Agenda item

2:30pm – 3:30pm

The Chief Finance Officer submits a report that seeks views of the Scrutiny Committee on the draft budget plans, for the following divisions:-

            Regeneration, Highways & Transport (B1 - Cream)

            Planning and Economic Development (B2 - Red)

The Board is asked to consider the draft budget proposals and make its comments to the Cabinet.

Regeneration, Highways and Transport

The Divisional Director, Regeneration, Highways and Transport, was present to provide a summary of the budget for his division. 

Members heard that the division had an overall budget growth of £1.4m , which would fall to £0.3m by 2013.  This growth was composed of budget pressures of £3.1m in 2011/12 and savings of £1.7m in 2011/12 rising to £2.8m by 2013/14.  it was explained that the pressures mainly related to concessionary fares and reduced design and supervision fees from a reduced capital programme.  The savings mainly comprised of a reduction of 41 posts within the division and a £600,000 reduction in bus subsidies which would encompass the loss of 29 bus routes.  A further saving of £300,000 in highways maintenance had been proposed.  Further a number of questions in relation to the loss of these routes, the Director explained that a number of mitigating factors were considered before decisions were made and consideration in consultation with the bus companies was given to those which could be delivered commercially.  The Director agreed with a suggestion by Councillor Newcombe that all subsidised bus routes in Leicester be reviewed in the future, and it was further suggested that a Task Group review in relation to this be considered as a future topic.  Furthermore, members were informed that discussions were taking place with Leicestershire County Council around the possibility of linking the Birstall and Enderby Park and Ride services.

In light of a reduction in income from on-street and off-street parking, it was questioned whether more rigorous levels of enforcement of unauthorised car parking sites could be employed.  In response, the head of Planning Management and delivery explained that he was aware of several unauthorised sites, and referred members to a legal case which was lost several years ago on the grounds of an inadequate policy and a shortage of evidence.  He stated that the Council had now produced a Car Parking Supplementary Planning Document which was currently undergoing a period of consultation. The meeting heard that once adopted, this could help to significantly reduce the number of unauthorised car parks.

In response to a further question, the Director, Regeneration, Highways and Transport stated that he was optimistic that a reduction in the highways maintenance budget would not lead to a significantly poorer level of service as officers had access to a capital maintenance budget.

In response to a question around the Star Track system, the Director, Regeneration, Highways and Transport, confirmed that there would be no further capital investment into Star Track and that future alternatives to the system were to be considered. 

RESOLVED:

(1)       That the Regeneration, Highways and Transport 2011/12 budget summary be noted; and

(2)               That consideration be given to setting up a Task Group to review subsidised bus routes.

Planning and Economic Development

The Head of Planning Management and Delivery and the Head of Economic Regeneration were present to provide a summary of the budget for the Planning and Economic Development division.

The Board were informed that the division had an overall reduction excluding grant transfers of £41k in 2011/12 rising to nearly £0.5m in subsequent years. There were budget pressures of 269,000 in 2011/12 and proposed savings of £310,000 in 2011/12 rising to £754,000 by 2013/14.  It was explained that the budget pressures related to the cutting of the Housing Planning and delivery Grant and projected shortfalls in the Markets budget.  The savings were mainly from a reduction in management and specialist staffing in the Planning Service and a reduction in funding for sub-regional economic development including the successor body of Prospect Leicestershire and Leicestershire Promotions. 

In respect of economic regeneration, the Head of Economic Development informed the Board that there would be a 30% reduction towards the sub regional support unit, a 30% reduction in the Prospect Leicestershire grant and just under a 30% reduction in overseas links.  It was also anticipated that increased income at Leicester Business Centre would improve the situation by £40,000 in 2011/12 and £80,000 in 2012/13 and beyond.

The Head of Planning Management and Delivery explained that the budget pressure of £182,000 in relation to the Housing Planning and Delivery Grant was as a result of the expiration of the grant from the Government.  Further savings of £202,000 as part of a management review and £129,000 in specialist planning staffing had also been proposed.  In response to a question, it was noted that such specialists included those that provide advice on trees, buildings of historic interest and in relation to urban design.  It was reported that remaining planning specialists would be used in a more focused way.  The Head of Planning Management and Delivery also explained that a proposal had also been included around reducing the amount of pre-planning application advice. 

In response to concerns expressed to officers, the Head of Planning Management and Delivery confirmed that the cuts to service could lead to a reduction in the monitoring of the planning permissions, which in turn could potentially lead to a rise in the number of breaches.

RESOLVED:

(1)       That the Planning and Economic Development 2011/12 budget summary be noted.