Issue - items at meetings - Housing Revenue Account Budget and Investment Programme 2016/17 and Medium Term Financial Strategy

Report of the Acting Executive Director for Environment, Development & Housing (copy attached)

1)     That Policy & Resources Committee:

(a)       note that the HRA revenue budget 2016/17 savings proposals have increased by £0.133m since being reported to Housing & New Homes Committee as detailed in paragraph 3.4.

(b)       approves and recommends to Council the updated HRA revenue budget for 2016/17 as shown in Appendix 1

(c)       approves a rent reduction of 1% in line with draft government legislation as detailed in paragraph 3.7, including seniors sheltered housing rents.

(d)       approves service charges and fees as detailed in Appendix 2 and delegates authority to the Acting Executive Director of Environment, Development & Housing to make further amendments to communal service charges and laundry charges (to ensure cost recovery) once notification of new contract prices (from April 2016) has been received.

(e)       approves the capital programme expenditure and financing budget of £43.047 million for 2016/17 and notes the 4 year programme as set out in Appendix 3.

(f)        notes the Medium Term Financial Strategy and 30 year financial projections shown in Appendix 4.

(g)       notes the feedback from Area Panel representatives consultation as detailed in Appendix 5

2)     That the Committee recommends that Council:

(a)       approves the updated HRA revenue budget for 2016/17 as shown in Appendix 1

(b)       notes the Medium Term Financial Strategy and 30 year financial projections shown in Appendix 4.

122.1    The Committee considered a joint report of the Acting Executive Director for Finance & Resources and the Acting Executive Director for Environment, Development & Housing. The report proposed the Housing Revenue Account (HRA) revenue and capital budget for 2016/17 as required by the Local Government and Housing Act 1989. The Committee were required to consider the revenue budget proposals including savings and service pressures as well as changes to rents, fees and charges and also the capital programme. The report also set out the Medium Term Strategy and 30 year forecast.

122.2    In response to Councillor Mac Cafferty it was explained that following discussions with the Housing & New Homes Committee an additional consultation event had been held in relation to the HRA budget; this had been referred in the earlier deputation at Item 119(C). The event had been run as an Officer facilitated workshop; the questions and queries raised at the event had been collated and fed back to the attendees for their information.

122.3    Councillor Janio proposed that recommendation 2(c) be amended to include a rent reduction for seniors sheltered housing; this was seconded by Councillor G. Theobald.

123.4    The Monitoring Officer explained the amended recommendations before the Committee were the result of the resolution from the Housing & New Homes Committee to not make a positive recommendation and some developments in the position from Central Government to allow greater flexibility for local authorities.

123.5    The Chair then put the following amended recommendation 2(c) to the vote:

That the Committee approves a rent reduction of 1% in line with draft government legislation as detailed in paragraph 3.7, including seniors sheltered housing rents.

              The amendment was carried.

123.6    The Chair then put the amended recommendations to the vote:

123.7    RESOLVED:

1)     That Policy & Resources Committee:

(a)       note that the HRA revenue budget 2016/17 savings proposals have increased by £0.133m since being reported to Housing & New Homes Committee as detailed in paragraph 3.4.

(b)       approves and recommends to Council the updated HRA revenue budget for 2016/17 as shown in Appendix 1

(c)       approves a rent reduction of 1% in line with draft government legislation as detailed in paragraph 3.7, including seniors sheltered housing rents.

(d)       approves service charges and fees as detailed in Appendix 2 and delegates authority to the Acting Executive Director of Environment, Development & Housing to make further amendments to communal service charges and laundry charges (to ensure cost recovery) once notification of new contract prices (from April 2016) has been received.

(e)       approves the capital programme expenditure and financing budget of £43.047 million for 2016/17 and notes the 4 year programme as set out in Appendix 3.

(f)        notes the Medium Term Financial Strategy and 30 year financial projections shown in Appendix 4.

(g)       notes the feedback from Area Panel representatives consultation as detailed in Appendix 5

              RESOLVED TO RECOMMEND

2)     That the Committee recommends that Council:

(a)       approves the updated HRA revenue budget for 2016/17 as shown in Appendix 1

(b)       notes the Medium Term Financial Strategy and 30 year financial projections shown in Appendix 4.