Decision details

Nick Chard, Cabinet Member and portfolio holder for Finance gave a presentation as attached.

The proposed KCC budget will be decided on 19 February 2009.

Derek Smyth, Deputy Leader for the Labour Group said he was pleased when KCC got its four star rating as it reflected the hard work and dedication of its staff.  However, Mr Chard’s presentation and the emphasis on the Governments formula grant of 2% did not convey all the grant that Central Government gave KCC.  Derek said the grant formula represented only 12% of the gross spending and the totality of Council spending is 74% funded from Central Government.  He also said these funds had seen real increases every year from the Government.

Derek made a second point about the 2.8% proposed increase in Council tax.  He wondered whether this was too low relative to what services were required by residents.  He said he was suspicious of this low level increase and said all too often in our election year the Council kept the Council tax low to only raise it considerably in the following year after election.

George Koowaree said he agreed with Derek and in Election years the Council tax always goes down.

Q         Surely the money spent on Highway’s needs to increase.  There must be 4 -6 million pot holes on rural roads.  KCC will have to spend more on claims.  If you live in a rural area you need a 4x4 vehicle but then you get penalised in road tax.

A.        I take issue that Kent has the worst roads.  If there was a clear business case and more claims, we would review the Highways budget.  However, we need to get the balance right.

            Richard King said he warmly welcomed the £16 Million additional money for Highways and contested the number of pot holes mentioned.

Q.        Sue Sawyer said she was worried that local residents were not at this meeting to ask questions and make their views known.  She was concerned about the low level of council tax and how it would adversely impact on services.

A.        It was acknowledged that public participation was difficult but we were on a journey to increase community engagement and KCC was making more use of web casting and Kent TV.

            Nick Chard said he could honestly say the proposed 2.85% tax increase was more to do with the economic situation and nothing to do with the impending election.

Q.        Does the 1% salary increase for staff include performance related pay and what was the pay increase last year.

A.        No.  The increase does not include performance related pay which is in the gift of each KCC Directorate to give or not to give to their employees not sure about last year but it was roughly 2 - 2½%.

Q.        Does the level of pay offered look forward or backward at the rate of inflation?

A.        In KCC we have a local pay bargaining and the increase is set at the budget day meeting of the Council.

Q.        Concerned that older people will be expected to self fund their care and support and not everyone has family assets.  Within Ashford there are not many residential homes either.

A.        We recognise that and there is a consultation on future care of the elderly and how that might be funded.

The Chairman thanked Mr Chard for his presentation and attendance at the meeting...