Agenda and decisions

Members are asked to declare any interests in the items under consideration and in doing so state:

(1) the type of interest concerned either a

(a)   personal interest

(b)   prejudicial interest

(c)    disclosable pecuniary interest (DPI)

and

(2) the nature of the interest concerned

If any member requires advice on declarations of interests, they are advised to contact the Head of Democratic Governance in advance of the meeting.

The Executive agreed the recommendations as outlined above namely:

1. To note the report.

2.      To continue to lobby central government (HM Treasury, Ministry of Housing, Communities and Local Government, Department for Transport, Department for Digital, Culture, Media and Sport, Department for Business, Energy and Industrial Strategy and Department for Education in particular) along with local authority peers and networks and the Local Government Association for the funding necessary to cope with the demands and new burdens presenting as a result of both Covid and within Children’s Services.

3.      To require the respective directors and Director of Resources to continue to closely monitor and manage service financial and operational performances, specifically Growth and Prosperity, Children’s Services and Strategic Leisure Assets and also the 3 Wholly Owned Companies that are facing the biggest impact from the Covid pandemic these being Blackpool Transport Services (BTS), Blackpool Entertainment Company Limited (BECL) and Blackpool Operating Company Limited (BOCL).

4.      To agree that the 2020/21 pressure of £8,832k relating to Growth and Prosperity will be funded from Earmarked Reserves in 2020/21 and the schemes slipped to 2021/22 plans which will be reflected in month 10 financial monitoring and is consistent with the General Fund Budget Report 2021/22 to be reported to the Executive on 8 February 2021.  

To report the level of spending and exposure against the Council’s Revenue budgets and reserves and balances for the first 9 months to 31 December 2020.

The Executive agreed the recommendations as outlined above namely:

1. To note the report.

2.      To continue to lobby central government (HM Treasury, Ministry of Housing, Communities and Local Government, Department for Transport, Department for Digital, Culture, Media and Sport, Department for Business, Energy and Industrial Strategy and Department for Education in particular) along with local authority peers and networks and the Local Government Association for the funding necessary to cope with the demands and new burdens presenting as a result of both Covid and within Children’s Services.

3.      To require the respective directors and Director of Resources to continue to closely monitor and manage service financial and operational performances, specifically Growth and Prosperity, Children’s Services and Strategic Leisure Assets and also the 3 Wholly Owned Companies that are facing the biggest impact from the Covid pandemic these being Blackpool Transport Services (BTS), Blackpool Entertainment Company Limited (BECL) and Blackpool Operating Company Limited (BOCL).

4.      To agree that the 2020/21 pressure of £8,832k relating to Growth and Prosperity will be funded from Earmarked Reserves in 2020/21 and the schemes slipped to 2021/22 plans which will be reflected in month 10 financial monitoring and is consistent with the General Fund Budget Report 2021/22 to be reported to the Executive on 8 February 2021.  

To consider and recommend to Council for approval the Capital Strategy for 2021/22 to 2023/24 incorporating the Property Investment Strategy for 2021/22, once approved this document will form part of the Council’s Budget Framework.

The Executive resolved as follows:

To recommend to the Council to approve the Capital Strategy 2021/22 to 2023/24 incorporating the Property Investment Strategy 2021/22.

To consider and recommend to Council for approval the 2020/21, 2021/22 and 2022/23 Capital Programme. Once approved this document will form part of the Council’s budget framework.

The Executive resolved as follows:

To recommend to Council:

1. To approve the Capital Programme for 2021/22 as set out at Appendices A and B.

2. To agree the Single Capital Pot approach as outlined in Section 4 with a top slice of 12.5% to allow for investment in key priority areas and overspends that are not otherwise fundable (reference paragraph 4.2).

3. To approve the Capital Prudential Indicators as identified in Appendix C.

4. To agree that Executive approvals will continue to be required for all Prudential Borrowing schemes (reference paragraph 3.1).

To consider and recommend to Council the revised Minimum Revenue Provision Policy 2020/21. Once approved form this will part of the Council’s budget framework.

The Executive resolved as follows:

1. To recommend that the Council approves the revised Minimum Revenue Provision Policy 2020/21 set out within Appendix 5b, to the Executive report.

2. To recommend to the Council that in approving the revised Minimum Revenue Provision Policy Council endorses the following amendments which had been included in the document:

1. The Council has accepted the principle that any capital receipts which it determines in future should be set aside in order to reduce the outstanding amount of capital debt liability may, if desired, be taken to represent a debt liability reduction that has been made in lieu of a corresponding amount of prudent provision that would otherwise have been made in a particular financial year.  Any such setting aside of capital receipts will not, however, apply to those capital receipts which represent the repayment of loan principal amounts in respect of loans made in earlier financial years which have been treated as capital expenditure, but not subjected to an Minimum Revenue Provision charge.

2. The policy changes reflected above will in future be represented as a new local Option for the ongoing determination of an amount of Minimum Revenue Provision which is considered each year to be prudent. 

3. In respect of new capital debt liability incurred after 1st April 2008, the Authority’s Policy continues to adopt the principles outlined in Option 3 (asset life method) that are exemplified in the Minimum Revenue Provision Guidance, whereby the liability will be charged over a period that is reasonably commensurate with that over which the new capital expenditure is estimated to provide a benefit to the Authority.

4. Any credit arrangements or expenditure treated as capital expenditure under Direction or Regulation will either have Minimum Revenue Provision determined under Option 3, or otherwise related to the estimated life of the underlying asset.   For example, a loan granted to a third party towards “capital expenditure” will, where Minimum Revenue Provision is considered to be necessary, be related to the life of the asset towards which the financial assistance is being provided.

5. Whether any charges are appropriate for this type of activity after taking account of the different powers available to it.

6. Minimum Revenue Provision will not be charged (voluntarily) on any Part II (Housing Revenue Account related) housing debt.

7. Minimum Revenue Provision will not be charged on loans made to wholly owned subsidiaries or other third parties where such loans are treated as capital expenditure in cases where there are satisfactory and supportable repayment obligations attached to those loans. Unlike other types of capital receipt, the capital receipts that will arise from these repayments will be set aside generally or specifically to reduce the outstanding amount of capital debt liability in respect of these loans.  The anticipated receipts will be kept under review on an annual basis in order to ensure that the deferment of Minimum Revenue Provision remains prudent.

8. Following the identification of savings in respect of financial years 2004/05 – 2018/19, totalling £23.808m, (in respect of an increase of £34.743m to  ...  view the full decision text for item 5.

To consider and recommend to the Council the Treasury Management Strategy 2021/22. Once approved this document will form part of the Council’s budget framework.

The Executive resolved as follows: 

To recommend to the Council:

1. To approve the Treasury Management Strategy 2021/22 including both the Borrowing and Investment Strategies which are set out in Annex C and Annex D to this report.

2. To adopt the Treasury Management Policy Statement, the three key principles and four clauses taken from CIPFA’s Treasury Management in Public Services Code of Practice and Cross Sectoral Guidance Notes (2017 Edition) and set out in Annex B to this report.

3. To approve the revised Prudential Indicators and limits for 2020/21 and the new Prudential Indicators and limits for 2021/22 – 2023/24 which are set out in Annex E to this report.

4. To approve the Minimum Revenue Provision Policy Statement for 2021/22, which will ensure a prudent Minimum Revenue Provision charge in the annual statement of accounts. The policy is set out in Annex F to this report.

To consider and recommend to Council the General Fund Revenue Budget 2021/22. Once approved this document will form part of the Council’s budget framework.

The Executive resolved as follows:

1. To recommend to Council to agree the savings of £350,000 identified in Appendix 2 through Service improvements through the integration of Environmental and Cleansing services into Enveco (Blackpool Waste Services Limited).

(Councillor Kirkland having declared a prejudicial interest left the room during consideration of this decision.)

2. To recommend to Council the level of net expenditure for the draft General Fund Revenue Budget 2021/22 of £149,062,000 (ref. paragraph 6.2)

3. To recommend to Council a level of budget savings of £19.95m (£20.3m minus £350,000 already approved in decision 1) (ref. paragraphs 7.1 and 7.2 and Appendix 2)

4. To recommend to Council that the Chief Executive be authorised to take any necessary steps to ensure all staffing savings are achieved (ref. paragraph 8.1)

5. To recommend to Council that the target level of working balances remains at £6m (ref. paragraph 10.4)

6. To consider any further facts, information and stakeholder feedback which may emerge and report the details to the meeting of the Executive on 25th February 2021.

To consider approving a consultation exercise on a proposed Conservation Area in Layton.

The Executive agreed the recommendation as outlined above namely:

To approve the carrying out of a public consultation on proposals to designate a Layton Conservation Area.