Council Minutes

Council Minutes

Date:
Monday 4 March 2013
Time:
7:00 p.m.
Place:
Council Chamber, Town Hall, Middlesbrough
 

Attendance Details

Present:
Bloundele (Chair), R Mallon (The Mayor), Councillors Arundale, Biswas, Brady, Brunton, Budd, Carr, Clark, Cole, Coppinger, Cox, Davison, Hanif, Harvey, Hawthorne, C Hobson, J Hobson, Hubbard, Hudson, Hussain, Junier, Kerr, P Khan, Loughborough, Lowes, Mawston, McIntyre, McPartland, McTigue, Mrs H Pearson, G Purvis, P Purvis, Rehman, Rooney, Rostron, Sanderson, Saunders, P Sharrocks, Taylor, J A Walker, N J Walker, Williams
Officers:
J Bennington, A Hoy, J Lewis, R G Long, M Robinson, G Rollings, J Shiel and P Slocombe.
Apologies for absence:
S Khan, Morby, J Sharrocks and Thompson
Declarations of interest:

There were no declarations of interest made at this point of the meeting.

Item Number Item/Resolution
PUBLIC
12/89 ADJOURNMENT

In accordance with Council Procedure Rule 21.5 the Chair adjourned the meeting for approximately ten minutes whilst order was regained following general disturbance by a public demonstration which prevented the commencement of the meeting.

12/90 REVENUE BUDGET 2013/2014

Council received and considered a report, presented by the Mayor, which provided details of the proposed Revenue Budget for 2013/2014 as recommended by the Executive at its meeting held on 21 February 2013.

 

The proposed budget had been subject to extensive consultation with appropriate stakeholders and took account of agreed budget strategies and proposals announced to Council by the Mayor on 22 October 2012 and to subsequent amendments presented to Council at meetings held on 18 December 2012 and 20 February 2013.

 

The report included a schedule of reductions by services totalling £12, 657,000 as shown in Appendix A; a draft Revenue Budget requirement for 2013/2014 of £140,400,000 as set out in Appendix B; and an Equality Impact Assessment as outlined in Appendix C of the report submitted.

 

Subsequent to the circulation of the report the Council had been informed that the precept for Nunthorpe Parish would remain at £7,000 rather than that previously assumed in the report at £5,800. Such a figure had been taken into account in respect of the Revenue Budget and reflected in the recommendations as outlined in the addendum circulated at the meeting.

 

The Mayor stressed that at the time of the Government's announcement of austerity measures in October 2010 it was believed that the Council would be required to find savings of approximately £50 million. Owing to slow economic growth and further public borrowing such a figure had risen to at least £73 million. In addition to the £12.6 million budget cuts for 2013/2014 it was considered likely that further savings amounting to £32 million would have to be found in 2014/2015 to 2015/2016.

 

Over the past two and half years there had been 549 job reductions with potentially a further 175 jobs in 2013/2014 and an estimated 600 posts in the following two years.

 

The Mayor stated that every endeavour had been made to protect frontline services and, where possible, ensure that the needs of the most vulnerable, the elderly and young people would still be met. 

 

Members commented on the overall economic circumstances and concurred with the Mayor on the areas of concern highlighted. Speaking in support of the proposed Revenue Budget 2012/2013 Members also referred to the reasoning for the suggested increase in Council Tax.

 

Several Members expressed concern at specific budget proposals and also suggested areas for further examination.  

 

The Mayor reiterated the need to set a balanced budget and specifically referred to the consultation process involving the Trade Unions with particular regard to the complex issue of moving all staff to plain time rates of pay.

 

Moved, seconded and following a vote it was ORDERED as follows:-

 

1. That the budget reductions outlined at Appendix A of the report submitted be approved.

 

2. That the budget requirement for 2013/2014 (including Parish Precepts) is set at £140,401,500 as detailed in Appendix B of the report submitted.

 

3. That a further report be presented to the Executive early in 2013/2014 Municipal Year.

12/91 2013/2014 PRUDENTIAL INDICATORS, INVESTMENT AND TREASURY MANAGEMENT AND MINIMUM REVENUE PROVISION POLICY

Council received and considered a report presented by Councillor Budd, Deputy Mayor and Executive Member for Resources requesting approval for the adoption of the 2013/2014 Prudential Indicators, Annual Investment and Treasury Management, and Minimum Revenue Provision Policies.

 

The key objectives of the Prudential Code were to ensure, within a clear framework, that the Council’s Capital Programme was affordable, prudent and sustainable and that treasury management decisions were taken in accordance with good professional practice.

 

Reference was made to the Prudential Code which introduced guidance regarding the way in which surplus funds were invested and also included a requirement for the Council to approve an Annual Investment Strategy.

