Agenda item

* O&S 81       

Members were presented with a report that asked for consideration of the draft Budget proposals for 2019-20 and onwards.

The Leader of Council introduced the report and specifically highlighted the updates to the Budget position since the Hub Committee meeting had considered the matter at its meeting on 4 December 2018 (Minute HC *49 refers).

In the ensuing debate, particular reference was made to:-

(a)   confirmation that the monies allocated from the Better Care Fund were sufficient to finance Disabled Facilities Grants;

(b)   income from investments in Commercial Property.  In response to a question, officers advised that the proposed £120,000 Year 4 (2022/23) income could consist of a combination of potential commercial development in the Borough and property acquisitions outside of West Devon;

(c)    delivery of rural services.  The Leader informed that the Rural Services Network and Local Government Association continued to rigorously lobby Central Government to point out the distinct differences between rural and urban service delivery;

(d)  the waste collection service.  The Section 151 Officer confirmed that trials would be needed to inform the level of savings achievable from a three weekly waste collection and a report would be presented to the Hub Committee by the end of June 2019;

(e)   the future Budget gap.  Whilst the Council was facing severe challenges to fill its Budget gap, Members made reference to a number of the measures that had already been implemented.  These, coupled with some of the future proposals and the findings of the recent Peer Review, left some Members confident that the Council would have options and the ability to close its future Budget gap;

(f)     the proposed Community Grant reductions.  Whilst he would reluctantly support the recommendation, a Member did express his disappointment over the proposed grant reductions to some Community Groups.  For clarity, it was confirmed that there was currently no intention to recommend a reduction in grant awarded to Citizens’ Advice.

It was then:

RESOLVED

That, as part of the 2019/20 Budget Setting process, the Hub Committee take into account that the Overview and Scrutiny Committee support:

1.     the proposed increase in Council Tax for 2019/20 of 2.99% (Band D of £231.63 for 2019/20 – an increase of 13 pence per week or £6.72 per year);

2.     the proposed financial pressures of £420,000 (as shown in Appendix A of the presented agenda report);

3.     the proposed contributions to Earmarked Reserves of £120,000 and transfer of the one-off 2019/20 Budget Surplus of £73,135 into the Future Financial Stability Earmarked Reserve to assist in meeting the predicted Budget gap of £504,242 in 2020/21;

4.     the proposed savings of £684,700 (as shown in Appendix A of the presented agenda report);

5.     the proposed use of £375,000 of New Homes Bonus funding to fund the 2019/20 Revenue Budget (as set out in Section 4.6 of the presented agenda report); and

6.     the recommendations of the Financial Stability Review Group on Earmarked Reserves (as set out in paragraphs 10.2 and 10.3 of the presented agenda report) and agree that these should be recommended in the final Budget Proposals report for 2019/20 (to be presented to the Council meeting on 12 February 2019).