Decision details

Amended Budget 2020/21

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Decision:

Decision:

 

Cabinet recommends to Council:

 

1)    An increase in the salary and member allowances budgets of an additional 0.75% in order to meet the national pay agreement for 2020/21 of 2.75%.

2)    The draft proposed budget amendments for the 2020/21 budget framework contained within the Cabinet Member for Finance and Resources report and associated appendices subject to the following amendments:

 

                    i.          The Bourne Corn Exchange refurbishment to fully utilise the £168,000 allocated budget.

                   ii.          The £200,000 replacement of the Deepings all weather pitch to be deferred until 2021/22 provided agreement is reached with the football foundation.

                 iii.          To adjust the Commercial and Operations service cost to apply a 5%market supplement for loader and operational street scene staff to align their basic wage with that of the surrounding authorities. This will require a £93,000 adjustment to the Commercial and Operations service cost shown at table 3 of the report, increasing the 2020/21 proposed service budget to £8.727m (thereby increasing the proposed service variance to £1,319,000) and adjusting the general funding net budget requirement from £20.581m to £20.674m). The forecast net budget deficit will be £1,315,000 as shown at table 3 of the report.

 

Considerations/Reasons for decision:

 

  • Report of the Cabinet Member for Finance on the Amended Budget Proposals 2020/21.
  • The impact of Covid-19 on the budget set by Council on 2 March 2020.
  • Budget monitoring undertaken by the Finance, Economic Development and Corporate Services Overview and Scrutiny Committee.
  • Discussion of the proposed amended budget by the Joint Budget Overview and Scrutiny Committee held on 26 August 2020.
  • The allocation of £500m funding from the Government, of which £194,000 would be received by the Council.
  • The Government’s introduction of a co-payment scheme to compensate local authorities for relevant, irrecoverable losses in 2020/21 from loss of income.
  • The impact of Covid-19 in the long term and the volatility and uncertainty in forecasting assumptions for the financial year.
  • The Local Government Service Pay Agreement 2020/21 of 2.75%, a 0.75% increase on the budget framework agreed on 2 March 2020.
  • The bonus payment paid to street scene operatives during the Covid-19 response period, which was due to end on 30 September 2020.
  • Comparison between the rates of pay for South Kesteven’s Street Scene operatives and their counterparts across Lincolnshire.

 

Other options considered:

 

There is no option but to review and amend the current budget framework due to the ongoing impact from both an income and expenditure perspective.

Publication date: 09/09/2020

Date of decision: 08/09/2020

Decided at meeting: 08/09/2020 - Cabinet

Accompanying Documents: