Issue - meetings

Robustness of the 2020/21 Budget Estimates and the Adequacy of Reserves – Local Government Act 2003 - Section 25

 

 

Meeting: 27/02/2020 - Council (Item 97)

97 Robustness of the 2020/21 Budget Estimates and the Adequacy of Reserves – Local Government Act 2003 - Section 25 pdf icon PDF 152 KB

Report of the Head of Corporate Resources

Minutes:

Further to Minute No. 114 of the meeting of the Cabinet held on 13 February 2020 the Council considered the report of the Head of Corporate Resources indicating that to comply with statute, the Chief Financial Officer was required to report to Council prior to the approval of the budget and the setting of the Council Tax, to give assurance that the budget was robust and that there were adequate reserves and balances. 

 

The report also provided information on the following factors that had been considered:

 

·       Financial Environment for Local Government and Sefton MBC

·       Impact of previous years’ budget - 2019/20

·       Central Government funding

·       Maintaining service delivery

·       Resources to deliver change

·       Inflation and annual cost increases

·       Financial management

·       CIPFA Financial Resilience Index and the CIPFA Financial Management Code

·       Management of risk

·       Capital Strategy and Strategic Investment

·       External advice

·       Reserves Strategy for 2020/21 and beyond

 

The report concluded that as a result of considering the issues contained within the report, it was the view that the budget proposed was a robust budget package and the opinion provided was in accordance with Section 25 of the Local Government Act 2003. 

 

It was moved by Councillor Maher, seconded by Councillor Fairclough and

 

RESOLVED: That

 

(1)

it be noted that the Local Government Act 2003, (section 25 as amended) requires the Chief Financial Officer to report formally on the following issues:

 

(a)

an opinion as to the robustness of the estimate made and the tax setting calculations;

 

(b)

the adequacy of the proposed financial reserves; and

 

(c)

the production of longer-term revenue and capital plans; and

 

(2)

the matters raised in this report be taken into consideration during the final stages of determining the budget for 2020/21.

 

Meeting: 13/02/2020 - Cabinet (Item 114)

114 Robustness of the 2020/21 Budget Estimates and the Adequacy of Reserves – Local Government Act 2003 - Section 25 pdf icon PDF 152 KB

Report of the Head of Corporate Resources

Minutes:

The Cabinet considered the report of the Head of Corporate Resources indicating that to comply with statute, the Chief Financial Officer was required to report to Council prior to the approval of the budget and the setting of the Council Tax, to give assurance that the budget was robust and that there were adequate reserves and balances. 

 

The report also provided information on the following factors that had been considered:

 

·       Financial Environment for Local Government and Sefton MBC

·       Impact of previous years’ budget - 2019/20

·       Central Government funding

·       Maintaining service delivery

·       Resources to deliver change

·       Inflation and annual cost increases

·       Financial management

·       CIPFA Financial Resilience Index and the CIPFA Financial Management Code

·       Management of risk

·       Capital Strategy and Strategic Investment

·       External advice

·       Reserves Strategy for 2020/21 and beyond

 

The report concluded that as a result of considering the issues contained within the report, it was the view that the budget proposed was a robust budget package and the opinion provided was in accordance with Section 25 of the Local Government Act 2003. 

 

Decision Made:

 

That the Council be recommended to:

 

(1)

note that the Local Government Act 2003, (section 25 as amended) requires the Chief Financial Officer to report formally on the following issues:

 

(a)

an opinion as to the robustness of the estimate made and the tax setting calculations;

 

(b)

the adequacy of the proposed financial reserves; and

 

(c)

the production of longer-term revenue and capital plans; and

 

(2)

have regard to the matters raised in this report during the final stages of determining the budget for 2020/21.

Reasons for Decision:

 

The Local Government Act 2003, (section 25 as amended) requires the Chief Financial Officer to report formally on the issues contained within this report.

 

Alternative Options Considered and Rejected:

 

None.