| Item | Description | Resolution |
|---|---|---|
| PART 1 - PUBLIC | ||
| MATTERS FOR RECOMMENDATION TO THE CABINET | ||
| FP 12/003 |
Revenue Estimates 2012/13 |
The report of the Director of Finance referred to the responsibility of the Cabinet under the Constitution for formulating initial draft proposals in respect of the budget. Reference was made to the role of the Advisory Board in assisting the Council and Cabinet in the preparation of the budget within the context of the Medium Term Financial Strategy and the Council's priorities. An outline was given of the process for referring the Advisory Board's recommendations to the Overview and Scrutiny Committee prior to consideration by the Cabinet on 7 February and thereafter by the Council at its budget meeting. The report set out the framework for consideration of the estimates in terms of the Medium Term Financial Strategy together with a number of service specific issues. Reference was made to the decision to remove the economic adjustment by basing income estimates on current income levels rather than "normal" level of activity to reflect latest forecasts and projections which suggested that the economic downturn was to be more protracted than originally envisaged and the permanent rather than temporary reduction in some of the Council's income streams. The Director of Finance drew attention to the key messages arising from the provisional Local Government Finance Settlement including the implications of implementing the council tax "freeze" grant and of the threshold set by the Secretary of State for local referenda to approve or veto council tax increases above 3.5%. Reference was made to the report to the Cabinet in October 2011 on a three stage approach to tackling the funding gap faced by the Council and the Advisory Board was pleased to note that "savings" in excess of £300,000 had been achieved in respect of the 2012/13 base budget. Members were advised that the Medium Term Financial Strategy would continue to be updated during the budget cycle. RECOMMENDED: That (1) the draft Revenue Estimates contained in the Booklet be endorsed subject to the further deferral of the transitional increase in Members' allowances recommended by the Joint Independent Remuneration Panel and removal of the increased provision from the 2012/13 estimates; and (2) within the context of the financial pressures outlined in the report, the Overview and Scrutiny Committee be requested to consider the draft Revenue Estimates contained in the Booklet, as amended by (1) above, and make appropriate recommendations to the Cabinet for its special meeting on 7 February 2012. *Referred to Cabinet |