Decision No: CAB117 - 02/2008

Forward Plan No: HN02760

This record relates to A03 on the agenda for the Decision-Making

RECORD OF EXECUTIVE DECISION

04/02/2008  

DECISION-MAKER:

CABINET  

PORTFOLIO AREA:

Housing and Neighbourhoods  

SUBJECT:

Housing Revenue Account Budget Report  

AUTHOR:

David Singleton  

THE DECISION

To approve the proposals / recommendations contained in the report without modification as set out below.
CABINET
(i) To consider the report and agree that the following recommendations be made to Council at the meeting on 20 February 2008.

COUNCIL
(i) To thank Tenant Association Representatives for their input to the capital and revenue budget setting process and to note their views as set out in this report.

(ii) To agree that, with effect from the 7th April 2008, the current average weekly
dwelling rent figure of £58.29 should increase by 5.8%, which equates to an average increase of £3.38 per week, and to approve the following to calculate this increase:
• That the percentage increase applied to all dwelling rents should be 4.4%, equivalent to £2.56 per week
• The revised phased introduction of the Government’s Rent Restructuring regime giving a further overall increase average rent levels of 1.4% (£0.82 per week) and,
to note that:
• The total percentage increase in individual rents will vary according to the restructured rent of their property in 2017.

(iii) To approve an increase of 5.8% in the charges for garages and parking spaces with effect from 7th April 2008.

(iv) To approve an increase in the service charges for the non-care element of warden services of 5.8% with effect from 7th April 2008
.
(v) To approve the continuation of Supporting People payment protection for a further year until the end of March 2009.

(vi) To approve the Housing Revenue Account Estimates as set out in the attached Appendix 1.

(vii) To note that rental income and service charge payments will be paid by tenants over a 48 week period.

(viii) To approve the additional funding proposed by the Cabinet Member for Housing and Neighbourhoods for disabled adaptations, crime reduction and safety and estate regeneration, as well as the new approach to the decent neighbourhoods budgets, as set out in detail in paragraph 42.

(ix) Subject to (viii) above, to approve the revised Housing Revenue Account (HRA) Capital Programme set out in Appendix 4 which includes total spending of £88.629M on work that meets the definition of “affordable housing”.

(x) To approve the use of resources to fund the HRA Capital Programme as shown in Appendix 5, including the use of unsupported borrowing in a total sum of £2.15M.
 

REASONS FOR THE DECISION

The Council’s Constitution sets out the process to be followed in preparing the Council’s budget. This process includes a requirement for the Executive to formerly submit their budget proposals for the forthcoming year to Council. The budget proposals in this report cover the HRA revenue budget and capital programme.  

DETAILS OF ANY ALTERNATIVE OPTIONS

The alternative option of not setting next year’s rent increase in accordance with the new rent restructuring as well as changes to the HRA Capital Programme and HRA Revenue Estimates have been discussed with the tenant representatives. It was noted that setting a lower increase in 2008/09 would result in higher increases in subsequent years. The recommendations contained in this report reflect the tenants’ views and priorities set out in the latest HRA business plan and stock options appraisal.  

OTHER RELEVANT MATTERS CONCERNING THE DECISION

CONFLICTS OF INTEREST

The decision-maker(s) did not declare a personal or prejudicial interest in the matters set out in the report  

CONFIRMED AS A TRUE RECORD:

We certify that the decision this document records was made in accordance with the Local Authorities (Executive Arrangements) (Access to Information) (England) Regulations 2000 and is a true and accurate record of that decision.

Date:

Decision Maker:

04/02/2008

Cabinet

Proper Officer:

Judy Cordell

SCRUTINY

Note: This decision will come in to force at the expiry of 5 working days from the date of publication subject to any review under the Council's Scrutiny 'Call-In' provisions.

Call-In Period

05 February 2008 to 12 February 2008

Date of Call-in (if applicable) (this suspends implementation)

Call-in Procedure completed (if applicable)

Call-in heard by (if applicable)

Results of Call-in (if applicable)