Issue - meetings

The Executive Member for Finance and Support Services submitted a report outlining a proposed Financial Sustainability Strategy in the delivery of the Medium Term Financial Plan from 2020 onwards.  The Head of Strategic Finance and Property provided a summary of the report.  She requested that the strategy be amended slightly by the removal of one year items and that these  be referred to in the body of the report.  This was supported. 

Councillor I Devonshire suggested that more money could be generated by imposing a £1 all day parking on Sunday.  Councillor N Symonds explained that this had been tried but had been opposed by Churches.  The Head of Strategic Finance and Property explained that there were a number of opportunities in relation to the generation of car parking income and this would be reviewed at a Task and Finish group.

Councillor H Drake sought and was provided with clarification on number of issues in relation to :

·       The 1% difference in the rate of return between the higher risk/reward and the standard risk/reward and whether this was worthwhile;

·       The use of mortgage syndicates and whether this had been explored;

·       The acquisition of properties at public auditions;

·       The Capital sum and the need to be diversify.

In supporting Councillor Drake’s comments, Councillor B Deering referred to the need to ensure that robust checks and balances were in place in terms of levels of investment.  In response to a further query, Councillor Deering was advised that the £3M would not be used to leverage more funds but that this was a starting point as the Council’s approach was slow and steady with the right level of risk and return. 

Members debated the high levels of return in relation to HCC’s pension fund management.  The Chairman asked whether the Head of Strategic Finance and Property had sufficient time to be involved as a member of the Pension Board.  She explained that the Council would shortly be recruiting for a Head of Property. 

It was moved by Councillor I Devonshire and seconded by Councillor M Casey that the recommendations, as amended, be supported.  After being put to the meeting and a vote taken, the recommendations, as amended were declared CARRIED.

RESOLVED – that (A) the Executive be advised that Members support the adoption of the Financial Sustainability Strategy and that this be used as the key methodology for delivering the Medium Term Financial Plan 2020 onwards;

(B)   the Financial Sustainability Group be embedded as a Financial Sustainability Board and that it hold delegated powers to invest in projects that meet the Financial Sustainability Strategy criteria; and

(C)   A capital sum of £3M be made available to the Financial Sustainability Board to invest in commercial income generating activity that achieves the Financial Sustainability Strategy key requirements.