Issue - meetings

See Exempt Appendices Section below for appendices.

(i)       note the cash position that has been achieved for the General Fund and HRA to the end of Quarter 3 as detailed in Appendix 1;

(ii)      note the Common Good financial performance to the end of Quarter 3 as detailed in Appendix 3;

(iii)      note that the General Fund full year forecast position remains on track to achieve a full year outturn of ‘on budget’, and subject to any further financial shocks being experienced in the final quarter. Continuing action, as outlined in Appendix 2 will remain in place for the financial year;

(iv)     note that the Council maintains financial resilience with the resources available on the Council Balance Sheet, the General Fund Reserves in particular. As at 31 March 2023 the uncommitted value of those reserves was £12m, the minimum that the Council Reserves Statement recommends and as approved by the Council.

(v)      note that the HRA full year forecast position, as detailed in Appendix 2, is on target to achieve the approved budget, but continues to face challenging cost pressures as outlined in previous quarters and the 2024/25 HRA budget report, presented to Council in December 2023;

(vi)     note that the Council relies on the Integration Joint Board (IJB) achieving a balanced budget, and that the IJB retains reserves to mitigate unplanned additional costs arising during the year, the Chief Officer – Finance has received assurance that the IJB will achieve a balanced budget for 2023/24;

(vii)     note that the forecast for General Fund Capital budget continues to reflect the previously reported position, that spending it will be lower than its revised budget and Housing Capital expenditure while closer to budget is also expected to be lower than budgeted in 2023/24 as described in Appendix 2;

(viii)    note that the non-teaching staff pay award has now been agreed and was paid to staff in December. The budgets, actuals, and forecasts in Appendices 1 and 2 now include the pay award figures. The final pay award has relied on additional funding from Scottish Government of £3.5m, and a further contribution from the Council of £1.2m, £0.88m of which will be funded by reserves in 2023/24 and refunded by Scottish Government in 2024/25.

(ix)     note the transactions and approve the write off of debt as noted in exempt Appendix 5;

(x)      approve, as per the exempt Appendix 6, the extension of a bank guarantee to Transition Extreme for a further 12 months, until 31 March 2025, to a revised value of £125,000. Note the expectation that plans beyond April 2025 will enable the removal of this guarantee and instruct the Chief Officer – Finance to review the position during 2024/25 and provide an update in the 2024/25 Quarter 3 Financial Performance report;

(xi)     to acknowledge that in May 2022 Aberdeen City Council provided a loan in relation to Units C and E at Marischal Square 1, which was approved and authorised using delegated powers and funded through the Marischal Square Development Account; and

(xii)     to instruct Internal  ...  view the full decision text for item 7

The Committee had before it a report by the Director of Resources which provided the financial position of the Council as at Quarter 3 (31 December 2023) and the full year forecast position for the financial year 2023/24, including:-

·       General Fund and Housing Revenue Account (HRA) and capital accounts; and associated Balance Sheet; and

·       Common Good revenue account and Balance Sheet

The report recommended:-

that the Committee –

(a)      note the cash position that has been achieved for the General Fund and HRA to the end of Quarter 3 as detailed in Appendix 1;

(b)      note the Common Good financial performance to the end of Quarter 3 as detailed in Appendix 3;

(c)      note that the General Fund full year forecast position remains on track to achieve a full year outturn of ‘on budget’, and subject to any further financial shocks being experienced in the final quarter. Continuing action, as outlined in Appendix 2 will remain in place for the financial year;

(d)      note that the Council maintains financial resilience with the resources available on the Council Balance Sheet, the General Fund Reserves in particular. As at 31 March 2023 the uncommitted value of those reserves was £12m, the minimum that the Council Reserves Statement recommends and as approved by the Council.

(e)      note that the HRA full year forecast position, as detailed in Appendix 2, is on target to achieve the approved budget, but continues to face challenging cost pressures as outlined in previous quarters and the 2024/25 HRA budget report, presented to Council in December 2023;

(f)       note that the Council relies on the Integration Joint Board (IJB) achieving a balanced budget, and that the IJB retains reserves to mitigate unplanned additional costs arising during the year, the Chief Officer – Finance has received assurance that the IJB will achieve a balanced budget for 2023/24;

(g)      note that the forecast for General Fund Capital budget continues to reflect the previously reported position, that spending it will be lower than its revised budget and Housing Capital expenditure while closer to budget is also expected to be lower than budgeted in 2023/24 as described in Appendix 2;

(h)      note that the non-teaching staff pay award has now been agreed and was paid to staff in December. The budgets, actuals, and forecasts in Appendices 1 and 2 now include the pay award figures. The final pay award has relied on additional funding from Scottish Government of £3.5m, and a further contribution from the Council of £1.2m, £0.88m of which will be funded by reserves in 2023/24 and refunded by Scottish Government in 2024/25.

(i)       note the transactions and approve the write off of debt as noted in exempt Appendix 5; and

(j)       approve, as per the exempt Appendix 6, the extension of a bank guarantee to Transition Extreme for a further 12 months, until 31 March 2025, to a revised value of £125,000. Note the expectation that plans beyond April 2025 will enable the removal of this guarantee and  ...  view the full minutes text for item 7