Agenda item

A cover report on ‘Budget and Council Tax 2017/18 and Financial Outlook 2017/18 to 2019/20’ is attached. Please note that Appendix 4 will be sent out at a later date:

• Appendix 1: Budget report - attached
• Appendix 2: Equalities Impact Assessment - attached
• Appendix 3: Summary notes from the Area Forum Meetings - attached

·  Appendix 4:  Summary of other January 2017 PDS meetings - to follow

Andrew Pate, Strategic Director for Resources, introduced the report. He explained that the report contains more detail for year 1 and less for years 2 and 3. He reminded the Panel that the Council will be setting the budget for 2017/18 (not the future years) at its meeting on 14^th February 2017.

Tim Richens, Divisional Director – Business Support highlighted the main points as the Panel went through the report.

Panel members made the following points and asked the following questions:

(Budget report papers pages 7-117)

Councillor Goodman asked about the Retained Local Business Rates scheme and if the retention on growth remains in 2019/20. The Officer explained the pilot scheme allows the authority to keep 50% of growth at present but that the scheme goes national in 2020 and the baseline will be reset. He further explained that the Government aim is that the authority keeps Business Rates but that other government grants are no longer paid.

Councillor Barrett asked for the breakdown of Table 5 (page 31) as the ‘unknowns’ make up 10% of the budget.

In response to a query from Councillor Gladwyn, the officer explained that the figure of £950k (page 28) represents a one off provision to fund a number of appeals (businesses can appeal their assessments) that have happened in the last year.

Councillor Becker asked if Business Rate retention money goes into a common pot and also if the extra Council Tax money for Adult Social Care goes to that area only and will residents see the benefit. The officer explained that the Government are swapping Business Rates for other grants which will disappear so there is no direct benefit to businesses. Regarding Adult Social Care, he explained that the money is strictly ring-fenced to that service and will help the authority keep up with the demographic demand for the service. In response to a question on CIL (Community Infrastructure Levy) from Councillor Becker, the officer explained that this is a ring-fenced tax for infrastructure.

Councillor Barrett asked about the additional income as a result of Devolution. The officer explained that one positive from devolution is that the authority gets to participate in the pilot regarding Business Rates. The £30million per year for 30 years goes to the combined authority whose leadership will set the priorities for investment, mainly in infrastructure, and so no additional money comes to individual Councils, although their areas will benefit from the investment.

Councillor Dando asked about the minimum reserve policy and whether the Council will pay more for borrowing over a long period. The officer explained that it does not cost the Council more money but it changes what is set aside each year.

Regarding the Corporate Estate information, Councillor Goodman asked about the Guildhall and stated that it did not seem to be a large amount of money to keep it in good repair. Derek Quliter - Divisional Director Property & Project Management, explained thatlittle money was needed this year because over the last 2 years a large amount of money was spent on the complete reroofing of the whole of the Guildhall. 

Councillor Gilchrist asked about the Councillor remuneration review, the Director explained that it is outside the scope of this meeting. It is to be confirmed that the report will be seen by full Council this year.

(Equality Impacts – Appendix 6 page 119)

Councillor Bevan reminded the Panel about the Council Equalities Policy. Samantha Jones, Inclusive Communities Manager, explained that each PDS Panel has been briefed on the Public Sector Equality Duty and that there are three main responsibilities for Councillors: to tackle discrimination and harassment; to promote equality and to foster good relations between different groups of people. She underlined that that the Councillors must be clear on the impacts to people of any cuts and seek to provide a safety net to mitigate potential damage.

(Summary of Area Forum Feedback – page 131)

In response to a query from Councillor Dando, The Cabinet Member for Finance and Efficiency Councillor Charles Gerrish explained that the process has been different from past years as in November the budget was still being worked on. There have been 5 budget forums and there was a range of engagement and turnouts – feedback will be provided to the forums on the observations they made. Councillor Dando asked if there is an email address where people can send feedback, the officer stated that he would circulate the link to the Council website where feedback can be given. Councillor Dando asked if the forums had been representative and if they had understood what was being asked of them. The Cabinet Member explained that the process is still in the development and that we could do better in seeking to maximise advertising of the meetings. Councillor Goodman explained that at the Bath City Forum there had been a very frank exchange of views with the Strategic Director and Cabinet Member and it had been positive.

Councillor Bevan stated that if engagement is only possible through the website, it may not be accessible to everyone, the Cabinet Member agreed that this is a valid point but explained that people can also write or phone or attend a forum meeting.

(Feedback from PDS Panels on Directorate Plans 2017)

The Strategic Director for Resources explained that the Panel may wish to note that while there are no resolutions from the PDS Panels, there is a request for reassurance from the Health and Wellbeing Select Committee regarding Equalities which Resources Panel Members have had advice on at this meeting.

Councillor Gilchrist stated his concern about where the actual savings on Libraries will come from, the Strategic Director explained that more information will be available at the Cabinet meeting on Wednesday 1^st February and consultation will begin in February which will allow people to see what is proposed. He explained that this is a three year budget and these proposals are for year three so plans are still at an early stage. Councillor Barrett will speak to The Divisional Director - Customer Services regarding Weston Library.

It was concluded that the Panel comments on the Budget Report will be summarised in the Chairs statement to the Cabinet on 1^st February 2017 and comments/queries will also be used to develop the Panel future workplan.