Agenda item

To approve the Council’s Final General Fund and Capital Budgets for 2021/22, projected 2020/21 General Fund and Capital Budgets, and final proposals for the 2021/22 Council Tax and Council Tax Support Scheme.

 

Reports and appendices attached.

The Main Debate related to item 4 on the agenda.

 

The Chief Executive advised that there was a small typographic error in recommendation 11 of the Motion, which was the same as Recommendation 2.5 of Item 4, and which should read ‘That the 2021/22 Fees and Charges increase of £131,700, as approved at the January Executive, be noted.’

 

The Mayor reminded Members that, at the Annual Council meeting held on 20 May 2020, it was agreed to amend the Council’s Standing Orders to require that prior notice be given of any amendments to the Budget recommendations.  He understood that no such amendments had been submitted.

 

The Leader presented the proposed 2021/2022 Budget, projected 2021/22 General Fund Budget and final proposals for the 2021/22 Council Tax and Council Tax Support Scheme.  The Leader moved the Motion, recommendations of the Executive and the formal Council Tax Resolution that had been circulated to Members.  This was seconded by the Deputy Leader.

 

During the debate, and whilst acknowledging that the deadline for submission of budget amendments had passed, Councillor Robin Parker asked if further consideration could be given to the following matters going forward:

 

·            Bulky Waste Collection – the introduction of a reduced charge for the collection of less than 6 items per household;

·            Local Community Budgets – a reduction in the Youth Mayor’s Budget so that it was at the same level as Members (£1,500);

·            Local Community Budgets – the ability for Members to carry forward and amount of unspent budget from one financial year to the next, except in the final year of their term of office.

 

The Mayor requested officers to respond to Councillor Parker concerning these matters outside of the meeting.

 

After a full debate, a recorded vote* was taken and it was RESOLVED:

 

1.             That the following be approved:

 

a.             the revised working revenue estimates for the year 2020/21 amounting to £12,196,410 and the revenue estimates for 2021/22 amounting to £10,635,570;

 

b.             the contribution from balances totalling £2,409,851 in 2020/21;

 

c.             the contribution from balances totalling £326,067 in 2021/22.

 

2.             That it be noted that at its meeting on 20 January 2021 the Executive calculated the amount of 27,733.8 Band D equivalent properties as its council tax base for the year 2021/22 in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992 made under Section 31B of the Local Government Finance Act 1992 as amended by Section 74 of the Localism Act 2011.

 

3.             That the following amounts be calculated by the Council for the year 2021/22 in accordance with Sections 31 to 36 of the Local Government Finance Act 1992 as  amended by Section 74 of the Localism Act 2011:

a.	£90,231,878	Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2)(a) to (f) of the Act, less the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3)(a) to (d)
b.	£84,114,724	Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3)(a) to (d) of the Act.
c.	£6,117,154	Being the amount by which the aggregate at 3a above exceeds the aggregate at 3b above, calculated by the Council in accordance with Section 31A(4) of the Act as its Council Tax requirement for the year.
d.	£220.57	Being the amount at 3c divided by the amount at 2 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.
e.	Valuation Bands
	A	£  147.05
	B	£  171.55
	C	£  196.06
	D	£  220.57
	E	£  269.59
	F	£  318.60
	G	£  367.62
	H	£  441.14

Being the amounts given by multiplying the amount at 3d. above by the number which, in the proportion set out in Section 5(1) of the Act, is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation D, calculated by the Council, in accordance with Section 36(1) of the Act, as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.

4.   a.      That it be noted that for the year 2021/22 Hertfordshire County Council have stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, for each of the categories of the dwellings shown below:

 

              Valuation Bands

 

             Basic Amount          Adult Social            2021/22

            Of Council Tax         Care Charge      Council Tax

 

A                   £ 879.57               £ 100.85          £ 980.42

 

B                 £ 1,026.17               £ 117.65       £ 1,143.82

 

C                £ 1,172.76               £ 134.46       £ 1,307.22

 

D                £ 1,319.36               £ 151.27       £ 1,470.63

 

E                £ 1,612.55               £ 184.89       £ 1,797.44

 

F                 £ 1,905.74               £ 218.50       £ 2,124.24

 

G                £ 2,198.93               £ 252.12       £ 2,451.05

 

H                £ 2,638.72               £ 302.54       £ 2,941.26

 

b.               That it be noted that for the year 2021/22 Hertfordshire Police Authority have stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992 and amended by Section 27 of the Police and Magistrates’ Court Act 1994, for each of the categories of the dwellings shown below:

Valuation Bands

 

      A                  £ 142.00

 

B                  £ 165.67

 

C                  £ 189.33

 

D                  £ 213.00

 

E                  £ 260.33

 

F                  £ 307.67

 

G                  £ 355.00

 

H                  £ 426.00

 

5.                    That, having calculated the aggregate in each case of the amounts at 3e. and 4a. and b. above, the Council in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts for council tax for the year 2021/22 for each of the categories of dwellings shown below:

Valuation Bands

 

A                   £1,269.47

 

B                   £1,481.04

 

C                  £1,692.61

 

D                  £1,904.20

 

E                   £2,327.36

 

F                   £2,750.51

 

G                  £3,173.67

 

H                  £3,808.40

 

6.    To determine in accordance with Section 52ZB Local Government Finance Act 1992 that the Council’s basic amount of Council Tax for 2021/22 is not excessive in accordance with principles approved by the Secretary of State under Section 52ZC having calculated the aggregate in each case of the amounts at 3e.

