Issue - meetings

RESOLVED: That

1.  The Revenue position as at the end of Quarter 3 for 2023/24, including the actions being taken or proposed to improve the position, where significant variances have been identified, be noted;

2.  The Capital position at the end of Quarter 3 for 2023/24 be noted;

3.  The Performance position as at Quarter 3 for 2023/24, including the actions being taken or proposed to improve the position, where significant issues have been identified, be noted;

4.  The UK Shared Prosperity Fund update, attached at Appendix 3 to the report, be noted;

5.  The Risk Update, attached at Appendix 4 to the report, be noted;

6.  The uncollectable Business Rates (NNDR) listed at Appendix 5 to the report be approved for write-off, and;

7.  The new contract approval levels shown at Appendix 6 to the report be approved. These changes will then need approval by Democracy and General Purposes Committee before final approval by Council.

(See Record of Decision)

The Cabinet Member for Corporate Services introduced the report and stated that:

·  The Council had projected an overspend by the end of the financial year of £239,000, which had been accounted for in the 2024/25 budget;

·  There was an underspend to the services within the Committee’s remit of £960k, which was largely due to interest income on cash balances, offset by negotiating low borrowing rates;

·  The Key Performance Indicator (KPI) for collection of business rates collection had exceeded its target, but the KPI for council tax collection had marginally missed its target;

·  It was proposed to update the contract procedure levels for procurement and increase the approval level at the higher level from £75,000 to £100,000; and

·  Write-offs were proposed on three cases where it was considered unlikely that the Council would recover the monies.

During the discussion the Committee referenced Maidstone Property Holdings (MPH) overspend, the cost of Temporary Accommodation (TA), decarbonisation of the Council’s property portfolio, and the procurement partnership between Tunbridge Wells and Maidstone Borough Council.

In response to questions the Director of Finance, Resources and Business Improvement stated that:

·  Work was underway to refurbish Granada House which was expected to be completed in the Summer. A shortfall in income in 2024/25 would arise, as tenants would not come back into occupation until after 1^st April;

·  The cost of TA was considered a risk and it was difficult to predict demand, but new properties were becoming available as part of the Council’s portfolio, which was more cost effective than nightly paid accommodation;

·  There had been a £3 million slippage in the Capital Programme on the 1,000 Affordable Homes Programme due to the amount of preparatory work required before construction could start;

·  The decarbonisation project on Maidstone House and the Link would be carried out in the 2024/25 financial year after receiving grant funding; and,

·  The changes to the contract levels for procurement would allow the procurement partnership to be more aligned between the two authorities, and that Maidstone council had received good value from the partnership.

RESOLVED: That

1.  That the Revenue position as at the end of Quarter 3 for 2023/24, including the actions being taken or proposed to improve the position, where significant variances have been identified, be noted;

2.  That the Capital position at the end of Quarter 3 for 2023/24 be noted;

3.  That the Performance position as at Quarter 3 for 2023/24, including the actions being taken or proposed to improve the position, where significant issues have been identified, be noted;

4.  That the UK Shared Prosperity Fund update, attached at Appendix 3 be noted;

5.  That the Risk Update, attached at Appendix 4 be noted;

RESOLVED to RECOMMEND to the CABINET: That

6.  The uncollectable Business Rates (NNDR) listed at Appendix 5 be approved for write-off; and,

7.  The new contract approval levels shown at Appendix 6 to the report be approved. These changes will then need approval by Democracy and General  Purposes Committee before final approval by Council.