Agenda item

Report number FIN209 by the Chief Executive and the Director of Finance & Strategic Resources previously submitted to the Cabinet on 11^th October, the Cabinet’s decision at that meeting, and the notes from the meeting of the Capacity & Resources Development & Scrutiny Panel are circulated with this agenda.                                                                                              (Enclosure)

DECISION:

The Council recognises that the last payment has now been made to the Citizens Advice Bureau under the current funding agreement which ends on 31st March 2005.  The Council’s existing budgeted commitment to funding has come to an end.

Because of the urgency of the situation from the Citizens Advice Bureau’s point of view and the importance of continuity of service to the community a budgetary decision needs to be made now rather than at the budget meeting in February 2005 – that could be too late for the Citizens Advice Bureau to maintain its service and related commitments.

Therefore,

(1)  the Council determines a budget of £50,000 for the financial year 2005/2006 for Advice Services in the South Kesteven area;

(2)  the determination of any applications within that budget will be a matter for the Cabinet who will need to ensure that outcomes from the Citizens Advice Bureau, or any other service provider are specified and monitored.

Members of the Council had previously been circulated with report number FIN209 which had been jointly prepared by the Chief Executive and Director of Finance & Strategic Resources and considered by the Cabinet on 11^th October 2004.  The Cabinet had taken into account the recommendation of the Capacity & Resources DSP that the funding request for £135,000 for 2005/06 from the Citizens Advice Bureau (CAB) not be accepted.   Since the agenda had been despatched, the Chief Executive had received an e-mail dated 25^th October 2004 from the Chairman of South Kesteven CAB confirming the withdrawal of its current £135,000 bid and indicating the intention to submit a new proposal to the Council at its next meeting.

In the light of this development, the Leader stated that it was important that the Council recognised that the last payment had now been made to the CAB under the current funding agreement which ended on 31^st March 2005.  The Council’s existing budgeted commitment to funding had come to an end.  She went on to advise that because of the urgency of the situation from the CAB’s point of view and the importance of continuity of service to the community, a budgetary decision needed to be made now rather than at the budget meeting in February 2005 as this could be too late for the CAB to maintain its service and related commitments.

The Leader moved that the Council determined a budget of £50,000 for 2005/06 for Advice Services in the South Kesteven area.  The determination of any applications within that budget would then be a matter for the Cabinet who would need to ensure that outcomes from the CAB, or any other service provider were specified and monitored.  The motion was seconded.

A debate followed during which many members expressed their support for the CAB and the need to retain it services especially as many people nowadays were facing mounting debt crises.  Reference was made to the wealth of support from within the community for the CAB which had become apparent as a result of recent press publicity on this issue.  Whilst acknowledging the need to keep the CAB service, it was important that the service in Grantham should be more accessible in terms of opening days and times.  The Council must ensure that the CAB did not waste money and that the service was preserved.

An amendment was then moved and seconded that the budget provision be raised to £100,000.  This would then give the Cabinet greater flexibility to determine the necessary level of funding.  Some concern was expressed over this greater amount and questions raised about where this additional level of funding would come from.  It was suggested that £50,000 should enable a good quality service to be delivered to the district.  After the Leader had responded to the points made, a vote was taken on the amendment and subsequently lost.  A further vote on the original motion was carried.

[The Vice-Chairman in the Chair.]