16 JAC/19/24 ANNUAL TREASURY MANAGEMENT REPORT 2019/20 PDF 147 KB
At its meeting on 11 August 2020, the Joint Audit and Standards Committee considered Paper JAC/19/24 – Annual Treasury Management Report 2019/20.
The recommendations set out in the report were accepted.
It was RECOMMENDED TO COUNCIL:
1) That the Treasury Management activity for the year 2019/20 be noted. Further, that it be noted that performance was in line with the Prudential Indicators set for 2019/20.
2) That it be noted that Mid Suffolk District Council treasury management activity for 2019/20 was in accordance with the approved Treasury Management Strategy, and that, except for one occasion when the Council exceeded its daily bank account limit with Lloyds by £129k, as mentioned in Appendix C, paragraph 4.6, the Council has complied with all the Treasury Management Indicators for this period.
Note – It is a requirement of the legislation that the Annual Treasury Management Report is submitted to the Full Council for noting.
Additional documents:
Minutes:
16.1a Councillor Muller introduced Paper JAC/19/24 Annual Treasury Management Report 2019/20, which provided details of the performance and effects of decisions taken during the 2019/20 period. He provided a brief summary of the details in the report.
16.2a Councillor Muller MOVED Recommendations 3.1, 3.2 and 3.3 in the report. This was SECONDED by Councillor Whitehead.
16.3a Councillor Eburne queried Appendix B of the report, page 55, bullet point 1.1, the changes to the Public Works Loan Board (PWLB) interest rates and how this would affect any plans the Council has, Appendix C, page 60, bullet point 2.8 regarding the use of the equity in CIFCO, and Appendix C, page 60, bullet point 2.9 whether the investment income referred to was a net figure.
16.4a The Assistant Director for Corporate Resources confirmed that the increase in interest rates from the PWLB would only impact future borrowing from the PWLB and not existing loans. Councillor Eburne further queried whether the Council had any current plans to borrow any additional funds. It was confirmed that there were no current plans in place.
16.5a The Corporate Manager for Finance and Commissioning and Procurement provided clarification with regards to CIFCO that 10% of each purchase was attributable to equity.
16.7a With regard to the investment income in Appendix C the Corporate Manager for Finance and Commissioning and Procurement confirmed that this was a gross figure.
16.8a Councillor Otton requested an explanation regarding the Council’s bank account being exceeded and enquired whether any penalties had been incurred.
16.9a The Assistant Director for Corporate Resources advised that this transaction related to a CIL payment and that no penalties were incurred.
16.10a In response to a query from Councillor Field regarding interest received from CIFCO, the Assistant Director advised that this figure related to interest on figures loaned to CIFCO from the Council.
16.11a Councillor Matthissen commented on the risks involved with investing in CIFCO, and the existing investments in Companies using fossil fuels.
16.12a Councillor Eburne felt that more clarity was needed with regard to reporting of matters relating to CIFCO. The Assistant Director for Corporate Resources advised that this would be taken into consideration when preparing the next report.
16.13a Councillor Richardson thanked the Officers involved in producing the report, and Councillor Muller for his comprehensive introduction.
By 17 votes for to 16, and 1 abstention.
It was RESOLVED:-
1.1 That the Treasury Management activity for the year 2019/20 be noted. Further, that it be noted that performance was in line with the Prudential Indicators set for 2019/20.
1.2 That it be noted that Mid Suffolk District Council Treasury Management activity for 2019/20 was in accordance with the approved Treasury Management Strategy, and that, except for one occasion when the Council exceeded its daily bank account limit with Lloyds by 2129k, as mentioned in Appendix C, paragraph 4.6 of the report, the Council had complied with all the Treasury Management Indicators for this period.
15 JAC/19/24 ANNUAL TREASURY MANAGEMENT REPORT 2019/20 PDF 147 KB
At its meeting on 11 August 2020, the Joint Audit and Standards Committee considered Paper JAC/19/24 – Annual Treasury Management Report 2019/20.
The recommendations set out in the report were accepted.
It was RECOMMENDED TO COUNCIL:
1) That the Treasury Management activity for the year 2019/20 be noted. Further, that it be noted that performance was in line with the Prudential Indicators set for 2019/20.
2) That it be noted that Babergh District Council treasury management activity for 2019/20 was in accordance with the approved Treasury Management Strategy, and that the Council has complied with all the Treasury Management Indicators for this period.
Note – It is a requirement of the legislation that the Annual Treasury Management Report is submitted to the Full Council for noting.
Additional documents:
Minutes:
15a.2 Councillor Hurren commented on the financial implications that the Covid-19 Pandemic has had and provided details of the Council’s investments, which was listed in Appendix C of the report.
15a.3 Councillor Hurren then provided details of the Councils investments which were listed in Appendix C of the report.
15a.4 Councillor Hurren MOVED recommendations 3.1 and 3.2 in the report.
Note: The meeting adjourned between 7:05pm and 7:15pm.
15a.5 The recommendations in the report were SECONDED by Councillor Ward.
15a.6 Councillor McCraw commented that the report had received proper consideration from the Joint Audit and Standards Committee.
By a unanimous vote.
It was RESOLVED: -
1.1 That the Treasury Management activity for the year 2019/20 be noted. Further, that it be noted that performance was in line with the Prudential Indicators set for 2019/20.
1.2 That it be noted that Babergh District Council treasury management activity for 2019/20 was in accordance with the approved Treasury Management Strategy, and that the Council had complied with all the Treasury Management Indicators for this period.
Note: Councillor Dawson experienced IT Issues at 7:18pm but re-joined the meeting before the next item.
41 JAC/19/24 TREASURY MANAGEMENT OUTTURN FOR 2019/20 PDF 147 KB
Report from Corporate Manager – Financial Services
Additional documents: