Meeting documents

The meeting was opened with a prayer by Councillor Eurfryn Davies.

Councillor C. L. Everett declared an interest in respect of any item of business on the Agenda which might relate to  the employment of his daughter and sister within the Housing and Social Services Department and in relation to his employment as Clerk of the Holyhead Town Council.  

Councillor G.O. Parry MBE declared an interest in respect of any item of business on the Agenda which might relate to the employment of his daughters within the Finance Department.

Councillor Bryan Owen declared an interest in respect of any item of business on the Agenda which might relate to the employment of his wife and daughter by the Local Education Authority.

Councillor O. Glyn Jones declared an interest with regard to any item of business on the Agenda which might relate to the employment of his wife within the Housing and Social Services Department. He also declared an interest with regard to Item 9.1 of the minutes of the Planning and Orders Committee held on 7th December, 2005 and was not present at the meeting during any discussion or voting thereon.

Councillor Robert Lloyd Hughes declared an interest in respect of any item of business on the Agenda which might relate to the employment of his son in the Highways Section. He also declared an interest in respect of Item 3 of the minutes of the Standards Committee held on 14th December, 2005 and was not present at the meeting during any discussion or voting thereon.

Councillor J. Byast declared an interest in Item 9(a) and (b) of these minutes and was not present at the meeting during any discussion or voting thereon. Councillor John Rowlands (Vice-Chair) took the Chair for this matter.

Councillor K. Thomas declared an interest with regard to any Item of business on the Agenda which might relate to the employment of his brother in the Housing and Social Services Department.

Councillor G. O. Jones declared an interest in Item 9(a) and (b) of these minutes and was not present at the meeting during any discussion or voting thereon.

Councillor G. Allan Roberts declared an interest in respect of any item of business on the Agenda which might relate to the employment of his son-in-law in the Finance Department. He also declared an interest in Item 9(a) and (b) of these minutes and was not present at the meeting during any discussion or voting thereon.

Councillor A. Morris Jones declared an interest with regard to any item of business which might relate to the employment of his brother in the Education and Leisure Department.

Councillor W. J. Chorlton declared an interest with regard to any item of business which might relate to the employment of his daughter in the Environmental & Technical Services Department.

Councillor G. W. Roberts, OBE declared an interest with regard to any item of business which might relate to the employment of his daughter in the Environmental & Technical Services Department.

Councillor E. Schofield declared an interest with regard to any Item of business which might relate to the employment of his grandson in the Highways Department and his daughter in the Economic Development Department.

Councillor J. Arthur Jones declared an interest with regard to Items 9(a), (b) and (c) of these minutes and was not present at the meeting during any discussion or voting thereon.

Councillor W. J. Williams declared an interest with regard to any item of business which might relate to Menter Môn.

The Managing Director declared an interest in Item 15 of the minutes of the Executive held on 13th February and was not present at the meeting during any discussion or voting thereon.

The Chairperson on behalf of all members and staff extended his congratulations to Councillor Mrs Bessie Burns who had been awarded the MBE in the Queen's New Years Honours. This honour was awarded to Mrs Burns in recognition of her work for the local community.

Congratulations were also extended to the following:-

Jane Waltham, Seaside Award Co-ordinator, on gaining her M.A. degree in Environmental Health from the University of Derby. Jane was the first person in the UK to graduate with a Masters studied on-line.

Tudur and Gareth Owen from Llanynghenedl on being selected as part of the only team from Great Britain to take place in a prestigious sailing competition in Perth, Australia. Tudur was currently working as a rugby coach with the County Council's Sport Development Unit. The brothers were the only two Welshmen as part of the team who would be racing 36 ft. keelboats known as 'Foundation 36's' and vying for the Warren Jones Invitation Trophy.

Gethin Wynne Davies, a pupil at Ysgol Llanfairpwll and Ashley Durkan from Ysgol Uwchradd Caergybi, who were chosen to attend the official opening at the Senedd at Cardiff by Her Majesty The Queen on St. David's Day.

On a sadder note the Chairperson extended his sympathy to Councillor Gwilym Jones upon the loss of his brother Idwal recently. Idwal had suffered ill health for quite a while and was fondly taken care of by Gwilym during that time.

Sympathy was also extended to the family of former Councillor Glyngwyn Roberts, JP, (Tai Hen, Rhosgoch). He served as member for the Llanbadrig area on the former Gwynedd County Council prior to re-organisation and was also a Chairman of Gwynedd County Council during the early 90's.

The Chair also took the opportunity of sympathising with any member of staff who had suffered a bereavement since the last meeting of the Council.

Members and Officers stood in silent tribute as a mark of their respect.

3

MINUTES

Submitted for confirmation and signature, the minutes of the meeting of the County Council held on 15th December, 2005  (Pages 1 - 32 of this Volume)

Arising thereon -

Item 9 - Management of Health and Safety at Work

(i) Councillor P. S. Rogers referred to Item 9 of these minutes and enquired as to whether Councillor J. A. Jones was prepared to retract his words and apologise for referring to him as a 'liar' in the Chamber, otherwise he felt that there would need to be an investigation to clarify this serious accusation.

The Managing Director stated that the Vice-Chair took the item at the last meeting and had requested the said Councillor to retract his statement. The Councillor refused to do that. The minute was correct as stated but if Councillor Rogers wished to take the matter further he should do so via the normal channels to the Ombudsman.

Councillor J. A. Jones re-read the following statement which he made at the meeting, namely "what he has written down in these papers is misleading and intentionally so."

[English Translation]

"So, what I'm trying to say is again now, what Councillor Peter Rogers has written down to be put before this COuncil, he had put four things there, I'm telling you that three of them were misleading or were lies. That is a matter of fact boys, all you have to do is to lok at what he's written and then ask the questions and go and get the answers, and I am telling you, standing here again, that what he has written is misleading and or lies. Simple."

Councillor E. Schofield asked the Monitoring Officer as to whether she was satisfied that the allegation in the minutes did not warrant an investigation?

The Monitoring Officer replied that if Councillor Rogers considered that the matter should be investigated, the proper channel was for him to report it to the Ombudsman as a breach of the Code of Conduct. It was then up to the Ombudsman if he wished to refer it back for local investigation to the Monitoring Officer and the Standards Committee, or whether the Ombudsman wanted to investigate it or indeed reject it.  

(ii) Councillor P. M. Fowlie asked Councillor H. E. Jones as Portfolio Holder as to whether he could confirm that the newly appointed Health and Safety Manager was solely employed by this Authority?

Councillor H. E. Jones in reply confirmed that the officer in question was only employed by this Authority.

Councillor Fowlie further asked the Portfolio Holder if he was aware that the officer was working today for Denbighshire Council?

Councillor H. E. Jones in reply asked Councillor Fowlie that  if he had information to this effect he should write in so that the matter could be investigated further. As far as this particular post was concerned he asked Councillor Fowlie whether or not he wanted to declare an interest in the matter?

Councillor Fowlie stated that he wished to make it clear, as he had done so previously in December, that Members were aware that his wife was involved in this area and that he had no reason for declaring an interest. He did not wish to write in on this matter as it was before Council today for a reply to his question. He re-iterated his previous statement and asked for a response.

The Head of Corporate Services stated that the manager had commenced duties in December and confirmed that the officer was employed by this authority alone. Like many new employees at this level same flexibility was required and in this particular case there was agreement with the former employer that we would be flexible in the short term in releasing the officer to attend occasional meetings in relation to significant cases facing that authority.

Councillor Fowlie noted the response and enquired as to when the Leader intended to act upon the decision made by Council on 15th December, 2005, to establish a Panel of Members to give further consideration to the Health and Safety report and report back on its findings to the Council.

Councillor C. L. Everett reported that it was his understanding that the meeting would be called in the next few weeks.

Councillor A. M. Jones raised a question as to who would be responsible should a charge of corporate manslaughter arise should the Council fail to comply with its Health and Safety requirements and he wished it to be noted in these minutes that he had not received a reply to his question.

