Issue - meetings

Report of Councillor Nicholson on behalf of the Cabinet.  Referred from Cabinet on 2 February 2021, incorporating the recommendations from the Cabinet reports on:

·        General Fund Revenue Budget 2020/21 and Capital Programme

·        Housing Revenue Account (HRA) Revenue Budget and Rent Setting 2020/21 and HRA Capital Programme 2019-23

·        Treasury Management and Prudential Indicators 2020/21, Capital Strategy and Investment Strategy

Please notethat the Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014 requires named votes to be taken and recorded when setting the annual budget and council tax, including on substantive motions and any amendments.

Councillor Nicholson moved and Councillor MacCleary seconded the

the recommendations set out in the agenda, in relation to the Council Budget and setting of the Council Tax for 2021/22.  This incorporated recommendations from Cabinet regarding the General Fund Budget 2021/22 and Capital Programme, Housing Revenue Account Revenue Budget and Rent Setting 2021/22 and HRA Capital Programme 2020-24, the Treasury Management and Prudential Indicators for 2020/21, Capital Strategy and Investment Strategy.

Councillor Nicholson (Portfolio Holder for Finance and Assets) spoke to the recommendations in detail, setting out the choices being made including to invest in the environment, economy and target support to those who really needed it. She offered sympathy to all those who had lost loved ones due to Covid, and paid tribute to the response from staff, public sector, the community and voluntary sector. She thanked the Chief Executive and Chief Finance Officer and their teams in achieving £1.4m in savings, to enable a balanced budget to be presented.

Councillor Miller as chair of the Policy and Performance Committee responded first on behalf of the opposition, and highlighted that Cabinet had chosen not to accept the recommendations of the Committee to freeze Council tax, and believed this should have been supported for the benefit of local residents.  Councillor Burman as shadow portfolio holder for finance joined with Councillor Miller in thanking officers for preparing the budget, he indicated his support for many of the recommendations for investing locally, but advised he could not support the budget as a whole due to the Council tax rise proposed.

The budget was then debated in full by the Council, and Councillor Nicholson was given the opportunity to sum up at the end.

The Chair advised that by legislation the Council would take a recorded vote in respect of this report.

The recommendations were put to the vote and declared carried by 21 votes to 16, with 1 abstention, and the voting recorded as follows:

For: Councillors Amy, Banks, Bird, Brett, Carr, Clay, Collier, Denis, Gauntlett, MacCleary, Macleod, Makepeace, Manley, Meyer, Nicholson, O’Brien, O’Connor, O’Keeffe, Robinson, Ross and von Kurthy (21).

Against: Councillors Adeniji, Bikson, Burman, Davis, Davy, Duhigg, Jones, Linnington, J Lord, S Lord, Maskell, Miller, Papanicolaou, Peterson, Rigden and Rutland (16).

Abstention: Councillor Saunders (1).

Resolved:

1.             The recommendations as detailed in the reports from the Chief Finance Officer and the Director of Service Delivery to Cabinet on 4 February 2021 be approved as summarised below:

      i.         To approve the General Fund budget for 2020/21 (Revised) and 2021/22 (Original).

     ii.         To approve an increase in the Council Tax for Lewes District Council of £5 resulting in a Band D charge for general expenses of £197.08 for 2021/22.

    iii.         To approve the revised General Fund capital programme 2021/22.

   iv.         To endorse the continuation of the Flexible use of Capital Receipts.

     v.         To approve the Treasury Management Strategy and Annual Investment Strategy for 2021/22.

   vi.         To approve the Minimum Revenue Provision Policy Statement for 2021/22.

  vii.         To approve the Prudential and  ...  view the full minutes text for item 61

Report of Chief Finance Officer

Lead Cabinet member: Councillor Zoe Nicholson

Recommended to Full Council (Budget and policy framework):

(1) The General Fund budget for 2020/21 (Revised) and 2021/22 (original).

(2) An increase in the Council Tax for Lewes District Council of £5 (per annum) resulting in a Band D charge for general expenses of £197.08 (per annum) for 2021/22.

(3) The revised General Fund capital programme 2021/22 as set out at appendix 3 to the report.

(4) To endorse the continuation of the Flexible use of Capital Receipts and refers on to Council for approval.

(5) To note the section 151 Officer’s sign off as outlined in the report.

(Key decision):

(6) That as soon as practicable officers bring to Cabinet a report on the statutory process for amending the Council Tax Reduction Scheme for 2022/23 and which sets out the financial and other implications of providing a 100% discount to qualifying persons.

(7) That, in order to maximise the assistance to working age residents in financial distress, officers combine the remaining Council Tax Hardship Scheme funds (as previously agreed at Cabinet on 10 December 2020) with the council tax relief grant made available under the recent Spending Review, to provide a lump sum payment in 2021/22 to qualifying persons, which in certain cases would – taking into account the council tax reduction awarded – equal 100% of their council tax liability.

(8) To approve, as a Restricted Matter under the LLP Agreement with Eastbourne Borough Council, the making of a loan facility [of up to £10m] by Eastbourne Borough Council (pursuant to an Eastbourne Borough Council Cabinet decision of February 2021) to AHLLP for the purpose of enabling the partnership to purchase and develop residential accommodation and other property. Also, to delegate authority to the Chief Finance Officer in consultation with the Lead Member for Finance to agree the terms of that loan facility and any associated documentation and to authorise the execution of any related documentation.

(9) To authorise the Chief Finance Officer to ensure that a new “Deed of Entrustment” and the appropriate Funding Agreements are entered into by AHLLP with Eastbourne Borough Council to ensure that:

(a) loans and other funding follow the new Subsidy Control regime which applies from 1 January 2021; and

(b) Right to Buy receipts are appropriated in accordance with legislative requirements and the retention agreement with Government in

relation to “social housing”.

(10) To delegate authority to the Chief Finance Officer to determine the terms of such agreements.

The Cabinet considered the report of the Chief Finance Officer, regarding the updated General Fund budget and updated Medium Term Financial Strategy, together with the updated Capital Programme position.

Despite the significant challenges of Covid-19, set out in the report, efficiencies, savings, and the limited use of reserves had made it possible for the Council to deliver a balanced budget for 2021/22.

The report also confirmed a major capital programme that focused on using the council's financial power to stimulate the local economy and tackle the climate emergency.

As part of her presentation and addressing the future recovery and conclusion of the furlough scheme, Councillor Nicholson proposed two additional resolutions, to support those in financial distress. This was unanimously agreed by Cabinet and detailed at resolutions (6) and (7) below.

The Policy and Performance Advisory Committee, at its meeting on 25 January 2021, made the following recommendation to Cabinet:

To support the recommendations in the report subject to the following amendment being considered by the Cabinet:

Recommendation ii) in the Cabinet report be amended to read…. ‘Zero increase in the Council Tax for Lewes District Council for 2021/22’.

The recommendation from the Policy and Performance Advisory Committee (PPAC), was presented by Councillor Burman, member of PPAC and considered by Cabinet during their discussions. Visiting member and Leader of the Opposition, Councillor Linington also spoke in support of the PPAC recommendation.

The report proposed a 9.6p a week increase in Council Tax for 2021/22, which equated to £5 a year in the council's share of the bill. The Cabinet advised that this ensured that the council could continue to deliver essential services to residents, support local businesses and help the wider community to recover from the economic impact of Covid-19.

Councillors MacCleary, Meyer and Nicholson declared a prejudicial interest in the second set of officer recommendations for this item as members of the Aspiration Homes LLP Executive Committee. They withdrew from the meeting whilst this section of the item was discussed. Councillor Collier was nominated to Chair the meeting for the duration of this section.

Recommended to Full Council (Budget and policy framework):

Members recommended the following proposals to Full Council:

(1) The General Fund budget for 2020/21 (Revised) and 2021/22 (original).

(2) An increase in the Council Tax for Lewes District Council of £5 (per annum) resulting in a Band D charge for general expenses of £197.08 (per annum) for 2021/22.

(3) The revised General Fund capital programme 2021/22 as set out at appendix 3 to the report.

(4) That Cabinet endorses the continuation of the Flexible use of Capital Receipts and refers on to Council for approval.

(5) To note the section 151 Officer’s sign off as outlined in the report.

Resolved (Key decision):

(6) That as soon as practicable officers bring to Cabinet a report on the statutory process for amending the Council Tax Reduction Scheme for 2022/23 and which sets out the financial and other implications of providing a 100% discount to qualifying persons.

(7) That,  ...  view the full minutes text for item 42