Agenda item

2018-19 BUDGET REPORT.

Minutes:

The Joint Committee received, for consideration, the Section 151 Officer’s report on the 2018/19 Budget.

 

The Section 151 Officer, in presenting the report, drew the Joint Committee’s attention to a letter received from the Welsh Government (circulated at the meeting) detailing the allocation of the School Improvement Grant to ERW for the period 1st March 2018 – 31st March 2019 totalling £40,971,102 which had been allocated against the 5 National Mission Priorities and incorporated within the Business Plan accordingly. Whilst that award, coupled with the Pupil Deprivation Grant of £29m equated to a total allocation of nearly £64m, the actual allocation to be received from the Welsh Government totalled £63.1m and clarification was being sought on that discrepancy. The total grant allocation was therefore in the region of £63-£64m, representing a reduction on the £71m received for 2017/18. 

 

With regard to the £250k Local Authority Contribution towards ERW’s core costs, he advised that Neath Port Talbot County Borough Council had expressed a decision to not continue with its contribution thereto for 2018/19 due to budgetary constraints and clarification would be required on that decision.

 

The Section 151 Officer, in concluding, referred to the four recommendations detailed therein and requested the withdrawal of recommendation (d) for the appointment of a finance manager pending the outcome of the review being undertaken on ERW.

 

Concern was expressed at Neath Port Talbot County Borough Council’s decision to not make its contribution to ERW’s core costs for 2018/19 in the sum of £69,650 and that clarification should be obtained on that decision and on whether that Authority wished to remain a partner within ERW, having regard to requirements of the Legal Agreement establishing ERW.

 

In response to a question on the increased cost of Service Level Agreements, the Section 151 Officer confirmed it was attributable to ERW’s previous decision that they be based on a full cost recovery basis. A suggestion was made that a full report on the SLA’s be submitted to the next meeting.

 

Reference was made to the discussion in minute 4 above on the funding formula for the allocation of Welsh Government grant to the six authorities. A suggestion was made that a report on the methodology of its allocation for 2018-19 be submitted to the next meeting.

 

AGREED:

 

5.1

That the 2017-18 projected budget outturn be noted and the 2018-19 draft budget be approved,

5.2

That the Section 151 Officer be authorised to make amendments to the budget, as necessary,  dependent upon the decisions made to review ERW’s structure

5.3

That the Local Authorities pay their contribution to ERW’s Core costs,

5.4

That recommendation (d) be withdrawn for the reason detailed in minute 4 above,

5.5

That clarification be sought from Neath Port Talbot County Borough Council on payment of its contribution towards ERW’s core costs for 2018/19 and its future intentions regarding its membership of ERW, having regard to the requirements of the Legal Agreement establishing ERW,

5.6

That a report on ERW’s Service Level Agreements be submitted to the next meeting of the Joint Committee,

5.7

The Joint Committee determine how the methodology for distribution of grants for 2018-19 is considered and approved.

 

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