Agenda item

Annex 1 - Labour Group Amendment

 

Proposed additions to the revenue budget

	£m
Reinstatement of Waste – Household Waste Recycling Centre Service Provision (SC001)	0.367
Reinstatement of Integrated Transport Services - Provision of Bus Passes for Secondary Excluded, wherever possible (SC012)	0.000
Reinstatement of Home care for older adults and people with disabilities – promoting single-handed care (SC505)	0.307
Reinstatement of Older People Care Services – Day Services (SC514)	0.040
Reinstatement of Lancashire Wellbeing Service (SC610)	0.503
Reinstatement of Welfare Rights Service (SC608)	0.000
Reinstatement of Lancashire Break Time (SC119)	0.683
Reinstatement of Health Improvement Services (SC609)	0.337
Reinstatement of Home Improvement Services (SC611)	0.220
Provide additional funding for Community Transport (CMTY024)	0.087
Provide additional funding for winter gritting temporary routes	0.110
Reinstatement of Highways – Gully Emptying (SC029)	0.000
Reinstatement of Highways Network Regulation (Parking – on street pay and display) (SC034)	0.000
Non-recurrent County Nursery Schools Funding Reserve	1.000
Total cost of proposed amendments:	3.654

The amendments to be funded from the transitional reserve.

 

View of the Chief Executive and Director of Resources (S151)

 

The proposals have been validated as being deliverable financially in 2019/20.

In validating the proposals, I have been mindful that:

• There are no compensatory savings offered which will place a greater call on reserves in 2019/20 and increase the structural deficit in the budget. 

 

• A number of the savings proposed for reinstatement having a larger financial impact in 2020/21 and beyond.

 

Over the term of the financial strategy, the proposals would further increase the structural funding gap by £10.568m to £57.984m in 2022/23.

 

The transitional reserve would be depleted more quickly, and would be exhausted during 2022/23. 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Annex 2 - Liberal Democrat Group Amendment

 

 

(1)  Proposed Additions to the Revenue Budget

Additional Cost of Proposals 19/20

 

  £m

 

Reinstate funding for Household Waste Recycling Centres

(SC001):  0.367

 

Reinstate funding for SEND Breaktime service (SC119):  0.683

 

Reinstate funding for Lancashire Wellbeing Service (SC610):  0.503

 

Reinstate funding for Welfare Rights Service (SC608)  .000

nil effect 19/20   

Reverse proposed on-street parking (SC034) saving £212k  0.000

of investment across 2019/20 and 2020/21 from not

implementing the proposal. 

Provide funding for street light energy costs to allow more

flexible policy on times of dimming in locations where there

are community safety concerns:  0.500

 

Fund additional reactive maintenance to highway drainage,

with delegation to districts where there is local capacity to

carry out work (including drainage schemes in capital

programme):  0.318

 

Fund set up costs of a Local Lancashire Lottery with the aim

to generate funds to replace the funding lost to charitable

and other organisations being cut through axing of LCC

funding streams:  0.007

 

Fund six person team (part year) to market county council

facilities and services to generate income (see savings):  0.200

 

 

 

Total Cost of Proposed Amendments:    2.578

 

 

 

 

Financing the Proposed Additions to the Budget

  Revenue    Savings

 

  £m

 

 

Reduction in costs of agency staff:  1.000

 

Additional net income from profitable use of county council’s

Physical assets (e.g. weddings at Wycoller), traded services

and greater income generation from Outdoor Education facilities  1.000

 

Increase staff vacancy factor by a further ½%  1.643

 

Cease provision of Member Champion grants  0.050

 

Reduce Special Responsibility Allowance of Leader of County

Council (with pro-rata adjustments to SRAs geared to that level)

by 10% and cease SRAs for Member Champions:  0.062

 

 

Total Revenue Savings:  3.755

 

 

Transfer to transitional reserve £1.177m

 

 

(2)  Proposed Additions to the Capital Programme

 

 

ADD:

 

  £m

 

Additional funding to carry out road and pavement repairs:  15.000

 

Increase drainage maintenance budget:    1.282

 

Additional road repair funding in Pendle:    1.700

(See deletion below)

 

 

Total Additions to Capital Programme:     17.982

 

 

 

 

 

 

(3)  Proposed Amendments to the Capital Programme

 

 

  £m

 

Delete M65 Junction 13 Eastern roundabout signalisation  1.700

 

(Funded from 2017/18 NPIF)

 

Total Reductions from Capital Programme:  1.700

 

 

View of the Chief Executive and Director of Resources (S151)

 

The proposals have been validated as being deliverable financially in 2019/20 and indeed marginally reduce the deficit in that year.

 

In validating the proposals, I have been mindful that:

 

• The additional £1m revenue saving proposed in respect of additional income and has not been subject to as rigorous a validation process as the income generating proposals contained within the budget report. 

 

• The reduction of agency staff costs and increasing the vacancy factor would need to be very closely monitored to determine the impact on services with the risk that, in some areas, there could be a negative impact on service delivery. 

 

• The increase of £16.282m in the Capital Programme will need to be funded from prudential borrowing with an estimated additional annual revenue cost of £1.1m in future years. 

 

• A number of the savings proposed for reinstatement having a larger financial impact in 2020/21 and beyond.

 

Over the term of the financial strategy, the proposals would further increase the structural funding gap by £2.698m to £50.024m in 2022/23.

 

The Transition Reserve would be depleted more quickly, although would still be sufficient to manage though 2022/23.