Cobtree Manor Estate Committee

9 September 2021

 

Cobtree Manor Estate Financial Position

 

Final Decision-Maker

Cobtree Manor Estate Committee

Lead Head of Service

Director of Finance & Business Improvement – Mark Green

Lead Officer and Report Author

Paul Holland, Senior Finance Manager (Client)

Classification

Public

Wards affected

Boxley

 

Executive Summary

The report summarises the current financial position of the Estate covering the activities at the golf course, Kent Life, the Manor Park and the residential properties.

 

Purpose of Report

 

To update the Committee on the current financial position and any other relevant matters that may impact the financial position of the Trust.

 

 

This report makes the following recommendations to this Committee:

1.   That the current financial position be noted.

 

 

Timetable

Meeting

Date

Cobtree Manor Estate Committee

9 September 2021



Cobtree Manor Estate Financial Position

 

1.       CROSS-CUTTING ISSUES AND IMPLICATIONS

 

Issue

Implications

Sign-off

Impact on Corporate Priorities

The operation of the Estate directly supports the objects of the Trust as set out when the Council became the Corporate Trustee

Head of Regeneration & Economic Development

Cross Cutting Objectives

The operation of the Estate supports the Council’s strategic objective to ensure there are good leisure and cultural attractions in the Borough.

Head of Regeneration & Economic Development

Risk Management

There is a potential reputational risk if the facilities are operated poorly. This is addressed in the annual risk management report.

Leisure Manager

Financial

There is a financial risk to the Trust if the operations cost more than predicted or fail to generate sufficient income to cover the costs of running the estate. This risk is currently heightened by the impact of the ongoing Covid-19 situation on the operations of the estate, particularly in relation to the various contractors.

Senior Finance Manager (Client)

Staffing

There are no additional implications arising from this report.

Leisure Manager

Legal

Under the Council’s Constitution the Committee as Corporate Trustee is responsible for all matters relating to the Charity with the exception of daily management.

Law applicable to charities in England and Wales requires the trustee to prepare financial statements for each financial year which give a true and fair view of the Charity’s financial activities during the year and of its financial position at the end of the year. This update report assists in meeting those requirements 

 

There are no further implications arising from this report.

 

Contracts and Commissioning Team Leader,

Mid Kent Legal Services

Privacy and Data Protection

There are no specific privacy or data protection issues to address.

 

Policy and Information Manager

Equalities

There are no additional implications arising from this report.

Policy and Information Manager

Public Health

 

 

There are no additional implications arising from this report.

Public Health Officer

Crime and Disorder

There are no additional implications arising from this report.

Head of Regeneration & Economic Development

Procurement

There are no additional implications arising from this report.

Head of Regeneration & Economic Development

Biodiversity & Climate Change

The implications of this report on biodiversity and climate change have been considered and there are no implications on biodiversity and climate change.

 

Biodiversity and Climate Change Manager

 

2.      INTRODUCTION AND BACKGROUND

 

2.1        This is a regular update report on the financial position of the Estate, which enables the Committee to see how the various areas of activity are performing. Covid-19 has presented a significant risk to the finances and operations of the estate, emphasising the need for robust management and monitoring of the budget.

 

 

 

3.   CURRENT FINANCIAL POSITION                                                                 

3.1     The table below summarises the financial position of the Estate as at 31st July 2021. Appendix 1 provides a more detailed breakdown of the figures.

 

 

 

 

 

 

 

 

 

 

 

 

                                                                                               

3.1.1   Overall Summary Position:                                                   

 

SUMMARY TOTALS

 

 

3.2     The current position shows a surplus of £29,744 for the year to date. There are no significant issues to report, but the following points should be noted:

 

·         Since the last meeting Mytime have now made further payments regarding their outstanding rental. The outstanding sum for 2020/21 has now been settled.                                                                                                 

·         There has been a higher than anticipated level of spend against the parks hard landscaping budget, due to the need for a new door at the visitor centre and the creation of a new parking area. Officers will review the budgets to identify funding for any further hard landscaping works may be needed. (This was the repairs and maintenance budget up until last year, it was renamed for 2021/22)                                                                                                                       

·         Car parking income continues to exceed the budgeted figure as visitor numbers to the park remain high.                                                                                                 

·         Repairs and maintenance budgets at Kent Life and for the residential properties are unspent at this point.                                                      

                                                                  

3.3     An updated cashflow projection will be brought to the next committee meeting when officers have had the opportunity to review proposals for future capital expenditure. The receipt of the outstanding sums from Mytime has alleviated the potential pressure on the cashflow and the bank account balance is now at a healthy level. This means further payments should now be able to be made to the Council in respect of the car park capital works.                                                                                                          

3.4     Members have also requested an ongoing update on the Charifund investment. The value of the investment continues to recover and currently stands at £867,762, compared to the value of £866,198 in July. However, this is still lower than the value of £930,938 in January 2020. Updates will continue to be provided to future meetings as part of this report. 

 

 

 

4.        AVAILABLE OPTIONS                                                                                          

4.1        Section 3 is for noting only.                                                                                                                                   

 

5.        PREFERRED OPTION AND REASONS FOR RECOMMENDATIONS

 

5.1     Section 3 is for noting only.        

 

 

6.       NEXT STEPS: COMMUNICATION AND IMPLEMENTATION OF THE DECISION

 

6.1     Officers will continue to monitor the financial position and take appropriate action where necessary.                                                                                                              

 

 

 

7.        REPORT APPENDICES

 

·   Appendix 1: Financial Position

 

 

8.        BACKGROUND PAPERS

 

None.