The details of the Schools Budget will be included in the report under item 5.

The Director of Children's Services presented a report which recommended the approval of the Schools Budget for the year 2009/10.  He explained that it was the second year of a national three-year funding period for schools (2008-2011). In 2008/09 decisions had been taken about levels of funding based on the government’s stated priorities.  The budget had been presented to the Wirral Schools Forum on 21 January 2009:  The Forum had supported the overall budget and proposed variations, including a revised arrangement for dealing with excess school balances and the transferring of insurance costs to individual school budgets.

The Cabinet Member for Children's Services and Lifelong Learning moved a recommendation, duly seconded, and explained the detail behind each of the recommendations, in particular the fact that they would help to maintain and improve further the high levels of attainment among Wirral pupils.

Resolved -

(1)  Cabinet welcomes the increase in funding from Government through Dedicated Schools Grant of £4.4m for 2009/10 and £5.9m for 2010/11. This amounts to over £10m more for Wirral schools over the next two years.

(2)  Cabinet recommends to Council that the Schools Budget for 2009/10 be set at the level of the adjusted Dedicated Schools Grant which is £188,136,200.  This equates to an increase of 3.9% per pupil.

(3)  Cabinet notes that for 2010/11, the adjusted Dedicated Schools Grant will be £194,121,000, which equates to an increase of 4.4% per pupil.

(4)  It is acknowledged that these increases are above the current CPI rate of inflation and that they compare favourably with the average national increases per pupil in 2009/10 of 3.7% and 2010/11 of 4.3%.

(5)  Cabinet recognises that this budget will help the Council to achieve one of the strategic objectives in the Corporate Plan, which is to raise the aspirations of young people.  This funding will also contribute towards the four themes in the Children and Young People’s Plan:

• Reducing health inequalities for children and young people
• Intervening and supporting children earlier and in their communities
• Reducing the gap in outcomes for children
• Improving value for money in services

(6)  Cabinet notes that the increase in funding per pupil of 3.9% in 2009/10 includes the following spending assessment by the Government: Minimum Funding Guarantee (2.1%) and Government priorities (0.8%).

(7)  Cabinet notes that the Government has set the Minimum Funding Guarantee at 2.1% for the period 2008-2011. This is 1% below the assessment of average cost pressures and assumes an efficiency gain in schools, as part of national public sector efficiency requirements.

(8)  The projected budget of 2009-2011 includes the following items (for detail see Appendix 1 of the Director’s report):

Inflation

Provision is included for teachers and other pay at 2% and income at 3%. Provision has also been included for price inflation at 2%.

Headroom

Headroom is the difference between the DSG and the budget required to continue funding schools at their current level, after allowing for inflation, unavoidable cost pressures and the Minimum Funding Guarantee.  Cabinet notes the decision taken  ...  view the full minutes text for item 385

The Director of Finance presented the draft revenue estimates for 2009/10.  A decision was required to enable recommendations to be made to the Council concerning the budget and council tax for 2009/10  This involved a key decision on a matter forming part of the budget and policy framework and it had been included in the Forward Plan.

The Leader of the Council submitted and commented on a motion which set out the budget proposals of the joint administration.  He stated that the council tax rise resulting from those proposals would be 4.42%, higher than he had hoped but the best that could be achieved in what had been a very difficult year.  A great deal of effort had gone into bringing the budget down to an acceptable level, and the Strategic Asset Review had made a significant contribution (£3.1m) towards that.  The increase might have been lower but for the fact that note had been taken that the public of Wirral were prepared to accept a higher level of council tax in order to see a number of premises retained.  Councillor Foulkes went on to describe the policy options shown in paragraphs (4) to (6) of his motion.

In seconding the motion and endorsing the Leader’s remarks, the Deputy Leader of the Council described the policy options in paragraphs (7) to (9) and, on a more general point emphasised the amount of £37.4m that the current administration had saved in improved efficiencies.

The Leader of the Council concluded by thanking the officers for their contributions to the budget process and expressed the view that the hard work and difficult decisions over the previous year would put the Council in a stronger financial position for the forthcoming year

At the Leader’s request, the Director of Finance reiterated his earlier remarks regarding the Council’s investment with the Icelandic Bank.  The view of the Administrator was that the Bank’s assets exceeded its liabilities, so the Council would be reimbursed, albeit, as was expected, not until 2010.

Resolved -

(1)  Delivering a Vision for Wirral

• This is the second year of the Council’s Corporate Plan and the new Vision for Wirral, accompanied by Wirral’s Investment Strategy, which aims to create a more prosperous and equal Wirral, founded on a strong, vibrant local economy with high levels of employment.

• This budget also forms the third budget in a three-year Efficiency Plan, agreed by all parties, which set out to reduce the Council’s spending commitments by thirty million pounds over a three-year period, a figure which later increased to meet additional financial difficulties experienced by the Council as demands for statutory services, and particularly Adult Social Services, increased.

• The Efficiency Plan was agreed in order to achieve a Council budget which would be sustainable for the long-term future and more resistant to the many pressures it was likely to encounter.  Without this sustainable budget the Council would be struggling to deliver on the Vision it has set out.

• Over the three years the Council has,  ...  view the full minutes text for item 384

The Director of Finance presented the projected budgets for 2009-2011 to coincide with the period of the Comprehensive Spending Review 2007 (CSR).

At the request of the Deputy Leader of the Council, the Director of Finance updated the Cabinet on the position regarding the Icelandic Bank.

Resolved - That

(1)  the budget for 2009-10 be presented to the budget meeting of the Cabinet on 23 February 2009; and

(2)  the indicative budget for 2010-11 be reported to the Cabinet on 19 March 2009.

The Director of Finance presented the projected budgets for 2009-2011 to coincide with the period of the Comprehensive Spending Review 2007 (CSR).

At the request of the Leader of the Council, the Director of Finance updated the Cabinet on the position regarding the Icelandic Bank.

The Leader of the Council moved an amendment, duly seconded, and it was –

Resolved – That

(1)  Cabinet recognises that the recession is having an impact on many of Wirral’s families and it is essential to do everything possible to ensure that Wirral’s Council Tax Payers are not faced with the additional burden of high Council Tax increases. In order to further reduce Wirral’s budget gap, and in the light of the reports and Cabinet recommendations on the Insurance Budget (Item 15), the Highway and Engineering Services Procurement Exercise (Item 9), and the Reconfiguration of Youth Services (Item 16) Cabinet recommends the following:

(2)  Cabinet asks that the efficiencies contained within this motion be referred to the relevant Scrutiny Committees for urgent consideration before Council meets on December 15th^.  Should this prove impossible in any instance, then, because it is considered to be in the Council’s best interests to implement proposed savings as early as possible, Cabinet asks  Council to approve those items which have not been considered by Scrutiny committees where there is all party support and, in so doing, to suspend paragraph 2(a) of the Budget and Policy Framework Procedure Rulesand to deal with the proposals in accordance with paragraph 2(b), i.e. where there is no such agreement, absence of which should be indicated by the lodging of an objection within the timescale set by Standing Order 12(1) , Council is asked to refer the relevant item to the appropriate Overview and Scrutiny Committee for discussion and subsequent referral to the next Council meeting. Items already discussed by the relevant Scrutiny Committee will be dealt with in the normal way; and

(3)  this motion is subject to any statutory requirements on staffing issues.

At the request of the Chair, the Director of Finance provided the Cabinet with details of the Council’s investments in Icelandic Bank. 

The Director of Finance then presented the projected budgets for 2009-2011 to coincide with the period of the Comprehensive Spending Review 2007 (CSR).

The Leader of the Council moved a motion, duly seconded, and it was –

Resolved - That

(1)  Cabinet recognises that these are difficult times financially for everyone and that it must do all it can to ensure that Wirral’s Council Tax Payers are not faced with the additional burden of high Council Tax increases. Cabinet understands the need to make urgent savings in order to close Wirral’s budget gap and therefore recommends the following:

(2)  Cabinet further asks that:

a)  The Director of Children’s Services bring a report to Cabinet on Nov.27^th on transforming youth and play services, including the impact of moving to district based services;

b)  The Director of Technical Services, in conjunction with the Finance Director, bring a report to November 27^th detailing the full amount of savings that can be achieved from the Hespe exercise, when a decision on the tender has been taken;

c)  The Director of Technical Services set aside a provision of £90,000 to facilitate a rapid response to fly tipping;

d)  The Director of Technical Services work with the Procurement Unit to review current contracts with the aim of reducing costs; and

e)  The Director of Adult Social Services bring a report to Cabinet on November 6^th reviewing the potential for efficiencies in 2009/10 arising from the Adult Social Services Transformational Change Agenda.

(3)  Cabinet asks that the efficiencies contained within this motion be referred to the relevant Scrutiny Committees for urgent  ...  view the full minutes text for item 219