Archived decisions

Appendix 2

Revised Budget 2005/06

1 2005/06 Cash limit

		£'000
2005/06 Budget requirement		1,107,865

Plus contribution from balances		4,400
		1,112,265

Carry forward of service overspendings in 2004/05 accounts		-551

Additional spending in 2005/06 approved by Cabinet in June 2005 from 2004/05's underspending (£105,000 carried forward to 2006/07)		795

Proposed transfer to Pay and Benefits transitional cost reserve		5,700

Adjusted 2005/06 cash limit		1,118,209

2 Comparison of revised budget with cash limit

	Cash limit	Revised Budget	Variation
	£'000	£'000	£'000
Service cash-limited expenditure
Adult Services	249,170	249,170	-
Children's Services	782,976	782,891	-85
Environment	95,873	95,618	-255
Policy & Resources	47,172	46,947	-225
Recreation and Heritage	30,312	30,312	-
	1,205,503	1,204,938	-565

Non cash limited expenditure:
Flood protection levies	742	742	-
Mandatory awards to students	160	160	-
Capital financing charges	36,978	34,964	-2,014

Revenue contributions to capital	29,989	29,989	-
Specific grants	-170,320	-170,320	-
Inflation and central contingencies	5,963	4,950	-1,013

Transfers to/from earmarked reserves:
As per adjusted budget	9,194	9,194	-
Planned service underspendings	-	565	565

Total spending	1,118,209	1,115,182	-3,027

Reduction in Government grant in 2004/05 and 2005/06 Amending report			455
			-2,572

3 Comparison Analysis of main variations

		£'000
Planned service underspendings on Children's Services, Environment and Policy and Resources		-565

Earmarking of planned underspending to be carried forward to 2006/07		565

Higher capital finalising costs from additional borrowing in 2004/05		486
Increased interest on balances from higher balances and improved cashflow		-2,500

Lower interest rates		-993

Net saving on other contingency items		-20

Reduction in Revenue Support Grant from 2004/05 and 2005/06 amending reports (£1.655m), net of allowance made in 2004/05's accounts (£1.2m)		455

		-2,572

Appendix 3

Revenue Budget 2006/07

2006/07 Base Budget

4 Service base budgets (£1,228.5m)

4.1 Provisional base budgets which formed the basis of the provisional guidelines set by the Cabinet in December 2005, totalled £1,224.9m. The final calculation of the base budget is £1,228.5m, an increase of £3.6m, mainly as a result of additional specific grants of £2.8m, allowance for planned carry forwards from 2005/06 of £0.4m, and other variations to the schools base budget of £0.3m.

Inflation to November 205 prices

4.2 In preparing the base budget at November 2005 prices, allowance has been made for the full year effect of pay awards at the level supported in 2005/06 and for inflation on the Waste Management contract, but has otherwise been restricted to the allocations made in 2005/06. In total allowance has been made of £33.5 for inflation between November 2004 and November 2005, made up as follows:

Table 1

	£m
Allocations included in 2005/06's original service budget	28.2
Provision made within growth in the Schools and Social Services budgets for price increases above the corporate assumption of 2.5%	3.3
Full-year effect of 2005/06 pay awards and of allocations made from central contingency for the Waste Management contract and business rates	2.0
	33.5

4.3 Actual inflation is estimated at £34.5, or £1.0m more than the allowance made in the budget. £0.6m of this excess relates to the schools budget, which was set on the basis of `passporting' the increase in the formula spending share set by the Government and provided for an increase in the budget of £12.5m above the anticipated level of inflation. Part of this increase had therefore to absorb the excess cost of inflation and for other services excess inflation costs of £0.4m had also to be absorbed within the cash limit.

4.4 As pay increases for both teachers and local government staff had been agreed for three year periods prior to the 2005/06 budget being set, full provision was made in the 2005/06 budget for pay increases. The excess cost of inflation therefore relates to non-pay budgets, for which a general allowance of 2.5% was made, together with an additional £2.9m for social care contracts and £0.4m for repair and maintenance of buildings. Table 2 analyses the main variations between actual and estimated non-pay inflation.

Table 2


	Excess cost in 2005/06 above allowance in base budget
	%	£000

Water and Sewerage charges	15.1	437
Electricity	-1.3	-32
Gas	-2.5	-80
Staff car allowances	1.2	85
School catering contract	0.9	43
Examination fees	3.3	87
Routine highway maintenance	-0.2	-44
Bus subsidy contracts	2.9	184
Repair and maintenance of buildings	4.5	597

4.5 Variations other than inflation add £2.8m to the base budget and can be categorised as follows:

Table 3

	£m
Variations in spending financed by Government specific grants other than the Dedicated Schools grant on Children's services (+£5.5m), Adult Services (-£1.8m)	3.7
Provision for higher waste management contract costs and other spending for which contingency provision was made in the 2005/06 budget	1.7
Adjustment for virement between capital and revenue spending	0.4
Expenditure in 2005/06 financed on a non-recurring basis from underspendings	-0.6
Deletion of non-recurring items in the 2005/06 budget - book fund, pay and benefits project, older persons communications and County Council elections	-1.1
Planned carry-forward of Environment and Policy and Resources underspendings in 2005/06	0.4
SAP benefit realisation savings target for 2006/07	-0.4
Absorption of excess cost of inflation in 2005/06	-1.0
Other allowable variations in the base budget:
Pupil numbers	-0.8
Change in the number of school days in the financial year	-0.2
Revenue effect of capital programme	0.2
Additional road lengths	0.1
Full-year effect of 2005/06 approved growth on office accommodation and Hampshire Own Grown	0.2

4.6 Details for each service of the most significant variations compared with the repriced budget for 2004/05 are set out in the annex to this appendix.

Allocation for future inflation

4.7 Included within service base budgets is a provision for future inflation, so that the budget is presented on a cash-limited basis, based on the following assumptions agreed by the Cabinet in December together with specific assumptions for school budgets:

	£m
Pay increases at 2.95% and price increases at 2.5%	19.3
Increase in employers' contribution to the Local Government Pension Scheme from 15.0 % to 16.5%	2.7
Allowance for income to increase in line with the average increase in expenditure	-8.6
Allowance for inflation within the Schools budget - financed by Dedicated Schools Grant	19.5
	32.9

4.8 Provision has been retained centrally mainly for increases in business rates, and for higher costs arising from the Waste Management contract. These are summarised in paragraph 3.8.

5 Summary of service budgets

5.1 A summary of service budgets is set out below:

Table 5


		2005/06 Original budget	Variation in inflation to November 2005 prices		Other variations		Allocation for future inflation	2006/07 Base budget
		£'000	£'000	%	£'000	%	£'000	£'000

Adult Services		249,149	11	-	-1,795	-0.7	5,460	252,825
Children
	Schools	640,580	696	0.1	4,676	0.7	19,545	665,497
	LEA Services	63,961	211	0.3	564	0.9	1,575	66,311
	Social Care	65,729	22	-	-1431	-2.2	1,953	66,273
Environment		93,721	1,824	1.9	2,389	2.5	1,788	99,722
Policy and Resources		46,150	212	0.5	-1,437	-3.1	1,475	46,400
Recreation and Heritage		30,511	76	0.2	-215	-0.7	1,123	31,495
		1,189,801	3,052	0.3	2,751	0.2	32,919	1,228,523

5.2 Workforce numbers in the base budget are forecast to be 340 higher than in the 2005/06 budget. The growth and redeployment proposals in Appendix 4 add a further 329 to estimated workforce numbers, of which 324 are in schools. More details of changes in the workforce and in related workforce budgets are included in Appendix 8.

6 Expenditure outside cash limits

6.1 There are a number of budget headings excluded from service budgetary control limits, as spending is outside the direct control of services.

