To present the conclusions and recommendations of the Scrutiny Budget Review Group on the Consultation Budget and Medium Term Financial Strategy 2015-2019 

Scrutiny Recommendations: The Budget Review Group recommend to the City Executive Board:

1. That reserves and balances are reviewed with a view to investing any overstated reserves.

2. That the City Council explores new ways of increasing public engagement in its budget setting process.

3. That Council Tax is increased by 1.99% (rather than the proposed 1.50%) in 2015/16.

4. That the City Council continues to engage constructively with other Oxfordshire Councils in order to optimise any potential benefits available from business rates pooling and distribution arrangements.

5. That the City Council looks at ways of mitigating the impacts of higher than average rents on those Council tenants who will be most affected.

6. That further consideration is given to covering more enforcement costs through higher, related fees and charges.  This should include keeping legislation under review and asking the LGA what other local authorities charge for.

7. That to protect future Park and Ride incomes, the City Council seeks agreement with the County Council on consistent charging rates across all Oxford Park and Rides.

8. That the City Council explores mechanisms for the earlier release of land value locked up in the Barton Park development.

9. That the following efficiency savings are re-rated as high risk:

a)    Shifting services towards community settings and online (£126k from 2017/18 in Customer Services),

b)    Application portfolio & telephony review (£150k from 2015/16 in Business Improvement & Technology).

10. That there is a re-energising of attempts to identify new invest-to-save opportunities in future budget rounds (see recommendation 17d).

11. That sufficient flexibility is in place to mitigate the risk of the City Council having to repay £7m to the Housing Revenue Account.  

12. That the City Council explores how it can become a more agile operator in the housing market to ensure it secures best value for new property acquisitions.   

13. That half of the additional waste disposal costs pressure is re-instated in the budget from 2016/17.

14. That off street parking income is re-modelled in light of the most recent parking data and experience with the temporary Westgate car park.

15. That any savings achieved through lower than assumed energy prices are invested in energy efficiency improvements.

16. That HRA void losses are modelled at 1.0% (rather than the proposed 1.2%), at least in the early years of the budget period.

17. That the following areas should be priorities for further spending in the event that additional general fund resources become available (we have identified some options for raising revenue in the short to medium term).  These suggested priorities are listed in no particular order:

a)    Staff Training and Wellbeing – continue funding the training budget increase (£100k) and funding for staff wellbeing (£75k) beyond 2016/17,

b)    Apprenticeships – reinstate £50k from 2015/16 or a sufficient amount to fund no fewer than 25 apprentices in future cohorts,

c)    Community Development (Social Inclusion) Fund – reinstate £60k from 2015/16,

d)    Business Improvement staffing reductions – reverse the £110k cut in  ...  view the full agenda text for item 127

The Scrutiny Officer submitted a report (previously circulated, now appended) which detailed the conclusions and recommendations of the Scrutiny Budget Review Group on the Consultation Budget and Medium Term Financial Strategy 2015-2019.

Cllr Simmons, Chair of the Scrutiny Committee, went through the recommendations and Cllr Turner, Board Member for Finance, Asset Management and Public Health provided his responses as attached (minutes 127).

The Board discussed and agreed to aspects of the following:

·         Exploring new ways of increasing public engagement in its budget setting process.

·         Re-energising attempts to identify new invest-to-save opportunities in future budget rounds

·         Exploring how the City Council can become a more agile operator in the housing market to ensure it secures best value for new property acquisitions.

The City Executive Board resolved to AGREE:

1. That reserves and balances are reviewed with a view to investing any overstated reserves.

2. That Council Tax is increased by 1.99% (rather than the proposed 1.50%) in 2015/16.

3. That the City Council continues to engage constructively with other Oxfordshire Councils in order to optimise any potential benefits available from business rates pooling and distribution arrangements.

4. That further consideration is given to covering more enforcement costs through higher, related fees and charges.  This should include keeping legislation under review and asking the LGA what other local authorities charge for.

5. That to protect future Park and Ride incomes, the City Council seeks agreement with the County Council on consistent charging rates across all Oxford Park and Rides.

6. That sufficient flexibility is in place to mitigate the risk of the City Council having to repay £7m to the Housing Revenue Account.         

7. That the following areas should be priorities for further spending in the event that additional general fund resources become available:

a) Planning enforcement – continue funding the Beds in Sheds project at the post April 2015 level to April 2016. A more detailed review of alternative funding streams should be undertaken during this period,

b) Discretionary Housing Payments – continue the current level of funding to April 2016.