Agenda and minutes

To approve the record of the meeting held on 22 January 2015.

The record of the meeting held on 22 January 2015 was agreed and signed by the Mayor as correct.  

Apologies for absence were received from Councillors Clarke, Colman, Cooper, Doe, Etheridge, Kearney, Mackinlay, Mason and Watson.

A member need only disclose at any meeting the existence of a disclosable pecuniary interest (DPI) in a matter to be considered at that meeting if that DPI has not been entered on the disclosable pecuniary interests register maintained by the Monitoring Officer.

A member disclosing a DPI at a meeting must thereafter notify the Monitoring Officer in writing of that interest within 28 days from the date of disclosure at the meeting.

A member may not participate in a discussion of or vote on any matter in which he or she has a DPI (both those already registered and those disclosed at the meeting) and must withdraw from the room during such discussion/vote.

Members may choose to voluntarily disclose a DPI at a meeting even if it is registered on the council’s register of disclosable pecuniary interests but there is no legal requirement to do so.

Members should also ensure they disclose any other interests which may give rise to a conflict under the council’s code of conduct.

In line with the training provided to members by the Monitoring Officer members will also need to consider bias and pre-determination in certain circumstances and whether they have a conflict of interest or should otherwise leave the room for Code reasons.

Disclosable pecuniary interests

Councillor Griffiths declared a disclosable pecuniary interest in agenda item 6 (Capital and Revenue Budgets 2015/2016) because he was a Non-Executive Director, Medway Community Healthcare (MCH), Community Interest Company and stated that he would leave the meeting should there be any discussion regarding MCH.

Other interests

Councillor Price declared an interest in agenda item 6 (Capital and Revenue Budgets 2015/2016) with regard to the Health and Lifestyle Trainers Service because he was the Chairman of the Sunlight Development Trust. He left the meeting during discussion of this issue.

On advice from the Monitoring Officer, it was agreed that a personal and potentially financial interest be recorded in the minutes on behalf of any officers present affected by the proposals set out in agenda item 6 (Capital and Revenue Budgets 2014/2015).

The Mayor welcomed several members of the National and Provincial Assemblies of Pakistan who were visiting the UK as part of Constituency Outreach Study Mission organised by the International Republican Institute to the meeting.

The Mayor informed Members that that there were two Mayoral events coming up to raise funds for his supported Charities:

• Big Band dinner and dance at the Corn Exchange – 14 March 2015
• Charity Chinese evening at Confucius Restaurant –  21 April 2015.

The Mayor, on behalf of all Members, wished Councillor Kearney, who was currently in hospital, a speedy recovery.

The Mayor proposed to suspend Council Rule 11 (Rules of Debate) in respect of time limits on speeches in relation to agenda item 6 (Capital and Revenue Budgets 2015/2016) only, to allow one Member from each group to speak on the budget item for an unlimited time.  The normal time limits would then apply. This was agreed.

The Mayor reminded Members that a written copy of amendments to any proposals must be provided to the Head of Democratic Services and that copies should be brought up to the top table first.

The Leader of the Council, Councillor Rodney Chambers OBE, paid tribute to the Chief Finance Officer, Mick Hayward, who was retiring on 27 February 2015.  The Leader provided a number of highlights of Mick Hayward’s career noting that he had joined Gillingham Borough Council in 1989, subsequently joining the newly formed Medway Council from its inception in 1998 where he had held a number of senior finance positions. He thanked, on behalf of all Members, Mick for his service and he was presented with a token of appreciation.

Councillors Griffiths, Juby, Harriott and Chishti also paid tribute to Mick Hayward for his service to Gillingham Borough Council and Medway Council.

This report sets out the final proposals for the approval of the capital and revenue budgets, rent increases and council tax for 2015/2016 as proposed by Cabinet.

Discussion:

This report presented proposals for the capital and revenue budgets and the Housing Revenue Account (HRA) for 2015/2016.

The Cabinet had considered initial budget proposals on 2 December 2014, which had been developed in accordance with the principles set out in the Medium Term Financial Plan (MTFP) 2014/2018. 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 10 February 2015. It was noted that the report had incorporated the implications of the Final Settlement, which had been announced on 3 February 2015.

In setting its budget, the Council was exercising a public function and must therefore comply with the duties in section 149 Equality Act 2010 to have 'due regard' to the matters set out in that section. As such, a Diversity Impact Assessment was attached at Appendix 13 to the report.  This was an overarching report containing a summary of the results of the Diversity Impact Assessments which had been completed for each of the services affected by the proposed budget changes.

Appendix 12 to the report (Fees and Charges) was set out in Supplementary Agenda No.1.

The Deputy Leader and Portfolio Holder for Finance, Councillor Jarrett, supported by the Leader of the Council, Councillor Rodney Chambers OBE, proposed the recommendations in the report with the exceptions of recommendations 22.2 and 22.3 which were revised to reflect the following variations as follows:

Councillor Maple, supported by Councillor Murray, proposed the following amendment:

1. Additional £217,000 to Medway Council employees to fund a living wage to be funded by reducing the Councillor Special Responsibility Allowance budget by £11,000; utilising £90,000 of unallocated DCLG grant funding; utilising an additional £66,000 brought about by utility bill savings and £50,000 additional income from Category Management.

2. Allocate the £800,000 provision to fund a 1% pay increase across all relevant staff.

3. Additional £200,000 to increase apprenticeship incentives offered to local employers to be funded by reducing the South Medway Development Fund by a non-recurring £200,000.

