Agenda item

To seek approval to recommendations of Executive Cabinet on 21 February 2013 (enclosed). 

The Executive Member for Resources, Policy and Performance presented the Executive’s General Fund Revenue and Capital Budget and Council Tax proposals for 2013/2014.

 

The report detailed the elements of the proposals which recommended that Council Tax be frozen in 2013/14 at 2012/13 levels.

 

Resources had been allocated in line with the key priorities of:

·         Involving residents in improving their local area and equality of access for all

·         Clean, safe and healthy communities

·         An ambitious Council that does more to meet the needs of residents and the local area

·         A strong local economy.

 

The key features of the budget being proposed in addition to the zero Council tax increase were:

·         A programme of new investment totalling £2.824m

·         £0.45m set aside to restructure debt and achieve a saving in the revenue budget of £0.060m.

·         Maintaining general balances at a minimum of £2m in line with the requirements of the Medium Term Financial Strategy.

 

Attached to the main report was a series of appendices providing technical and budgetary information to support the proposals which were either for Members information or approval. These were as follows:

 

Appendix A1 Formal Council Tax resolution

Appendix A2 Pay policy – a revised pay policy was circulated at the meeting which included some changes to the structure of senior management remuneration.

Appendix A3 Proposed fees and charges for 2013/14

Appendix B1 Capital programme for 2012/13

Appendix B2 Capital programme for 2013/14 to 2015/16

Appendix B3 Capital programme proposed changes 2012/13 to 2015/16

Appendix B4 Section 106 and similar developers’ contributions

Appendix C Budget investment package

Appendix C1 Investment project mandates

Appendix D Treasury strategies and prudential indicators 2013/14 to 2015/16

Appendix E Statutory Finance Officer report

Appendix F Medium term financial strategy 2013/14 to 2015/16

Appendix F1 Analysis of budget variations 2013/14 to 2015/16

Appendix G Significant budget movements 2012/13 to 2013/14

Appendix H Special expenses 2013/14

Appendix I Budget consultation 2013/14

Appendix J Equality impact assessment 2013/14 budget proposals

 

Members debated the Executive’s proposed budget.

 

Councillor Peter Goldsworthy, Leader of the Conservative Group proposed and Councillor Greg Morgan, Deputy Leader seconded, the following amendment:

 

That Labour’s spending plans be curbed and in doing so we propose

·         Council tax be reduced in year by 10% 

·         To reduce not increase, debt

·         To reduce spending plans but leave spending to rise on those policy areas we find beneficial

·         Maintain healthy balances

This would be achieved through the following:

Capital proposals

·         Remove the £1m capital spend for “Regeneration Projects” referred to in the main report.

·         Offer the former McDonalds site for sale for housing or commercial development – reclaiming the £476,000 purchase price.

·         Increase debt repayments by £864,000, utilising underspend in 2012/13 of £564,000 and £300,000 from the town centre reserve.

Consequently, as a result of the proposed changes, total borrowing will fall by £2.114m to £8.490m - a reduction of 20%

 

Revenue proposals

·         Reducing revenue growth to £463,500 by delivering only on the following items – business rate and refurbishment grants; active generation; street games; Clean up Chorley campaign; street furniture; employee health scheme; support to the VCFS network; 16/17 year old drop in scheme; free swimming; employment initiative with Runshaw.

·         Use the New Homes Bonus as revenue income of £739,000 in 2013/14 increasing in the next two years to over £2m.

 

On being put to the vote, the amendment was LOST

 

Councillor Peter Wilson, Executive Member for Resources, Policy and Performance proposed, Councillor Alistair Bradley seconded and it was RESOLVED –

 

 

 

 

 

 

 

 

 

2.1   It be noted that on 8 January 2013 the Chief Executive as Statutory Finance Officer calculated the Council Tax Base 2013/14

 

(a)  for the whole Council area as 32,750.66 [Item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the "Act")]; and

 

(b)  for dwellings in those parts of its area to which a Parish precept relates (as in the attached Table 2).

 

2.2     Calculate that the Council Tax requirement for the Council’s own purposes for 2013/14 (excluding Parish precepts) is £5,810,300

 

2.3.  That the following amounts be calculated for the year 2013/14 in accordance with Sections 31 to 36 of the Act:

 

(a)  £57,901,580 being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act taking into account all precepts issued to it by Parish Councils.

 

(b)  £51,561,380 being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act.

 

(c)  £6,340,200 being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council in accordance with Section 31A(4) of the Act as its Council Tax requirement for the year. (Item R in the formula in Section 31B of the Act).

 

(d)  £193.59 being the amount at 3(c) above (Item R), all divided by Item T (1(a) above), calculated by the Council, in accordance with Section 31B of the Act, as the basic amount of its Council Tax for the year (including Parish precepts).

 

(e)  £1,152,818 being the aggregate amount of all special items (Special Expenses and Parish precepts) referred to in Section 34(1) of the Act (as in the attached Table 1).

 

(f)   £158.39 being the amount at 3(d) above less the result given by dividing the amount at 3(e) above by Item T (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 Parish precept relates.

 

2.4  To note that the County Council, the Police Authority and the Fire Authority have issued precepts to the Council in accordance with Section 40 of the Local Government Finance Act 1992 for each category of dwellings in the Council’s area as indicated in the table below.

 

2.5  That the Council, in accordance with Sections 30 and 36 of the Local Government Finance Act 1992, hereby sets the aggregate amounts shown in the tables below as the amounts of Council Tax for 2013/14 for each part of its area and for each of the categories of dwellings.

 

VALUATION BANDS
CHORLEY BOROUGH COUNCIL
A	B	C	D		E		F			G			H
105.59	123.19	140.79	158.39		193.59		228.79			263.99			316.78
LANCASHIRE COUNTY COUNCIL
A	B	C	D		E		F			G			H
724.09	844.77	965.45	1,086.13		1,327.49		1,568.85			1,810.22			2,172.26
POLICE & CRIME COMMISSIONER FOR LANCASHIRE
A	B	C	D		E		F			G			H
101.95	118.94	135.93	152.92		186.90		220.88			254.87			305.84
LANCASHIRE COMBINED FIRE AUTHORITY
A	B	C	D		E		F			G			H
42.43	49.51	56.58	63.65		77.79		91.94			106.08			127.30
AGGREGATE OF COUNCIL TAX REQUIREMENTS
A	B	C	D		E		F			G			H
974.06	1,136.41	1,298.75	1,461.09		1,785.77		2,110.46			2,435.16			2,922.18

 

 

 

       2.6  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.

 

       2.7  As there is no increase in the Council’s basic amount of Council Tax for 2013/14 and is therefore below the allowable increase of 2.0%, it is considered not excessive in accordance with principles approved under Section 52ZB Local Government Finance Act 1992.