Agenda item

To resolve recommendations in respect of:

·        Capital Programme 2019/20 – 2021/22

·        Revenue Budget 2019/20

·        Council Tax 2019/20

 

The supporting information has been circulated as a separate document and is available with this agenda on the Council website.

The Council considered the report by the Borough Treasurer which set out the financial plans and revenue budgets for the financial year 2019/20 and the supporting information which presented the Council’s spending plans for 2019/20 and detailed budgets for the General Fund and Capital Programme.

Councillor Heydon gave a comprehensive presentation placing particular focus on the following matters:

·         Councillor Heydon recognised the significance of setting the budget for the first time in the new Council Chamber, which reflected the Council’s ability to adapt to change.

·         It was recognised that the national economic context was uncertain, preceding any outcome of Brexit negotiations, but that budget proposals had been developed with this uncertainty in mind.

·         The proposals for a country park at Horseshoe Lake had been developed on an ‘invest to save’ approach, and would be an enhancement to the Borough’s parks and green spaces.

·         The Lexicon had seen 16 million visitors during the first 12 months since its opening in September 2017. Further work was planned with the Bracknell Regeneration Partnership to refurbish Princess Square and constructing The Deck.

·         The improvements on the A322 at Downshire Way had recently begun, and this would remove the final bottleneck between the M3 / M4 corridor. This project would significantly improve travel times across the Borough.

·         There was uncertainty around Government funding for Local Authorities in 2020/21, following the end of the four year settlement. Bracknell Forest had responded to two Government consultation papers on fair funding review, and business rates retention agreements.

·         The Berkshire authorities and Fire Service had agreed to form a business rates pool for the pilot business rates retention scheme for the second year running. This would result in £22m additional funding within Berkshire, of which £11m would be used for major transport infrastructure investment and managed by the Local Enterprise Partnership.

·         Councillor Heydon thanked officers for their support for the pilot scheme, of which Bracknell Forest was set to be the biggest beneficiary in Berkshire.

·         The budget consultation had received 8 responses, including one from Councillor Mrs Temperton on behalf of Labour. Councillor Heydon expressed his disappointment that so few responses had been received on such a significant issue.

·         Demand for social care placements for children and adults continued to increase, adding £1.9m to the budget requirement.

·         Waste PFI was increasing by £0.149m to reflect current tonnage and Energy from Waste. While this was an unwelcome increase, Members were reminded that the Council had seen quite significant reductions in the Waste PFI costs in recent years.

·         The reduction in the Council’s annual grant to South Hill Park had been deferred to reflect the position around the Trust’s future finances. The Council would work to secure a long-term sustainable financial position for South Hill Park and would engage with Trustees to achieve this.

·         The Council had delivered more than its £11m anticipated transformation savings by Autumn 2018, and had budgeted for a further £3m in 2019/20. A further £2m in efficiency savings had been identified.

·         The corporate contingency fund had been maintained at £2.5m owing to the level of uncertainty around Brexit and the continuing increase in demand for services.

·         Council Tax increase of 2.99% was proposed, at the maximum permitted level. This would equate to an additional 73 pence per week for a Band D council tax payer, and would raise an additional £1.6m to ensure a balanced budget.

 

On the proposition of Councillor Heydon, Executive Member for Transformation and Finance, seconded by Councillor Bettison OBE the recommendation as set out in the agenda was moved.

As required by legislation a recorded vote was taken on the motion and the voting was as follows:

FOR (34): Councillors Allen, Ashman, Dr Barnard, Bettison OBE, Birch DP, Mrs Birch, Brossard, Brunel-Walker, Dudley, Finch, Ms Gaw, Mrs Hamilton, Harrison, Mrs Hayes MBE, Ms Hayes, Heydon, Dr Hill, Mrs Ingham, Kennedy, Leake, Mrs Mattick, McCracken, Mrs McCracken, Mrs McKenzie, Mrs McKenzie-Boyle, Ms Merry, Peacey, Porter, Skinner, Thompson, Tullett, Turrell, Wade, Worrall

ABSTAIN (1): Councillor Mrs Temperton

 

It was therefore RESOLVED that:

2.1       Capital Programme 2019/20 – 2021/22

i)              General Fund capital funding of £33.437m for 2019/20 in respect of those schemes listed on pages 180 to 183 be agreed;

ii)             The inclusion of an additional budget of £1m be agreed for ‘Invest to Save’ schemes;

iii)            The inclusion of £1.145m of expenditure be agreed to be funded from S106 and SANG as outlined in the summary report for Council (page 177) and included on pages 180 to 183;

iv)           That those schemes that attract external grant funding be agreed for inclusion within the 2019/20 capital programme at the level of funding received

 

2.2       Revenue Budget 2019/20

i)              The budget proposals set out in Table 1 (page 4) of the summary report for Council, subject to the changes identified in sections 3.2 (page 5), 3.3 (pages 5 to 7), 3.5 (pages 7 and 8), 3.6 (page 8 and 9),3.9 (pages 9 to 10), 7.2 (page 20) and 7.3 (page 20) of the report, be agreed;

ii)             Fees and charges as set out in Annexe G (pages 95 to 165)be approved;

iii)            A provision for inflation of £2.396m be approved;

iv)           The commitment budget as set out in Annexe A be approved (pages 23 to 24);

            v)         That the Council should make additional funding available for distribution to schools through the local funding formula at the level set out in section 4.1 (page 11)of the summary report for Council subject to any minor amendments made by the Executive Member for Children, Young People and Learning following the receipt of definitive funding allocations for Early Years and High Needs;

vi)        A contingency of £2.500m be included, use of which is authorised by the Chief Executive in consultation with the Director: Finance in accordance with the delegations included in the Council’s constitution;

vii)        Subject to the above, the revised draft budget proposals be agreed;

viii)       A contribution of £2.614m (after allowing for additional interest from the use of balances of £0.032m) be made from revenue balances to support revenue expenditure;

ix)        Total net expenditure (after use of balances) of £72.355m, be approved;

            x)         The Council’s Council Tax requirement, excluding Parish Council precepts, be set at £59.419m;

xi)        The Council Tax for the Council’s services for each Valuation Band be set as follows:

 

Band	Tax Level Relative to Band D	£
A	6/9	869.22
B	7/9	1,014.09
C	8/9	1,158.96
D	9/9	1,303.83
E	11/9	1,593.57
F	13/9	1,883.31
G	15/9	2,173.05
H	18/9	2,607.66

 

                       

            At the meeting on 12 February 2019 the Executive recommended the 2019/20 Treasury Management Strategy Statement and noted that strategy together with the Prudential Indicators and the Minimum Revenue Provision Policy Statement were matters which the Council approved.

 

xii)       The following indicators, limits, strategies and policies included in Annexe E (pages 61 to 86) be approved:

·        The Prudential Indicators and Limits for 2019/20 to 2021/22 contained within Annexe E(i);

·        The Minimum Revenue Provision (MRP) Policy contained within Annexe E(ii);

·        The Treasury Management Strategy Statement, and the Treasury Prudential Indicators contained in Annexe E(iii);

·        The Authorised Limit Prudential Indicator in Annexe E(iii);

·        The Investment Strategy 2019/20 to 2021/22 and Treasury Management Limits on Activity contained in Annexe E(iv);

 

xiii)      The formal Council Tax Resolution contained in section 3 be approved.

 

 

3          COUNCIL TAX RESOLUTION

 

 

3.1       That the recommendations of the Executive outlined in sections 2.1 and 2.2 be agreed.

3.2       That it be noted that the amounts calculated for the year 2019/20 in accordance with section 67 of the local government finance act 1992 are :-

 

(a)                    45,573TAX BASE FOR THE WHOLE COUNCIL AREA

                        being the amount calculated by the Council, in accordance with regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992, as amended, as its council tax base for the year

(b)                   Tax base for part of the Council’s area

                                                EACH PARISH AREA

Binfield	3,957
Bracknell	19,371
Crowthorne	2,736
Sandhurst	7,883
Warfield	4,838
Winkfield	6,788

            being the amounts calculated by the Council, in accordance with regulation 6 of the Regulations, as amended, as the amounts of its council tax base for the year for dwellings in those parts of its area to which one or more special items relate

 

3.3       That the following amounts be now calculated by the Council for the year 2019/20 in accordance with Sections 31 to 36 of the Local Government and Finance Act 1992 as amended (the Act), noting that Bracknell Town Council’s (BTC) precept is subject to confirmation by BTC on 26 February:-

(a)

£296,693,577

TOTAL EXPENDITURE INCLUDING GENERAL FUND, PARISH PRECEPTS AND THE COUNCIL’S SHARE OF ANY DEFICIT ON THE COLLECTION FUND

            being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act

 

(b)

£233,939,416

TOTAL INCOME INCLUDING GOVERNMENT SUPPORT AND THE COUNCIL’S SHARE OF ANY SURPLUS ON THE COLLECTION FUND

            being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act

 

(c)

