Agenda item

(1)       The Committee received an update on the Autumn Budget Statement Report to Cabinet on 17 September 2007, which set out the national and local context for KCC Medium Term Plan for the period 2008/09 to 2010/11.  The report also updated Members on the latest developments and announcements by government departments and sought Members’ savings proposals for services provided by the Communities Directorate. 

(2)       The Committee was reminded that the next three years Medium Term Plan (MTP) had been agreed at County Council on 22 February 2007 and discussed with Communities POC at its meeting on 26 January 2007.  The MTP still included transfer of funds from other directorates within the County Council when the Communities Directorate was set up in 2006.  The directorate would have a level-based budget from 2009.  The existing MTP makes provision for unavoidable pay and price increases, meeting the “Towards 2010” targets and service developments and efficiency savings in accordance with directorate priorities. 

(3)       Members of the Committee were advised that the budget proposals would be published on Monday, 21 January 2008 and this Committee would be meeting to discuss them on Thursday, 24 January 2008. 

(4)       Mr Shipton drew Members’ attention to the Local Government Finance Settlement being announced in late November or early December and advised that until that time, Kent would not know its share of the government revenue support grant.  One issue for Communities would be the transfer of specific grants into Revenue Support Grant.  Referring to page B3.4, Members were advised that the Kent Schools Games, which was going to be a shared project with the Children, Families and Education and the Communities Directorates, was now solely with the Communities Directorate.  Mr Shipton advised that some of the 2009/10 funding would need to be put in reserve to smooth the funding between the years when the games were taking place.

(5)       Members noted that if Turner Contemporary was not successful in raising sponsorship towards the estimated £2m running costs for the gallery, there would have to be other ways found to raise the revenue, and the directorate had identified a possible additional £400k pressure in 2010/11 towards supporting the gallery. 

(6)       Referring to paragraph 4.6 on the Comprehensive Spending Review 2007, Mr Shipton sought the Committee’s opinions on its spending priorities bearing in mind the government requirement for efficiency savings of 3% per annum.  Members agreed to Mr Shipton’s request that questions on Appendix 4 accompanying the report should be dealt with outside the meeting.

(7)       Members of the Committee were given the opportunity to make comments and ask questions on points of clarity on the figures before them.  These were as follows:

·        Members suggested that income could be generated in Kent Libraries through selling greeting cards and other items similar to those sold within the Kent Archives Shop in Sessions House, Maidstone.  It was also suggested that catering, similar to that in many commercial bookshops could be investigated.

·        There was concern raised by Members of the Committee with the continual 3% efficiency savings and where those savings would be found.  Mr Hill advised that this was of concern to him. He stressed to the Committee that he would continue to defend each of the Directorate’s services but with the continual need to find efficiency savings could not guarantee how long this could be sustained.

·        Members were aware of the 3% efficiency savings target and the decision of how to divide up the remaining funding was a Member decision.  The only option was to look at increasing the income and was not willing to identifying any cuts in services. 

·        There was a suggestion that as the government was no longer going to claw back funds held by schools, this could be an opportunity for the schools to be approached to give some of this money towards the school games.  Mr Hill advised that it was complicated receiving money from schools for the school games.

·        Members of the Committee sought assurance that the specific grants transferring into RSG would all be received.  Mr Shipton advised that in the past it had proved difficult to identify the transfer of specific grants.  However, there had been assurance given that specific grants would be identifiable in the RSG settlement.

(13)     RESOLVED that:-

(a)       the national and local context within which this Medium Term Plan would be set be noted;

(b)       the pressures attached to this report be noted; and

(c)       the Committee recommended that it could not express relative priorities for savings without more information on the overall context for the County Council budget settlement and the flexibility available within the overall settlement.