Agenda item

Report by the Chief Finance Officer (CC9).

This report is the culmination of the service & resource planning process for 2016/17 to 2019/20. It sets out the Cabinet’s proposed budget for 2016/17, medium term financial plan and capital programme, together with a number of statements/policies that the Council is required to approve for the 2016/17 financial year. The report also includes the Corporate Plan to 2020.

The report is divided into four main sections which are outlined below:

Section 1 – Leader of the Council’s overview

Section 2 – Corporate Plan

Section 3 – Chief Finance Officer’s statutory report

Section 4 – Budget Strategy and Capital Programme

The Council is RECOMMENDED to:

(a)          approve the Corporate Plan 2016/17 – 2019/20 as set out in section 2.0;

(b)          have regard to the Chief Finance Officer’s report (at Section 3) in approving recommendations c to f below;

(c)          (in respect of revenue) approve:

(1)          the council tax and precept calculations for 2016/17 set out in section 4.3 and in particular:

(i)            a precept of £305,896,875;

(ii)          a council tax for band D equivalent properties of £1,281.64;

(2)          a budget for 2016/17 as set out in section 4.4;

(3)          a medium term plan for 2016/17 to 2019/20 as set out in section 4.1 (which incorporates changes to the existing medium term financial plan as set out in section 4.2);

(4)          the use of Dedicated Schools Grant (provisional allocation) for 2016/17 as set out in section 4.7;

(5)          virement arrangements to operate within the approved budget for 2016/17 as set out in section 4.8;

(d)          (in respect of treasury management) approve:

(1)          the Treasury Management Strategy Statement and Annual Investment Strategy for 2016/17 as set out in section 4.5;

(2)          the continued delegation of authority to withdraw or advance additional funds to/from external fund managers to the Treasury Management Strategy Team;

(3)          that any further changes required to the 2016/17 strategy be delegated to the Chief Finance Officer in consultation with the Leader of the Council and the Cabinet Member for Finance;

(4)          the Prudential Indicators as set out in Appendix A of section 4.5

(5)          the Minimum Revenue Provision Methodology Statement as set out in Appendix B of section 4.5;

(6)          the Specified Investment and Non Specified Investment Instruments as set out in Appendix C and D of section 4.5;

(7)          the Treasury Management Policy Statement as set out at Appendix E of section 4.5;

(e)          (in respect of balances and reserves) approve:

(1)          the Chief Finance Officer’s recommended level of balances for 2016/17 as set out in section 4.6.1

(2)          the planned level of reserves for 2016/17 to 2019/20 as set out in section 4.6.2;

(f)           (in respect of capital) approve:

(1)          a Capital Programme for 2015/16 to 2019/20 as set out in section 4.9 including the Highways Structural Maintenance Programme 2016/17 and 2017/18 in section 4.9.1;

The Council had before it the report by the Chief Finance Officer (CC8) which outlined the service & resource planning process for 2016/17 to 2019/20 including the Leader of the Council’s overview (Section 1, published on the day), Corporate Plan (Section 2), Chief Finance Officer’s statutory report (Section 3) and Budget Strategy and Capital Programme (Section 4), together with a number of statements/policies that the Council was required to approve for the 2016/17financial year.

Under Section 25 of the Local Government Act 2003, the Chief Finance Officer was required to report on the robustness of the estimates made in determining the council tax requirement and on the adequacy of the proposed financial reserves.  The assessment was set out in section 3 of the report. Council was required to have regard to this report in making their decisions on the budget.

The Council also had before it budget proposals in the form of: Amendments by the Labour Group to the Cabinet’s Revenue Budget (CC9 Labour) and Amendments by the Green Group to the Cabinet’s Revenue Budget (CC9 Green), and a statement by the Liberal Democrat Group (CC9 Liberal Democrat), together with a revised Section 4.3 – Council Tax Precepts. (Additional Papers).

Councillor Hudspeth moved and Councillor Brighouse seconded a motion which sought Council’s approval for an adjournment to allow discussion between the Leader of the Council and the Leader of the Labour Group to see if they could agree on a proposal to put before Council.

The motion was put to the vote and was carried nem con.  Accordingly, Council was adjourned at 11.00 am for 3 hours and 35 minutes.

Council reconvened at 2.35 pm.

