FINANCE COMMITTEE

Minutes of the meeting of the Finance Committee held at 7.45pm on Thursday, 18 December 2003 at The Institute. Councillor Chambers, Chair, presided over Councillors Auger, Fisk, Stevens and the clerk. The Clerk Designate was also in attendance. No members of the public were present.

020    APOLOGIES FOR ABSENCE - Cllr Anderson who was engaged on a work commitment.

021    DECLARATIONS OF INTEREST None.

022     MINUTES OF THE PREVIOUS MEETING

The minutes of the meeting held on 11 September 2003, having been previously circulated, were approved as a true and correct record and signed by the Chairman.

023    PERSONNEL RELATED MATTERS

It was agreed that as the discussion on these matters would only be of a general nature there was no reason to discuss or minute the matters in private.

.1	Clerk’s contract of employment	It was proposed by Cllr Chambers, seconded by Cllr Fisk and unanimously agreed to recommend that the clerk designate is offered the same contract of employment as that for the current post-holder with amendments as appropriate to recognise the terms of appointment already offered and accepted.
.2	Clerk’s training	The clerk reported that there would be a training event for new clerks in February which it would be essential for the clerk designate to attend. In respect of the AQA in Local Council Administration, it was noted that the clerk designate would need to be entered onto the two-day course later in 2004 before being in a position to prepare and enter a portfolio for the qualification. Members heard that it was the intention of the current post-holder to continue with the qualification as more than 80% of the work had been completed. It was proposed by Cllr Chambers, seconded by Cllr Fisk and unanimously agreed to recommend that despite the clerk’s resignation the Council does not seek reimbursement of the entry fee and that it is content for the clerk to submit the necessary supporting documentation for the portfolio on the basis that it had been a contractual requirement that the qualification was sought.
.3	Grievance & Disciplinary policy	The clerk reported that all employers now needed to have such a policy as the previous exemption for less than 20 employees was being withdrawn. Resource material had been obtained from the Society of Local Council Clerks in this connection and it was further noted that the Council’s policy and procedures in respect of complaints would also need to be reviewed in line with the G & D policy. It was proposed by Cllr Stevens, seconded by Cllr Auger and unanimously agreed to recommend that this resource material is used as the basis for a draft policy to be brought to the March meeting of the Committee for consideration with a view to introduction with effect from 1 April 2004.
.4	Performance appraisal policy	The clerk advised that resource material had been sourced from the Society of Local Council Clerks. It was proposed by Cllr Stevens, seconded by Cllr Auger and unanimously agreed to recommend that this is used as the basis for a draft policy to be brought to the June meeting of the Committee for consideration with a view to introduction with effect from 1 July 2004.

024    STORAGE AND HANDLING OF DOCUMENTS AND RECORDS

The clerk reported that a filing system had been introduced for all Council documents accumulated since her appointment and that some of the working documents from the previous clerk’s tenure had been subsumed into these files, which mirror the computer filing system for ease of reference. The clerk presented a draft policy document stipulating how the Council will store and access documents and records in accordance with its policies under the Data Protection Act 1998 and Freedom of Information Act 2000. It was proposed by Cllr Chambers, seconded by Cllr Stevens and unanimously agreed to recommend adoption of the policy as an appendix to the Data Protection Act 1998 policy document.

025    LOCAL AUTHORITIES (MEMBERS ALLOWANCES) (ENGLAND) REGULATIONS 2003

The clerk reminded members that the above regulations would be introduced with effect from 1 January 2004 and would allow for allowances to be paid to elected local Councillors. These allowances would be set by reference to the Local Remuneration Panel for S.K.D.C. if the Council, by resolution, determined that it wished to be paid such allowances. The clerk advised that the cost of allowances would have to be met by the parish precept, hence raising the matter at this meeting. Members were also informed that with effect from 1 January 2004 it would no longer be possible to pay travel and subsistence allowances to members under the current regulations and that the necessary information to introduce the new mileage/subsistence rates was still awaited from S.K.D.C. The clerk confirmed that it was in order to approve members’ activities in the meantime and backdate the expenses payment once the relevant figure is known.

