Agenda item
Budget 2011/12
This report sets out the key decisions members are asked to make on the 2011/12 General Fund revenue budget, the 2011/12 schools budget, the 2011/12 Housing Revenue Account, the capital programme for 2011/12 to 2014/15 the treasury management strategy and prudential indicators aimed at ensuring the affordability of capital spending and a secure approach borrowing and investment.
Decision:
In respect of Section 3
1) to note the final 2009/10 outturn.
2) to note the latest forecast for the General Fund outturn (Appendix A(i)) for 2010/11.
3) to agree the 2010/11 budget virements (Appendix A(ii)).
In respect of Section 4
4) to note the process, including consultation, that has led to these budget proposals and also note that the council remains in discussion with a number of groups about the council’s library strategy, Charteris Sports Centre and other council services which may have an effect on the council budget.
5) to agree the General Fund revenue budget for 2011/12, as summarised in Appendix B, or consider any amendments to that budget.
6) to agree the Service Area budgets including the cost pressures, savings and other adjustments detailed in Appendices C and D.
7) to note Appendix F and agree the budgets for central items and other budgets, or consider any amendments to those budgets.
8) to note and, where appropriate, make provision for the contingent liabilities and risks set out in this section of the report.
9) to agree the approach to balances set out in the report.
10) to receive the report from the Director of Finance and Corporate Services in paragraph 4.36 in respect of his statutory duty under Section 25 of 2003 Local Government Act.
In respect of Section 5
11) note that the GLA precept will be approved at the meeting of the Greater London Assembly on 23rd February 2011.
12) to note the advice of officers regarding council tax levels.
13) to agree there is no surplus or deficit at 31st March 2010 for that part of the Collection Fund relating to community charge.
14) to note and consider the advice of the Director of Legal and Procurement as set out in Appendix M.
15) to agree the instalment dates for council tax and NNDR for 2010/11, and the recovery policy for council tax as set out in Appendix G(ii).
In respect of Section 6
16) to agree the Medium Term Financial Strategy and the provisional service area cash limits for 2012/13 to 2014/15 set out in Appendix H.
In respect of Section 7
17) to agree the Schools Budget set out in Appendix I(i).
In respect of Section 8
18) to agree the Housing Revenue Account budget set out in Appendix J.
In respect of Section 9
19) to note the latest forecast outturn position on the 2010/11 capital programme, and agree the revised budgets.
20) to note the properties included within the disposals programme set out in Appendix K(v).
21) to agree the 2011/12 to 2014/15 programme as set out in Appendix K(iii), including the new capital allocations.
22) to note the inclusion in this Capital Programme of all capital schemes, irrespective of the source of funding and agree that all schemes are subject to the approval procedures as set out in the Constitution.
23) to note the levels of unsupported borrowing forecast for 2011/12 and future years and the impact on council tax levels.
24) to adopt the policy on repayment of principal in 2011/12 as set out in paragraphs 9.15 to 9.22.
In respect of Section 10
25) Agree the Treasury Management Strategy and the Annual Investment Strategy for 2011/12.
In respect of Section 11
26) to note the requirements of the Prudential Code.
27) to agree the Prudential Indicators set out in this section for affordability, capital spending, external debt and treasury management.
28) to note the arrangements for monitoring and reporting on Prudential Indicators.
In respect of Section 12
29) to note and agree the procedures for controlling expenditure set out in section 12.
30) to agree the updated schedule of Provisions and Earmarked Reserves set out in Schedule 1 of Appendix N.
In addition
31) to authorise the council’s Director of Finance and Corporate Services to:
Make payments on approved capital schemes in 2011/12.
Borrow in 2011/12 up to the limits agreed within the Prudential Indicators.
Enter such leasing arrangements as are necessary to finance the programme for 2011/12 and terminate or renegotiate any existing leases.
Make such minor adjustments to budgets as are necessary.
The following sections of the recommendations relate to the calculation of the budget and council tax as set out by the statutory framework. Amendments to the above recommendations which alter figures in Appendix B will require this section to be changed to reflect these.
32) in agreeing the above recommendations and the budget in Appendix B, we note that the effect of all these measures is to produce overall council expenditure in 2011/12 of £268.895m.
33) that we note that £1.006m is attributable to the net deficit on the Collection Fund.
34) that we note that at its meeting on 25th January 2011 General Purposes Committee calculated the amount of 97,252 as its Council Tax Base for the year 2011/12 in accordance with the Local Authorities (calculation of Council Tax Base) Regulations 1992.
35) In relation to the council tax for 2011/12 we resolve:
That the following amounts be now calculated by the Council for the year 2010/11 in accordance with Sections 32 to 36 of the Local Government Finance Act 1992:
(a) £1,018,921,000 being the aggregate of the amount that the Council estimates for the items set out in Section 32(2)(a) to (e) of the Act.
(b) £751,032,000 being the aggregate of the amounts that the Council estimates for the items set out in Section 32(3)(a) to (c) of the Act.
(c) £267,889,000 being the amount by which the aggregate at (a) above exceeds the aggregate at (b) above, calculated by the Council, in accordance with Section 32(4) of the Act, as its budget requirement for the year.
(d) £164,905,000 being the aggregate of the sums which the Council estimates will be payable for the year into its general fund in respect of redistributed non-domestic rates and revenue support grant reduced by the amount of the sums which the Council estimates will be transferred in the year from its general fund to its collection fund in accordance with Section 97(4) of the Local Government Finance Act 1988.
(e) £1,058.94 being the amount at (c) above less the amount at (d) above, all divided by the amount for the taxbase specified 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.
(f) Valuation Bands
A |
B |
C |
D |
E |
£ |
£ |
£ |
£ |
£ |
705.96 |
823.62 |
941.28 |
1,058.94 |
1,294.26 |
F |
G |
H |
£ |
£ |
£ |
1,529.58 |
1,764.90 |
2,117.88 |
being the amounts given by multiplying the amount at (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.
36) that it be noted that for the year 2011/12 the Greater London Authority has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, in respect of the Greater London Authority, for each of the categories of dwellings shown below:
Valuation Bands |
||||
A |
B |
C |
D |
E |
£ |
£ |
£ |
£ |
£ |
206.55 |
240.97 |
275.40 |
309.82 |
378.67 |
F |
G |
H |
£ |
£ |
£ |
447.52 |
516.37 |
619.64 |
37) that, having calculated the aggregate in each case of the amounts at (f) and the precepting authority referred to in the preceding paragraph above, the Council, in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts of council tax for the year 2011/12 for each of the categories of dwellings shown below:
Valuation Bands |
A |
B |
C |
D |
E |
£ |
£ |
£ |
£ |
£ |
912.51 |
1,064.59 |
1,216.68 |
1,368.76 |
1,672.93 |
F |
G |
H |
£ |
£ |
£ |
1,977.10 |
2,281.27 |
2,737.52 |
38) (a) that the Director of Finance and Corporate Services be and is hereby authorised to give due notice of the said council tax in the manner provided by Section 38(2) of the 1992 Act.
(b) that the Director of Finance and Corporate Services be and is hereby authorised when necessary to apply for a summons against any council tax payer or non-domestic ratepayer on whom an account for the said tax or rate and any arrears has been duly served and who has failed to pay the amounts due to take all subsequent necessary action to recover them promptly.
(c) that the Director of Finance and Corporate Services be and is hereby authorised to collect revenues and distribute monies from the Collection Fund and is authorised to borrow or to lend money in accordance with the regulations to the maximum benefit of each fund.
Minutes:
The report from the Director of Finance and Corporate Services set out the key decisions to be made on the 2011/12 General Fund revenue budget; the 2011/12 Schools Budget; the 2011/12 Housing Revenue Account; the Council’s capital programme for 2011/12 to 2014/15; the Council’s treasury management strategy; and prudential indicators aimed at ensuring the affordability of capital spending and a secure approach to borrowing and investment.
Councillor Butt (Lead Member, Resources) introduced the budget report and the recommendations proposed to be made to Full Council. Councillor Butt referred to the emergency budget that had been announced by central government in June 2010 and the efforts that had been made to reduce the council’s projected overspend. £43M would have to be saved in 2011/12 and Councillor Butt acknowledged the anxiety being felt by the community from concerns expressed earlier in the meeting. Consideration was being given to all aspects of the council’s spending and the current efficiency savings programme would help to manage the process.
Councillor Powney moved an amendment to the recommendations in the report to add that the council was in discussion with community groups which may have an effect on the budget. The amendment was accepted.
RESOLVED:-
In respect of Section 3
1) to note the final 2009/10 outturn.
2) to note the latest forecast for the General Fund outturn (Appendix A(i)) for 2010/11.
3) to agree the 2010/11 budget virements (Appendix A(ii)).
In respect of Section 4
4) to note the process, including consultation, that has led to these budget proposals and also note that the council remains in discussion with a number of groups about the council’s library strategy, Charteris Sports Centre and other council services which may have an effect on the council budget.
5) to agree the General Fund revenue budget for 2011/12, as summarised in Appendix B, or consider any amendments to that budget.
6) to agree the Service Area budgets including the cost pressures, savings and other adjustments detailed in Appendices C and D.
7) to note Appendix F and agree the budgets for central items and other budgets, or consider any amendments to those budgets.
8) to note and, where appropriate, make provision for the contingent liabilities and risks set out in this section of the report.
9) to agree the approach to balances set out in the report.
10) to receive the report from the Director of Finance and Corporate Services in paragraph 4.36 in respect of his statutory duty under Section 25 of 2003 Local Government Act.
In respect of Section 5
11) note that the GLA precept will be approved at the meeting of the Greater London Assembly on 23rd February 2011.
12) to note the advice of officers regarding council tax levels.
13) to agree there is no surplus or deficit at 31st March 2010 for that part of the Collection Fund relating to community charge.
14) to note and consider the advice of the Director of Legal and Procurement as set out in Appendix M.
15) to agree the instalment dates for council tax and NNDR for 2010/11, and the recovery policy for council tax as set out in Appendix G(ii).
In respect of Section 6
16) to agree the Medium Term Financial Strategy and the provisional service area cash limits for 2012/13 to 2014/15 set out in Appendix H.
In respect of Section 7
17) to agree the Schools Budget set out in Appendix I(i).
In respect of Section 8
18) to agree the Housing Revenue Account budget set out in Appendix J.
In respect of Section 9
19) to note the latest forecast outturn position on the 2010/11 capital programme, and agree the revised budgets.
20) to note the properties included within the disposals programme set out in Appendix K(v).
21) to agree the 2011/12 to 2014/15 programme as set out in Appendix K(iii), including the new capital allocations.
22) to note the inclusion in this Capital Programme of all capital schemes, irrespective of the source of funding and agree that all schemes are subject to the approval procedures as set out in the Constitution.
23) to note the levels of unsupported borrowing forecast for 2011/12 and future years and the impact on council tax levels.
24) to adopt the policy on repayment of principal in 2011/12 as set out in paragraphs 9.15 to 9.22.
In respect of Section 10
25) Agree the Treasury Management Strategy and the Annual Investment Strategy for 2011/12.
In respect of Section 11
26) to note the requirements of the Prudential Code.
27) to agree the Prudential Indicators set out in this section for affordability, capital spending, external debt and treasury management.
28) to note the arrangements for monitoring and reporting on Prudential Indicators.
In respect of Section 12
29) to note and agree the procedures for controlling expenditure set out in section 12.
30) to agree the updated schedule of Provisions and Earmarked Reserves set out in Schedule 1 of Appendix N.
In addition
31) to authorise the council’s Director of Finance and Corporate Services to:
Make payments on approved capital schemes in 2011/12.
Borrow in 2011/12 up to the limits agreed within the Prudential Indicators.
Enter such leasing arrangements as are necessary to finance the programme for 2011/12 and terminate or renegotiate any existing leases.
Make such minor adjustments to budgets as are necessary.
The following sections of the recommendations relate to the calculation of the budget and council tax as set out by the statutory framework. Amendments to the above recommendations which alter figures in Appendix B will require this section to be changed to reflect these.
32) in agreeing the above recommendations and the budget in Appendix B, we note that the effect of all these measures is to produce overall council expenditure in 2011/12 of £268.895m.
33) that we note that £1.006m is attributable to the net deficit on the Collection Fund.
34) that we note that at its meeting on 25 January 2011 General Purposes Committee calculated the amount of 97,252 as its Council Tax Base for the year 2011/12 in accordance with the Local Authorities (calculation of Council Tax Base) Regulations 1992.
35) In relation to the council tax for 2011/12 we resolve:
That the following amounts be now calculated by the Council for the year 2010/11 in accordance with Sections 32 to 36 of the Local Government Finance Act 1992:
(a) £1,018,921,000 being the aggregate of the amount that the Council estimates for the items set out in Section 32(2)(a) to (e) of the Act.
(b) £751,032,000 being the aggregate of the amounts that the Council estimates for the items set out in Section 32(3)(a) to (c) of the Act.
(c) £267,889,000 being the amount by which the aggregate at (a) above exceeds the aggregate at (b) above, calculated by the Council, in accordance with Section 32(4) of the Act, as its budget requirement for the year.
(d) £164,905,000 being the aggregate of the sums which the Council estimates will be payable for the year into its general fund in respect of redistributed non-domestic rates and revenue support grant reduced by the amount of the sums which the Council estimates will be transferred in the year from its general fund to its collection fund in accordance with Section 97(4) of the Local Government Finance Act 1988.
(e) £1,058.94 being the amount at (c) above less the amount at (d) above, all divided by the amount for the taxbase specified 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.
(f) Valuation Bands
A |
B |
C |
D |
E |
F |
G |
H |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
705.96 |
823.62 |
941.28 |
1,058.94 |
1,294.26 |
1,529.58 |
1,764.90 |
2,117.88 |
being the amounts given by multiplying the amount at (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.
36) that it be noted that for the year 2011/12 the Greater London Authority has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, in respect of the Greater London Authority, for each of the categories of dwellings shown below:
A |
B |
C |
D |
E |
F |
G |
H |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
206.55 |
240.97 |
275.40 |
309.82 |
378.67 |
447.52 |
516.37 |
619.64 |
37) that, having calculated the aggregate in each case of the amounts at (f) and the precepting authority referred to in the preceding paragraph above, the Council, in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts of council tax for the year 2011/12 for each of the categories of dwellings shown below:
Valuation Bands
A |
B |
C |
D |
E |
F |
G |
H |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
£ |
912.51 |
1,064.59 |
1,216.68 |
1,368.76 |
1,672.93 |
1,977.10 |
2,281.27 |
2,737.52 |
38) (a) that the Director of Finance and Corporate Services be and is hereby authorised to give due notice of the said council tax in the manner provided by Section 38(2) of the 1992 Act.
(b) that the Director of Finance and Corporate Services be and is hereby authorised when necessary to apply for a summons against any council tax payer or non-domestic ratepayer on whom an account for the said tax or rate and any arrears has been duly served and who has failed to pay the amounts due to take all subsequent necessary action to recover them promptly.
(c) that the Director of Finance and Corporate Services be and is hereby authorised to collect revenues and distribute monies from the Collection Fund and is authorised to borrow or to lend money in accordance with the regulations to the maximum benefit of each fund.
Supporting documents:
- 00 Contents, item 18. PDF 74 KB
- 000-exec-summary, item 18. PDF 90 KB
- 01-introduction, item 18. PDF 49 KB
- 02-recommendations, item 18. PDF 74 KB
- 03-probable-outturn, item 18. PDF 79 KB
- 04-2011-12-revenue-requirement, item 18. PDF 143 KB
- 05-resources, item 18. PDF 111 KB
- 06-the-future, item 18. PDF 100 KB
- 07-schools, item 18. PDF 64 KB
- 08-hra-11-12, item 18. PDF 70 KB
- 09-capital, item 18. PDF 139 KB
- 10-treasury, item 18. PDF 136 KB
- 11-prudential, item 18. PDF 88 KB
- 12-control, item 18. PDF 90 KB
- 13-appendices, item 18. PDF 52 KB
- 14-appendix-a, item 18. PDF 36 KB
- 15-appendix-b, item 18. PDF 15 KB
- 16-appendix-c, item 18. PDF 41 KB
- 17-appendix-d, item 18. PDF 121 KB
- 18-appendix-d(ii), item 18. PDF 93 KB
- 19-appendix-d(iii), item 18. PDF 72 KB
- 20-appendix-d(iv), item 18. PDF 115 KB
- 21-appendix-e(i), item 18. PDF 62 KB
- 22-appendix-e(ii), item 18. PDF 176 KB
- 23-appendix-f, item 18. PDF 154 KB
- 24-appendix-f, item 18. PDF 16 KB
- 25-appendix-g(i), item 18. PDF 42 KB
- 26-appendix-g(ii), item 18. PDF 93 KB
- 27-appendix-h, item 18. PDF 28 KB
- 28-appendix-i(i), item 18. PDF 71 KB
- 29-appendix-i(ii), item 18. PDF 146 KB
- 30-appendix-j, item 18. PDF 23 KB
- 31-appendix-k(i), item 18. PDF 50 KB
- 32-appendix-k(ii), item 18. PDF 240 KB
- 33-appendix-k(iii), item 18. PDF 39 KB
- 34-appendix-k(iv), item 18. PDF 116 KB
- 35-appendix-k(v), item 18. PDF 7 KB
- 36-appendix-l(i)-l(iii), item 18. PDF 134 KB
- 37-appendix-m, item 18. PDF 108 KB
- 38-appendix-n, item 18. PDF 108 KB
- 39-appendix-o, item 18. PDF 44 KB