Overview and Scrutiny Committee - Thursday, 30th January, 2025 7.00 pm - Agenda and minutes

To confirm the Minutes of the Meeting held on 12th December, 2024 (copy attached).

The minutes of the meetings held on 12th December, 2024 were agreed as a correct record.

To receive an update on the current position of the Financial Recovery Plan and the operational arrangements of the Financial Recovery Working Group from the Leader, Cllr Gareth Williams, and Executive Head of Finance, Peter Vickers.

The Committee welcomed, the Leader of the Council, Cllr Gareth Williams, who was in attendance with the Executive Head of Finance, Peter Vickers, to provide an update on the current position with the Financial Recovery Plan and the operational arrangements of the Financial Recovery Working Group.

The Committee received a presentation which set out the background to the Financial Recovery Plan with a summary of its aims and targets, and the makeup, working and reporting arrangements of the Financial Recovery Working Group (FRWG). The presentation also set out what had been achieved and the current position.

Members discussed the presentation and raised the following matters:

·         Terms of Reference – Clarity was requested on what was meant by “To oversee the delivery of the Financial Recovery Plan…” and the definition of “oversee”, as set out in the Terms of Reference (ToR). The opposition questioned whether the operation of the FRWG reflected the ToR and stated that they believed there was an issue with the operation not meeting the ToR. It was noted that it was important to understand if Members attended the FRWG as observers or to influence the work. In response, the Leader advised that opinions would differ on the level of oversight undertaken and whether the FRWG went into enough detail when overseeing, however, it was important to go with the majority opinion when carrying out the work.

·         Lines of enquiry – The Committee were advised that around 40 lines of enquiry had been identified, eight had been closed down as would not contribute to savings at this time, 11 larger value items had been assessed and built into the budget, five had been held over to be considered as part of wider service reviews and 17 had been identified as being of smaller value and would be progressed to contribute to future savings. The FRWG had overseen this process, and it was noted that some savings had been achieved.

·         Progress to date – The Committee reviewed the progress to date on increasing financial capacity. A number of actions had been completed or were underway, these included:

o   A definition of the Minimum Revenue Position, which had been included in the Medium-Term Financial Strategy (MTFS) and Treasury Management Strategy

o   Revision of a regular timetable for financial reporting and budget setting and review, including a monthly review process of the Council’s balance sheet. Alongside these revisions, improvements had been made to the quality of working papers, documents, and reconciliations through the establishment of new standards for these materials

o   Reviews of treasury operations, capital planning methodology and the management of insurance

o   Spending controls – “No Purchase Order No Spend” and controls on procurement card expenditure

o   Development of financial skills within the Council and a design and consultation process on the structure of the Financial Service through a phased approach. It was noted that Phase 1 had covered the appointment of two senior accountants, and Phase 2 would look at aligning the work with what  ...  view the full minutes text for item 27.

To consider the Work Plan for the 2024/25 Municipal Year (copy attached).

The Committee noted the current Work Plan.

It was advised that an additional meeting had been arranged on 4th March, 2025 to undertake some pre decision scrutiny on disposals at Union Yard. Items for the meeting on 27th March would be agreed at the next Progress Group on 6th March.