Agenda and minutes
Wednesday, 15th February, 2012 2.00 pm
Venue: Council Chamber, Civic Centre
Contact: Sandra Coltman 023 8083 2430
To receive any apologies.
Apologies for absence were submitted on behalf of Councillor Drake.
Announcements from the Mayor and Leader
Matters especially brought forward by the Mayor and the Leader.
The Mayor informed Members that the Town Crier, John Melody, had pneumonia and was very ill. He had been receiving chemotherapy treatment which had been stopped for the present time, although the good news was that his tumour had shrunk. On behalf of the Council, Members joined the Mayor in wishing the Town Crier a good recovery and requested the Mayor write to him and his wife Pauline with their best wishes.
Deputations, Petitions and Public Questions
To receive any requests for Deputations, Presentation of Petitions or Public Questions.
The Council received a deputation from Nick Chaffey, Andrew Howe and Gavin Marsh on behalf of the Southampton Trade Unionists and Socialist Coalition against Cuts.
(A) GENERAL FUND CAPITAL PROGRAMME 2012/13 TO 2014/15
(B) GENERAL FUND REVENUE BUDGET 2012/13 TO 2014/15
The reports of the Cabinet Member for Resources, Leisure and Culture were submitted seeking approval to the updated Capital Programme for 2012/13 - 2014/15 together with the latest estimated overall financial position on the General Fund Revenue Budget for 2012/13 - 2014/15 and outlining the main issues that needed to be addressed in considering the Cabinet’s budget proposals. The recommendations therein as amended by Executive Budget Resolution 2012/13 to comprise the Executive’s budget proposals were moved by Councillor Hannides and seconded by Councillor Smith (copies of reports circulated with agenda and appended to signed minutes and a copy of the amended Executive Budget resolution as circulated at the meeting attached as appendix A to these minutes).
The Council agreed to suspend Council Procedure Rules 14.2, 14.4, 14.5, 14.6, 14.7, 14.8, 14.9 and 16.2:-
(i) to enable the above items to be considered together;
(ii) to enable any amendments to be proposed, seconded and considered at the same time;
(iii) to enable any amendment to be re-introduced later into the meeting; and
(iv) to revise the time allowed for speakers as follows:-
Movers of motions - 20 minutes
Seconders - 10 minutes
Other Speakers - 4 minutes
An altered amendment setting out the Labour Group’s budget proposals (Labour Budget Resolution 2012/13) was moved by Councillor Barnes-Andrews and seconded by Councillor Dr. R. Williams (copy attached as Appendix B to these minutes).
An altered amendment setting out the Liberal Democrat Group’s budget proposals (Liberal Democrat Budget Resolution 2012/13) was moved by Councillor Vinson and seconded by Councillor Turner (copy attached as Appendix C to these minutes).
UPON BEING PUT TO THE VOTE THE LIBERAL DEMOCRAT GROUP’S PROPOSALS WERE DECLARED LOST.
UPON BEING PUT TO THE VOTE THE LABOUR GROUP’S PROPOSALS WERE DECLARED LOST.
UPON BEING PUT TO THE VOTE THE EXECUTIVE’S BUDGET PROPOSALS AS AMENDED WERE DECLARED CARRIED.
RESOLVED that the General Fund Capital Programme 2012/13 to 2014/15 and the General Fund Revenue Budget 2012/13 to 2014/15, as amended by Executive Budget Resolution 2012/13 (appendix A to these minutes) be adopted.
NOTE: Councillor Parnell declared a personal, but non-prejudicial interest in the above matter, in view of being a Trustee of School Pastors, and remained in the meeting during the consideration of the matter
Report of the Cabinet Member for Housing setting out the: Housing Revenue Account Business Plan for the period 2012/13 to 2041/42; the detailed Capital Budget for 2011/12 to 2015/16 and the Revenue Budgets for 2011/12 and 2012/13, attached.
The report of the Cabinet Member for Housing was submitted seeking approval to the Housing Revenue Account Business Plan for the period 2012/13 to 2041/42 and the Revenue Budgets for 2012/13 (copy of report circulated with agenda and appended to signed minutes).
Amendment moved by Councillor Turner and seconded by Councillor Vinson:
“Add (xvi ) Approves the Housing Revenue Account Revenue Estimates as set out in Appendix 1 of the Housing Revenue Account Budget Report and Business Plan, with the amendment that the provision of £100,000 as set out in paragraph 32 which is to be utilised for other service developments such as tackling health inequalities in some of our estates and enhancing skills opportunities for our tenants which includes working in partnership with local universities also includes working with local sixth forms and colleges,”
UPON BEING PUT TO THTE VOTE THE AMENDMENT WAS DECLARED LOST.
(i) that the Tenant Association Representatives be thanked for their input to the capital and revenue budget setting process and that their views as set out in the report be noted;
(ii) that following the completion of the full financial assessment of the changes to target rents approved by Council on 16 November 2011 to:
· Confirm that the target rent for houses will be increased by 5%,
· Approve a further reduction in the target rent for flats of 0.06% (giving a total reduction of 2.96%) so that the overall average target rent for all dwellings remains unchanged,
· Approve the indexing of the £2.00 factor in the individual property rent restructuring calculation by RPI plus 0.5% from 2001/02 and the phased implementation of the amended calculation in equal instalments between 2013/14 and 2015/16,
· Confirm that from 2 April 2012, all new tenants will be charged the target rent for the property they move into,
· Confirm that in all other respects, rents should be set using the Government’s Rent Restructuring regime;
(iii) that, with effect from the 2 April 2012, the current average weekly dwelling rent figure of £69.73 be increased by 7.54%, which equates to an average increase of £5.26 per week, and that the following be approved to calculate this increase:
· That the percentage increase applied to all dwelling rents should be 6.1%, equivalent to an increase of £4.25 per week; and
· That the rent restructuring component of the increase should follow the arrangements set out in resolution (ii) above, giving an increase in average rent levels of 1.44% (£1.01 per week) and
to note that:
· The total percentage increase in individual rents will vary according to the restructured rent of their property;
(iv) that the following weekly service charges from 2 April 2012 based on the full cost recovery approach agreed by Council in November 2011 be approved:
· Digital TV £0.42 (unchanged from 2011/12)
· Concierge £1.20 (increased by £0.08 from 2011/12)
· Tower Block Wardens £4.97 (reduced by £0.14 from 2011/12)
(v) that it be noted that the service charges in supported accommodation will not change from 2 April 2012 but that these ... view the full minutes text for item 71.
Report of the Head of Finance regarding the Council’s treasury management strategy for the coming year in relation to the Council’s cash flow, investment and borrowing, and the management of the numerous risks related to this activity, attached.
The report of the Head of Finance was submitted regarding the Council’s treasury management strategy for the coming year in relation to the Council’s cash flow, investment and borrowing, and the management of the numerous risks related to this activity (copy of report circulated with agenda and appended to signed minutes).
(i) that the Council’s Treasury Management (TM) Strategy and Prudential Indicators for 2012/13, 2013/14 and 2014/15 be approved, as detailed within the report; and in particular the lowering of the minimum credit rating, as recommended by the Council’s advisors, from A+ to A- as detailed in paragraph 32 of the report be approved;
(ii) that the 2012 MRP Statement, as detailed in paragraph 47 of the report, be approved;
(iii) that the Annual Investment Strategy, as detailed in paragraphs 26-45 of the report, be approved;
(iv) that the adoption of the revised Treasury Management Code of Practice and Guidance notes and subsequent amendments, as detailed in paragraph 64 of the report, be approved;
(v) that it be noted that should the recommendations in the Capital Programme Update report change as a result of the decisions of Council on the 15th February, the Prudential Indicators may have to be recalculated;
(vi) that delegated authority continue to be granted to the Chief Financial Officer (CFO), following consultation with the Cabinet Member for Resources, Leisure and Culture, to approve any changes to the Prudential Indicators or borrowing limits that will aid good treasury management;
(vii) that the continued use of the Interest Equalisation Reserve, the creation of which was approved to help to manage the impact on annual budget decisions of volatility and the ultimate increase in interest rates which will be felt when the Council locks back into long term fixed rates, be noted.
- 023 8083 2430