Issue - meetings
HOUSING RENT SETTING & HOUSING REVENUE AND CAPITAL BUDGETS 2015/16
Meeting: 17/02/2015 - Cabinet (Item 7)
7 HOUSING RENT SETTING & HOUSING REVENUE AND CAPITAL BUDGETS 2015/16 PDF 72 KB
To consider a report by Councillor Julian Thompson-Hill, Lead Member for Finance and Assets (copy enclosed) seeking approval for the proposed rent increase and the introduction of service charges and to approve the Housing Revenue Account Capital and Revenue Budgets for 2015/16.
Additional documents:
Decision:
RESOLVED
that –
(a) the Housing Revenue Account Budget for 2015/16 (Appendix 1
to the report) and the Housing Stock Business Plan (Appendix 2 to the report)
be adopted;
(b) rents for Council dwellings be increased in accordance with
the Housing (Wales) Act 2014 to an average weekly rent of £74.93 with effect
from Monday 6 April 2015;
(c) rents for Council garages be increased in line with the
increase in rents for Council dwellings;
(d) that fixed average service charges of £1.99 per week are
introduced where applicable in line with the Housing (Wales) Act 2014, and
(e) a
review of garage sites be undertaken in 2015/16 as part of the Asset Management
Strategy, the outcomes of the review to be reported back to Cabinet when it is
completed and by no later than 31 December 2015 in any event.
Minutes:
Councillor Julian Thompson-Hill presented the report seeking
approval of the proposed rent increase and introduction of service charges, and
approval of the Housing Revenue Account Capital and Revenue Budgets for
2015/16. The report also included
reference to the Council’s exit from the HRAS system in April 2015 and
Councillor Hugh Irving was pleased to report on the positive engagement of the
four tenant representatives on the HRAS Working Group and their valuable
contribution to that process.
Councillor Thompson-Hill guided members through the budget
figures which had been calculated taking into account the new rent policy,
de-pooling of service charges, mechanism for uplifting
rents and the introduction of a fixed service charge where applicable. The Service Charge Officer reported that a
variable service charge had been initially recommended but because 90% of
tenants were on fixed term annual contracts it had been more appropriate to
introduce a fixed term service charge and pass the subsequent savings onto the
tenants.
During consideration of the report the following issues were
raised –
·
Councillor Huw Jones
was keen to ensure that the planned review of council garages was undertaken –
it was agreed to include the review in the resolution
·
it was highlighted that some council garages
were not being used appropriately and officers provided assurances that action
would be taken against those using council garages against terms of tenancy
·
an explanation was provided regarding the
application of the criteria for target rents with steps being taken to gradually
increase rents in order to meet Welsh Government target rent figures for each
separate property by 2015/16
·
there was some dissatisfaction about the Welsh
Government’s calculation of average rents which did not take into account
prosperity within different areas but it was accepted that this element was
outside of the Council’s control
·
members were pleased to note that an element of
new build had been factored into the Housing Stock Business Plan which would
provide good quality accommodation for Denbighshire residents – the need to
publicise this issue as a good news story was reiterated
·
officers confirmed
there was no reliance on Right to Buy sales as a funding source for the Housing
Stock Business Plan with this element having significantly reduced over the
years to just one sale forecast per annum.
RESOLVED that –
(a) the Housing Revenue Account Budget for 2015/16 (Appendix 1
to the report) and the Housing Stock Business Plan (Appendix 2 to the report)
be adopted;
(b) rents for Council dwellings be increased in accordance with the
Housing (Wales) Act 2014 to an average weekly rent of £74.93 with effect from
Monday 6 April 2015;
(c) rents for Council garages be increased in line with the
increase in rents for Council dwellings;
(d) that fixed average service charges of £1.99 per week are
introduced where applicable in line with the Housing (Wales) Act 2014, and
(e) a
review of garage sites be undertaken in 2015/16 as part of the Asset Management
Strategy, the outcomes of the review to be reported back to Cabinet when it is
completed and by no later than 31 December 2015 in any event.
At this juncture (11.40 a.m.) the meeting adjourned for a
refreshment break.