Archived decisions

Leases

Operating leases

Authority as lessee

Some vehicles, items of equipment and property are financed under operational

leases. The annual sum payable for leased vehicles and items of equipment

is £5.9m (£3.8m in 2006/07). For property it is £2.6m (£3.2m in 2006/07).

The amount paid in 2007/08 is shown below. The amount payable in 2008/09 is also

shown together with an analysis of the year of expiry.

Paid

Payable

expires

expires in

expires

in that

second to

in over

2007/08

2008/09

year

fifth year

five years

£'000

Other land and

2,611

3,222

586

686

1,950

buildings

Vehicles, plant and

3,252

2,525

562

1,549

414

equipment

5,863

5,747

1148

2,235

2,364

Future obligations under operational leases payable in 2007/08 and subsequent years

total £45m (£34.1m in 2006/07).

Authority as lessor

The annual rent received from leased properties is £3.4m (£2.6m in 2006/07).

The value of assets held for use in operating leases is shown below:

31 March

2007

2008

£'000

Gross book value

15,901

15,662

Accumulated depreciation

-490

-899

Net book value

15,411

14,763

Under the home computer salary sacrifice scheme, in 2004/05 the County Council bought

assets to the value of £984,000 which were leased to staff. Net of repayments

in the year the deferred debtor is, £236,000 at 31 March 2008 (£569,000 at 31 March 2007).

Finance leases

At 31 March 2008 there were no outstanding obligations on finance leases.

Related-party transactions

During the year, transactions with related parties

2006/07

2007/08

arose as follows:

£'000

Central Government

Receipt of Government Grants

- Revenue

890,874

940,958

- Capital

50,358

49,733

941,232

990,691

Levy paid to the Environment Agency

403

512

The County Council administers the Hampshire Pension Fund on behalf of

its non-teaching employees, those of other local authorities in the county

area and 222 other scheduled and admitted bodies (214 in 2006/07).

The Pension Fund pools its surplus cash balances with the County Council's

to gain the benefits of scale. Interest was paid to the Pension Fund

in 2007/08 at the average monthly seven-day rate.

The County Treasurer is also the appointed Treasurer of the Hampshire

Police Authority and Hampshire Fire and Rescue Authority.

These two authorities also pool surplus cash balances with the County

Council and are paid interest at the average monthly seven-day rate.

Transactions with these related parties are shown below:

2006/07

2007/08

£'000

Pension Fund

Interest paid

4,336

2,973

Temporary investments 31 March

-60,597

-52,440

Administration charge

1,674

1,792

Hampshire Police Authority

Interest paid

1,189

725

Temporary investments 31 March

-8,168

2,120

Hampshire Fire and Rescue Authority

Interest paid

208

Temporary investments 31 March

760

5,111

There were 51 related party transactions totalling £88,000 arising from disbursements

from Members' devolved budgets. All such payments were countersigned by a

Member other than the budget-holding Member.

There were no other related-party transactions involving members or chief

officers of the Council.

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