Decision details

a)  To note the position on the estimated outturn and revised budget for 2013/14 as set out in paragraphs 28 to 43.

b)  To note the position on the forecast roll forward budget for 2014/15 as set out in paragraphs 44 to 72.

c)  To note and approve the arrangements made by the Leader, in accordance with the Local Government Act 2000, for the Cabinet Member for Resources to have responsibility for financial management and budgetary policies and strategies, and that the Cabinet Member for Resources will, in accordance with the Budget & Policy Framework Rules as set out in the Council’s Constitution, be authorised to finalise the Executive’s proposals in respect of the Budget for 2014/15, in consultation with the Leader, for submission to Full Council on 12 February 2014.

d)  Recommends that Full Council:

i)  Notes the budget consultation process that was followed as outlined in Appendix 1 and notes that this year’s process took into consideration feedback from last year on how to improve the process.

ii)  Notes that the consultation feedback has been taken into consideration by the Cabinet and has informed their final budget proposals.

iii)  Notes the Equality and Safety Impact Assessment process that was followed as set out in paragraphs 25 to 27 and the details contained in Appendix 2 which reflect the feedback received through the consultation process.

iv)  Approves the revised estimate for 2013/14 as set out in Appendix 3.

v)  Accepts grants which total £3.6M (£3.35M from the Cabinet Office and £250,000 from the Department for Work & Pensions) to support unemployed adults and young people into employment as part of the City Deal and approves in accordance with financial procedure rules revenue expenditure for the delivery of the programme over a period of three years.

vi)  Approves the Council to act as Lead Accountable Body for the administration of the grant funding which totals £3.6M across the Solent LEP area.

vii)  Delegates authority to the Assistant Chief Executive to undertake such actions necessary to enable the successful delivery of the programme.

viii)  Notes the position on the forecast roll forward budget for 2014/15 as set out in paragraphs 44 to 72.

ix)  Approves the revenue pressures and bids as set out in set out in Appendix 4 and 5 respectively.

x)  Approves the efficiencies, income and service reductions as set out in Appendix 6.

xi)  Approves the General Fund Revenue Budget as set out in Appendix 7, which assumes a council tax increase of 2.0%.

xii)  Delegates authority to the Chief Financial Officer to action all budget changes arising from the approved pressures, bids, efficiencies, income and service reductions and incorporate any other approved amendments into the General Fund estimates.

xiii)  Approves the allocation of up to £500,000 from the Organisational Development Fund which is part of the Strategic Reserve to fund the resourcing requirements to complete the Pay & Allowances Review.

xiv)  Notes that after taking these items into account, there is an estimated General Fund balance of £6.5M at the end of 2017/18 as detailed in paragraph 106.

xv)  Delegates authority to the Chief Financial Officer, in consultation with the Director of Corporate Services, to do anything necessary to give effect to the recommendations in this report.

xvi)  Sets the Council Tax Requirement for 2014/15 at £73,472,200.

xvii)  Notes the estimates of precepts on the Council Tax collection fund for 2014/15 as set out in Appendix 9.

xviii)  Delegates authority to the Chief Financial Officer to implement any variation to the overall level of Council Tax arising from the final notification of the Hampshire Fire and Rescue Authority precept and the Police and Crime Commissioner for Hampshire precept.

xix)  Notes the Medium Term Forecast as set out in Appendix 10.

xx)  Authorises the Chief Executive and Chief Officers to pursue the development of the options for efficiencies, income and service reductions as set out in Appendix 6 for the financial years 2015/16 and 2016/17 and continue to develop options to close the remaining projected gaps in those years.

The Constitution requires the Executive to recommend its budget proposals for the forthcoming year to Full Council.  The recommendations contained in this report set out the various elements of the budget that need to be considered and addressed by the Cabinet in preparing the final papers that will be forwarded to Council.

Alternative options for revenue spending form an integral part of the development of the overall Budget Strategy that will be considered at the budget setting meeting on 12February 2014.  Alternative options may be drawn up by opposition groups and presented to the same meeting.