Issue - meetings

(Cabinet Member with Special Responsibility Councillor Leytham)

Joint Report of Chief Officer (Health & Housing) and Chief Officer (Resources)

(Cabinet Member with Special Responsibility Councillor Leytham)

Cabinet received a joint report from the Chief Officer (Health and Housing) and Chief Officer (Resources) which provided an update on the council housing budgetary position and sought Cabinet’s decisions on council housing rent levels for 2015/16 together with targets for future years.  It also sought approval of Cabinet’s supporting revenue budget and capital programme proposals for referral on to Council, in order to complete the HRA budget setting process for 2015/16.

The options, options analysis, including risk assessment and officer preferred option, were set out in the report as follows:

With regard to the revenue budget generally, Cabinet could consider other proposals that may influence spending in current and future years, as long their financing is considered and addressed.

The options available in respect of the minimum level of HRA balances are to set the level at £350,000 in line with the advice of the Section 151 Officer, or to adopt a different level. Should Members choose not to accept the advice on the level of balances, then this should be recorded formally in the minutes of the meeting and it could have implications for the Council’s financial standing, as assessed by its external auditors.

There is only one sustainable option available in respect of the 2015/16 rent increase and this is set out in section 6 of the report and is in line with the current rent setting policy. 

The options available in respect of the Capital Programme are:

i)              To approve the programme in full, with the financing as set out;

ii)             To incorporate other increases or reductions to the programme, with appropriate sources of funding being identified.

Any risks attached to the above would depend very much on what measures Members proposed, and their impact on the council housing service and its tenants.  As such, a full options analysis could only be undertaken once any alternative proposals are known, and Officers may require more time in order to do this.

The Officer preferred options are to:

-        Approve / refer on  the provisions, reserves and balances position as set out;

-        Set rent levels to ensure that current stock levels continue to be maintained to required standards, i.e. a 2% increase in 2015/16 and 3% thereafter, noting that any detrimental impact associated with any future accounting / regulatory / welfare reform changes will need to be addressed at that time;

-        Note that if future investment opportunity is to be maximised, then as referred to in section 6.3, this can only really be properly considered once there is a better understanding of the total maintenance requirements and its impact on the viability of the 30-year Business Plan.

-        Approve / refer on the revenue and capital budget proposals as set out.

Councillor Leytham proposed, seconded by Councillor Hanson:-

“That the recommendations, as set out in the report, be approved.”

Councillors then voted:-

Resolved:

(6 Members (Councillors Blamire, Bryning, Hanson, Leytham, Sands and Smith) voted in favour, and 2  ...  view the full minutes text for item 90