Agenda item

Budget 2016/17

To receive and consider the following joint reports of the Executive Member for Finance and the Director of Finance, presented to the Executive on 17 February 2016, and to adopt the resolutions therein:

Minutes:

(Note: PROCEDURAL ARRANGEMENTS - In respect of the main item of business on the agenda, the Mayor announced that the Leader of the Council (or his nominee) would have a maximum of 15 minutes to make the initial speech and a further maximum of 15 minutes to finish the debate. The Leaders of the Labour and Liberal Democrat Groups (or their respective nominees) would each have a maximum of 15 minutes to make their initial speeches and a further maximum of 5 minutes to wind up on behalf of their respective Groups. The Mayor also outlined the approach for dealing with amendments, should any be made to the main motion, and indicated that the mover of an amendment would have 5 minutes, whilst the time for all other speeches would be restricted to 3 minutes.)

 

The Executive Member for Finance presented a number of reports setting out the proposed budget for the forthcoming year, together with the recommendations from the Executive meeting held earlier that evening.

 

It was moved and seconded that the Executive’s recommendations for the budget, circulated to Members at the meeting, be approved.

 

Councillors Ross and Bowker responded to the Motion on behalf of the Labour and Liberal Democrat Groups respectively, after which the budget proposals were then debated by the Council.

 

In accordance with procedures agreed at the outset of the debate, the Political Group Leaders summarised the essential views of their respective group and responded to some of the issues that had arisen from the debate.

 

The Motion was then put to a recorded vote, in accordance with the Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014. The result was as follows:

 

Those in favour of the Motion: Councillors S.A. Anstee, S.K. Anstee, Dr. Barclay, Miss Blackburn, Bowker, Boyes, Mrs. Brophy, Mrs. Bruer-Morris, Bunting, Butt, Candish, Cawdrey, Chilton, Cornes, Coupe, Mrs. Dixon, Mrs. Evans,  N. Evans, Fishwick, Hopps, Hyman, Lally, Lamb, Mitchell, Myers, J.R. Reilly, Mrs. Reilly, Rigby, Sephton, Sharp, Shaw, Mrs. Ward, Whetton, Williams, M. Young and Mrs. Young.

 

Those against the Motion: Councillors Acton, Adshead, Baugh, Bennett, Brotherton, Carter, Cordingley, Duffield, Freeman, Gratrix, Harding, Hynes, Jarman, Lloyd, Malik, O’Sullivan, Procter, Ross, Stennett, A. Western and D. Western.

 

With the result of the vote being 36 in favour and 21 against, with 0 abstentions, the Motion was declared carried.

 

        RESOLVED –

 

(A)   That the Council approves:

 

(1)        The net Revenue Budget for 2016/17 at £147.320 million, a decrease of £(1.594) million, or (1.1)%, when compared to the 2015/16 base budget of £148.914 million.

(2)        The calculation of the Council Tax Requirement as detailed in Section 9 of the budget proposals report and summarised in the Appendix A of the Executive’s recommendations circulated at the meeting.

(3)        The formal Council Tax Resolution, as required under statute and set out in (D) below.

(4)        That the Council Tax level for Trafford related services in 2016/17 be increased by 2% in respect of the social care “precept” (valuation bands are detailed at Annex D of the budget report).

(5)        No further increase in the general level of Council Tax over and above the social care precept.

(6)        The Fees and Charges for 2015/16, as set out in the booklet available on the Council’s web site, including specifically:

·             delegation of authority to each Corporate Director, in consultation with the Chief Finance Officer, to amend fees and charges during 2016/17 in the event of any change in the rate of VAT, as appropriate.

·             delegation to the Corporate Director Economic Growth, Environment and Infrastructure, in consultation with the Chief Finance Officer to amend fees and charges in line with commercial negotiations with Amey under the One Trafford Partnership contract.

 

(7)        That the minimum level of General Reserve for 2016/17 be set at £6 million, the same as in 2015/16, Section 6 of the budget proposals report.

(8)        The overall Capital Investment Programme level of £90.7 million (as detailed in the Capital Investment Programme and Prudential Indicators 2016/19 report) of which £43.7 million relates to 2016/17 and the Prudential Indicators as set out in the report.

(9)        The Treasury Management Strategy 2016/17 - 2018/19 and specifically:

·             the policy on debt strategy for 2016/17 to 2018/19 as set out in section 3 of the report and in the addendum report.

 

·             the investment strategy for 2016/17 to 2018/19 as set out in section 5 of the report and in the addendum report;

 

·             the Prudential Indicators and limits including the Authorised Limit (as required by section 3(1) of the Local Government Act 2003), Operational Boundary, Minimum Revenue Provision Statement and the Investment criteria as detailed in Appendix 3 of the report and in the addendum report.

(10)    The distribution of Dedicated Schools Grant as recommended by the School Funding Forum and Executive as summarised in Section 7 and detailed in Annex E of the budget proposals report.

(B)       That, in approving the above, it is noted that the Council has taken into consideration:

 

(1)        The objective assessment by the Director of Finance of the robustness of budget estimates and adequacy of the General Reserve (Section 5 and Annex I of the budget proposals report).

(2)        The Executive’s response to the Scrutiny Committee’s recommendations to the budget proposals, submitted to the Executive meeting held on 17 February 2016.

(3)        The detailed report on the outcomes of the Staff and Trade Union Consultation which were submitted to Employment Committee on 18 January 2016.

(4)        The Equality Impact Assessments in relation to the budget proposals and the Public Sector Equality duty.

(5)        The comments of the Director of Finance in paragraphs 5.4 to 5.7 of the budget proposals report regarding Council Tax.

(C)       That in addition, the Council notes the following:

(1)        The approval on 19 January 2016 under delegated powers by the Director of Finance of the Council Tax Base for 2016/17 at 73,844 Band D equivalents. Along with the calculation of the estimated Council Tax surplus, sufficient to release £(300) thousand to support the Council’s 2016/2017 revenue budget and a distribution of £(41.3) thousand and £(15.6) thousand representing the respective shares of the Greater Manchester Police and Crime Commissioner and Greater Manchester Fire and Rescue Authority. 

(2)        That the Capital Investment Programme for 2017/18 and 2018/19 is to be set at an indicative £26.9 million and £20.1 million respectively.

(3)        The Treasury Management Strategy 2016/19.

(4)        The base budget assumptions as set out in the Medium Term Financial Outlook as detailed in Annex A of the budget proposals report.

(5)        That final decisions with regard to some services will not be taken until March 2016. As a result, the allocation of resources set out on pages 65-70 of the budget proposals report may vary, including the use of reserves and reports will be presented at the appropriate time.

(6)        The outcomes of the public consultation included in the budget proposals report.

(D)       That, as referred to in A3 above, the Council calculates the formal Council Tax Resolution as follows:

1.

It be noted that on 19 January 2016 the Council calculated:

 

 

(a)  the Council Tax Base 2016/17 for the whole Council area as 73,844 [Item T in the formula in Section 31B(3) of the Local Government Finance Act 1992, as amended (the "Act")] and;

 

 

(b)  1,555 for dwellings in the Parish of Partington to which Parish Precepts relates.

 

 

 

2.

That the Council approve the Council Tax Requirement for the Council’s own purposes for 2016/17 (excluding Parish precepts) is £83,246,556.

 

 

 

3.

That the Council agrees the calculation of the Aggregate Amounts for the year 2016/17 in accordance with Sections 31 to 36 of the Act:

 

 

 

(a)

£424,154,784

being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act taking into account all precepts issued to it by Parish Councils.

(b)

£340,842,140

being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act.

(c)

£83,312,644

being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council in accordance with Section 31A(4) of the Act as its Council Tax requirement for the year. (Item R in the formula in Section 31A(4) of the Act).

(d)

£1,128.22

being the amount at 3(c) above (Item R), all divided by Item T (1(a) above), calculated by the Council, in accordance with Section 31B(1) of the Act, as the basic amount of its Council Tax for the year (including Parish precepts).

(e)

£66,088

being the aggregate amount of all special items (Parish precepts) referred to in Section 34(1) of the Act, as detailed below:

PARISH COUNCIL PRECEPT

 

 

2015/16

2016/17

 

 

Parish/Town Council

Tax

Precepts

Council Tax

Tax

Precepts

Council Tax

 Council Tax

 

Base

£

Band D (£)

Base

£

Band D (£)

 Increase

Partington

1,422

60,435

42.50

1,555

66,088

42.50

0.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TOTAL / AVERAGE

1,422

60,435

42.50

1,555

66,088

42.50

0.0%

 

 

(f)

 

 

 

 

 

 

(g)

 

 

 

 

 

£1,127.33

 

 

 

 

 

 

£1,169.83

being the amount at 3(d) above less the result given by dividing the amount at 3(e) above by Item T (1(a) above), calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no Parish precept relates.

 

Parish of Partington

being the amounts given by adding to the amount at 3(f) above the amounts of the special item or items relating to dwellings in those parts of the Council’s area mentioned at 3(e) above divided by the amount at 1(b) above, calculated by the Council, in accordance with section 34(3) of the Act, as the basic amounts of its council tax for the year for dwellings in those parts of its area to which one or more special items relate.

4.

 

 

5.

 

 

 

 

 

6.

 

That the Council Tax set by Trafford Council includes a 2.0% increase to be spent exclusively on supporting the delivery of adult social care services.

 

That it be noted that for the year 2016/17 the Office of the Police and Crime Commissioner for Greater Manchester and Greater Manchester Fire and Rescue Authority have issued precepts to the Council in accordance with Section 40 of the Local Government Finance Act 1992, for each category of dwellings in the Council’s area as indicated in the table below.

 

That the Council, in accordance with Sections 30 and 36 of the Local Government Finance Act 1992, hereby sets the aggregate shown in the tables below as the amounts of Council Tax for 2016/17 for each part of its area and for each of the categories of dwellings.

 

Valuation Bands

 

Council Tax Schedule
2016/17

Band A
£

Band B
£

Band C
£

Band D
£

Band E
£

Band F
£

Band G
£

Band H
£

Trafford Council (including Adult

Social Care Precept)

751.55

876.81

1002.07

1,127.33

1,377.85

1,628.37

1,878.88

2,254.66

Office of Police and Crime Commissioner for GM

 

 

 

104.87

122.34

139.82

157.30

192.26

227.21

262.17

314.60

 

 

 

 

 

 

 

 

 

GM Fire & Rescue Authority

39.18

45.71

52.24

58.78

71.84

84.90

97.96

117.56

Sub total

895.60

1,044.86

1,194.13

1,343.41

1,641.95

1,940.48

2,239.01

2,686.82

 

 

 

 

 

 

Partington

 

 

 

 

 

 

 

 

Parish only

28.33

33.06

37.78

42.50

51.94

61.39

70.83

85.00

Parish & District only

779.88

909.87

1,039.85

1,169.83

1,429.79

1,689.76

1,949.71

2,339.66

Aggregate of Council Tax requirements (incl. Police & Fire)

923.93

1,077.92

1,231.91

1,385.91

1,693.89

2,001.87

2,309.84

2,771.82

 

 

Supporting documents: