Decision details

Matter for Decision

 

      i.          This report updates the financial context for budget setting and presents GF budget proposals and allocations of general reserves for scrutiny (Appendix 1).

    ii.          Following scrutiny and the completion of the budget consultation, the GF budget setting report (BSR) will be produced for consideration by The Executive on 5 February 2024 and recommendation to Full Council for 15 February 2024.

 

Decisions of Executive Councillor for Finance and Resources

 

The Executive Councillor is asked to:

 

      i.          Approve the GF revenue and capital proposals as presented in Appendices B(a), B(b), and C, pages 16 to 23, of the attached report, for inclusion in the GF BSR.

 

     ii.          Note the impact of the revenue proposals on the five year savings requirement identified in the GF Medium Term Financial Strategy (MTFS), section 3 page 9.

 

   iii.          To approve for inclusion in the GF BSR:

 

· the creation of the Civic Quarter Development Reserve with the remit set out in section 5, pages 11 and 12.

· the allocation of £20m of general reserves to this new reserve.

· the allocation of £750k of general reserves to the Climate Change Fund, as set out in section 5, page 11.

 

Reason for the Decision

 

As set out in the Officer’s report.

 

Any Alternative Options Considered and Rejected

 

Not applicable.

 

Scrutiny Considerations

 

The Committee received a report from the Chief Finance Officer.

 

The Chief Finance Officer, City Services Director, the Assistant Chief Executive, The Leader, the Executive Councillor for Finance and Resources, the Executive Councillor for Open Spaces and City Services, the Executive Councillor for Planning, Building Control and Infrastructure and the Council’s representative on the Cambridge and Peterborough Combined Authority (CPCA) said the following in response to Members’ questions:

 

      i.          Reserves were being brought forward for substantial Capital schemes.

     ii.          The title Civic Quarter was a working title. It encompasses the refurbishment of the market and the Corn Exchange. That coincided with successful bid to the CPCA with a contribution of £1.5 million. Council required to prepare an outline business case. All government arrangement would be reported to 29 January Committee.

   iii.          The Guildhall would also be refurbished as part of the Council’s accommodation strategy.

   iv.          £20 million would be earmarked for Civic Quarter project, the funding arrangements are currently confidential due to competitive tender. This would be reported in due course.

    v.          Business rates retention scheduled to be reset in 2025/2026, however need to campaign for it to continue to Government.

   vi.          Central provision had been reduced. There was approximately £300,000 remaining.

 vii.          Income had reduced at the crematorium. Mitigations in place include:

·       Entering into new markets.

·       Partnering with other District Councils.

·       Partnering with the Rosie bereavement.

·       Would reduce operational costs.

viii.          Reduced income from Market, however Cambridge was considered a successful market. Mitigations in place include:

·       Cutting down fixed costs.

·       Encourage traders to manage their own waste.

·       Reviewing electricity usage.

·       Exploring satellite markets.

·       Would review casual trading policy which may boost occupancy.

   ix.          There was a green burial option at the crematorium, it was advertised on the Councils website however there had been a low take up.

    x.          Recruiting younger market stall holders was a national problem.

   xi.          There was a dedicated team of 3-4 people who operate the market service and who seek new customers.

 xii.          The purpose of £50,000 contribution to Innovate Cambridge from the Council was assisting with the University and affiliated business’s goal to promote Cambridge as a city and to support local residents and communities. Chief Executive of Cambridge City Council Robert Pollock sat on the Innovate Cambridge board.

xiii.          The removal of the bus subsidy was due to the confidence that the Council had that the CPCA would take it over. It was currently in the proposed budget of the CPCA.

xiv.          The bus subsidy of the CPCA was not conditional on additional precept. That was something that has already been factored into budget.

xv.          Allotment income had increased not due to an increase in fees but due to an increase in plots.

xvi.          There was a 7% increase in fees and charges for events. The number of events on open spaces would remain the same.

xvii.          The number of events taking place on open spaces is constrained by the event policy. There was still an opportunity for councillors to provide feedback on what events take place during scrutiny committee.

xviii.          The priorities for use of Donkey Common uses were still a work in progress.

xix.          Resources would be provided for the District Heat Network project and Energy Efficiency works and retrofit on the Council’s corporate assets.

 

 

The Scrutiny Committee approved the recommendations by a vote of 6-1 (2 abstentions).

 

The Executive Councillor for Finance and Resources approved the recommendations.

 

Conflicts of Interest Declared by the Executive Councillor (and any Dispensations Granted)

 

No conflicts of interest were declared by the Executive Councillor.