Two sets of Management Accounts, for December and January had been circulated. The reduction of cash in December was noted. This had been discussed at the Board meeting in January. It was noted that the bank had approved the increase to the college’s overdraft to £1.5m until June 2016, although cash would remain tight. The year end forecast was for a deficit of £270K and the college had entered a period of spend restrictions to limit the year end deficits. The work of the Finance Working Group in assisting college staff in remaining within the available cash limit was welcomed. Richard Harvey as chair of the group commented that he considered everything necessary was being done. The revised two year plan was reviewed. A small operating deficit of £41K was forecast for 2015-16, with an overall surplus of £116K forecast for 2016-17. Both years showed a health category grade of satisfactory. It was agreed to submit the revised two year plan to the Skills Funding Agency. 13. Banking Matters a. Overdraft Extension The report provided by the Executive Director of Finance had been circulated and was considered. The new overdraft limit had been accepted at £1.5m following approval at the previous Board meeting. After consideration the Corporation resolved that: That the borrowing by the College of up to the full amount of the Facility on the and conditions set out in the Facility Agreement was at the time of the Acceptance, and continues to be, in the interests of and for the benefit of the College and most likely to promote the success of the College for the benefit of the members as a whole and that such terms and conditions be and are approved and accepted with retrospective effect. That at the time of Acceptance, the College considered whether it needed to obtain professional independent advice (legal, financial or otherwise) and (whether on the basis of such advice or otherwise) it made its own independent decision to enter into the Facility Agreement. The College approves, accepts and understands the terms, conditions and risks involved. That the Acceptance by the Signatories of the Facility Agreement is hereby ratified and confirmed with retrospective effect. That the Bank is authorised to act in all matters concerning the Facility upon instruction from the College, in its capacity as Borrower of the Facility, signed in accordance with the Bank’s mandate for any of the accounts of the College held with the Bank current from time to time and any such instructions given prior to the date of this meeting are hereby ratified and confirmed with retrospective effect. b. New Interest Rate Fix for Loan
13. Two sets of Management Accounts, for December and January had been circulated. The reduction of cash in December was noted. This had been discussed at the Board meeting in January. It was noted that the bank had approved the increase to the college’s overdraft to £1.5m until June 2016, although cash would remain tight. The year end forecast was for a deficit of £270K and the college had entered a period of spend restrictions to limit the year end deficits. The work of the Finance Working Group in assisting college staff in remaining within the available cash limit was welcomed. Richard Harvey as chair of the group commented that he considered everything necessary was being done. The revised two year plan was reviewed. A small operating deficit of £41K was forecast for 2015-16, with an overall surplus of £116K forecast for 2016-17. Both years showed a health category grade of satisfactory. It was agreed to submit the revised two year plan to the Skills Funding Agency. Banking Matters a. Overdraft Extension The report provided by the Executive Director of Finance had been circulated and was considered. The new overdraft limit had been accepted at £1.5m following approval at the previous Board meeting. After consideration the Corporation resolved that: That the borrowing by the College of up to the full amount of the Facility on the and conditions set out in the Facility Agreement was at the time of the Acceptance, and continues to be, in the interests of and for the benefit of the College and most likely to promote the success of the College for the benefit of the members as a whole and that such terms and conditions be and are approved and accepted with retrospective effect. That at the time of Acceptance, the College considered whether it needed to obtain professional independent advice (legal, financial or otherwise) and (whether on the basis of such advice or otherwise) it made its own independent decision to enter into the Facility Agreement. The College approves, accepts and understands the terms, conditions and risks involved. That the Acceptance by the Signatories of the Facility Agreement is hereby ratified and confirmed with retrospective effect. That the Bank is authorised to act in all matters concerning the Facility upon instruction from the College, in its capacity as Borrower of the Facility, signed in accordance with the Bank’s mandate for any of the accounts of the College held with the Bank current from time to time and any such instructions given prior to the date of this meeting are hereby ratified and confirmed with retrospective effect. b. New Interest Rate Fix for Loan