Meeting Paper title Executive Team Date Monday 12 December 2011 November Expenditure Report Agenda item 4.0 Discussion time Purpose of paper Discussion and information 10 minutes Restrictions on public access including staff Restrictions? N If Y please give the reason for the restriction below. Presenter ET sponsor Christopher Graham As above Corporate Plan aim 8.12 managing the ICO s finances ensuring we spend wisely, responsibly and accountably. Summary There are no material problems to bring to the attention of management, and income and expenditure remains on course for a satisfactory year end outturn. Executive Team is asked to confirm the budget changes made in November (p3). Who has been consulted? Not applicable. Unclassified 1
Unclassified 2
Information Commissioner s Office FINANCE REPORT November 2011 (month 8) Overview There are no material problems to bring to the attention of management, and income and expenditure remains on course for a satisfactory year end outturn. Income Grant-in-aid provision of 4,500K has been included in the Main Estimate of the Ministry of Justice. (In resource terms the initial estimate included is Net resources of 4,586K and Capital of 850K) Three quarterly tranches of 1,125K, 75% of that available for 2011-12 has been drawn-down to date, a final tranche of 1,125 has now been planned for draw-down in January 2012. Fee income Fee income for the month was more than last year and is now ahead of target by 396K (31October2011: 400K). Processing continues to be right up to date, whereas there was a backlog at the same point last year. This means the current positive variance is expected to outturn much lower than this. Fees collected were: () October 2011 Forecast Variance Variance % Tier 1 ( 35) 1,082 1,097-15 -1% Tier 2 ( 500) 234 222 +12 +5% Total 1,316 1,319-3 0% Fees collected for the year to date were: Carryover () 2011-12 Forecast Variance Variance % Tier 1 ( 35) 8,451 8,039 +412 +5% Tier 2 ( 500) 1,928 1,943-15 -1% Total 10,379 9,982 397 +4% Forecast carry over is currently 366K (forecast maximum 456K). Draft budget for 2012-13 has assumed a carry over into next year of 450K. 1
Expenditure Unclassified 1. Contingency No amounts have been included within the budget for settlement of disputes (if any) such as legal claims or employment disputes. Summary expenditure comments Area Actual Forecast Variance Payroll 7,224 7,253-29 0% Comment The budget remains in line with expectations, the variance is in respect of overtime, which is profiled as spent evenly throughout the year, but is actually spent in line with operational pressures and priorities. There is no reason to expect the annual budget will not be spent in full. Human Resources 278 293-15 -5% Health and safety costs are running ahead of profile by 7K mainly as a result of purchasing home working solutions for NI regional office staff. Learning and development expenditure is currently 11K behind profile, but still expected to spend the full annual budget. 360degree feedback programme commences in December 2011. Conference attendance budget is under spending by 11K, and is now likely to be reduced. Facilities 852 837 +15 +2% Release of 33K retention for the Wycliffe office refurbishment has now been agreed, which now completed the refurbishment contract as budgeted. General administration: other is behind profile by 11K due to tight control on sundry items. Repairs/maintenance is 6K behind profile, benefiting from the reduction in necessary work following the refurbishment of Wycliffe House. Stationery spend is 10K below forecast partly due to IS now purchasing printer toners but also from continued efforts to drive down costs. 2
