Agenda item

To submit a report by the Director of Function (Resources)/Section 151 Officer.

The report of the Director of Function (Resources)/Section 151 Officer incorporating the Capital Budget 2020/21 was presented for the Executive’s consideration.

The Portfolio Holder for Finance reported that the Executive is required to propose a

capital budget for 2019/20 which will then be presented to the Full Council at its meeting on

10 March, 2020.  The report set out the proposed main capital programme for 2020/21.

The Director of Function (Resources)/Section 151 Officer reported in detail to the Committee the main points within report and the following matters were highlighted and reported upon:-

·      The current Capital Strategy sets out the principles for the Council in determining its capital programme with each year’s capital funding will be allocated to ensure an investment in existing assets i.e. Council buildings, vehicles, IT equipment, highways and roads;

·      Reference was made to the capital funding (as shown in Table 1 of the report) which showed the anticipated capital funding available for 2020/21 that the initial local government settlement figures refers to the General Capital Grant and Supported Borrowing. The level of funding under both headings have remained fairly constant over a number of years and are not anticipated to change significantly between the provisional and final settlement;

·      The position as regards to the 21^st Century Schools capital programme was outlined to the Committee;

·      The HRA funding is earmarked for HRA projects only.  The plan allows for the use of £5.24m of HRA reserves in 2020/21;

·      Reference made to the 2019/20 (committed schemes) as shown in Table 2 of the report, which will carry forward to 2020/21 but an additional £75k match funding will be required in respect of the Holyhead Regeneration (THI Phase II) scheme and it is recommended that this scheme is included in the 2020/21 capital programme;

·      Refurbishing/Replacing Existing Assets (as shown in Table 3 of the report) the level of funding continues in 2021/22 and beyond, the Council’s capital programme will be limited to the refurbishment and replacement of existing assets;

·      Reference made to recommended ‘One-Off’ capital projects to be funded in 2020/21 (as shown in Table 4 of the report) which totalled £2,174m;

·      Paragraph 5.4 of the report highlighted a number of projects which do not require funding in 2020/21 but may need to be funded in 2021/22 or beyond.

Councillor Aled M Jones, the Chair of the Corporate Scrutiny Committee reported from the Committee’s meeting of 13 January, 2020 to which the Capital Budget for 2020/21 was presented.  He said that the Corporate Scrutiny Committee recommended to support the Capital Programme of £36.903m for 2020/21.

The Leader wished to thank the Finance Scrutiny Panel for their work in respect of both the Capital Budget and Revenue Budget for 2020/21.  

The Executive in noting the information presented wished it be recorded that the Council has now a strategy for the maintenance of Council’s assets.  

It was RESOLVED :-

·      To recommend the following capital programme for 2020/21 to the full Council :-

£’m

2019/20 Schemes Brought Forward                                                  3,294                  

Refurbishment/Replacement of Assets                                                  5,158

New One Off Capital Projects                                                                  2,174

Smallholdings funded from capital

receipts                                                                                                        100

21^st Century Schools                                                                                9,039

Housing Revenue Account                                                                      17,138

Total Recommended Capital Programme 2020/21                    36,903

Funded By:

General Capital Grant                                                                        2,165                        

Supported Borrowing General                                                               2,364

Capital Receipts                                                                                        245

Capital Reserve                                                                                         500

21^st Century Schools Supported                                                            2,680

Borrowing              

21^st Century Schools Unsupported                                                        3,679

 Borrowing             

HRA Reserve & In Year Surplus                                                           14,228

HRA Unsupported Borrowing                                                                   250

External Grants                                                                                       7,572

2019/20 Funding Brought Forward                                                          3,219

2020/21 Total Capital                                                                   36,903

Funding                                                                                      

·      That the use of the VAT Leisure reserve and any potential capital receipts from the proposed sale of the golf course are considered by the Executive when the draft Developing Leisure Provision for Future Generations Plan is presented to the Executive.  The remaining £32k is carried forward as funding to be used in 2021/22;

·      To note the potential future funding requirements for 2021/22 onwards (as noted at Appendix 1, Table 3 and paragraph 5.5).