Flood Protection levies (£0.7m)

6.2 Since 2004/05, the main source of funding for flood defence costs incurred by regional flood defence committees is direct from central government. However, subject to the approval of the majority of local authority representatives, regional flood defence committees retain the power to levy supplementary levies on local authorities. Levies have yet to be set for 2006/07 and the base budget has been set on the basis of levies for 2005/06, with an allowance included in the central contingency for potential increases in 2006/07.

Capital financing charges (£40.5m)

6.3 The system of accounting for capital assets means that capital financing charges do not feature in service budgets but are charged to a central asset management account. The level of financing charges made to the central account is a key factor in setting the Council's budget. The charges comprise loan repayments and interest of £42.7m offset by interest on balances of £2.2m. The base budget has been prepared on the basis of current short-term interest rates linked to a base rate of 4.5%.

6.4 The estimate assumes the continuation of the policy of repaying debt at the minimum statutory level and of making no voluntary set aside of capital receipts to repay debt, other than in circumstances where unsupported borrowing has been incurred on a temporary basis in the advance of availability of a capital receipt. The estimate is £2.8m higher than the original estimate for the current year for the following main reasons:

· the capital financing requirement at the end of 2005/06 is expected to be about £37.7m higher than the level assumed at 1 April 2005 in setting the 2005/06 budget. Additional repayments of principal and interest on this increases borrowing in 2006/07 are estimated at £3.5m

· base rate has fallen from 4.75% to 4.5% during 2005/06, and together with savings from new long-term borrowing at lower interest rates, has reduced capital financing costs by £0.7m.

Revenue contributions to capital (£24.6m)

6.5 Revenue contributions to capital supplement Government supported borrowing, grants and the use of capital receipts in financing the capital programme.

6.6 The base budget is £6.3m lower than the 2005/06 budget as a result of the following variations:

Table 6

	£m
Service proposals to transfer resources between capital and revenue	-0.4
SAP benefit realisation savings utilised to replace funding temporarily used to finance the project	0.4
DEFRA grant to finance household waste recycling programme now partly paid as a capital rather than revenue grant	-0.5
2.5% uplift for inflation to reflect non-pay assumption in the revenue budget	0.7
Surplus revenue contributions in 2006/07 transferred to the capital reserve	-6.5
	-6.3

Specific grants (£751.1m)

6.7 Specific grants have increased dramatically by £591.8m mainly as a result of the creation of the new Dedicated Schools grant, as set out in Table 7.

Table 7


		£m
Function and funding changes:
	Support for schools budget transferred from revenue support grant to Dedicated Schools Grant (£573.7m) together with increased spending within the schools base budget (£18.9m)	592.6
	Teachers pay reform grant assimilated into revenue support grant and Learning and Skills Council funding	-0.8
	Residential allowance assimilated into revenue support grant	-3.8
	Final transfer of responsibility for funding mandatory student awards to the Student Loans Company	-0.1
Increased grant:
	Grant increases supporting increased spending in the base budget (as per Table 3 )	3.7
	Increase in DEFRA Waste performance grant, supporting increased Waste Management contract contingency	0.2
		591.8

6.8 Service budgets incorporate allocations for general pay and price inflation and for increased employers pension contributions. The contingency provision of £5.3m in the base budget covers other items for which resources have been earmarked, but where it would be premature to allocate the resources at this stage, or where allocation decisions have still to be made The provision is made up as follows:

Table 8


		£m
A central contingency of £4.8m has been included in the base budget for higher waste management contract costs. This is to cover:
	- a further increase of £3 per tonne in the landfill tax form 1 April 2006
	- price increases from 1 January 2006 and 1 January 2007 under the terms of the contract	4.8
	- the impact of new regulations relating to Hazardous Waste and the potential impact of higher waste volumes
Changes in business rates are budgeted for centrally (with the exception of schools in future) with services being allowed to adjust their cash limits to reflect actual costs. This treatment reflects the uncertainty associated with valuation appeals and the affect of transitional arrangements following revaluations (most recently at 1 April 2005). Provision has been made in the contingency for the effect of the 2.7% increase in the national poundage		0.1
The County Council agreed in the 2005/06 budget to utilise the majority of the council tax income from reducing the discount on second homes to finance accredited community safety officers, but retained in contingency a sum of £0.2m to support key worker housing initiatives		0.2
Allowance has been made for potential increases in the flood defence levies set by the regional flood defence committees in 2006/07		0.1
Contingency provision was made in the 2005/06 budget for the effect of increased employers pension contributions in respect of members joining the Local Government Pension Scheme and for risk management and health and safety initiatives, which has still to be fully allocated		0.1
		5.3

