Councillors Mrs Arnold, Bailey, Clark, Mrs Cowling, Cussons,Mrs De Wend Fenton, Mrs Frank, Hemesley, Hope, Jackson, MrsWilford, Windress and Woodward.
T Anderson, Mrs L Carter, Mrs M Jackson, J Patten, J Rudd,Miss J Waggott and A Winship
375. Apologies for Absence
Apologies for absence were received from Councillors Aslett,Mrs Burr, Cottam, Raper and Mrs Shields.
376. Urgent Business
The Chairman reported that there were no items which heconsidered should be dealt with at the meeting as a matter ofurgency by virtue of Section 100B(4)(b) of the Local Government Act1972. The item was to be considered under exempt business.
377. Declarations of Interest
Councillor Acomb declared a personal interest in item 7 as aCouncil representative on the Ryedale Housing Association Board ofManagement.
Councillor Legard declared a personal interest in item 4 ashis wife is a governor of Malton School.
378. Budget Strategy
Report (PDF, 30k),
AnnexA (PDF, 32k),
Annex A(i) (PDF, 12k),
AnnexB (PDF, 7k),
AnnexC (PDF, 26k) and
Annex C(A) (PDF, 8k).
The Interim Chief Financial Officer submitted a comprehensivereport (previously circulated) the purpose of which was to agreestrategic financial planning, service and project issues for theCouncil.
The report brought together the major financial, service andproject issues that had been debated by Members over recent monthsand delivered the major political aspirations of the Council. Areport to the October 2007 meeting of the Committee had set out thebroad financial strategy for the Council
The main report, and detailed annexes, covered all the keyservice, legal and financial requirements to enable Members to takean overall view in order and plan the use of Council’sresources.
The report detailed additional information on scheme costs,government support and work on identifying reductions in revenuecosts in respect of the following:
- Capital Programme
- Malton Dry Sports Facility
- Malton Enterprise Centre
- Comprehensive Spending Review 2007 (CSR 07)
- Service Changes and Budget efficiency savings
The report included a table, which indicated the worst casescenario at October 2007 with the capital programme fully spent,and the revised scenario at January 2008, which assumed thefollowing:
- Capital programme as shown at Annex A of the report and £1.5mborrowing
- Dry Sports and Enterprise Centres capital and revenuecosts
- Increase of 4.5% in Council Tax for 3 years
- Planning Delivery Grant costs to be funded from CouncilTax
- Prudent growth of £100k pa
The revised table required savings of £830k to be found overthe next four years and took into account the cost of the projectsin the capital programme.
It was assumed that Council Tax was increased by a maximum of4.5% for the next three years and that £1.5m would be borrowedexternally. Potential savings of £760k had already been identifiedto meet the £830k target.
CSR 07 required local authorities to make 3% cashableefficiency gains each year for three years. This had beenprovisionally calculated as £250k per annum. The rules on how thiswould work had yet to be determined and it would be necessary toensure that service changes could meet the audited criteria.
The Interim Chief Financial Officer restated his originalcomments to Members that there was a certain degree of risk inletting two contracts of over £8m in value at the same time.Obvious risks included construction price increases and contractmanagement. The plans in the report aimed to mitigate some of theeffect of this risk.
These were ‘broad financial projections’, which concentratedon the key policy and planning options for the Council. There werenumerous detailed variations on the revenue account, such aschanges in grants, capital expenditure, extra growth or diversionof resources (such as local planning issues), which would all havean effect. However the thrust had been to ensure that:
- The Council actively demonstrated and implemented soundfinancial planning
- Financial risks are minimised
- Provision is made for known commitments
- Headroom is created to deliver political aspirations
- Key services are maintained, improved and made moreefficient
The report concluded that the Budget Strategy established inOctober 2007, and amended as set out in the report, established asound basis for financial planning over the next few years.Although more detailed work was required, the proposed efficiencyand service savings would provide the Council with additionalresources to pay for the running costs of capital expenditure andanticipated government targets. The Authority’s finances wouldrequire regular review to ensure that schemes, projects and savingswere within the general parameters in the strategy. The ResourcesWorking Party should undertake regular monitoring of Revenue andCapital expenditure.
Resolved
(a) That the financial strategy asdetailed in the report be approved.
(b) That the recommendations as detailedin the Capital Strategy outlined in Annex A of the report beapproved.
(c) That the draft savings and efficiencyplans as outlined in Annex B of the report be approved inprinciple.
(d) That Council be recommended to approveoption 1a and the other recommendations in the report on the DrySports Facility as set out in Annex C of the report.
(e) That the commitment to the EnterpriseCentre, as detailed at Annex D of the report, be reaffirmed.
NB Councillor Andrews abstained from voting on parts (a) and(b) as he opposed to the proposed location of the EnterpriseCentre, and recorded his vote against part (e) above.
379. Exempt Information
Resolved
That under Section 100(A)(4) of the LocalGovernment Act 1972 the public be excluded from the meeting for thefollowing item as there will be a likely disclosure of exemptinformation as defined in Paragraph 3 of Schedule 12A of the Act asthe information relates to the financial or business affairs of anyparticular person (including the authority holding thatinformation).
380. Land Disposals to Facilitate Affordable HousingDevelopment
The Chief Executive submitted a report (circulated at themeeting) the purpose of which was to inform Members of thebackground and discussions that had taken place in relation to thedisposal of surplus land at Smithson Court, Malton, and inaddition, to consider the options available to deliver thepriorities of the Council and realise the best consideration forany surplus land or property owned by the Council.
Following consideration of the report it was
Resolved
(a) That officers continue to work withYorkshire Housing to explore any alternative sites to SmithsonCourt, Wentworth Street in an attempt to secure Housing CorporationGrant
(b) That the site at Smithson Court,Wentworth Street is not transferred to Yorkshire Housing. That theland is considered as part of the Town Centre study and takesaccount of any wider development opportunities including thepossibility of a joint development with the land adjacent to thesite
(c) That the policy for the disposal ofsurplus land and property is revised and brought to a future Policy& Resources Committee with the detailed Asset ManagementPlan.
NB Councillor Mrs Wilford declared a personal interest in theabove item as she had been lobbied and Councillor Arnold declared apersonal interest, as he is involved with the ScoutsOrganisation.