Agenda item

Revenue Budget Proposals for 2020/21

Minutes:

A report was considered that presented the draft Revenue Budget Proposals for 2020-21.  The report noted that these proposals had been considered by the Executive on 19th December 2019 (minute E.61/19 refers) and then the joint meeting of the Overview and Scrutiny Panel and the Development Management Committee (minute OSDM.3/19 refers) on 23rd January 2020.  The Leader presented the report to the Executive and outlined the changes following its passage through the above meetings. 

 

The Leader clarified recommendation 5 following the recent meeting held with South Hams CVS.  Despite further requests being made, financial information regarding use of funding was still not forthcoming from CVS and their representatives had confirmed that they did not invite local Town and Parish Councils to make any funding contributions to their organisation.  It was therefore suggested that £5,000 be made as a contribution from the Council towards core costs in 2020/21.  The Council had approved a commissioning model for voluntary funding with possible crowd funding opportunities being available for the following year.

 

The Leader and S151 Officer responded to questions of clarity, including that Recommendation 7 was proposed to be a one-off amount of money with the Climate Change and Biodiversity Working Group having a key role in deciding how this was spent. There was an additional recommendation (Recommendation 14) proposed to ensure that tenants were paying an open market rent specifically in relation to Citizens Advice South Hams’ offices at Follaton House.  This approach would ensure tenants were paying an Open Market Rent, with the budget reflecting market rent prices.  As a result, there would be a Net Nil impact on the 2020-21 Budget as the two corresponding entries would equate to Nil.

 

It was then RESOLVED that the Executive RECOMMEND to Council:

 

1.     To increase Council Tax for 2020/21 by £5 (Band D of £170.42 for 2020/21 – an increase of 10 pence per week or £5 per year – equates to a 3.02% increase)

2.     The financial pressures shown in Appendix A of £1,603,640 (amended to £1,600,640 to reflect Recommendation 5 being for £5,000)

3.     The net contributions to/(from) Earmarked Reserves of (£117,843) as shown in Appendix D

4.     The savings of £904,877 as shown in Appendix A

5.     Partnership funding levels set out in 2.38 of the presented report, with the addition of £5,000 to the CVS for 2020/21 only

6.     The use of £564,143 of New Homes Bonus funding to fund the 2020/21 Revenue Budget as set out in 2.25 of the report

7.     The use of £400,000 of New Homes Bonus funding to set up an emergency climate change projects Earmarked Reserve (2.20)

8.     To transfer the unallocated balance (currently £235,016) of New Homes Bonus into the New Homes Bonus Earmarked Reserve, with its future use to be decided when more details are known about the Spending Review for 2021/22 and following a Government consultation document on a replacement scheme for NHB which will be published in the Spring of 2020

9.     The inclusion of an Economy post (shared with West Devon Borough Council within the staffing establishment for two years, as 2.37)

10.  To delegate to the S151 Officer, in consultation with the Leader and Executive Member for Finance to agree the final amount of New Homes Bonus funding for the Dartmoor National Park Sustainable Community Fund for 2020/21

11.  That the Council should set its total net expenditure for 2020/21 as shown in Appendix B as £9,413,672  (amended to £9,410,672 to reflect Recommendation 5 being for £5,000)

12.  That the minimum level of the Unearmarked Revenue Reserve is maintained at £1.5 million.

13.  That the level of reserves as set out within this report and the assessment of their adequacy and the robustness of budget estimates are noted. This is a requirement of Part 2 of the Local Government Act 2003.

14.To delegate authority to the S151 Officer, in consultation with the Leader of the Council, to carry out a virement within the 2020-21 Budget, to increase both the partnership expenditure budget by £9,000 and the estates management income budget by £9,000, to reflect a commercial rate of rent for the Citizens Advice Bureau but also to ensure no loss of service provision to local residents.

 

 

Supporting documents: