Agenda, decisions and minutes

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.

To confirm as a correct record the minutes of the meeting held on 9 December 2021.

The Committee endorsed the Minutes of the meeting of the 9 December 2021 as a correct record.  The Chairman advised that the minutes would be formally agreed and signed at the next in person meeting of the Committee.

To receive communications from the Chairman.

There were no Chairman’s announcements.

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

There were no items of urgent business.

Report of the Director of Finance

Purpose of report

To update Budget Planning Committee (BPC) on the Review of Reserves that has taken place in preparation of the budget for 2022/23 and the Medium-Term Financial Strategy (MTFS) 2022/23 – 2026/27.

Recommendations

The meeting is recommended:

1.1     to note the outcome of the review of reserves and the forecast over the MTFS period.

1.2     to provide the Executive with feedback on whether the Committee supports the draft reserve allocations.

Resolved    

(1)      That the outcome of the review of reserves and the forecast over the Medium Term Financial Statement be noted.

(2)      That the following feedback be given to Executive:

•         That having enquired if sufficient reserves were held in transformation and redundancy  to mitigate costs involved in light of the separation of joint services between Cherwell District Council and Oxfordshire County Council, the Committee was assured that the costs of separation, if any, were currently unknown and if necessary, funds could be made available from reserves to support costs of separation in 2022/23. If  any potential ongoing costs of separation were identified, these would be picked up as part of the 2023/24 budget process and a further review of the level of reserves held by the Council would also take place.

The Director of Finance submitted a report which updated the Budget Planning Committee on the Review of Reserves that had taken place in the preparation of the budget for 2022/2023 and the Medium Term Financial Strategy 2022/2023 – 2026/2027.

In response to Members’ queries regarding if there were sufficient funds in reserves for potential transformation and redundancy costs arising from  the recent announcement, pending formal decision, that Cherwell District Council (CDC) and Oxfordshire County Council were mutually ending their formal partnership working arrangements, the Assistant Director for Finance explained that any costs were currently unknown.  The Assistant Director for Finance  assured the Committee that any costs arising from the separation could be made available from reserves in 2022/2023. If any potential ongoing costs of separation were identified these would be picked up as part of the 2023/2024 budget process and a further review of the level of reserves held by the Council would take place.

In response to Members’ comments regarding Growth Deal Reserves, the Assistant Director for Planning and Economy explained that the Growth Deal was a £215m, five year contract with Government to accelerate the delivery of housing in Oxfordshire and due to end on 31 March 2023.  CDC was part of the Future Oxfordshire Partnership which included 4 workstreams: Affordable Housing, Oxfordshire Plan 2050, Infrastructure and Productivity.  £150m of the £215m was for Infrastructure but was not allocated to a specific project.   The funds helped ensure that CDC contributed fully to the Oxfordshire system to deliver the contract.

Resolved    

(1)      That the outcome of the review of reserves and the forecast over the Medium Term Financial Statement be noted.

(2)      That the following feedback be given to Executive:

•         That having enquired if sufficient reserves were held to mitigate transformation and redundancy costs involved in light of the separation of joint services between Cherwell District Council and Oxfordshire County Council, the Committee was assured that the costs of separation, if any, were currently unknown and if necessary, funds could be made available from reserves to support costs of separation in 2022/23. If  any potential ongoing costs of separation were identified, these would be picked up as part of the 2023/24 budget process and a further review of the level of reserves held by the Council would also take place.

Report of Director of Finance

Purpose of report

For the Committee to consider the 2021/22 Capital Programme and discuss further the schemes identified by the Committee Chair larger schemes and/or those with little spend so far in the financial year.

Recommendations

The meeting is recommended:

1.       To note the 2021/22 Capital Programme

Resolved

(1)      That, having given due consideration, the 2021/2022 Capital Programme be noted.

The Director of Finance submitted a report for the Committee to consider the 2021/2022 Capital Programme and discuss further the larger schemes and those with little spend so far in the financial year identified by the Committee Chairman.

In introducing the report, the Assistant Director of Finance explained that a total of 28 such schemes had been identified with a budget of £18.0m.  As at 30 November 2021 there was total spend of £1.8m whilst the forecast for the year was £15.5m.  Of the remaining £2.5m, £2.0m is forecast to be reprofiled into future years and £0.5m is expected to be an underspend against the total cost of the schemes.

The Assistant Director of Finance gave an overview of the schemes and was supported by the relevant lead officer to answer Members’ questions on particular schemes.

Admiral Holland – Redevelopment Project - The Assistant Director for Planning and Economy explained that whilst construction was formally completed in September 2020, it was necessary to budget for retention which would be paid in September 2022 and had been reprofiled beyond the 2021/2011 financial year.

Garden Town – (Banbury Road roundabout, Bicester) – In response to Member’s comments highlighting that Oxfordshire County Council (OCC) did not own all the land for the Banbury Road roundabout project and querying the impact if the owners would not sell the land, the Assistant Director for Planning and Economy explained that this was an OCC project and CDC had not been informed of any issues.  Homes England had informed CDC that the funds would be transferred by the middle of February 2022.  These funds would then be transferred to OCC and would be considered spent by CDC in this financial year.

Bicester Library – In response to the Committee’s comments regarding the delays with the Bicester Library project and request for an update on progress, the Assistant Director for Planning and Economy explained that Bicester Library had been a very challenging project and issues still remained.  There had been difficulties with archaeology on the site, although planning permission had now been granted for three affordable houses on the site.  There were also ongoing problems with anti-social behaviour for which a solution needed to be found.

Build Team – Essential Repairs -  In response to Members’ queries regarding why reserves had been marked for essential repairs and they had not been carried out the Assistant Director for Planning and Economy explained that repairs were required due to the Structural Integrity of the roof and CDC were currently in legal discussions with the owner of Town Centre House and the repairs could not be carried out until resolved.

Orchard Lodge, Phase 1, Newton Close, Phase I and Bullmarsh Close, Phase II – The Committee noted the updates.

On Street Recycling Bins – In response to Members’ comments regarding non-delivery of the on street recycling bins, the Director for Environment and Place undertook to circulate a response to Committee Members outside of the Committee.

Vehicle Replacement Programme – The Committee  ...  view the full minutes text for item 37.

Report of the Director of Finance

Purpose of report

To submit the draft Capital and Investment Strategy for 2022-23.

Recommendations

The meeting is recommended:

1.       To recommend the draft strategy for 2022-23 to Full Council.

Resolved

(1)      That the draft Capital and Investment Strategy for 2022/23 be recommended to Full Council for adoption.

The Director of Finance submitted a report giving details of the draft Capital and Investment Strategy for 2022-23.  This report was produced annually and gave details of how capital decisions were made and anticipated how the capital programme would be funded.  It also gave details of borrowing limits and budget implications of the capital plans.  The report contained an investment strategy which set out how the council made its investments and highlighted that the council was aware and considered risks when making investments.

In response to questions from the Committee the Assistant Director of Finance explained that the capital budget was as stated and that Cherwell District Council did not hold substantial amounts of capital.  Any additional capital expenditure required would need to be funded through additional borrowing. 

Resolved

(1)      That the draft Capital and Investment Strategy for 2022/23 be recommended to Full Council for adoption.

Report of Director of Finance

Purpose of report

This report is to provide the Committee with an update on the total amount of grants paid out to businesses in Cherwell to support them during the pandemic up to 31 December 2021. 

Recommendations

The meeting is recommended:

1.       To note the number and value of Covid-19 Business Grants paid out by Cherwell District Council to local businesses during the course of the pandemic to 31 December 2021.

Resolved

(1)      That the number and value of Covid-19 Business Grants paid out by Cherwell District Council to local businesses during the course of the pandemic to 31 December 2021 be noted.

The Director of Finance submitted a report which provided the Committee with an update on the total amount of grants paid out to businesses in Cherwell to support them during the pandemic up to 31 December 2021. 

In response to Members’ comments regarding  the amount of money written off by the government for loans given out during the pandemic and request for information on efforts made prior to the monies being written off into recovery of the loans given out within the Cherwell district, the Assistant Director of Finance explained that these were grants allocated to businesses and the loan monies written off were a separate matter.  The Council had been given access to a government system and it was necessary for checks on businesses applying for grants to be made through this system or they could not be reclaimed. All necessary checks to prevent fraud were in place.

In response to questions from the Committee the Assistant Director of Finance explained that information on court action and fraud recovery would be circulated to Committee Members outside of the Committee.

Resolved

(1)      That the number and value of Covid-19 Business Grants paid out by Cherwell District Council to local businesses during the course of the pandemic to 31 December 2021 be noted.

To review the Committee Work Plan.

Resolved

(1)      That the Committee Work Plan be noted.

The Committee considered its Work Plan.

Resolved

(1)      That the Committee Work Plan be noted.