The Infrastructure Plan is funded from various sources each of which is explained below:
The Authority can use prudential borrowing to fund capital expenditure, for which there is no borrowing limit, other than it must be able to demonstrate that it is affordable and sustainable. Provision for the repayment of the loan is matched to the life of the asset that is being funded and as such it is unlikely that this form of borrowing would be used to fund assets with a short life. In the main, all other forms of capital funding are used before any prudential borrowing is undertaken. The Authority is not planning any prudential borrowing until 2017/18.
The Authority is able to set aside some of its revenue resources to fund the infrastructure projects.
Capital Grant - General
2014/15 is the second year of a two year grant allocation which awarded £187k for the purchase of response cars and £1.4m general capital grant in each of the two years 2013/14 and 2014/15.
Capital Grant - Fire Control
In 2011/12 the Authority was awarded a grant of £1.8m (£900k capital and £900k revenue) to assist with the co-location of the control room to Police and the implementation of a new mobilising system. It is expected that £50k of the capital element will be used in 2013/14, with the remaining £850k being utilised in 2014/15.
The disposal of a number of the Authority’s assets including redundant fire stations, land and unoccupied housing will be used to fund the station build programme. All disposals are governed by a number of regulations and as such any receipts can only be utilised against capital expenditure. As at 31 March 2014 there will unapplied capital receipts of £4,217k (as shown on page 19) with a further £400k expected during 2014/15. However, it will be 2015/16 before some of these receipts are likely to be utilised.
Performance Reward Grant
This capital grant does not have to be utilised within a prescribed timeframe, however it has been earmarked for use against specified community safety projects.
| ||Capital |
|Revenue Contributions ||5,757 ||3,664 ||9,421 |
|Capital Grant – General ||1,619 ||0 ||1,619 |
|Capital Grant – Fire Control ||850 ||0 ||850 |
|Performance Reward Grant ||400 ||0 ||400 |
| Total Funding || 8,626 || 3,664 || 12,290 |