Issue - meetings

To consider a report of Director of Culture, Communities and Business Services presenting the final accounts for the financial year 2018/19.

The Board considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the final accounts for 2018/19.

The Board discussed the £13,000 payment to the Crown Estate for turnover rent accumulated in the last three years. It was explained that the Harbour Authority received a 10% share of the overall Crown Estate rent for collecting the dues. Some members felt that the existing process for receiving the 10% was not overly efficient. It was noted that the renewal of the Crown Estate contract was due shortly and that consideration would be given to the process for obtaining the 10% payment for future years.

RESOLVED:

      i.        That this report, the statutory accounts and management accounts be approved by the River Hamble Harbour Board.

    ii.        That the Board notes the level of the General Reserve as at 31 March 2019 of £16,170, and that the balance remains below the level of no more than 10% of the gross revenue budget, as set out in the reserves policy.

   iii.        That the Board notes that without any changes to the budget for 2019/20, the expectation is that the General Reserve will reduce to £2,170 at the end of 2019/20.

   iv.        That the Board notes the potential pressures on the 2019/20 budget based on the final position for the 2018/19 financial year.

To consider a report of the Directors of Corporate Resources – Corporate Services and Culture, Communities and Business Services presenting the final accounts for the financial year 2018/19.

The Committee considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the final accounts for 2018/19.

Members of the Committee were grateful to the officers for presenting a comprehensive finance report. In response to Members’ questions, it was heard that:

• Under section 25 of the report, the increased expenditure figure since the position reported to the Committee at the December meeting was largely due to the payment to the Crown Estate for turnover rent covering the last three financial years, but this should not be repeated going forward.
• Staffing costs were the most significant area of expenditure but that it was important to ensure appropriate levels of staffing to enable the duties of the Harbour Authority in maintaining navigational safety to be carried out effectively.
• It was anticipated, due to changes in staffing circumstances, that the higher than average levels of overtime logged for 2018/19 was not a trend that would continue for future years.

The Committee discussed the potential to enhance the existing marketing campaign for the River to encourage more visitors and generate more revenue from visitor income. It was noted, as part of the discussion, that increased visitor numbers may also require additional Harbour facilities to be developed with significant capital outlay and ongoing maintenance costs.

RESOLVED:

a)    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.

b)    That the Committee notes the level of the General Reserve as at 31 March 2019 of £16,170, and that the balance remains below the level of no more than 10% of the gross revenue budget, as set out in the reserves policy.

c)    That the Committee notes that without any changes to the budget for 2019/20, the expectation is that the General Reserve will reduce to £2,170 at the end of 2019/20.

d)    That the Committee notes the potential pressures on the 2019/20 budget based on the final position for the 2018/19 financial year.