PART 1
(OPEN TO THE PUBLIC)
ITEM NO.
REPORT OF THE DIRECTOR OF CORPORATE SERVICES
TO THE BUDGET COMMITTEE
ON WEDNESDAY, 5th JUNE 2002
TITLE: REVENUE BUDGET 2002/03 : BUDGET MONITORING
RECOMMENDATION:
Members are asked to note the contents of the report.
EXECUTIVE SUMMARY :
The report provides details of the current position relating to budget monitoring for
the revenue budget and of the implementation of the agreed revenue budget savings
for 2002-2003.
BACKGROUND DOCUMENTS :
Various working papers and reports.
(Available for public inspection)
CONTACT OFFICER :
Colin Kay
WARD(S) TO WHICH REPORT RELATE(S)
KEY COUNCIL POLICIES
Tel. No. 793 3245
Non specifically
2002/03 Revenue Budget
REPORT DETAIL
1.
INTRODUCTION
1.1
At this early stage of the financial year there is very little indicative financial
information available for budget monitoring requirements and reviews are in the main
restricted to salaries and wages expenditure.
1.2
This report therefore again concentrates on the progress being made in meeting the
agreed revenue budget savings proposals for the year.
1.3
Members are reminded that at the last meeting of the committee detailed reports were
asked for on the following proposals:


Director of Education and Leisure on details of how the savings in Arts and Leisure
will be achieved.
Director of Development Services relating to the decriminalisation of parking
enforcement.
Director of Community and Social Services regarding the review of community
centres.
Separate reports on each of the above items will appear elsewhere on the agenda for the
meeting.
In addition more information was sought about the savings in Environmental Services.
2.
BUDGETARY CONTROL REPORTS
2.1
None of the directorates are indicating that there are any problems and at present it is
being anticipated that net expenditure will be contained within budget allocations.
3.
PROGRESS ON AGREED SAVINGS
3.1
The attached appendix provides details of the approved savings included in the 20022003 revenue budget.
3.2
The appendix has been split to show the savings relating to proposals agreed for
2000/2001 and those for 2002/2003 separately. Members are reminded that the savings
for 2000/2001 and 2001/2002 which were achieved in full during the last financial year
have been excluded.
3.3
Discussions have been held with directorate officers and the attached appendix shows
the latest position on each of the proposals.
3.4
The appendix will be updated during the year and it will be included as part of the
regular monthly monitoring report until the savings have been implemented and
achieved.
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3.5
As mentioned earlier members at the last meeting asked for more information on the
savings in Environmental Services and the following details have been supplied by the
Director.

Air Quality Laboratory
Air quality and review is a continuous process and it is a statutory function under
the Environment Act 1995. The laboratory was provided to collect data to support
the City Council's position in respect of the widening of the M60 motorway. The
data collected has enabled the impact of the M60 on pollution levels to be
monitored. Retention of the laboratory on the expiry of the original lease in October
2001 has allowed the continuing collection of data independently to the GONW
multi model study at junctions 12-18. This data will enable more accurate modelling
work to be carried out to assess the impact of any future proposals on the air quality
and the implications for the local community. The lease for the laboratory has been
renewed on a secondary rental basis which has resulted in a reduction of the annual
leasing charges of £10,800. The balance of the saving, £4,200, will be absorbed
within the public protection budget.
 Income
Fees and charges have been reviewed and on average increases amounting to 3%
have been implemented. A policy of charging for all bulk refuse removals was
adopted. A post implementation review suggested that the policy might
disadvantage the elderly in the city and it has been decided to provide a free service
to those residents in receipt of retirement pensions, council tax benefit and/or
housing benefit.
Income is being monitored closely as part of the normal budgetary control process
and at this stage it is expected that income will be in line with budget targets.
3.6
There has been only one change in the implementation of savings since the last meeting
(AL1 Lifetimes equipment) but it is pointed that good progress has been made to date
with the value of savings achieved amounting to £1.509m compared to an overall target
of £2.410m.
4.
OTHER ISSUES
4.1
The latest position on the pay negotiations for local government staff is that formal
ballots of members are to be held during June on the possibility of taking industrial
action in support of the pay claim.
Members are reminded that the budget for the year anticipates a 3% pay award for local
government staff. A 1% increase above the budgeted level would cost the authority
approximately £1.1m.
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4.2
Two new teams have been established recently in the Chief Executive's directorate to
undertake work on job evaluation and to provide support for the scrutiny procedures.
The total budget requirement for the current year is about £320,000 and after redirecting
£50,000 from management services a balance of £270,000 remains to be found from
corporate resources.
4.3
Arising from a meeting held with the Leader, Councillors Antrobus and J Murphy and
the Chief Executive on 13th May, directors have been asked to identify how 2%
efficiency savings could be achieved for the 2003-2004 budget. As the savings are to
exclude schools, it effectively becomes a 3% target for all other services. Details of how
the targets can be achieved have been requested for submission to the next meeting of
the group to be held on 10th June.
5.
SUMMARY
5.1
There has been no further tangible progress on the agreed savings for the year but as
previously pointed out overall good progress has been made already. At this stage of the
financial year it is expected that all of the proposals will be achieved.
6.
RECOMMENDATION
6.1
Members are asked to note the contents of the report.
Alan Westwood
Director of Corporate Services
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