With the consent of Council, Councillor Hudspeth moved and Councillor Brighouse seconded an amendment to his original motion as shown at Annex 2 to these minutes.  In moving the motion, Councillor Hudspeth and Brighouse paid tribute to Lorna Baxter and Katy Jurczyszyn for all their work in preparing the budget.

With the consent of Council, Councillor Brighouse withdrew her amendment.

With the consent of Council, Councillor Williams moved and Councillor Coates seconded an amended version of his amendment to the Cabinet’s budget as set out in the Annex 1 to these minutes. In moving his motion, Councillor Williams paid tribute to Lorna Baxter and her team for their help and support.

Following debate, the amendment was put to the vote and was lost by 59 votes to 2, with 1 abstention.

Following a lengthy debate, the substantive motion was then put to the vote and it was carried by 60 votes to 2 (details of amended 4.2.2. shown at Annex 2)

RESOLVED: (by 60 votes to 2) to:

(a)          approve the Corporate Plan 2016/17 – 2019/20 as set out in section 2.0;

(b)          have regard to the Chief Finance Officer’s report (at Section 3) in approving recommendations c to f below;

(c)          (in respect of revenue) approve:

(1)          the council tax and precept calculations for 2016/17 set out in section 4.3 and in particular:

(i)            a precept of £305,896,875;

(ii)          a council tax for band D equivalent properties of £1,281.64;

(2)          a budget for 2016/17 as set out in section 4.4, as amended by new section 4.2.2

(3)          a medium term plan for 2016/17 to 2019/20 as set out in section 4.1 (which incorporates changes to the existing medium term financial plan as set out in section 4.2), as amended by new section 4.2.2

(4)          the use of Dedicated Schools Grant (provisional allocation) for 2016/17 as set out in section 4.7;

(5)          virement arrangements to operate within the approved budget for 2016/17 as set out in section 4.8;

(d)          (in respect of treasury management) approve:

(1)          the Treasury Management Strategy Statement and Annual Investment Strategy for 2016/17 as set out in section 4.5;

(2)          the continued delegation of authority to withdraw or advance additional funds to/from external fund managers to the Treasury Management Strategy Team;

(3)          that any further changes required to the 2016/17 strategy be delegated to the Chief Finance Officer in consultation with the Leader of the Council and the Cabinet Member for Finance;

(4)          the Prudential Indicators as set out in Appendix A of section 4.5

(5)          the Minimum Revenue Provision Methodology Statement as set out in Appendix B of section 4.5;

(6)          the Specified Investment and Non Specified Investment Instruments as set out in Appendix C and D of section 4.5;

(7)          the Treasury Management Policy Statement as set out at Appendix E of section 4.5;

(e)          (in respect of balances and reserves) approve:

(1)          the Chief Finance Officer’s recommended level of balances for 2016/17 as set out in section 4.6.1

(2)          the planned level of reserves for 2016/17 to 2019/20 as set out in section 4.6.2;

(f)           (in respect of capital) approve:

a Capital Programme for 2015/16 to 2019/20 as set out in section 4.9 including the Highways Structural Maintenance Programme 2016/17 and 2017/18 in section 4.9.1.

With the consent of Council, Councillor Hudspeth then moved and Councillor Brighouse seconded that a full and timetabled consultation for unitary government to be put in place to discuss this issue on a cross-party basis with district, town and parish councils with the clear aim of bringing it to fruition.

The motion was put to the vote and was carried by 57 votes to 3, with 2 abstentions.

RESOLVED:  (by 57 votes to 3, with 2 abstentions) that a full and timetabled consultation for unitary government to be put in place to discuss this issue on a cross-party basis with district, town and parish councils with the clear aim of bringing it to fruition.

Annex 1

Annex 2

Explanation

1.      In relation to SC21AB&C – £1.5million* with full review of the all-day service for older people.

2.      SC12** – Put in £2m in order to ensure in terms of service and geography the needs of the Children of Oxfordshire are met.

3.       Transition – To create a cross party board of members to consider maximum benefit from use of temporary funds across services and across geography of Oxfordshire. This fund will be for 16/17 a total of £4million with £1million allocated for creating a one off pump priming fund for one year to take to districts and parishes, inviting them to commit money to support Children’s Centres which they would help save, a £1million added for income generation pump priming. Homelessness budget also to be considered

4.    Workplace – commit to a full review of implications with a view to implementation as early as is feasible.

5 SC1A

A review of cabinet members

* Error – should read £1million

** Error – should read CEF12