The Chair to advise the Committee of any items on which members of the public have requested to speak and advise those members of the public present of the details of the Council’s public participation scheme.
For those members of the public who have submitted any questions or statements, please note, a three minute time limit applies to each speaker and you will be asked to speak before Councillors debate the issue.
Minutes:
Mr Alan Debenham made the following statement:-
To hear PM Johnson Commons’ blather, especially at PMQs on Wednesdays, you’d think his “get it done” Brexit golden age of fantastic new opportunities was with us, instead we witness the opposite:-
· continued tight Local Government austerity despite big 4% Council Tax rise yet again and no attempt to restore any services previously butchered - fundamental review of unfair Council Tax, based on 1991 valuations, is needed;
· virtually no significant extra bus, bike, and rail investments yet, despite jocular Johnson’s recent extra £5.5 bn centrally pledged support - maybe (?) re-instate recent savage cuts to local routes and timetables, and review old Beeching cuts including new Wellington station;
· nebulous promise of 20,000 extra police on the beat met by 137 last year for Avon & Somerset and probably the same this year, but paid for largely by 10% increase in police Council Tax levy last year and another extra 4% this year;
· road potholes and roadside waste dumping still forever growing;
· promises tackling climate emergency still much more Johnson fantasy, particularly related to recent storms and flood prevention, and urgent need for an end to GDP/economic growth and new development only tied to this (so says Greta Thunberg and Extinction Rebellion) - this Council's actions still in the pipe-line and underpinned by only £75.000
earmarked in the budget.
Mr Nigel Behan spoke on agenda item 12, Capital, Investment and Treasury Management Strategies 2020/21 and made the following statement:-
Question 1
Paragraph 1.4 (Appendix)
Notes:
“SWTC has recent and emerging plans that are expected to see a significant increase in capital investment both in the short term and longer term, related to housing, regeneration and commercial investment to generate essential income to fund local services and priority projects. This will see growth in assets held on the balance sheet and a related growth in borrowing need. The Council actively pursues access to other sources of capital such as bids for government grant funding, and private sector investment where appropriate, and plans to utilise the majority of available New Homes Bonus income and Community Infrastructure Levy towards the Capital Programme.”
And Paragraph 3.5 (Appendix) notes:
“The implications of financing capital expenditure from borrowing is that the expenditure is not funded immediately but charged to the revenue budget over a number of years. The Council may defer the timing of external borrowing on a short to medium term by using temporary cash resources held in reserves and balances. This practice, which is referred to as ‘internal borrowing’, does not reduce the magnitude of borrowing required or the level of funds held in reserves and balances; the funds are merely being utilised in the short term until they are required for their intended purpose. The timing of external borrowing and the balance of external / internal borrowing is determined by market conditions and the Council’s cash flow position. Officers manage this position on a day to day basis in line with the overall Treasury Management Strategy.”
Can clarification be provided on the relative scale of “internal borrowing” (“….using temporary cash resources….”) by days/weeks/months in terms of magnitude of cash (flow) and movements of cash (external borrowing averted-temporarily?
Question 2
Section 5 (appendix) Commercial Investments – Property
“5.1 The Council invests in a diverse investment property portfolio both locally and nationally with the intention of generating surplus income that will be spent on local public services delivered within the district. This is an essential response to significant reductions in government funding over recent years, in order to meet service delivery objectives and the place making role of the Council, and avoid service cuts. The council plans to increase its investment by up to £100m over the next 2-3 years.”
The government (and CIPFA) expressed some concern about Local Councils investing in Commercial Property etc.
How much property (commercial property assets) does SWT hold in other Local Authority areas (by valuation and in comparison with SWT property held in the District Council area) and similarly how much property/assets do other Local Authorities hold in the SWT District Council area?
Question 3
Where will the “borrowing” for investment come from (as the PWLB – Public Work Loan Boards interest rates were recently uplifted by the Government and reported as “PWLB rate hike sends shockwaves through council finance sector”?