| Item | Description | Resolution |
|---|---|---|
| PART 1 - PUBLIC | ||
| CB 12/017 |
Declarations of interest. |
There were no declarations of interest made. |
| MATTERS FOR RECOMMENDATION TO THE COUNCIL | ||
| CB 12/018 |
Treasury Management Strategy Statement and Annual Investment Strategy for 2012/13 |
The report of the Director of Finance provided details of the current investment position from which it was noted that a number of downgrades by the credit rating agencies had led to increasingly limited access to both UK and non-UK financial institutions. As a result of a review of the approach to assessment of credit risk, the report invited the Cabinet to consider adopting a lower credit requirement and to use Sector's creditworthiness methodology to guide future updates to the Council's internal lending list. Such changes had been incorporated into the Treasury Management Strategy Statement and Annual Investment Strategy for 2012/13 which was also reviewed and presented for adoption. It was noted that the Audit Committee had reviewed the matters covered by the report at its meeting on 23 January 2012 and the revised arrangements had been commended for adoption subject to an alteration to the text of Appendix 5 to the Strategy which had now been incorporated. RECOMMENDED: That (1) the treasury management position as at 6 January 2012 be noted; (2) the officers' decision not to call for the premature repayment of investments held with Barclays and the Nationwide be endorsed; (3) Sector's creditworthiness methodology be adopted for use in the selection and deselection of counterparties to be included on or removed from the Council's internal lending list; (4) the minimum credit criteria of Fitch long term A, short term F1, individual (viability) C (bbb-) and support 1 be adopted for use by the Council's external fund manager; (5) a 20% exposure limit to counterparties, groups of related counterparty and non-UK sovereigns be adopted; and (6) the Treasury Management Strategy Statement and Annual Investment Strategy for 2012/13, as set out at Annex 4 to the report, be adopted. *Referred to Council |
| CB 12/019 |
Setting the Budget 2012/13 |
The joint report of the Chief Executive and Director of Finance updated the Cabinet on issues relating to the setting of the budget for 2012/13 together with the outcome of the examination of the draft Revenue Estimates and the Capital Plan Review Process undertaken by the Finance and Property Advisory Board and the Overview and Scrutiny Committee. It was noted that the Revenue Estimates as presented had been endorsed subject to the further deferral of the transitional increase in Members' allowances recommended by the Joint Independent Remuneration Panel. A more detailed supplementary report prepared in liaison with the Leader and Cabinet Member for Finance was circulated in advance of the meeting. This examined the situation in relation to the Medium Term Financial Strategy (MTFS) and gave details of the necessary procedures to be followed in order to set the budget for 2012/13. The Director of Finance updated the position arising from the Government's offer of a council tax "freeze" grant for 2012/13 and the criteria for council tax referendums which had been presented at the meeting of the Cabinet on 11 January 2012. Members were advised that the summary total for the 2012/13 estimates would be affected by the Council's decision on whether or not to accept the "freeze" grant and the report illustrated the position for both scenarios, incorporating recently received details of the Internal Drainage Boards' levies. The Director of Finance indicated that the Department for Communities and Local Government had confirmed in correspondence of 31 January the final grant settlement which was due to be debated in the House of Commons on 8 February 2012. The key messages arising from the settlement were explained. The Cabinet expressed concern at the anticipated settlement which would result in Tonbridge and Malling continuing to have a level of grant per head that was the lowest in Kent and below the average for shire districts. The Government's review of local government finance was welcomed as a potential means of achieving a more equitable situation and it was considered that representations should be made accordingly to the Secretary of State. Attention was drawn to a summary of the recommendations from Advisory Boards regarding the levels of fees and charges to be implemented from 1 April 2012 which had been incorporated in the draft estimates. Members were reminded of the approach to preparation of the Capital Plan and the annual allowance of £350,000 for capital expenditure. An updated summary of the Capital Plan was set out at Annex 7 to the report including the proposed transfer of schemes from List B. The report then described the remaining procedures to be followed in setting the budget for 2012/13 and calculating the council tax. Consideration was given to the updated MTFS based on a council tax increase of 2.9% (the upper limit for referendum purposes) and a council tax freeze respectively. The Cabinet also deliberated on the most appropriate guidance to offer the Council as to the way forward for Tonbridge and Malling in updating the MTFS for the next ten year period and setting the council tax for 2012/13. The Director of Finance then explained the basis on which the statement as to the robustness of the estimates and adequacy of the reserves had been made. Members of the Cabinet recorded their thanks to the Director of Finance and colleagues and to the Management Team for all their work in bringing forward the budget in the current challenging circumstances. RECOMMENDED: That (1) the fees and charges set out in Annex 2 to the report, as recommended by the Advisory Boards, be endorsed (see Decision Nos D120006CAB and D120011CAB - D120014CAB); (2) the Capital Plan be updated as set out in paragraph 1.5.12 of the report as follows and adopted accordingly: (i) the position of the existing Capital Plan (List A) as summarised in Annex 3 to the report be approved; (ii) the addition to and deletion from List C of those List C schemes shown in Annex 4 to the report be approved; (iii) the selection of those schemes listed in Annex 5 to the report for evaluation over the coming year be approved with those so indicated being selected for fast track evaluation of which four have already been evaluated; (iv) the transfer of the following List B schemes to List A be approved: Car Park Enhancement Programme Phase 5 Larkfield Leisure Centre New Dance/Exercise Studio Tonbridge Swimming Pool Changing Village Floor Tonbridge Racecourse Sportsground Improvements Haysden Country Park Bridge Repairs Open Spaces Site Improvements Tonbridge Cemetery Path Improvements Finance Electronic Document Management Gibson Building West Renewal of Heating System (v) the shortfall in funding for fast track schemes yet to be evaluated be met from funds no longer required in respect of existing schemes; (vi) the recategorisation of the Tonbridge Riverside Path Enhancement scheme from List B to List C and the retention of the Tonbridge Town Lock scheme on List B be approved for the reasons set out at paragraph 1.5.11 of the report; (3) the draft Capital Strategy as presented to the Finance and Property Advisory Board on 4 January and the Overview and Scrutiny Committee on 10 January 2012 be endorsed and adopted by the Council; (4) the Capital Plan process be simplified in future with schemes progressing on the basis of the three criteria specified (health and safety, externally funded or reducing the Council's costs); (5) the prudential indicators listed in paragraphs 1.6.6 and 1.6.10 of the report be adopted; (6) for the financial year 2012/13 the Council's Minimum Revenue Provision be endorsed as nil, as set out at paragraph 1.6.14 of the report; (7) the adjustments to the draft revenue estimates as set out at paragraph 1.3.2 of the report be endorsed; (8) the updates to the Medium Term Financial Strategy, as set out at Annexes 11a and 11b to the report, based on a council tax increase of 2.9% and council tax freeze respectively be noted; (9) the Key Objectives of the Medium Term Financial Strategy be updated as set out in paragraphs 1.8.3 to 1.8.6 of the report; (10) the Council be recommended to approve a council tax increase of 2.9% as the best way forward for Tonbridge and Malling Borough Council in updating the Medium Term Financial Strategy for the next 10 year period and setting the council tax for 2012/13; and (11) the Statement provided by the Director of Finance as to the Robustness of the Estimates and the Adequacy of the Reserves be noted and endorsed. *Referred to Council |
| CB 12/020 |
Setting the Council Tax 2012/13 |
The joint report of the Chief Executive, Director of Finance, Leader of the Council and Cabinet Member for Finance set out the requirements under the Local Government Finance Act 1992 for a billing authority to set an amount of council tax for each category of dwelling in its area. Members were advised that the Kent County Council, the Kent Police Authority and the Kent and Medway Fire and Rescue Authority had not yet met to determine their respective precepts for 2012/13. It was noted that since the Localism Act removed the requirement for a calculation to be made of the sum required by the Council for budget purposes, the council tax resolution had to be amended. Consideration was given to a revised draft resolution identifying the processes to be undertaken in arriving at the levels of council tax applicable to each part of the Borough. Reference was made to the debate that needed to take place regarding the relative merits of a freeze in council tax as opposed to an increase. Accordingly, the resolution and information regarding the precepts of the other authorities would be reported to the full Council on 23 February 2012. RECOMMENDED: That the updated resolution following the Localism Act be noted and the Council be recommended to approve a 2.9% increase in council tax for 2012/13. *Referred to Council |
| DECISIONS TAKEN IN ACCORDANCE WITH PARAGRAPH 4, PART 3 OF THE CONSTITUTION | ||
| CB 12/021 |
Scrutiny Review of the Local Air Quality Management Regime Decision Notice D120010CAB |
|
| CB 12/022 |
Review of Environmental Health Services Fees and Charges Item LEM 11/047 referred from Local Environmental Management Advisory Board minutes of 22nd November, 2011 Decision Notice D120011CAB |
|
| CB 12/023 |
Leisure Services - Review of Charges 2012/13 Item LAA 11/055 referred from Leisure and Arts Advisory Board minutes of 12th December, 2011 Decision Notice D120012CAB |
|
| CB 12/024 |
Leisure Services Business Unit - Review of Charges Item LAA 11/056 referred from Leisure and Arts Advisory Board minutes of 12th December, 2011 Decision Notice D120013CAB |
|
| CB 12/025 |
Review of Fees and Charges 2012/13 Item FP 12/005 referred from Finance and Property Advisory Board minutes of 4th January, 2012 Decision Notice D120014CAB |
|
| CB 12/026 |
Gibson Building West - Replacement Heating Boilers and Circulatory Pipe Work Decision Notice D120015CAB |
|
| MATTERS SUBMITTED FOR INFORMATION | ||
| CB 12/027 |
Apprenticeship Report |
The report of the Central Services Director updated the Cabinet on progress of the two cohorts of apprentices that had participated to date in the Council's Customer Services NVQ Level 2 programme and upon the progress of the West Kent 100 in 100 Campaign to increase the number of apprenticeship opportunities in West Kent. Members requested that thanks be conveyed to all involved in the initiative. RESOLVED: That the report be received and noted. |
| MATTERS FOR CONSIDERATION IN PRIVATE | ||
| CB 12/028 |
Exclusion of Press and Public |
There were no items considered in private. |