Archived decisions

Hampshire County Council

Executive Member - Recreation and Heritage Item 2

16 November 2006

Financial and Performance Monitoring 2006/07

Report of the Director of Recreation and Heritage and

The County Treasurer

Contact: Bevis Ingram (01962) 84 7508 [email protected]

Stuart Dorward (01962) 84 6110 [email protected]

1. Summary

1.1 This report is the latest regular up-date on Recreation and Heritage progress against budget, and performance targets for 2006/07. Whilst most performance indicators are likely at least to achieve target, there remain considerable pressures on the budget, and this report recommends measures to ensure a balanced budget at the end of the financial year.

2. Financial position 2006/07

2.1 The September report indicated pressures of £561,000 and the position has marginally improved: it is estimated that, with no remedial action by management, there would be an overspend of £501,000. However, £45,000 of this relates to Milestones Museum and half of that sum would be due from Basingstoke and Deane Borough Council. The total residual overspend against the Recreation and Heritage budget after taking into account the money due from Basingstoke and Deane would be £479,000. The position is summarised in Appendix 1 and greater service detail is shown in Appendix 2.

2.2 Previous reports have stated that, if necessary, the Book Fund would be used as a last resort to balance the budget. At this stage in the financial year it would be prudent to plan on the basis of holding back £250,000. This is considered to be the maximum amount that could be held back, on a one-off basis, without a disproportionate impact on the library service. If the financial position improves in the course of the year, then this hold-back can be released as appropriate.

2.3 There remain pressures of almost £230,000 on the budget, and this has been allocated as a saving target amongst other Recreation and Heritage services. When the revised budget is prepared, this sum will be transferred from those services to the library service. In allocating these savings to services, budgets which are fully, or almost entirely, committed have been disregarded (e.g. grants and rates budgets). The reductions amount to some 2.4% of the affected budgets: as they are being applied half-way through the financial year, they equate to approximately 5%.

2.4 The service allocations are:-

£'000

Marketing, Tourism & Design 13.8

Countryside Service 89.0

Sport, Community & Outdoor Services 31.4

Arts Service 22.2

Museums & Archives 73.6

_____

230.0

Managers will have discretion as to how they achieve these challenging targets. A small contingency continues to be held in the Policy Fund.

3. Performance Monitoring 2006/07

3.1 The position against the regularly reported performance indicators is shown in Appendix 3. This includes a projected year-end position which does not take into account seasonal factors.

3.2 Most performance indicators remain on course to achieve or exceed target levels. The key exception is the number of library visits per 1,000 population. This is currently based on counts in sample libraries only. Whilst this suggests that performance may fall some 4% short of target, this represents an improvement on the position for the first quarter of the year.

4. Impact Assessment

4.1 In completing this report, account has been taken of the Corporate Equalities and Race Scheme, and of the Department's service impact assessments.

Recommendations

i. That the financial and performance positions be noted.

ii. That the approach to achieving a balanced budget be endorsed.

Links to Corporate Strategy

Yes No

Hampshire safer and more secure for all _

Maximising well-being _

Enhancing our quality of place _

Section 100 D - Local Government Act 1972 - background documents

The following documents discuss facts or matters on which this report, or an important part of it, is based and have been replied upon to a material extent in the preparation of this report.

NB: the list excludes:

1. Published works

2. Documents which disclose exempt for confidential information as defined in the Act.

TITLE

None


	RECREATION & HERITAGE			APPENDIX 1

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006


		(1)
2005/06		2006/07	2006/07	2006/07	2006/07
0		Revised	Actual to	Forecast	Forecast
Actual	Division of Service	Budget	end SEPT	Outturn	Variance
£' 000		£' 000	£' 000	£' 000	£' 000

1,166	Archives	1,194	579	1,196	2
16,706	Libraries	16,951	7,635	17,371	420
2,242	Museums Main Service	2,348	602	2,356	8
285	Milestones	304	154	349	45
619	Tourism Marketing and Design	599	279	599	0
2,000	Arts	2,070	1,108	2,080	10
4,535	Countryside	4,575	1,294	4,585	10
1,662	Sport, Community and Outdoor Services	2,007	866	2,012	5
153	Calshot	202	-553	202	0
441	Policy Development Initiatives	719	278	699	-20
642	Director & Business Development	696	338	717	21


30,451	Total	31,665	12,580	32,166	501


	RECREATION & HERITAGE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	ARCHIVES		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

914	Employees	958	459	958	0
194	Premises	192	109	192	0
3	Transport	3	1	3	0
118	Supplies and services	114	80	114	0
16	Central support services	15	0	17	2
1,245		1,282	649	1,284	2
79	Less income(fees and charges)	88	70	88	0

1,166	Net Current Expenditure	1,194	579	1,196	2


	RECREATION & HERITAGE					APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06			2006/07	2006/07		2006/07	2006/07
	LIBRARIES			Actual to		Forecast	Forecast
Actual			Cash Limit	end SEPT		Outturn	Variance
				2006
£' 000			£' 000	£' 000		£' 000	£' 000

12,348	Employees		12,994	6,274		12,685	-309
1,751	Premises		1,644	979		1,796	152
580	Transport		564	260		578	14
2,214	Supplies and services		2,204	778		2,328	124
2,384	Books		2,405	1,141		2,415	10
193	Central support services		191	0		218	27
19,470			20,002	9,432		20,020	18
1,011	Less recharges to Schools for service level agreements		1,050	1,042		1,042	8
18,459			18,952	8,390		18,978	26
1,753	Less income (fines,fees etc)		2,001	755		1,607	394

16,706	Net Current Expenditure		16,951	7,635		17,371	420






	COMMENTS

	Employees
	Vacancy Management.

	Premises
	Contract cleaning costs higher than anticipated.


	Transport
	Higher Fuel costs

	Supplies & Services
	Increased costs of service provision

	Income
	Lower fines and video income
	RECREATION & HERITAGE COMMITTEE				APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07		2006/07	2006/07		2006/07
	MUSEUMS MAIN SERVICE
				Actual to	Forecast		Forecast
Actual		Cash Limit		end SEPT	Outturn		Variance
				2006
£' 000		£' 000		£' 000	£' 000		£' 000

2,612	Employees	2,797		1,460	2,788		-9
266	Premises	237		80	237		0
92	Transport	85		45	94		9
1,831	Supplies and services	2,212		510	2,190		-22
78	Central support services	77		0	85		8
4,879		5,408		2,095	5,394		-14
0	Add recharges	0		0	0		0
4,879		5,408		2,095	5,394		-14
2,637	Less income (JMC contributions etc)	3,060		1,493	3,038		22

2,242	Net Current Expenditure	2,348		602	2,356		8







	COMMENTS

	The Main Museums Service figures now include budgeted hub expenditure and income
	of £1,932,000. Actuals to date are £481,000 expenditure and £1,341,000 income.

	Transport
	Usage on public transport and car allowances high. Overspend predicted.
	Mangement action being taken to reduce.


	Supplies & Services
	Saving to be taken from Maj Acq Fund. Expenditure now frozen for 2006/07.

	Income
	Additional grants (above base) secured.


	RECREATION & HERITAGE COMMITTEE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	MILESTONES		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance

		£' 000	£' 000	£' 000	£' 000

377	Employees	382	194	390	8
297	Premises	290	82	302	12
4	Transport	5	1	5
323	Supplies and services	375	78	338	-37
	Savings to be achieved	-45			45
1,001		1,007	355	1,035	28
241	Less Basingstoke contribution	178		178
760		829	355	857	28
475	Less income	525	201	508	17

285	Net Current Expenditure	304	154	349	45







	COMMENTS

	Premises
	Pressures on utility costs, likely to result in overspend.

	Supplies & Services
	Cost of sales anticipated to be lower than budget. Underspend on Design time purchase.

	Income
	Slightly behind expectations, a good August has partially recovered the situation.
	Shop sales doing well, so income expectation increased.


	RECREATION & HERITAGE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	TOURISM MARKETING AND DESIGN		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

387	Employees	407	205	407	0
0	Premises	0	0	0	0
10	Transport	8	5	8	0
387	Supplies and services	228	78	228	0
0	Central support services	0	0	0	0
784		643	288	643	0
165	Less income	44	9	44	0

619	Net Current Expenditure	599	279	599	0


	RECREATION & HERITAGE COMMITTEE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006



2005/06		2006/07	2006/07	2006/07	2006/07
	ARTS		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

903	Employees	937	443	937	0
76	Premises	71	35	76	5
16	Transport	17	6	17	0
1,758	Supplies and services	1,736	1,184	1,736	0
49	Central support services	48	0	53	5
2,802		2,809	1,668	2,819	10
802	Less income(fees and charges)	739	560	739	0

2,000	Net Current Expenditure	2,070	1,108	2,080	10


	RECREATION & HERITAGE COMMITTEE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006



2005/06		2006/07	2006/07	2006/07	2006/07
	COUNTRYSIDE		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
£' 000		£' 000	£' 000	£' 000	£' 000

3,243	Employees	3,568	1,653	3,512	-56
469	Premises	258	87	305	47
368	Transport	340	143	358	18
1,600	Supplies and services	1,323	204	1,357	34
97	Central support services	96	0	106	10
5,777		5,585	2,087	5,638	53
1,242	Less income	1,010	793	1,053	-43

4,535	Net Current Expenditure	4,575	1,294	4,585	10


	COMMENTS

	Employees
	Staff vacancies

	Premises, Supplies and Services
	Additional expenditure funded by income and staff vacancy savings

	Income
	Unbudgeted income, in the form of grants and contributions,
	funding additional spending on premises and supplies and services costs


	RECREATION & HERITAGE COMMITTEE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006



2005/06	SPORT, COMMUNITY &	2006/07	2006/07	2006/07	2006/07
	OUTDOOR SERVICES	Cash Limit	Actual to	Forecast	Forecast
Actual			end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

1,384	Employees	1,125	718	1,503	378
73	Premises	37	45	83	46
99	Transport	69	51	103	34
1,260	Supplies and services	1,117	896	1,711	594
48	Central support services	48	0	53	5
2,864		2,396	1,710	3,453	1,057
1,202	Less income(fees and charges)	389	844	1,441	-1,052

1,662	Net Current Expenditure	2,007	866	2,012	5

	COMMENTS

	For first time active sports included in figures. Neutral impact on bottom line.


	RECREATION & HERITAGE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	CALSHOT		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

1,389	Employees	1,468	759	1,468	0
322	Premises	321	176	321	0
55	Transport	53	24	53	0
485	Supplies and services	452	193	452	0
0	Central support services	0	0	0	0
2,251		2,294	1,152	2,294	0
2,098	Less income	2,092	1,705	2,092	0

153	Net Current Expenditure	202	-553	202	0


	COMMENTS

	Income
	Actuals include fees in advance for 2007/08


	BUDGET MONITORING REPORT 2006/07			APPENDIX 2

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	POLICY DEVELOPMENT		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

441	)Expanding the user base	755	336	735	-20
	)Innovation & service quality
	)Market Development
	)Staff Development

441		755	336	735	-20
0	Less income (fees and charges)	36	58	36	0

441	Net Current Expenditure	719	278	699	-20


	RECREATION & HERITAGE			APPENDIX 2

	BUDGET MONITORING REPORT 2006/07

	POSITION AT END SEPTEMBER 2006





2005/06		2006/07	2006/07	2006/07	2006/07
	DIRECTOR AND BUSINESS DEVELOPMENT		Actual to	Forecast	Forecast
Actual		Cash Limit	end SEPT	Outturn	Variance
			2006
		£' 000	£' 000	£' 000	£' 000

564	Employees	582	288	592	10
1	Premises	1	0	1	0
17	Transport	15	9	16	1
71	Supplies and services	98	41	108	10
0	Central support services	0	0	0	0
653		696	338	717	21
11	Less income (fees and charges)	0	0	0	0

642	Net Current Expenditure	696	338	717	21

Recreation and Heritage Appendix 3

Performance Monitoring 2006/07

	2005/06	2006/07	2006/07	2006/07
	Year End e' = estimate	Target	April-September half e' = estimate	Projection for year (not seasonally adjusted)	On Target
Libraries
Aggregate opening hours per week per 1,000 popⁿ	90	91	90.1	90.1	_
Visits per 1,000 population	5,536	5,673	See para 3.2		_
Museums
Visits per 1,000 population (in person)	323	329	213	426	>
Number of pupils visiting in organised groups	31,080	31,702	11,477	22,954	_
Archives
Visits to/usages of Hampshire Record Office	33,541	31,000	15,287	30,574	_
Countryside
Number of visits to principal sites: Sites previously reported Sites where counting equipment recently installed	1.096m N/A	1.03m N/A	540,000 205,000	1.08m 510,000	_
Outdoor Centre
Number of users	47,350 e'	47,500	37,900	50,000	>
Arts Centres
Number of users	110,450	110,000	43,000	110,000	_

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