Minutes for Cabinet meeting, Jan 12 2010, 6.00PM official page

To confirm the minutes of the meeting held on     (previously circulated).

The minutes of the meeting of the Cabinet held on 1 December 2009 were confirmed and signed by the Chairman.

The Forward Plan of Executive Decisions was presented for consideration.  The Plan contained all key decisions to be taken in the next four months together with other significant decisions anticipated to be taken within the next twelve months.

RESOLVED that the Forward Plan be noted and approved.

The Cabinet considered a report of the Leader, being the latest in a series leading to the setting of budgets and Council Tax for 2010/11.  The main purpose of the report was to set down the detailed position regarding the key parts of the budget in order to start to arrive at some final decisions for 2010/11.

The first section of the report summarised the base budgets as reviewed by each Policy Advisory Group and this showed a total draft budget of £10,258k (a 1% reduction on the current year).  The main changes compared to 2009/10 were detailed in the report; also, since the PAG meetings had been held, the following changes had occurred:

·        a likely increase in Housing Planning and Delivery grant of £20k.

·        a DWP reduction in housing benefit subsidy of £16k.

·        improved activity levels on building control resulting in an increase in estimated income of £20k.

• an increased contribution to the countywide concessionary fares scheme of £40k.

The financial strategy contained an investment income target of 15% of net service expenditure.  This implied a target of around £1.6m for 2010/11, an unachievable figure in the light of current and forecast interest rates.  A reasonable estimate of what can be achieved in 2010/11 is £1.05m, equal to a 34% reduction.

The Council’s confirmed level of grant funding from the Government for 2010/11 was £3.015m, representing a £15k or 0.5% increase over the grant for the current year (which in real terms is a reduction in funding).  The Council continues to be substantially below the grant floor, receiving £665k in grant protection from this mechanism.  There is a major financial risk to the authority if the Government were to withdraw or significantly reduce the floor damping at some future time. 

The Council’s general reserve was forecast to be £1,511k at 31 March 2010.  As the use of reserves was a key part of the Council’s financial strategy, it was important to minimise overspending and therefore efforts had been made to ensure that the overall net expenditure for the year was as close as possible to the original budget position, subject to any specific decisions of the Council to increase or reduce expenditure. 

The Cabinet noted the overall position for 2010/11, assuming at this stage that no further expenditure was funded, or further savings agreed.  It also made no assumption about any use of general reserves to reduce the level of council tax.  This showed a net cost of services of £8,920k and a budget requirement of £8,527, which equated to a Council Tax (Band D) of £171 before the use of any reserves.   As the level of reserves was forecast to be around £1.5m at 31 March 2010, there was scope to reduce the level of Council tax increase, subject to maintaining a prudent minimum level as required by the Council’s reserves policy.  To change the Council Tax by 1% would require an application of reserves of £45k.  It was the view of the Cabinet that  ...  view the full minutes text for item 68.

The Cabinet considered a report of the Resources Portfolio Holder on the budget monitoring position as at 30 November 2009. 

With regard to the forecast revenue outturn position, a summary of in-year budget variations identified to date was set out, showing a forecast overspend of £142k.  This showed a number of ‘new’ savings and was a considerable improvement on the £248k forecast overspend shown in the last report.  There were also a number of items agreed to be funded from reserves by the Council at past meetings, amounting to £61k.  The effect of balances was therefore a net reduction of £203k.  It was noted that the majority of the forecast overspend was as a result of income shortfalls rather than new expenditure pressures.

Progress against key income targets was summarised in the report.  The main variants were shortfalls against budget in Land Charges fee income and Building Control fee income.

The report gave an update on the main financial risk areas within the budget.  Progress against the 2009/10 savings and efficiencies target was also set out, showing the current estimate of savings achievable of £354k against a target of £395k.  With reference to the revenue reserves, it was estimated the balance would be £1,511k at 31 March 2010, well in excess of the advised prudent level.  The estimated outturn of capital expenditure during the year (adjusted for removal of the Farnham Charitable capital) was £1.506m, a projected underspend of £120k. 

            RESOLVED that the report be noted.

The Cabinet considered a Notice of Decisions of the Resources Portfolio Holder issued on 10 December 2009.  The Cabinet noted decisions taken regarding portfolio budgets for 2010/11, Procurement tender evaluation and the ICT FM contract.

The following was the subject of a recommendation from the Portfolio Holder:

Plant Maintenance Contract – Offices

The plant maintenance contract, covering air conditioning, heating, water services and electrical systems, at the Capswood Offices had expired and arrangements needed to be put in place for a new contract.

RECOMMENDED that:

(1)    a new contract, lasting a period of one year, be awarded beginning as soon as was practicable, based on obtaining three quotes in accordance with the Council’s Contract Procedure Rules; and subsequently

(2)      a tender exercise for another new contract be commenced and awarded for a period of three years from February 2011, which would require using the formal EU rules as the contract threshold value of £139k would be exceeded.

The Cabinet considered a Notice of Decisions of the Sustainable Development Portfolio Holder issued on 10 December, together with the minutes of a meeting of the Sustainable Development Policy Advisory Group held on 7 December 2009.  The Cabinet noted decisions in relation to Portfolio Budgets for 2010/11 and the working arrangements for providing advice to the South East England Partnership (SEEPB) about the new Strategy for the South East.

The following were the subject of recommendations from the Portfolio Holder:

NI 185 Bucks Strategic Funding Projects and NI 186 Action and Carbon Communications Plan

A report had been considered about actions proposed (and the available Bucks Strategic Partnership funding) to meet:

Ø      NI 185 – Reducing the Council’s own carbon footprint

Ø      NI 186 – Reducing Area wide carbon emissions

RESOLVED that the Sustainable Development Portfolio Holder be authorised to approve, in consultation with the Director of Services:

(1)       carrying out in the current and next financial year, the carbon reduction projects set out in the report, funded from the £60,000 BSP grant, subject to agreement with other Portfolio Holders as appropriate on actions across other service areas, receipt of Landlords consent required for works at Capswood and final costings for each project;

(2)       the South Bucks District Council Energy Action and Carbon Communications Plan, subject to agreement with other Portfolio Holders as appropriate on actions across other service areas.

Results of the Public Consultation about the Proposed Farnham Royal Conservation Area

A report had been considered on the results of the public consultation about the proposed designation of a new conservation area in Farnham Royal.  In summary this showed overall substantial support expressed for the proposals, a lack of support from non-resident landowners and a mixed response from householders and institutions within the proposed conservation area.  Also, arising from the consultation had come a suggestion that Slough Borough Council consider designating additional areas as a Conservation Area on its side of the boundary to make an enlarged, mutually supportive Conservation Area. 

RECOMMENDED that approval be given to:

(1)               the designation of a new conservation area in Farnham Royal (with boundaries as shown coloured green on the map at Appendix A to the report).

(2)               that the new conservation area be named the “Farnham Royal Conservation Area.”

(3)               support for the principle that Officers should assist and encourage Slough BC, recognising the benefits of the suggested cross-border conservation area, subject to Slough BC paying the Council’s additional costs.

(4)               that subject to designation, the Farnham Royal Conservation Area Character appraisal be published and adopted as a “material consideration” for planning purposes, subject to some correction of the Analysis Map and other amendments/updates only as may be necessary to reflect the designation of the conservation area.

The Cabinet considered a Notice of Decisions of the Community Portfolio Holder issued on 7 December 2009.  The Notice referred to decisions about:

·        approval of Portfolio budgets for 2010/11 for submission to the Cabinet;

·        approval of draft revenue and capital budgets for 2010/11 for the Farnham Charity for submission to the Cabinet;

·        approval of three revenue budget community development grants; and

·        a temporary extension of the member discount scheme at Farnham Park Golf Course to cover 2010/11.

The Cabinet considered a Notice of Decisions of the Environment Portfolio Holder issued on 14 December 2009.  The Notice referred to decisions about:

• approval of a recycling publicity plan;
• approval of some minor changes (but no general increase in charges) to Pay and Display car parks, for consultation with relevant parties;
• approval in principle to commissioning a new Management Plan for Littleworth Common, subject to satisfactory further discussions with Natural England about the cost of future management and maintenance of the Common; and
• approval of Portfolio budgets for 2010/11, for submission to the Cabinet.

