{meta} Agenda for Lead Member for Finance and Support Services Briefing on Thursday, 5 January 2023, 2.00 pm

Agenda and decisions

Venue: Salford Suite, Salford Civic Centre, Chorley Road, Swinton. View directions

Contact: Claire Edwards 

Items
No. Item

1.

Apologies for absence.

2.

Declarations of interest.

3.

Items for Decision (Part 1 - Open to the Public):

3a

Precept Payments 2023/24. pdf icon PDF 135 KB

Decision:

Salford City Council - Record of Decision

 

I, Councillor Jack Youd, Lead member for Finance and Support Services, in exercise of the powers contained within the City Council Constitution, do hereby approve that the payment of precepts in 2023/24, should be made in twelve equal instalments on the 20th of each month (or on the first working day thereafter if the 20th falls on a weekend or on a bank holiday) as follows:

 

            Thursday                     20 April 2023

            Monday                       22 May 2023

            Tuesday                      20 June 2023

            Thursday                     20 July 2023

            Monday                       21 August 2023

            Wednesday                 20 September 2023

            Friday                          20 October 2023

            Monday                       20 November 2023

            Wednesday                 20 December 2023

            Monday                       22 January 2024

            Tuesday                      20 February 2024

            Wednesday                 20 March 2024

 

The Reasons are: the Council is required to agree with precepting authorities a schedule of instalments each year for payments from the Collection Fund to those authorities.

 

Options considered and rejected were: n/a - the dates are in accordance with the general agreement across Greater Manchester Authorities.

 

Assessment of Risk: Low

 

The source of funding is: Council Tax and Business Rate income due to preceptors.

 

Legal Advice obtained: Nicky Smith, Senior Solicitor

Regulation 4 (1) of the Local Authorities (Funds) (England) Regulations 1992 ("the 1992 Regulations") requires billing authorities to determine a schedule of instalments in relation to each financial year beginning in or after 1993. In that regard, a billing authority must determine this schedule of instalments before 31st January in the financial year preceding that to which the schedule will relate. Regulation 5 of the 1992.  Regulations states that a billing authority shall, before 31st December in the financial year preceding that to which the schedule of instalments will relate, inform each relevant precepting authority of the schedule of instalments which it proposes to determine under regulation 4. A billing authority shall, on or before 31st January in the financial year preceding that to which the schedule of instalments will relate, inform each relevant precepting authority of the schedule of instalments which it has determined under regulation 4. A billing authority shall not determine a schedule of instalments under regulation 4 within 21 days of informing each relevant precepting authority under paragraph 5(1) of the schedule of instalments which it proposes to determine.

 

Financial Advice obtained:the report is produced by the corporate accountancy team.

 

Procurement Advice obtained: n/a

 

The following documents have been used to assist the decision process:

  • Local Authority (Funds) (England) Regulations 1992

 

Contact Officer:       David Eden                 Tel No 793 3228

 

This decision is not subject to consideration by another Lead Member.

 

The appropriate scrutiny panel to call-in the decision is the Overview and Scrutiny Board.

 

Signed: Councillor Jack Youd                                    Dated: 5th January 2023

Lead Member for Finance & Support Services

 

FOR DEMOCRATIC SERVICES USE ONLY

 

This decision was published on 5th January 2023.

 

This decision will come into force at 4.00 p.m. on 12th January 2023, unless it is called-in in accordance with the decision-making process  ...  view the full decision text for item 3a

3b

Council Tax - Collection Fund Estimated Fund Balance Calculation 31 March 2023. pdf icon PDF 155 KB

Decision:

Salford City Council - Record of Decision

 

I, Councillor Jack Youd, Lead member for Finance and Support Services, in exercise of the powers contained within the City Council Constitution, do hereby

 

Note the £2.854m third (and final) year allocation of the phased 2020/21 estimated deficit to preceptors’ general funds in 2023/24.

           

Approve that a surplus of £5.519m be declared as the estimated Collection Fund balance as at 31st March 2023 in respect of council tax.

 

The reasons are: the Collection Fund regulations require a local authority to estimate the balance on its Collection Fund as at 31st March each year by 15th January and to notify each precepting authority. Any such balance is to be distributed to/borne by the council and the Greater Manchester Combined Authority (GMCA in relation to their police, fire and rescue and general mayoral functions) in proportion to the value of their respective demand and precept.

 

Options considered and rejected were: other estimated balances based on a variety of collection rates modelled to assess the likely impacts on the Collection Fund balance.

 

Assessment of Risk:Low – the Collection Fund is closely monitored during the year and will be reviewed at outturn 2022/23. Any actual surplus or deficit at that stage will be factored into future estimated balance calculations.

 

The source of funding is: a £5.519m surplus declared as the fund balance means that distributions will be made to the council’s General Fund and GMCA in relation to their police, fire and rescue and general mayoral responsibilities in 2023/24.

 

Legal Advice obtained:Nicky Smith, Senior Solicitor

The Local Authorities (Funds) (England) Regulations 1992 make provision for the discharge by a billing authority of its liabilities to pay amounts in respect of precepts from its collection and general funds and to make transfers between those funds to meet its estimated expenses. Billing authorities are required by the regulations to estimate any surplus or deficit in January every year.

 

As explained in the main body of the report, the Local Authorities (Collection Fund: Surplus and Deficits) (Coronavirus) (England) Regulations 2020 implemented an announcement by the Secretary of State in July 2020 that the repayment of collection fund deficits arising in 2020-21 would be spread over the next 3 years rather than the usual period of a year, giving councils breathing space in setting budgets. The Regulations therefore allow authorities to spread the estimated deficit on the 2020-21 collection fund over the 3 years 2021-22 to 2023-24. The regulations set out in detail how calculations are to be made in each of the 3 years. There is no provision in the regulations to allow authorities to opt out of the deficit phasing, or to adopt a different payment profile, so it is important that the Council

complies with the requirements of the regulations.

 

Financial Advice obtained: the report is produced by the corporate accountancy team.

 

Procurement Advice obtained: n/a

 

The following documents have been used to assist the decision process:

Various reports and  ...  view the full decision text for item 3b

4.

Exclusion of the Public.

5.

Items for Decision (Part 2 - Closed to the Public):

No items.