Issue - meetings

Report number CHFCS53 by the Assets and Resources Portfolio Holder.

                                                                                                (Enclosure)

DECISION:

(1)    The Cabinet recommends to Council the approval of the Medium Term Financial Plan for the period 2009/10 to 2012/13 as appended to report number CHFCS53;

(2)    The Cabinet requests the development of a resources and efficiency plan that identifies the actions needed to ensure a balanced and sustainable budget for 2011/12 and beyond.

(3)    That Members’ who represent the Council on Internal Drainage Boards make representations to keep the levy below 5%.

Considerations/Reasons for decision:

(1)     The Medium Term Financial Plan (MTFP) is a key strategic document that brings together the council’s financial position to show how the revenue and capital financial resources are organised in order to deliver the Council’s priority themes.  The MTFP needs to be reviewed each year to take account of the final outturn position for the year and to take into consideration emerging financial issues from both a national and local perspective; 

(2)     The MTFP span four years, the first two of which are based on the anticipated government grant settlement.  The latter two years are difficult to predict as there is great uncertainty over the level of government grant that may be made available to Councils.  The MTFP therefore reflects this uncertainty and includes a number of potential scenarios which the council could face and the likely impact on its finances;

(3)     Noting the risk analysis included within the MTFP;

(4)     Noting that consultation is currently being carried out with council tenants on a range of options for identifying alternative ways of delivering the repair service. An alternative approach to the current policy of undertaking all categories of repair work is necessary in order to ensure the Housing Revenue Account remains financially sound in the medium term.

(5)     Noting the recommendations made by the Resources PDG at its meeting on 23^rd July 2009.

Other options considered and rejected:  It is not an option to not review the MTFP; as part of sound financial management it must be reviewed in the light of changing circumstances to ensure it remains fit for purpose.