4

BUDGET, COUNCIL TAX, TREASURY MANAGEMENT AND PRUDENTIAL                INDICATORS 2006/07

4.1 THE EXECUTIVE'S FINAL BUDGET PROPOSALS 2006/07

Reported by the Portfolio Holder (Finance) - That the Executive had completed its final budget proposals. The report to this Council referred to the following matters:-

Ÿ

The proposed Revenue Budget for 2006/07 - Table A

Ÿ

The proposed Capital Plan up to 2008/09 - Table B

Ÿ

The proposed Capital Budget for 2006/07 - Table C

Council Tax

The Executive proposed an increase of 3.4% in the Band D Council Tax. This would take the Band D figure to £718.83.  The Police Authority was expected to decide on an increase of  between 5.0% and 6.2% in its precept and taking account of decisions of Town and Community Councils, the total Band D figure would increase by between 3.7%  and 3.9%. The Council Tax in Anglesey would remain one of the lowest in England and Wales in 2006-07.

Revenue Budget

The revenue budget proposals were substantially unchanged from the initial proposals.

Capital Plan and Budget

The capital plan and budget proposals took account of the Prudential Code confirmed the strategic priorities given to:-

Ÿ

Upgrading Leisure Centres;

Ÿ

Waste Management obligations;

Ÿ

Regeneration.

Further feasibility and option appraisal was in hand in respect of :-

Ÿ

Local Studies Centre

Ÿ

Residential Homes Improvement

When this work was complete, the Executive intended to propose amendments to the Capital Plan to take account of the result.

Formal Matters

As required by the Budget Procedure Rules the following matters needed to be drawn to the attention of the County Council prior to them deciding upon the final budget proposals.              

Ÿ

The Council had not adopted a budget strategy;

Ÿ

The proposed Council Tax for the year was £718.83 (Band D), an increase of 3.4%.

Ÿ

There was a proposed transfer of £300,000 from the LABGI Scheme paid in 2005-06 and a transfer of £30,000 from Economic Development service reserves.  A new reserve was to be created for leisure improvements with a contribution of £50,000 to be made in 2006-07.

Ÿ

A summary of proposed expenditure by service was given in Table A for the  revenue budget and by scheme in Table C for the capital budget.

Ÿ

The Executive's proposals included budget savings of £1,294,441. These had enabled some growth in areas in reflection of high risk and high priority areas. Details were given in tables D and Dd.

Ÿ

The Executive had taken account of the views of Scrutiny and Overview Committees reported to it at its meeting of 13 February.

Ÿ

The Executive had taken account of responses of external consultees reported to it at its meeting of 13 February.

Ÿ

There were no significant differences between initial and final proposals.

Ÿ

The Executive would propose to the Council that it should be delegated powers to spend budgets and granted powers to vire budgets, as in previous years, as follows:

Ÿ

powers to spend each budget heading in Tables A and C on the particular objective, service or project to which it related;

Ÿ

a limit of nil on virement between budget headings in Table A;

Ÿ

powers to vire from the central contingency, from the Performance Incentive Grant contingency, or from new or increased sources of income;

Ÿ

powers to vire from the balance of LABGI Scheme money towards dealing with Health and Safety and Fire risk assessments;

Ÿ

powers to vire from the leisure improvements reserve in support of proposals which enhanced the leisure service's assets and strategic sporting facilities. The Executive had not, and did not intend to, delegate any part of this virement power to officers.

Ÿ

powers to transfer budgets between capital projects in Table C and to commit resources in following years within the amounts indicated in the Capital Plan at Table B and consistent with the budget framework.

Ÿ

The proposals for borrowing and investment were as detailed in the separate report by the Corporate Director- Finance on Treasury Management which had been approved by the Executive.

Ÿ

Other statutory matters were dealt with in the report by the Corporate Director - Finance.

In summing up, the Portfolio Holder expressed his appreciation to his fellow Members of the Executive and to the Finance Panel for their contribution. He also thanked the Corporate Director (Finance) and his staff for their much valued work in drawing up the Council Budget for 2006/07.  

4.2

COUNCIL BUDGET 2006/07 - ADOPTION OF FORMAL RESOLUTION

Reported by the Corporate Director (Finance) -That in order to adopt its budget for the year 2006-07 and to determine the level of Council Tax for the year, the County Council was required to adopt a formal resolution which dealt in some detail with all connected matters.

As it considered the Executive’s proposed budget, the Council should also consider and take account of this report from the Corporate Director - Finance. This dealt with matters  required under the Local Government Act 2003 (“the Act”) and the Prudential Code for Capital Finance in Local Authorities (“the Prudential Code”).

ROBUSTNESS OF ESTIMATES

The Corporate Director was required under section 25 (1) (a) of the Act to report to the Council on the robustness of estimates made in the course of drawing up the budget.

It was necessarily always the case that uncertainty about future events affecting the budget meant that estimates needed to be made, which in turn rested on certain assumptions about what was likely to happen. The most significant uncertainties affecting the budget as proposed by the Executive, and the way they had been dealt with, were -

Ÿ

Interest Rates

Ÿ

Out-of-County Education and Social Services

Ÿ

Homelessness

Ÿ

Local Authority Business Growth Incentive Scheme

Ÿ

Health and Safety

Having regard to the foregoing, the Corporate Director was satisfied that the proposed budget was robustly estimated.

ADEQUACY OF FINANCIAL RESERVES

The Corporate Director required under section 25 (1) (b) of the Act to report to the Council on the adequacy of the proposed financial reserves.

He had reviewed the level of reserves following an approach reported to the Executive as part of the budget preparation process.

Earmarked reserves had been established to cover known plans, commitments or risks, and in reviewing the present level of reserves he had assumed that commitments would be met, plans would normally be implemented, and risks required a level of provision commensurate with their amount and likelihood.

However, the earmarked reserve established in connection with services provided under section 117 of the Mental Health Act 1983 continued to be uncertain.

Schools’ balances were, in total, more than adequate. A small number of individual schools had deficit balances, which were not adequate. The use of these reserves was a matter for each school’s governing body.

General revenue balances were currently projected to be £3.9 million at 31 March 2006.

The Corporate Director had reported to the Executive in February that the risks surrounding Health and Safety were worse than were thought earlier in the budget round. As a result, he was of the view that more would need to be spent during 2006-07 than was provided in the budget. In advance of costing this requirement in order to seek authority for such spending, he was assuming a round sum of £0.25 million. The Executive recommended that the balance of 2005-06 LABGI funding could be used towards this.

Having regard to the foregoing, he projected balances to be £3.8 million at 31 March 2007 and was satisfied that the proposed budget would leave the Council with adequate financial reserves.

THE PRUDENTIAL CODE

The legislative framework introduced by the Local Government Act 2003 required the Council to have regard to The Prudential Code for Capital Finance in Local Authorities. The Executive had already affirmed this.

The primary requirements of the Prudential Code were that authorities should have regard to affordability and prudence.

Ÿ

Affordability

The Executive's budget proposals had regard to affordability. As always, the capital budget was financed by a combination of external grants, capital receipts, revenue funds and borrowing. Anticipated funding from grants was linked to what was approved or realistically achievable; some spending proposals were to be included in the capital budget but subject to confirmation of grants: if the grants were not confirmed, the schemes would fall. Capital receipts were based on sales made or in progress; amounts expected but not yet confirmed as definite had been discounted, with any surplus or shortfall being carried forward to future years' budgets. Revenue funding was in place, consistent with the revenue budget. Proposed      borrowing did not exceed the sum for which the Assembly had indicated future revenue support for debt financing unless service revenue budgets were available to finance the repayment costs. The inclusion of the proposed      Electricity Generation from Landfill Gas project reflected advice that the income generated would repay the capital outlay. Any other large projects which required additional borrowing funded from service revenue budgets would be referred to the full Council for approval.

     The Council should also take into account the incremental effect of its capital investment                decisions on the level of Council Tax and the level of Housing Rents. The incremental effect           was calculated by reference to the difference between the Capital Plan already in force                (i.e. adopted in March 2005) and the Capital Plan now proposed.

Ÿ

Prudence

The implications of the proposed budget for external borrowing and                investment and the associated Prudential Indicators were dealt with in the Treasury Management Report.

