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ANGUS COUNCIL

MINUTE of SPECIAL MEETING of the FINANCE AND INFORMATION TECHNOLOGY COMMITTEE held in the Town and County Hall, Forfar on Monday 23 February 1998 at 2.00 pm.

Present: Councillors ALEX KING, JACK GIBB, IAN HUDGHTON, IAN MACKINTOSH, GLENNIS MIDDLETON, WILLIAM MIDDLETON, BRIAN MILNE, STEWART MOWATT, ROB MURRAY, DAVID SELFRIDGE and KATHLEEN RITCHIE.

Apologies: Apologies for absence were intimated on behalf of Councillors GEORGE ALLAN and RICHARD SPEIRS.

Councillor KING, Convener, in the Chair.

 

1. PROVISIONAL REVENUE BUDGET 1998/99

There were submitted (a) Report No 192/98 by the Director of Finance being the Summary Progress and Background Report on the Provisional Revenue Budget 1998/99; (b) Report No 193/98 by the Director of Finance being the Provisional Revenue Budget Volume including a commentary by each Head of Department; and (c) Report No 194/98 by the Director of Finance being the Departmental Savings Proposals Volume.

Councillor King referred to capping limits in previous years and advised that the "maximum capping limit" for 1998/99 for Angus Council had been set at £117.035 million resulting in savings (including Joint Boards) of some £3.4 million on provisional base budgets having to be identified to meet the capping limit. He advised that although the Council was constrained by the spending limits determined by the Secretary of State, savings had been identified which avoided closure of facilities and compulsory redundancies. All departmental budgets had been subjected to substantial savings, with the exception of the Education Revenue Budget which had increased by £2.1 million, representing a 4.5% increase on last year’s budget for direct education provision. Councillor King asked members to note that the proposed adjustments to the Roads and Education Revenue Budgets, arising from corporate savings, would result in the budgets of both departments being above the GAE allocation from the Scottish Office for 1998/99. He also referred to the Scheme recently announced by the Secretary of State and indicated that whilst the Capping Flexibility Scheme could provide additional spending power in 1998/99, this could only be used at the expense of the Capital Programme.

Thereafter Councillor Hudghton reported on the meeting of the Central Consultative Committee held earlier this day and indicated that employee representatives would support the Council in making representation to the Secretary of State to retain current levels of service for the future.

Thereafter, the Committee agreed:-

(a) In respect of Report No 192/98

(i) to note the Provisional Departmental Budget Submission(s) as contained in the 1998/99 Provisional Revenue Budget Volume (Report No 193/98) as the base budget;

(ii) to note the savings proposals outlined in the separate 1998/99 Provisional Revenue Budget Departmental Savings Proposals Volume (Report No 194/98) which had been prepared on a basis which would allow Angus Council to comply with the capping limit set by the Secretary of State for Scotland;

(iii) that the appropriate budget savings to the Departmental Budget(s) go forward to the Special Budget Meeting provisionally agreed for 5 March 1998 when the Final 1988/99 Revenue Budget for the Council would be determined and the Council Tax level set;

(iv) to note the discretion available under the Spend to Save scheme and agree that the Council should not take advantage of the scheme because of its adverse effect on the capital programme;

(v) to note the principles of the Capping Flexibility scheme recently announced by the Secretary of State for Scotland and the limited additional capping flexibility which this provided for Angus Council, and agree that the Council should not take advantage of the scheme because of its adverse effect on the capital programme;

(vi) to note the views of the employee representatives on the Central Consultative Committee arising from their meeting earlier this day;

(vii) to note and approve the Corporate Savings totalling £916,00 as contained in pages 5 to 6 of the Departmental Savings Proposals Volume (Report No 194/98), and to further note that these corporate savings had been required in order to prevent the need to implement unpalatable savings of £916,000 within the Education 1998/99 revenue budget;

(viii) to note and agree to submit to the Council at the Council Tax setting meeting in early March 1998 that the provision for Pay Inflation Allowance be £1,800,000; that the provision for Capital Financed from Current Revenue (CFCR) be £1,250,000; that the provision for Local Tax Collection Miscellaneous Income be £560,000 and that the provision for other capping expenditure be £45,000 (all of which are shown on page 5 of the Provisional Revenue Budget Volume ­ Report 193/98);

(ix) to note and agree to submit to the Council at the Council Tax setting meeting in early March 1998 that the provision for Local Government Reform Costs be £238,000 as detailed on page 93 of the Provisional Revenue Budget Volume (Report 193/98);

(x) to note the Capital Financing Costs totalling £9,712,000 and the total Other Non-Relevant Expenditure for capping purposes of £1,032,000 and agree that these figures be submitted to the Council at the Council Tax setting meeting in early March 1998; and

(xi) to approve the revised Common Good Funds budget submission for 1998/99 as contained in pages 124 to 127 of the Provisional Revenue Budget Volume (Report No 193/98).

(b) In respect of the Finance and Information Technology Departments and Other Miscellaneous Services

(i) to note the Provisional Base Budget Submissions for 1998/99 of Miscellaneous Other Services, Finance (General), Finance (Revenues) and Information Technology as contained in pages 89, 102 to 103, 104 and 114 to 115 respectively of the Provisional Revenue Budget Volume (Report No 193/98);

(ii) to note the savings proposals of the Finance (General), Finance (Revenues) and Information Technology Departments as contained in pages 35 to 36, 37 to 38 and 41 to 42 respectively of the Departmental Savings Proposals Volume (Report No 194/98);

(iii) to approve the savings for Finance (General) totalling £40,000, the savings for Finance (Revenues) totalling £42,000, and the savings for the Information Technology Department totalling £29,000;

(iv) to approve the revised budget net expenditure for the Miscellaneous Other Services, Finance (General), Finance (Revenues) and Information Technology Departments resulting therefrom and agree to advise the Council at the Council Tax setting meeting in early March 1998 accordingly.

(c) In respect of Joint Boards:-

(i) to note the Provisional Base Budget Submissions for 1998/99 of the three Joint Boards for Tayside, namely Police £13,291,000; Fire £3,213,000 and Valuation (Assessors) £555,000 as shown on page 122 of the Provisional Revenue Budget Volume (Report No 193/98);

(ii) to note that these finalised budget submissions for 1998/99 of the Tayside Police, Tayside Fire and Tayside Valuation Joint Boards had been agreed at the Board meetings on 16 February 1998; and

(iii) to agree that these finalised requisitions for the Joint Boards be submitted to the Council at the Council Tax setting meeting in early March 1998.

(d) In respect of Tayside Contract Joint Arrangements:-

(i) to note the Provisional Base Budget Submission for 1998/99 of the Tayside Contracts Joint Arrangement being £196,000 (Surplus) as shown on page 123 of the Provisional Revenue Budget Volume (Report 193/98);

(ii) to note that this finalised budget submission for 1998/99 for the Tayside Contracts Joint Arrangement had been agreed at the meeting on 16 February 1998; and

(iii) to agree that this finalised budget position for the Tayside Contracts Joint Arrangement be submitted to the Council at the Council Tax setting meeting in early March 1998.