This report considers for 2015/16 the level of Council Tax and the policy on reserves.  In addition, it provides Members with details of the Council's formula grant settlement released on 19 December 2013 and the Council's Business Rates base that will be used by Government to calculate the Business Rates target for 2016/17 for the Retained Business Rates funding mechanism, which is now operated as a pool across North Yorkshire.

In accepting the recommendations, Council will be asked to approve various decisions regarding the setting of the level of Council Tax; confirm that the indicators on expenditure and treasury management decisions are affordable, prudent and sustainable and approve the policy on Balances and Reserves.

The subject of the decision:

This report considered for 2015/16 the level of Council Tax and the policy on reserves.  In addition, it provided details of the Council's formula grant settlement released on 19 December 2013 and the Council's Business Rates base that would be used by Government to calculate the Business Rates target for 2016/17 for the Retained Business Rates funding mechanism, which was operated as a pool across North Yorkshire.

Alternative options considered:

None.

The reason for the decision:

To maintain the long term viability of the Council’s finances and ensure sustainability by investing in community projects as determined by the Council’s priorities and supporting the maintenance and enhancement of service delivery.  To maintain the integrity of the Council’s financial strategy.

THE DECISION:

That Cabinet approves and recommends to Council that:-

(1)     it be noted that on 15 January Council calculated the Council Tax Base 2015/16:-

          (a)     for the whole Council area as £34,710.28 [Item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the "Act")]; and

          (b)     for dwellings in those parts of its area to which a Parish precept relates;

(2)     the Council has calculated the Council Tax requirement for the Council's own purposes for 2015/16 (excluding Parish precepts) as £3,105,875.85;

(3)     the following amounts be calculated for the year 2015/16 in accordance with Sections 31 to 36 of the Local Government Finance Act 1992:-

          (a)     District/Parish Gross Expenditure

                   £45,687,808.80   being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act taking into account all precepts issued to it by Parish Councils

          (b)     District/Parish Gross Income (including Government Grants, use of Reserves and Collection Fund Surpluses etc)

                   £41,306,984.15   being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act

          (c)     District/Parish Net Expenditure

                   £4,380,824.65     being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council in accordance with Section 31A(4) of the Act, as its Council Tax requirement for the year (Item R in the formula in Section 31B of the Act)

          (d)     Basic Amount of Tax (including average Parish Precepts)

                   £126.2112           being the amount at 3(c) above (Item R) all divided by Item T (1(a) above), 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)

          (e)     Parish Precepts

                   £1,274,948.80     being the aggregate of all special items (Parish Precepts) referred to in Section 34(1) of the Act (as per Annex A)

          (f)      Basic Amount of Tax (Unparished Areas)

                   £89.4800             being the amount at 3(d) above less the result given by dividing the amount at 4(e) above by Item T (1(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  ...  view the full minutes text for item 63