Agenda item

The Committee had before it a report by the Chief Officer - Finance which provided the full year actual financial position of the Council against budget for the financial year 2021/22, including (1) General Fund and Housing Revenue Account revenue and capital accounts; and (2) Common Good Revenue Account and Balance Sheet.

The report recommended:-

that the Committee -

(a)           note the unaudited final outturn position for financial year 2021/22 as detailed in Appendix 1;

(b)           note that the General Fund had recorded an operational surplus of £1.310m for the year 2021/22, which had been added to the earmarked sum set aside for Covid resilience. The uncommitted General Fund reserve remained in line with the approved Reserves Policy;

(c)           note that the Housing Revenue Account had recorded a surplus of £0.500m for the year, in line with budget and increasing the uncommitted working balance for use in future years;

(d)           note that the Common Good had recorded an operating surplus of £1.620m for the year, which was better than the approved use of cash reserves. After investment valuation changes and capital receipts were included cash balances increased by £5.378m and remained in line with recommended levels;

(e)           approve the various transfers for 2021/22 between Council Reserves and Earmarked sums for the General Fund, Housing Revenue Account, Common Good and Statutory Funds as of 31 March 2022, as detailed in Appendix 1;

(f)            approve the reprofiling of the 2022/23 - 2025/26 capital programmes to take account of the year end position and that the outcome of this is incorporated into the 2022/23 Quarter 1 reporting; and

(g)           note that the unaudited Annual Accounts for 2021/22 would be presented to Audit, Risk and Scrutiny Committee on 30 June 2022, including the Annual Governance Statement and Remuneration Report for the year.

The Convener moved, seconded by Councillor Hutchison:-

That the Committee approve the recommendations contained within the report and record its thanks and gratitude to Council staff involved in ensuring the Council meets its quarterly budgetary targets throughout a particularly challenging environment in 2021/22.

Councillor Houghton moved as an amendment, seconded by Councillor Farquhar:-

          That the Committee -

(1)       approve recommendations (a), (b), (c), (e), (f) and (g);

(2)       revise recommendation (d) as follows - note that the Common Good had recorded an operating surplus of £1.620m for the year, which was better than the approved use of cash reserves. After investment valuation changes and capital receipts were included, cash balances increased by £5.378m and remained in line with recommended levels. Welcome that the Common Good cash balances had increased by £32.747m over the life of the previous Council Administration (2010-2022);

(3)       agree to award Sport Aberdeen £100,000 in support of provision for swimming related activities from the Common Good Fund;

(4)       acknowledge that the decisions made by the previous Administration to deliver a major transformation programme through the Target Operating Model had been critical to ensuring the Council, one of the lowest funded in Scotland, could meet its obligations, balance its budget and continue to deliver frontline services; and

(5)       record our thanks and gratitude to Council staff involved in ensuring the Council meets its quarterly budgetary targets throughout a particularly challenging environment in 2021/22.

On a division, there voted:-   for the motion (8) - the Convener; the Vice Convener; and Councillors Al-Samarai, Cooke, Greig, Hutchison, Nicoll and Radley;  for the amendment (5)  -  Councillors Blake, Farquhar, Grant, Houghton and Macdonald.

The Committee resolved:-

to adopt the motion.