) approve the creation of new reserves as set out in Annex 4 and paragraphs 98 & 113;
agree the proposal from the Schools Forum to offset £0.633m spent by schools in 2010/11 relating to the final payment from the DfE of £1.371m which will not now be received, against unspent DSG in 2010/11 and to offset the remaining £0.738m of the £1.377m which will be spent in 2011/12 against unspent DSG from 2010/11 carried forward to 2011/12.