Agenda and minutes

Apologies for absence were received from Councillors Derek Redhead and Karen Richardson. 

Any Member who is substituting for another Member should so indicate, together with the name of the relevant absent Member.

The following substitutions were declared:

Councillor Diane Hind substituting for Councillor Derek Redhead.

To confirm the minutes of the meeting held on 24 September 2014 (copy attached).

The minutes of the meeting held on 24 September 2014, were confirmed as a correct record and signed by the Chairman

Report No: PAS/SE/14/001

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/001)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/001 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

There being no decision required, the Committee noted the contents of the report and the progress made against the 2014/15 Internal Audit Plan.

Report No: PAS/SE/14/002

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/002)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/002 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

There being no decision required, the Committee noted the performance against the Key Performance Indicators for Quarter 2, 2014-15. 

Report No: PAS/SE/14/003

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/003)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/003 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

There being no decision required, the Committee noted the contents of the West Suffolk Strategy Risk Register Quarterly Monitoring Report for September 2014.

Report No: PAS/SE/14/004

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/004)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/004 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

There being no decision required, the Committee noted the contents of the Biannual Corporate Complaints and Compliments Digest.

Report No: PAS/SE/14/005

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/005)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/005 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

With the being unanimous, it was

RECOMMENDED

That the West Suffolk Fees and Charges Policy, attached as Appendix B to Report PAS/SE/14/005 be approved.

Report No: PAS/SE/14/006

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/006)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/006 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

With the being unanimous, it was

RECOMMENDED

That:

a)     Subject to the approval of full Council, as part of the 2015/16 budget setting process and subject to external audit support, the proposed cost sharing model for income and employee costs as detailed in Table 2 and 3 and at paragraph 2.17 of Report PAS/SE/14/006, be approved.

b)    The proposed model, as detailed in Table 2 and 3 and at paragraph 2.17 of Report PAS/SE/14/006, be reviewed annually as part of the budget setting process with any necessary amendments to the model (in order to secure delivery against the principles set out in paragraph 2.12 of Report PAS/SE/14/006), be reported through to Performance and Audit Scrutiny Committee in the Autumn.

Report No: PAS/SE/14/007

(For reference purposes, Forest Heath District Council’s Report Number is PAS/FH/14/007)

Further to the joint informal discussions held prior to the meeting with Forest Heath District Council’s Performance and Audit Scrutiny Committee, the Committee formally considered Report PAS/SE/14/007 (previously circulated).

Members had scrutinised the report in detail and had asked a number of questions to which responses were duly provided.

There being no decision required, the Committee noted the contents of the work programme for 2015.

Report No: PAS/SE/14/008

The Committee received Report PAS/SE/14/008 (previously circulated), presented by Melanie Richardson (External Audit Manager) which updated Members on the outcome of the annual audit of the 2013/2014 financial statements by Ernst and Young (the Council’s external auditors) as detailed in their Annual Audit Letter for 2013/2014, attached as Appendix 1 to the report.  The letter was for information and confirmed the completion of the audit of the 2013/2014 financial statements. 

It was reported that the final fee of £60,356 for work carried out, included two small additional sums totalling £2,900.  The first additional sum of £2,000 reflected work undertaken by Ernst and Young over and above that planned due to extra time spent in undertaking the audit trail which supported the financial statements.  Details of the work were included in the Annual Audit Letter at Appendix 1.

The second sum of £900 was an Audit Commission variation to the base scale fee to reflect the extra audit procedures required nationally, and further details were attached at Appendix 2. 

Both of these additional fees had been agreed by the Section 151 Officer.

Members asked questions, to which Melanie Richardson duly responded.  There being no decision require, the Committee noted the contents of  the report.

Report No: PAS/SE/14/009

The Committee received Report PAS/SE/14/009 (previously circulated), which updated Members on the current position with regard to the 2014-15 year end forecast financial position. 

The latest Revenue Budget Summary for the year to date position after six months currently showed an underspend of £90,200 with a forecast position for the year end showing an underspend of £290,500.  In terms of the Council’s capital financial position, the first six months of 2014/15 showed an expenditure of £1,137,000.  The Council had received £92,500 in capital receipts in the period to 30 September 2014,and the revenue reserves summary showed an opening balance of £12,612,806 with a forecast closing balance of £13,113,628.

