For the Committee to consider the proposed Capital Investment and Disposal Strategy.
The Committees received a report from the Chief Finance Officer outlying the capital, investment and disposal strategy for the Council which outlined how the Council would meet the requirements of the relevant legislation, codes of practice and guidance that form the Prudential Framework, and MHCLG Guidance on Local Authority Investments.
It was noted that the 2020/21 Capital Investment and Disposal Strategy was the Council’s policy for ensuring that the following outcomes were met:
· To provide an overview of the Council’s plans for capital investments/disposals, and asset management planning.
· To set out the governance process for approval and monitoring of capital expenditure, and any related long-term liabilities.
· To show how the Council’s planned capital expenditure will be funded within the context of relevant funding limits, how any external debt will be repaid, and what the associated costs are.
· To set out the Council’s approach to commercial activities including due diligence, risk appetite and proportionality in respect of the Council’s overall resources.
· To summarise the knowledge and skills available to the Council, and whether these are considered to be commensurate with its risk appetite.
Member were reminded that the Strategy was a high-level overview of how the Council’s capital expenditure, capital financing and treasury management activity contribute to the provision of services. The Strategy provided an overview of how risks were managed, and what the implications are for future financial sustainability. The purpose of the Strategy was to set out how the Council takes capital expenditure and investment decisions in line with service objectives and properly takes account of stewardship, value for money, prudence, sustainability and affordability.
That the report be noted.