To consider the final recommendations of the Mayor on the Capital Plan Budget proposals for 2016/2017 to 2019/2020.  Included in this report are the following documents:

·       Capital Plan Update – Quarter 3 2015/2016

·       Capital Strategy

·       Asset Management Plan

·       Record of Decision setting out the Mayor’s response to the Council’s objections to the Capital Plan Budget 2016/2017 (to follow)

See pages 89 to 174 - http://www.torbay.gov.uk/DemocraticServices/documents/b13117/Revenue%20and%20Capital%20Plan%20Budget%20201617%20Thursday%2011-Feb-2016%2017.30%20Council.pdf?T=9

The Council considered the final Capital Plan Budget proposals of the Mayor (as set out in the Mayor’s Record of Decision dated 19 February 2016), which he had put forward following his consideration of the objections that were made by the Council at its adjourned meeting on 11 February 2016.

In accordance with legislation, the Chairman advised recorded votes would be taken on the motion and amendments.

It was proposed by the Mayor and seconded by Councillor Mills:

(i)         that the latest position for the Council’s Capital expenditure and funding for 2015/16 be noted;

(ii)        that 2016/17 Capital Strategy (set out at Appendix 1 of the submitted report) be approved;

(iii)       that prudential borrowing of £10 million for an Investment Fund to enable acquisition of properties for investment purposes to be funded from future rental income be approved.  Criteria for the purchases within the Fund be presented to Council for approval in due course;

(iv)       that prudential borrowing of £3 million for essential capital repair works be approved with the cost of borrowing to be included in future year revenue budgets and that the allocation of the budget be agreed by the Executive Head – Business Services in consultation with the Chief Finance Officer and the Mayor and Group Leaders with the Overview and Scrutiny Co-ordinator being notified in advance of any decisions;

(v)        that prudential borrowing of £0.350 million to upgrade and update the Council’s CCTV equipment be approved with the cost of borrowing to be included in future year revenue budgets offset by any future external contributions and any resulting revenue savings;

(vi)       that prudential borrowing of £1.0 million for an IT Investment Fund for 2016/17 to 2019/20 be approved with the cost of borrowing to be included in future year revenue budgets and that the allocation of the Fund be agreed by Executive Director of Operations and Finance consultation with the Chief Finance Officer, the Executive Head – Customer Services and the Executive Lead for Customer Services;

(vii)      that the reallocation of £0.5m within the existing schools capital allocation to provide two mobile accommodation buildings at Paignton Community Sports Academy be approved to meet an immediate need for pupil places;

(viii)     that the Council will not take up the option in 2016/17 of using capital receipts to fund one off revenue costs of transformation to meet future budget reductions;

(ix)       that, subject to approval of (iii) to (viii) above, the budget forecast for 2016/17 to 2019/20 at Appendix 2 of the submitted report be approved as the Capital Plan;  and

(x)        that the Corporate Asset Management Plan for 2015 – 2019 (as set out in Appendix 4 of the submitted report) be approved.

In accordance with Standing Order A14.4, an amendment was proposed by Councillor Thomas (D) and seconded by Councillor Darling (S):

that the Mayor’s Capital Budget proposals be amended to include:

(i)         that the matrix scoring criteria for capital projects is prepared and presented to the Council for approval at its extraordinary meeting on 7 April 2016;  and

(ii)        that following approval of the matrix scoring criteria by the Council on 7 April 2016, any revisions required to the Capital Plan will be presented to Council for approval at the Annual Council meeting on 11 May 2016.

A recorded vote was taken on the amendment.  The vote was taken by roll call as follows:  For:  Mayor Oliver, Councillors Amil, Barnby, Bent, Brooks, Bye, Carter, Cunningham, Darling (M), Darling (S), Doggett, Ellery, Excell, Haddock, Hill, King, Kingscote, Lang, Lewis, Manning, Mills, Morey, Morris, O’Dwyer, Parrott, Robson, Sanders, Stockman, Stocks, Stringer, Stubley, Sykes, Thomas (D), Thomas (J), Tolchard, Tyerman and Winfield (37).  Therefore, as more than two-thirds of Members present and voting had cast their vote in support of the amendment it was declared carried (unanimous).