7 Summary

7.1 In summary therefore the base budget for 2006/07 is £563.0m, made up as follows:

Table 9


		£'000
Service cash-limited expenditure		1,228,523
Flood protection levies		742
Capital financing charges		40,461
Revenue contributions to capital		24,577
Specific grants		-751,130
Inflation and central contingencies		5,306
		548,479
Contributions to / (from) reserves and balances:
	Contribution to modernisation, restructuring and efficiency reserve		8,700
	Use of 2004/05 and 2005/06 planned underspendings to support Policy and Resources and Environment budgets		-546
	Transfer of surplus revenue contributions to capital anticipated in 2006/07 to capital reserve		6,546
	Non-recurring provision in 2004/05 budget used to fund a grant to INTECH for three years		-40
	Funding for business rate team from invest to save reserve		-75
	Spending on Rural Pathfinder and sustainability initiatives to be incurred in 2006/07 funded from balances		-70
			562,994

Annex A to Appendix 3

Adult Services

Calculation of base budget 2006/07

Significant variations

Major variations between the repriced budget 2005/06 and the base budget for 2006/07 at November 2005 prices contributing to the decrease of £1.8m (0.7%) are set out below:


		Variations against the repriced 2005/06 budget
		£'000	%
Variations in spending matched by changes in specific grant:
	Supporting People	-479
	Preserved rights	-1057
	Access and Systems capacity	-747
	Preventative Technology	592
	Other grants	-125
		-1816	-0.7
Increased costs from Joint Finance taper with health authorities		21

Annex B to Appendix 3

Children's Services

Calculation of base budget 2006/07

Significant variations

Major variations between the repriced budget 2005/06 and the base budget for 2006/07 at November 2005 prices contributing to the increase of £3.8m (0.5 %) are set out below:


	Variations against the repriced 2005/06 budget
	£'000	%
Schools Budget Reduction in Pupil Numbers Increase in Government Grants Savings to absorb excess inflation LEA Budget Variation in the number of school days Increase in Government Grants Savings to absorb excess inflation Social Care Variations in Government Grants Savings to absorb excess inflation	-763 5,971 -558 -142 883 -80 -1,433 -27	-0.1 0.9 -0.1 -0.2 1.4 -0.1 -2.2 -

Annex C to Appendix 3

Environment

Calculation of base budget 2006/07

Significant variations

Major variations between the repriced budget 2005/06 and the base budget for 2006/07 at November 2005 prices contributing towards the increase of £2.4m (2.5%) are set out below:


	Variations against the repriced 2005/06 budget
	£'000	%
Highways and transportation
Highways maintenance

Increased roads lengths - additional routine maintenance and street lighting expenditure arising from highway adoptions	93	0.4

Capital programme - additional expenditure arising from the implementation of highways improvement schemes	160	0.7

Transfer from structural maintenance to compensate for required increase in winter maintenance provision	210	1.0

Increase in Government grant to cover expenditure arising from de-trunking of A339	10	-

Budget adjustment arising from lower inflation compared to allocation for inflation included in 2005/06 original budget	44	0.2

Public transport

Bus subsidies - required savings to absorb higher expenditure from contract re-tendering and other cost variations within the base budget	-184	-2.9

Increase in Government grant for rural bus services	35	2.4







Management and support services

Higher expenditure arising from increased pay costs and other variations in departmental running costs	474	2.1

Highways land assets project - approved increase in budget, to be met from anticipated higher future capital receipts	30	0.1

