Agenda item

(1)       This report provided an update on the Draft Medium Term Financial Plan 2008-11 and summarised the comments made at recent meetings of the Policy Overview Committees and the Cabinet Scrutiny Committee.  The budget had also been discussed at a meeting of the Business Consultation Forum on 4 February 2008 and there would also be a consultation meeting with Trade Union and Professional Body Association representatives.

(2)       In presenting this report and highlighting key areas, Mr Carter placed on record his thanks to staff for their part in developing this budget and in particular to Mr Wood and his team.  Mr Carter said the budget being put forward delivered the required savings, but at the same time brought forward an increase of some £8m into adult social care and some £5m into highways.  The budget also delivered a growth in the capital programme.  There was still some unmet costs from Government relating to asylum and a report by the consultants acting on behalf of Kent County Council, Birmingham City Council and Hillingdon London Borough Council, would be published within the next few days.  That report would be used as a basis for further discussions with the Government aimed at bringing this matter to a satisfactory conclusion.

(3)       Mr Carter said the Residents Consultation meeting had provided a valuable opportunity to explain to the residents of Kent the pressures which the County Council faced.  Mr Carter also reported on outcomes from meetings of the Policy Overview Committees and the Cabinet Scrutiny Committee.  He made clear there would not be any growth in Strategic Management, but work would be undertaken on how this information was presented in future.  Mr Carter also spoke about the publicity budget and said it had to be realised that this covered all recruitment costs including those within Kent schools.  This budget also covered some high profile publicity campaigns, such as those related to reducing waste and road safety. 

(4)       Mr Carter also spoke about the perception some had that the County Council invested more resources into the west of the County rather than the east.  He said that within east Kent there had been significant investment undertaken by the County Council and examples included the Beaney Project, the Turner Centre, investment in the Theatre Royal, Margate, Manston Industrial Park, EuroKent, Phase II Access Road and other partnership projects.  The County Council had also undertaken investment in other initiatives and projects and Mr Carter spoke particularly about the Academies Programme and the Vocational Skills Centre in Whitstable.  He also spoke about the Dedicated Schools Grant and said that the County Council would not be making changes to the small school curriculum protection factor.  He also said the County Council would continue to work at targeting help and resources to those families in most need and that would be done through initiatives such as the Mosaic Programme.  Mr Carter concluded by saying Kent County Council through efficiency savings and better use of resources was now doing more with less staff and therefore it was right for those staff to be appropriately paid.  He therefore believed that the pay settlement of 2.5% was the appropriate level to reward staff for their hard work.

(5)       Mr Chard briefed Cabinet on some of the factors which had gone into building the budget and also spoke about the outcomes from the meetings of the Policy Overview Committees, the Business Consultation Forum and the Public Consultation meeting. That had proved very positive and had given an important opportunity for the County Council to give a briefing on the various elements which had gone into the budget and the pressures which the County Council faced.  Mr Gilroy said work had commenced on how the Council can improve public consultation and make greater use of technology.  Mr Ferrin spoke of the importance of publicity in relation to road safety campaigns and also said whilst the increase in the £5m highway budget would enable take up of unsupported borrowing there must not be an expectation that would solve all problems.

(6)       Following further discussion, Mr Lynes said that the pay award reflected the fact that more was being done by fewer people against a backdrop of less Government funding and he therefore proposed, and it was agreed that Cabinet place on record its thanks to all members of staff for their hard work and commitment  .  Cabinet then agreed

(1)       the Revenue Budget proposals for 2008-09 as detailed in the Cabinet report;

(2)       the budget requirement of £857.0m;

(3)       a total requirement from Council Tax of £536.8m to be raised through precept to meet the 2008-09 budget requirement. This assumes that there will be a satisfactory conclusion to the Asylum funding issue;

(4)       a Council Tax as set out below, for the listed property bands;

being a 3.9% increase over 2007-08;

(1)               the Capital Investment proposals, together with the necessary use of borrowing, revenue, grants, capital receipts, renewals and other earmarked capital funds and external subject to approval to spend arrangements;

(2)               the Prudential Indicators as set out in Appendix B of the Medium Term Plan.

Cabinet also endorsed the following recommendations to the County Council:

the revenue and capital proposals as presented for:

·          Operations, Resources and Skills (CFE);

·          Children, Families and Educational Achievement;

·          Adult Social Services;

·          Environment, Highways and Waste;

·          Regeneration and Supporting Independence;

·          Communities;

·          Health;

·          Corporate Support and External Affairs;

·          Policy and Performance;

·          Finance.

Cabinet also agreed that the final recommendations in relation to the School Budgets and the Dedicated Schools Grant be delegated to the Cabinet Member for Operations, Resources and Skills (CFE).