Report of the Deputy Chief Executive and City Treasurer attached

The Executive considered a report of the Deputy Chief Executive and  City Treasurer, which informed Members of requests to increase the capital programme.   The report also sought approval for those schemes that could be approved under authority delegated to the Executive and asked the Executive to recommend to Council proposals that required specific Council approval.

The proposals which required Council approval were those which were funded by the use of reserves above a cumulative total of £2 million, where the use of borrowing was required or a virement exceeded £0.5m. These included the following proposed changes:-

·                Neighbourhoods – Beswick Hub RFL. A capital budget increase of £2.577m was requested, funded by Waterfall Fund, to build a new rugby league coaching and educational facility on the existing rugby ground on land to the rear of The East Manchester Academy; and

·                ICT – EYEs Phase 2.  A capital budget decrease of £1.352m was requested funded from borrowing along with a corresponding revenue budget increase of £1.352m funded from Capital Fund to further embed the EYES system and improve business processes. It would also include a full review of reporting requirements and capabilities of the system to ensure data/workflows/systems and reports were aligned, accurate and efficient, enabling more proactive reporting

The report then went on to detail the proposals that did not require Council approval which were funded by the use of external resources, use of capital receipts, use of reserves below £2million, where the proposal could be funded from existing revenue budgets or where the use of borrowing on a spend to save basis was required.  These included:-

·                Highways Services – Levenshulme Burnage Active Neighbourhood.  A capital budget increase of £3.586m was requested, funded by External Contribution to reduce traffic in the area, through interventions such as modal filters, one-way systems, and vehicle gates

·                ICT – Ransomeware Protection. A capital budget decrease of £0.383m is requested and approval of a corresponding transfer of £0.383m to the revenue budget, funded by Capital Fund, to implement a technical solution that could pro-actively detect and isolate malicious behaviour

·                ICT - VEPS RPA (Verify Earnings and Pensions Service Robotic Process Automation). A capital budget decrease of £0.047m is requested and approval of a corresponding transfer of £0.047m to the revenue budget, funded by Capital Fund to eliminate a manual process of downloading daily files from Department of Work and Pensions (DWP) and manually updating current software with information for benefits, improving efficiencies in the service.

The report highlighted that there had been increases to the programme totalling £0.599m as a result of delegated approvals since the previous report to the Executive on 17 November 2021 and if the recommendations in the report were approved the General Fund capital budget would increase by £4.381 across financial years which would also result in an increase in the prudential indicator for Capital Expenditure in corresponding years.

Approval had also been given for the following capital budget virements:-

·                £0.679 from Strategic Acquisitions budget for Site Acquisition - The Yard, Vaughan St for the purchase of land adjoining Space Studios, making way for potential future expansion and continued economic development in West Gorton.

·                £0.024 to ensure the bridge works at New Islington Marina could commence.

·                £1.5m for Traffic Free Deansgate Permanent Works utilising the Highways Improvement budget.

·                £0.451 from the Parks Development Programme for the Wythenshawe Cycling Hub project.

·                £2.174 for  Road Collapse Emergency Works across three sites funded by borrowing via the Bridges and Structures budget within Highways Services .

·                £40k for Lincoln Square Public realm - Mulberry Street from the Sustaining Key Initiatives budget

Decisions

The Executive

(1)      Recommend that the Council approve the following changes to Manchester City Council’s capital programme:

·                Neighbourhoods – Beswick Hub RFL. A capital budget increase of £2.577m is requested, funded by Waterfall Fund.

·                ICT – EYEs Phase 2. A capital budget decrease of £1.352m is requested funded from borrowing along with a corresponding revenue budget increase of £1.352m funded from Capital Fund.

(2)     Approves the following changes to the City Council’s capital programme:

·                Highways Services – Levenshulme Burnage Active Neighbourhood. A capital budget increase of £3.586m, funded by External Contribution.

·                ICT – Ransomeware Protection. A capital budget decrease of £0.383m and of a corresponding transfer of £0.383m to the revenue budget, funded by Capital Fund

·                ICT - VEPS RPA (Verify Earnings and Pensions Service Robotic Process Automation). A capital budget decrease of £0.047m and a corresponding transfer of £0.047m to the revenue budget, funded by Capital Fund

(3)      Notes the increases to the programme of £0.599m as a result of delegated approvals.

(4)      Notes the virements in the programme of £4.867m as a result of virements from approved budgets