Issue - meetings

To consider a report of the Directors of Corporate Resources – Corporate Services and Culture, Communities and Business Services outlining the forecast outturn for 2020/21 and the forward budget for 2021/22.

The Board considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the 2020/21 forecast outturn and the 2021/22 forward budget for the Harbour Authority.

The Board noted the projected revenue surplus figure for the current year of £90,000 of which £35,000 would be transferred to the Asset Replacement Reserve (ARR) with the balance being added to the General Reserve. It was noted that there was expected to be a minimal impact as a result of Covid on the outturn. The Board approved the proposed 21/22 forward budget, noting the planned £62,000 surplus, which would again allow the full ARR contribution to be made with a further addition to the General Reserve.

RESOLVED:

That the River Hamble Harbour Board:

i)             Note the projected outturn for the 2020/21 financial year.

ii)            Approve the proposed forward budget.

iii)           Note the balances held within the reserves and the improved position on the general reserve balance.

iv)           Approve the proposal to postpone the decision on the possible excess in the Revenue Reserve based on the proposed 2021/22 forward budget.

To consider a report of the Directors of Corporate Resources – Corporate Services and Culture, Communities and Business Services outlining the forecast outturn for 2020/21 and the forward budget for 2021/22.

The Committee considered the report of the Directors of Corporate Services – Corporate Resources and Culture, Communities and Business Services outlining the forecast outturn for 2020/21 and the forward budget for 2021/22.

It was noted that there was a £90,000 surplus on revenue activity which was £3,000 higher than expected, with £35,000 out towards asset replacement reserve and £50,000 towards revenue reserve. It was noted that Covid had impacted on visitor revenues though optimism was expressed that it would rise going forwards. It was noted that increased Harbour Dues had meant increased revenue, and that seasonal staff costs were different from previous years due to Covid. The Committee noted that the annual Hamble Games had been cancelled and other seasonal work had also been cancelled.

Regarding the forward budget, Members noted that it was providing for a surplus of £62,000, which would enable the £35,000 contribution to asset replacement reserve to be made and a further £27,000 added to the revenue reserve, taking that up to £82,000. No provision for Covid costs had been made in the forward budget due to the uncertainty. The proposed expenditure budget was a £34,000 increase on the current budget mainly to cover increased staffing costs resulting from pay inflation and to bring overtime costs in line with actual expenditure (although it was highlighted that the proposed budget was set before the recently announced public sector ’pay freeze’), with other increases including £5,000 for the biennial bathymetric survey.

RESOLVED:

i)             That the Budget for the 2020/21 financial year is supported by the River Hamble Harbour Management Committee and submitted to the River Hamble Harbour Board for approval.

ii)            That the projected outturn for the 2020/21 financial year is noted.

iii)           That the proposed forward budget is supported by the River Hamble Harbour Management Committee and submitted to the River Hamble Harbour Board for approval.