Agenda item

Transformation Programme and Revenue Budget 2012 - 2015

Report of the Head of Corporate Finance and ICT and Head of Transformation Services

Minutes:

Further to Minute No. 54 of the meeting held on 13 September 2012, the Cabinet considered the joint report of the Head of Corporate Finance and ICT and the Head of Transformation which provided details of the progress made on the reviews of service and consultation processes being undertaken in order to move towards the achievement of a balanced budget in 2013/14 and 2014/15.

 

The report also set out a further package of savings proposals relating to internal consultation options, on which the first stage consultation is considered to be complete and requested the Cabinet to make an appropriate recommendation to the Council.

 

Councillor Dowd referred to the on-going discussions with the Trade Unions regarding the savings options within Corporate Support Services.

 

Councillor Moncur raised the following question on the issue referred to in the report and the Strategic Director - People responded to the issue as referred to below:-

 

Question:

Given the earlier comments relating to Children’s Social Care savings on the previous agenda item there is a change option on Page 41 for a saving of £1m by reviewing commissioning of all residential beds for children.  This is a significant figure and I wonder if I could have some further explanation of the feasibility of this change option.

 

Response:

I refer to the earlier response on agenda item 5, in which I outlined the increased demand, the importance of being more cost effective and the need to produce better outcomes.  The Fostering Strategy as approved by Cabinet had been implemented and this was enabling more family placements for those children and young people in care.  There are three key elements in relation to cost to Children’s Social Care.  These are the number of young people in care; where they were placed – whether it be in Borough fostering care, independent fostering care placements or Residential Homes; and how long they were in care for. I would refer once again to the Turning the Taps Strategy and the focus on better outcomes with regard to the Authority seeking to place the right child in the right place at the right time for the right cost.

 

 

This was a Key Decision and was included in the Council’s Forward Plan of Key Decisions.

 

Decisions Made:

 

(1)       the work programme timetable contained in Annex A of the report be noted;

 

(2)       it be noted that consultation in respect of terms and conditions issues had been commenced with the Trade Unions;

 

(3)       it be noted that the first stage of consultation on the change proposals set out in Annex B of the report, is considered to be complete;

 

(4)       the Council at its meeting on 22 November 2012 be recommended to give approval to the change proposals set out in Annex B of the report and Officers be authorised to prepare for implementation immediately, pending the final decisions of Council, including the issue of relevant statutory and contractual notifications, if appropriate to achieve change;

 

(5)       it be noted that Officers will comply with Human Resource policies and procedures and this would include regular Human Resources monitoring reports to the Cabinet Member – Corporate Services and Performance; and

 

(6)       it be noted that the risks and mitigating actions identified in Annex B  of the report had been taken into account during the consideration of recommendations to Council.

 

Reasons for Decisions:

 

The Council continues to forecast a significant budget gap over the period 2013-2015 requiring estimated savings of £43.7m. Additional budget savings and options would need to be identified over the coming months to ensure that future years’ budgets can be balanced. It is a legal requirement to set a balanced budget and to ensure the medium term financial position is robust.

 

Early consideration of budget options continued to be essential as this would lead to informed decision making, including the consideration of the outcome of any consultations undertaken, the impact of any decisions to be made and any steps that can be taken to mitigate the impact of a decision.

 

Alternative Options Considered and Rejected:

 

Additional budget savings and options would need to be identified over the coming months to ensure that future years’ budgets can be balanced.  It is a legal requirement to set a balanced budget and to ensure the medium term financial position is robust.

Supporting documents: