Issue - meetings

To consider a report of Director of Culture, Communities and Business Services presenting the final accounts for the financial year 2017/18.

The Board considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the final accounts for 2017/18 (Item 11 in the Minute Book).

In response to Members questions it was confirmed that the re-valuation of some Harbour Authority assets, as referred to in section 3 of the report, had been based on technical survey information supplied by Opus Engineering which had resulted in an extension to the predicted lifetime of some assets. The extension in asset lifetime had meant an adjustment to the accumulated depreciation amounts from previous years.

It was discussed that, without the recommendation to move some items of expenditure from revenue to a charge on the replacement reserve, there would be an underlying annual loss. It was noted that this would need to be reviewed in more detail for future budgets.

RESOLVED:

1.1.        That the report, the statutory accounts and management accounts are approved by the River Hamble Harbour Board.

1.2.        That the Board notes the level of the General Reserve as at 31 March 2018 of £35,294, and that the balance has reduced under the stated level of no more than 10% of the gross revenue budget, as set out in the reserves policy.

1.3.        That the Board notes that without any changes to the budget for 2018/19, the expectation is that the General Reserve will reduce to £12,294 at the end of 2018/19.

1.4.        That the Harbour Board approves that the 2018/19 budget is revised so that:

a.    Expenditure relating to patrol boat engine replacements is funded from the Asset Replacement Reserve rather than from revenue.

b.    Expenditure relating to the maintenance of public jetties and navigational safety is funded from the Asset Replacement Reserve rather than from revenue.

c.    Expenditure relating to future asset engineering surveys is funded from the Asset Replacement Reserve rather than from revenue.

d.    That the staffing budget is increased to reflect the higher pay award to staff of 2%.

To consider a report of Director of Culture, Communities and Business Services presenting the final accounts for the financial year 2017/18.

The Committee considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the final accounts for 2017/18.

Members of the Committee were grateful to the officers for presenting a comprehensive finance report.

As part of the discussion, it was confirmed that the contract for patrol boats was due for renewal within the next year and that officers were exploring options for the replacement and/or renewal of the boats.

RESOLVED:

1.1.        That this report, the statutory accounts and management accounts be noted by the River Hamble Harbour Management Committee and submitted to the River Hamble Harbour Board for approval.

1.2.        That the Committee notes the level of the General Reserve as at 31 March 2018 of £35,294, and that the balance has reduced under the stated level of no more than 10% of the gross revenue budget, as set out in the reserves policy.

1.3.        That the Committee notes that, without any changes to the budget for 2018/19, the expectation is that the General Reserve will reduce to £12,294 at the end of 2018/19.

1.4.        That the Committee recommends to the Harbour Board that the 2018/19 budget is revised so that:

a.    Expenditure relating to patrol boat engine replacements is funded from the Asset Replacement Reserve rather than from revenue

b.    Expenditure relating to the maintenance of public jetties and navigational safety is funded from the Asset Replacement Reserve rather than from revenue.

c.    Expenditure relating to future asset engineering surveys is funded from the Asset Replacement Reserve rather than from revenue.

d.    That the staffing budget is increased to reflect the higher pay award to staff of 2%.