Agenda item

Agenda item

Financial Planning: Draft Revenue and Capital Estimates 2016/2019 and Treasury Management Strategy 2016-2019

Report of Cabinet 18 January 2016

 

Please note that this report has been printed separately for Budget Panel on 13 January, Cabinet on 18 January and Council on 27 January.  Members are reminded to bring their copy to this meeting.

Minutes:

Council received a report of Cabinet, including the original report presented to Cabinet at its meeting on 18 January 2016 and an additional report from the Shared Director of Finance setting out the Council Tax Resolution for 2015/2016.

 

The Mayor moved the Budget report, incorporating the following amendment agreed at Cabinet, which was seconded by Councillor Watkin.

 

“In light of the Budget Panels recommendations and a further review by officers of the Equality Impact Assessment and benchmarking exercise agrees that the increase in charges for 2016/17 for burials is reduced by 50%. That officers review the impact of this increase on demand and undertake further benchmarking during that financial year with a view to securing:

 

·                                                                    cost recovery in the face of budget pressures and reduction in government grant

·                                                                    income to facilitate additional resourcing requirements of the Cemetery Strategy

·                                                                    alignment of the council’s costs with those of similar authorities

·                                                                    management of the demand for diminishing cemetery space.

 

It is agreed that the fees to non-residents remain at 3 times the charges made to residents as this is a key policy to manage the demand on the depleting stock of available grave space.”

 

Councillor Bell moved the following amendment which was seconded by Councillor Khan –

 

“We propose our amended version of the Medium Term Financial Strategy (MTFS) following appropriate scrutiny.  This will include a freeze to Council Tax, no change to residents burial costs and a five times rise for non-resident burial costs, a free collection of 3-bulky items and extra savings through a 10% cut in councillor’s special responsibility allowance and the Mayoral allowance and by cutting the costs of the council’s printing by a third (£41,000.)

 

In order to protect the most vulnerable people in our town, we propose £1million to be kept in reserves for Homelessness prevention and to go for further growth by allocating up to £1.5 million to the capital programme for St Albans Road, promoting jobs, growth and regeneration for the local economy”

 

Members debated the original motion and the amendment. 

 

The amendment was then put to the vote

 

                   In accordance with the Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014 the votes were recorded as follows –

 

                   Those Members voting in favour of the amendment:

                   Councillors Bashir, Bell, Connal, Dhindsa, Ewudo, Haley, Joynes, Khan, Mauthoor, Mills, Shah, Turmaine and S Williams

                  

                   Those Members voting against the amendment:

 

                   Mayor Thornhill, The Chairman Councillor Hastrick, Councillors Bolton, I Brown, J Brown, Collett, Counter, Crout, Derbyshire, Hofman, Johnson, Martins, Rindl, Scudder, Sharpe, Taylor, Walford, Watkin and T Williams

 

                   Those Members abstaining from voting

 

                   Councillors Mehta, Rogers, Silver, Topping and Whitman

                  

                   The amendment was LOST by 13 votes to 19 and 5 abstentions

 

                   The original motion was then put to Council.

 

Those Members voting in favour of the original motion:

 

                   Mayor Thornhill, The Chairman Councillor Hastrick, Councillors Bolton, I Brown, J Brown, Collett, Counter, Crout, Derbyshire, Hofman, Johnson, Martins, Rindl, Scudder, Sharpe, Taylor, Walford, Watkin and T Williams

                  

 

                   Those Members voting against the original motion:

 

                   None

 

                   Those Members abstaining from voting

 

                   Councillors Bashir, Bell, Connal, Dhindsa, Ewudo, Haley, Joynes, Khan, Mauthoor, Mehta, Mills, Rogers, Shah, Silver, Topping, Turmaine, Whitman and S Williams

 

                   The motion was CARRIED by 19 votes to 0 with 18 abstentions

 

                   RESOLVED –

 

1.                                                      To agree proposals recommended by Cabinet on 18 January 2016:

a.                                                      That the Council’s net General Fund expenditure for 2016/17 shall be £16,035,060.

b.                                                      That the Capital Programme shall be as set out in the Cabinet report.

and in approving these recommendations

c.                                                      To have regard to the Director of Finance’s assessment of financial risks and the level of balances and provisions required, as set out in the Cabinet report.

2.                                                      That Watford Borough Council’s Council Tax Base for 2016/17 has been calculated at 31,315 in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) (England) Regulations 2012 made under Section 31B (1) of the Local Government Finance Act 1992, as amended.

3.                                                      That the following amounts be now calculated by the Council for the year 2016/17 in accordance with Sections 31A to 36 of the Local Government Finance Act 1992:


(A)

Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A (2) of the Act.

(Effectively the gross expenditure and transfers to reserves)

 

£68,409,160

(B)

Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A (3) of the Act.

(Effectively the gross income and transfers from reserves)

 

£60,585,493

(C)

Being the amount by which the aggregate at 2.3 (A) above exceeds the aggregate at 2.3 (B) above calculated by the Council in accordance with Section 31A (4) of the Act as its Council Tax Requirement for the year

 

£7,823,667

(D)

Being the amount at paragraph 2.3 (C)divided by amount at 2.2 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 (at Band D)

 

 

£249.84

(E)

Council Tax Valuation Bands

Conversion Factor to Band D

Watford’s Share (£)

A

6 / 9

166.56

B

7 / 9

194.32

C

8 / 9

222.08

D

1

249.84

E

11 / 9

305.36

F

13 / 9

360.88

G

15 / 9

416.40

H

2

499.68

 

Being the amounts given by multiplying the amount at paragraph 2.3 (D) 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 2016/17 in respect of categories of dwellings listed in different valuation bands

 

 

 

 

 

 

4.   That a report including precepts of both the Hertfordshire County Council and the Police and Crime Commissioner be presented to the Council Functions Committee on 25 February 2016 to set the total Council Tax.

 

Supporting documents:

 

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