Managing Budgets
102.1 Procedures
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Budget managers follow an approved certification process for all expenditure
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Income and expenditure are properly recorded and accounted for
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Each “£” of budgeted expenditure shall be allocated to a named budget manager
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The format of budget monitoring reports will be tailored to individual needs but must be comprehensive of their coverage of all budgets and clearly demonstrate effective and efficient use of resources and any efficiencies generated.
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Budgets will need to be profiled by budget holders and these reviewed in order to undertake meaningful monitoring.
102.2 Monitoring Information
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Accountancy will provide budget monitoring information based on the General Ledger to Budget holders.
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Managers will receive and review budget monitoring reports on a monthly basis.
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A Budget Monitoring Certificate, as approved by the Section 151 Officer, is signed by all Business Unit Heads and sent the Head of Resources with their summary report.
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There will be a monthly Revenue Monitoring Report to Cabinet prepared by the Head of Resources from June of each financial year until March.
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Quarterly Reports to Scrutiny & Review Panels will be prepared by Business Unit Heads.
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Budget managers are responsible for providing information regarding variations from budgets to be contained within monitoring reports.
102.3 Actions
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Pressures that cannot be contained within budgets must be immediately reported by Business Unit Heads to Directors’ Management Team and the relevant Portfolio Member for action with options for corrective action.
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Where in the opinion of the Section 151 Officer or the Business Unit Head the actual or proposed expenditure is likely to result in a budget overspend, the Business Unit Head concerned must seek a virement to offset this overspend
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Performance levels/levels of service are monitored in conjunction with the budget and necessary action is taken to align service outputs and budget.
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Where necessary the Chief Executive will nominate a Director to intervene in the operation of a Business Unit or part of it in order to address performance issues.
102.4 Timetable
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