Agenda and minutes

To receive as a correct record the minutes of Cabinet held on Tuesday,November 5, 2013 (previously circulated). 

The minutes of the meeting held on Tuesday 5 November 2013 were approved as a correct record.

To consider any such items authorised by the Leader and to consider where in the agenda the item(s) are to be considered. 

The Chairman advised that there were no items of urgent business.

To receive declarations by Members of interests in respect of items on this Agenda. 

Members are reminded that, in accordance with the Localism Act 2011, they are required to declare any disclosable pecuniary interests which have not already been declared in the Council’s Register of Interests. (It is a criminal offence not to declare a disclosable pecuniary interest either in the Register or at the meeting). 

Whilst not a legal requirement, in accordance with Council Procedure Rule 10 and in the interests of clarity and transparency, Members should declare any disclosable pecuniary interests which they have already declared in the Register, at this point in the meeting. 

In accordance with Part B Section 2 of the Code Of Conduct, Members are required to declare the existence and nature of any other interests as defined in paragraphs 8(1) or 9(2) of the Code of Conduct. 

No declarations were made at this point.

To consider any such requests received in accordance with the approved procedure. 

Members were advised that there had been no requests to speak at the meeting in accordance with Cabinet’s agreed procedure.

(Cabinet Member with Special Responsibility Councillor Barry)

Report of Chief Officer (Environment)

(Cabinet Member with Special Responsibility Councillor Barry)

Cabinet received a report from the Chief Officer (Environment) to provide and update on recent activity in the Festival Market and to seek Cabinet’s view on options for future development.  It was noted that the options had been discussed by the Overview and Scrutiny Committee meeting on 2 December 2013 although the Committee had not made any recommendations to Cabinet.

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

Option 1- If the Council takes the view that the current issues facing the market are symptomatic of wider issues facing Morecambe and the economy generally then the regeneration led approach that the Council is leading through the Morecambe Area Action Plan, combined with ongoing management of the market within existing budgets, provides the best way forward. However from a trader perspective in the short term it will not address the concerns that traders raise and furthermore a regeneration led approach provides no certainty for the medium to long term future of the market, as it may reveal other better options for the Market. It is an approach though that is consistent with the Morecambe Area Action Plan and supporting policies, and based on the context described above is a very reasonable one.

Option 2- If the Council takes the view that the Festival Market is absolutely essential to Morecambe and pivotal in terms of economic wellbeing and the visitor attraction then it is clear that in order to remain viable major investment in the market is required, along with a fundamental overhaul of how it operates and trades. The market faces stiff competition from supermarkets, nearby shops selling similar products, nearby private indoor and outdoor markets and internet based retailers. Clearly users of the Festival Market value what it offers and the service it provides, but to be sustainable in the long term more shoppers and traders are needed. To attract new shoppers and traders will require major investment in the market in terms of appearance, layout, types of stall, heating, lighting etc. Additional investment will require significant increase in the charges currently made to traders which in turn will change the dynamic of the market, and significantly increase both  the financial input and ongoing risk to the Council. In terms of the Morecambe Area Action Plan the area occupied by the market could well be crucial in the medium to long term for the regeneration of the area. Were a decision taken at this stage to effectively protect the market it would reduce the regeneration opportunities available for the site and Morecambe as a whole.

Option 3- In between the approaches described above there is also a view which recognises that until the regeneration led approach bears fruit there is a need to maintain the market as a going concern, so long as it continues to provide a contribution to the General Fund. This approach would require more  ...  view the full minutes text for item 65.

(Cabinet Members with Special Responsibility Councillors Blamire and Bryning)

Report of Chief Officer (Resources)  -  Report to Follow

(Cabinet Member with Special Responsibility Councillor Bryning)

Cabinet received a report from the Chief Officer (Resources) which provided an update on the Council’s financial position to help inform development of Cabinet’s budget proposals.  Given that the Local Government Settlement had not yet been received, the report was primarily for information although decisions were sought on some matters.

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

Policy Framework Context: Corporate Priorities

The Council’s Corporate Plan for 2013/14 retained four priorities:

• Economic Growth
• Health and Wellbeing
• Clean, Green and Safe Places, and
• Community Leadership

It was the intention to fundamentally review these as part of 2014/15 budget planning, in response to expected funding reductions.  There are different ways of achieving this, now or later, once government funding prospects are more certain.  The information in the report should assist Cabinet Members in forming a view on the preferred way forward.

General Fund Revenue Budget – Current Year

An in-depth update of the current year budget has resulted in a draft revised budget of £18.973M for the City Council, representing a projected total net underspending of £846K or 4.3% (2012/13 comparative: £981K, 4.8%).  A more comprehensive budget summary is included at Appendix A and variance analysis is attached at Appendix B to the report. The underspending arises from proactive savings measures, as well as other budgetary changes.  Making savings during the year is an important and accepted element of the Council’s approved financial strategy.

2014/15 Draft Revenue Budget

The first draft of next year’s budget has also been produced, in accordance with Financial Regulations and the Council’s Medium Term Financial Strategy (MTFS).  Currently it stands at £18.513M for 2014/15, as shown in Appendices A and B.  Further information will be provided at the January meeting.

Local Government Finance Settlement

The provisional Local Government Finance Settlement is not expected to be announced until sometime after the Chancellor’s autumn statement, which is scheduled for 5 December 2013. The outcome of the Settlement will have a direct bearing on the Council’s short and medium term planning and the scope or nature of its future priorities. A briefing note will be produced for all members once the settlement has been received and its impact assessed.  It will be reported formally into January’s Cabinet meeting.

Local Taxation

Council Tax Rates and Targets

Alongside the Settlement announcement, Government is expected to confirm its proposals regarding future council tax freeze compensation schemes and council tax referendum thresholds.  Drawing on Government’s Spending Round back in June, a local referendum threshold of a 2% increase is expected.  This fits with the Council’s current MTFS targets.  The offer of council tax freeze compensation grant equivalent to a 1% increase also seems likely, for those councils that freeze council tax in next year (and, separately, the year after).  It would seem that such grant would not continue beyond 2015/16 but this, and other details of the scheme, should become clear once the  ...  view the full minutes text for item 66.