Agenda item

Paragraph 1 (Treasury Management Policy and Strategy) and Paragraph 5 (Conservators of Ashdown Forest Budget)

 

52.1 Councillor Glazier moved the reserved paragraphs (paragraph 1 and 5) of the Cabinet’s report.

52.2 The motions were CARRIED after debate

 

Paragraph 2 –Reconciling Policy, Performance and Resources

 

52.3 Under Standing Order 23, the Council agreed that the speeches of the Leaders of the five groups (or their nominees) on paragraph 2 of the Cabinet’s report should be extended beyond five minutes.

 

52.4     Councillor Elkin moved the adoption of paragraph 2 of the Cabinet’s report.

 

52.5     The following amendment was moved by Councillor Tutt and seconded:

 

Delete paragraph 2.53 of the Cabinet’s report and replace with:-

 

 

            (1)  approve, in principle, the draft Council Plan at Appendix 6 and authorise the Chief Executive to finalise the Plan in consultation with the relevant Lead Members;

 

           (2)  approve the net Revenue Budget estimates totalling £371.3m for 2018/19 as set out in Appendices 4 (Medium Term Financial Plan) and 5 (Budget Summary) and authorise the Chief Operating Officer, in consultation with the Chief Finance Officer, Leader and Deputy Leader, to make adjustments to the presentation of the budget to reflect the final settlement and budget decisions with the following amendments

 

1.    Reinstate savings proposed for Older People Services: Review of Milton Grange and Firwood House Intermediate Care Services - £1,232,000

2.    Reinstate savings proposed for Assessment & Care Management - £1,958,000

3.    Reinstate savings proposed for Supporting People: Accommodation and Building Services - £800,000

4.    Reinstate savings proposed for Carers - £422,000

5.    Reinstate savings proposed for the Stroke Association - £79,000

6.    Reinstate savings proposed for Early Help (noting that the target for 2018/19 was to be temporarily mitigated from reserves) - £1,561,000

7.    Reinstate savings proposed for Home to School Transport - £567,000

8.    Partially reinstate savings proposed for closure of seven libraries - £350,000

9.    Partially reinstate savings proposed for grass cutting - £200,000

 

Total of proposed revenue amendments - £7,169,000

 

To be funded by:

 

10.  Reduce Venue Hire budgets - £95,000

11.  Reduce staffing budgets by a vacancy factor of 2.5% - £3,535,000

12.  Reduce Business Services/Orbis budget - £200,000

13.  Reduce Property Maintenance budget - £50,000

14.  Reduce Communications budget - £500,000

15.  Reduce Senior Management & Organisational Development (SMOD) operational budget - £87,700

16.  Reduce Senior Management & Organisational Development (SMOD) external legal services budget - £50,000

17.  Remove Core Maintenance budget and replace with Parking Surplus - £150,000

18.  Reduce budget for Waste - £300,000

19.  Reduce Cultural Strategy budget - £40,000

20.  Reduce revenue contribution to capital from £4.0m to £3.4m - £561,900

21.  Less cost of borrowing for reducing revenue contribution to capital - (£100,600)

22.  Use annuity method to calculate the Minimum Revenue Provision - £1,600,000

23.  Set target income for impact of new short term investment strategy - £100,000

 

Total of proposed revenue funding amendments - £7,169,000

 

24.  Additionally, to ring-fence £1.0m from the Priority Outcomes & Transformation Reserve to fund a transformation and restructuring programme.

 

 

            (3)  in accordance with the Local Government Finance Act 1992 to agree that:

 

(i)           the net budget requirement is £371.3m and the amount calculated by East Sussex County Council  as its council tax requirement (see Appendix 6) for the year 2018/19 is £276.7m

 

(ii)           the amount calculated by East Sussex County Council as the basic amount of its council tax (i.e. for a band D property) for the year 2018/19 is £1,393.11 and represents a 5.99% (3% of which relates to the Adult Social Care precept) increase on the previous year;

 

(4)  advise the District and Borough Councils of the relevant amounts payable and council tax in other bands in line with the regulations and to issue precepts accordingly in accordance with an agreed schedule of instalments as set out at Appendix 9;

 

(5) approve the fees and charges set out in Appendix 8 and delegate authority to the Chief Finance Officer to approve an increase to all other fees and charges by up to 2%;

 

(6)  approve the Capital Programme for 2017 – 2023 as set out at Appendix 10;

 

(7)  note the Medium Term Financial Plan forecast for the period 2018/19 to 2020/21 as set out in Appendix 4; and

 

(8)  note the comments of the Chief Finance Officer on budget risks and robustness as set out in Appendix 11;

 

(9)  note the comments from the engagement exercises as set out in Appendix 12; and

 

(10) delegate authority to the Chief Finance Officer to set fees and charges for 2019/20 onwards and to report to Cabinet and County Council on those set at a level above inflation as part of the quarterly monitoring.

 

52.6     The Chief Finance Officer informed the Council that he had a statutory duty to review and comment on the robustness of budget proposals and whether proposals are deliverable and sustainable. He reported that there was no model to allocate the proposed reduction in staffing budgets by a vacancy control factor and it was not clear how the proposal would be delivered and what impact there would be on services. The Chief Finance officer stated that he was not able to issue a statement of robustness in relation to the amendment.

 

52.7     The Assistant Chief Executive reported that the Council must have regard to the report of the Chief Finance Officer but that the decision in relation to the budget rests with councillors.            

 

52.8     A recorded vote on Councillor Tutt’s amendment was taken. The amendment was LOST, the votes being cast as follows:

 

FOR THE AMENDMENT

Councillors Philip Daniel, Field, Grover, Lambert, Rodohan, Daniel Shing, Stephen Shing, Shuttleworth. Swansborough, Tutt, Ungar and Wallis

 

AGAINST THE AMENDMENT

Councillors Barnes, Beaver, Belsey, Bennett, Bentley, Boorman, Bowdler, Charman, Charles Clark, Martin Clarke, Godfrey Daniel, Davies, Chris Dowling, Claire Dowling, Earl, Elford, Elkin, Enever, Ensor, Fox, Galley, Glazier, Liddiard, Loe, Maynard, Pragnell, Scott, Sheppard, Simmons, Smith, Standley, Stogdon, Taylor, Tidy, Webb and Whetstone

 

ABSTENTIONS

Councillor O’Keeffe

 

52.9     The following amendment was moved by Councillor Webb and seconded:

 

Delete paragraph 2.53 of the Cabinet’s report and replace with:-

 

 

            (1)  approve, in principle, the draft Council Plan at Appendix 6 and authorise the Chief Executive to finalise the Plan in consultation with the relevant Lead Members;

 

           (2)  approve the net Revenue Budget estimates totalling £371.3m for 2018/19 as set out in Appendices 4 (Medium Term Financial Plan) and 5 (Budget Summary) and authorise the Chief Operating Officer, in consultation with the Chief Finance Officer, Leader and Deputy Leader, to make adjustments to the presentation of the budget to reflect the final settlement and budget decisions with the following amendments

 

1.    Reinstate savings proposed for Older People Services: Review of Milton Grange and Firwood House Intermediate Care Services - £1,232,000

2.    Reinstate savings proposed for the Stroke Association - £79,000

3.    Reinstate savings proposed for Ore library - £38,000

 

Total of proposed revenue amendments - £1,349,000

 

To be funded by:

 

4.    Reduce general contingency from 1% to 0.8% of net revenue budget excluding Treasury Management (with an increase of £2.1m in general fund from unallocated reserves to maintain robustness of the budget) - £700,000

5.    Reduce revenue contribution to capital - £790,000

6.    Less cost of borrowing for reducing revenue contribution to capital – (£141,000)

 

Total of proposed revenue funding amendments - £1,349,000

 

 

            (3)  in accordance with the Local Government Finance Act 1992 to agree that:

 

(i)           the net budget requirement is £371.3m and the amount calculated by East Sussex County Council  as its council tax requirement (see Appendix 6) for the year 2018/19 is £276.7m

 

(ii)           the amount calculated by East Sussex County Council as the basic amount of its council tax (i.e. for a band D property) for the year 2018/19 is £1,393.11 and represents a 5.99% (3% of which relates to the Adult Social Care precept) increase on the previous year;

 

(4)  advise the District and Borough Councils of the relevant amounts payable and council tax in other bands in line with the regulations and to issue precepts accordingly in accordance with an agreed schedule of instalments as set out at Appendix 9;

 

(5) approve the fees and charges set out in Appendix 8 and delegate authority to the Chief Finance Officer to approve an increase to all other fees and charges by up to 2%;

 

(6)  approve the Capital Programme for 2017 – 2023 as set out at Appendix 10;

 

(7)  note the Medium Term Financial Plan forecast for the period 2018/19 to 2020/21 as set out in Appendix 4; and

 

(8)  note the comments of the Chief Finance Officer on budget risks and robustness as set out in Appendix 11;

 

(9)  note the comments from the engagement exercises as set out in Appendix 12; and

 

(10) delegate authority to the Chief Finance Officer to set fees and charges for 2019/20 onwards and to report to Cabinet and County Council on those set at a level above inflation as part of the quarterly monitoring.

 

52.10   A recorded vote on Councillor Webb’s amendment was taken. The amendment was LOST, the votes being cast as follows:

 

FOR THE AMENDMENT

Councillors Charman, Godfrey Daniel, Philip Daniel, Field, Grover, Lambert, O’Keeffe, Rodohan, Scott, Daniel Shing, Stephen Shing, Shuttleworth, Swansborough, Tutt, Ungar, Wallis and Webb

 

AGAINST THE AMENDMENT

Councillors Barnes, Beaver, Belsey, Bennett, Bentley, Boorman, Bowdler, Charles Clark, Martin Clarke, Davies, Chris Dowling, Claire Dowling, Earl, Elford, Elkin, Enever, Ensor, Fox, Galley, Glazier, Liddiard, Loe, Maynard, Pragnell, Sheppard, Simmons, Smith, Standley, Stogdon, Taylor, Tidy, and Whetstone

 

ABSTENTIONS

None

5.11     The following amendment was moved by Councillor Stephen Shing and seconded:

 

Delete paragraph 2.53 of the Cabinet’s report and replace with:-

 

(1)  approve, in principle, the draft Council Plan at Appendix 6 and authorise the Chief Executive to finalise the Plan in consultation with the relevant Lead Members;

 

           (2)  approve the net Revenue Budget estimates totalling £371.3m for 2018/19 as set out in Appendices 4 (Medium Term Financial Plan) and 5 (Budget Summary) and authorise the Chief Operating Officer, in consultation with the Chief Finance Officer, Leader and Deputy Leader, to make adjustments to the presentation of the budget to reflect the final settlement and budget decisions with the following amendments

 

1.Reinstate savings proposed for the Stroke Association - £79,000

2.Reinstate savings proposed to ensure one library from either Willingdon or Polegate remains open - £72,000

 

Total of proposed revenue amendments - £151,000

 

To be funded by:

 

3.Reduce general contingency from 1% to 0.96% (rounded) of net revenue budget excluding Treasury Management (with an increase of £453,000 in general fund from unallocated reserves to maintain robustness of the budget) - £151,000

 

Total of proposed revenue funding amendments - £151,000

 

 

            (3)  in accordance with the Local Government Finance Act 1992 to agree that:

 

(iii)         the net budget requirement is £371.3m and the amount calculated by East Sussex County Council  as its council tax requirement (see Appendix 6) for the year 2018/19 is £276.7m

 

(iv)         the amount calculated by East Sussex County Council as the basic amount of its council tax (i.e. for a band D property) for the year 2018/19 is £1,393.11 and represents a 5.99% (3% of which relates to the Adult Social Care precept) increase on the previous year;

 

(4)  advise the District and Borough Councils of the relevant amounts payable and council tax in other bands in line with the regulations and to issue precepts accordingly in accordance with an agreed schedule of instalments as set out at Appendix 9;

 

(5) approve the fees and charges set out in Appendix 8 and delegate authority to the Chief Finance Officer to approve an increase to all other fees and charges by up to 2%;

 

(6)  approve the Capital Programme for 2017 – 2023 as set out at Appendix 10;

 

(7)  note the Medium Term Financial Plan forecast for the period 2018/19 to 2020/21 as set out in Appendix 4; and

 

(8)  note the comments of the Chief Finance Officer on budget risks and robustness as set out in Appendix 11;

 

(9)  note the comments from the engagement exercises as set out in Appendix 12; and

 

(10) delegate authority to the Chief Finance Officer to set fees and charges for 2019/20 onwards and to report to Cabinet and County Council on those set at a level above inflation as part of the quarterly monitoring.

 

 

 52.12  A recorded vote on Councillor Stephen Shing’s’s amendment was taken. The amendment was LOST, the votes being cast as follows:

 

FOR THE AMENDMENT

Councillors Philip Daniel, Field, Grover, Lambert, O’Keeffe, Rodohan, Daniel Shing, Stephen Shing, Shuttleworth, Swansborough, Tutt, Ungar and Wallis

 

AGAINST THE AMENDMENT

Councillors Barnes, Beaver, Belsey, Bennett, Bentley, Boorman, Bowdler, Charles Clark, Martin Clarke, Davies, Chris Dowling, Claire Dowling, Earl, Elford, Elkin, Enever, Ensor, Fox, Galley, Glazier, Liddiard, Loe, Maynard, Pragnell, Sheppard, Simmons, Smith, Standley, Stogdon, Taylor, Tidy, and Whetstone

 

ABSTENTIONS

Councillors Charman, Godfrey Daniel, Scott and Webb

 

52.13   The following amendment was moved by Councillor O’Keeffe and seconded:

 

Delete paragraph 2.53 of the Cabinet’s report and replace with:-

 

 

            (1)  approve, in principle, the draft Council Plan at Appendix 6 and authorise the Chief Executive to finalise the Plan in consultation with the relevant Lead Members;

 

           (2)  approve the net Revenue Budget estimates totalling £371.3m for 2018/19 as set out in Appendices 4 (Medium Term Financial Plan) and 5 (Budget Summary) and authorise the Chief Operating Officer, in consultation with the Chief Finance Officer, Leader and Deputy Leader, to make adjustments to the presentation of the budget to reflect the final settlement and budget decisions with the following amendments

 

1.    Reinstate savings proposed for Older People Services: Review of Milton Grange and Firwood House Intermediate Care Services - £1,232,000

2.    Reinstate savings proposed for Assessment & Care Management - £958,000

3.    Reinstate savings proposed for Supporting People: Accommodation and Building Services - £600,000

4.    Reinstate savings proposed for Carers - £422,000

5.    Reinstate savings proposed for the Stroke Association - £79,000

6.    Reinstate savings proposed for Early Help (noting that the target for 2018/19 was to be temporarily mitigated from reserves) - £561,000

7.    Reinstate savings proposed for Home to School Transport - £567,000

8.    Partially reinstate savings proposed for closure of seven libraries - £350,000

 

Total of proposed revenue amendments - £4,769,000

 

To be funded by:

 

7.    Reduce Venue Hire budgets - £95,000

8.    Reduce general contingency from 1% to 0.8% of net revenue budget excluding Treasury Management (with an increase of £2.1m in general fund from unallocated reserves to maintain robustness of the budget) - £700,000

9.    Reduce Business Services/Orbis budget - £200,000

10.  Reduce Property Maintenance budget - £50,000

11.  Reduce Communications budget - £500,000

12.  Reduce Senior Management & Organisational Development (SMOD) operational budget - £87,700

13.  Reduce Senior Management & Organisational Development (SMOD) external legal services budget - £50,000

14.  Remove Core Maintenance budget and replace with Parking Surplus - £150,000

15.  Reduce budget for Waste - £300,000

16.  Reduce Cultural Strategy budget - £40,000

17.  Reduce revenue contribution to capital from £4.0m to £2.9m - £1,091,700

18.  Less increased cost of borrowing for reducing revenue contribution to capital - (£195,400)

19.  Use annuity method to calculate the Minimum Revenue Provision - £1,600,000

20.  Set target income for impact of new short term investment strategy - £100,000

 

Total of proposed revenue funding amendments - £4,769,000

 

21.  Additionally, to ring-fence £1.0m from the Priority Outcomes & Transformation Reserve to fund a transformation and restructuring programme.

 

 

            (3)  in accordance with the Local Government Finance Act 1992 to agree that:

 

(v)          the net budget requirement is £371.3m and the amount calculated by East Sussex County Council  as its council tax requirement (see Appendix 6) for the year 2018/19 is £276.7m

 

(vi)         the amount calculated by East Sussex County Council as the basic amount of its council tax (i.e. for a band D property) for the year 2018/19 is £1,393.11 and represents a 5.99% (3% of which relates to the Adult Social Care precept) increase on the previous year;

 

(4)  advise the District and Borough Councils of the relevant amounts payable and council tax in other bands in line with the regulations and to issue precepts accordingly in accordance with an agreed schedule of instalments as set out at Appendix 9;

 

(5) approve the fees and charges set out in Appendix 8 and delegate authority to the Chief Finance Officer to approve an increase to all other fees and charges by up to 2%;

 

(6)  approve the Capital Programme for 2017 – 2023 as set out at Appendix 10;

 

(7)  note the Medium Term Financial Plan forecast for the period 2018/19 to 2020/21 as set out in Appendix 4; and

 

(8)  note the comments of the Chief Finance Officer on budget risks and robustness as set out in Appendix 11;

 

(9)  note the comments from the engagement exercises as set out in Appendix 12; and

 

(10) delegate authority to the Chief Finance Officer to set fees and charges for 2019/20 onwards and to report to Cabinet and County Council on those set at a level above inflation as part of the quarterly monitoring.

 

52.14   A recorded vote was taken on Councillor O’Keeffe’s amendment. The amendment was LOST, the votes being cast as follows:

 

FOR THE AMENDMENT

Councillors Charles Clark, Philip Daniel, Earl, Field, Grover, Lambert, O’Keeffe, Rodohan, Daniel Shing, Stephen Shing, Shuttleworth, Swansborough, Tutt, Ungar and Wallis

 

AGAINST THE AMENDMENT

Councillors Barnes, Beaver, Belsey, Bennett, Bentley, Boorman, Bowdler, Martin Clarke, Davies, Chris Dowling, Claire Dowling, Elford, Elkin, Enever, Ensor, Fox, Galley, Glazier, Liddiard, Loe, Maynard, Pragnell, Sheppard, Simmons, Smith, Standley, Stogdon, Taylor, Tidy, and Whetstone

 

ABSTENTIONS

Councillors Charman, Godfrey Daniel, Scott and Webb

 

52.15   The following motion was moved by Councillor Elkin to adopted paragraph 2 of the Cabinet report:

 

(1)  approve, in principle, the draft Council Plan at Appendix 6 and authorise the Chief Executive to finalise the Plan in consultation with the relevant Lead Members;

 

 (2)  approve the net Revenue Budget estimates totalling £371.3m for  2018/19 as set out in Appendices 4 (Medium Term Financial Plan) and 5 (Budget Summary) and authorise the Chief Operating Officer, in consultation with the Chief Finance Officer, Leader and Deputy Leader, to make adjustments to the presentation of the budget to reflect the final settlement and budget decisions;

 

(3)  in accordance with the Local Government Finance Act 1992 to agree that:

 

(i)            the net budget requirement is £371.3m and the amount calculated by East Sussex County Council  as its council tax requirement (see Appendix 9) for the year 2018/19 is £276.7m;

 

(ii)           the amount calculated by East Sussex County Council as the basic amount of its council tax (i.e. for a band D property) for the year 2018/19 is £1,393.11 and represents a 5.99% (3% of which relates to the Adult Social Care precept) increase on the previous year;

 

(4)  advise the District and Borough Councils of the relevant amounts payable and council tax in other bands in line with the regulations and to issue precepts accordingly in accordance with an agreed schedule of instalments as set out at Appendix 9

 

(5) approve the fees and charges set out in Appendix 8  and delegate authority to the Chief Finance Officer to approve an increase to all other fees and charges by up to 2%;

 

(6)  approve the Capital Programme for 2017 – 2023 as set out at Appendix 10;

 

(7)  note the Medium Term Financial Plan forecast for the period 2018/19 to 2020/21 as set out in Appendix 4; and

 

(8)  note the comments of the Chief Finance Officer on budget risks and robustness as set out in Appendix 11;

 

(9)  note the comments from the engagement exercises as set out in Appendix 12; and

 

(10) delegate authority to the Chief Finance Officer to set fees and charges for 2019/20 onwards and to report to Cabinet and County Council on those set at a level above inflation as part of the quarterly monitoring

 

52.16   A recorded vote on Councillor Elkin’s motion was taken. The motion was carried with the votes being cast as follows:

 

 

FOR THE MOTION

Councillors Barnes, Beaver, Belsey, Bennett, Bentley, Boorman, Bowdler, Martin Clarke, Davies, Chris Dowling, Claire Dowling, Earl, Elford, Elkin, Enever, Ensor, Fox, Galley, Glazier, Liddiard, Loe, Maynard, Pragnell, Sheppard, Simmons, Smith, Standley, Stogdon, Taylor, Tidy, and Whetstone

 

AGAINST THE MOTION

Councillors Charman, Charles Clark, Godfrey Daniel, Philip Daniel, Field, Grover, Lambert, O’Keeffe, Rodohan, Scott, Daniel Shing, Stephen Shing, Shuttleworth, Swansborough, Tutt, Ungar, Wallis and Webb

 

ABSTENTIONS

None