Issue - meetings

(Please bring with you to the meeting the Draft Budget and Medium Term Plan previously circulated)

-  report by Mr Alex King, Deputy Leader of the Council, Mr John Simmonds, Cabinet Member for Finance and Business Support and Mr Andy Wood, Corporate Director for Finance)

(1)       The Chairmandeclared consideration of this item to be urgent as the report was not available at the time the agenda for this meeting was despatched. The reason for that was because the report needed to include comments from the consultation which had been undertaken and to report on the views of the Policy Overview Committees. The report also needed to contain the most up to date information and analysis on the final local government settlement figures, the final tax bases agreed by the Kent District Councils and the surplus or deficits announced by the District Councils Collection Funds.

(2)       Mr Simmonds outlined the purpose and scope of the report and highlighted a number of key points, including the fact that despite challenging circumstances the recommendation to the County Council was that there should not be any increase in the current level of Council Tax for 2012/13. He also highlighted the likely budget pressures which would occur in the medium term as a result of having to make further savings.  Mr Simmonds said in recognising the need to keep to a minimum the effect of budget reductions on front line services, the Council had none the less put some £22m into Children’s Services and £12m into Adult Social Services for elderly residents in need.

(3)       Each Member of Cabinet then spoke in some detail about the budget proposals as they affected their Portfolio and Directorate responsibilities. 

(4)       Following discussion Cabinet resolved to endorse the following proposals for submission to the County Council on 9 February 2012:

(i)         the Revenue Budget proposals for 2012/13 as detailed in the Cabinet report. Cabinet also noted the proposed changes as a result of the equivalent Band D tax base from the collection funds and endorsed the resulting change to the overall budget requirement.

(ii)        the increase in provisional EIG income and the additional requirement for £0.86m to fund additional places for 2 year olds in the Education Learning and Skills portfolio.

(iii)       the adjustments in emerging pressures including the pay award (subject to Personnel Committee recommendations) and the transfer of the balance in order to contribute to reserves.

(iv)       the establishment of two new reserves; Council Tax Equalisation (which in effect means the Government grant to support the Council Tax freeze could be used to sooth the impact over more than 1 year) and Invest to Save.

(v)        a requirement from Council Tax of  £577.914m to be raised through precept on District Councils.

(vi)  Council Tax levels for the different property bands as set out below, (representing a freeze at the 2011/12 levels).

Council Tax   Band

A                     B            C                D                 E                  F                G

£698.52    £814.94   £831.36   £1,047.78   £1,280.62   £1,513.46   £1,746.30

      H

£2,095.56

(vii)      the Capital investment proposals, together with the necessary borrowing, revenue, grants, capital receipts, renewals, external funding and other earmarked  ...  view the full minutes text for item 9