 

7.    That the 2020/21 revised net expenditure on the General Fund of £12,196,410 be approved.

8.    That a draft General Fund Budget for 2021/22 of £10,635,570 be proposed for consultation purposes, with a contribution from balances of £326,067 and a Band D Council Tax of £220.57 (assuming a 2.32% increase).

9.    That the Risk Assessment of General Fund balances of £3,650,000 be approved.

10. That the contingency sum of £400,000 within which the Executive can approve supplementary estimates, be approved for 2021/22, (reflecting the level of balances available above the minimum amount).

11. That the 2021/22 Fees and Charges increase of £131,700 as approved at the January Executive, be noted (Appendix I to Report 4A).

12. That the 2021/22 proposed Financial Security Options of £1,703,728 of which £1,462,182 relates to the General Fund (Appendix C to Report 4A) be approved.

13. That the Growth bids of £260,365 of which £166,966 relates to the General Fund (Appendix E to Report 4A), are approved in principle as set out in the report and the priority order of implementation is approved as set out in paragraph 4.3.2.

14. That the General Fund pressures of £656,540 are noted, (Appendix E to Report 4A).

15. That the 2021/22 Council Tax Support scheme is approved as set out in section 4.8 of Report 4A.

16. That use of New Homes Bonus be noted (section 4.4 of Report 4A refers).

17. That the Executive approve the Financial Security targets for the General Fund as set out in section 4.11 of Report 4A

18. That the Executive approves the use of the additional COVID grants as set out in sections 4.5 and 4.6 of Report 4A.

19. That the Executive request the Senior Leadership Team to identify further options totalling £500K which could be implemented if the impact of COVID and other recessionary pressures are worse than projected (paragraph 4.1.5 of Report 4A refers).

20. That the Executive request the Senior Leadership Team to bring forward a Productivity Focused Transformation Programme by June 2021 to set out the plan for future savings (paragraph 3.9 of Report 4A refers).

21. That in accordance with the Council’s Budget and Policy Framework Procedure Rules, the Council be recommended to continue with the current Co-operative Corporate Plan, subject to further review in Autumn 2022, (paragraphs 4.16.4-4.16.5 of report 4A refers).

22. That the comments from Overview and Scrutiny, Leaders Financial Security group and all Member group update (as set out in paragraphs 4.1.2 - 4.1.4 of Report 4A) be noted.

23. That Members note the Equalities Impact Assessments appended to Report 4A in Appendices G and H.

24. That the final General Fund Capital Growth Bids for 2021/22 only as detailed in Appendix A to Report 4B (and incorporated into Appendix D to Report 4B) be approved.

25. That the final General Fund Capital Savings and Slippage for 2020/21 – 2024/25 as detailed in Appendix B to report 4B (and incorporated into Appendix D to report 4B) be approved.

26. That the final HRA Capital budget requests for 2020/21 – 2024/25 as detailed in Appendix C to Report 4B (and incorporated into Appendix E to Report 4B) be approved.

27. That the updated forecast of Capital resources 2020/21 as detailed in Appendix D to Report 4B (General Fund) and Appendix E to Report 4B (HRA) be approved.

28. That the final 2021/22 General Fund Capital Programme as detailed in Appendix D to Report 4B be approved.

29. That the final 2021/22 HRA Capital Programme as detailed in Appendix E to Report 4B be approved.

30. That the Council’s investment strategy for non-treasury assets as detailed in Appendix F to Report 4B be approved.

31. That the approach to resourcing the General Fund capital programme as outlined in Report 4B be approved.

32. That the progress on Locality Reviews as outlined in Report 4B be noted.

33. That the actions taken to ensure the General Fund Capital programme is funded as outlined in paragraphs 4.2.2 - 4.2.3 of Report 4B be noted.

34. That the 2021/22 de-minimis expenditure limit (section 4.10 Report 4B) be approved.

35. That the 2021/22 contingency allowances respectively in paragraphs 4.11.1 and 4.11.2 of Report 4B be approved.

36. That the Executive delegation set out in paragraph 4.11.3 of Report 4B, allowing approval for increases to the capital programme for grant funded projects, be approved.

37.  That the appropriation of Dunn Close garage block (estimated value of £585K but red book valuation to be obtained) in 2021/22 from the General Fund to the HRA as detailed in Paragraph 4.12.3 of Report 4B be approved.

 

*Recorded Vote

 

For – Councillors Sandra Barr, Phil Bibby, Stephen Booth, Lloyd Briscoe, Rob Broom, Adrian Brown, Jim Brown, Teresa Callaghan, Laurie Chester, Dave Cullen, Michael Downing, Alex Farquharson, John Gardner, Michelle Gardner, Jody Hanafin, Richard Henry, Jackie Hollywell, Lizzy Kelly, Graham Lawrence, Mrs Joan Lloyd, John Lloyd, Lin Martin-Haugh, Andy McGuinness, Maureen McKay, John Mead, Sarah Mead, Adam Mitchell, Margaret Notley, Robin Parker, Claire Parris, Loraine Rossati, Graham Snell, Simon Speller, Sharon Taylor, Jeanette Thomas and Tom Wren - 36

 

Against – 0

 

Abstentions – 0

 

Not present – Councillors Doug Bainbridge and Liz Harrington.