To approve the council tax amounts for each category of dwelling in Herefordshire for 2016/17 including precepts from West Mercia Police. Hereford and Worcester Fire Authority and parishes.

Councillor RJ Phillips declared a non-pecuniary interest as vice chairman of the Hereford and Worcester Fire and Rescue Service Authority.  He also requested that the council write to the Hereford and Worcester Fire and Rescue Service chief fire officer Mark Yates, offering the council’s congratulations on his retirement.

Council was asked to approve the council tax amounts for each category of dwelling in Herefordshire for 2016/17, including precepts from West Mercia Police, Hereford and Worcester Fire Authority and parishes.

The leader of the council presented the report. He highlighted a typographical error  in the recommendations e (iii) and e (iv) where b(i), b(ii) and b(iii) should read e(i), e(ii) and e(iii)  and moved the recommendations (as amended to correct the typographical error) which were seconded.

A member asked what the maximum borrowing ceiling for the council was and whether the recession would have any impact on it.

A member raised a concern that if borrowing rates were to increase this might have a negative effect on council budgets.

The director of resources confirmed that the majority of council borrowing was secured on relatively low fixed rates of interest.  The ability to repay borrowing was the main consideration rather than the overall level and he did not consider if there was a return to recession a greater level of risk in relation to council borrowing would result.

 A member commented that the sparsity grant welcomed.             

A named vote was held.

For (42) Councillors PA Andrews, BA Baker, JM Bartlett, WLS Bowen, TL Bowes, H Bramer, CR Butler, ACR Chappell, PE Crockett, PGH Cutter, BA Durkin, CA Gandy, DW Greenow, KS Guthrie, DG Harlow, EL Holton, JA Hyde, TM James, AW Johnson, JLV Kenyon, JG Lester, RL Mayo, PJ McCaull, MT McEvilly, SM Michael, PM Morgan, PD Newman, FM Norman, CA North, RJ Phillips, GJ Powell, AJW Powers, PD Price, P Rone, A Seldon, NE Shaw, WC Skelton, J Stone, EJ Swinglehurst, A Warmington, DB Wilcox, SD Williams

Abstain (5) Councillors PJ Edwards, J Hardwick, MD Lloyd-Hayes, RI Mathews, AR Round.

RESOLVED

That:

(a)  the net budget requirement for 2016/17, excluding parishes, be approved as £147,979,357:

(b)  the council tax requirement for the council’s own purposes for 2016/17 (excluding parishes) be approved as £88,595,357:

(c)  the precepting authority details incorporated in appendices 1 to 5, relating to parishes, West Mercia Police and Hereford and Worcester Fire Authority be approved in accordance with sections 30(2), 34(3), 36(1) and section 40 of the Local Government Finance Act 1992 (as amended):

(d)  it be noted that the tax base used for setting the budget requirement for 2016/17 is:

1)      for the whole council area is calculated as 66,873.00 band D equivalent properties.

2)    allocated to band D equivalent dwellings per precept area as shown in appendix 1; and

(e)  the following amounts be approved for the year 2016/17 in accordance with Section 31 to 36 of the Local Government Finance Act 1992 Regulation 6 (as amended by the Localism Act 2011):

 (i)     £331,493,602                being the estimated aggregate expenditure of the council in accordance with section 31A (2) of the act, including all precepts issued to it by parish councils;

(ii)     £239,396,466                being the estimated aggregate income of the council for the items set out in section 31A (3) of the act (including revenue support grant);

(iii)    £92,097,136                  being the amount by which the aggregate at (e)(i) above exceeds the aggregate at (e)(ii) calculated by the council in accordance with section 31A(4) of the act, as its council tax requirement for the year (including parish precepts);

(iv)    £1,377.19                      being the amount at e(iii) above divided by the amount of the council tax base calculated by the council, in accordance with section 31B of the act, as the basic amount of its council tax for the year (including parish precepts);

(v)     £3,501,779                    being the aggregate amount of all special items (parish precepts) referred to in section 34(1) of the act;

(vi)     £1,324.83                     being the amount at (iv) above less the result given by dividing the amount at (v) above by the amount of the council tax base 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 parish precept relates (Herefordshire Council band D council tax, excluding parishes)