Issue - meetings

This report sets out Cabinet’s proposals for the capital and revenue budgets for 2020/21. In accordance with the Constitution, Council is required to approve the capital and revenue budgets, rent increases and council tax for 2020/21.

Discussion:

This report provided details of the revenue and capital budget proposals for 2020/21.

The Cabinet had considered initial budget proposals on 19 November 2019, which had been developed in accordance with the principles set out in the Medium Term Financial Strategy. In accordance with the budget and policy framework rules within the Constitution, the Overview and Scrutiny Committees had then considered the Cabinet’s proposals prior to Cabinet’s consideration of the draft budget on 4 February 2020.

It was noted that an overarching Diversity Impact Assessment, as set out in Appendix 8 to the report, summarised the results of the Diversity Impact Assessments which had been completed for each of the services affected by the proposed budget changes.

The Leader of the Council, Councillor Jarrett, supported by the Deputy Leader and Portfolio Holder for Housing and Community Services, Councillor Doe, proposed the recommendations set out in section 22 of the report, together with the following detailed changes listed below in relation to recommendation 22.4:

The £150,000 funding for Dickens 150 will be non-recurring.

This additional spending of £1,305,000 is to be funded by an NDR surplus of £708,500, a more beneficial Housing Benefit Subsidy of £500,000 and an improved Medway Norse rebate of £96,500.

In accordance with Rule 12.5 of the Council Rules, a recorded vote on the proposal was taken.

For – Councillors Ahmed, Aldous, Barrett, Bhutia, Brake, Buckwell, Carr, Mrs Diane Chambers, Rodney Chambers OBE, Chitty, Clarke, Doe, Etheridge, Fearn, Filmer, Griffin, Gulvin, Mrs Josie Iles, Steve Iles, Jarrett, Kemp, Opara, Potter, Tejan, Thompson, Thorne, Tranter, Mrs Elizabeth Turpin, Rupert Turpin, Wildey and Williams (31)

Against – Councillors Adeoye, Bowler, Browne, Cooper, Curry, Howcroft-Scott, Hubbard, Johnson, Khan, Lloyd, Mahil, Maple, McDonald, Murray, Osborne, Paterson, Pendergast, Price, Sands, Andy Stamp and Chrissy Stamp (21)

There were no abstentions.

Note: Councillor Hackwell was not present for the recorded vote.

On being put to the vote, the proposal was agreed.

Decision:

a)   The Council agreed the recommendations of Employment Matters Committee on 29 January 2020:

i)             that a 1% increase in pay to be distributed as follows:

·                0.60% paid as a general cost of living increase

·                0.40% paid in accordance with the performance arrangements as detailed under MedPay, as set out in paragraph 8.3 of the report, with the addition of a further 1% increment in pay incorporating Medpay, taking this year’s increase to 2% as set out in decision c) below;

ii)            that authority be delegated to the Head of Paid Service to agree the competency based awards for staff assessed under MedPay at Levels 1A, 1B and 2 as set out in paragraph 8.4 of the report;

iii)           that the level 3 Apprentice salary be  ...  view the full minutes text for item 713

Background:

This report presented proposals for the capital and revenue budgets for 2020/2021. It was noted that the Cabinet had considered initial budget proposals on 19 November 2019, which had been developed in accordance with the principles set out in the Medium Term Financial Strategy (MTFS). The MTFS had identified a potential revenue shortfall of £5.956million in 2020/2021 rising to £17.327million by 2023/2024.

The report stated that the proposed revenue budget requirement of £322.957million (as set out in Appendix 2 to the report) exceeded the estimated available resources by £300,700. However, options were being considered to address this prior to the Council’s budget setting meeting on 20 February 2020.

The current capital programme for 2020/2021 was £469.838million, with a further £9.951million estimated for proposed additions to the programme for the next financial year, as detailed at section 12 of the report.

It was noted that budget proposals had been referred to all the Overview and Scrutiny Committees for consideration. The Overview and Scrutiny Committees’ views together with the recommendations of the Business Support Overview and Scrutiny Committee (30 January 2020) were set out for Cabinet in an addendum report.

The schedule of fees and charges was set out in Appendix 5 to the report.

The report set out the requirements under equality legislation and it was noted that an overarching Diversity Impact Assessment would be included in the budget report to Full Council on 20 February 2020

Reasons:

The constitution requires that Cabinet’s budget proposals must be referred to Council for consideration and approval.

The Council is required by statute to set a budget and Council Tax levels by 11 March each year.