Ÿ

Prudential Limits

Table Ch attached to this report listed the prudential limits which were required to be adopted as the Council set its budget and Council Tax for the year.

                    ----------------------------------

                    ----------------------------------

Under the provisions of Council Rule 18.5 it was agreed that a recorded vote be taken on the matter.

The voting was as follows:-

(i) For the amendment

Councillor E. G. Davies, P. J. Dunning, J. Arwel Edwards, P. M. Fowlie, Ff. M. Hughes, R. Ll. Hughes, W. I. Hughes, A. Morris Jones, O. Glyn Jones, R. Ll. Jones, Tom Jones, B. Owen, R. L. Owen, R. G. Parry, OBE, G. O. Parry, MBE, P. S. Rogers, G. Allan Roberts, E. Schofield, H. Noel Thomas, K. Thomas.

TOTAL 20

(ii) Against the amendment

Councillors Mrs. B. Burns, J. Byast, W. J. Chorlton, J. M. Davies, K. Evans, C. Ll. Everett, D. R. Hadley, D. R. Hughes, G. O. Jones, H. E. Jones, J. A. Jones, J. Arwel Roberts, D. Lewis Roberts, John Roberts, G. W. Roberts, OBE, W. T. Roberts, J. Rowlands, H. W. Thomas, J. Williams, W. J. Williams, MBE.

TOTAL 20

(iii) Abstentions

None.

The amendment was not carried as the Chairman decided to cast his casting vote against the amendment.

Prior to the vote on this matter, the Corporate Director (Finance) advised that he had not received notice of this amendment. He wished to draw the Council's attention to the fact that the contingency provisions in the revenue budget had been discussed by the Executive regarding specific issues and specific risks and that they had agreed to setting aside a sum of £604k in this respect. If the Council accepted the amendments proposed by Grwp Plaid Cymru he could not give any assurance that the remaining provisions were sufficient to meet those specific tasks. He could not therefore assure the Council of the robustness of these estimates as required by the Act.

Under the provisions of Council Rule 18.5 it was agreed that a recorded vote be taken on the matter.

The voting was as follows:-

(i) For the amendment

Councillor E. G. Davies, P. J. Dunning, J. Arwel Edwards, P. M. Fowlie, Ff. M. Hughes, R. Ll. Hughes, W. I. Hughes, A. Morris Jones, O. Glyn Jones, R. Ll. Jones, Tom Jones, B. Owen, R. L. Owen, R. G. Parry, OBE, G. O. Parry, MBE, P. S. Rogers, G. Allan Roberts, E. Schofield, H. Noel Thomas, K. Thomas.

TOTAL 20

(ii) Against the amendment

Councillors Mrs. B. Burns, J. Byast, W. J. Chorlton, J. M. Davies, K. Evans, C. Ll. Everett, D. R. Hadley, D. R. Hughes, G. O. Jones, H. E. Jones, J. A. Jones, J. Arwel Roberts, D. Lewis Roberts, John Roberts, G. W. Roberts, OBE, W. T. Roberts, J. Rowlands, H. W. Thomas, J. Williams, W. J. Williams, MBE.

TOTAL 20

(iii) Abstentions

None.

The amendment was not carried as the Chairman decided to cast his casting vote against the amendment.

Under the provisions of Council Rule 18.5 it was agreed that a recorded vote be taken on the matter.

The voting was as follows:-

(i) For the amendment

Councillor E. G. Davies, P. J. Dunning, J. Arwel Edwards, P. M. Fowlie, Ff. M. Hughes, R. Ll. Hughes, W. I. Hughes, A. Morris Jones, O. Glyn Jones, R. Ll. Jones, Tom Jones, B. Owen, R. L. Owen, R. G. Parry, OBE, G. O. Parry, MBE, W. T. Roberts, P. S. Rogers, G. Allan Roberts, E. Schofield, H. Noel Thomas, K. Thomas.

