Agenda item
Minutes:
The Director of Corporate Services submitted the undernoted report which had been prepared in connection with the estimated expenditure of the Council for the year 2008/2009:
“Purpose
The purpose of this report is to request the Strategic Policy and Resources Committee to fix the cash limits of the Council’s various committees for 2008/09, to approve the estimates for the Strategic Policy and Resources Committee for 2008/09 and agree to fix the District Rate at its meeting on 25 January 2008.
Relevant Background Information
Section 53(2) of the Local Government Act (Northern Ireland) 1972 and Regulation 2 of the Local Government Annual Budget (SR & O 1973 No 130) require that this Council:
(a) consider and approve estimates for the year 2008/2009,
(b)authorise the expenditure included in those estimates, and,
(c) fix the amount estimated to be raised by means of a District Rate.
The Council is also required to fix this District Rate not later than 15 February 2008.
The key purposes of agreeing the revenue estimates are as follows:
· To establish what the Council can afford to spend in 2008/09.
· To agree the cash limit for each of the Council’s committees.
· To agree the district rate for 2008/09.
· To ensure that the Council’s money is aligned to deliver the priorities set by Members.
There has been a growing recognition by Members and officers of the need for the Council to consider at the same time what we can afford to spend and how the money should be best allocated to deliver priorities. The Council has started to tackle the barriers which make this integration difficult and put in place mechanisms which will make this easier in the future. This year there has been a concentrated effort to engage Members at an early stage in discussions concerning both financial and business planning. For example, the Strategic Policy and Resources Committee and Chief Officers have held two sets of planning away days in August and November this year and another one is due in March. At the same time officers have been working closely with the Institute of Revenue, Rating and Valuation (IRRV) and the Land and Property Services Agency (LPSA) to remove some of the barriers which make financial planning difficult.
It is in this context that this report recommends a district rate increase of 5.81% for 2008/09. The table below shows the impact of this recommended increase on average valued property types.
|
PROPERTY |
|
Rates Bill |
Rates Bill |
Increase in |
|
|
|
2007/08 |
2008/09 |
Rate Bill |
|
Domestic Properties |
|
£ |
£ |
£ |
|
Terrace House |
|
521.23 |
533.40 |
12.17 |
|
3-Bed Semi-Detached House |
|
797.14 |
815.74 |
18.61 |
|
4-Bed Detached House |
|
1,772.17 |
1,813.53 |
41.37 |
|
Apartment |
|
502.86 |
514.60 |
11.74 |
There have been a number of key internal and external drivers for this year’s estimates and these are discussed below.
Regional Rate
From the graph below it can be seen that over the past ten years the Council has consistently set a lower rate increase than the regional rate. The graph also shows that the trend in the district rate has been reasonably consistent compared to that of the regional rate which is an indication of the effectiveness of the Council’s planning in both the short and medium term. For example the regional rate has increased by 37% in the past three years compared to a 15% increase in the district rate set by Belfast over the same period. For 2008/09, however, the Minister of Finance and Personnel has recommended that there should be no change in the regional rate for 2008/09. The Minister also stated, ‘However, I would not like to see local government taking advantage of the regional rate being frozen by increasing the district rate. I hope that, rather than take advantage of that, local government will attempt to mirror what has been done by the Executive, and that we can keep down the burden on ratepayers in Northern Ireland.’
The recommended increase of 5.81%, in the context of the regional rate means that in overall terms the ratepayer will face a rate increase at less than the rate of inflation.
City Investment Strategy
Members have identified that Belfast is now at an important stage of development where a further step change in its fortunes is possible. The Council can help to facilitate and deliver these changes through its vision and leadership and ensuring things happen through allocating a significant level of our resources via the City Investment Strategy. The Director of Corporate Services presented to the Strategic Policy and Resources Committee on 14 December 2007 a cash flow analysis for the City Investment Strategy which could raise £29.0m over three years without recourse to borrowing. As part of this analysis it was recommended that £1.0m should be included in the Estimates for 2008/09. It is important for Members to note that this £1.0m is included in the recommended 5.81% rate increase.
Pay and Pensions
Pay increases for 2008/09 are expected to be close to inflation. However, employers contributions for superannuation will rise from 13.0% to 15.0% at a cost of £1,349,180.
Single Status
The National Agreement on Single Status is now effective. The Estimates for last year included £1,036,000 to meet employee costs resulting from the implementation of Single Status. As the actual consequence of changing Terms and Conditions of employment are now known, an additional £522,300 has been added to the Estimates.
Reduction in Exchequer Grant
The Council will lose £454,670 in funding from Central Government as a consequence of a reduction in both the number and value of industrial derated properties in the city.
Belfast Visitor and Convention Bureau
The Council has agreed to uplift its funding of the Belfast Visitor and Convention Bureau. The impact of this decision on the Estimates is almost £500,000.
Events
The Council has agreed to host the Tall Ships in August 2009 and the World Indoor Irish Dancing Championships in 2008. These events will require an additional £500,000 funding in 2008/09.
Software Licences
The Council has recently implemented a number of new computer systems, such as the financial package known as SAP. These systems will provide the Council with better and more timely information and contribute to the overall efficiency of the organisation. An additional £620,000 is required to pay for the software licences for these systems.
Allocation of Waste Disposal Fund
Members will be aware that the Waste Disposal finance strategy was put in place to address the issues of escalating waste management costs and the stepped increases forecast to take place between 2006 and 2010. This strategy has enabled an amount of £1.5m to be allocated next year to finance Brighter Belfast, Disability Access and Dargan Road Closure.
Efficiency Savings
The Policy and Resources Committee agreed that the Council will make £3.0 million efficiency savings over the period 2006/07 – 2008/09. The Director of Corporate Services reported savings of £1.15m in 2006/07, £1.50m in 2007/08 and £1.22m in 2008/09. The table below outlines the areas where efficiency savings have been captured for 2008/09.
|
Efficiency Programme 2008/2009 |
|
|
|
£ |
|
Budgetary Efficiencies |
550,000 |
|
Insurances |
110,000 |
|
Retention Allowance |
200,000 |
|
Land Tribunal Income |
215,000 |
|
City Matters Income |
140,000 |
|
Total Efficiency Savings |
1,215,000 |
Individual departments have also made efficiency savings over and above those detailed in the above table. These are discussed under the individual committee statements later in this report.
Product of a 1p Rate
The Product of a 1p Rate (PPR) shows how much rate income the Council would earn if a rate of 1p was applied to all rateable properties in Belfast. Therefore, the more the city grows the more rate income the Council will receive. Indeed, this has been the case for the past number of years with an average year on year growth of 3%. This year, however, the LPSA has informed the Council that the PPR will reduce by 0.31%. So last year 1p of rate would have yielded £4,837,630 compared to £4,822,430 in 2008/09. In real terms this means that the Council has suffered a reduction in its expected yield of around £3.5m.
The reasons for the fall in the PPR are complex and at face value are difficult to understand in the context of a city skyline of cranes and major developments. The Chief Executive and the Director of Corporate Services, however, have been working very closely with the IRRV and the LPSA to improve the accuracy and timeliness of the PPR calculation and to enhance our understanding of the city’s rate base. A detailed report on this issue will be presented to Committee in the New Year.
Inflation
On a positive note inflation is expected to be around 3.5%. Interest rates remain low but are showing a rising trend.
Projected Out-Turn 2007/2008
Members will know that the Budget for the current year is the subject of continuous monitoring of actual spending and income against estimate. All indications this year to date suggest a high level of confidence that expenditure and income will be contained within the limits determined by Council.
Key Messages
The Head of Corporate Communications has drafted some comments which will accompany the announcement of the settlement of the District Rate on 4 February 2008. Detail is provided at Appendix 8. A communication statement for the rates announcement will be provided along with the Estimates report to the Strategic Policy and Resources Committee on 25 January 2008.
Summary
The figures now presented in this report take account of the above matters. In summary, the Revenue Estimates for 2008/09, if agreed, will minimise the impact of other financial pressures on the ratepayer, allow Departments to continue to maintain and improve service delivery and at the same time provide sufficient funding for the Council’s City Investment Strategy and other priorities.
In accordance with Standing Orders and Financial Regulations, Chief Officers have submitted to my Department estimates of Income and Expenditure for the year commencing 1 April 2008. These estimates have been examined in detail by senior staff and myself and a summary of the figures of all Departments, including those under the control of the Policy and Resources Committee, is set out below and is now submitted to this Committee for consideration and the determination of Committee Cash Limits for the year ending 31 March 2009.
Summary of Estimates of Income and Expenditure
for year ending 31 March 2009
|
Year Ending 31/03/2008 |
COMMITTEE |
Year Ending 31/03/2009 |
|
£ |
|
£ |
|
14,284,560 |
STRATEGIC POLICY AND RESOURCES COMMITTEE |
15,364,330 |
|
5,541,140 |
Chief Executive’s Department |
5,590,580 |
|
205,220 |
Legal Services Department |
215,620 |
|
10,111,740 |
Corporate Services Department |
10,406,690 |
|
(1,573,540) |
Improvement Department |
(1,848,560) |
|
- |
City Investment Fund |
1,000,000 |
|
|
|
|
|
21,731,400 |
DEVELOPMENT COMMITTEE |
23,796,450 |
|
|
|
|
|
29,521,540 |
PARKS & LEISURE COMMITTEE |
30,989,430 |
|
|
|
|
|
46,381,540 |
HEALTH & ENVIRONMENTAL SERVICES COMMITTEE |
47,764,590 |
|
|
|
|
|
30,050 |
TOWN PLANNING COMMITTEE |
31,400 |
|
|
|
|
|
111,949,090 |
|
117,946,200 |
|
(4,069,380) |
Less Adjustments re Capital charges |
(4,518,050) |
|
107,879,710 |
|
113,428,150 |
|
|
Less |
|
|
(4,495,640) |
GENERAL EXCHEQUER GRANT |
(4,040,970) |
|
103,384,070 |
|
109,387,180 |
|
|
|
|
|
|
Less |
|
|
(1,000,000) |
ESTIMATED CREDIT BALANCE |
(1,400,000) |
|
102,384,070 |
|
107,987,180 |
|
|
|
|
|
4,837,630 |
ESTIMATED PRODUCT OF 1p RATE |
4,822,430 |
|
|
|
|
|
21.1641p |
NON-DOMESTIC RATE IN £ FOR YEAR ENDING 31/3/2009 |
22.3927p |
|
|
|
|
|
0.011449 |
CONVERSION FACTOR |
0.011449 |
|
|
|
|
|
0.2423p |
DOMESTIC RATE IN £ YEAR ENDING 31/3/2009 |
0.2564p |
It will be noted from the summary that the overall net expenditure for the Council amounts to £113,428,150.
After deducting General Grant and the Estimated Credit Balance, an amount of £107,987,180 is required to be met by way of the District Rate. Based on an estimated product of a penny rate amounting to £4,822,430 it will be necessary to determine a Domestic Rate of 0.2564p and a Business Rate of 22.3927p to meet the Council’s estimated expenditure.
This shows an increase of 5.81% over last year.
My comments on the spending of the various Committees and their efficiency savings are as follows:
Strategic Policy and Resources Committee
A cash limit of £15,364,330 is recommended for the Strategic Policy and Resources Committee in respect of the financial year 2008/09. Excluding capital charges of £3,451,700 this represents an increase in expenditure of 10.88% over last year mainly due to the establishment of the City Investment Fund.
This is represented by:
|
|
£ |
|
Chief Executive’s Department |
5,590,580 |
|
Legal Services Department |
215,620 |
|
Corporate Services Department |
10,406,690 |
|
Improvement Department |
(1,848,560) |
|
City Investment Fund |
1,000,000 |
|
|
15,364,330 |
Chief Executive’s Department
A spending limit of £5,590,580 is recommended for the Chief Executive’s Department for 2008/09. Excluding capital charges of £20,590 this represents an increase of 1.22% over last year.
The principal area of increase is in relation to Corporate Communications where the budget has increased by £99,000. This is mainly due to three Web Editors being transferred from the Information Age Government budget to the Service budget as agreed by Council on the 1st May 2007.
Superannuation costs will rise for the fourth successive year throughout the Council. The employers’ superannuation rate will rise from 13% in 2007/08 to 15.0% in 2008/09. This has resulted in increased costs of £97,500 for the Department.
In 2007 the Department of the Environment finally completed the review of Members Attendance / Financial Loss. The estimates for Councillors Allowances for 2008/09 have consequently been reduced by £67,600.
The Department will make a contribution of £184,800 to the efficiency programme in 2008/09. Efficiency savings will be made as follows:
|
|
£ |
|
1. Insurances |
2,100 |
|
2. Budgetary Efficiencies |
42,700 |
|
3. City Matters Income |
140,000 |
|
Total Departmental Efficiency Savings |
184,800 |
Corporate Services Department
A spending limit of £10,406,690 is recommended for Corporate Services Department for 2008/09. Excluding capital charges of £3,427,910 this represents an increase of 5.58% over last year.
Pension costs will reduce by £200,000 next year. Members should be aware that Corporate Services manage the pensions arrangements for all Council Departments and these costs are largely outside the control of the Council.
The Department will also incur increased Superannuation costs of £349,000.
Licence costs have increased by £620,000 which is mainly due to the implementation of the new financial and procurement system – SAP. These increased costs which are incurred by ISB, and are recovered from Departments, are also the principle reason for the increased income of £539,000 to the ISB Service.
The new SAP system includes core financial systems (income, payments and accounting) as well as systems for procurement. These systems will enable the Council both to change the way that it carries out basic processes, making these more efficient, and to establish better control over day to day purchasing. However, the Department will incur additional costs of £175,000 to make the Central Transactions Unit fully operational in 2008/09.
The decant of staff to Adelaide Exchange and Clarendon Dock will cost an additional £631,000 in 2008/09. However these additional costs will be offset by reduced running costs of £814,900 for the City Hall.
The Department will make a contribution of £420,700 to the efficiency programme in 2008/09 as follows:
|
|
£ |
|
Budgetary Efficiencies |
220,700 |
|
ISB Retention Allowance |
200,000 |
|
Total Departmental Efficiency Savings |
420,700 |
Apart from matters highlighted above there are no other exceptional items of expenditure.
Improvement Department
The Improvement Department will make a net surplus of £1,848,560 in 2008/09. Excluding capital charges this represents an increased surplus of 17.37% over last year on normal activities.
The main budgetary intentions of the Department for next year are set out below:
|
|
£ |
|
CIT Initiatives |
55,460 |
|
CIT Operations |
2,081,740 |
|
Capital Works |
302,690 |
|
Estates Management |
(4,288,450) |
|
|
(1,848,560) |
The Department will incur increased Superannuation costs of £87,000.
It is anticipated that a number of outstanding rent reviews will be settled in 2008/09. This will result in increased industrial estate rental income of £638,000.
The Department will make a contribution of £262,400 to the efficiency programme in 2008/09. Efficiency savings will be made as follows:
|
|
£ |
|
1. Insurances |
1,000 |
|
2. Budgetary Efficiencies |
46,400 |
|
3. Land Tribunal Income |
215,000 |
|
Total Departmental Efficiency Savings |
262,400 |
Development Committee
A spending limit of £23,796,450 is recommended for the Development Department in respect of the financial year 2008/09. Excluding capital charges of £1,326,950 this represents an increase of 10.64% over last year.
The main budgetary intentions of the Department for next year are set out below:
|
|
£ |
|
Economic Initiatives Section |
8,897,530 |
|
Community Services |
6,268,450 |
|
Waterfront Hall / Ulster Hall |
3,446,540 |
|
Directorate |
5,183,930 |
|
Total Net Expenditure |
23,796,450 |
In line with other Departments, increased costs of £213,840 must be borne in respect of superannuation. Capital charges have reduced from £1,422,710 in 2007/08 to £1,326,950 in 2008/09.
The National Agreement on Single Status is now effective. As the actual consequence of changing Terms and Conditions of employment are now known, an additional £214,500 has been added to the Estimates of the Waterfront Hall.
There are a number of areas where significant change has occurred from last year.
The majority of the annual tourism budget continues to be ‘contracted out’ to the Belfast Visitor and Convention Bureau for marketing Belfast and providing information to visitors at the Belfast Welcome Centre and Tourist Information Centres at the City and International Airports. The Council has agreed to uplift its funding of the Belfast Visitor and Convention Bureau. The impact of this decision on the Estimates is almost £500,000.
The Department will also incur increased costs of £190,800 for a number of new posts. Of this sum £75,000 relates to Policy Officer and European Officer posts which are no longer funded by the new LED Plan. To support the implementation of SNAP a new Citystats Officer is required at a cost of £39,100. This is a statistician post and is required to validate and quality assure the internal data which will be input into the Citystats software. An additional £36,700 is included for a Public Arts post to develop the Council’s capacity in the areas of Public Art and Festivals. An additional £40,000 is required within the unit to provide for the transfer of the EU Officer budget from Health & Environmental Services and the creation of a third EU Officer Post to work on a joint basis with Corporate Services.
An additional £50,000 has been included to further promote and establish Open Air Markets within the City.
There are a number of areas of growth within the Departmental budget.
The Tall Ships 2009 event will require £1.1m of funding over the next two years. Funding of £400,000 is included in the 2008/09 budget. The Civic Events programme includes an additional £100,000 for the World Irish Dancing Championships. Further growth of £100,000 is also included with regard a Policy and Resources Committee decision in March 2007 to support the Nomadic Restoration Fund.
With the Waterfront Hall and Ulster Hall now fully operational after closures in 2007/08, the Department has estimated additional income of £122,000 and £42,000 respectively.
The Department will make a contribution of £49,900 to the efficiency programme in 2008/09. Efficiency savings will be made as follows:
|
|
£ |
|
1. Insurances |
12,500 |
|
2. Budgetary Efficiencies |
37,400 |
|
Total Departmental Efficiency Savings |
49,900 |
Parks and Leisure Committee
A spending limit of £30,989,430 is recommended for the Department in respect of the financial year 2008/09. Excluding capital charges of £3,721,420 this represents an increase of 6.46% over last year.
The main budgetary intentions of the Department for next year are set out below:
There are a number of areas where significant change has occurred from last year.
Capital charges have reduced from £3,908,600 in 2007/08 to £3,721,420 in 2008/09.
Increased costs of £212,580 must be borne by the Department in respect of superannuation. Single Status has also impacted significantly in the Department with £307,760 being added to salary costs as a result of the appeals process.
As part of the creation of the new Parks & Leisure Department work is in progress for the development and implementation of a Departmental Improvement Plan. The Parks Improvement Plan is an element of this overall plan which was outlined to the Parks and Leisure Committee on 13th September 2007. A budget of £305,240 is required for additional posts outlined in the Parks Improvement Plan.
It is estimated that Leisure Centre Income will increase by £230,590 with the continuation of the BOOST means tested benefit system and the early opening scheme. Additional staff costs of £160,000 have been provided to allow for this scheme that was not previously estimated for.
Additional income of £204,000 is also anticipated for the Zoo reflecting the impact of the extended shop and the new entrance facilities due for completion in early spring, as well as building on the successful visitor numbers currently being experienced.
The estimates also provide for a small amount of growth in 2008/09.
The multi-agency Grove Wellbeing Centre due to open in May is bringing wellbeing, fitness, health and lifelong learning under one roof. The new centre is the result of collaboration of funding from BelfastCity Council (57% of the funding), North and West Belfast Trust (38%) and BELB (5%). Other funding has been awarded from BRO Neighbourhood Renewal and Urban II funding for a new playground on the site.
Operational costs for the Grove Wellbeing Centre have been included for the full year however these are offset by the reduced costs incurred with the imminent closure of the Grove Leisure Centre providing net growth of £99,400.
The small events grant scheme has been mainstreamed into the Parks budget and will allow for more community led events to take place. An amount of £50,000 has been included in the estimates for this scheme.
The Support for Sport hospitality grants of £30,000 which were transferred from Development as part of the interim restructuring will now be managed by Leisure Development staff and have been highlighted as growth within the Department.
The Department will make a contribution of £82,200 to the efficiency programme in 2008/09. Efficiency savings will be made as follows:
|
|
£ |
|
1. Insurances |
41,600 |
|
2. Budgetary Efficiencies |
40,600 |
|
Total Departmental Efficiency Savings |
82,200 |
Health and Environmental Services Committee
A spending limit of £47,764,590 is recommended for the Department in respect of the financial year 2008/09. Excluding capital charges of £505,890 this represents an increase of 3.60% over last year.
The main budgetary intentions of the Department for next year are set out below:
|
|
Including Capital Charges £ |
Excluding Capital Charges £ |
|
Environmental Health |
7,683,750 |
7,668,660 |
|
Waste Management |
18,937,880 |
18,508,620 |
|
Building Control |
352,040 |
352,040 |
|
Cleansing |
19,877,940 |
19,816,400 |
|
Directorate Support |
912,980 |
912,980 |
|
Total Net Expenditure |
47,764,590 |
47,258,700 |
There are a number of areas where significant change has occurred from last year.
Capital charges have reduced from £764,400 in 2007/08 to £505,890 in 2008/09.
Increased costs of £371,770 must be borne by the Department in respect of superannuation, however the impact of this increase on staffing costs has been reduced through savings in overtime of £193,740 across the Department.
Additional waste disposal charges, including the increase in landfill tax by £8 per tonne as announced by the Chancellor of the Exchequer in March 2007 will contribute to an increase of £651,000 in the Waste Plan costs.
Members will be aware that the Council’s Waste Disposal Financial Strategy was developed to address the enormous rise in the Waste Disposal costs which the Council would incur and especially to lessen the impact of the significant stepped increases which were forecast to be incurred between 2006 and 2010. The financial provisions made through the implementation of the Waste Disposal Financial Strategy will mean that £500,000 of the additional Waste Management costs will be incurred at no extra cost to the ratepayer. This is very much in line with waste management planning forecasts.
In addition to the normal increase on employee costs and other operational costs, Cleansing Services will incur additional commercial waste disposal costs of £237,000. The estimates for Cleansing Services also include increased employee costs of £32,000 for an additional Community Awareness Officer and £41,000 for increased staffing of the Anti-Graffiti Team. However significant efficiency savings have been generated in the Cleansing Service including a substantial element of the departmental overtime savings outlined above. As well as £97,600 efficiency savings arising from the review of transport and priority waste collection there are reductions of £30,070 in the anti smoking litter warden service. These savings, together with increased external commercial waste income of £324,750, have meant that the overall increase in the cost of Cleansing Services, excluding capital charges, has been limited to £215,215 representing an increase of 1.1%.
The Environmental Health Service budget, excluding capital charges for 2008/09 has increased by £641,510, representing an increase of 9.13%. This includes increased costs of £57,700 relating to the extended Dog Control Service, increased employee costs of £39,800 for an additional Pollution Control Officer and £68,400 arising from the review of Business Support. Community Safety Expenditure has been increased to include an additional Alleygating Project Officer at a cost of £35,000 and a further £200,000 will be incurred in implementing recommendations arising from the Community Safety Planning Process. Additional expenditure of £27,700 has also been included in the Environmental Health Service budget to meet increased operational costs and to enhance the IT systems support for Emergency Planning which will incorporate lessons learned from the flood emergency during 2007.
In addition to the normal cost increases incurred by the Building Control Service, the budget includes increased staffing costs of £127,430 for three additional Building Control Surveyors required to respond to the increasing demand for planning and inspection work. However increased fee income of £223,000 relating to planning and inspection fees, offset by a slight reduction in the fee income for property certificates, means that the overall increase in the net cost of Building Control totals only £8,700 which represents an increase of 2.54%.
In addition to the savings outlined above, the Department will also make a contribution of £242,000 to the efficiency programme in 2008/09. Efficiency savings will be made as follows:
|
|
£ |
|
1. Insurance |
82,300 |
|
2. Budgetary Efficiencies |
159,700 |
|
Total Departmental Efficiency Savings |
242,000 |
Town Planning
In previous years Members have drawn attention to the need to provide some funds to cater for possible representation at public enquiries etc. Accordingly a sum of £31,400 has been provided for this purpose.
_____________________________
Belfast City Council like all other Local Authorities across the country is faced with the constant pressure of balancing increasing demands against ever decreasing resources and 2008/2009 will be no exception.
A major effort has been made by all concerned to ensure that the estimates presented are meaningful, realistic, and correlate closely with the key tasks and activities within the Corporate Plan.
On 4 February 2008 the estimates of the various Council Departments and Committees will be approved and adopted. In due course a full copy of the Corporate Plan incorporating a summary of the financial information will be distributed to each Member of Council.
My thanks are due to all for the continued co-operation and assistance which I have received over the past months in what has been a long and exhausting exercise to compile the Revenue Estimates.
