Agenda item

To consider a report on the 2009/2010 Budget.

The Borough Treasurer provided the Panel with a financial overview of the budget as well as highlighting key budget assumptions and the impact that the economic downturn, which the Country was currently experiencing would have on Cheshire East Council.

In considering the report Members of the Panel raised the following issues:

(i)              It was queried why there was a difference between Cheshire East and Cheshire West and Chester of £30 million pounds in terms of the Formula Grant allocated to each of the Authorities. This is due to the fact that the East has a much higher Council Tax Base and therefore has a different funding package.

(ii)             It was queried what the time limit for paying back the transitional costs was.  The Borough Treasurer confirmed that the aim is for transitional costs to be paid back within 3 years, although the maximum pay back is within 5 years.

(iii)            In relation to the figures on page 10 of the report it was queried whether the healthy nature of the figures was as a result of the sale of properties in the West.  This was confirmed as correct.

(iv)           It was queried why the Capital Programme spend started at 94.7 million pounds in 2009-10 and then decreased dramatically to 48.0 million pounds for 2011-12.  It was noted that the figures contained within the report reflected existing commitments to each of the Authorities.  This could increase as new schemes were considered.

(v)             It was queried whether or not a number of policies in relation to waste collection service, economic development, land allocation, transport links and so forth were being addressed by the new Authority.  There was concern that nothing of substance was being promised.  In response to the above issues raised the Borough Treasurer confirmed that these issues would need to be considered and that a substantial amount of information would need to be brought together.

(vi)           It was queried if there would be greater Member involvement in the budget setting process in the future.  It was noted that next year the budget setting process would commence earlier and it was the intention of the Authority to involve Members and other Stakeholders in the process.

(vii)          It was queried if there would be greater Member involvement in the setting of the Capital Programme.  Again it was confirmed that this would be the case.

(viii)         In respect of page 12 of the report it was requested that under the bullet point relating to Stronger Communities the word ‘assets’ be inserted after the word ‘decision-making’.  This request was agreed.

(ix)           In respect of the first two paragraphs on page 20 of the report further explanation was sought on the differences between capital spend and revenue spend.  The Borough Treasurer acknowledged that further details on the differences between capital and revenue spend could be incorporated into future reports.

(x)             In respect of page 23 of the report concern was expressed that no reference had been made to litter or graffiti in areas for investment. 

(xi)           In respect of page 26 of the report clarification was sought as to who had authorised a review of CCTV for the three existing Authorities.

(xii)          In respect of the third bullet point down on page 37 of the report, further clarification was sought as to where finances would be spent on crime and reducing anti-social behaviour.

(xiii)         In respect of the fourth bullet point on page 28 it was requested that this be expanded to provide further detail.  In response it was noted that each Authority had its own ICT support system.  Eventually the proposal would be to establish would be to create one system by bringing together all of the current systems.  It was hoped that people would be able to work collectively together under one location using ICT system in order to support the operation of the Council.  Location would be an issue and as a result a review across the board was currently being undertaken.

RESOLVED

That the report be received and noted.