/

REPORT OF:

/ hEAD OF FINANCE & PROCUREMENT
AUTHOR: /

Graham Friday

TELEPHONE: /

01737 276556

E-MAIL: / TO: /

Overview & scrutiny

DATE: /

2nd October 2003

AGENDA ITEM NO: / 7 /
WARD(S) AFFECTED:
/ All
SUBJECT: / service planning & budget process 2004/05
PURPOSE OF THE REPORT: / To establish how this Committee wishes to be involved within the 2004/05 council tax setting process
RECOMMENDATIONS:
1.  That this Committee receives and acknowledges the proposed service planning and budget setting process and timescales, and determines how it would wish to discharge its duties.

Background

1.  This is the second year that the Service Planning and Budget setting process has been set under the new constitutional arrangements. The framework within which the budget is to be compiled is set out within the ‘Budget and Policy Framework Procedure Rules’.

2.  The Procedure Rules assume that the Council has in part a documented policy framework derived from a clear statement of aims and objectives (i.e. a Corporate Plan).

3.  The purpose of this report is to seek guidance from this Committee as to how it wishes to undertake its role and to identify the resultant work programme. This will allow appropriate resources to be made available to support this scrutiny process.

Key Stages In The Process

4.  The overall process is broadly similar to last year, but with the following enhancements:-

·  Time has been included for the Executive to work more closely with Officers to ensure that the objectives within the Corporate Plan are correctly reflected within the detail of the Provisional Budget.

·  The introduction of a specific time allocation for this Committee to be able to scrutinise the Provisional Budget and formulate any specific observations or recommendations that they would like to make to the Executive.

5.  A copy of the overall timetable for the budget process is set out at Annex 1. It shows the timeframe within which this Committee has to undertake any detailed consideration of the policy, assumptions and proposals that will go to make up the 2004/05 budget.

6.  This report asks this Committee to receive and acknowledge the timetable and to identify how it wishes to discharge its role.

7.  The process has three key stages to it:-

·  The first stage will enable this Committee to review the initial key assumptions that are being considered as part of the budget setting process. This will be in the form of reviewing and commenting on the Budget & Financial Strategy Report that was approved by the Executive on the 25th September.

·  The second stage will provide the Committee with the opportunity to review the draft Service Plans that show how the corporate objective within the Corporate Plan are being incorporated into the draft budget.

·  The final stage will be for the Committee to review and make recommendations to the Executive on the Provisional Budget Report.

8.  The timescales for the Committee to undertake each of these stages are:

·  First Stage - Now to the beginning of December

·  Second Stage - During November

·  Final Stage – Between the 11th December to the 10th January 2004

9. Given the success of the way the Committee approached this task last year, Members may wish to adopt a similar approach for this year, by formally reconstituting a Budget Panel that will:-

·  In the First Stage - Interview the Portfolio Holder for Finance & Assets to review and challenge the base assumption being used to compile the Provisional Budget.

·  In the Second Stage – Interview two or three of the Heads of Service over the contents of their Service Plans to ensure that the assumptions have been worked through into the individual Units plans. A listing of the service plans available for the Committee to review is set out on Annex 2.

·  The Final Stage is new this year, so the Panel will have to identify how it would wish to undertake this element.

Corporate Implication

10.  The scrutiny of the Council’s policy framework and the Executive budget proposals that flow from that framework is a key element of the work of the Overview and Scrutiny Committee function.

Resource Implications

11.  There will be no additional resource implication for the Council as part of this exercise.

Conclusions

12.  The Service Planning and Budget setting process is a key element of the Council’s work, it is therefore open to this Committee to undertake a thorough scrutiny of that process.

Background Papers: / None

ANNEX 1

Activity / 2003
High level framework and criteria to determine priorities agreed by Council Leader and Chief Executive following discussion with Executive by / End September
Budget assumptions considered and approved by the Executive / 25th September
Initial draft Service Plans prepared by / 1st October
Report on Budget process considered by Overview & Scrutiny Committee / 2nd October
Portfolio Holders to prepare submissions with Directors and Heads of Service / 3rd > 15th October
Executive workshop to discuss budget and service priorities / 9th October
Facilitated sessions for Executive, CMT and Heads of Service to discuss each Service, Quality of Life/Partnership and Organisational Development Initiative / 20th/21st October
Council priorities for the forthcoming year reviewed at Leaders' meeting / 3rd November
Fees & Charges report considered by the Executive / 20th November
Provisional Budget proposals finalised at Leaders' meeting / 1st December
Period of time for Overview & Scrutiny Committee to consider Draft Budget & Financial Strategy, & draft Service Plans and BVPP priorities / Mid-September to Early December
Provision budget report considered by the Executive on / 10th December
Period of time for the Overview & Scrutiny Committee to consider the Provision Budget. / 11th December to the 10th January
Overview & Scrutiny Committee to finalise their recommendations to the Executive on the meeting on / 14th January
2004
Budget, Service Plans and BVPP priorities approved by the Executive, taking on-board the recommendations from the Overview & Scrutiny Committee / 22nd January
Budget and BVPP priorities approved by Council / 12th February
Service Plans finalised in light of amendments to Budget, and published by / 31st March
Council Tax/BVPP Summary Leaflet published and issued with Council Tax demands by / 31st March
BVPP Full document published by / 30th June

ANNEX 2

SERVICE / HEAD OF
SERVICE /
Corporate Development / Margaret Quine
Policy & Community Initiatives / Robert Cottrill
Building & Development Services / Mark Harbottle
Environmental Services / Ian Tucker
Customer Services / Andrew Bircher
Housing Services / Sue Ash
Leisure Services / Gill Wilson
Legal & Property Services / Ann Coronel
Business Solutions / Julian Osgathorpe
Personnel & Support Services / Vacant (Interim: GailSpratley)
Neighbourhood Services / Alan Storer
Engineering Services / David Sowe
Local Taxation Services / Gaynor Summersby
Support to the Community (Benefits) / Anne Ebbett
Finance & Procurement / Graham Friday

M:\Corporate Development Unit\Democratic Services\Agenda - Committee Cycle\Overview & Scrutiny\2003\2nd October2003\Reports\Budget 2004-05.DOC