Decision details

The Budget report details the County Council’s revenue budget, the level of council tax proposed for 2020/21, the nature of its expenditure, income and savings for a balanced budget.  It will also outline the County Council’s Capital Programme to cover the period 2020/21 to 2024/25, which will update the programme previously agreed by County Council.

 

 

Cabinet will be asked to endorse the Revenue Budget and Capital Programme for approval at County Council on 14 February 2020.

96.1     The Cabinet Member for Finance moved the report on the Revenue Budget 2020/21, Capital Strategy 2020-25 and Treasury Management Strategy Statement 2020/21.

 

96.2     An amendment was moved by Dr Walsh and seconded by Ms Lord.

 

‘Revenue Budget 2020/21

 

Changes to the Revenue Budget	2020/21	2020/21	2021/22	2021/22
	Growth £m	Reduction £m	Growth £m	Reduction £m
Ongoing changes
Reverse the proposed cut to the post-16 support service that provides interventions and careers guidance for young people Not in Education, Employment or Training (NEETs).	0.100
Continue the ESIF funding for the post-16 support service that ceases on 31 December 2020.	0.057		0.173
Reverse Local Assistance Network (LAN) budget cut agreed by Cabinet at its meeting in December 2019 (decision report CAB05 (19/20)).	0.100
Fund two additional posts to accelerate progress to tackle the climate change emergency: Climate Change Emergency Lead Officer at around £75-80k pa on-costed, to coordinate the corporate response to the climate change emergency, internally and develop joint working with others, especially districts and boroughs.  Data & Information Officer at around £40-45k pa on-costed, reporting to Climate Change Lead Officer.	0.120
Fund two additional officer posts and consultancy support to explore opportunities for improvements in sustainable travel.  One post to work on Enhanced Bus Quality Partnerships and with the Transport for South East on regional franchising and another post to drive forward work on new cycling schemes to include the feasibility of delivering a mini Holland concept in West Sussex.	0.150
Reduce the Communications budget by 35% in 2020/21 and a further 11% in 2021/22 (Communications 2020/21 net budget is £1.519m).		0.527		0.173
Total ongoing changes	0.527	0.527	0.173	0.173
Total changes	0.527	0.527	0.173	0.173

 

96.3     The amendment was put to a recorded vote under Standing Order 3.36.

 

(a)         For the amendment – 13

 

Mr Buckland, Dr Dennis, Mr Jones, Ms Lord, Mrs Millson, Dr O’Kelly Mr Oppler, Mr Oxlade, Mr Purchese, Mr Quinn, Mr Smytherman, Ms Sudan and Dr Walsh.

 

(b)         Against the amendment - 41

 

Mr Acraman, Lt Cdr Atkins, Mr Baldwin, Mr Barling, Mr Barnard, Mr Barrett-Miles, Mrs Bennett, Mr Boram, Mr Bradbury, Mr Bradford, Mr Burrett, Mr Catchpole, Mr Crow, Mr Edwards, Mr Elkins, Mr Fitzjohn, Ms Goldsmith, Mrs Hall, Mr High, Mr Hillier, Mr Hunt, Mrs Jupp, Mr Jupp, Ms Kennard, Mr Lanzer, Mr Lea, Mr Marshall, Mr McDonald, Mr Mitchell, Mr Montyn, Mr R J Oakley, Mr S J Oakley, Mr Patel, Mrs Pendleton, Mrs Purnell, Mrs Russell, Mrs Sparkes, Mrs Urquhart, Mr Waight, Mr Whittington and Mr Wickremaratchi.

 

(c)          Abstentions – 3

 

Mrs Jones, Mrs Kitchen and Mr Turner.

 

96.4     The amendment was lost.

 

96.5     The Labour amendment 1 was moved by Mr Jones and seconded by Mr Oxlade.

 

‘Revenue Budget 2020/21

 

Proposed changes to the Revenue Budget	Growth £m	Reduction £m
Ongoing changes to the Revenue Budget
Reverse Local Assistance Network (LAN) budget cut agreed by Cabinet at its meeting in December 2019 (decision report CAB05 (19/20)).	0.100
Reverse proposed cut to post-16 support service that provides interventions and careers guidance for young people Not in Education, Employment or Training (NEETs).	0.100
Reverse proposed reduction to library opening hours at seven libraries to close at 6pm instead of 7pm (decision report CAB04(19/20)).	0.070
Fund an additional post to increase participation with home library direct and digital library plus.	0.035
Pilot the partial opening of Crawley and Burgess Hill libraries on 50 Sundays from 10am-2pm.	0.085
Reinstate urban grass cutting from five up to seven cuts per year at £55,000 per cut.	0.110
Provide additional resource within highways repairing road signs (around 30 jobs per month /360 per year), as well as additional resource to refresh line-painting on around 50km of the network.	0.235
Funding for a dual diagnosis link worker (1fte post) to take a lead on the high-level findings of the Drug Death Audit specifically in relation to supporting adults with co-existing substance misuse and mental health needs.	0.060
Funding to increase the capacity of therapist time to support children of alcohol dependant parents to meet the demand currently not being met.	0.050
Climate Change Lead Officer to coordinate the corporate response to Climate Change, internally and develop joint working, especially with districts and boroughs.	0.080
49% reduction in the Communications budget		0.749
50% reduction in the Lieutenancy budget		0.035
50% reduction in the Policy budget		0.141
Total ongoing changes to the Revenue Budget	0.925	0.925
One-off changes to the Revenue Budget
Funding to boost the night-time economy in town centres by supporting feasibility work, further development work where this has been completed or building partnerships to develop and manage night-time economy activities. Subject to equivalent match funding by districts and boroughs, this would provide a maximum of £40,000 available to spend on jointly agreed priorities in each district or borough area.	0.140
Reprioritise drawdown from the Economic Growth Reserve, which is ‘Held to deliver the Economic Growth Plan 2018-2023.’ Projected balance as 1 April 2020 is £1.297m.  The reserve is committed to programmes of work to achieve priorities such as:   ·      mature workforce programme; ·      creative digital sector growth programme for coastal towns; ·      economy, business and skills benefits from digital infrastructure investment activities working with the districts and boroughs; ·      growth of the low carbon economy in support of the Council’s Climate Pledge, including match funding for a significant external funding bid; and ·      boosting research, development and innovation in West Sussex businesses to address productivity and growth challenges, including match funding for a significant external funding bid. Allocations against other priorities from within this reserve could put achievement of these priorities at risk.		0.140
Total one-off changes to the Revenue Budget	0.140	0.140
Total changes to the Revenue Budget	1.065	1.065

Capital Programme

 

Changes to the Capital Programme	Growth £m	Reduction £m
Invest in road safety to deliver a reduction in the number of people killed and seriously injured on West Sussex roads.	5.000
Increase Investment Property Fund.	7.000
Reallocation of corporate funding for A29 realignment. This will mean not completing the A29 realignment works.  Delivery of the A29 southern extension is a firm commitment within the Arun local plan.  The site for the housing associated with the road has been allocated as has the line of the road.		12.000
Total changes to the Capital Programme	12.000	12.000

 

96.6     The revenue proposals in the Labour amendment 1 were put to a recorded vote under Standing Order 3.36.

 

(a)         For the amendment – 12

 

Dr Dennis, Mr Jones, Ms Lord,Mrs Millson, Dr O’Kelly Mr Oppler, Mr Oxlade, Mr Purchese, Mr Quinn,Mr Smytherman, Ms Sudan andDr Walsh.

 

(b)          Against the amendment - 42

 

Mr Acraman, Lt Cdr Atkins, Mr Baldwin, Mr Barling, Mr Barnard, Mr Barrett-Miles, Mrs Bennett, Mr Boram, Mr Bradbury, Mr Bradford, Mr Burrett, Mr Catchpole, Mr Crow, Mr Edwards, Mr Elkins, Mr  Fitzjohn, Ms Goldsmith, Mrs  Hall, Mr High, Mr Hillier, Mr Hunt, Mrs Jones, Mrs Jupp, Mr Jupp, Mrs Kitchen, Mr Lanzer, Mr Lea, Mr  Marshall, Mr McDonald, Mr  Mitchell, Mr Montyn, Mr R J Oakley, Mr S J Oakley, Mr  Patel, Mrs Pendleton, Mrs Purnell, Mrs Russell, Mrs  Sparkes, Mrs  Urquhart, Mr  Waight, Mr Whittington and Mr Wickremaratchi.

 

(c)          Abstentions – 1

 

Mr Turner.

 

96.7     The amendment was lost.

 

96.8     The capital proposals in the Labour amendment 1 were put to a recorded vote under Standing Order 3.36.

 

(a)         For the amendment – 5

 

Mr Buckland, Mr Jones, Mr Oxlade, Mr Quinn and Ms Sudan.

 

(b)          Against the amendment - 44

 

Mr Acraman, Lt Cdr Atkins, Mr Baldwin, Mr Barling, Mr Barnard, Mr Barrett-Miles, Mrs Bennett, Mr Boram, Mr Bradbury, Mr Burrett, Mr Catchpole, Mr Crow, Dr Dennis, Mr Edwards, Mr Elkins, Ms Goldsmith, Mr High, Mr Hillier, Mr Hunt, Mrs Jupp, Mr Jupp, Ms Kennard, Mrs Kitchen, Mr Lanzer, Mr Lea, Ms Lord, Mr Marshall, Mr McDonald, Mrs Millson, Mr Mitchell, Mr Montyn, Mr R J Oakley, Mr S J Oakley, Mr Patel, Mrs Pendleton, Mrs Purnell, Mrs Russell, Mr Smytherman, Mrs Sparkes, Mrs Urquhart, Mr Waight, Dr Walsh, Mr Whittington and Mr Wickremaratchi.

 

(c)          Abstentions – 4

 

Mr Fitzjohn, Dr O’Kelly, Mr Oppler and Mr Purchese.

 

96.9     The amendment was lost.

 

96.10  The Labour amendment 2 was moved by Mr Jones and seconded by Mr Oxlade.

 

‘Capital Programme

 

	2020/21	2020/21	2021/22	2021/22
Changes to the Capital Programme	Growth £m	Reduction £m	Growth £m	Reduction £m
Increase funding to ensure the re-build of Woodlands Meed is delivered by September 2022. (Total cost of £18.6m, takes account of £1.0m in the programme for 2020/21 and £5m for 2021/22)	8.500		4.100
Total changes to the Capital Programme	8.500		4.100

Revenue impact of the changes to the Capital programme

Accelerating the capital programme for Woodlands Meed increases revenue costs by about £0.7m in 2021/22, £0.8m in 2022/23 and £0.6m in 2023/24.  Thereafter, the capital programme already provides for the cost of Woodlands Meed.

 

Note: The Director of Finance and Support Services had been advised of the proposed amendment and had indicated that it could not have her endorsement as the change to the capital profiling would be misleading to the public by giving an impression that a capital project would be delivered within a set timescale whereas that can only be determined by the project plan for the scheme which, in this instance, has not been developed.

 

96.11  The Labour amendment 2 was put to a recorded vote under Standing Order 3.36.

 

(a)         For the amendment – 13

 

Dr Dennis, Mr Jones, Mr Lea, Ms Lord, Mrs Millson, Dr O’Kelly, Mr Oppler, Mr Oxlade, Mr Purchese, Mr Quinn, Mr Smytherman, Ms Sudan and Dr Walsh.

 

(b)         Against the amendment - 41

 

Mr Acraman, Lt Cdr Atkins, Mr Baldwin, Mr Barling, Mr Barnard, Mr Barrett-Miles, Mrs Bennett, Mr Boram, Mr Bradbury, Mr Bradford, Mr Burrett, Mr Catchpole, Mr Crow, Mr Edwards, Mr Elkins, Ms Goldsmith, Mrs Hall, Mr High, Mr Hillier, Mr Hunt, Mrs Jones, Mrs Jupp, Mr  Jupp, Ms Kennard, Mrs Kitchen, Mr Lanzer, Mr Marshall, Mr McDonald, Mr Mitchell, Mr Montyn, Mr R J Oakley, Mr S J Oakley, Mr Patel, Mrs Pendleton, Mrs Purnell, Mrs Russell, Mrs Sparkes, Mrs Urquhart, Mr Waight, Mr Whittington and Mr Wickremaratchi.

 

(c)          Abstentions – 2

 

Mr Buckland and Mr Fitzjohn.

 

96.12  The amendment was lost.

 

96.13  The recommendations were put to a recorded vote under Standing Order 3.36.

 

(a)         (a)     For the recommendations – 43

 

Mr Acraman, Lt Cdr Atkins, Mr Baldwin, Mr Barling, Mr Barnard, Mr Barrett-Miles, Mrs Bennett, Mr Boram, Mr Bradbury, Mr Bradford, Mr Burrett, Mr Catchpole, Mr Crow, Mr Edwards, Mr Elkins, Ms Goldsmith, Mrs Hall, Mr High, Mr Hillier, Mr Hunt, Mrs Jones, Mrs Jupp, Mr Jupp, Ms Kennard, Mrs Kitchen, Mr Lanzer, Mr Lea, Mr Marshall, Mr McDonald, Mr Mitchell, Mr Montyn, Mr R J Oakley, Mr S J Oakley, Mr Patel, Mrs Pendleton, Mrs Purnell, Mrs Russell, Mrs Sparkes, Mr Turner, Mrs Urquhart, Mr Waight, Mr Whittington and Mr Wickremaratchi.

 

(b)         Against the recommendations - 0

 

(c)          Abstentions – 14

 

Mr Buckland, Dr Dennis, Mr Fitzjohn, Mr Jones, Ms Lord, Mrs Millson, Dr O’Kelly, Mr Oppler, Mr Oxlade, Mr Purchese, Mr Quinn, Mr Smytherman, Ms Sudan and Dr Walsh.

 

96.14  The recommendations were carried.

 

96.15  Resolved –

 

That, taking account of the priorities contained in the approved West Sussex Plan, the Medium Term Financial Strategy, the Provisional Local Government Finance Settlement and the results of internal and external consultation, the following items be approved:

 

(1)     An increase in council tax in 2020/21 comprising:

·         2.00% for Adults’ Social Care, plus

·         1.99% to support other General Fund services

·         making a total increase of 3.99%

(2)     Net revenue expenditure in 2020/21 of £593.857m (as set out in paragraph 5.1 and Appendix 1).

(3)     (a)     Capital Strategy, setting out capital expenditure and proposed method of financing for the core programme and the income generating initiatives (which will be subject to their own business cases) for the period 2020/21 to 2024/25, as set out in Annex 2(a).

          (b)     Flexible Use of Capital Receipts Strategy, outlining how the Council proposes to use the flexibility to apply capital receipts to fund transformation projects, as set out within the Capital Strategy, Annex 2(a), section 7.

(c)     Treasury Management Strategy Statement 2020/21, as set out in Annex 2(b).

                   (d)     Prudential Indicators, as set out in Annex 2(c).

(4)     The Director of Finance and Support Services’ assessment of the robustness of estimates and adequacy of reserves (Section 7).

(5)     The following amounts be approved for the financial year 2020/21 in accordance with Section 42A of the Local Government Finance Act 1992:

(a)     That the budget requirement to meet net expenditure of the County Council for the financial year 2020/21 is £593.857m, and the council tax requirement for 2020/21 is £485.691m.

(b)     That the following sums be payable for the year into the County Council’s revenue fund:

Business Rates Retention Scheme	£85.110m
New Homes Bonus Grant	£3.713m
Social Care Support Grant	£17.343m
Net surplus from District and Borough Collection Funds	£2.000m

(c)     The council tax base for the year 2020/21 is the aggregate amount calculated by the billing authorities to which the County Council issues precepts totalling 337,580.90Band D equivalents.

(d)     The amount of council tax being the budget requirement at 5(a) above, less the amounts receivable in 5(b) above, all divided by the council tax base at 5(c) above, shall be £1,438.74 to the nearest penny for Band D.

(e)     The amount of council tax payable for dwellings listed in a particular valuation band, calculated in accordance with the proportion set out in Section 5(1) of the Act, shall be as follows:

Band	Amount	Band	Amount
A	£959.16	E	£1,758.46
B	£1,119.02	F	£2,078.18
C	£1,278.88	G	£2,397.90
D	£1,438.74	H	£2,877.48

(f)     That the district and borough councils be requested to make payments totalling £485.691m to West Sussex County Council of sums due under precepts calculated in proportion to their council tax Band D equivalents as follows:

Adur District Council	£30,762,275.44
Arun District Council	£89,552,932.56
Chichester District Council	£77,883,744.04
Crawley Borough Council	£51,524,013.01
Horsham District Council	£90,682,343.46
Mid Sussex District Council	£88,786,947.38
Worthing Borough Council	£56,498,888.18

(g)     That the district councils be required to make payments of precept by equal instalments of the above sums due on or before:

6 April 2020	5 May 2020	5 June 2020
6 July 2020	5 August 2020	7 September 2020
5 October 2020	5 November 2020	7 December 2020
5 January 2021	5 February 2021	5 March 2021

        

(h)     Additionally, it is noted that payments be made by the district and borough councils (or to them) in respect of the estimated surplus/(deficit) on their collection funds on 31 March 2020:

	Council Tax *	Business Rates *
Adur District Council
Arun District Council
Chichester District Council
Crawley Borough Council
Horsham District Council
Mid Sussex District Council
Worthing Borough Council

(*Figures from districts and borough councils being verified)

(6)     The delegation to the Director of Finance and Support Services of authority to make changes to the report on net revenue expenditure or to the precepts required:

·      as a result of a change in the council tax base notified by the district and borough councils;

·      arising from updated information from the district and borough councils to the council tax collection funds and business rates forecast and collection funds; or

·      arising from any funding announcements from central government.

 

All such changes of funding (positive or negative) to be applied through the Budget Management Reserve.