Agenda and minutes

To appoint a Chairman of the Budget Planning Committee for the Municipal Year 2013/14.

Resolved

That Councillor Nicholas Mawer be appointed Chairman of the Budget Planning Committee for the Municipal Year 2013/14.

To appoint a Vice-Chairman of the Budget Planning Committee for the Municipal Year 2013/14.

Resolved

That Councillor Douglas Webb be appointed Vice-Chairman of Budget Planning Committee for the Municipal Year 2013/14.

Members are asked to declare any interest and the nature of that interest which they may have in any of the items under consideration at this meeting.

There were no declarations of interest.

The Chairman to advise whether they have agreed to any item of urgent business being admitted to the agenda.

There was no urgent business.

Report of the Head of Finance and Procurement.

Summary

The report details the changes in scrutiny arrangements, outlines the terms of reference for the committee, and suggests a draft work programme.

Recommendations

The Budget Planning Committee is recommended to:

(1)   Note the contents of the report and suggest any amendments to the proposed work programme.

The Committee considered a report of the Head of Finance and Procurement which detailed the changes in scrutiny arrangements, outlined the Committees Terms of Reference and suggested a Work Programme.

With respect to the Work Programme, Members expressed concern regarding potential future legislation aimed at drawing local authorities’ capital reserves under the central control of the Government. The Committee suggested that the Council should give consideration to investing its capital reserves into programmes and schemes that benefit the community, whilst avoiding future revenue implications. Members agreed that the Work Programme should retain sufficient flexibility to allow for consideration to be given to potential changes, i.e. resulting from the forthcoming Comprehensive Spending Review.

Resolved 

(1)              That the contents of the report be noted.

Report of Head of Finance and Procurement.

Summary

The report summarises the Council’s provisional Revenue and Capital performance for the financial year 2012/13, which will be presented to the Executive on 3 June 2013.  The figures are still subject to further validation work to ensure compliance with statutory requirements and proper accounting practices.

Recommendations

The Budget Planning Committee is recommended:

1)    To note the contents of the report.

The Committee considered a report of the Head of Finance and Procurement which summarised the Council’s provisional Revenue and Capital outturn position for the financial year 2012/13. The figures were still subject to further validation work to ensure compliance with statutory requirements and proper accounting practices.

Responding to a query regarding the level of slippage, the Head of Finance and Procurement advised that an application to slip a project was only given approval after checks were undertaken, and specific criteria met.

Resolved:

(1)             That the contents of the report be noted.

Report of the Head of Finance and Procurement.

Summary

The report provides the Budget Planning Committee with a summary update on the Council’s revenue position for 2014/15. The report will be accompanied by a PowerPoint presentation on the Council’s finances.

Recommendations

The Budget Planning Committee is recommended to:

(1)  To note the contents of the report and advise officers of any further information required.

The Committee considered a report of the Head of Finance and Procurement which provided a summary update on the Council’s revenue position for 2014/15.

The Head of Finance and Procurement gave a presentation which covered the 2013/14 Revenue and Capital Position and sources of income.

The Committee was advised that there were numerous financial pressures on the council, namely grant reductions, inflation, income reductions, reduction in reliance on interest income and an increased demand for services, particularly housing and benefits.

The Council would receive windfall income through the New Homes Bonus, investment income and business rate growth.

In terms of the 2013/14 Capital Programme, consideration would need to be given to the implications of reducing capital receipts.

The Committee was advised that looking forward key areas for focus for the Council were the further 15% funding cut in 2014/15 and forthcoming Comprehensive Spending Review, the implications of Welfare Reform and Business Rates growth, revenue generation and sweating of assets, delivering transformation and building on joint working with South Northamptonshire Council and others, maintaining focus on front line services and vulnerable groups, updating the Medium Term Financial Strategy and the 2014/15 Budget process which would take place during September 2013 to February 2014.

Acknowledging the challenge ahead, the Committee emphasised the importance of communicating and consulting effectively with the public. Members noted that public consultation on the budget was undertaken every year and the core messages that subsequently came out made it clear what the public valued and, significantly, what was not valued.

The Committee also emphasised the importance of identifying and maximising sources of income.

Resolved

(1)             That the contents of the report and the presentation be noted.

Report of the Head of Finance and Procurement.

Summary

The report provides an update on considerations for the second year of the local council tax reduction scheme.

Recommendations

The Budget Planning Committee is recommended to:

(1)   Note the contents of the report.

The Committee considered a report of the Head of Finance and Procurement which provided an update on considerations for the second year of the local Council Tax Reduction Scheme.

Regarding implications for Parish Councils, the Head of Finance and Procurement advised the Committee that she had already spoken directly to several Parishes regarding the implications arising from changes to the Council Tax base. In addition, she would be attending the two Parish Council liaison meetings, and undertook to circulate a Briefing Note to all Members, detailing the information/advice given.

The Committee noted that, whilst the Council had adopted a joint approach to the introduction of the Council Tax Reduction Scheme, this had not happened in Northamptonshire. The Head of Finance and Procurement advised Members that some authorities had decided against a joint approach due to differences in profile and exemptions. The Head of Finance and Procurement agreed to report to a future meeting on the approach taken by authorities in neighbouring areas such as Hertfordshire and Warwickshire.

Resolved

(1)             That the contents of the report be noted.