Agenda item

Report of the Chief Executive

Further to Minute No. 273 of the meeting of the Cabinet held on 4 February 2010, the Committee considered the report of the Chief Executive which provided an update on the Medium Term Financial Plan 2010/11 to 2012/13 and set out the remaining options for consideration in relation to the Strategic Budget Review.

The report indicated that the Council was required to set a budget and Council Tax for 2010/11 by 10 March 2010; and that under legislation, the Cabinet’s recommended budget was required to be scrutinised independently, prior to approval by full Council.

The report further indicated that whilst there was uncertainty around external revenue support from Government beyond 2010/11, it was important not to underestimate the budget issues for future years; and that the aim was to provide a fuller picture across the period of the Medium Term Financial Plan, rather than just for 2010/11.

The Committee considered a supplementary report which had been considered by Cabinet and which provided an update on the budget position following consideration by the Leaders Group, and Minute No. 273 of the Cabinet held on 4 February 2010, which had resolved that:

“(1)      the latest position for the 2010/11 - 2012/13 Medium Term Financial Plan following the Council Meeting on 14 January 2010 be noted;

(2)            the final Revenue Settlement position be noted;

(3)       that the application of £2.3m of Area Based Grant resources to the 2010/11 budget be confirmed;

(4)       the Council be recommended to approve the total savings of £400,000 from the Technical Service Environment and Routine Maintenance budgets and the removal of the inflation provision for Private and Voluntary Sector Community Care Providers set out in Annex 1 of the supplementary report;

(5)       the budget scenario set out in Annex 2 of the supplementary report be submitted to the Overview and Scrutiny Committee (Performance and Corporate Services) for consideration and it be requested to note that the illustrative Council Tax increases under the scenario would be

                        Sefton Council Services                    2.5%

                        Levies                                                 0.4%

                        Fire and Police                         0.3%

                        Total                                                    3.2%

(6)       officers be requested to continue to review all savings options and assumptions in order to achieve a total Council Tax increase of less than 3% inclusive of levies and precepts;

(7)       the latest schedule of Levies and Parish precepts set out in Annex 3 of the supplementary report be noted;

(8)       officers be requested to consider the implications of making a substantial allocation of one-off resources to invest in highways maintenance following the recent bad weather and submit a report to the next Cabinet meeting on 4 March 2010;

(9)       it be noted that the Chief Executive will report on the robustness of the estimates and the adequacy of financial reserves for the budget proposals to the Overview and Scrutiny Committee (Performance and Corporate Services) and Full Council;

(10)     the Strategic Budget Review (SBR) options detailed in Table 1 of Appendix B to the report be deferred for consideration at the Cabinet meeting on 4 March 2010;

(11)     the Action Points identified for each SBR option in Table 2 of Appendix B to the report be recommended to the Council for implementation;

(12)     the progress being made in the Terms and Conditions negotiations with the Trade Unions be welcomed and the consideration of the remaining "amber/red" SBR options, detailed in Tables 3 and 4 of Appendix B to the report be concluded at the Cabinet Meeting on 4 March 2010; and

(13)     it be noted that the comments of the Overview and Scrutiny Committee (Performance and Corporate Services) on the budget proposal will be referred back to the Cabinet meeting on 4 March 2010 for consideration.”

RESOLVED:

That the report be received and no comments be made at present to the Cabinet regarding its recommendations for the 2010/2011 Budget and Council Tax.