Agenda item

Members considered a report that asked for their views on the content of the draft Revenue Budget Proposals report for 2020-21.

 

In discussion, particular reference was made to:-

 

(a)   a Community Transport scheme being developed in Kingsbridge.  Whilst there had been no requests made for funding for 2020-21, if such a scheme was developed in Kingsbridge, then representatives would be encouraged to submit a request to the Council that would be considered during the 2021-22 draft budget setting process;

 

(b)   Employment Estates Income of £25,000.  A Member sought confirmation that this income was for the Ermington Business Units.  In reply, officers confirmed that this was the case;

 

(c)   the budget pressure derived from Housing Benefit Overpayment recoveries.  When questioned, the Section 151 Officer confirmed that, as a consequence of the Universal Credit scheme and the Department of Work and Pensions Real Time Information Referrals, there were now fewer Overpayments being generated in real time and this had created a budget pressure.  However, the Section 151 Officer also confirmed that this budget pressure would have no detrimental impact on claimants and was purely due to less Overpayments being generated;

 

(d)   the Marine Infrastructure Reserve.  Officers confirmed that the delay in the Batson project would result in the allocated £68,000 being retained within the Marine Infrastructure Reserve;

 

(e)   an alternative set of Revenue Budget recommendations were PROPOSED and SECONDED as follows:-

 

‘1.    That a fund of £400,000 be set up for Emergency Climate Change projects in order to give effect to the Action Plan being produced by the Council.  It is proposed that part of the fund be open to bids from Community Groups with proposals for Climate Change projects.  The mechanism for providing such funds to be established as well as the extent of the expenditure by the Council and that awarded to Community Groups;

 

2.    That car parking charges for all car parks be frozen (cost £80,000);

 

3.    That the budget gap of £51,543 be closed.

 

(NB. the total additional expenditure of the above points 1, 2 and 3 is £531,543).

 

This additional expenditure to be funded from:

 

1.      The anticipated income from planning fees being increased by £75,000;

 

2.      The anticipated income for car parking fees being increased by £50,000;

 

3.      That an additional sum of £406,543 be used from the New Homes Bonus fund,

(NB. the total of the above to support the additional expenditure is £531,543).

 

 

In respect of Partnership Funding, the £10,000 being sought by the South Hams Community and Voluntary Service (CVS) be reinstated.  (There is already £7,000 to cover this expenditure in the budget and it is proposed that the remaining balance of £3,000 be taken from the remainder of the unallocated New Homes Bonus; and

 

As to the remainder of the unallocated New Homes Bonus (totalling £289,616), it is proposed that this funding be earmarked as a contribution towards a reduction in the funding gap for 2021/22.

 

The meeting proceeded to consider each aspect of the alternative budget proposals as follows:

 

Emergency Climate Change Projects Fund – there was widespread support expressed for this proposal which it was felt reflected the seriousness of the Climate Change agenda and the fact that the Council had declared a Climate Change and Biodiversity Emergency.

 

Whilst it was recognised that the mechanism to allocate monies from the Fund was still to be developed, it was noted that the Climate Change and Biodiversity Working Group would have a key role to play in this process.

 

When put to the vote, this proposal was declared CARRIED.

 

Freezing Car Parking Charges – the proposer of the motion advised that the main purpose of a freeze would be to support the viability of town centres in the South Hams.

 

During the debate, it became apparent that there were contrasting views over this proposal with supporting views including:

 

-        a wish to revisit the proposal to introduce car parking charges at Follaton House;

-        charges being less in a number of other local authority areas; and

-        the public transport links in the South Hams being so poor that car usage was a necessity.

 

In contrast, other Members expressed their opposition to the proposals and stated that:

 

-        there was no proven direct linkages between car parking charges and town centre viability.  Some Members were of the view that the key factors that were harming the viability of town centres were the significant increase in online shopping activity; high rents; and business rates;

-        the proposed 4% increase not being a significant amount and, when considering that a commitment had been made by the Leader for this to be the only increase during the four year Council administration, this would constitute a below inflationary increase; and

-        by encouraging increased car usage, a freeze in charges would contradict the Council’s Climate Change Emergency Declaration.

When put to the vote, this proposal was declared CARRIED.

 

Closing the Budget Gap of £51,543 – the meeting recognised the need to set a balanced budget and, when put to the vote, this proposal was declared CARRIED.

 

Additional Income from Planning Fees – the proposer made reference to the trend over the last two years whereby planning income had been over and above the forecasted target.  As a result, the proposer felt that there was scope to increase the anticipated income from planning fees by £75,000.

 

During the subsequent debate, reference was made to a Briefing Paper that had been produced by the Head of Development Management Practice that had cast some doubt on the ability for the Council to achieve an additional income of £75,000.  In particular, the Paper had set out that, since the Council now had an adopted Joint Local Plan, it was able to set income projections with more certainty and it was deemed unlikely that the Council would be able to deliver on such a revised target.

 

Notwithstanding this advice, the proposal, when put to the vote, was declared CARRIED.

 

Additional Income from Car Parking Charges – with no debate ensuing, the proposal, when put to the vote, was declared CARRIED.

 

Additional Monies from the New Homes Bonus Fund – with no debate ensuing, the proposal, when put to the vote, was declared CARRIED.

 

Reinstating the CVS Funding Proposal – in discussion, Executive Members advised that their original recommendation to reduce the grant funding to the CVS had been generated through a lack of information and clarity that had been provided by the organisation.  Whilst there was a lack of clarity over the services that were provided by the CVS and how they used the grant funding provided by the Council, reference was made to a meeting that was to take place on Thursday, 30 January 2020 with Council representatives and the CVS when it was hoped that this matter would be overcome.

 

A number of Members paid tribute to the work that was undertaken by the CVS and it was hoped that a closer partnership working relationship could now be developed between the organisation and the Council.

 

Some Members also made the point that the CVS should be asking that other partner agencies (e.g. LiveWest and Fusion Lifestyle) make a funding contribution for the services that it delivered on its behalf.

 

The proposal, when put to the vote, was declared CARRIED.

 

Using the Unallocated New Homes Bonus Funding towards reducing the Budget Gap – with no debate ensuing, the proposal, when put to the vote, was declared CARRIED.

 

(f)     the proposed inclusion of an Economy Officer post.  Whilst there was general support for inclusion of this additional post, the meeting requested that, as part of the agenda papers presented to the Executive at its meeting on 6 February 2020, a draft Job Description and the associated outcomes and targets for the role also be included.

It was then:

 

RECOMMENDED

 

That the Executive RECOMMEND to Council that the joint meeting supports:-