£62,754,161

BOROUGH AND PARISH PRECEPTS NET EXPENDITURE TO BE FINANCED FROM COUNCIL TAX

            being the amount by which the aggregate at 3.3(a) above exceeds the aggregate at 3.3(b) above, calculated by the Council, in accordance with Section 31A(4) of the Act, as its council tax requirement for the year

 

(d)

£1,377.00

AVERAGE BAND "D" COUNCIL TAX FOR WHOLE BOROUGH

            being the amount at 3.3(c) above, divided by the amount at 3.2(a) 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 (including Parish precepts)

 

(e)

£3,334,716

PARISH PRECEPTS

            being the aggregate amount of all special items referred to in Section 34(1) of the Act

 

(f)

£1,303.83

BOROUGH COUNCIL TAX FOR BAND "D" PROPERTIES

being the amount at 3.3(d) above less the result given by dividing the amount at 3.3(e) above by the amount at 3.2(a) above, calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its council tax for the year if there were an area of the Borough to which no special item relates

 

 

(g)	Part of the Council’s area	BOROUGH AND PARISH COUNCIL TAX FOR EACH PARISH FOR BAND “D”
		Binfield	£1,355.39
		Bracknell	£1,387.49
		Crowthorne	£1,381.19
		Sandhurst	£1,377.12
		Warfield	£1,344.14
		Winkfield	£1,381.28

 

           

 

 

being the amounts given by adding to the amount at 3.3(f) above the amounts of the special item or items relating to dwellings in those parts of the Council's area mentioned above divided in each case by the amount at 3.2(b) above, calculated by the Council, in accordance with Section 34(3) of the Act, as the basic amounts of its council tax for the year for dwellings in those parts of its area to which one or more special items relate

 

 

(h)

Part of the Council's area

BOROUGH AND PARISH COUNCIL TAX IN EACH PARISH FOR EACH VALUATION BAND

 

Parish	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Binfield	903.59	1,054.19	1,204.79	1,355.39	1,656.59	1,957.79	2,258.98	2,710.78
Bracknell	924.99	1,079.16	1,233.32	1,387.49	1,695.82	2,004.15	2,312.48	2,774.98
Crowthorne	920.79	1,074.26	1,227.72	1,381.19	1,688.12	1,995.05	2,301.98	2,762.38
Sandhurst	918.08	1,071.09	1,224.11	1,377.12	1,683.15	1,989.17	2,295.20	2,754.24
Warfield	896.09	1,045.44	1,194.79	1,344.14	1,642.84	1,941.54	2,240.23	2,688.28
Winkfield	920.85	1,074.33	1,227.80	1,381.28	1,688.23	1,995.18	2,302.13	2,762.56

being the amounts given by multiplying the amounts at 3.3(g) 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 band 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

 

3.4       That it be noted that for the year 2019/20 the Police and Crime Panel have stated the following amounts in precepts issued to the Council regarding the Police and Crime Commissioner for the Thames Valley, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:-

 

	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Police and Crime Commissioner for the Thames Valley	137.52	160.44	183.36	206.28	252.12	297.96	343.80	412.56

 

 

3.5       That it be noted that for the year 2019/20 the Royal Berkshire Fire Authority have stated the following amounts in precepts issued to the Council, subject to confirmation by the Fire Authority on 25 February, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:-

      

		A		B		C		D		E		F		G		H
		£		£		£		£		£		£		£		£
	Royal Berkshire Fire Authority		44.19		51.55		58.92		66.28		81.01		95.74		110.47		132.56

 

3.6       That, having calculated the aggregate in each case of the amounts at 3.3(h), 3.4 and 3.5 above, the council, in accordance with section 30(2) of the act, hereby sets the following amounts as the amounts of council tax for the year 2019/20 for each of the categories of dwellings shown below:-

 

(a)

Part of the Council's area

TOTAL COUNCIL TAX FOR EACH VALUATION BAND

 

Parish	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Binfield	1,085.30	1,266.18	1,447.07	1,627.95	1,989.72	2,351.49	2,713.25	3,255.90
Bracknell	1,106.70	1,291.15	1,475.60	1,660.05	2,028.95	2,397.85	2,766.75	3,320.10
Crowthorne	1,102.50	1,286.25	1,470.00	1,653.75	2,021.25	2,388.75	2,756.25	3,307.50
Sandhurst	1,099.79	1,283.08	1,466.39	1,649.68	2,016.28	2,382.87	2,749.47	3,299.36
Warfield	1,077.80	1,257.43	1,437.07	1,616.70	1,975.97	2,335.24	2,694.50	3,233.40
Winkfield	1,102.56	1,286.32	1,470.08	1,653.84	2,021.36	2,388.88	2,756.40	3,307.68