Legal - additional support in connection with legal agreements relating to generation of capital receipts and developers' contributions to be met by transfer from locally resourced capital programme	130	0.6

Rural pathfinder - additional allocation from 2004/05 corporate underspending	50	0.2

Asset management - savings against non-recurring items of expenditure	-275	-1.2

Supplies and support services - various minor savings from departmental budget	-43	-0.2

Fees - additional income from external fees and higher cost recovery from capital programme	-150	-0.7

Carry forward of planned underspending from 2005/06 for system development costs associated with implementation of the Traffic Management Act and for developing highways asset management approach	255	1.4

Waste management

Waste disposal contract - adjustment to budget to reflect increases in expenditure, other than inflation	1,543	3.8

Annex D to Appendix 3

Policy and Resources

Calculation of base budget 2006/07

Significant variations

Major variations between the repriced budget 2005/06 and the base budget for 2006/07 at November 2005 prices contributing to the decrease of £1.4m (-3.1%) are set out below:


		Variations against the repriced 2005/06 budget
		£'000	%
Chief Executive:
	Deletion of non-recurring expenditure: County Council elections Older people's survey	-550 -50	-1.1 -0.1
	Deletion of one-off funding from 2004/05 underspend: Community Planning grant	-145	-0.3
	2005/06 planned underspend carried forward: Community Planning Older people's wellbeing	90 85	0.2 0.2
County Treasurer:
	Deletion of one-off funding from 2004/05 underspend	-30	-
	Budget transfer to Human Resources: payroll service centre	-150	-0.3
	SAP benefit realisation savings	-100	-0.2
Director of Human Resources:
	Deletion of one-off funding for the pay and benefits project in 2005/06 only	-200	-0.4
	Full year effect of 2005/06 growth: Hampshire Own Grown	64	0.1
	Deletion of one-off funding from 2004/05 underspend: HR restructuring HR Equalities and Leadership training	-100 -100	-0.2 -0.2
	Budget transfers: From County Treasurer for the payroll service centre To schools to fund the purchase of occupational health services	150 -50	0.3 -0.1
	SAP benefit realisation savings	-250	-0.5
Director of Property, Business and Regulatory Services:
	Deletion of one-off funding from 2004/05 underspend: Community Support Officers Office Accommodation	-18 -200	- -0.4
	Full year effect of 2005/06 growth: Office Accommodation	200	0.4

Annex E to Appendix 3

Recreation and Heritage

Calculation of base budget 2006/07

Significant variations

Major variations between the repriced budget 2005/06 and the base budget for 2006/07 at November 2005 prices contributing to the decrease of -£0.2m (-0.7%) are set out below:


	Variations against the repriced 2005/06 budget
	£'000	%
Museums and Archives

Transfer to Libraries and Information for Gosport Discovery Centre Staff	-51	-

Libraries and Information

Transfer from Museums for Gosport Discovery Centre staff	51	-
Transfer from capital for IT post	17	-
Transfer from Director for IT posts	68	-
Cessation of book fund increase	-250	-
Increments	113	1.0
Cessation of reorganisation costs	-101
Increase of costs of contract cleaning	67	23.4
Transport	116
Minor variations across the service	83	-
Savings to be achieved	-285	-

Countryside

Transfer from Policy Fund	37	-
Transfer to Arts	-9	-

Arts

Transfer from Countryside	9	-

Policy fund

Additional resource	30	-
Transfer to Countryside	-37	-
Transfer to Director	-70	-

Director and Business Development

Transfer to Libraries and Information	-68	-
Transfer from Policy Fund	70	-

Appendix 4A

Adult Services

Proposals for growth and redeployment 2006/07 and 2007/08


	2006/07 £'000	2007/08 £'000	Staffing (FTEs)
	2006/07 £'000	2007/08 £'000	2006/07	2007/08
Growth proposals and unavoidable service pressures:
Transition - Costs of clients transferring from Children and Families to Adult Services	1,200	1,400	0	0
Additional costs from loss of Supporting People funding	400	440	0	0
Increased OT equipment demand - Integrated Community Equipment Service	50	0	1	0
Purchased mental health residential care demographic / Other pressures	100	0	0	0
Ongoing impact of pressures within Learning Disability in 2005/06	1,300	0	0	0
Additional revenue costs of nursing homes opening from the enhance project	100	0	0	0
IT costs - new nursing homes	500	-500	0	0
Domiciliary care - service increase from demographic growth	700	700	0	0
Revenue costs from Swift and other IT systems	250	0	0	0
Inflation on purchased care services in excess of corporately assumed rates	1,500	1,500	0	0
Contingency for new pressures/ overspend	2,000	1,000	0	0
Changes in grant funding	1,337	168	0	0
Preventative technology	592	404	tbc	tbc

Total increase	10,029	5,112	tbc	tbc

Redeployment and savings proposals:
Service remodelling and re - provision	-2,199	-250	tbc	tbc
Staffing Efficiencies	-1,074	0	-3	0
Maximising income from Health for continuing care	-260	0	0	0
Absorption of inflation on supplies and services	-300	0	0	0
Reduction in travel expenditure	-80	0	0	0
Transition - savings from clients leaving Adults	-662	-275	0	0
Savings on support services	-250	0	0	0
Other miscellaneous savings	-200	-80	0	0
Additional income from fees and charges in excess of inflation	-570	-595	0	0
Additional savings and service withdrawals	-819	-1,682	tbc	tbc
Total redeployment and savings proposals	-6,414	-2,382	tbc	tbc
Net Increase	3,615	2,730	tbc	tbc
Total net increase allowed in the budget guidelines	915	2,730
Balance to be identified	2,700	0

Appendix 4 B1

Children's Services (Schools Budget)

Proposals for growth and redeployment 2006/07 and 2007/08


	2006/07	2007/08	Staffing (FTEs)
	2006/07	2007/08	2006/07	2007/08
	£'000	£'000
Cost Pressures Growth proposals:	18,411	17,053
Personalised Learning 14-16 Practical Learning Options Workforce Reform Primary PPA Time Secondary Invigilation Step 6 Funding in Special Special Place Numbers Minimum Funding Guarantee Excess inflation for out county special schools Extra for EOTAS JENI/CWD/SHIPS Service Families Secondary Exam Fees Nursery Pupil Participation Rates Extra 5 weeks in Nursery Child Care/Children's Centres ICT in Schools Home to School Link Workers Combined Budgets Occupational Health SLA Financial Management Standard Early Years SENCOs SLA inflation above 2.5%	4,064 972 1,729 1,291 241 225 -60 1,673 150 250 150 438 319 235 3,172 100 700 750 500 180 13 265 110	6,407 1,700 0 0 0 0 0 1,994 150 100 150 0 197 848 258 150 0 700 1,000 0 35 0 138	116 69 52 8 -2 6 13 5 30 14 13	183 3 7 28 28
Growth Proposals	17,467	13,827	324	249

Total increase in Schools' Budget met by increased DSG.	35,878	30,880	324	249

Appendix 4 B2

Children's Services (LEA Budget)

Proposals for growth and redeployment 2006/07 and 2007/08


	2006/07	2007/08	Staffing (FTEs)
	2006/07	2007/08	2006/07	2007/08
	£'000	£'000
Growth proposals:
ICT costs - data warehouse/impulse upgrade Home to School Transport Child Protection Officer Post Postal service pricing change Wessex Youth Offending Team Other minor pressures Total Growth Proposals Savings Proposals Staffing Vacancy Home to School Transport - After School activities Sale of Wessex Way lease (Youth Service) Reductions in service demands - incl FE awards and catering Income generation - incl school milk admin charge, Youth Service Standards Fund - Matched Funding Total Savings	152 400 45 33 157 24 811 -38 -78 -85 -27 -15 -363 -606	0 300 0 0 0 0 300 38 0 0 0 0 0 38	3 1 4 -1	- - - 1
Net increase met from growth in budget guideline	205	338	3	1

Appendix 4 B3

Children's Services (Children's Social Care)

Proposals for growth and redeployment 2006/07 and 2007/08


	2006/07	2007/08	Staffing (FTEs)
	2006/07	2007/08	2006/07	2007/08
	£'000	£'000
Growth proposals:
NCP/IFA Legal Charges Relocation of Havant CWD Increased IS running costs Adoption Regulations Retain existing services where grant has been reduced Change for Children initiatives Less Contribution from grant growth Total Growth Proposals Savings Proposals Stonham contract Family Group Conferences Total Savings	1,400 237 40 50 114 820 84 2,745 -440 -25 -465	500 -6 1,068 -550 1,012 -150 -150	4 4
Net increase met by growth in budget guideline	2,280	862	4

Appendix 4C

Environment

Proposals for growth and redeployment 2006/07 and 2007/08


	Growth proposals	2006/07	2007/08	Staffing (FTEs)
	Growth proposals	2006/07	2007/08	2006/07	2007/08
		£'000	£'000
1	Highways maintenance

1.1	Street lighting energy - additional sum to cover anticipated higher energy costs	1,000	-	-	-

1.2	Highway tree maintenance - implementation of proactive policies to reduce risk, including maintenance of trees on double deck bus routes	300	-	-	-

1.3	Winter maintenance - to offset reduction in base budget to capital structural maintenance	210	320	-	-

1.4	Technical surveys - higher costs of implementing new condition assessment methods	105	-	-	-
	Total highways maintenance	1,615	320	-	-

2	Public transport

2.1	Cango and community transport - withdrawal of external funding from Bus Challenge and Rural Transport Partnership	80	190	-	-

2.2	Ferries - increasing subsidy for Hythe and Hayling Island ferries	10	-	-	-

	Total public transport	90	190	-	-

3	Planning and development
3.1	Minerals and waste - provision to cover development plan shortfall and specialist consultancy advice	75	-	-	-

3.2	IT - provision for minerals and waste ICT system development and maintenance, and e-government, including site and monitoring system requirements	52	-	-	-

	Total planning and development	127	-	-	-

4	Waste management
4.1	Waste management administration - additional staffing capacity to manage change, maximise performance and minimise budget growth	200	-	4	-

4.2	Efford landfill site - provision to meet ongoing monitoring costs	20	-	-	-

	Total waste management	220	-	4	-

	Total growth proposals	2,052	510	4	-


Redeployment proposals		2006/07	2007/08	Staffing (FTEs)
Redeployment proposals		2006/07	2007/08	2006/07	2007/08
		£'000	£'000
5	Highways maintenance

5.1	Construction Lean Improvement Project (CLIP) -target efficiency savings to be realised	-100	-150	-1	-1

5.2	Income - estimated additional income from commuted sums from developers and increases to licence fees	-150	-100	-	-

5.3	Traffic Management Act - savings against non-recurring items of expenditure in base budget	-75	-	-	-

5.4	IT system development - reduced provision for highways maintenance related systems	-50	-	-	-

5.5	Efficiency savings - relating to increased use of type 3 sub-base, infra-red patching, and recycling and street lighting material efficiencies	-98	-	-	-

	Total highways maintenance	-473	-250	-1	-1

6	Public transport
6.1	Bus subsidies - review of contracted bus services	-90	-190	-1	-

	Total public transport	-90	-190	-1	-











7	Highways management and support services

7.1	Network management - savings across a number of headings including premises, admin support staff, overtime and allowances	-100	-70	-2	-1

7.2	Traffic management - reduced advice and advertising of traffic regulation orders	-60	-40	-3	-

7.3	Intelligent Transport Systems - reduction in operational budget, reduced advice and savings in staffing	-74	-25	-2	-

7.4	SHRT development - reduced provision for future development of SHRT	-58	-	-	-

7.5	IT - savings from reduced software and hardware maintenance, support consultants and minor purchases	-30	-	-	-

	Total highways management and support services	-322	-135	-7	-1


8	Planning and development
8.1	Landscape planning and heritage - reduced support across various programme areas, including related staffing savings	-571	85	-3	-




8.2	Natural resources and environment futures - savings in operational budget, reduced LIFE funding and staffing savings	-132	-	-	-

8.3	Ecology - savings against operational spending and staffng budgets	-64	-	-1	-

8.4	Spatial strategy - savings against operational and staffing budgets	-61	-20	-1	-

8.5	Strategy and information - staffing saving	-9	-	-	-

8.6	Income - additional anticipated income from Planning Delivery Grant and higher site monitoring fees	-75	-	-	-

	Total planning and development	-912	65	-5	-


9	Waste management
9.1	Disposal of abandoned vehicles - savings arising from improvement in market for scrap metal	-100	-	-	-

9.2	Income - additional income from new funding streams	-120	-	-	-


	Total waste management	-220	-	-	-








10	Other services

10.1	School crossing patrols - budget reduction reflecting ongoing staff recruitment difficulties	-25	-	-	-

10.2	Road safety - economies in operational support	-5	-	-	-

10.3	Traffic surveys - additional income	-5	-	-	-

	Total other services	-35	-	-	-


	Total redeployment proposals	-2,052	-510	-14	-2

Appendix 4D

Policy and Resources

Proposals for redeployment 2006/07 and 2007/08


	2006/07	2007/08	Staffing (FTEs)
	2006/07	2007/08	2006/07	2007/08
	£'000	£'000
Redeployment proposals:
Human Resources: Occupational Health services to schools funded by increased income Pay and Benefits Team funded from the job evaluation transitional costs reserve Property, Business and Regulatory Services: Affordable and key worker housing strategy funded from capital receipts Corporate Procurement Unit funded by corporate procurement savings Accredited community support officers - additional cost of existing team to be met from council tax second homes income Chief Executive: Local links - development of specialist HATS website	150 295 50 100 100 55	- -295 - - 150 -55	3 - 1 2 - -	- - - - - -
External funding officer Promoting Hampshire initiatives Less funding from 2005/06 underspending carried forward on Audit Fee (£50,000) and from part of saving on Older Persons well-being (£25,000), Local Links contingency sum (£55,000)	20 55 -130	-20 -55 130	1 1 -	- -1 -
	695	-145	8	-1

Financed by additional income, reserve transfers and procurement savings	695	145	-	-
Net increase	-	-	8	-1

Appendix 4E

Recreation and Heritage

Proposals for growth and redeployment 2006/07 and 2007/08


	2006/07	2007/08	Staffing (FTEs)
	2006/07	2007/08	2006/07	2007/08
	£'000	£'000
Growth proposals:

People's Network: Phase 1	142	-	-	-
People's Network: Phase 2	173	-	-	-
Policy initiatives and contingency	158	-158	-	-
Countryside developments	20	-20	-	-
Milestones Museum	20	-20	-	-
Bursledon Library	17	17	1	-
Winchester Cultural Centre	-	220	1	4
Total growth proposals	530	39	2	4

Redeployment proposals:

IT efficiencies	-100	-	-	-
Reductions across service	-198	-	-	-
Library efficiency and other savings	-232	-17	-	-
Other redeployments to be identified		-22
Total redeployment proposals	-530	-39	-	-
Net increase	-	-	2	4

People's Network

Recurring costs associated with implementation of the People's Network including Phase 2 approved at the November Decision Day.

Policy initiatives and contingency

Contingency against budgetary pressures and high priority service developments.

Countryside developments

Recognition that service budget covers committed operational spending only.

Bursledon library

Revenue costs of new library - project agreed at November Decision Day.

Milestones Museum

Additional contribution for 2006/07 only.

This content is archived

1 2005/06 Cash limit

2 Comparison of revised budget with cash limit

3 Comparison Analysis of main variations

4 Service base budgets (£1,228.5m)

5 Summary of service budgets

6 Expenditure outside cash limits

7 Summary