Agenda item

RECOMMENDATIONS OF CABINET AND COUNCIL COMMITTEES

Meeting of Budget Meeting, Council, Wednesday, 22nd February, 2017 7.00 pm (Item C. 557)

To receive and consider the recommendations to Council contained in the following Committee Minutes:

Committee/Date

Subject

Recommendation

(i)

HRA Panel – 13 January 2017

Pay Policy Statement 2017/18

That the Human Resources and Appeals Panel recommends that the Pay Policy Statement for 2017/2018 be approved by Council.

(ii)

Audit Committee 25 January 2107

Appointment of External Auditor from 2018/19

That the Audit Committee recommend that the Council approve option 3 as set out in the report:-

To accept the invitation from PSAA to opt-in to the national scheme for the appointment of External Audit for the five years commencing 1 April 2018.

To receive and consider the recommendations to the Council contained in the following minutes of the Cabinet:-

	Committee/Date	Subject	Recommendation
A	The Cabinet 22 February 2017	Housing Revenue Account 2017/2018	To be circulated
B	The Cabinet 22February 2017	Budget 2017/18 to 2019/20 (Appendix 5 to follow)	To be circulated
C	The Cabinet 22 February 2017	Treasury Management Strategy & Prudential Indicators 2017/2018	To be circulated

Minutes:

(i) Meeting of the Human Resources and Appeals Panel held on 13 January 2017 – Pay Policy Statement.

It was moved by Councillor Holt and seconded by Councillor Mallon and it was:-

RESOLVED:

That the Pay Policy Statement for 2017/2018 be approved.

(ii) Meeting of the Audit Committee held on 25 January 2017 – Appointment of External Auditor from 2018/19

It was moved by Councillor Mallon and seconded by Councillor Holt and it was:-

RESOLVED:

That Council accepts the invitation from PSAA to opt-in to the national scheme for the appointment of External Audit for the five years commencing 1 April 2018.

(iii) Housing Revenue Account 2017/2018

At the invitation of the Mayor, Councillor Walmsley, Cabinet Member for Strategic Housing and Support Services, made a statement on the Housing Revenue Account 2017/2018.

It was moved by Councillor Walmsley and seconded by Councillor Shori and it was:-

RESOLVED:

That the recommendations contained in Minute CA.550 of the Cabinet meeting held on 22 February 2017 be approved.

(iv) Budget 2017/2018 to 2019/20

At the invitation of the Mayor, Councillor Shori, Leader of the Council, made a statement on the Budget for 2017/2018 to 2019/20.

(A) It was moved by Councillor Shori and seconded by Councillor Holt that the recommendations contained in Minute CA.550 of the Cabinet meeting held on 22 February 2017 be approved subject to the following amendments:

DELETE

That the report is noted and the Council be requested to consider and determine all matters relating to the Budget, the Capital Programme and the level of Council Tax for 2017/18 at its meeting on 22nd February 2017.

ADD

Section A – Capital Programme

1. Approve the Capital Programme for 2017/18 and future years, as shown in Appendix 1; as amended by table below.

2. Approve the proposed financing of the Capital Programme;

Section B – Revenue Budget

3. Note the details of the Draft Settlement Funding Allocation (SFA) for 2017/18 to 2019/20. In the event that the final Settlement is not confirmed by the Government in time for the Council meeting, then amendments to the budget, and calculations made in line with the Local Government Finance Act 1992, to reflect any changes to the Settlement figures will be delegated to the Chief Executive and Interim Director of Resources & Regulation in consultation with the Leader of the Council, Deputy Leader and Portfolio Holder for Finance & Human Resources and opposition Party Leaders. Any amendments will be reported to Council on 19 April 2017.

4. Note the repayment of principal on General Fund debt at the minimum of 2% in line with the current Minimum Revenue Provision policy;

5. Note that under delegated powers the Interim Executive Director of Resources & Regulation calculated the amount of 52,350 as the Council Tax base for the year 2017/18 in accordance with the Local Government Act 2003 and with regulations made under section 33(5) of the Local Government Finance Act 1992 and the Local Authority (Calculation of Council Tax Base) (England) Regulations 2012;

6. Note the forecast outturn position for 2016/17;

7. Approve that the actual minimum level of balances for 2017/18 be retained at £4,250,000 in view of the current risk profile;

8. Approve the programme of cuts set out in Appendix 4 for the period 2017/18 to 2019/20;

9. Note the recommendations of the Schools’ Forum around education funding issues;

10.Endorse the statements by the Interim Executive Director of Resources & Regulation on the robustness of budget assumptions and on the minimum level of balances;

11.Raise the Bury element of the 2017/18 Council Tax; by 1.94%;

12.Apply a further 3% increase to the Bury element of the Council Tax in respect of the Social Care Precept.

