Agenda item

To set out the Police and Crime Commissioner’s proposals for the 2021/22 budget, precept and the medium term financial strategy.

 

The Chairman introduced the Budget Precept with an explanation of the voting rules with the assistance of a visual presentation.

 

The Police and Crime Commissioner (PCC) was invited to make his presentation of the report. (27:45 on recording).

 

The PCC reflected on the current position of Dorset Police and the impacts of recent events such as Brexit and the Covid 19 pandemic.

 

The PCC invited the Chief Constable to outline what the precept had achieved over the last 12 months.

 

The Chief Constable thanked the PCC for his unstinting support over the last year.  He continued with an update on the Force’s achievements over the last year and proposed plans for 2021-22. (37:25 on recording).

 

The PCC then outlined his reasons for the proposed increase in precept.  (52:13 on recording).

 

His speech and the Chief Constable’s letter outlining the case for an increase of £15 in Council Tax for a band D property are attached as appendices to these minutes.

 

The Director of Operations (OPCC) gave a summary of the Precept consultation responses and results. (01:10:12 on recording).

 

The Chief Finance Officer (OPCC) then focussed on the funding for the budget comprising of the provisional settlement and the Council Tax element of the funding.  The Chief Finance Officer was able to give positive assurance on the robustness of both the reserves and budget.  (01:15:12 on recording).

 

The PCC then summarised (01:20:07 on recording).

 

The Chairman invited the panel members to ask the following questions.  These questions and officer replies can be found on the recording with the timings stated below;

 

Questions:

 

1.             Noting that 33% of respondents to the PCC’s online survey did not endorse a financial uplift of £15 a year for a Band D property, what would be the impact to the people of Dorset if the Precept were frozen?  (01:40:10 on recording).

 

2.             How will the increased precept (£15) improve the current position of visibility and the positive resolution of crimes, which both have implications for public confidence and satisfaction levels? (01:52:47 on recording).

 

 

3.             Council tax contribution to the police budget under your tenure has gone from £50m to £74M; this year the budget proposals include a £15 increase for a band D council taxpayer.  How would the strategic approach to delivering the Police & Crime Plan have been impacted if the increase had been limited to the same 2% referendum limit as local authorities (around £4.80 for band D)?  (02:02:25 on recording).

 

4.             Setting a budget with finite resources is about choices; for example, you have chosen to invest in vulnerability as part of this Precept uplift.  What choices did you discard or postpone in the setting of this budget? (02:08:40 on recording).

 

5.             Dorset Police has stated to the OPCC that the additional precept funding will deliver investment to priority areas – could you please outline to the public what these investments are and how do these areas meet your Police and Crime Plan, given the budget paper mentions the reduction in the tax base alone has effectively cost £1.6m? (02:11:10 on recording).

 

6.             Are there any expectations of a return to tax base growth in the MTFP? If the £1.6m reduction is reversed and we return to levels of growth, is this future windfall in additional CT income factored into financial plans?  (02:12:20 on recording).

 

7.             There are a number of big issues in the Capital programme, the ageing Police HQ being one. What action is the OPCC taking to move to a sustainable capital programme and what are the medium to long-term financing assumptions?  Is there a longer-term assumption of eliminating and/or repaying borrowing, to reduce the impact on the revenue budget and therefore the local tax payer?  (02:14:04 on recording).

 

8.             The MTFP balances in every year with the assumptions that have been made.  What challenges for efficiency or productivity improvement sit within those assumptions?  The 0.3% savings target set for 2021/22 looks small compared with the increases in national and local funding.  (02:25:23 on recording).

 

9.             How do the reserves plans set out in appendix 3 support or mitigate the risks set out in appendix 4?  The strategy forecasts that all useable reserves except the general fund will be materially consumed by the end of 24/25, so how are those reserves supporting the organisation's budget over the MTFP period and what are the risks to the revenue budget in the longer term once reserves are used?  (02:27:52 on recording).

 

10.          What is the PCC’s view on the biggest strategic financial risk being the continued reduction in real terms of central allocation, based on a flawed funding formula?  This is compounded against a back drop of the national PCC review, the outcome of which may be greater national policing objectives and direction, but with accountability left at the door of the PCC and Chief Constable. (02:32:43 on recording).

The Chairman took a formal vote on the recommendation to support the PCC’s recommended precept increase for 2021/22 to £73,476,745, equivalent to a Band D charge of £255.58, an increase of £15 per annum or £1.25 per month (6.2%). (02:43:07 on recording).

 

Proposed by Vice-Chairman (Cllr Bobbie Dove), seconded by Cllr David Taylor.

 

Decision: That the Police and Crime Panel unanimously approve the PCC’s proposal to increase the precept for 2021/22 to £73,476,745, equivalent to a Band D charge of £255.58, an increase of £15 per annum or £1.25 per month (6.2%).