TOTAL 21

(ii) Against the amendment

Councillors Mrs. B. Burns, J. Byast, W. J. Chorlton, J. M. Davies, K. Evans, C. Ll. Everett, D. R. Hadley, D. R. Hughes, G. O. Jones, H. E. Jones, J. A. Jones, J. Arwel Roberts, D. Lewis Roberts, John Roberts, G. W. Roberts, OBE, J. Rowlands, H. W. Thomas, J. Williams, W. J. Williams, MBE.

TOTAL 19

(iii) Abstentions

None.

The amendment was carried by two votes.

The Corporate Director (Finance) stated that as the amendment had been carried, Table A of the proposals of the Executive would need to be amended. The figure for Environmental Services would rise to £7,025,000 and the total figure for Table A to £106,441,000. In view of this, the Council was asked to adopt the resolution in the orange enclosure.

The Corporate Director also drew the Council's attention to changes required under Page 3 of the orange enclosure whereby the figure quoted under bracket (e) would change from £718.83p to £720.18p, a rise of £1.35p and also to the necessary changes required to the figures contained under brackets (a) (c) and (d) of the orange enclosure.

a)     Pursuant to the recommendations of the Executive Committee to adopt a revenue budget for 2006/07 as shown in the table at Table A in the report of the Executive.

b)     Pursuant to the recommendations of the Executive Committee to adopt a three year capital plan as shown at Table B to the report of the Executive.

ch)     To delegate to the Executive Committee for the financial year 2006/07 the powers to transfer budgets between headings as follows:

     i)     Unlimited powers to spend each budget heading in Table A on the particular objective, service or project to which it relates;

     ii)     A limit of nil on  virement between budget headings in Table A;

     iii)     Unlimited powers to vire from the central contingency, from the Performance Incentive Grant contingency, or from other new or increased sources of income;

     iv)     powers to vire from the balance of Local Authority Business Growth Incentive Scheme money towards dealing with Health and Safety and Fire risk assessments;

     v)     powers to vire from the leisure improvements reserve in support of proposals which enhance the leisure service's assets and strategic sporting facilities.  

     vi)     powers to transfer budgets between capital projects in Table C and to commit resources in following years within the amounts indicated in the Capital Plan at Table B and consistent with the budget framework.

d)     To confirm that items a to ch become part of the Council's budget framework.

a)

28,409.63 being the amount calculated by the Executive, in accordance with regulation 3 of the Local Authorities (Calculation of Council Tax Base) (Wales)  Regulations 1995, as its council tax base for the year.

b)

Part of the Council's area  :

being the amounts calculated by the Council, in accordance with regulation 6 of the Regulations, as the amounts of its council tax base for the year for dwellings in those parts of its area to which one or more special items relate.

a)

£160,899,727     being the aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (d) of the Act.

b)

£ 53,826,480     being the aggregate of the amounts which the Council estimates for the items set out in Section  32(3)(a) and (c) of the Act.

c)

£107,073,247     being the amount by which the aggregate at 7(a) above exceeds the aggregate at 7(b) above, calculated by the Council, in accordance with Section 32(4) of the Act, as its budget requirement for the year.

ch)

£ 85,946,773     being the aggregate of the sums which the Council estimates will be payable for the year into its council fund in respect of redistributed non-domestic rates and revenue support grant reduced by any amount calculated in accordance with Section 33(3B) of the Act.

d)

£       743.64     being the amount at 7(c) above less the amount at 7(ch) above, all divided by the amount at 6(a) above, calculated by the Council, in accordance with Section 33(1) of the Act, as the basic amount of its council tax for the year.

dd)

£666,424.06     being the aggregate amount of all special items referred to in Section 34(1) of the Act.

e)

£      720.18     being the amount at 7(d) above less the result given by dividing the amount at 7(dd) above by the amount at 6(a) above, calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its council tax for the year for dwellings in those parts of its area to which no special item relates.

f)

Part of the Council's area

being the amount given by adding to the amount at 7(e) above the amounts of the special item or items relating to dwellings in those parts of the Council's area mentioned above divided in each case by the amount at 6(b) above, calculated by the Council, in accordance with Section 34(3) of the Act, as the basic amounts of its council tax for the year for dwellings in those parts of its area to which one of more special items relate.