Agenda item

(a)  Leeds City Council Revenue Budget and Council Tax 2012/13

To consider a report on the proposals for the City Council’s Revenue Budget for 2012/13 and the Leeds element of the Council Tax to be levied in 2012/13.

(b)  Capital Programme Update 2011-2014

To consider the report of the Director of Resources on the Capital Programme for the period 2011-2014.

(c)  Treasury Management Strategy 2012/13

To consider a report on the Treasury Management Policy and Strategy for 2012/13.

(Budget Papers are contained within a separate pack attached to this agenda)

(A)  Revenue Budget and Council Tax 2011/2012

Further to Minute No. 154, 14^th December 2011, the Director of Resources submitted a report on the proposals for the City Council’s Revenue Budget for 2012/2013, on the Leeds element of the Council Tax to be levied in 2012/2013 and on Council House rents for 2012/13, which had been prepared in the context of the Council’s initial budget proposals agreed by Executive Board in December 2011, the Local Government Finance settlement and the results of the budget consultation. In determining this matter, the Board took into consideration all matters contained within the accompanying report.

Whilst introducing the report, the Chair paid tribute to all of those who had been involved in preparing the Council’s budgetary proposals.

In responding to Members’ enquiries, the Board received an update in respect of the current position regarding shared services with other local authorities, and an undertaking was given that a briefing note would be provided to Group Leaders on this matter. In addition, the Board also received clarification with regard to the Capital Receipts Incentive Scheme, which was to confirm that the scheme did not apply to the sale of assets already assumed within the Capital Programme. It was also confirmed that the budget proposed did not reduce current Area Management funding.

Members welcomed the proposed Council Tax freeze for 2012-13 and requested that representations were made to the Government regarding the need for such funding from the Government to continue into future years. 

The Board highlighted the significant achievement that despite the Council’s reduced workforce in recent years, there had been no enforced redundancies.  The Chief Executive then paid tribute, both to those employees who had left the authority in recent years and also to those who remained.

Members discussed the proposed increase in the proportion of the Council’s budget which was dedicated to Children’s Services and Adult Social Care and also considered the impact of the increasing number of schools becoming academies upon the budget.

RESOLVED  -

(a)  That Council be recommended to approve the Revenue Budget for 2012/2013 totalling £563,114,000, as detailed and explained within the submitted report and accompanying papers, with no increase in the Leeds’ element of the Council Tax for 2012/13.

(b)  That in respect of the Housing Revenue Account, Council be recommended to: -

(i) approve the budget at the average rent increase figure of 6.82%;

(ii) increase the charges for garage rents to £6.93 per week;

(iii) increase service charges in line with rents (6.82%).

(B)  Capital Programme Update 2011-2014

The Director of Resources submitted a report setting out the updated draft capital programme for 2011-2014, which included forecast resources for that period. In determining this matter, the Board took into consideration all matters contained within the accompanying report.

RESOLVED –

(a)  That the following be recommended to Council:

(i)  That the capital programme, as attached to the submitted report, be approved;

(ii)  That the Executive Board be authorised to approve in year amendments to the capital programme, including transfers from and to the reserved programme in accordance with Financial Procedure Rules; and

(iii)  That the proposed Minimum Revenue Provision (MRP) policies for 2012/13, as set out within 3.7 of the submitted report and as explained at Appendix E, be approved.

(iv)  That the updated capital approval delegations in Financial procedure Rules, as shown in Appendix F to the submitted report, be approved.

(b)  That approval be given to the list of land and property sites, as shown within Appendix D to the submitted report, being disposed of in order to generate capital receipts for use in accordance with the MRP policy.

(c)  That the Director of Resources be authorised to manage, monitor and control scheme progress and commitments to ensure that the programme is affordable.

(C)  Treasury Management Strategy 2012-2013

The Director of Resources submitted a report setting out the Treasury Management Strategy for 2012/2013 and outlining the revised affordable borrowing limits under the prudential framework. In addition, the report also provided a review of strategy and operations in 2011/2012.  In determining this matter, the Board took into consideration all matters contained within the accompanying report.

RESOLVED –

(a)  That approval be given to the initial treasury strategy for 2012/13, as set out within Section 3.3 of the submitted report, and that the review of the 2011/2012 strategy and operations, as set out within Sections 3.1 and 3.2 of the submitted report, be noted.

(b)  That it be noted that the changes to CIPFA’s Treasury Management Code of Practice and cross sectoral guide and Prudential Code of practice have been adopted and implemented by the Council. 

(c)  That Council be recommended to set the borrowing limits for 2011/12, 2012/13, 2013/14 and 2014/15, as set out within Section 3.4 of the submitted report.

(d)  That Council be recommended to set the treasury management indicators for 2011/12, 2012/13, 2013/14 and 2014/15 as set out within Section 3.5 of the submitted report.

(e)  That Council be recommended to set the investment limits for 2011/12, 2012/13, 2013/14 and 2014/15 as set out within Section 3.6 of the submitted report.

(f)  That Council be recommended to adopt the revised Treasury Management Policy Statement.

(The matters referred to in parts A(a), A(b)(i) to (iii), B(a)(i) to (iv) and C(c) to (f) being matters reserved to Council were not eligible for Call In)

(Under the provisions of Council Procedure Rule 16.5, Councillor A Carter required it to be recorded that he abstained from voting on the decisions referred to within minute Nos. 189(A) and 189(B))