Issue - meetings

The Charter Trustees of Bournemouth have underspent against their budget by £17,357. The use of reserves to support the budget was £6,288 rather than the budgeted £23,645. This gives a total reserve carried forward of £97,289 as at March 2025.

The Responsible Financial Officer (RFO) introduced the report, highlighting that Trustees had underspent against their budget by £17,357. The use of reserves to support the budget was £6,288 rather than the budgeted £23,645, giving a total reserve carried forward of £97,289 as at March 2025.

The AGAR, set out n Appendix B, was submitted for Trustees approval and progression to public inspection and audit.

It was recommended that Trustees approve the proposed amendment to the Financial Regulations to increase the £100 threshold for procuring 3 quotes, to allow for greater flexibility and reduce administrative time for officers in line with the audit recommendation.

Trustees sought clarity on why reserves were so high. The RFO elaborated on the answer given in agenda item 6, and referred to a historic underspend due to a lack of engagements held during the Covid-19 pandemic.

The RFO noted that Trustees had no agreed strategy for the use of reserves and suggested that the matter should be referred to the Civic Working Group (CWG) to review. Trustees were encouraged to submit suggestions for the use of reserves in line with the Charter Trustee remit. The Chair of the CWG, Councillor Lawrence Williams, agreed that the matter would be considered a the next CWG meeting.

Trustees queried whether the precept could be removed.

The RFO confirmed that the precept could be removed, but highlighted that to do so could result in a higher impact on resident bills in the following years.

Trustees queried whether reserves could be used to support an event to mark the 30 year anniversary of the Srebrenica massacre. Trustees were advised that such a use fell outside of the Charter Trustees remit.

RESOLVED: that Trustees

1. Note the Outturn position for 2024/25 set out in appendix A;
2. Approve Annual Governance and Accountability Return (AGAR) 2024/25 found in appendix B; and
3. Approve the change to the financial regulations to allow the requirement for a competitive review to be increased from £100 to £500 on purchases set out in paragraphs 9-10.

Voting: Unanimous.