The Cabinet considered a report of the Chief Executive with recommendations about proceeding to the next stage of the Pathfinder Support Services project on the basis of the outline submissions from two companies currently interested in tendering for the project.  The project was aimed mainly at improving the cost efficiency of back office services by joining together and so achieving economies of scale and better resilience in the event of problems.

Core services included within the procurement were:

• Finance
• ICT
• Personnel
• Properties and facilities management

The procurement process was aimed at the selection of a private sector partner to work with the five public service organisations to set up a Joint Venture Company (JVCo) to run the four core services for the partners.

The report detailed the progress of the procurement process to date under the overall management of the Buckinghamshire Leaders through the Joint Committee which had been established, and the Inter Authority Agreement which regulated matters up to the acceptance of tender stage.  During the process, the six potential bidders initially expressing an interest had reduced to two for the submission of outline proposals: IBM and Mouchel.  The outline proposals had been evaluated and further details were set out in the Part II report.  The next stage would entail each of the partners deciding if it wished to go ahead to the next phase – the submission of detailed proposals (by June 2010) following a detailed dialogue process with each bidder.  These would be evaluated, followed by submission of final, fully costed proposals (by August 2010), for evaluation and final decision by partners, including a new Inter Authority Agreement (by October 2010), with a contract to commence during the first part of 2011.

The Cabinet noted the procedure undertaken to evaluate the outline proposals, detailing how each bid had been scored against a number of criteria, each allocated a weighting agreed by the Joint Committee.  It also received in tabular form a resume of the assessed risks of the procurement, together with the action being taken to mitigate and manage those risks.

The project had already taken a substantial amount of officer time and the Council had so far made provision for approximately £91,000 as its contribution.  More resource would be needed to see the project through to the acceptance of final stage bid, to cover advice on legal and financial matters as well as a share of any external management costs.  This one-off cost of approximately £5,000 could be taken from the Council’s reserves, but the figure may be affected depending on the decisions of other partners to remain in or withdraw from the project.  The amount of officer time devoted to the project would also intensify over the next six months.

The Cabinet considered the implications of proceeding, taking into account the reasonable prospect of achieving the cost savings as estimated in the Part II report.  It also considered the alternatives should it be decided not to proceed. 

After reviewing the options, and  ...  view the full minutes text for item 74.

The Environment Portfolio Holder reported for information that he had approved a small amount of expenditure for the temporary hire of additional vehicles to assist with maintaining waste and recycling collections that had been disrupted due to icy weather conditions.

The Leader to move the following resolution:-

“that under Section 100A (4) of the Local Government Act 1972 the public be excluded from the meeting for the following items of business on the grounds that they involve the likely disclosure of exempt information as defined in Part 1 of Schedule 12A to the Act”.

RESOLVED that under Section 100A(4) of the Local Government Act 1972 the public be excluded from the meeting for the following items of business on the grounds that they involved the likely disclosure of exempt information as defined in Part I of Schedule 12A to the Act.

Pathfinder Support Services Project (Part II)

(Paragraphs 1 and 3 – because of information relating to any individual; information relating to the financial or business affairs of a particular person).

The Cabinet considered a report of the Chief Executive containing further information about the outline submissions of the two companies currently interested in tendering for this project.  The Cabinet took account of the information in arriving at the recommendation in minute 74 above.

Community Portfolio Holder Report

(Paragraph 3 – because of information relating to the financial or business affairs of a particular person).

The Cabinet considered a report of the Community Portfolio Holder about the re-instatement of the The Lanes Driving Range.  The Cabinet approved the appointment of P. Westcott Ltd as contractor to carry out the work.

Planning Enforcement and Appeals – Resources

(Paragraph 5 – because of information in respect of which a claim to legal privilege could be maintained).

The Cabinet received a report containing a resume of recent decisions relating to planning enforcement and appeals and the resource implications of each.

(Paragraph 3 – because of information relating to the financial or business affairs of the authority and Paragraph 4 – because of information relating to consultations or negotiations and intended consultation or negotiations in connection with a labour relations matter between the authority and its employees). 

To consider report of the Chief Executive.

(Paragraph 3 – because of information relating to the financial or business affairs of any particular person)

The Lanes Driving Range – Tenders for Reinstatement

(Paragraph 5 because of information in respect of which a claim to legal privilege could be maintained).

To consider report of the Director of Resources.