Issue - meetings

REPORT OF SERVICE DIRECTOR - RESOURCES

To inform Cabinet of the expected benefits and costs of the new finance software system.

RESOLVED:

(1)   That Cabinet noted the expected benefits from the new finance software system.

RECOMMENDED TO COUNCIL:

(1)   That Council approve a capital budget allocation in 2023/24 of £200k for the initial work to develop and implement the new finance software system.

REASON FOR DECISIONS: A new finance system is expected to lead to more efficient processes and a better customer experience. A new finance system will incur up-front installation and development costs. These costs can be charged to capital but require a capital budget. Additions to the capital programme above £50k require approval by Full Council.

Audio Recording – 1:33:50

Councillor Ian Albert presented the report entitled ‘Financial System Budget’ and advised:

·       The allocation of £200k of capital was to enable the purchase of the new finance system which followed a tender exercise which identified the best value option.

·       This new system would allow the delivery of efficiency improvements across the Council and to the way accounts are produced.

The following Members asked questions:

·       Councillor Alistair Willoughby

·       Councillor Ruth Brown

·       Councillor Steve Jarvis

In response to the questions, the Service Director – Resources advised that:

·       Over time this system would bring enough savings which would recover not only the revenue costs, but also the annual revenue impact of the capital costs, but that this would take time.

·       The system would not have any impact on services at East Herts Council, or on joint services between this Council and East Herts because they have their own finance system.

·       The software package was standard, but that it would have to be customised to enable it to work in a more efficient way to enable improvements across the Council.

The Chair stressed the importance in this current climate for local government to look actively for areas where they can work together across all services to reduce costs and make savings.

Councillor Ian Albert proposed and Councillor Alistair Willoughby seconded and, following a vote, it was:

RESOLVED: That Cabinet noted the expected benefits from the new finance software system.

RECOMMENDED TO COUNCIL: That Council approve a capital budget allocation in 2023/24 of £200k for the initial work to develop and implement the new finance software system.

REASON FOR DECISIONS: A new finance system is expected to lead to more efficient processes and a better customer experience. A new finance system will incur up-front installation and development costs. These costs can be charged to capital but require a capital budget. Additions to the capital programme above £50k require approval by Full Council.