Issue - meetings

To review the draft budget changes identified and discuss any further changes required in order for the Council to move towards a balanced budget for 2019/2020

The Group had before it and NOTED an update on the budget * from the Deputy Chief Executive (S151) setting out the revised draft budget changes identified.

Consideration was given to the fact that the Councils position had changed positively since last reported to the Group and that the budget gap was down from £662k to £253k. He explained that the Revenue Support Grant was consistent with what was budgeted for in the draft budget.

The Governments settlement confirmed the level of increase to Council Tax which was allowed and that MDDC’s council tax could be increased by up to 3%. The settlement also gave assurance that there would be no changes to New Homes Bonus in 2019/2020 but no assurances were given after this date.

He explained the vehicle sinking fund and that the Council had a long term policy for a sinking fund to replace all vehicles which was greater for refuse and recycling vehicles. Officers had been looking to take vehicles on contract hire instead of buying them outright and this should save £150k for 2019/2020 and the sinking fund already accumulated would no longer be required.

Members asked how much was held in the existing sinking fund and what this would now be spent on if it was not required to purchase new vehicles. The Deputy Chief Executive Officer (S151) said he would bring a report on the details to the next meeting

Note: - Report * previously circulated and attached to Minutes.