Meetings

Nia Morgan gave a brief summary of the FMR for January. The Investment Fund surplus released from reductions and savings by services, meant that IRB had been able to approve the completion of essential repairs on the estates and ICT work in this financial year, that had previously been delayed to the following year. This meant that the next financial year’s investment fund was sufficient to enable expenditure on projects to begin. The forecast underspend for 2017-18 was back on target and within the KPI.

February was the last opportunity to adjust forecasts and Nia asked the Board to inform her of any changes or emergency spend, emphasising the need for accurate forecasting.

Nia Morgan gave a brief outline of the FMR for December, reiterating that the financial position remained highly challenging, but the Investment Fund surplus had improved as a result of an update to reported forecasts, and provided a more sensible buffer for any unknown future costs.

The Board were asked to inform Nia of any emerging changes to the forecasts or emergency spend, in advance of the meeting of the Investment and Resources Board the following week.

New spreadsheets were being introduced to facilitate more accurate budgeting and forecasting for 2018-19 and the Board were asked to consider how to make savings on budgets across Directorates to provide a contingency fund. 

Management Board were also given advance notice that work on the 2019-2020 budget would be commencing soon.

Nia Morgan gave a brief outline of the FMR for November, and gave tribute to all Service areas for their efforts in reviewing and reorganising forecast spend to release funds to allow for a safe contingency amount at this point in the year until needs become clearer. This fund would be reallocated to Service areas as necessary through the Investment and Resources Board looking at the priority and merit for prudent expenditure, and to release pressure on the next financial year.

The Llywydd had given a clear public message last night of commitment to being as economic as possible in supporting a larger Assembly. As requirements become clearer over the next few months planning for the following years would need to be done to avoid overloading next year.

ACTIONS:

·                Dave Tosh to circulate a budget planning cycle, a draft of which would be presented to Commissioners in April.

·                Heads of Service to advise Nia Morgan if any emergency expenditure was needed and to be vigilant in identifying risks or approaching pressure points.

Nia Morgan gave a brief outline of the FMR for October, reiterating that the financial position remained highly challenging, both for the rest of the financial year and the following one.

Nia Morgan presented the September Financial Management Report. The financial position for this year remained challenging so accurate financial management and forecasting was needed to deliver within budget. The Board reviewed the current variance between allocations and forecast spend within service areas and Nia would be meeting with each of the Heads of Service over the following week to discuss anticipated expenditure to year-end and verify any underspends available for the investment fund.

Paper to note

The Board discussed the August Financial Management Report, ahead of the next review taking place at the end of September. The financial position for this year remains challenging so careful and prudent financial management will be necessary to deliver within budget. The Board were asked to review the figures for their service areas to ensure they were accurate and correct.

Nia Morgan flagged that with both Finance Committee and Public Accounts Committee appearances on the horizon, the Board would be requested to provide assistance with compiling the required information.

The Board were reminded that Catharine Bray would be covering as Head of Finance whilst Lisa Bowkett was on maternity leave and that Catharine would be meeting with Management Board members individually over the coming weeks.

The Board discussed the July Financial Management Report. There were limited financial resources available for this financial year and the pressure on financial resources was likely to remain significant through 2018-19 as some costs had been deferred into next year.

Catharine Bray reiterated the need for careful management of budgets and investment plans and accuracy and regularity of forecasting. Meetings were being arranged between Finance and all Service Heads prior to the start of the new term, so that by mid-September the best possible estimates of the amount and timing of future spend could be ascertained.

ACTION:

·      Heads to ensure that their staff have all the information and skills needed to forecast accurately. Training on the new finance system, NAV, could be provided as necessary by the Finance team.

Management Board discussed the June Financial Management Report. There was continued pressure on the budget, which was expected to remain for the rest of this financial year. Nia Morgan reiterated the need for careful management of budgets and investment plans. The Investment and Resources Board (IRB) were meeting in August to focus on this year’s capacity plans, resource requirements and planned investment projects, with the aim of agreeing the absolute priorities for investment, whilst retaining some financial capacity for unexpected needs. It was agreed that an additional Management Board, ahead of IRB, would be useful to assess the relative priorities across all investment needs. These meetings would also inform further discussion with Commissioners on the detailed budget proposals going forward, priorities and timeframes.

ACTION: Heads and Directors to provide a summary position of the latest assessment for the resource requirements identified in the March capacity planning exercise, highlighting what was still essential and what has changed, if there were alternative ways of fulfilling the resource or no longer needed, risks and implications.

Nia Morgan outlined the yearend position and highlighted the need for financial managers in service areas to be mindful of trends year on year when forecasting.  She would be working with Gareth Watts to review how service areas forecast and assured the Board that the Finance team would give all support needed to assist service areas to make those judgments.

Paper to note

Claire Clancy outlined the current financial position and that the Investment and Resources Board were looking at pressures for this and the next financial year. It is the tightest year due to large scale works and additional resourcing requirements identified from the capacity planning process.

The Board were asked to ensure the Finance team were provided with accurate and up to date forecasts from their service areas and to do some early thinking on capacity plans, and early identifications of any new initiatives on the horizon.

The work on accommodating the committee structure was on track.

The Board also received the Finance reports for March and April to note. Nia Morgan advised the Board that the election costs were still within budget, pending the AMSS redundancy costs, which were not yet available.

Nicola Callow asked Heads of service to advise of any changes to the service area forecasts to enable weekly updates to be presented to the Investment and Resources Board in advance of and preparation for the financial year end.

The Board noted the management reports and commented that the dashboards were useful.