Agenda item

A report was presented by Gill Kilpatrick, County Treasurer, setting out proposals in respect of the Capital Investment Strategy for 2011/12 – 2014/15 which included additional capital resources for investment in key priorities for 2011/12 – 2013/14 and an indicative programme for 2014/15.

The proposals set out would result in a total capital investment of £442.2m during 2011/12 – 2014/15 and the level of over programming of £12.7m in the first three years was important in terms of preventing excessive levels of slippage.

Resolved: - That Cabinet:

(i)  Welcomes and endorses the Capital Investment Strategy set out in the report now presented, and endorses the approach of setting a firm three year programme with an indicative fourth year given the financial uncertainties around longer term planning.

(ii)  Welcomes the total capital investment in Lancashire of £442.2m which will be delivered through the capital investment strategy over the next four years. This will deliver key priorities which support the growth of Lancashire's economy in particular through maintaining and improving transport infrastructure and the delivery of the County Council's economic framework.

(iii)  Agrees to maintain the policy of passporting resources allocated for schools and transport to those services.

(iv)  Authorises the County Treasurer to make any final adjustments to the programme in relation to the phasing of expenditure prior to the programme being submitted to the Full Council.

(v)  Recommends the strategy set out in the report which will bring additional capital investment of £218.498m over the next four years to Lancashire. The strategy and its annexes are recommended to the Full Council on 17 February 2011, as adjusted in Annex 1 to these resolutions to reflect the final Local Government Finance Settlement.

(vi)  Instructs the County Treasurer to identify means of ensuring that the forecast resource gap in relation to the indicative 2014/15 programme can be bridged.

(vii)  Agrees to the level of over programming within the firm programme being set at a maximum of £12.7m, on the basis that this is kept under review with a view to being reduced over the life of the programme in order to maintain affordability.

(viii)  Notes the commitments from earlier years schemes flowing in to the 2011/12 to 2014/15 programme which will invest a total of £223.7m.

(ix)  Recommends to the Full Council the Minimum Revenue Provision Statement set out in the report.