Members briefly discussed the implications of the Regulations and noted that a decision could only be taken by the full Council. It was, therefore, felt inappropriate to make a budget allocation at this time.

026    BUDGET REVIEW 2003/04 & PRECEPT SETTING 2004/05

In accordance with the Council’s Standing Orders and Financial Regulations the Committee reviewed the budget for the current year in order to produce a budget for 2004/05.

INCOME

ITEM TO BUDGET FOR	Forecast to 31.3.04	Budget 2003/04	Working budget 2004/05
Precept	65980.00	65980.00	-
Parish Paths	460.00	400.00	400.00
Bank interest	950.00	475.00	600.00
Allotments Fees	-	-	170.00
Adv. Meetings reimbursement	154.00	170.00	180.00
Community Cleaning Grant	-	-	1300.00
Jubilee Field project	5000.00	-	-
Burial Fees	400.00	800.00	500.00
Memorial Fees	30.00	190.00	100.00
Cemetery - Misc.	10.00	10.00	10.00
Playscheme	237.52	-	-
Highways Bus shelters grant	2303.00	2380.00	750.00
TOTAL	75,524.52	70,405.00	4,010.00

EXPENDITURE

ITEM TO BUDGET FOR	Forecast to 31.3.04	Budget 2003/04	Working budget 2004/05
WAGES, PAYE, NIC, PENS, EXP	18350.00	17860.00	16860.00
ADMINISTRATION	7333.47	6925.00	8090.00
ADVERTISING & PUBLICITY	1707.12	1030.00	1160.00
AMENITY AREAS	2377.74	27310.00	44060.00
CEMETERY	7315.30	11255.00	9500.00
GRANT AID/PLAYSCHEME	5365.75	6000.00	6000.00
HIGHWAYS	22126.35	29,996.35	9,550.00
Police Community Support Officer	-	-	12200.00
Village ornamental/information signs	-	-	1200.00
TOTAL	64,575.73	100,376.35	108,620.00

FINANCIAL ANALYSIS

PREDICTED OUT-TURN AT 31.3.04
Opening Balance at 1.4.03	42,170.68
Add: Forecasted income	75,524.52	117,695.20
Less: Forecasted expenditure		64,575.73
Closing balance at 31.3.04			53,119.47
Less: General reserves 1			16,300.00
Balance available to offset precept			36,819.47

PRECEPT REQUIREMENT 2004/05
Available Balance at 1.4.04	36,819.47
Add: Income	4,010.00	40,829.47
Less: Expenditure		108,620.00	(67,790.53)
Precept required			67,790.53

1 It is standard practice under current regulations to hold approximately 15% of planned expenditure in general reserves. This allows for unanticipated liabilities/contingencies to be met.

PRECEPT	Amount	Difference	% Change on previous	Band D’ charge p.a.	Difference	% Change on previous
2003/04	65,980	1,940	3.0%	£28.71	£3.87	15.6%2
2004/05	67,790	1,810	2.7%	£29.53	£0.82	2.9%

2 Rate equalisation grant was withdrawn by South Kesteven District Council in favour of Special Expense Areas. The effect of losing the grant was included in the Band D’ equivalent calculation, hence a more significant percentage increase than would have been expected. Each year the Council tax base, which is used to calculate the Band D’ charge, will change as it is dependant on the number of properties registered to pay Council tax.

The Finance Committee reviewed the above data to ensure that it was realistic, accurate and consistent with Council activities. It also ensured that the budget requests of each committee have been considered and included in the computation.

It was proposed by Cllr Chambers, seconded by Cllr Auger and unanimously agreed to recommend to the Council that it, as a separate agenda item, approves working budgets for 2004/05 and resolves to set a precept of £67,790 accordingly.

027    DATE OF NEXT MEETING - Thursday, 11 March 2004 at 7.30pm.

There being no further business, the meeting was closed at 9.00pm.