IS 1,702 2,033-331 +16% Service credits continue to be higher than anticipated, costs have been modelled through to the end of the year, and contract extension changes agreed that will enable further certainty to ensure that this budget outturns to the full year budget. Expenditure on the ICE Project is 248K compared with an expectation of 400K. Corporate affairs Legal and professional Travel and subsistence 414 739-325 -44% 261 391-130 -33% 222 255-33 -13% Notification postage continues close to forecast. Expenditure whilst profiled evenly throughout the year tends to be low in the first quarter depending on projects commissioned, completed and invoiced. It is possible that the project for a DP training DVD may not complete this year, in which case there may be a release of 100K, but working assumption is that this work is proceeding. Legal costs are lower than profiled, but these are timing differences, the current annual budget is anticipated to be spent in full. Expenditure is being closely monitored, and scrutiny continues to reduce costs for domestic travel and subsistence, and this is evidence of continuing success. Total 10,953 11,801-848 -7% Overseas travel and subsistence expenditure in line with the budget profile. Overall expenditure is on course for a satisfactory year end outturn. Budget changes for confirmation October budget Payments 19,614 Agency and Temporary Staff Adjustment Narrative +68 60K provision for 6 temporary staff in First Contact up to mid March 2012 Current forecast Change made in Nov11 8K provision for Internal Compliance work for sorting residual filing in storage Payroll +16 Revised payroll estimates following October and November outturn. Surplus to next year +366 +84 19,698 Nov11 Decision: Please note and confirm the budget changes made in November 2011. 3
YTD YTD DP FOI DP FOI CURRENT ORIGINAL OUTTURN BUDGET ACTUAL APPORTIONED APPORTIONED FORECAST BUDGET ACTUAL 2011-12 2011-12 NOVEMBER 2011 2011-12 2011-12 2010-11 5,723,230 5,725,719 4,251,121 1,474,598 Gross salaries - staff in post/offers 6,650,243 2,285,907 8,936,150 9,418,510 8,492,260 37,750 37,750 28,826 8,924 Gross salaries - NEBM's 38,467 11,908 50,375 50,000 48,000 68,333 40,795 33,668 7,126 Overtime 109,151 15,849 125,000 80,000 73,754 386,073 386,170 283,850 102,320 Employers NIC 452,349 155,273 607,622 734,570 553,684 1,037,349 1,034,046 762,695 271,351 Pensions 1,208,686 417,189 1,625,875 1,762,165 1,546,308 7,252,736 7,224,481 5,360,161 1,864,320 Payroll 8,458,897 2,886,126 11,345,022 12,045,245 10,714,006 16,667 23,469 17,921 5,548 Health and safety 19,090 5,910 25,000 25,000 31,710 83,333 72,279 55,193 17,086 Learning and development 145,085 44,915 190,000 125,000 283,260 13,333 2,235 1,707 528 Conference attendances 15,272 4,728 20,000 20,000 21,848 33,333 35,627 27,205 8,422 Staff recruitment 38,180 11,820 50,000 50,000 66,905 36,667 33,874 25,866 8,008 HR support 41,998 13,002 55,000 55,000 82,592 110,000 110,906 84,689 26,218 Agency and Temporary Staff 166,466 51,534 218,000-161,382 293,333 278,390 212,580 65,810 Human resources 426,092 131,908 558,000 275,000 647,697 500,741 488,191 382,988 105,203 Property rent and rates 920,591 264,538 1,185,129 1,235,129 1,220,388 18,000 19,381 14,432 4,950 Property maintenance charges 25,672 7,328 33,000 33,000 60,026 58,000 44,116 33,775 10,341 Property fuel and utilities 64,652 19,848 84,500 84,500 64,491 69,600 83,722 63,186 20,536 Property other (security, cleaning etc.) 80,761 23,639 104,400 104,400 133,107 0 52,466 40,064 12,403 Accommodation - fit out works - - - - 2,168,865 32,387 