COUNCIL'S £2.1M 'BLACK HOLE' REPORT 'OBTUSELY NEGATIVE'
A report of an alleged £2.1m ‘black hole’ in the Council of the Isles of Scilly's Medium-Term Capital Programme has been derided as ‘obtusely negative’ by the Chairman of the Finance Audit and Scrutiny Committee.
Councillor Steve Sims said: “The Local Authority has a capital programme of about £17m which requires £2.1m from the Council which is an 800% return on investment.”
The Council’s capital programme, which is available on their website, will require investment of £16.95m over the next 5 years. £14.83m will be funded by external sources with the remaining £2.12m coming from Council resources.
The Council claim their resource commitment consists of £1,220,000 from earmarked reserves, £758,000 from revenue contributions to capital and the balance of £150,000 as a borrowing requirement.
Speaking at last week’s meeting of the finance, Audit and Scrutiny Committee, Chief Executive Theo Leijser told Members that business cases had been prepared for all proposals.
Councillor Sims added: “It would be a truly wonderful but, sadly, wholly unrealistic world where the Council never had to use any of its own money to fund investment.
"The alternative is to tread water and allow, through inaction, the islands to wither away and die."
The Medium-Term Capital Programme will be presented to Members to debate at tonight’s meeting of Full Council.
The meeting starts at 6:30pm and members of the public are welcome to attend.