 

An indication was also given of further guidance in relation to how local authorities set aside some of their revenues as provision for debt repayment and required authorities to prepare an annual statement of their policy on determining the Minimum Revenue Provision. 

 

The Prudential Indicator Statement; Annual Investment Strategy and Treasury Management Policy Statement 2013/2014; and the Minimum Revenue Provision Policy 2013/2014 were appended to the report submitted.

 

The report had been considered and endorsed by the Executive at its meeting held on 21 February 2013.

 

Moved, seconded and ORDERED as follows:-

 

1. That the range of Prudential Indicators for 2013/2014 contained within the Statement attached at Appendix A to the report submitted and incorporated in the Council’s Minute Book be approved.

 

2. That responsibility for monitoring and reporting on the Council’s position on the range of Prudential Indicators contained within the Statement be delegated to the Director of Strategic Resources.

 

3. That the Annual Investment Strategy and Treasury Management Policy Statement attached at Appendix B to the report submitted and incorporated in the Council’s Minute Book be approved.

 

4. That the annual Minimum Revenue Provision Policy as set out in Appendix C to the report submitted and incorporated in the Council’s Minute Book be approved
 

12/92 MORTGAGE INTEREST RATE 2013/2014

Council received and considered a report presented by the Deputy Mayor and Executive Member for Resources requesting Council approval to set the Local Average Interest Rate for the six-month period commencing 1 April 2013 to 30 September 2013.

 

Moved, seconded and ORDERED as follows:

 

1. That the Local Average Interest Rate for the period 1 April 2013 to 30 September 2013 be set at 4.56%.

 

2. That the rate be used for all Housing Mortgages for the period stated in recommendation 1 above.

12/93 COUNCIL TAX 2013/2014

Council received and considered the recommendations of the Executive requesting approval to set Council Tax levels for 2013/2014. The Executive at its meeting held on 21 February 2013 had considered and recommended that the Council approve the proposed Middlesbrough Council Tax levels subject to the receipt of Cleveland Police and Crime Commissioner and Cleveland Fire Authority precepts, details of which were now incorporated within the table below and shown in the revised report circulated to all Members. The revised report took account of the Precept for Nunthorpe Parish which the Council had been informed would remain at £7,000 rather than that previously assumed at £5,800.

 

Members concurred with the Mayor's comments regarding the issues taken into account in setting the Council Tax levels for 2013/2014.  Several Members, however, spoke against the proposed increase in the level of Council Tax for 2013/2014 and suggested other areas where additional savings could be achieved.

 

Moved, seconded and following a vote it was ORDERED as follows:-

 

1. That having taken into account the matters set out in Section 32 of the Local Government Act 1992 and in particular the items set out in paragraph 11 to the report submitted in respect of the Council’s expenditure the following be approved:-

 

(a) that the basic amount of Council Tax for 2013/2014 is £1,597.23 being the average Council Tax for the whole of the Borough;

 

(b) that the basic amount of Council Tax in those areas of the Council to which no special items relate is £1,596.82;

 

(c) that the basic amount of Council Tax in areas with special items is:-

 

     Nunthorpe Parish £1,601.11
    Stainton & Thornton Parish £1,608.32.

 

(d) that the amounts of Council Tax for each category of dwelling in its area, in accordance with Section 30 of the Local Government Finance Act 1992 is as follows:-

 

Band  Proportion   Areas without   Nunthorpe     Stainton &

                                 Parishes                                    Thornton

                                 £                          £                       £

 

A         6/9                887.1873           890.0467        894.8518

B         7/9            1,035. 0518        1,038.3879     1,043.9937

C         8/9            1,182. 9163        1,186.7290     1,193.1357

D         1               1,330. 7809        1,335.0701     1,342.2776

E         11/9          1,626.5100         1,631.7523     1,640.5615

F         13/9           1,922.2391        1,928.4346     1,938.8455

G         15/9          2,217.9681         2,225.1168    2,237.1294

H         18/9          2,661.5618         2,670.1402    2,684.5553

 

 2. That having taken into account the precepts issued by the Cleveland Fire Authority and the Cleveland Police and Crime Commissioner in accordance with appropriate Local Government Finance Legislation, the Council hereby sets for the financial year beginning 1 April 2013 the following amounts for each category of dwelling in its area:-

 

Band   Proportion   Areas without    Nunthorpe    Stainton &

                                  Parishes                                    Thornton

                                  £                           £                     £

A          6/9                1,064.55             1,067.41        1,072.21

B         7/9                 1,241.97             1,245.31        1,250.91

C         8/9                 1,419.40             1,423.21        1,429.62

D         1                    1,596.82             1,601.11        1,608.32

E         11/9               1,951.67             1,956.91        1,965.72

F          13/9               2,306.53             2,312.72        2,323.14

G         15/9               2,661.37             2,668.52        2,680.53

H         18/9               3,193.64             3,202.22        3,216.64

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