4. Additional £80,000 to retain EU project staff until October  ...  view the full minutes text for item 791.

This report includes the mid-year review of the Treasury Management Strategy 2014/15 and seeks approval to the Council’s Treasury Management Strategy for the 2015/16 financial year.

Discussion:

This report provided details of the mid-year review of the Treasury Management Strategy 2014/15 and the Council’s Treasury Management Strategy for the 2015/16.

The mid-year report element of this report had been prepared in compliance with CIPFA’s Code of Practice on Treasury Management, and covered the following:

• An economic update for the first six months of 2014/15
• A review of the Treasury Management Strategy Statement and Annual Investment Strategy
• A review of the Council’s investment portfolio for 2014/15
• A review of the Council’s borrowing strategy for 2014/15
• A review of any debt rescheduling undertaken during 2014/15
• A review of compliance with Treasury and Prudential Limits for 2014/15.

The prudential and treasury indicators and treasury strategy sections of the report covered two main areas:

Capital issues

• The capital plans and the prudential indicators
• The minimum revenue (MRP) policy.

Treasury management issues

• The current treasury position
• Treasury indicators which limit the treasury risk and activities of the Council
• Prospects for interest rates
• The borrowing strategy
• Policy on borrowing in advance of need
• Debt rescheduling
• The investment strategy
• Creditworthiness policy
• Policy on use of external service providers.

These elements covered the requirements of the Local Government Act 2003, the CIPFA Prudential Code, Communities and Local Government Guidance on Minimum Revenue Position (CLG MRP Guidance), the CIPFA Treasury Management Code and CLG Investment Guidance.

The Audit Committee and Cabinet considered this report on 15 January 2015 and 10 February 2015 respectively and their comments were set out in paragraphs 7 and 8 of the report.

Appendices 1-9 were set out in Supplementary Agenda No.1.

A Diversity Impact Assessment had been undertaken on the Treasury Management Strategy, details of which were included at Appendix 9 to the report.

The Deputy Leader and Portfolio Holder for Finance, Councillor Jarrett, supported by the Leader of the Council, Councillor Rodney Chambers OBE, proposed the recommendations set out in the report.

Decision:

(a)         The Council noted the comments of the Audit Committee and the Cabinet.

(b)         The Council noted the mid-year review of the Treasury Management Strategy 2014/15, as set out in section 3 of the report.

(c)         The Council approved the Treasury Management Strategy and associated policies and strategy statements as set out in section 4 and Appendices 1-6 to the report.

This report provides details of the outcome of a review to ensure the delivery of the Council Plan is assessed using a focused and informative set of indicators to cover the period 2015-16 that take account of recent financial and service developments.

Discussion:

This report provided details of the Council Plan which was the organisation’s overarching business plan, setting out the Council’s commitments to achieving certain outcomes during the life of the Plan. Following feedback from Members and officers, it was proposed that the current plan would be extended into 2015-16. Moving forward it was the intention to develop a new medium term strategic plan in 2015-16 to replace the extended 2013-15 version.

The Business Support Overview and Scrutiny Committee and Cabinet considered this report on 3 February 2015 and 10 February 2015 respectively and their comments were set out in paragraphs 6 and 7 of the report.

A Diversity Impact Assessment of the refreshed Council Plan indicators had been prepared with the report, in line with the Council’s established procedure for new strategic documents, as set out in Appendix 5 to the report. This had not identified any adverse impact on residents with protected characteristics based on the proposed changes to Council Plans key projects and indicator suite.

The Deputy Leader and Portfolio Holder for Finance, Councillor Jarrett, supported by the Leader of the Council, Councillor Rodney Chambers OBE, proposed the recommendations set out in the report.

Decision:

(a)         The Council agreed the revised Council Plan 2014-2015 Indicators (Appendix 1 to the report) and the Target Profile document (Appendix 2 to the report.

(b)         The Council agreed to delegate to the Chief Executive, in consultation with the Deputy Leader and Portfolio Holder for Finance, authority to deal with any necessary changes to align the Plan to the agreed budget, including any updates required to the Council Plan document.

This report seeks approval to the Pay Policy Statement for 2015/2016.

Discussion:

This report provided details of the Pay Policy Statement for the financialyear 2015/2016in accordance with the Localism Act 2011. It was noted that the pay policy statement must beapproved by a resolution of Full Council before it comes into force and had to be prepared and approved before 31 March 2015 for the following financial year.

A Diversity Impact Assessment (DIA) screening, as set out in Appendix 2 to the report, hadbeen undertaken on the Statement and it is considered that a full DIA was not required.

The Chairman of the Employment Matters Committee, Councillor Wicks, supported by the Deputy Leader and Portfolio Holder for Finance, Councillor Jarrett,proposed the recommendation in the report.

Decision:

The Council agreed the Pay Policy Statement 2015/2016 as set out in

Appendix 1 to the report.

This report asks the Council to approve the reason for Councillor Kearney to be absent from meetings.

Discussion:

This report provided details of a request to the Council to approve the reason for Councillor Kearney to be absent from meetings, owing to ill health.

It was noted that section 85 of the Local Government Act 1972 stated that if a Member of a Local Authority failed throughout a period of six consecutive months from the date of his/her last attendance to attend any meeting of the authority, he/she shall, unless the failure was due to some reason approved by the authority before the expiry of that period, would cease to be a member of the authority.

The Leader of the Council, Councillor Rodney Chambers OBE, supported by Councillor Maple, proposed the recommendation set out in the report.

Decision:

The Council approved the absence of Councillor Sheila Kearney as a consequence of her long term health issues until the end of her current term of office.