13.Note the proposals of the major preceptors;

14.Approve the net Revenue Budget for 2017/18 of £122.680m as set out in section 4.7 of the report; subject to the following amendments:

£m

Add:

Revenue

Additional resources to support cost and demand pressures in Adult Social Care (ongoing)

Funded by: Further 1% Social Care Precept

Capital

£10 million investment in Highways network over 3 years (2017/18 to 2019/20)

Funded by: Prudential Borrowing

Borrowing to be drawn down annually as works progress over the 3 year period; total cost of borrowing = £420,000 to be funded initially from reserves; and ultimately through reduced revenue costs.

£100,000 investment in measures to tackle flytipping and dog fouling, including;

· Investment in smart CCTV / IT

· Investment in dog bins / litter bins

· Investment in signage

· Neighbourhood targeted projects

Funded by: Capital Receipts

0.710

(0.710)

10.000

(10.000)

0.100

(0.100)

15. Approve the following recommendations in relation to the Revenue Budget and Council Tax for 2017/18:

i) It be noted that on 24th January 2017 the Council calculated the Council Tax Base 2017/18 for the whole Council area as 52,350 [item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the “Act”)].

ii) The Council calculates the Council Tax requirement for the Council’s own purposes for 2017/18 (excluding precepts) as £74,449,939.

iii) That the following amounts be calculated for the year 2017/18 in accordance with Sections 31 to 36 of the Act;

a) £401,703,939 being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act.

b) £327,254,000 being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act.

c) £74,449,939 being the amount by which the aggregate at iii(a) above exceeds the aggregate at iii(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) £1,422.16 being the amount at iii(c) above (Item R), divided by Item T (item i above) calculated by the Council, in accordance with Section 31B of the Act, as the relevant basic amount of its Council Tax for the year, and;

e) Bury Council

	A	B		C	D	E	F	G	H
Council Tax Social Care Precept	£ 903.61 44.49	£ 1,054.22 51.91	£ 1,204.82 59.32		£ 1,355.42 66.74	£ 1,656.63 81.57	£ 1,957.83 96.40	£ 2,259.04 111.23	£ 2,710.84 133.47
TOTAL	948.10	1,106.12	1,264.14		1,422.16	1,738.19	2,054.23	2,370.26	2,844.31

Being the amounts given by multiplying the amount set at iii(e) 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.

iv) To note that the Police and Crime Commissioner and 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.

Police & Crime Commissioner for Greater Manchester

108.20

126.23

144.27

162.30

198.37

234.43

270.50

324.60

Greater Manchester Fire & Rescue Authority

39.96

46.62

53.28

59.95

73.27

86.59

99.91

119.90

v) 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 2017/18 for each part of its area and for each of the categories of dwellings.

Aggregate of Council Tax Requirements

1,096.26

1,278.98

1,461.69

1,644.41

2,009.83

2,375.26

2,740.67

3,288.81

vi) To determine whether the Council’s relevant basic amount of Council Tax for 2017/18 is excessive in accordance with the principles approved under the Local Accountability and Audit Act 2014.

2016/17

2017/18

Council Tax Base

51,900.00

52,350.00

Council Tax Requirement

£70,335,466

£74,449,939

Basic Amount of Council Tax

Social Care Precept

Relevant Amount of Council Tax

£1,329.13

£26.08

£1,355.21

£1,355.42

£66.74

£1,422.16

4.94%

vii) The calculation in 14 vi) above is undertaken to assess the extent to which the Council has increased its relevant level of Council Tax.

The total increase of 4.94% is not excessive as it is within the increased referendum threshold for Authorities with responsibility of Adult Social Care (2% Council Tax + 3% Social Care Precept).

Resources generated from the Social Care Precept will be spent exclusively on Adult Social Care.

