Minutes:
The Committee considered the undernoted report:
“1 Relevant Background Information
1.1 Members will recall that the following process has been agreed for the setting of the district rate and agreeing the estimates for 2014/15.
At the meeting of the Strategic Policy and Resources Committee on 10 January 2014, Members approved the following recommendations in relation to the 2014/15 revenue estimates, which would result in a zero increase in the district rate for 2014/15:
1. That the total amount to be raised through the district rate for 2014/15 of £129,716,358
2. That the revenue estimates for the Strategic Policy and Resources Committee and the cash limit for the Strategic Policy and Resources Committee of £32,563,620 for 2014/15.
3. That the cash limit for the Town Planning Committee of £3,750 for 2014/15.
4. That the following departmental cash limits should apply for 2014/15:
· Health and Environmental Services Department £39,497,245
· Parks and Leisure Department £23,971,115
· Development Department £19,144,021
5. That the general reserves will not be enhanced through the district rate in 2014/15
6. A central budget of £870,000 to make provision for a 1% pay rise. This budget will be retained centrally under the control of the Director of Finance and Resources and only released to departments on the basis of a nationally agreed pay award.
1.3 The purpose of this report is to consider the district rate increase for 2014/15, including the domestic and non-domestic rate increase, following the presentation of the detailed revenue estimates reports and cash limits to the to the standing committees.
2 Key Issues
2.1 The table below summarises the revenue estimates for Belfast City Council for 2014/15 based on a Zero District Rate increase.
REVENUE ESTIMATES |
2014/15 |
||
£ |
|||
Policy and Resources Committee |
32,563,620 |
||
Development Committee |
19,144,021 |
||
Parks and Leisure Committee |
23,971,115 |
||
Health and Environmental Services Committee |
39,497,245 |
||
Town Planning Committee |
3,750 |
||
Employee Pay Rise |
870,000 |
||
NET DEPARTMENTAL EXPENDITURE |
116,049,751 |
||
WASTE FUND CONTRIBUTION |
2,159,047 |
||
CAPITAL FINANCING |
|||
Investment Programme |
10,137,676 |
||
Leisure Transformation Financing |
3,230,000 |
||
13,367,676 |
|||
BELFAST INVESTMENT FUND |
2,770,000 |
||
LESS GENERAL EXCHEQUER GRANT |
(4,630,116) |
||
AMOUNT TO BE RAISED THROUGH DISTRICT RATE |
129,716,358 |
Standing Committees
2.2 Detailed reports on the revenue estimates and departmental cash limits were considered and agreed by each Standing committee during the period 10 - 16 January 2014.
Key Messages
2.3 A summary of the key messages and lines to take in relation to the setting of the district rate for 2014/15 has been prepared by the Head of Corporate Communications and included as Appendix A to this report.
Impact on Ratepayer
2.4 A rates bill in Belfast is made up of 56% Regional Rate and 44% District Rate. The Regional Rate, subject to Executive approval, is due to increase by 2.7%. A zero rate set by the council will mean that a ratepayer’s total bill will increase by 1.49%. The table included in Appendix B illustrates the monetary impact on average property types.
3 Recommendations
3.1 Members are requested to note the contents of the report and agree:
· That the increase in the district rate for 2014/15 should be zero, based on an Estimated Penny Product of £4,800,110 which means that the domestic rate for 2014/15 is recommended to be 0.3094p and the non domestic rate to be 27.0236p.”
The Committee adopted the recommendation.
Supporting documents: