Decision details

Decision

(a)       That the outturn position for 2019/20 and the impact this had on reserves be noted;

(b)       That the Senior Leadership Team’s forecast for Dorset Council’s position at the end of Quarter 1 be noted;

(c)        That the position on the capital programme be noted and the projects recommend by officers (as set out in Appendix 1 of the report) be approved;

(d)       That the key milestones lifted from the draft timetable for budget/Medium Term Financial Plan (MTFP) for 2021/22 be agreed (as set out in Appendix 2 of the report);

(e)       That the inherited and revised draft budget assumptions to allow development of the first iteration of the five-year MTFP be noted (as set out in Appendix 3 of the report);

Reason for the Decision

The Council has responsibilities to deliver against its 2019-20 Revenue Budget and 2019-20 Capital Programme and maintain adequate reserves. These recommendations and accompanying report demonstrate the Council’s performance in delivering against these responsibilities.

Cabinet need to understand the significant financial impact and consequences of the Council’s response to the Covid-19 pandemic.

Understanding the financial position at the start of the planning process is key to adopting the most appropriate assumptions in the development of the MTFP.  Agreeing an initial set of assumptions will allow officers to develop the first iteration of the MTFP and budget for 2021/22 for consideration and conduct sensitivity testing.

Governance of the financial strategy will be critical as we build the next MTFP and agreeing key milestones for the work and member review/challenge are important at this stage to ensure maximum engagement.