Decision Maker: Executive

Outcome: For Determination

Is Key Decision?: Yes

Is Callable In?: No

Date of Decision: March 4, 2025

Purpose: The report sets the capital budget which will be presented as part of the budget for 2025-26. As capital projects can extend across financial years, the budgets provided will run up to 2030.

Content: Resolved –   That Council be recommended:    (1)       To approve the Capital Strategy (including Prudential Indicators) as   set out at Section A to Executive Document “AZ”.   (2)       To approve the capital expenditure for the General Fund and HRA       as set out in Appendix D to Executive Document “AZ” for 2025-26        to 2029-30 subject to:   §  all future schemes being included in the Council approved Capital Programme; §  all new schemes, including third party funded, only commencing with a full business case approved via PAG, CMT and the Executive and subject to being in the Capital Programme; §  authority being given to the Director of Finance to allow specific exceptions to the approval process when in his opinion it is in the Council's interest. The Director of Finance will keep a record of these exceptions and report to Executive; §  a further review of the capital programme and a report back to Executive; and §  an update on the capital receipts potential (to include an update on the asset disposal strategy including accommodation and related assets strategy).   (3)       Approve the inclusion of the new capital requirements for 2025-26      onwards as detailed in Appendix D to Executive Document “AZ” for inclusion in the programme and subject to the same as above.   (4)       To approve that all projects follow the approved business case            governance process as set out in section A5 of Executive          Document “AZ”. Commitments against reserve schemes and       contingencies can only be made after a business case has been             assessed by Project Appraisal Group, CMT and approved by     Executive.   (5)       Specific approval be given for the following schemes previously          approved by Executive to commence following a detailed review by     Project Appraisal Group:   §  The 2025-26 Property Programme has a proposed total cost of £2m and this will be funded by £2m allocated in Reserve Schemes. §  Stockbridge Depot Retaining Wall - £0.16m for structural repairs to a  section of a retaining wall. This scheme is funded from the general contingency budget. §  Supeconnected Cities – £0.22m for two projects to implement public Wi-Fi along the Keighley Worth Valley Railway in the Worth Valley to address poor mobile coverage and additional Wi-Fi in the City Centre to support City of Culture events. These schemes are funded by grant from WYCA and are linked to scheme CS0266 already in the CIP.   (6)       To approve that no financing sources, unless stipulated in         regulations or necessary agreements, are ring fenced.   (7)       To approve the proposed financing of the capital programme and        revenue implications as set out in Executive Document “AZ”.   (8)       To delegate to the Director of Finance the decisions surrounding         financing of the capital programme to provide sufficient flexibility to allow for the most effective use of the Council’s resources.   (9)       Reasons for Decision                         The objectives of the CIP are to: o   Prioritise and co-ordinate funding to achieve the Council’s Plan; o   Ensure that capital resources are directed to maintain the Council’s statutory requirements across its asset base; o   Invest in the most beneficial projects to meet Bradford’s long-term requirements; and o   Manage investment effectively and efficiently.   The Council is required, under the CIPFA Prudential Code, to agree a capital strategy that is prudent and sustainable. The revenue budget is set as part of the Medium-Term Financial Strategy (MTFS), and this supports the financing of the capital programme set out in this report.   Capital expenditure is defined as expenditure that is predominantly incurred on buying, constructing or improving physical assets such as land, buildings, infrastructure and equipment.   The Council is required to set a balanced revenue budget, and the capital programme forms part of this overall process.   To be actioned by: Director of Finance   Overview and Scrutiny Area: Corporate                      (Lynsey Simenton)