Agenda and minutes

There were no declarations of interest.

RESOLVED that the minutes of the meeting held on 6 December 2023 were an accurate record and that they be signed by the Chairman.

RESOLVED that the minutes of the meeting held on 19 December 2023 were an accurate record and that they be signed by the Chairman.

Committee consideration based on the draft budget issued on 3 January 2024.

1.    Mr Oakford introduced the administration’s budget proposals. He confirmed that the draft budget was balanced and a 4.99% increase to Council Tax was proposed, noting that an increase up to but not exceeding the referendum level was considered a prerequisite for further central government funding. It was explained that the £14m risk contingency had been removed, forming part of draft base budget and that one off monies and reserves would be deployed to balance the budget. Concerning capital receipts, it was confirmed that government had allowed KCC to use receipts for transformation, contributing £8m towards the balancing of the budget. £10.6m in proposed policy savings were highlighted. On income, Members were informed that £10m in dividends from KCC owned companies were anticipated, £3m higher than originally planned. He concluded by addressing the savings required in the second year of the Medium Term Financial Plan, noting that £35m of savings were unidentified and that all policy areas were being analysed. He gave assurance that the savings would be identified ahead of Budget County Council in February 2025.

2.    Mr Shipton gave a presentation. The contents of the presentation included: residential and nursing care for older people, home to school transport and children in care as the most significant areas for forecast overspend in 2023-24; the revenue strategy and statutory requirement to set a balanced budget; provisional local government financial settlement; 2024-27 core budget; spending growth; future cost avoidance in adult social care (£30.1m) and home to school transport (£6.3m); £15.4m in additional income generation and £10.6m in policy savings identified for 2024/25; £23.9m in one-off solutions, including £8m capital receipts and use of £13.8m of reserves for savings in 2024/25; council tax, including an expected increase to the tax base of 1.7% and collection fund surplus assumed of £7m; financial risks, with high needs spending, non-delivery of savings and the Unaccompanied Asylum Seeking Children judgement the most significant exposures; and the 10 year £1.636bn capital spending programme, including funding from government department grants, borrowing and other receipts.

3.    Members asked a range of questions in relation to the Draft Revenue Budget (2024-25), Medium Term Financial Plan (2024-27), Draft Capital Programme (2024-34) and Treasury Management Strategy. Key issues raised by the Committee and responded to by Cabinet included the following:

a.    In response to a question on home to school transport spending, Mr Love explained KCC’s statutory responsibility and the tools available to reduce demand and cost. He advised that a personal transport budget pilot was underway for students receiving the highest cost transport. He added that there would be increased demand with 5,000 additional secondary school places planned by 2027/28 and stressed the continued need to balance support with the funding available, by ensuring that assessments were done in line with statutory guidance.

b.    Mr Gough stated, following a question from a Member on the overall division of the proposed budget, that KCC’s statutory responsibilities formed the framework  ...  view the full minutes text for item 40.

1.    Mrs Maynard introduced the report which updated the Committee on the Council’s policy and practice for contract management, overseen by the Commercial and Procurement division. She provided a presentation, the contents of which included: the six step contract management process which included oversight from the Contract Management Review Group (CMRG), Commissioning Partnership Board (CPB) and Commercial and Procurement Oversight Board (CPOB); accountabilities and responsibilities set out in ‘Spending the Council’s Money’ for anyone spending on behalf of KCC and the accountabilities of Senior Officers and Members; changes to thresholds as a result of the review of ‘Spending the Council’s Money’, which were higher across the board; confirmation that Senior Officers were ultimately responsible for the effective management of contracts within their area in line with guidance issued by the Commercial and Procurement Division; the wider role of the CMRG in commercial governance and membership which included the Head of Commercial and Procurement (Joint Chair); Deputy Cabinet Member for Finance (Joint Chair); Section 151 Officer; Monitoring Officer; Commercial Standards Manager; 3 Members from the Conservative Group and 2 Members from Opposition Groups.

2.    In response to a question from a Member, Mrs Maynard explained the importance of the contract register in supporting planning and oversight.

3.    A Member emphasised the importance of strong qualitative information supporting key performance indicators (KPIs) in contract management. Mrs Maynard noted that contract objectives provided a qualitative requirement of contracts and confirmed the direction of travel towards fewer KPIs which enhanced accountability and reduced cost.

4.    A Member commented that spot checks of contract managers would be useful method for maximising accountability and ensuring best value.

RESOLVED to note the content of the report, including the further reporting as set out to Policy and Resources Cabinet Committee.

1.    The Scrutiny Research Officer noted that there would be a report updating the Committee on Making a Difference Every Day, KCC’s Strategy for Adult Social Care 2022 to 2027, at its next meeting.

2.    Members requested the following items:

a.    a deep dive into the mainstream home to school transport budget; and

b.    cross examination of the Council’s school admissions, home to school transport and public transport policies.

RESOLVED to note the work programme.