The Leader of the Council has been invited to deliver a presentation on the Budget and Policy Framework proposals for 2010/11.
Minutes:
The Panel received a detailed presentation by the Leader of the Council on cabinet’s budget and policy framework proposals for 2010/11.
The Leader reported that cabinet had responsibility for making proposals to council each year in respect of the budget and policy framework. Cabinet had agreed four priorities to form the basis of its budget and revised corporate strategy for 2010/13 at its meeting on the 10th November. These were ‘Economic Regeneration supporting our Local Economy’, ‘Climate Change’, ‘Meeting our Statutory Responsibilities’ and ‘Working in Partnership’.
For the first time, the council had undertaken a programme of consultation to engage with the public in developing budget options and proposals based on the council’s priorities. Members of the public had been able to fill in an online response form or a form at the exhibitions held in Morecambe and Lancaster.
Cabinet had considered the initial results from the consultation at the January cabinet meeting. The council was committed to containing levels of council tax increase to a maximum of 4% for the next three years. It was clear that the people who had responded valued the services the council provided and would be prepared to see a council tax increase if this meant services were retained. 57% of people had agreed, and 39% had partially agreed, with the council’s priorities.
Members were advised that the Leader would discuss the consultation responses with individual cabinet portfolio holders. An analysis of the results would inform future budget proposals and considerations, and assist cabinet in finalising the corporate plan priorities for consideration by council in April.
Council would be asked to approve the full revenue budget and 2010/11 council tax at its meeting on 3rd March, when cabinet’s budget proposals had been completed. Council would also be requested to approve an updated medium term financial strategy at that meeting, which set out council tax targets for 2011/12 onwards.
It was reported that the council had identified two areas where it proposed to concentrate its efforts to ensure jobs and secure employment.
Firstly, energy, coast and environmental technology, with job creation at the Lancaster Science Park, the proposed new nuclear power stations, development of renewable energy sources along the west Cumbrian coast, and through brownfield and derelict land being brought into use.
Secondly, heritage, and cultural tourism for the district, including creative industries and employment, achieved through delivery of the Morecambe area action plan, Lancaster square routes, Morecambe townscape heritage initiative, the cultural heritage investment strategy and Luneside east.
It was reported that the council was taking action to combat climate change. The five year climate change strategy was in place, and through membership of the 10:10 carbon reduction campaign and by working in partnership with other agencies the council would reduce CO2 emissions, with reductions of 10% in 2010/11, 34% by 2020 and 80% by 2050.
It was a statutory requirement that the council provide certain services, some of which would require a minimum standard of service to be met. Other statutory services had more flexibility, and the council had used this flexibility in determining service standards and had considered the justification for doing so.
Members were advised that the council had adopted a sustainable community strategy, which would influence corporate planning processes and commitment to work through local partnerships, which were essential to deliver improvements in people’s quality of life. The council recognised its community leadership role and the need to work in partnership to address local needs.
It was reported that the council faced future financial challenges, and would need to be more creative in, and work with partners to achieve, delivery of services. Income levels were falling and further changes in demand for services were expected. The current year’s revenue position was still unclear, and it would no longer be possible to undertake provision in areas that were ‘nice to do’.
The council’s 3-year budget position was illustrated. It was noted that the approach undertaken by the Leader and his cabinet colleagues to budget setting was much improved from last year and much more inclusive. It was reported that work on identifying savings and efficiencies options had begun back in May 2009 and it was now possible to present a range of options to meet the council’s medium term financial strategy targets. The options identified were summarised as efficiencies gained through undertaking business and service reviews, improved partnership working (specifically shared services in relation to community pools and museums), income generation, and commissioning and procurement efficiencies.
Members were advised of growth proposals in the areas of regeneration and heritage, climate change and partnership working, which included Chatsworth Gardens, the Roman bath house and the Morecambe area action plan, investments to save, the introduction of a vehicle tracking system, and allotment/urban nature reserve delivery. The capital programme, council housing and non-domestic rates details were reported in detail.
Following the presentation, the Leader answered extensive questions from the Panel and stakeholders on the council’s budget and policy framework proposals for 2010/11.
Resolved:
(1) That the Leader of the Council be thanked for his presentation.
(2) That the following recommendation be made to the Leader of the Council:
That the Panel welcomes the improvements that have been achieved this year in the corporate planning and budget setting process. However, this could be further improved if the cabinet clearly expressed its rationale in the process for evaluating service standards in the drive to achieve savings, and also in the way that options for savings and efficiencies were prioritised to reflect the needs of the public and to take account of sustainability considerations.