Monday 14 September 2015
Media Enquiry from BBC Radio Guernsey
Any chance someone would be available to do an interview now that it's been sold - for TV and radio? If not would the questions we'd like a response to really are just What's the departments reaction to the sale, and how much the 007 plate sold for?
It's a substantial amount - any ideas yet on what it could be spent on?
When will a decision be made about the best way to use the funds?
Environment Department Response
The Environment Department budget for 2015 was set in August/September 2014. That budget set expected income levels from our various categories of charges and expected expenditure over the Department's services. As is the case for every other States Department a sum from General Revenue is allocated which combined with the retained income becomes the cash limit available with which to meet the Department's service commitments. The Department's task is to seek to ensure that expenditure does not exceed the cash limit, i.e. a balanced budget. Should income exceed that budgeted the Department is NOT expected to go on a spending spree but rather is expected to meet its budgeted expenditure resulting in a cash surplus. Conversely should income be below budget the Department is expected to control costs to return a balanced budget.
For 2015 the Department's income has been less than expected in several areas. Building and Planning fees are down reflecting the general town turn in the construction market. Driving licence fees are also down. This then sets a challenging environment under which to work. Added to this the bus contract is not fully funded due to the delay in receiving funding through the Transport Strategy and the Department has had to commit more than was budgeted to deliver urgent Coastal defence works. The Department has been managing this combined deficit through careful management of other expenses including training and administration costs, staff costs etc as well as through increased bus fare income resulting from the rise in bus passenger numbers.
With this as background, income from the Auction sales is essentially treated as any other income and does not generate an unexpected windfall that can now be targeted at new spend. Any surplus at year end will, as has been the case in all recent previous years, be returned to General Revenue for reallocation to Committees as part of the next budget round.
Contact Information:
Steve Smith, Chief Officer
Environment Department
Tel: 717200
