Agenda item

Additional report of the Executive enclosed, including the following appendices:

Appendix A – Additional savings options and proposals (Page 101)

Appendix B – Fees and charges review (Page 103)

Appendix C – Revised Council Tax resolution (Pages 105 -110)

Appendix D – Analysis of budget variations 2009/10 - 2012/13 (Page 111)

Members of the Council considered a report of the Executive seeking approval to proposals for the Council’s Revenue and Capital Budget for 2010/11 including the level of Council Tax increase proposed for the forthcoming year.

 

The report set out the Executive’s key objective – to protect frontline services and also the key budget principles which had been the subject of consultation with the Citizens Panel, Parish Councils and with Members of the Overview and Scrutiny Committee.  As a result the key proposals for 2010/11 were:

 

·                    To freeze Council Tax for 2010/11.

·                    To freeze pay and display fee income and market rent.

·                    To continue to invest in priority services.

·                    To continue to make further efficiencies in management and back office costs.

 

The report included a number of appendices with the detailed basis of the proposals.

 

Appendix A – Formal Council Tax Resolution

Appendix B (B1 – B5) – Capital Programme 2010/11 – 2012/13

Appendix C – Treasury Management Strategy

Appendix D – Statutory Report

Appendix E – Medium Term Financial Strategy

Appendix F – Significant Budget Movements

Appendix G – Special Expenses Parish Precepts

Appendix H – Budget Consultation 2010/11

 

The Executive Member for Resources, Councillor Kevin Joyce, presented the proposed budget and circulated additional information as follows:

 

New Appendix A – Additional Savings Options and Proposals

New Appendix B – Fees and Charges Review

New Appendix C – A Revised Formal Council Tax Resolution

New Appendix D – Analysis of Budget Variations 2009/10 – 2012/13

 

The additional information contained further budget proposals and savings.

 

Councillor Dennis Edgerley, Leader of the Labour Group circulated an alternative budget report which proposed a 1% reduction in Council Tax and further back office savings at Senior Management level and within the Policy team; from the removal of the car lease scheme for staff; plus additional investment in free parking, street cleaning, neighbourhood staffing and activities for young people.

 

Councillor Dennis Edgerley proposed and Councillor Adrian Lowe seconded the adoption of the Labour Group’s alternative budget.

 

The proposal was put to the vote and the Mayor declared it LOST.

 

The Executive Member for Resources, Councillor Kevin Joyce moved and the Executive Leader, Councillor Peter Goldsworthy seconded, the adoption of the budget proposed under the additional budget proposals report for 2010/11 and it was RESOLVED – that

 

(1)       The proposed budget, including additional budget proposals and savings be agreed as follows:

 

            1.1       The following posts be disestablished:

                        1 FTE Building Control Officer

                        1 Business Process Officer (Neighbourhoods)

                        1 Head of Customer Services

 

            1.2       That consultation takes place with staff in respect of reducing the Council’s cost of car leasing scheme by 25%.

 

            1.3       That an immediate review be undertaken following the senior management restructure of the Council’s administrative and transactional service provision to identify further potential savings.

 

            1.4       That the budget for the Council’s contribution towards the Local Strategic Partnership be reduced by £50k from 2010/11.

 

            1.5       That the building maintenance revenue budget for the Council’s leisure facilities be reduced by £50k from 2010/11.

 

            1.6       That the Council negotiate with Lancashire County Council with a view to producing an alternative public realm provision with a resultant saving for the Council.

 

            1.7       That the fees and charges items shown in new Appendix B be increased below inflation by 2% with effect from 1 April 2010.

 

            1.8       That £100k of non recurrent expenditure be allocated in the 2010/11 budget to pay for additional street cleaning activities and the creation of additional allotments.

 

(2)       2.1       That the Council’s Capital Programme as set out in Appendix B be approved.

 

2.2             That the Treasury Management Strategy and its core principles as set out in Appendix C be approved.

 

2.3             That the advice of the Statutory Finance Officer on the robustness of the budget and risks be noted as set out in Appendix D.

 

            2.4       That the Council’s Medium Term Financial Strategy as set out in Appendix E be approved.

 

            2.5       That the significant budget movements from the 2009/10 budget as set out in Appendix F be noted.

 

            2.6       That the Special Expenses and Parish Precepts as set out in Appendix G be noted; and

 

            2.7       That the Budget Consultation Responses set out in Appendix H be noted.

 

(3)       That the Council Tax for 2010/11 remain at the levels set in 2009/10 as formally set out below:

 

1.         That it be noted that acting under delegated powers the Director of Finance calculated the amount of 35,204.50 as its Council Tax Base for the year 2010/11 in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992 made under Section 33(5) of the Local Government Finance Act 1992.

 

            (a)       35,204.50 being the amount calculated by the Council, in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992, as its Council Tax Base for the year.

 

            (b)       being the amounts calculated by the Council, in accordance with Regulation 6 of the Regulations, as the amounts of its Council Tax Base for the year for dwellings in those parts of its area to which one or more special items relate.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2.         That the following amounts be now calculated by the Council for the year 2010/11 in accordance with Sections 32 to 36 of the Local Government Finance Act 1992:

 

            (a)       £48,980,040 being the aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (e) of the Act;

 

            (b)       £33,576,240 being the aggregate of the amounts which the Council estimates for the items set out in Section 32(3)(a) to (c) of the Act;

 

            (c)        £15,403,800 being the amount by which the aggregate at 2(a) above exceeds the aggregate at 2(b) above, calculated by the Council, in accordance with Section 32(4) of the Act, as its budget requirement for the year;

 

            (d)       £8,486,750 being the aggregate of the sums which the Council estimates will be payable for the year into its general fund in respect of redistributed non-domestic rates, Revenue Support Grant, increased by the amount of the sums which the Council estimates will be transferred in the year from its collection fund to its general fund in accordance with Section 97(3) of the Local Government Finance Act 1988;

 

            (e)       £196.48 being the amount at 2(c) above less the amount at 2(d) above, all divided by the amount at 1(a) above, calculated by the Council, in accordance with Section 33(1) of the Act, as the basic amount of its Council Tax for the year;

 

            (f)         £1,284,713 being the aggregated amount of all special items referred to in Section 34(1) of the Act;

 

            (g)       £159.99 being the amount at 2(e) above less the result given by dividing the amount at 2(f) above by the amount at 1(a) above, calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no special items relates;

being the amounts given by adding to the amount at 2(g) above to the amounts of the special item or items relating to dwellings in those parts of the Council’s area mentioned above divided in each case by the amount at 1(b) above, calculated by the Council in accordance with Section 34(3) of the Act, as the basic amounts of its Council Tax for the year for dwellings in those parts of its area to which one or more special items relate;

 

            (i)         Part of the Council’s Area

 

 

 

 

                        being the amounts given by multiplying the amounts at 2(g) and 2(h) above by the number which, in the proportion set out in Section 5(1) of the Act, is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation band D, calculated by the Council, in accordance with Section 36(1) of the Act, as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.

 

3.         That it be noted that for the year 2010/11 the Lancashire County Council, Lancashire Police Authority, and the Lancashire Combined Fire Authority have stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, for each of the categories of dwellings shown below:

 

4.         That, having calculated the aggregate in each case of the amounts at 2(i) and 3 above, the Council, in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts of Council Tax for the year 2010/11for each of the categories of dwellings shown below:

 

            (i)         Part of the Council’s Area

5.         That the Statutory Finance Officer and his officers be authorised to take any action necessary to ensure collection and recovery of the Council Tax and Non-Domestic Rates.