·
To select appropriate items from the Cabinet agenda for pre-decision
scrutiny (cabinet reports enclosed for Scrutiny Members)
Decision:
Budget
2024/25
Following
scrutiny, the recommendation was supported to Cabinet.
Third
Sector Grant Funding - Award of Grants for 2024 – 2025
Following
scrutiny, the amended recommendation was supported to Cabinet.
Minutes:
Budget
2024/25
Members
considered the report as circulated within the Cabinet agenda pack.
The
Chief Executive outlined the challenging budget position for2024/25. An extensive
exercise has been carried out for increasing income and decreasing expenditure
for the year, whilst maintaining jobs and services within the Council. It was
noted that Welsh Government have published the provisional settlement prior to
the meeting. The proposed settlement for 2024/25 is going to worsen the budget
position beyond what is detailed within the report. The intention is for
officers to carry out an assessment in readiness for January to formally report
on the analysis undertaken on the impact of the provisional budget. Further,
how the Council can further bridge the increased gap in the Council’s resources
for 2024/25.
Members
queried why the request for permission to consult has been considered late in
December and why it was not sought earlier so that consultation could begin
sooner? Officers confirmed that they have been working to ensure that all
income generation and expenditure proposals were fully explored before
consultation begins.
Officers
have consulted on some specific proposals within the report. Officers outlined
which items have been out to public consultation. Where things, have been able
to go out to consultation earlier, this has been done.
Members
queried items in the budget which indicate covering core expenditure from
grants, and if this would have a knock-on effect in delivering front line
services. Officers advised that it was for individual consideration by
directorates and about ensuring that the grant was maximised for full use
within the budget.
Members
raised the current inflation and pay award ongoing concerns and queried if the
4% provision in the budget was sufficient. Officers advised that the 4% has
been benchmarked with the other 21 local authorities in Wales and it is
consistent with others forecast. Officers were confident that this would be
sufficient.
Page
2 of the report which indicates that the budget supports local policy
initiatives prioritised by the Rainbow Coalition. These initiatives are
referring to those that have been agreed within the Corporate Plan.
Page
4 outlines a £3.5m gap. Officers advised that this is the £3.5m which was used
to balance the 23/24 budget which now needs to be placed within this year's
budget.
Page
11 refers to delivering local and Welsh Government policies. Members queried if
there are there any policies planned to come from Welsh Government that we know
are not going to be funded. Officers advised that they were not aware of any at
the moment. However, it was noted that the overall settlement doesn’t fund what
we currently require.
Officers
confirmed that the 7.5% increase in income receipts, assumes that each income
line with have a 7.5% increase, however it would be up to individual
directorates to determine how they achieve this. For example, it could be a
mixture of increased charges and increase in volume.
Members
queried, based on the change in the revenue grant indicated by Welsh Government
0.3%, members queried what this looked like for the gap created and an
indication with regards to what council tax would need to be to close that gap.
Officers confirmed that the decrease would present a gap of an additional
£870,000, based on the model presented.
Members
queried how much of the revenue budget is contingency budget. Officers outlined
the contingency in relation to the pay award and energy efficient budget.
However indicated that there is an overall contingency of £700,000.
Members
queried the amount in general reserves about the recommended amount. It was
indicated that there could be approximately £1m however due to the overspend in
year currently projected, officers advised that there would unlikely be any
contingency in general reserves.
Members
noted that there is a broad objective indicated to reduce civic centres from
three to two. A large saving could be made through the reduction of energy
costs. Officers advised that this was still broadly the objective and it is the
intention that a report will be brought back in the new year with options for
members to consider.
In
relation to Env 12/13 it notes the termination of public access and rights
agreement and the termination of license agreement in reference to Neath canal,
members queried what was meant by this. Officers advised that currently there
is a license agreement with the owner of the canal to enable use for leisure
purposes of a section of the canal north of Resolven and also a public access
agreement to the Southern end of the canal going through Briton Ferry to enable
access to the tow path. The cost of the two licenses is £135,000 per year.
Officers confirmed that NPT have extensive rights of way along the tow path however
there are gaps. NPT officers will need to establish whether or not they can demonstrate
in the gap that there is a right of way argument to put forward to the owner to
secure that status or whether NPT could just have a public access agreement. Therefore,
instead of paying the owner of the canal to maintain the area, this is incorporated
as part of NPT’s maintenance schedule.
Members
suggested there is a risk that public access right could be lost along the
active travel route established in Briton Ferry. Officers advised that there
are a number of routes which have permissive active rights. Officers will explore
all options to try and ensure that those routes are maintained.
In
relation to street lighting, the Chief Executive confirmed that this would be a
separate consultation to the budget consultation.
Members
outlined their concerns with regards Celtic Leisure and the postponement of
bringing the service inhouse. Further, that a business plan has not yet been explored
and put forward in relation to this item. The Leader outlined the steps that
had been taken to liaise with staff on the decision to defer the date to bring
the service back in house. The Cabinet Member confirmed that a business case
was drawn up however due to a number of items changing that fell outside the control
of the Council, for example rising energy costs, it was unable to proceed.
Officers
referred to page 26 of the report, specifically L4, which sets out over the
lifespan of the medium term financial plan a proposal to reduce the running
costs of Celtic Leisure to a total sum of £660,000. In terms of fixed costs, officers
confirmed that when the service is insourced, there will be associated additional
costs of £1.3m, relating to rates and staff costs.
Officers
confirmed the business plan was worked on last year, when the timeframe
indicated that Celtic Leisure would be insourced 1st April 2023.
When the decision was taken to delay the insourcing, the business plan was deferred.
It was confirmed that when the Council is ready to insource, the business plan
will be brought forward.
Following
scrutiny, the recommendation was supported to Cabinet.
Third
Sector Grant Funding - Award of Grants for 2024 – 2025
Officers
confirmed that since the report was published it has been confirmed that a number
of organisations have submitted the same bids for funding into several funding
pots. The NPT scheme is a pot of last resort not first resort. All bids for
funding should be accessing other pots first. The outcomes of other bids need
to be determined before this award is considered. Only two of the organisations
listed will be recommended for award.
Members
queried why there were two options presented and the background for the rationale
behind this. Officers confirmed due to the general funding position there was
an over subscription to the fund. The options outlined the choices to members.
The
Chair confirmed the officer amended recommendation
‘that the granting (identified in Appendix 1 to the circulated report) to Canolfan
Maerdy and Ystalyfera Development Trust, be approved, and it be noted that the
additional requests for grants be brought to a future meeting of Cabinet in
January 2024 for determination by Members.’
Following
scrutiny, the amended recommendation was supported to Cabinet.