DECISIONS REQUIRED:
1. To Fix the Cash Limits for the various Committees of the Council, and
2. To approve the estimates for the Policy and Resources Committee.
3. To note the communications statement of key messages.
APPENDICES
|
Revenue Estimates 2008/2009
|
|
|
Council Overall |
Appendix 1 – Page 1 |
|
|
|
|
Strategic Policy and Resources Committee
|
|
|
Chief Executive’s Department |
Appendix 2 – Page 1 |
|
Chief Executive’s Department |
Appendix 2 – Page 2 |
|
|
|
|
Corporate Services Department |
Appendix 3 – Page 1 |
|
Corporate Services Department
Improvement Department Improvement Department |
Appendix 3 – Page 2
Appendix 4 – Page 1 Appendix 4 – Page 2 |
|
|
|
|
Development Committee
|
|
|
Development Department |
Appendix 5 – Page 1 |
|
Development Department |
Appendix 5 – Page 2 |
|
|
|
|
Parks & Leisure Services Committee
|
|
|
Parks & Leisure Services Department |
Appendix 6 – Page 1 |
|
Parks & Leisure Services Department |
Appendix 6 – Page 2 |
|
|
|
|
Health & Environmental Services Committee
|
|
|
Health & Environmental Services Department |
Appendix 7 – Page 1 |
|
Health & Environmental Services Department |
Appendix 7 – Page 2 |
The above appendices relate to the several Council Departments.
For each Department/Committee there are two information sheets. The first information sheet attempts to explain the major changes from last year’s budget to the present position, while the second sheet indicates the major items of spend proposed for next year, i.e. 2008-2009.
APPENDIX 1
REVENUE ESTIMATES 2008/2009
|
Year Ending 31/03/2008 |
Committee |
|
Year Ending 31/03/2009 |
Var £ |
Var
|
|
|
|
|
|
|
|
|
14,284,560 |
STRATEGIC POLICY AND RESOURCES COMMITTEE |
|
15,364,330 |
1,079,770 |
7.56% |
|
5,541,140 |
Chief Executive’s Department |
|
5,590,580 |
49,440 |
0.89% |
|
205,220 |
Legal Services Department |
|
215,620 |
10,400 |
5.07% |
|
10,111,740 |
Corporate Services Department |
|
10,406,690 |
294,950 |
2.92% |
|
(1,573,540) - |
Core Improvement Team City Investment Fund |
|
(1,848,560) 1,000,000 |
(275,020) 1,000,000
|
(17.48)% - |
|
21,731,400 |
DEVELOPMENT COMMITTEE |
|
23,796,450 |
2,065,050 |
9.50% |
|
|
|
|
|
|
|
|
29,521,540 |
PARKS AND LEISURE COMMITTEE |
|
30,989,430 |
1,467,890 |
4.97% |
|
|
|
|
|
|
|
|
46,381,540 |
HEALTH AND ENV. SERV. COMMITTEE |
|
47,764,590 |
1,383,050 |
2.98% |
|
|
|
|
|
|
|
|
30,050 |
TOWN PLANNING COMMITTEE |
|
31,400 |
1,350 |
4.49% |
|
|
|
|
|
|
|
|
111,949,090 |
|
|
117,946,200 |
5,997,110 |
5.36% |
|
(4,069,380) |
Less Adjustment for Capital Charges |
|
(4,518,050) |
(448,670) |
(0.42)% |
|
|
|
|
|
|
|
|
107,879,710 |
Less |
|
113,428,150 |
5,548,440 |
5.14% |
|
(4,495,640) |
GENERAL EXCHEQUER GRANT |
|
(4,040,970) |
454,670 |
10.11% |
|
103,384,070 |
|
|
109,387,180 |
6,003,110 |
5.81% |
|
|
Less |
|
|
|
|
|
(1,000,000) |
ESTIMATED CREDIT BALANCE |
|
(1,400,000) |
(400,000) |
(40.00)% |
|
102,384,070 |
|
(a) |
107,987,180 |
5,603,110 |
5.47% |
|
|
|
|
|
|
|
|
4,837,630 |
NOTIONAL PRODUCT OF 1p RATE |
(b) |
4,822,430 |
(15,200) |
(0.31)% |
|
21.1641p |
NON-DOM. RATE IN £ - Y/E 31/03/09 |
(c )=(a)/(b) |
22.3927p |
1.2286p |
5.81% |
|
0.011449 |
CONVERSION FACTOR |
(d) |
0.011449 |
0 |
0.00% |
|
0.2423p |
DOMESTIC RATE IN £ - Y/E 31/03/09 |
(c)x(d)/100 |
0.2564p |
0.014066p |
5.81% |
APPENDIX 2.1
CHIEF EXECUTIVE’S DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£
|
|
Estimate 2007/08 |
|
5,571,190 |
|
|
|
|
|
Efficiency Savings Budgetary Efficiencies Insurances City Matters Income
|
(42,700) (2,100) (140,000) |
(184,800) |
|
|
|
|
|
Increased Costs Superannuation Corporate Communications |
97,500 99,000 |
196,500 |
|
|
|
|
|
Cost Reductions |
|
|
|
Attendance / Financial Loss |
|
(67,600) |
|
|
|
|
|
Normal Increase (eg pay awards/supplies and services) |
|
106,690 |
|
|
|
|
|
Estimate 2008/2009 |
|
5,621,980 |
*Includes Town Planning Budget
APPENDIX 2.2
CHIEF EXECUTIVE’S DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges
|
Exc. Capital Charges |
|
|
£ |
£ |
|
District Policing Partnership Board Committee Services Lord Mayor’s Support Members’ Support Members’ Allowances Members’ Facilities Ceremonial Occasions Good Relations Corporate Communications/ Publicity Departmental Administrative Support Records Management
|
125,700 815,500 509,400 312,000 628,400 243,800 185,000 699,000 1,057,000 334,300 121,600
|
125,700 811,800 492,500 312,000 628,400 243,800 185,000 699,000 1,057,000 334,300 121,600
|
APPENDIX 3.1
CORPORATE SERVICES DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£ |
|
Estimate 2007/08 |
|
10,111,740 |
|
|
|
|
|
Efficiency Savings Budgetary Efficiencies Retention Allowance |
(220,700) (200,000) |
(420,700) |
|
|
|
|
|
|
|
|
|
Increased Costs |
|
|
|
Superannuation Licences Adelaide Exchange/ Clarendon Dock |
349,000 620,000 631,000 |
1,600,000 |
|
Growth |
|
|
|
Central Transactions Unit |
|
175,000 |
|
|
|
|
|
Cost Reductions City Hall Pensions
|
(814,900) (200,000) |
(1,014,900) |
|
Increased Income ISB
|
|
(539,000) |
|
Normal Increase (eg pay awards/supplies and services) |
|
494,550 |
|
|
|
|
|
Estimate 2008/09 |
|
10,406,690
|
APPENDIX 3.2
CORPORATE SERVICES DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges |
Exc. Capital Charges |
|
|
£ |
£ |
|
|
|
|
|
City Hall Adelaide Exchange Clarendon Dock Cecil Ward Building Clarendon House / Linenhall Exchange HR Strategy and Workforce Development Planning Contributions to Specified Bodies LGA Fees Employment Support Scheme Corporate Strategic Objectives/ Quality Initiatives Corporate Development Programme Bank Charges Pensions Fleet Management Unit IAG Project & Corporate Systems
|
228,700 1,037,700 696,000 255,500 131,300 309,900 247,200 106,000 116,100 150,000 255,300 60,000 1,900,000 5,300 800,000 486,800 |
228,700 1,037,700 696,000 76,900 131,300 309,900 247,200 106,000 116,100 150,000 255,300 60,000 1,900,000 (2,708,200) 800,000 486,800 |
APPENDIX 4.1
IMPROVEMENT DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£ |
|
Estimate 2007/08 |
|
(1,573,540) |
|
|
|
|
|
Efficiency Savings Budgetary Efficiencies Insurance Land Tribunal Income
|
(46,400) (1,000) (215,000) |
(262,400)
|
|
Increased Costs |
|
|
|
Superannuation |
|
87,000 |
|
Increased Income |
|
|
|
Industrial Estate Rental Income |
|
(423,000) |
|
|
|
|
|
Normal Increase (eg pay awards / supplies and services) |
|
323,380 |
|
|
|
|
|
Estimate 2008/09 |
|
(1,848,560) |
APPENDIX 4.2
IMPROVEMENT DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges |
Exc. Capital Charges |
|
|
£ |
£ |
|
Core Improvement Operations Estates Management
1. Bog Meadows £ (3,091,000) 2. Duncrue £ (747,000) 3. Gas Works £ (640,000)
Research & Development Procurement CIT Initiatives Project Management |
2,082,000 (4,288,000)
160,000 114,000 55,000 29,000 |
2,082,000 (4,285,200)
160,000 114,000 55,000 29,000 |
APPENDIX 5.1
DEVELOPMENT DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£ |
|
Estimate 2007/08 |
|
21,731,400 |
|
|
|
|
|
Efficiency Savings Insurances Budgetary Efficiencies |
(12,500) (37,400)
|
(49,900) |
|
|
|
|
|
Increased Costs Belfast Visitor and Convention Bureau Single Status (WFH) Superannuation New Posts (Public Arts/Citystats/Econ.Dev.Assist.) Open Air Market Development |
500,000 214,500 213,800 190,800 50,000 |
1,169,100 |
|
|
|
|
|
Growth Tall Ships Nomadic Restoration Fund World Irish Dancing Championships |
400,000 100,000 100,000 |
600,000 |
|
|
|
|
|
Cost Reductions Capital Charges
|
|
(95,800) |
|
Increased Income Waterfront Hall Ulster Hall |
(122,000) (42,000) |
(164,000) |
|
Normal Increase (eg pay awards / supplies and services) |
|
605,650 |
|
|
|
|
|
Estimate 2008/09
|
|
23,796,450 |
APPENDIX 5.2
DEVELOPMENT DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges |
Exc. Capital Charges |
|
|
£ |
£ |
|
Community Services
Waterfront and Ulster Hall
|
6,268,500
3,446,600 |
5,856,900
2,529,500 |
|
Economic Initiatives Events Tourism Arts and Culture Economic Development Planning and Transport North Foreshore Markets – Operations and Management
|
2,610,600 2,321,200 1,686,400 1,021,200 514,100 398,600 345,500 |
2,610,600 2,321,200 1,686,400 1,021,200 514,100 398,600 343,800 |
|
Directorate Development Directorate City Development Policy and Research SNAP European Unit
|
2,625,100 930,100 751,600 530,200 346,900
|
2,625,100 930,100 751,600 530,200 346,900
|
APPENDIX 6.1
PARKS AND LEISURE SERVICES DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£
|
|
Estimate 2007/08 |
|
29,521,540 |
|
|
|
|
|
Efficiency Savings Insurances Budgetary Efficiencies |
(41,600) (40,600) |
(82,200) |
|
|
|
|
|
Increased Costs Single Status Parks Improvement Plan Superannuation Leisure Centres Early Opening |
307,800 305,200 212,600 160,000 |
985,600 |
|
Growth Grove Wellbeing Centre Small Events Grants Support for Sport Hospitality Grants |
99,400 50,000 30,000 |
179,400 |
|
|
|
|
|
Cost Reductions |
|
|
|
Capital Charges |
|
(187,200) |
|
Increased Income Leisure Centres Zoo |
(230,600) (204,000) |
(434,600) |
|
Normal Increase (eg pay awards/supplies and services) |
|
1,006,890 |
|
|
|
|
|
Estimate 2008/09 |
|
30,989,430 |
APPENDIX 6.2
PARKS AND LEISURE DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges |
Exc. Capital Charges |
|
|
£ |
£ |
|
Leisure
|
|
|
|
Leisure Centres
|
11,109,200 |
8,527,100 |
|
Leisure Development
|
787,100 |
787,100 |
|
Parks and Cemeteries
|
|
|
|
Parks and Open Spaces Zoo Playing Fields/ Recreation Grounds Playgrounds Landscape Planning and Development Belfast Castle/ Malone House Cemeteries and Crematorium Conservation and Education
|
6,602,900 1,616,400 1,222,800 848,600 725,900 640,800 508,000 465,300 |
6,437,700 1,321,600 799,300 848,600 725,900 449,300 446,500 462,400 |
|
Directorate
Anti Social Behaviour
|
300,000
|
300,000
|
APPENDIX 7.1
HEALTH AND ENVIRONMENTAL SERVICES DEPARTMENT
REVENUE ESTIMATES 2008/2009
|
|
£ |
£ |
|
Estimate 2007/08 |
|
46,381,540 |
|
|
|
|
|
Efficiency Savings Insurances Budgetary Efficiencies |
(82,300) (159,700)
|
(242,000)
|
|
|
|
|
|
Increased Costs Commercial Waste Disposal Costs Superannuation Waste Plan Additional Business Support – Environmental Health Building Control Surveyors |
237,000 371,800 151,000 68,400 127,400
|
955,600 |
|
|
|
|
|
Growth Dog Control Pollution Control Officer Graffiti Team/Cleansing Emergency Planning Additional Community Awareness Officer Additional Alleygating Project Officer Additional Community Safety Expenditure |
57,700 39,800 41,000 27,700 32,000 35,000 200,000
|
433,200 |
|
Cost Reductions Review of Transport and Priority Waste Collection Reduced Anti Smoking Litter Warden Service Capital Charges Overtime |
(97,600) (30,100) (258,500) (193,700)
|
(579,900) |
|
Increased Income Cleansing Fees and Charges Building Control Planning and Inspection Fees |
(324,800) (223,000)
|
(547,800) |
|
Normal Increase (eg pay awards/supplies and services) |
|
1,363,950
|
|
|
|
|
|
Estimate 2008/09 |
|
47,764,590 |
APPENDIX 7.2
HEALTH AND ENVIRONMENTAL SERVICES DEPARTMENT
MAIN ITEMS OF ESTIMATED EXPENDITURE 2008/2009
|
|
Inc. Capital Charges |
Exc. Capital Charges |
|
|
£ |
£ |
|
|
|
|
|
Environmental Health
Waste Management
Building Control
Cleansing |
7,683,800
18,937,900
352,000
19,877,900 |
7,668,700
18,508,600
352,000
19,816,400”
|
The Director of Corporate Services elaborated on and highlighted various aspects of the report. He referred to specific areas of increased expenditure and also to the budgetary efficiencies which had been achieved throughout each of the Departments. He indicated that if the Committee were minded to approve the estimates of income and expenditure the overall net expenditure for the Council would amount to £113,428,150. After deducting the General Grant and the Estimated Credit Balance, an amount of £107,987,180 would be required to be met by way of the District Rate. Based on an estimated product of a penny rate amounting to £4,822,430, it would be necessary to determine a Domestic Rate of 0.2564p and a Business Rate of 22.3927p to meet the Council’s estimated expenditure. This represented an increase of 5.81% over the previous year.
After a lengthy discussion, the Committee agreed to note the progress which had been achieved in relation to the production of the Revenue Estimates for the 2008/2009 financial year but considered that further work on the estimates of expenditure was necessary and to this end, while recognising that the time - frame was extremely tight, directed that the Members work with the officers at a corporate level, through both the Party Group Leaders, Committee Chairman and the Council Improvement Board, in order to examine the possibility of identifying further potential savings which could be made.
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