Apologies were received from Councillors: NP Nenadich and J Stone.

Cllr R J Phillips declared a non-pecuniary interest in item 5 as he is involved with the NJC board.

The Chairman of the Council welcomed all to the Extraordinary Meeting of Council and explained the order of speaking that was proposed in respect of item 4, which was agreed.

The Chairman also told Council that three petitions had been received, each concerning matters relating to agenda item 4, Service Budget Reductions and Future Financial Planning. The Chairman explained that under the normal rules of the petitions code, petitions would not be received at extraordinary meetings, however, in view of the fact that the subject matter related to agenda item 4, she proposed a motion that Council rules be suspended in that respect, which was accepted unanimously. Whilst the first petition from 38 Degrees in respect of potential library closures exceeded seven thousand signatures and thus entitled the petitioner a right to address Council, the two petitions from Unison did not. Taking into account the subject matter of the petitions and the right of 38 Degrees to speak, the Chairman proposed a motion that a representative from Unison be also allowed to speak, suspending Council rules to allow this. Council accepted this unanimously.

Mr Perkins, on behalf of 38 degrees addressed Council, stating:

·         When peoples’ hopes and dreams were reduced, then so was their wellbeing.

·         The ‘books on prescription’ scheme won an award last year.

·         People out of work often don’t have broadband at home so need libraries to access the internet.

·         Cuts to libraries have been quoted as indicative of a culture in decline.

·         The petition covered museums too and the boost to tourism they represented.

Steve Akers, on behalf of Unison addressed Council stating:

·         The union recognised that this situation was not entirely of the Council’s making, suffering a 50% cut in Rate Support Grant.

·         Sought clarification on recommendation (c) of item 4 as to the proposed speed of any cuts.

·         The current proposal represented a quick fix.

·         The union was seeking to work with the Council as to alternative ways forward including an element of preserving redundancy rights for those at risk.

·         The Council should listen to its greatest asset, its staff for ideas for efficiency and doing things right.

To progress the Council’s change programme, to report on the service plan reviews for 2013/14 conducted in March/April aimed at de-risking identified areas of weakness to ensure the Council’s plans are resilient and remain within its overall funding envelope of £150.296 million, and to seek agreement on next steps. 

Councillor AW Johnson, the Leader of the Council, presented the report. Councillor MAF Hubbard asked if Councillor Johnson was willing to remove recommendation (b) from the recommendations and he confirmed that he was. Council agreed the alteration to the recommendation.  Accordingly, recommendation (c) became recommendation (b) and so on.

In presenting the report, Councillor Johnson made the following points:

·         The Council is facing the worst financial challenge it has had in its fifteen year history.

·         To manage this budget needs a change of pace, it can be viewed as ‘Root and Branch II’ it is just the pace that has picked up.

·         Nothing upsets people more than a change of pace, but there is nothing suggested in this review that would not have to be looked at in any event. Though actually seeing this in practice is discomforting.

·         There are no real alternatives and this is why no alternative budget proposal has been put forward.

·         The expectation of cuts in the comprehensive spending review from government will certainly be 10% if not more. By 2015 the Council will have had to find £54m in cuts over the previous 5 years.

·         The correct net budget total set in February 2013 was correct, despite the £3.8m accounting error. This, together with the anticipated reductions in the comprehensive spending review means the Council has to set these savings for future years.

·         Reference to the budget being ‘flawed’ was incorrect. The budget was agreed over some fifty stages and was examined by six Overview and Scrutiny task and finish groups.

·         There is a common public misconception that Council Tax pays for all the Council’s services where in reality only 24% comes from this source. The largest part comes from the central government grant. The Council will have lost one third of this grant over the last three years and 50% by 2015.

·         No decision to close libraries or museums has been made and the report makes it clear that we are starting the process of consultation with stakeholders with the results to be presented in a report to Cabinet in September. It would be madness to set about damaging that which is held dear, but a decision to keep some services would be at the expense of others. We need to discuss how we can use declining resources to protect services as these pressures are unavoidable.

Councillor AW Johnson proposed the recommendations, seconded by Councillor PGH Cutter.

Councillor RB Hamilton then proposed an amendment to the recommendations as follows:

To add:

(d)  As part of the budget setting process for 2014/15 that Cabinet engages fully with all Members, Overview & Scrutiny Committees, Parish Councils, Business, the Third Sector, Residents of Herefordshire and local media to ensure a good, consistent understanding of the Councils financial position and its priorities including its income and expenditure, revenue and capital position; to enable an effective dialogue that ensures that the Council has a good understanding of peoples priorities and those that are valued by the wider community.

(e)   That  ...  view the full minutes text for item 15.

To approve amendment of the Constitution to enable the Chief Executive to set the terms and conditions of staff.

The Leader of the Council presented the report and proposed the recommendations. Councillor RJ Phillips seconded the recommendation, subject to the deletion of recommendation (b), which Council accepted. Council confirmed that it was content to vote on this item on the voices.

RESOLVED UNANIMOUSLY THAT:

an additional power number 7 be inserted in the Constitution, in the specific delegations to the Chief Executive, to read “To determine the terms and conditions of employment of staff in accordance with the Employment Procedure Rules (part 4 paragraph 4.9.6)”.