To consider the initial draft 2021/22 Budget and options available in order for the Council to set a balanced budget.
Minutes:
The Committee had before it, and NOTED, a * report of the Deputy Chief Executive (S151) requesting that the Cabinet review the revised draft budget changes identified and discuss any further changes required in order for the Council to move towards a balanced budget for 2021/22.
The Deputy Chief Executive (S151) outlined the contents of the report stating that the figures before members were a current snapshot of where the Council was at the current time, the deficit was down to £490k but that there was more work to do.
He stated that work was ongoing and outlined the key movements and assumptions shown within the report highlighting the Government income protection, the Autumn Statement, the funding settlement, the New Homes Bonus and the Lower Tier Service Grant.
He explained the Capital Programme for 2021-2022 which showed an initial total of £17.3m (including the HRA) and included significant projects including the Housing Infrastructure Schemes, 3 Rivers Development Projects and Housing Development Schemes.
In response to a question asked about the pooling dividend, the Deputy Chief Executive (S151) explained to Members that the Council had been part of a Devon wide business rates pool for a number of years. The aim of the scheme was that Devon authorities pooled the benefits and losses to mitigate individual authority exposure. Although MDDC had always realised a small benefit from the scheme in the past he had not factored in a benefit for 2021-2022.
Consideration was given to:
· That all FiT payments were recycled into additional renewable projects
· How the £490k budget gap may be bridged
· That there was public consultation on the Council’s budget
· That there was a cap on the amount that Council Tax could be increased
Note: *Report previously circulated and attached to the minutes
Supporting documents: