Agenda item

Financial Update

Minutes:

A report by the Executive Director Finance and Public Protection had been circulated.

 

It was moved, and seconded

 

That the County Council:

 

1.    Note the carry forwards set out in paragraph 1.2 of the report;

 

2.    Approve the proposed carry forwards of over and underspending set out in paragraph 1.3 of the report;

 

3.    Note the transfers to and from reserves summarised in Table A of the report and position of earmarked reserves as at 31 March 2014 summarised in Table B of the report;

 

4.    Note the position in relation to general reserves set out in paragraph 1.7 and Table C of the report;

 

5.    Note performance against the Prudential Indicators for 2013/14 as set out in paragraphs 1.8 and 1.9 and Table D of the report; and

 

6.    Approve the proposed in year budget change for 2014/15 set out in paragraphs 1.10 to 1.11 of the report.

 

 

Notice of two amendments was received.

 

An amendment was moved and seconded by the Labour Group as follows:-

 

"In the High Court on 17th July the decision by the Executive on the 3rd December 2013 was quashed. This means that the decision to cut the libraries is not legally valid. Despite this there has been no move by the Conservative led administration to restore the library service to the position before 3rd December.

 

To rectify this failure the Labour Group proposes the following amendment to the Financial Update Report.

 

In paragraph 1.3 bullet point 5, replace “A transfer of £24.738m into the financial volatility reserves.” with “A transfer of £24.444m into the financial volatility reserves.”

 

The £294,000 difference will be then be available for additional revenue spending for 2014/2015. 

 

The effect of this change would reduce the financial volatility reserve from the £43.006 million as proposed in the report to £42.712 million.

 

The policy would be to use the increase in revenue funding to reinstate library access to what it was prior to the decision taken in December 2013. Following that decision there were major cuts to opening hours of virtually all our libraries and in particular there was a reduction of 40% in the opening hours of the 30 libraries threatened with closure and the loss of many mobile library stops.

 

This additional funding could not only reopen libraries but also provide for the leasing of a large new library vehicle to bring back the mobile library services that have been lost.

 

By using this money to reopen Libraries the Council would be acting legally while new consultations take place about the future of libraries and consideration is given to the Greenwich Leisure proposal.

 

The Council therefore resolves to approve the recommendations set out in the Financial Update Report with the following exceptions

 

a) to transfer £24.444m into the financial volatility reserves rather than £24.738m.

 

b) to recommend to the executive that it uses the £294,000 then available to reinstate the library service to what it was before they took the unlawful decision in December 2013."

 

An amendment was moved and seconded by the Lincolnshire Independents as follows:-

 

"Paragraph 1.3 bullet point 5, replace "a transfer of £24.738m into the financial volatility reserves" with "a transfer of £12.738m into the financial volatility reserve"

 

Upon being put to the vote, the first amendment was lost.

 

Upon being put to the vote, the second amendment was lost.

 

RESOLVED

 

1.    That the carry forwards set out in paragraph 1.2 of the report be noted;

 

2.    That the proposed carry forwards of over and underspending set out in paragraph 1.3 of the report be approved;

 

3.    That the transfers to and from reserves summarised in Table A of the report and position of earmarked reserves as at 31 March 2014 summarised in Table B of the report be noted;

 

4.    That the position in relation to general reserves set out in paragraph 1.7 and Table C of the report be noted;

 

5.    That performance against the Prudential Indicators for 2013/14 as set out in paragraphs 1.8 and 1.9 and Table D of the report be noted; and

 

6.    That the proposed in year budget change for 2014/15 set out in paragraphs 1.10 to 1.11 of the report be noted.

 

 

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