Agenda item

The Committee considered the 2017/18 Revenue and Capital Budget Monitoring reports for the Housing, Regeneration, Planning and Leisure and Recreation Services for the period up to the 30^th June, 2017. It was noted that the revenue budget was forecasting a £376k overspend, the capital budget a £15,727k underspend, whilst the Housing Revenue Account was forecasting a £226k underspend.

The following issues were raised during consideration of the report:-

·        In response to a question on the projected £442k income shortfall in the Development Management Division, the Head of Planning reminded the Committee of her earlier comments on the increase in planning applications received for the first quarter of 2017/18 compared to the previous year and on a number of large planning applications anticipated to be submitted to the authority in the near future which would have a positive effect on income generation levels.

·        In response to a question on the 2018/19 budget for leisure services, the Head of Leisure advised that preparatory work was continuing thereon and any budgetary proposals for the future provision of leisure facilities countywide would form part of that report for the council’s consideration.

·        In response to a question relating to the £26k underspend on homelessness, the Head of Housing and Public Protection apprised the Committee of the authority’s revised approach to homelessness introduced several years previously and the switch in emphasis from a re-active to prevention service delivery. That change had, via the utilisation of both the Council’s and the private rented sectors housing stock, resulted in a reduction in emergency bed and breakfast placements from 50 per week to approximately four per quarter together with a reduction in the emergency bed and breakfast budget from £600k to £10k over the past ten years.

·        Reference was made to recent press coverage on the possibility of Neath Port Talbot County Borough Council not signing up as a partner in the City Deal. Clarification was sought on the potential impact that could have upon the Deal’s future viability particularly, any proposed schemes for Carmarthenshire e.g. Delta Lakes.

The Economic Development Manager advised that the recent press article referred to Neath Port Talbot not being in a position, at the present time, to sign off the Joint Governance arrangements for the City Deal. Discussion on those arrangements were ongoing and hopefully, should be finalised by the end of the year.

·        Reference was made to the projected £331k overspend on planned maintenance works for the public housing stock being partly attributable to a higher level of boiler break downs and replacements. Clarification was sought on whether a particular problem had been identified with the boilers.

The Head of Housing and Public Protection confirmed whilst no specific problem had been identified, the unusual level of breakdowns may purely be attributable to normal wear and tear arising from a housing stock in excess of 9,000 properties. However, the Environment Department was examining the profiling of boiler breakdowns and to whether their replacement should be cyclical or as failures occurred. It was anticipated a report on revised budgetary arrangements with regard thereto would be submitted to the Committee in the New Year as part of the budgetary process

·        The Head of Housing in response to a question on rent arrears confirmed the authority did make provision to write off former tenant rent arrears where recovery procedures had failed to recover the debt or it was no longer economically viable to pursue. However, existing tenant debt was not written off and every effort was made to work with the tenants to settle/reduce any debt.

He also referred to the recent benefit changes introduced by the U.K. Government via Universal Credit and advised that the Authority had increased the debt provision within its business plan from £300-£500k to address the anticipated increase in arrears which could arise from those changes. The introduction of Universal Credit within Carmarthenshire had seen the average level of debt/arrears incurred by tenants amounted to £700 compared to the previous £200. He advised that as it was anticipated the full roll-out of Universal Credit could have a major impact on the Housing Business Plan, officers were currently endeavouring to identify measures to mitigate that impact. Those could include requesting rent payments to be made direct to the Authority. However that request could only be made after the tenant had been on the new system for two months. That position could be further compounded by the fact new applicants for universal credit would have to wait a period of six weeks before receiving any payments.

UNANIMOUSLY RESOLVED that the Revenue and Capital Budget Monitoring report 2017/18 be received.