Agenda item

This matter is the responsibility of Executive Councillor for Corporate Resources, Councillor Ross Henley.

The report sets out the draft budget estimates for 2021/22, Medium Term Financial Plan (MTFP) forecasts, and 2021/22 Capital Programme and the proposed sources of funding.

During the discussion, the following points were raised:-

·       The Portfolio Holder for Corporate Resources proposed a further recommendation to add two one-off budgets into the budget proposals:-

-      The first was for £100,000 towards further tree planting across the district; and

-      The second was for £100,000 towards a Community Enhancement Fund to help support the community across Somerset West and Taunton following the impact of the Covid Pandemic. 

Both were seconded by the Leader and became part of the substantive motion.

·       Councillors thanked the Portfolio Holder for Corporate Resources and the Finance Team for all their hard work on producing a balanced budget.

·       Councillors queried how long it would be before the Somerset Rivers Authority (SRA) became a precepting body.

The Section 151 Officer would report back with an update as to when the SRA would be able to administer their own precept.

·       Councillors highlighted that the Taunton Chartered Trustees had to charge a precept for the Unparished Area of Taunton until the Governance Review had been completed.

·       Councillors were pleased that Somerset County Council had taken back the cost of the Park and Ride, which then enabled Somerset West and Taunton to spend the money on community enhancement especially after the Covid Pandemic.

·       Councillors queried whether the £200,000 saving from the Park and Ride would be for this financial year only.

The Section 151 officer advised that he did not expect the saving to go any further than this financial year.

·       Councillors queried why the Watchet East Quay Development Loan had been included in appendix B and requested an explanation.

The Portfolio Holder for Corporate Resources clarified that the existing budget was originally approved by West Somerset Council, and provided a ‘last resort’ funding option to the developer if they were unsuccessful in fully funding the works from other sources. At this stage no loan had been provided, and was unlikely to be needed as the developer had been very successful in obtaining other funding, but it was sensible to retain the facility in case it was needed to complete the development as it moved through to completion. If a request for loan finance was forthcoming it would be subject to the usual due diligence at the time. He further explained that this was separate to the £5m of grant funding awarded to the developer from the Coastal Communities Fund for the project. Whilst this was not Council funds, the grant was administered by the Council as the accountable body, to reimburse the developer based on actual costs incurred.

·       The Chair of Scrutiny advised that the Committee had discussed the budget at length and highlighted the amount of work involved for officers to produce the budget, however, the Committee wanted to ensure that services could be delivered upon.

·       Concern was raised that too much reliance had been placed on the Commercial Investment Strategy.

The Leader of the Council advised that the Executive had been prudent with their decisions which had also been backed by the Section 151 Officer.  The Chief Executive also advised that officers and the Board were cautious in their decision making and he wanted to reassure councillors that they had even been audited and found that they had strong and robust processes in place.

·       Concern was raised on Taunton and that as the county town, it had lost a sense a vibrancy.  Councillors queried what could be done about this.

The Portfolio Holder for Economic Development and Asset Management advised that the Economic Development Team were working hard to engage with traders and event organisers to ensure the balance of activity was right for the town.  The Team were also working on a policy to ensure this was carried out.

·       The Leader of the Council stated that it had been a tough year and advised that the funding provided by Government had not been as much as the Council required.  She appreciated all the comments and concerns that had been raised but assured councillors that she wanted to continue to provide services of a high standard within the area.  The Leader of the Council commended the budget and its ambition.

Resolved that the Executive:-

2.1Noted the S151 Officers Statement on the robustness of the budget and adequacy of reserves as set out in section 17;

2.2Recommended Full Council approved the Draft Revenue Budget expenditure, savings and income targets, subject to any final adjustments as may be required for new information prior to Full Council (such as the NNDR1 final estimates and the Final Finance Settlement);

2.3Recommended to Full Council a basic band D council tax of £169.63, comprising £167.88 for services and £1.75 on behalf of the Somerset Rivers Authority;

2.4Recommended Full Council approved the new capital schemes of the General Fund Capital Programme Budget of £3,116,980 for 2021/22, £2,033,980 for 2022/23 and the asset for sale target of £2,472,720, as set out in Table 11;

2.5Recommended that Full Council delegated authority to the Chief Executive, in consultation with the S151 Officer, to allocate the £813,000 one-off grant funding to meet COVID-related exceptional service costs and income losses during 2021/22;

2.6Recommended that Full Council approved the transfer of £2.4m from General Reserves to an earmarked reserve to create a Budget Volatility and Risk fund for 2021/22 financial year; and

2.7Recommended Full Council approved a continued policy of suspending parking charges, as detailed below, on the three Saturdays leading up to Christmas and on one Sunday in Dulverton in line with previous years, to support local economies;

a)    Free parking would apply from 15:00 to 23:59 on the three Saturdays (subject to car park opening hours) in Taunton Car Parks.

b)    Free parking would apply all day; from 00:00 to 23:59 on the three Saturdays (subject to car park opening hours) in all other Council owned Car Parks.

c)    (c)  Free parking would apply all day; from 00:00 to 23:59 on one Sunday (subject to car park opening hours) in Dulverton Car Parks to support the Dulverton by Starlight events.