Agenda item - Business Planning and Budgets

(Lead Member: The Mayor, Director: Angela Taylor)

Resolved:

That the outcome led business plans for 2023/24 be approved.

That the revised outturn budget for 2023/24 be approved.

That the indicative capital programme and budget for 2021/22 – 2024/25 be approved.

That in accordance with the powers contained in the Local Government Finance Act 1988 (as amended) and by virtue of article 9(6) of the West Yorkshire Combined Authority Order and the Transport Levying Bodies Regulations 2015 (as amended) a levy of £103 million be determined for the year ended 31 March 2024.

That the Director, Finance and Commercial Services be authorised to issue the levy letter in respect of the financial year ending 31 March 2023 to the five District Councils in West Yorkshire.

That a payment of £5.09 million be made to the five District Councils in accordance with Table 1 of the report.

That authorisation be given to the Director, Finance and Commercial Services to arrange appropriate funding for all expenditure in 2022/23 and 2023/24 subject to statutory limitation, including the most appropriate application of capital funding as set out in the report.

That approval be given to the continuing of the policy, effective from 2017/18, for recovering the Combined Authority costs of managing the capital programme against the capital programme spend being mainly West Yorkshire plus Transport Fund, Transforming Cities, Getting Building Fund, Brownfield Housing, Local Transport Plan Integrated Transport and any schemes developed in year.

That the adoption of the CIPFA Code of Practice for Treasury Management in Public Services be reaffirmed.

That the treasury management policy as set out in Appendix 5 be approved.

That the prudential limits for the next three years as set out in Appendix 5 be adopted.

The Combined Authority considered a report from the Director of Finance and Commercial Services to approve the 2023/24 outcome-led business plan, and to consider and approve the proposed revenue budget and transport levy for 2023/24, the revised position for 2022/23, the indicative capital budget and programme and treasury management statement.

Officers noted that much has been achieved, despite the significant budget pressures caused by the ongoing cost of living crisis and other economic challenges. Decisions have already been taken to tackle the budget pressures, including freezing the local authority transport levy, and identifying more efficiency and cost-saving measures. The Combined Authority remains committed to delivering an inclusive economy, embedding equality, diversity, and inclusion, and tackling the climate emergency.

Officers noted the plans on page set out the key aims for each directorate, all of which have a spending plan against which progress will be reported. The presented budget is not without risks, so proposals are being made to ring fence some savings on concessionary reimbursement, to add to savings which have already been identified.

Officers explained that the Bus Service Improvement Plan (BSIP) funding can support the ambitions of the Combined Authority, especially since the existing Bus Recovery Grant funding is expected to end in March 2023. Decisions on this matter will be made by the Transport Committee and update reports will be made to the Finance, Resources and Corporate Committee and Combined Authority.

Officers clarified that this budget is the first to be set around the Combined Authority’s new directorate structure. All officers are aware of the budget pressures, though once a more established pipeline of projects is developed the Combined Authority will be ready to take advantage of future opportunities. Members asked if comparisons are made against the plans of other Mayoral Combined Authorities, officers responded that this is the case and further information can be included in future reports. Members requested further details on what is being spent towards longer-term outcomes, officers responded that further discussions are forthcoming, but that sustainability and income generation are both important to meet long-term aims.

Members raised concerns that the Economy Scrutiny Committee meeting was held in private. Officers clarified that there was an open session of the committee, as well as a private session. The public session was inquorate due to illness and so had to be held as an informal meeting, however the conversations still took place as planned. The Mayor noted the Combined Authority has three separate scrutiny committees which is high among other Mayoral Combined Authorities, and encouraged as many people as possible to view the proceedings of the other committees for a broader understanding of the work of the Combined Authority.