| Reference Number :- | 2148 |
| Date :- | 2012/01/25 |
| Decision Maker :- | Cabinet |
| Subject to Call-in :- | No |
| Subject of Decision :- | Housing Revenue Account Budget Proposals, 30 year Business Plan, The Self-Financing Reforms and Associated Debt Settlement. |
| Decision :- | (1) That Cabinet:- (a) Approves the 2012/13 Scale of Charges, as shown in Appendix ‘B’ to item A.11 of the Joint Report of the Housing Portfolio Holder and the Finance and Asset Management Portfolio Holder and that any amendments required to the charge for the Careline Alarm Service following the review being undertaken by Essex County Council, be delegated to the Head of Life Opportunities in consultation with the Housing Portfolio Holder. (b) Approves the level of rents for 2012/13 in accordance with the Government’s formula rent mechanism based on an increase in the average rent of 7.99% with no tenant bearing an increase of more than the limit set out within the Government’s rent setting policy of RPI (5.6%) + 0.5% plus £2.00 per week. (c) Approves the Housing Revenue Account (HRA) revised estimates for 2011/12 and original estimates for 2012/13 as set out in Appendix ‘A’ and updated with the final position for 2012/13 that includes the financing of the debt settlement, as set out in Appendix ‘G’ to the afore-mentioned report. (d) Agrees that, in respect of 2011/12, the corporate financial system be amended accordingly to reflect these changes along with any amendments arising from revised financial reporting requirements. (e) Approves the HRA Capital Programme, as set out in Appendix ‘C’ to the above report, and that it is amalgamated with the General Fund (GF) Capital Programme for recommending to Council as part of Cabinet’s overall budget proposals. (f) Approves the HRA 30 Year Business Plan, set out in Appendix ‘D’ to the afore-mentioned report updated with the final position that includes the financing of the debt settlement, as set out in Appendix ‘G’ to the afore-mentioned joint report. (g) Delegates authority to the Head of Resource Management and Head of Life Opportunities in consultation with the Finance and Asset Management and Housing Portfolio Holders to update the budgets and Business Plan in the event that changes are required following the receipt of additional information or guidance that may become available and that the use of HRA balances be adjusted to offset any changes accordingly. (2) That Cabinet recommends to Council:- (h) That Option 1 as set out in Appendix ‘E’ to the Joint Report of the Housing Portfolio Holder and Finance and Asset Management Portfolio Holder be approved as the mechanism to allocate the current loans held by the Authority across the GF and HRA. (i) That the Council’s Authorised and Operational Borrowing limits be increased to enable £36.304m of borrowing to be undertaken to finance the debt settlement required to facilitate the move to the new HRA self financing regime. (j) That delegated authority be given to the Head of Resource Management, in consultation with the Finance and Asset Management Portfolio Holder, to optimise the structure of loans totalling £36.304m and that Officers continue to work with the Council’s treasury advisors in order to maximise any further benefits to the HRA. |
| Reason for Decision :- | In order to progress this matter to a satisfactory conclusion. |
| Alternative Options Considered :- | None. |
| Conflicts of Interest Delared (and Dispensations Granted by the Monitoring Officer) :- | None. |
| Contact Officer :- | Head of Resource Management - Karen Neath |
| Decision to Take Effect at end of :- | 2012/02/03 |
| Attachments :- | A11 Report and Apps HRA Budget proposals (304K/bytes) |