Agenda item

Performance and Financial Information - Monitor 2, 2006/07

This report presents performance and financial information for the Resources Directorate.

Decision:

Advice of the Advisory Panel

That the Executive Member be advised:

(i) That the current financial projections and the improvement in performance achievements be noted;

(ii)That the virement of £171k between expenditure on framework consultants and capital income in Strategic Business and Design within the Property Services Division, as set out in paragraph 58 of the report, be approved.

Decision of the Executive Member

RESOLVED:That the advice of the Advisory Panel be accepted and endorsed.

REASON: (i) In accordance with budgetary and performance monitoring procedures;

(ii) As Financial Regulations require the Executive Member to approve all virements between £100k and £250k.

Minutes:

Members received a report which presented performance and financial information for the Resources Directorate.

The Director of Resources reported that the performance of the Directorate overall was extremely satisfactory, with most targets and performance indicators being achieved, and those which had not nearly all showing significant improvement. Most major projects were showing noteworthy improvement, but it was now a key stage for easy@york and substantial management input had been necessary to keep progress on track. Pressure on the Directorate had eased fractionally since the last monitor with key work on the budget having been completed, together with some vital project implementation work. Resources now needed to turn its attention to some major outstanding issues including:

a) Getting appraisals done;

b) Delivering/ making further progress on key projects such as job evaluation, easy@york, the Administrative Accommodation project and the Financial Management System (FMS) replacement;

c) Addressing some of the underlying expenditure pressures within the Directorate;

d) Reviewing some structures and addressing recruitment problems in key areas.

It was reported that the Resources Directorate was anticipating to underspend by £178k. This was primarily due to underspends within Information Technology & Telecommunications (IT&T) due to underspends on leasing and a review of IT project budgets. It was also noted that the forecast overspends within Audit & Risk Management and Property Services had reduced since the first monitoring report. Included within the Financial Services Division was an underspend relating to the FMS replacement (£107k) which was anticipated to be carried forward to 2007/08. This meant that the true Directorate projected underspend was £71k. Detailed contract discussions were ongoing with the main supplier in relation to easy@york. The outcome of these discussions could result in significant amendments to the forecast outturn for the current financial year. However if there was any slippage it would be needed for future years.

One of the overspends reported in Property Services was due to the use of additional external consultants working as part of the framework agreement within Strategic Business and Design. The additional cost of £171k was funded from additional income and it was recommended that a virement between expenditure and income of £171k was undertaken to realign the budgets.

Details of the Treasury Management budget, which formed part of the overall corporate budget, had been included in the report at paragraphs 82-88. It was noted that the 5^th dividend payment from the Bank of Credit & Commerce International’s (BCCI) liquidators would be $154k, not £154k as stated in paragraph 86.

It was noted that a programme had been scheduled to ensure that 100% of appraisals were completed by March 2007, not March 2006 as stated in paragraph 24. It was also noted that the permanent relocation of business units to Amy Johnson Way, Clifton Moor, referred to in paragraph 48 of the report, was subject to obtaining planning permission.