Agenda, decisions and minutes

No apologies were received.

The Chairman welcomed Andrew Proctor, of the Peer Review Challenge Group, to the meeting.  The chairman thanked all the Councillors and Officers who had been working with the Peer Review Group over the last 2 days, which was proving an interesting and useful exercise.

To confirm the minutes of the meeting held on 5 December 2018 as a correct record.

RESOLVED:

That the minutes of the meeting held on 18 December 2018 be signed by the Chairman as a correct record.

To note any declarations of interest made by members in connection with an agenda item.  The nature of the interest must also be specified.

Members are asked to discuss any possible interests with Democratic Services prior to the meeting.

No declarations of interest were made by any member in connection with an agenda item.

To note any issues raised during the public participation period.

No issues were raised in the public participation period.

To consider the outcome of a review of the service charges to tenants of extra-care, hostels and age restrict accommodation.

RECOMMENDED:

That the service charges set out in Appendix 1 to Report Item 4 to the Cabinet be introduced in accordance with the timescales set out in Section 3 of Report item 4 to the Cabinet.

The Cabinet considered the outcome of a review of the service charges for tenants of extra-care, hostel and age restricted accommodation.  The charges had last been subject to a proper review in 2004, with increases to cover inflation having been made since that time.  The charges were for both general services (utilities for the building, internal and external cleaning and grounds maintenance etc.) and domestic services (heating, lighting and water to individual dwellings, but not separately metered).  The service charges applied to some 640 tenanted properties. 

The remodelling of former social housing schemes had removed communal and shared facilities and it was no longer appropriate to levy service charges for these services.  While the extra-care schemes and hostels would have standardised general service charges for the type of accommodation, elsewhere the charges would be calculated on a site-by-site bases.  Charges would also be introduced for the former wardens’ accommodation at decommissioned sheltered schemes.

The proposed charges for 2019/20 were attached as Appendix 1 to the report.  In summary, for the extra-care and age restricted accommodation 65% of households would see a reduction in charge; 1% subject to charge for the first time: 15% an increase of less than £2 per week; and 19% an increase of more than £2 per week.  Where the increase was more than £2 per week, the increase would be phased in over a period of up to 3 years, increasing at £2 per week each year.  For the licensed hostels and general needs accommodation 45% of households would see no change or a decrease in charge; 44% an increase of less than £2 per week and 11% an increase of more than £2 per week, with the same phasing arrangements as for sheltered accommodation.

The Housing Tenant’s Involvement Group had been consulted, starting in the summer of 2017.  Their final response was that the review had been carried out thoroughly and they supported the changes made, which would be fairer.

RECOMMENDED:

That the service charges set out in Appendix 1 to Report Item 4 to the Cabinet be introduced in accordance with the timescales set out in Section 3 of Report item 4 to the Cabinet.

To recommend to the Council that the scheme of members’ allowances from 1 April 2019 remain unchanged.

RECOMMENDED:

That the current scheme of members’ allowances be made as the scheme to apply from 1 April 2019.

The Cabinet considered the scheme of members’ allowances to apply from 1 April 2019 and concluded that the scheme should remain unchanged.

RECOMMENDED:

That the current scheme of members’ allowances be made as the scheme to apply from 1 April 2019.

To consider the recommendations of the Community and Leisure Overview and Scrutiny Panel with respect to the payment of grants in 2019/20.

RecommendED:

(a)       That the community grant awards as set out in paragraph 4.1 to Report Item 6 to the Cabinet, and in more detail in Appendix 1 to that report, be approved for inclusion in the Medium Term Financial Plan;

(b)       That Citizens’ Advice New Forest (CANF) be awarded a revenue grant of £229,500 in 2019/20; and

(c)       That, in future, grant awardees be invited to a second interview in July to update the Council on progress with their projects and also to be advised of alternative sources of funding should they be considering further grant applications to the Council.

Members considered the recommendations of the Community and Leisure Overview and Scrutiny Panel in respect of the applications that had been received for grant aid in 2019/20.  All applications for community grants had been considered by the Community Grants Task and Finish Group, while the Citizens Advice Bureau (CANF) had held separate discussions with the CANF Task and Finish Group.

With respect to CANF it was proposed to enter into a 3 year rolling funding arrangement starting on 1 April 2019.  Although the funding available was being reduced, to reflect the financial constraints that applied to this Council, CANF would in future benefit from much greater financial certainty, allowing them to plan on a sounder basis.  The proposed 3 year schedule of payments was set out in paragraph 3.3 of the report.

For the first time a budget had been set for the payment of grants at £100,000 for capital grants and £350,000 for revenue grants.  In recognition of the difficulties that 2 of the applicants would face following the expiration of Service Level Agreements with this Council, some additional funding had however been made available to allow a transitional period for the Hampshire and Isle of Wight Wildlife Trust and the New Forest Centre.  The recommended payments were set out in paragraph 4.1 of Report Item 6 to the Cabinet, with further information, including the reasons for each recommendation, set out in Appendix 1.

The Cabinet welcomed the careful consideration that had been given to each application and the greater transparency that the newly introduced processes provided.  Members thanked the Task and Finish Group for their hard work to develop the recommendations that allowed support to continue to be given to various organisations that contributed so significantly to the quality of life of local residents.

RecommendED:

(a)       That the community grant awards as set out in paragraph 4.1 to Report Item 6 to the Cabinet, and in more detail in Appendix 1 to that report, be approved for inclusion in the Medium Term Financial Plan;

(b)       That Citizens’ Advice New Forest (CANF) be awarded a revenue grant of £229,500 in 2019/20; and

(c)       That, in future, grant awardees be invited to a second interview with the Community Grants Task and Finish Group in July to update the Council on progress with their projects and also to be advised of alternative sources of funding should they be considering further grant applications to the Council.

The 2018/19 budget includes £121,000 for the relocation of the CCTV control room.

The scope for the use of the identified space has now been maximised to also accommodate the customer services centre, with the design including a flexible space that will be used as an incident management room to support a civil contingencies or business continuity emergency.  This space is self-contained with appropriate welfare facilities and external access to support out of hours working and incident co-ordination without impacting the rest of the building.

The expansion of the use of the space has inevitably increased the cost of the design by approximately £90,000.  These costs will be incurred in 2018/19, but will be met through the opportunities the relocation creates for more efficient ways of working (estimated at £45,000 per annum from 2019/20).  Furthermore it supports the smarter working initiative by freeing up space for a work café on the first floor where the customer service team are currently located.

RECOMMENDED:

That Cabinet approve the one-off supplementary budget request of £90,000, to meet the increased cost of relocating the CCTV Control Room, noting that this will lead to an on-going efficiency saving of £45,000 per annum.

RESOLVED:

That a one-off supplementary budget of £90,000, to meet the increased cost of relocating the CCTV Control Room, be approved noting that this would lead to an on-going efficiency saving of £45,000 per annum.

Members were advised that the 2018/19 budget included £121,000 for the relocation of the CCTV control room.  The use of the identified space had now been maximised to also include the customer services centre, with the design including a flexible space that would be used as an incident management room to support a civil contingencies or business continuity emergency.  This space was self-contained with appropriate welfare facilities and external access to support out of hours working and incident co-ordination without affecting the rest of the building.

The expansion of the use of the space had increased the cost of the design by approximately £90,000.  These costs would be incurred in 2018/19, but would be met through the opportunities the relocation created for more efficient ways of working (estimated at £45,000 per annum from 2019/20).  Furthermore it supported the smarter working initiative by freeing up space for a work café on the first floor where the customer services team was currently located.

RESOLVED:

That a one-off supplementary budget of £90,000, to meet the increased cost of relocating the CCTV Control Room, be approved noting that this would lead to an on-going efficiency saving of £45,000 per annum.

To consider and to recommend to the Council, the Council’s Capital Strategy for 2019/20, including high level spending and financing plans and associated performance indicators.  The report includes the Council’s Medium Revenue Position Statement for 2019/20.

RECOMMENDED:

That the Capital Strategy 2019/20, with effect from 1/4/19, as set out in the Appendix to Report Item 8 to the Cabinet, be approved including the adoption of the Minimum Revenue Position Statement, as set out above.

The Cabinet considered the Capital Strategy for 2019/20 which set out how capital expenditure, capital financing and treasury management came together, with an overview of current activities and the implications for future financial sustainability.  The proposed Strategy was attached as an Appendix to Report Item 8 to the Cabinet.

