Agenda item

            (Mr. R. Cregan, Director of Finance and Resources, attended in connection with this item.)

            The Committee considered a report, which had been prepared by the Director of Finance and Resources, in respect of the estimates of revenue expenditure for the financial year 2012/2013.  A copy of that section of the report, in so far as it applied specifically to the Development Committee, is set out hereunder:

“Development Committee

A spending limit of £19,581,534 is recommended for the department in 2012/13 which represents a decrease of £134k or 0.68% on last year. The main items of expenditure are outlined in Appendix 1.

The main budgetary intentions of the Department of the next year are set out below:

The cash reduction in running departmental net expenditure has been achieved through the generation of £259k of savings as part of for the efficiency programme. This has enabled the department to absorb additional superannuation costs of £59k and the net loss of external income of £79k and still deliver a reduction in overall net expenditure of £134k. The department will also undertake an increased number of events during 2012/13 which will be funded from the reserve set aside in 2011/12.

Community Services

The amount provided for in the 2012/13 Community Services budget estimate has decreased by £45k and is based on a continuation of activity at a similar level to the previous years, with some re-focusing required in line with the newly developed service strategy and related structure. It is also based on a consistent level of anticipated income from DSD through the regional Community Support Programme. 

City Events and Venues

The City Events and Venues Unit has increased its net budget by £54k. The unit will continue to deliver the annual programme of events including the European Pipe Band Championships.  Other projects will also be delivered during 2012/13 including the World Irish Dancing Championships (£200k) which operates from the 30 March 2012 to 8 April 2012. In addition, the Titanic Belfast 2012 Festival programme and activities connected to the Olympic events are budgeted at £2.2m.  The Council’s contribution to these projects will be £1.1m, including £600k funded from reserves set aside in 2011/12.  The balance funding will be provided by NITB. 

During the year 2012/13 both the Waterfront and Ulster Halls will continue to provide world class entertainment and conference facilities that will help promote the cultural and economic regeneration of Belfast and so contribute to the economic benefit of not only the City but the region as a whole.

Economic Initiatives

The net expenditure for Economic Initiatives has reduced by £53k as a result of additional income from St Georges Market and the Continental Market respectively. Whilst the Economic Development estimate is in line with the previous year the programme of work will be substantially refocused to reflect the actions falling out of the Investment Programme 2012 - 2015.

Directorate

The Directorate budget has reduced by £90k mainly as a result of the efficiency programme. The units within directorate are currently the subject of an ongoing structural review.

Within the European Unit the Open Cities project has come to a close and this budget has been removed from the estimates.  The department has also undertaken a review of projects and have decided not to continue with some activities resulting in a reduction of £11k in the European Unit.

Recommendations

The Committee is requested to note the contents of the report and agree cash limits for the Development Committee for 2012/13 of £19,581,534.”

            The Director of Finance and Resources outlined the factors which had been taken into account in the preparation of the estimates and highlighted the savings identified which had contributed to a decrease in the Department’s expenditure of 0.68% from the previous year’s figure.  He informed the Members that, on 6th January, the Strategic Policy and Resources Committee had agreed that the cash limit for the Development Committee should be set at £19,581,534.  The Directors of Development and Finance and Resources then answered a number of questions which were put to them by the Members.

            Following further discussion, the Committee agreed that its cash limit for the financial year 2012/2013 be set at £19,581,534 and approved the allocation of resources as set out hereunder: