TRANSPORT AND TECHNICAL SERVICES DEPARTMENT
TEMPORARY CAPITAL TRANSFER FROM CENTRAL PLANNING VOTE
TO TRANSPORT AND TECHNICAL SERVICES
Purpose of Report
To enable the Minister to approve a temporary capital budget transfer of £500,000 from the Central Planning Vote to Transport and Technical Services to enable early commencement of the Phillips Street Shaft assessment.
Background
A budget of £3,600,000 for the Phillips Street Shaft Project has been included within the draft Annual Business Plan 2012. The shaft is planned to be sunk in Ann Court, in order to meet the timelines set by housing for redevelopment of Ann Court, work on this project needs to begin in 2011.
Discussion
The St Helier Water Link and Cavern Project was commissioned in 1998. Phillips Street Shaft was proposed as part of that project. The demolition of the former Ann Court Housing site has presented an opportunity for constructing the tunnel connection with minimal disruption. The Central Planning Vote has been used in the past to provide departments with advance monies to fund feasibility studies. The advance is then replenished back to the Central Planning Vote when the department receives the funding through the Business Plan process.
To fund the timely commencement of the assessment works, the Department request a transfer of £500,000. In 2012 the Department will transfer the £500,000 back to the Central Planning Vote when the £3,600,000 for the Phillips Street Shaft Project becomes available.
Recommendation
That the Minister approves a budget transfer of £500,000 capital budget transfer from the Central Panning Vote to the Transport and Technical Services Department ‘Phillips Street Shaft’ capital head of expenditure to fund the Phillips Street Shaft assessment works. The Department will transfer the £500,000 back to the Central Planning Vote when it receives its Business Plan allocation of £3,600,000 for the project in 2012. Should the allocation for the Phillips Street Shaft not be approved as part of the 2012 Annual Business Plan debate, the funds will be sourced elsewhere from within the TTS capital budget and repaid to the Central Planning Vote in 2012.
Reason for Decision
Under Financial Direction 3.6 and the Public Finances (Jersey) Law 2005, the approval of the Minister for Treasury and Resources is required for any variations to heads of expenditure above £1,000,000. Authority to approve non-contentious budget transfers under £1,000,000 has been delegated to the Treasurer of the States.
Resource Implications
There are no manpower implications or increases in budgets or expenditure.
Action Required
The Finance Director to seek approval from the Minister for Treasury and Resources and then to action the budget transfers in conjunction with the Head of Financial Performance Reporting.
Written by: | Capital Accountant – TTS Finance |
Approved by: | Acting Finance Director |