Agenda item

REVENUE AND CAPITAL BUDGETS

Report to follow

Decision:

(i)            That the progress on the completion of the Revenue and Capital Budgets for 2019/20 be received and noted.

 

(ii)           That the strategy for addressing the provisional forecast outturn for the 2018/19 revenue budget be noted.

 

(iii)          That the Council Tax levy to be proposed for 2019/20 be noted.

 

(iv)         That the level of reserves provisionally required to be maintained in 2019/20 be noted.

 

(v)          That the report be amended following the update tabled at the  meeting and that the Finance, Assets and Partnerships Scrutiny Committee be asked to consider what comments it wishes to make on the draft Budget and Council Tax and be asked to consider and respond to the following questions before the final proposals are considered at Cabinet on 6th February 2019:

 

Does the Scrutiny Committee:

1.    Support the inclusion of the income from the Charged Garden Waste

Service in the revenue budget?

2.    Support the use of the 75% Business Rates Retention Pilot income to

accelerate the introduction of the Council’s new recycling service?

3.    Support the creation of the Borough Growth Fund as set out in the

‘Statutory Guidance on the Flexible Use of Capital Receipts’?

4.    Have any comments on the use of the Borough Growth Fund to

support the Corporate Priorities as set out in 3.14?

 

(vi)         That the Flexible Use of Capital Receipts Strategy be recommended for approval by Council on 20th February 2019.

 

Minutes:

A report was submitted which reviewed progress on the completion of the revenue and capital budgets for 2019/20 following agreement of the 5 year Medium Term Financial Strategy (MTFS).

 

The Portfolio Holder for Finance and Efficiency, Councillor Stephen Sweeney thanked everyone involved in the preparation of the budgets.

 

Members’ attention was drawn to paragraphs 3.8 and 3.9 of the report showing factors giving rise to the budget gap for 2019/20 and consideration of ways to eliminate it.

 

The Leader, Councillor Simon Tagg supported everything that Councillor Sweeney had said, stating that this was the first full budget of this administration and that it was a forward-looking budget.  Members’ attention was drawn to Appendix 1 which outlined  income and savings  and alternative sources of finance.   

 

Members were advised of the update to paragraph 3.14 which was tabled at the meeting, the paragraph would now read as follows:

 

 

The ‘Borough Growth’ fund will provisionally be used to enable investment in the following corporate priorities:

 

A Town Centre for All (£104,000)

 

·           Developing and implementing a 10 year Parking Strategy aimed at supporting the local economy.  Cabinet has set out a number of areas of focus for the new strategy, these were detailed at 2.14 to 2.17 of the October 16th 2018 Cabinet report ‘Review of Town Centre Car Parks’.

 

·         Revitalising the market, developing with traders a clear programme for improvement. At its November 7th 2018 meeting Cabinet agreed to review the management and operation of the market in Newcastle town centre in co-operation and consultation with local interested parties to revitalise our historic market.

 

·         Facilitating bids for grants, including the Future High Street Fund (FHSF).  FHSF is a government initiative announced in 2018 budget to help local areas regenerate high streets and town centres.  Bids will be considered for both Kidsgrove and Newcastle town centres.

 

Council Transformation (£100,000)

 

·         Digital Delivery Programme. The Council is committed to introducing more streamlined and speedy processes to improve service delivery to residents, particularly in recycling and waste, environmental services and planning.  Residents will be able to customise, via ‘My Account’, how they get up to date information on particular Council services.

 

·         Establishing capacity to develop commercial working practices to reduce costs and generate improved revenue streams. This includes creating a work force fit for the future by developing the skills of our staff and also investing in apprenticeship opportunities. 

 

Building for the Future (£100,000)

 

·         Enable Residential & Commercial development to generate improved revenue streams. We will use innovative models to ensure that when development opportunities arise the Council retains an income stream or reinvests the income into further opportunities.    

 

 

As a result of the update, the Leader proposed an amendment to recommendation (vi):

 

 

(vi)       That the report be updated following the announcements at the Cabinet

meeting and then the Finance, Assets and Partnerships Scrutiny Committee be asked to consider what comments it wishes to make on the draft Budget and Council Tax and be asked to consider and respond to the following questions before the final proposals are considered at Cabinet on 6th February 2019.

 

Does the Scrutiny Committee:

1.    Support the inclusion of the income from the Charged Garden Waste Service in the revenue budget?

2.    Support the use of the 75% Business Rates Retention Pilot income

to accelerate the introduction of the Council’s new recycling service?

3.    Support the creation of the Borough Growth Fund as set out in the

 ‘Statutory Guidance on the Flexible Use of Capital Receipts’?

4.    Have you any comments on the use of the Borough Growth Fund to

support the Corporate Priorities as set out in 3.14?

 

 

The update was accepted and the revised recommendation was agreed by Members.

 

Members of the Cabinet thanked Councillor Sweeney and officers for their work and welcomed the report.

 

With regard to Council Tax, there would be a 2.99% increase which equated to approximately 8p per week for the Borough’s element.

 

 

Resolved:     (i)         That the progress on the completion of the Revenue and                               Capital Budgets for 2019/20 be received and noted.

 

(ii)          That the strategy for addressing the provisional forecast outturn for the 2018/19 revenue budget be noted.

 

(iii)         That the Council Tax levy to be proposed for 2019/20 be noted.

 

(iv)         That the level of reserves provisionally required to be maintained in 2019/20 be noted.

 

(v)          That the report be amended following the update tabled at the  meeting and that the Finance, Assets and Partnerships Scrutiny Committee be asked to consider what comments it wishes to make on the draft Budget and Council Tax and be asked to consider and respond to the following questions before the final proposals are considered at Cabinet on 6th February 2019:

 

Does the Scrutiny Committee:

1.            Support the inclusion of the income from the Charged

            Garden Waste Service in the revenue budget?

2.            Support the use of the 75% Business Rates Retention

Pilot income to

accelerate the introduction of the Council’s new recycling

service?

3.            Support the creation of the Borough Growth Fund as set

out in the‘Statutory Guidance on the Flexible Use of

Capital Receipts’?

4.            Have any comments on the use of the Borough Growth

Fund to support the Corporate Priorities as set out in

3.14?

 

(vi)         That the Flexible Use of Capital Receipts Strategy be recommended for approval by Council on 20th February 2019.

 

Supporting documents: