Agenda item

To consider a report by the Lead Member for Finance and Assets (copy enclosed) recommending the budget savings to be submitted to Council for approval.

The Head of Finance and Assets presented the report (previously circulated) recommending the Phase 2 budget savings for approval. The report outlined the current budget position and detailed the latest raft of saving proposals totalling £3.6m in 2015/16 and £1.8m in 2016/17. Council was reminded that there was a legal duty to set and deliver the budget.

 

The Lead Member for Finance and Assets chronicled the progress of the proposed savings listed in appendix 1. The process began in April 2014 with a series of 17 Service budget meetings looking to identify potential savings. Areas identified in those meetings were submitted to budget workshops – 9 in total so far - for Members to consider the proposals presented. At those workshops Members were given 3 options:

 

1.    adopt – proposal brought to next full Council for approval;

2.    develop – more information requested and brought back to another budget workshop in October and if accepted full Council later;

3.    defer – not to be progressed at that time.

 

There were 3 key decisions points; full Council in September, today’s meeting and the formal setting of the budget in February 2015. This would allow for the transition period needed to ensure that the savings can be implemented from 1^st April 2015.

 

Impact Assessments have been formulated from consultations including:

 

·        Scrutiny committee meetings evaluating proposals in appendix 1 (CCTV and Provider Services).

·        The Welsh Audit Office have reviewed the financial planning process and given the all clear.

·        A public engagement exercise called “Cutting the Cloth” was launched in October to assess impact of cuts on the community.

·        Town and Community Councils liaised with to discuss the possibility of their funding some services.

·        Local Service Board, DVSC and other partners have been involved in discussions where changes may impact on them.

·        Trade Unions and employees.

 

Details of the cumulative impact of all proposed savings were shown in appendix 6. If all proposals were agreed then protection could continue to be given to schools, social services and priority areas in the Corporate Plan.

 

The Head of Communications, Marketing and Leisure described the methods of communication used to engage with the public regarding the proposed savings. They included posting on the Denbighshire’s website and social media; local press briefings; positioning of exhibition panels and paper copies of proposals in all reception, civic and front line areas and issued front line staff briefings on a regular basis to engage with the residents.

 

From feedback received the top 5 concerns were:

 

1.    Fly tipping

2.    Reducing funds for children with disabilities

3.    Highway maintenance / deterioration of road conditions

4.    Changes to education psychology / counselling provision

5.    Ceasing funding for the William Mathias Music

 

Suggestions received included:

 

1.    Stop funding external organisations

2.    Liaise with private business for use of public conveniences

3.    Town and Community Councils to take over responsibility of play areas

4.    Reduce streetlighting service

5.    Replace paid school crossing patrol with Pelican Crossings or volunteers.

 

The Communications team were programming a range of communication activities to support the implementation of the proposals - including formal consultations for those required e.g. passenger transport and day care service provision etc.

 

The Corporate Improvement Officer explained the overall impact of the proposals set out in detail in appendix 6. The paper focuses on the worst and most likely case scenarios of the implementation of the savings programme. It was noted that considerable effort had been put in by Services to reduce / mitigate the amount of projects having a negative impact on the areas assessed.

 

Council reflected on the austerity cuts imposed by central government and speculated that they would continue regardless of the outcome of the general election. It was suggested that Members contact their AMs and MPs to ask for fairer funding in Wales.

 

The following responses were given to questions raised by Council:

 

·        The Town & Area Plans budget had acquired a significant underspend. Therefore it had been agreed to stop adding to those funds. Funds would continue to be allocated to T&C Plans until they were depleted.

·        The Authorities use of consultants was subject to scrutiny on a regular basis and information should be readily available.

·        Professional fees / training was allocated at service level and will have been considered under their freedom and flexibility exercises.

·        Savings acquired under the Education Psychology Service arose from the retirement of the Principal Education Psychologist. This had not impacted on the service which continued to be delivered.

·        Education social work service was being reviewed to ensure that the focus is on the statutory core function - attendance - and that safeguarding and protection was the responsibility of the correct partnership with schools.

·        The education counselling service would be retaining the statutory requirement of monitoring. Given that school budgets had largely been protected from cuts they would be required to employ counsellors directly for any additional service.

·        The William Mathias music funding proposal would not affect core music lessons which would continue in all schools. Peripatetic sessions and ensembles however would need to be funded directly by schools or alternative provision sourced.

·        There would be no disproportionate effect on the Welsh language.

·        The potential merger with Conwy was not being considered as part of this year’s budget setting process.

 

Concerns and questions raised by Members:

 

·        Appendix 6 did not address the impact of these cuts on lower income residents, loss of school uniform grant, schools trips and local bus services for the elderly.

·        What would happen if Town/Community Councils or schools could not fund services that the County withdraws from?

·        Less than 1% of Denbighshire’s residents responded to the Cutting the Cloth exercise.

·        Lack of clarity of where the cuts in Countryside Services would fall.

·        Town and Community Councils did not have the information needed to set the precepts next month if expected to fund services.

The Chief Executive reiterated that these difficult decisions were needed through no fault of the Council but in response to the funding cuts to the Council. He credited Officers and Members for being able to protect schools, social services, libraries, leisure centres and youth provision and affirmed that they would endeavour to deliver the Corporate Plan.

 

Councillor David Smith requested a recorded vote which was supported by the requisite number of Members.

 

In favour of approval of the phase 2 savings proposals were Councillors:

Bartley, J.R.; Cowie, W.L.; Davies, J.M.; Davies, M.Ll.; Davies, S.A.; Duffy, P.C.; Evans, H.H.; Evans, P.A.; Feeley, R.L.; Holland, M.L.; Hilditch-Roberts, H.; Hughes, T.R.; Irving, H.C.; Jones, E.A.; Jones, H.L.; Owen, P.W.; Owens, D.; Parry, T.M.; Roberts, A.; Smith, B.A.; Smith, D.I.; Thompson-Hill, J.; Welch, J.S.; Williams, C.L.; Williams, E.W. and Williams, H.O.

 

Against approval of the phase 2 savings were Councillors:

Armstrong, I.W.; Chamberlain-Jones, J; Jones, P.M.; Lloyd-Williams, G; McLellan, J.M.; Mellor, B; Mullen-James, W.M.; Murray, R.M.; Penlington, P.; Sandilands, G; Simmons, D and Tasker, W.N.

 

Councillors Blakely and Kensler abstained from voting.

 

RESOLVED that the phase 2 savings proposals be approved.