In addition, the Council was required to approve a Minimum Revenue Position Statement in advance of each financial year. The proposed statement was:

“For capital expenditure that has been incurred, and which has given rise to a Capital Financing Requirement, the Minimum Revenue Position policy for expenditure other than that incurred on investment property, shall be to charge revenue an amount equal to the depreciation of any asset financed by loan.  The Minimum Revenue Position policy specific to investment properties financed by loan, shall be to charge revenue an amount equivalent to the sum of borrowing utilised, over a repayment period of 50 years.”

RECOMMENDED:

That the Capital Strategy 2019/20, with effect from 1/4/19, as set out in the Appendix to Report Item 8 to the Cabinet, be approved including the adoption of the Minimum Revenue Position Statement, as set out above.

To consider and to recommend to the Council the proposed Housing Revenue Account budget, the proposed rent levels and other charges, the maintenance programme and proposed Housing Public Sector Capital Programme for 2019/20 – 2021/22.

RESOLVED:

That the proposed planned maintenance and improvement works programme for 2019/20 – 2023/24, as set out in Appendix 2 to Report Item 9 to the Cabinet, be approved.

RECOMMENDED:

That:

(a)       the HRA budget, as set out in Appendix 1 to Report item 9 to the Cabinet, be agreed;

(b)     with effect from 01 April 2019, a reduction in rents of 1% from the 2018/19 weekly rent level, in accordance with Government requirements, be agreed;

(c)     with effect from 01 April 2019, an increase of 40p per week (plus VAT where applicable) in garage rents be agreed; and

(d)     a Housing Capital Programme to 2021/22, as set out in Appendix 3 to Report Item 9 to the Cabinet, be agreed.

Members considered the proposed Housing Revenue Account (HRA) budget, the proposed rent levels and other charges, the maintenance programme and a proposed Housing Public Sector Capital Programme for 2019/20 – 2021/22.  Members recalled that a review of service charges to be applied had been considered separately under Report Item 4 on the agenda.

It was noted that this was the final year of the required reduction of 1% in housing rents and it was anticipated that in the following 5 year period increases of CPI + 1% would be allowed.  The average weekly rent for 2019/20 would be £97.93.

It was proposed that garage rents would be increased by 40 pence per week (4%), plus VAT where applicable.  Rents had remained unchanged since April 2014.

The estimated income within the Housing Revenue Account was set out in Section 3 of the report, with the proposed expenditure set out in Section 4.  This included details of any changes within the funding and expenditure streams.  The proposals represented a balanced budget with no change to the reserve balance, which would be retained at £1 million, as set out in Section 5 of the report.  The HRA Account budget was set out in Appendix 1 to Report Item 9 to the Cabinet.

The proposed maintenance programme for 2019/20, amounting to £8.095 million, together with indicative proposals for the following 4 years, was set out in Appendix 2 to Report Item 9 to the Cabinet.

The proposed Capital Programme was set out in Section 6 and Appendix 3 to Report Item 9 to the Cabinet.  The capital expenditure programme totalled £19.415 million to be met from revenue, capital receipts, the acquisitions and development reserve and government grant.  The Council’s new Housing Strategy sought to provide 600 new affordable homes during the period 2018-2026 and the Council was in a sound financial position to deliver this objective.

Members were advised that the Tenants’ Involvement Group has recognised that this represented a well-managed budget with a focus on making improvements for all tenants.

RESOLVED:

That the proposed planned maintenance and improvement works programme for 2019/20 – 2023/24, as set out in Appendix 2 to Report Item 9 to the Cabinet, be approved.

RECOMMENDED:

(a)       That the HRA budget, as set out in Appendix 1 to Report item 9 to the Cabinet, be agreed;

(b)     That with effect from 01 April 2019, a reduction in rents of 1% from the 2018/19 weekly rent level, in accordance with Government requirements, be agreed;

(c)     That with effect from 01 April 2019, an increase of 40p per week (plus VAT where applicable) in garage rents be agreed; and

(d)     That a Housing Capital Programme to 2021/22, as set out in Appendix 3 to Report Item 9 to the Cabinet, be agreed.

To consider the development of the Medium Term Financial Plan and to recommend to the Council the General Fund revenue and capital budgets for 2019/20 and the level of Band D Council Tax.

Recommended:

(a)     That there is a General Fund Net Budget Requirement in 2019/20 of £17,492,790 as set out in Appendix 5 to Report Item 10 to the Cabinet, including the transfers to and from reserves, as outlined in Appendix 5 (d) of the Report;

(b)     That the Band D Council Tax for 2019/20 shall be £173.36; and

(c)     That the General Fund Capital Programme for 2019/20 of £8.504 million, as set out in Appendix 6 to Report Item 10 to the Cabinet, be approved.

(d)     That the site licence fees and service charges at Stillwater Park be increased by 3.3% in line with RPI inflation;

RESOLVED:

That a second £500,000 release from the Smarter Working budget be approved to enable further transformation of accommodation conducive to the Smarter Working standard.

Members were reminded of the Council’s financial strategy for 2019/20, as set out in paragraphs 3.1 and 3.2 of Report Item 10 to the Cabinet and advised that the budget had been developed in accordance with this strategy.

The Medium Term Financial Plan had been updated in the light of confirmation of the provisional financial settlement from government and updated business rates retention forecasts, together with other factors, as set out in paragraphs 4.2 and 4.3 of the report, with the updated resources summary and budget requirements set out in Appendices 1 and 2 to the report.  The provisional settlement had now been confirmed, unchanged.  Overall the changes were of benefit to this Council.  Together with the effect of existing prudent financial planning, this would allow the Council to finance the ICT strategy directly from the General Fund in 2019/20 and still make a contribution to the budget equalisation reserve.  In turn, this strong financial position in 2019/20 would enable a balanced budget over the entire medium term covered by the report, as set out in more detail in Appendix 3 to the report.

The planned use of and contributions to reserves were set out paragraph 4.8 of the report.  The General Fund net budget requirement for 2019/20 was £17.493 million, as set out in Appendices 5 (a) and 5 (b) to the report, which was an increase of £250,000 against the 2018/19 budget requirement.  It was noted that savings and improved income generation of £2.28 million had been used to absorb pay and price increases across the portfolios totalling £1.009 million and also to contribute towards meeting the cost of new requirements of £1.359 million.

It was proposed that the Band D Council Tax for 2019/20 would be £173.36, an increase of £5 (2.97%) from 2018/19, with the cost to be met by council taxpayers being £12,321,458.

Members were advised that there was still uncertainty, over the medium term, as a result of the potential effects of the Fair Funding Review and the final design of the 75% business rate retention scheme.  The Council would continue to plan its budgets on a prudent basis using the latest known information.  This proactive approach had allowed a balanced budget to be developed for each year to 2022/23 and would support financial stability in the longer term.

Members were advised that a number of pay reviews would be undertaken during 2019/20 to seek to address current problems with recruitment and retention, caused in part by pay restraints between 2010 and 2018.  As a result of the potential effect of these reviews an additional sum of £100,000 had been included in the 2019/20 budget, in addition to the allowance for the agreed 2% pay increase, to meet the cost.

The proposed General Fund Capital Programme for 2019/20 totalled £8.504 million, with details set out in Appendix 6 to the report.  This included funding for the further introduction of “Smarter Working” and also the potential development of a new Council depot on council-owned land  ...  view the full minutes text for item 76.

The Council operates an extensive scheme of delegation of powers to officers in order ensure that the organisation can operate efficiently and effectively.  It is necessary to update the current scheme of delegations firstly to take account of the appointment of the new Chief Planning Officer.  In addition, an adjustment needs to be made to allow the officers involved with the Examination of the local plan to make amendments, in consultation with the Portfolio Holder, to respond within the process.

RECOMMENDED:

(a)       That the Council’s scheme of delegation of powers to officers, that are the responsibility of the Cabinet, be amended to the effect that the Chief Planning Officer be delegated the same powers, throughout, as the Executive Heads; and

(b)       That the following additional power be delegated:

RESOLVED:

(a)       That the Council’s scheme of delegation of powers to officers, that are the responsibility of the Cabinet, be amended to the effect that the Chief Planning Officer be delegated the same powers, throughout, as the Executive Heads; and

(b)       That the following additional power be delegated:

RESOLVED:

(a)       That the Council’s scheme of delegation of powers to officers, that are the responsibility of the Cabinet, be amended to the effect that the Chief Planning Officer be delegated the same powers, throughout, as the Executive Heads; and

(b)       That the following additional power be delegated: