Invitees:

All Cabinet Members and CMB

The Interim Head of Finance and S151 Officer presented the report to Members with an update on the Councils revenue financial position as at 31 December 2019. By way of background, she explained that the on the 20 February 2019, Council approved a net revenue budget of £270.809 million for 2019-20. Table 1 showed the comparison of budget against projected outturn at 31 December 2019.  4.1.2 showed a net underspend of £798k and 4.1.3 the reason for the underspend. The Prior Year Budget Reductions were shown in 4.2.1 onwards. Table 2 showed that of the £2.342 million outstanding reductions, £1.795 million is likely to be achieved in 2019-20, leaving a shortfall of £547k. The revenue budget monitoring to 31 December 2019 was shown at Appendix 3.

A member noted that on page 58 of the report the Schools’ delegate budget showed that at Quarter 3, 46% of all schools were projecting a deficit budget and expressed concern that some schools were more resilient that others and that for some schools this may mean that pupils lose out on extra curriculum opportunities.  The Corporate Director Education and Family Support recognised that the figures tell a story with over half of our schools in deficit budget. He expressed concern that about 3 or 4 schools had severe deficits. He explained however that Brynteg has done a great job of reducing their deficit and it was expected they will break even but he noted the that is was challenging for small schools as the number of pupils relate to the budget. He confirmed that he met with all head teachers on a termly basic and explained about the financial performance and monitoring board, who go line through line of the budget. He noted additional support grants were also available.

A member asked whether older schools were disadvantaged in terms of greater expenditure in respect of maintenance, and whether they received the same amount of funding.  The Deputy Head of Finance explained that each school was funded mainly on the basis of the floor area; if schools are a similar size they get a similar amount, but the condition of the building is also taken into account, which is reflected in a condition factor weighting. It was something that was considered regularly to make it sure the funding is targeted to where it is needed, and looked at with the school budget forum to ensure funding is fair.

A member noted on page 61, the paragraph on Looked After Children and noted that it was clearly outlined why there was an overspend. He asked what was happening across Wales and whether there was any leadership coming out of Welsh Government (WG) to support the 22 authority’s to manage the procurement and if the information on good practice could be shared. The Corporate Director Social Services & Wellbeing explained that this was a much-pressured area and the council has been hugely supportive in terms of LAC and management of the budget. What the report did not show was the tremendous effort to reduce the overspend. She explained about the new model for residential services (Maple Tree House) and confirmed that there had been 16 different children through the service and 6 children in the assessment unit, who would have previous gone out of county at a cost of £4k a week. She was working with housing to develop alternatives with local providers; this was a good use of our social housing grant. In terms of nationally, Looked After Children was a priority for the First Minister and Deputy Minster who were presented with the whole story from every local authority, recently. The Looked After technical group continued to meet. Every local authority were discussing LAC reduction strategies. There were some issues around CAMNS. WG have a project looking at those as a case study. This had been talked about in corporate parenting. The member was reassured to know that this work was ongoing in WG but felt perhaps WG should market this a bit more to members. The Corporate Director Social Services & Wellbeing said she would feed this through Corporate parenting.

A member noted on Page 60 there was a backlog on the adaptations work – are we resourcing this area to the full extent it needs.  The Corporate Director Social Services & Wellbeing confirmed that there was an overspend, as we are able to help more people although noted successfully grant funding. A member suggested looking at identifying a pot to invest in spend to save which could be treated differently.

A member asked do we know how many are going through the adoption service at the moment?  The Corporate Director Social Services & Wellbeing said she would come back with the figures.

A member noted on page 55, the ‘Permitting Scheme for Road Works’ and asked how much pressure do we put on WG to get an answer back. The Chief Executive explained that it was almost embarrassing how long this had been here. His personal view was that it should be taken out of the MTFS, as the latest thinking was a national scheme. There was no particular progress.

A member raised concern about the number of ‘current staff vacancies’ indicated on page 59. The Chief Executive explained that the first thing about vacancies are they are not deliberate but are where we are struggling to fill a post.  Health & Safety was a corporate priority, but there was other ways of doing this, and noted there had been some progress on H&S. He recognised the balance between filling posts and identifying possible savings. Had the settlement not be so favourable we would be facing cuts and possibly looking at making savings. He noted an ongoing exercise identifying which posts were vacant. The Corporate Director Education & Family Support explained that Health & Safety recruitment had been difficult, particularly recruiting to the Principal post. Four vacancies had now been filled. He explained that they were working with HR to “grow our own”, but that this comes with some risk. We have quarterly meetings with Deputy Leader attending. The Schools Transport Advisory Group (STAG) provides and ensures that issues are dealt with.

A member noted on page 63, the narrative on ‘Fleet Services’ was the same as last quarter and enquired if fleet services been restructured.  The Chief Executive explained that in terms of fleet services we are confident that the restructuring and review of productivity have been carried out and is competitive as any service outside. The Deputy Leader confirmed that he had taken an interest in this and confirmed that they will be commercially viable.

A member noted the parking services underspend on Page 62 and asked if we know that the actual money is ring fenced for maintenance of the common and car park from rest bay. The Interim Head of Finance and S151 Officer confirmed that this was the total underspend for car parks and that they were shown on individual codes.  The Deputy Head of Finance confirmed that there was no underspend from rest bay.

Members wished to make the following comments and conclusions:

Members expressed concern about the potential that pupils in financial deficit schools could miss out on extra-curricular activities and that it was essential that schools had guidance and shared best practice for setting up the best management and advice for setting up Friends Groups.

Members were reassured by the update upon the work being done by the Looked After Children Technical Group and how Maple Tree House had reduced the number of Out of County Placements for Looked After Children and the associated costs. They requested the report from the Looked after Children Technical Group to the Cabinet Committee Corporate Parenting be circulated to Scrutiny Committee Members for information.

Members asked whether an Invest to Save fund could be explored for Independent Living rather than expressing this as an overspend, as the funding was upon preventative measures which reduced pressure on other service area budgets.

Members asked for the number of children going through the Adoption Service at the moment.

Members expressed concern at the number of vacant posts not being able to be filled, but welcomed the work being done on identifying the posts and whether they could recruit.

Members asked that the Health and Safety in Schools Scrutiny topic be progressed, as the Scrutiny Vacant posts had now been filled.