The Authority is therefore not subject to a referendum

(B) An amendment was moved by Councillor Daly and seconded by Councillor Hankey that:

The revenue and capital budgets submitted to Council should be approved,

with the following amendments:

Revenue Ongoing investment into Adult Social Care 3 x Libraries staff to promote volunteering / self management (12 months) £50,000 (each) to retain a further 3 x library sites pending development of self-financing model (12 months) Funded by:	£1,450,000 £100,000 £150,000	£1,700,000
Remove Deputy Cabinet members’ allowances	(£10,000)
Savings in e agendas and courier services	(£10,000)
Top slice senior staff salaries by 10% where over £50,000 pa	(£150,000)
Reduce funding for Trade Union posts	(£70,000)
Reduce Councillors’ Special Responsibility Allowances by 10%	(£15,000)
Savings from agency staff budget	(£300,000)
Outsource back office support services	(£1,145,000)	(£1,700,000)
Capital £1.9 million investment in the Borough’s highway network Backlog Maintenance at Tottington Library – ahead of developing self management approach Funded by:	£1,900,000 £100,000	£2,000,000
Cancellation of the A56 / Prestwich High Street scheme	(£1,500,000)
Release of locally earmarked reserves	(£500,000)	(£2,000,000)

On being put the result of the vote was as follows:

For the Amendment:-

Councillors I Bevan, J Daly, I Gartside, D Gunther, M Hankey, J Harris, R Hodkinson, K Hussain, S Nuttall, I Schofield, D Silbiger, R Walker, and Y Wright.

Against the Amendment:-

Councillors P Adams, N Bayley, J Black, S Briggs, R Cathcart, A Cummings, J Grimshaw, S Haroon, T Holt, M James, D Jones, S Kerrison, A McKay, A Matthews, J Mallon, E O’Brien, N Parnell, C Preston, A Quinn, R Shori, R Skillen, Sarah Southworth, Susan Southworth, S Smith, T Tariq, J Walker, S Walmsley, and M Whitby.

Abstaining from the Vote:-

The Worshipful the Mayor, Councillors D’Albert, Pickstone and S Wright.

The Mayor declared the amendment lost.

That the budget contained in the Council report should be approved subject to the following changes;

Libraries

· Additional resource for the Library Service to employ a Volunteer Development Officer, to assist volunteers and develop and maintain additional community library services, following the review of library services; 1 officer plus overheads = £45,000 per annum (2 years fixed term).

Funded by:

· Fixed term funding from reserves to support service transformation

Environmental Crime

· Additional resource to the teams which deal with issues such as fly-tipping and graffiti, to allow for a greater level of coverage than present; 2 officers + overheads = £70,000 per annum.

Funded by:

· Funded initially from reserves; ultimately self-financing through fine income, and / or reduced clearance costs

School Safety Schemes

· Provision of a specific additional resource around parking enforcement, specifically to focus on safety around schools; 1 officer + overheads = £35,000 per annum

Funded by:

· Funded initially from reserves; ultimately self-financing through fine income generated.

90,000

(90,000)

70,000

(70,000)

35,000

(£35,000)

On being put the result of the vote was as follows:

For the Amendment:-

Councillors I Bevan, M D’Albert, J Daly, I Gartside, D Gunther, M Hankey, J Harris, R Hodkinson, K Hussain, S Nuttall, I Schofield, D Silbiger, T Pickstone, R Walker S Wright and Y Wright.

Against the Amendment:-

Abstaining from the Vote:-

The Worshipful the Mayor.

The Mayor declared the amendment lost.

The substantive motion (as set out in A) was put to the vote which was as follows:-

For the Motion:-

Against the Motion:-

Councillors I Bevan, M D’Albert, J Daly, I Gartside, D Gunther, M Hankey, J Harris, R Hodkinson, K Hussain, S Nuttall, I Schofield, D Silbiger, T Pickstone, R Walker S Wright and Y Wright.

Abstaining from the Motion:-

The Worshipful the Mayor

The Mayor declared the substantive Motion carried.

(v.) Treasury Management Strategy and Prudential Indicators 2017/18

On being put with no Members voting against and the Mayor abstaining it was:

Resolved:

That the recommendations contained in the Minute CA.552 of the Cabinet dated
22 February 2017 be approved and adopted.

Supporting documents: