Issue - meetings

Report of the Cabinet Member Finance

The Mayor invited the Cabinet Member Finance to introduce the budget which would then be followed by a statement from the Director of Resources, Mark Sheldon as the Council’s Section 151 officer. To facilitate the presentation of the Budget, the Mayor proposed suspension of certain rules of debate, namely:-

That the time limit on speeches is relaxed with regard to the following speeches

• Cabinet Member Finance when moving the motion to adopt the budget being proposed by the Cabinet.

• Group leaders or Group spokesperson when making budget statements on behalf of their group.

The Cabinet Member Finance and Group Leaders could also speak more than once in the debate (in addition to any rights of reply etc.) for the purpose of putting and answering questions.

This was agreed unanimously by Council.

The Mayor reminded Members that a recorded vote must be held  on any significant decision relating to the budget or council tax (including any amendments) as set out in Part 4A – Council Procedures Rule 14.5 as required by the ‘Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014’. This will apply to agenda items 8 and 9.

The Cabinet Member Finance introduced the 2015/16 budget proposals with a detailed speech (please see Appendix 1).

The Cabinet Member Finance moved acceptance of the 2015/16 budget as set out in the report. The motion was seconded by Councillor Jordan who reserved his right to speak.

The Director of Resources referred to appendix 2 in the budget papers which set out his assessment of the budget and the financial risks which were set out in the form of a risk table. He explained that he had a statutory duty as the Council’s Section 151 officer to make this report to Council and they must have regard to it when making decisions on the Council's budget and at the council tax setting meeting.  He made the following points:

• A modest return was predicted as a result of treasury management activity.
• He was satisfied that sufficient provision had been made in the budget and MTFS for future pay awards and pension-fund costs.
• A prudent approach had been adopted in the New Homes Bonus projections after consultation with the budget scrutiny working group.
• Some reserves had been reduced this year through usage but overall the general reserve remained in his previously recommended range of £1.5 to £2 million.
• There was a sound business strategy to support the MTFS through commissioning, shared services and other projects. He acknowledged that there were still some gaps to be filled.
• He acknowledged that the decision to freeze council tax had been a political one but was justifiable given that there was some government funding to support a freeze
• The asset management plan was being reviewed and there would be important decisions to be made later in the year on the use of the North Place receipt and the council would need to look at all the options objectively.
  
  

In conclusion his overall view was that the budget was  ...  view the full minutes text for item 8

Report of the Cabinet Member Finance

RESOLVED THAT it be recommended to Council that :

1.    The revised budget for 2014/15 be noted and the one-off contribution from general balances of £178,250 as detailed in Section 3.2 be approved.

Having considered the budget assessment by the Section 151 Officer at Appendix 2 the following recommendations be agreed :

1.    the final budget proposals including a proposed council tax for the services provided by Cheltenham Borough Council of £187.12 for the year 2015/16 (a 0% increase based on a Band D property) be approved.

2.    the growth proposals, including one off initiatives at Appendix 4 be approved.

3.    the savings / additional income and the budget strategy at Appendix 5 be approved.

4.    the use of reserves and general balances be approved and the projected level of reserves, as detailed at Appendix 6 be noted.

5.    the proposed capital programme at Appendix 7, as outlined in Section 10 be approved, including the additional underwriting of £90,000 to support the Art Gallery and Museum redevelopment scheme.

6.    the Pay Policy Statement for 2015/16, including the continued payment of a living wage supplement at Appendix 8 be approved.

7.    a level of supplementary estimate of £100,000 for 2015/16 as outlined in Section 15 be approved.

8.    there be no change to the Local Council Tax support scheme in 2015/16 (para 4.19).

9.    it be noted that the Council will remain in the Gloucestershire business rates pool for 2015/16 (para 4.9).

In the absence of the Cabinet Member Finance the Leader introduced the report which summarised the revised budget for 2014/15 and the Cabinet’s final budget proposals and pay policy statement for 2015/16.

The Leader added that further changes had been made since the draft proposals were agreed in December. These included :

·         £50 000 allocation for the purposes of demolishing the existing concrete bus shelter and waiting room and provision of services to supply new café facility

·         Additional budget to improve the control of urban gulls

·         £100 k allocation to the Local Plan which would be brought alongside the JCS

·         £50 000 allocation to the Community Pride Fund

·         3 year contract with Cheltenham Housing Aid Centre

·         Freeze Lifeline charges for 2015/16

The Leader highlighted that the buoyant local economy had resulted in increased revenue of £340k over and above the anticipated level from the devolved business rates pooling scheme.

In terms of the general position, he reiterated that a Council tax freeze was proposed for the 5^th consecutive year, as were parking charges and front line services would be protected. He paid tribute to the huge amount of work officers across the Council had undertaken to achieve this.

In summing up the Leader believed this was a very positive package, enhanced by the consultation. Responses to the consultation on the capital programme had been high and feedback had been welcomed. A report on this would come forward for consideration in due course.

RESOLVED THAT it be recommended to Council that :

1.    The revised budget for 2014/15 be noted and the one-off contribution from general balances of £178,250 as detailed in Section 3.2 be approved.

Having considered the budget assessment by the Section 151 Officer at Appendix 2 the following recommendations be agreed :

1.    the final budget proposals including a proposed council tax for the services provided by Cheltenham Borough Council of £187.12 for the year 2015/16 (a 0% increase based on a Band D property) be approved.

2.    the growth proposals, including one off initiatives at Appendix 4 be approved.

3.    the savings / additional income and the budget strategy at Appendix 5 be approved.

4.    the use of reserves and general balances be approved and the projected level of reserves, as detailed at Appendix 6 be noted.

5.    the proposed capital programme at Appendix 7, as outlined in Section 10 be approved, including the additional underwriting of £90,000 to support the Art Gallery and Museum redevelopment scheme.

6.    the Pay Policy Statement for 2015/16, including the continued payment of a living wage supplement at Appendix 8 be approved.

7.    a level of supplementary estimate of £100,000 for 2015/16 as outlined in Section 15 be approved.

8.    there be no change to the Local Council Tax support scheme in 2015/16 (para 4.19).

9.    it be noted that the Council will remain in the Gloucestershire business rates pool for 2015/16 (para 4.9).