Issue - meetings

Purpose:       To approve the Corporate Financial Stewardship options following consideration of feedback from Corporate Resources Overview and Scrutiny Committee on 30/11/16 and set out the next stages in the budget process for 2017/18

That the Stage 2 budget proposals for 2017/18 be approved.

The Chief Executive introduced the report to present the Corporate Financial Stewardship Proposals (Part 2 of the Strategy) for approval.  He advised that the proposals had been considered, and recommended at the meeting of Cabinet which had been held prior to the meeting of County Council this afternoon, and following consideration by the Corporate Resources Overview & Scrutiny Committee on 30 November 2016. 

The Chief Executive provided background information and context and outlined the further work to be done to close the ‘budget gap’ and conclude the budget proposals for 2017/18. The Chief Executive, Corporate Finance Manager, and Finance Manager, Technical and Accountancy, gave a joint presentation which covered the following areas:

·         the forecast ‘Budget Gap’ 2017/18

·         where the Council had ‘left off’ in November

·         Corporate financial stewardship proposals

·         Apprentice Tax Levy

·         central loans and investment account

·         summary of overall budget position

·         Domiciliary care cap review

·         Corporate financial stewardship – ongoing work

·         final stages of 2017/18 budget setting

Councillor Aaron Shotton thanked the Chief Executive, and Corporate Finance Manager and his Team, for their presentation and work on the Stage 2 budget proposals.  He was grateful that Officers had not brought forward a request for cuts to be made to services but had found innovative solutions in corporate financing and over how the Council would meet its revenue provision for borrowing and debt. 

Councillor Shotton advised that Cabinet, at a meeting which had been held prior to the meeting of the Council this afternoon, had endorsed to Council a final set of detailed proposals for Stage 2 of the budget and he moved the recommendation in the report.  The proposal was seconded.  Councillor Shotton said he supported the incremental approach to setting the budget and commented that Members had been given more opportunity this year than previously to engage with and discuss elements within the budget process.  He sought support from Members for the resolute approach which had been taken in Flintshire to protect services from cuts, despite reduced government funding and austerity, which was different to the stance adopted in other local authorities. 

Councillor Shotton spoke of the commitment within the budget this year to provide a 1.3% increase in the school budget.  He commented on the further work to be done to set a legal balanced budget and to continue lobbying of the Welsh Government for recognition and support of the Council’s low funding position with specific emphasis on social services care pressures.  Councillor Shotton gave a commitment that in leading to a balanced budget the Council would not bring forward any proposals for cuts to services

In response to the comments made by Councillor Nigel Steel Mortimer concerning the annual Minimum Revenue Provision charge and his suggestion for further savings to be achieved through consideration of the third option, the Chief Executive advised that the annuity method was not appropriate for historic debt but might be appropriate for selective future borrowing.  The Finance Manager, Technical Accountancy, acknowledged that whilst the suggestion put forward was more affordable in  ...  view the full minutes text for item 73