In accordance with Standing Order A14.4, an amendment was proposed by Councillor Carter and seconded by Councillor Sanders:

that it be noted that the Mayor in his response to the Council’s objections does not acknowledge the request of the Council to undertake public consultation to ensure that appropriate projects are brought forward for the Paignton seafront and harbour side.  Therefore, the Council resolves that public consultation will be undertaken to ensure that appropriate projects are brought forward for the Paignton seafront and harbour side (with a particular focus on Paignton Harbour) to inform the Capital Plan.

A recorded vote was taken on the amendment.  The vote was taken by roll call as follows:  For:  Mayor Oliver, Councillors Amil, Barnby, Bent, Bye, Carter, Cunningham, Darling (M), Darling (S), Doggett, Ellery, Excell, Haddock, Hill, King, Kingscote, Lang, Lewis, Manning, Morey, Morris, Parrott, Sanders, Stockman, Stocks, Stringer, Stubley, Sykes, Thomas (D), Thomas (J), Tolchard, Tyerman and Winfield (33):  Against:  Councillors Brooks, Mills and O’Dwyer (3);  and Abstain:  Councillor Robson (1).  Therefore, as more than two-thirds of Members present and voting had cast their vote in support of the amendment it was declared carried.

(Note:  At this juncture, Councillor Winfield left the meeting.)

In accordance with Standing Order A14.4, an amendment was proposed by Councillor Darling (S) and seconded by Councillor Darling (M):

that in respect of the criteria for the purchases within the £10 million Investment Fund, part of the criteria includes housing delivery investment options.  The parameters of the criteria to include a commitment to fully explore and assess the merits of the Council developing its own residential property and to potentially become a landlord to increase the supply and delivery rate of affordable homes, provide more comprehensive solutions around temporary accommodation, to better meet the needs of our most vulnerable residents, tackle the indices of deprivation in the community investment areas (as identified in the Local Plan) and to provide a potential revenue income stream to the Council.

A recorded vote was taken on the amendment.  The vote was taken by roll call as follows:  For:  Councillors Bent, Carter, Cunningham, Darling (M), Darling (S), Doggett, Ellery, Morey, Parrott, Robson, Sanders, Stockman, Stocks, Stringer, Thomas (D) and Tolchard (16):  Against:  Mayor Oliver, Councillors Amil, Barnby, Brooks, Bye, Excell, Haddock, Hill, King, Kingscote, Lang, Lewis, Manning, Mills, Morris, O’Dwyer, Stubley, Sykes, Thomas (J) and Tyerman (20);  and Absent:  Councillor Winfield (1).  Therefore, as less than two-thirds of Members present and voting had cast their vote in support of the amendment it was declared lost.

The substantive motion (the original motion updated by the two amendments in relation to matrix scoring criteria and consultation on Paignton projects) was then before Members for consideration.

A recorded vote was taken on the substantive motion.  The vote was taken by roll call as follows:  For:  Mayor Oliver, Councillors Amil, Barnby, Bent, Brooks, Bye, Carter, Cunningham, Darling (M), Darling (S), Doggett, Ellery, Excell, Haddock, Hill, King, Kingscote, Lang, Lewis, Manning, Mills, Morey, Morris, O’Dwyer, Parrott, Robson, Sanders, Stockman, Stocks, Stringer, Stubley, Sykes, Thomas (D), Thomas (J), Tolchard, Tyerman (36); and Absent:  Councillor Winfield (1).  Therefore, as more than two-thirds of Members present and voting had cast their vote in support of the substantive motion it was declared carried (unanimous).