Budget Council – 22 February 2024

List of Motions and Amendments to be Proposed

Conservative Amendment to the Budget proposals.

To be moved by Cllr Steward as follows:

Revenue Budget

In relation to the Executive’s recommendations on the revenue budget (paragraph 7 of page 68 of Council papers refers):

In sub paragraph (c) add at the end of the sentence ‘subject to the following amendments;

· £25k investment in community tool library

· £200k increase in highways maintenance budget

· £18k increase in growth for revenue cost of capital

· Remove £50k growth for Equalities

In sub paragraph (d) add at the end of the sentence ‘subject to the following amendments;

· Reversal of saving PLA13 garden waste charge - £720k

· Reversal of saving CHS02 home to school transport - £0k in 24/25

· Reversal of saving CAC08 reduction in civic support - £10k

· Reversal of saving CAC10 Explore Contract - £300k

· Delete Assistant Director posts - £144k

· Delete post in Democratic Governance - £55k

· Delete post in Economic Growth - £50k

· Delete budget for Our City - £60k

· Reduce Committee Chair allowances by 50% - £34k

· Reduce Executive Special Responsibility Allowances by 25% - £57k

· Remove the corporate policy team - £105k

· Remove the communications team - £198k

· Reduce overtime budget - £100k

· Delete Political Assistant posts - £90k

· Further centralise Housing, Childrens. Adults calls - save in management costs - £30k

In paragraph 7 (ii) third line, delete ‘4.99%’ and replace with ‘4.49%’.

In paragraph 7 (v) delete and replace with;

Note the increase in social care funding of £1.525m and recommend that £800k of this be used to fund one-off investment with the balance of £725k being allocated to existing pressures

For information, the effect on the original motion of this amendment would be as follows:

Revenue Budget

1. Executive recommends that Council:

i. Approves the budget proposals outlined in the Financial Strategy report and in particular;

a) The net revenue expenditure requirement of £149.268m

b) A council tax requirement of £113.927m

c) The revenue growth proposals as outlined in the body of the report, subject to the following amendments;

· £25k investment in community tool library

· £200k increase in highways maintenance budget

· £18k increase in growth for revenue cost of capital

· Remove £50k growth for Equalities

d) The 2024/25 revenue savings proposals as outlined in annex 2, subject to the following amendments;

· Reversal of saving PLA13 garden waste charge - £720k

· Reversal of saving CHS02 home to school transport - £0k in 24/25

· Reversal of saving CAC08 reduction in civic support - £10k

· Reversal of saving CAC10 Explore Contract - £300k

· Delete Assistant Director posts - £144k

· Delete post in Democratic Governance - £55k

· Delete post in Economic Growth - £50k

· Delete budget for Our City - £60k

· Reduce Committee Chair allowances by 50% - £34k

· Reduce Executive Special Responsibility Allowances by 25% - £57k

· Remove the corporate policy team - £105k

· Remove the communications team - £198k

· Reduce overtime budget - £100k

· Delete Political Assistant posts - £90k

· Further centralise Housing, Childrens. Adults calls - save in management costs - £30k

e) The fees and charges proposals as outlined in annex 3

f) The Housing Revenue Account (HRA) 24/25 budget set out in annex 5

g) The Dedicated Schools Grant (DSG) proposals outlined from paragraph 139

ii. Notes that the effect of approving the income and expenditure proposals included in the recommendations would result in a 4.49% increase in the City of York Council element of the council tax, 2% of which would relate to the social care precept.

iii. Approves the 100% increase in council tax on second homes with effect from 1st April 2025 subject to the Levelling Up bill receive Royal Assent by 31st March 2024, as set out in paragraphs 75 to 77.

iv. Approves the change to charge a 100% premium on homes that have been empty for 1 year with effect from 1st April 2024, as described in paragraph 78.

In addition, following a recent announcement, Council is recommended to:

v. Note the increase in social care funding of £1.525m and recommend that £800k of this be used to fund one-off investment with the balance of £725k being allocated to existing pressures.

vi. Note the increase in services grant of £76k and that this be allocated to the contingency.

Reason: To ensure a legally balanced budget is set

Capital Budget 2024/25 to 2028/29

In relation to the Executive’s recommendations on the capital budget (paragraph 8 of page 69 of Council papers refers):

In paragraph 8 (i), first linedelete ‘£395.186m’ and replace with ‘£395.386m’

In paragraph 8 (i), second linedelete ‘£56.409m’ and replace with ‘£56.609m’

Under paragraph 8 (i), insert new sub paragraphs:

(e) Include a new scheme to invest £200k in the purchase of one pothole lorry.

In paragraph 8 (ii), second linedelete ‘£28.378m’ and replace with ‘£28.578m’

In paragraph 8 (iii), second linedelete ‘£395.186m’ and replace with ‘£395.386m’

For information, the effect on the original recommendation of this amendment would be as follows:

1) The Executive is requested to recommend that Council:

i. Agree to the revised capital programme of £395.386m that reflects a net overall increase of £56.609m (as set out in table 2 and in Annex 1). Key elements of this include:

a) New schemes funded by prudential borrowing totalling £3.353m as set out in table 3;

b) Extension of prudential borrowing funded Rolling Programme schemes totalling £25.025m as set out in table 4;

c) Extension of externally funded Rolling Programme schemes totalling £6.030m as set out in table 5 and new schemes funded by external grants totalling £3.844m as set out in table 5;

d) An increase in HRA funded schemes totalling £18.157m funded from a combination HRA balances/capital receipts as set out in table 6;

e) Include a new scheme to invest £200k in the purchase of one pothole lorry

ii. Note the total increase in Council borrowing as a result of new schemes being recommended for approval is £28.578m the details of which are considered within this report and the financial strategy report.

iii. Approve the full restated programme as summarised in Annex 2 totalling £395.386m covering financial years 2024/25 to 2028/29 as set out in table 12 and Annex 2

Reason:     In accordance with the statutory requirement to set a capital budget for the forthcoming financial year.

Capital and Investment Strategy

43. Executive recommends that Council:

i. Approve the Capital and Investment Strategy at Annex A

Reason: To meet the statutory obligation to comply with the Prudential Code 2017

Treasury Management Strategy Statement and Prudential Indicators

44. Executive recommends that Council approve;

i. The proposed treasury management strategy for 2024/25 including the annual investment strategy and the minimum revenue provision policy statement;

ii. The prudential indicators for 2024/25 to 2028/29 in the main body of the report;

iii. The specified and non-specified investments schedule (annex B)

iv. The scheme of delegation and the role of the section 151 officer (annex D)

Reason: To enable the continued effective operation of the treasury management function and ensure that all council borrowing is prudent, affordable and sustainable.