32,387 30,767 1,619 Accommodation - dilapidations 30,768 1,619 32,387-93,227 43,333 43,747 33,405 10,342 Postage 49,634 15,366 65,000 65,000 45,795 9,333 9,707 7,412 2,295 Document Destruction 10,690 3,310 14,000 10,000 14,965 4,400 6,314 4,822 1,493 Furniture and equipment 18,327 5,673 24,000 24,000 9,262 33,333 31,902 24,361 7,542 General Administration: kitchen 38,180 11,820 50,000 50,000 86,890 13,333 1,995 1,524 472 General Administration: other 15,272 4,728 20,000 20,000 6,644 1,000 888 678 210 Van 1,145 355 1,500 1,500 1,492 16,000 10,189 7,780 2,409 Repairs/Maintenance 18,327 5,673 24,000 24,000 6,968 37,333 27,152 20,733 6,419 Stationery 42,762 13,238 56,000 76,000 57,455 836,795 852,157 665,927 186,230 Facilities 1,316,782 377,134 1,693,916 1,727,529 3,969,575 1,355,300 1,253,772 1,053,168 200,604 IS service contract 1,891,680 360,320 2,252,000 2,232,000 2,030,763 20,000 (5,999) (5,039) (960) IS development 84,000 16,000 100,000 100,000 1,174,304 0 0 0 0 IS development provision - - - - - 400,000 247,764 247,764 0 IS development: Replacement DUIS 1,050,000-1,050,000 750,000 245,498 53,333 51,649 39,440 12,210 Telecommunications 61,088 18,912 80,000 80,000 87,733 0 (221) (169) (52) Photocopying - - - - (508) 154,667 155,406 155,406 0 IS DUIS postage 232,000-232,000 212,000 210,216 1,983,300 1,702,371 1,490,570 211,801 IS 3,318,768 395,232 3,714,000 3,374,000 3,748,006 470,000 282,638 239,245 42,966 Communcations planning 549,900 155,100 705,000 800,000 748,177 85,800 34,892 24,131 10,761 Online 110,682 18,018 128,700 300,000 225,747 10,000 873 664 210 Internal communications 11,469 3,531 15,000 15,000 3,395 126,667 69,664 47,775 21,889 Research 145,275 44,725 190,000 135,000 48,230 46,667 25,370 19,398 5,972 Corporate governance 53,522 16,478 70,000 70,000 62,773 0 0 0 0 Staff events - - - - 801 739,133 413,438 331,213 81,797 Corporate affairs 870,849 237,851 1,108,700 1,320,000 1,089,123 240,000 158,224 30,179 128,044 Legal costs 95,816 264,184 360,000 290,000 369,988 40,000 34,529 31,291 3,239 Specialist support 99,636 5,364 105,000 45,000 122,872 33,333 2,854 2,854 0 Information rights: research & projects 50,000-50,000 100,000-31,000 31,000 24,047 6,953 Audit fees external 24,047 6,953 31,000 31,000 29,000 39,667 30,725 23,679 7,046 Library and Subscriptions 45,898 13,602 59,500 59,500 49,314 6,667 3,383 2,583 800 Professional subscriptions 7,636 2,364 10,000 10,000 12,053 0 (217) (217) 0 Bank charges 35,000-35,000 35,000 35,000 390,667 260,498 114,416 146,081 Legal and professional 358,034 292,466 650,500 570,500 618,227 222,667 189,281 152,377 36,904 T & S UK 265,522 68,478 334,000 320,000 271,166 32,000 30,102 22,484 7,618 T & S Overseas 38,554 9,446 48,000 48,000 39,442 0 2,373 1,830 543 Entertaining /Working Lunches - - - - 4,811 254,667 221,757 176,691 45,066 Travel and subsistence 304,076 77,924 382,000 368,000 315,419 Accruals adjustments: March 11 Paye 171,762 73,612 245,374 107,209 11,750,630 10,953,091 8,351,558 2,601,105 Total expenditure 15,225,259 4,472,253 19,697,512 19,680,274 21,209,262 3,375,000 3,375,000 0 3,375,000 Grant-in-aid 4,500,000 4,500,000 4,500,000 7,200,000 8,039,000 8,449,765 8,449,765 0 Tier 1 fees 12,078,000-12,078,000 12,078,000 11,868,507 1,943,000 1,928,422 1,928,422 0 Tier 2 fees 3,022,000-3,022,000 3,022,000 2,908,312 463,781 463,781 463,781 0 Fees 2010/11 brought forward 463,781-463,781 450,000 201,222 13,820,781 14,216,968 10,841,968 3,375,000 Total income 15,563,781 4,500,000 20,063,781 20,050,000 22,178,041 (2,070,151) (3,263,877) (2,490,410) (773,895) (UNDERSPEND)/OVERSPEND (338,522) (27,747) (366,269) (369,726) (968,779) 4