Members scrutinised the report in detail and asked a number of questions in relation to the report to which responses were provided. 

Members discussed the Waste Management and Property Services underspend and questioned how many vacant posts were there and their role, to which officers agreed to provide a written response.

Members also discussed market tolls and officers agreed to provide in future reports year-on-year comparisons.

There being no decision required, the Committee noted the year end forecast financial position.

Report No: PAS/SE/14/010

The Committee received Report PAS/SE/14/010 (previously circulated), which set out the context of the 2015/16 budget process, including a summary of the budget consultation focus group results and the proposed saving and income generation items for delivering a balanced budget for 2015/16.

The budget gap for the years 2015/16 to 2017/18 were projected in Table 1 of the report.  The current budget assumptions for the 2015/16 and for the period of the Medium Term Financial Strategy were also detailed in Appendix B.  The key budget assumptions continued to be reviewed as more accurate information became available.

Attached as Appendix A to the report, was the initial results of the budget consultation exercise which was carried out over the summer in order to inform the budget setting process and help councillors to make decisions about the 2015/16 budget. The purpose of the consultation was to gauge public opinion on the main savings/income generating options and to test views on a range of issues relating to council priorities and themes in the Medium Term Financial Strategy, such as channel shift, families and communities and our commercial approach.

The Performance and Audit Scrutiny Committee was asked to support the inclusion of a number of budget proposals set out in Table 2 of the report, taking into account the public consultation results outlined in Appendix A, in order to progress securing a balanced budget for 2015/16.

The Committee was further asked to support the removal of a number a proposals from the 2015/16 budget, set out in paragraph 1.5.2 of the report, following the public consultation exercise.  

Members scrutinised the report and asked a number of questions to which officers duly responded.  In particular detailed discussions were held on the proposal to change the bin collection days; charging for replacement bins and the use of volunteers.  

The Committee also discussed the budget consultation areas set out in paragraph 1.5.3, which required further work.  The Committee unanimously supported the exploration / individual business case for the markets; bus station building and money from development. However, in relation to the housing proposal, one member was against the proposal for the council to invest in building houses to rent and sell as they felt the council should have more of an enabling role by supporting developers.

Members noted the progress made on delivering a balanced budget for 2015/16.

With the vote being unanimous, it was

RECOMMENDED

That taking into account the public consultation results outlined in Appendix A to Report PAS/SE/14/010, Cabinet:

1)    includes the proposals, as detailed in Table 2 at paragraph 1.5.1 of Report PAS/SE/14/010.

2)    removes the proposals, as detailed in paragraph 1.5.2 of Report PAS/SE/14/010.

Report No: TMS/SE/14/001 will be considered by the Treasury Management Sub-Committee on 17 November 2014.  The Chairman/Head of Resources and Performance will update the Committee verbally on any issues or recommendations arising from the consideration of this report.

The Committee received Report TMS/SE/14/001 (previously circulated), which had been considered by the Treasury Management Sub-Committee on 17 November 2014. 

The Chairman provided a verbal update on the Sub-Committee’s consideration of the report, which summarised the Treasury Management activity for the first six months of the 2014/15 financial year.  The Sub-Committee was advised that interest earned during the first six months of the financial year amounted to £0.176m against the profiled budget for the period of £0.264m;a budgetary deficit of £0.088m.  This was due to a lower rate of interest than projected during the period.The reduction in the interest rates was primarily due to the continued low Bank of England base rate and subsequent poor investment rates being offered by the banks and building societies and financial institutions.  In the current economic climate it is considered likely that the current low rates will continue for the reminder of this year.

The Sub-Committee had scrutinised the content of the report, asking questions of officers who duly responded.  There were no issues or recommendations needed to be brought to the attention of the Performance and Audit Scrutiny Committee on this occasion. 

The Performance and Audit Scrutiny Committee discussed the report and there being no decision required, noted the contents of the report.