Cabinet Member for Finance
Decision:
It was RESOLVED:
1.1 That the Joint Capital Strategy for 2020/21, including the Prudential Indicators set out in Appendix A of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020 as detailed below.
1.2 That the Joint Investment Strategy for 2020/21, as set out in Appendix B of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020.
1.3 That the Joint Treasury Management Strategy for 2020/21, including the Joint Annual Investment Strategy as set out in Appendix C of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020.
1.4 That the Joint Treasury Management Indicators as set out in Appendix D of the report be endorsed for recommendation to Council on 26 February 2020.
1.5 That the Joint Treasury Management Policy Statement as set out in Appendix G of the report be endorsed for recommendation to Council on 26 February 2020.
1.6 That the Joint Minimum Revenue Provision Statement as set out in Appendix H of the report be endorsed for recommendation to Council on 26 February 2020.
1.7 That the key factors and information relating to and affecting treasury management activities set out in Appendices E, F, and I of the report be noted.
Reason for Decision: Localauthorities arerequired toapprove theirTreasury ManagementStrategy (TMS), their Capital Strategy (including an overview of the TMS) and their Investment Strategy annually before the start of the financialyear.
Alternative Options Considered and Rejected:
1.1 This report fulfils the Councils legal obligations to have regard to the Code and MHCLGGuidance.
1.2 Individual strategies were considered but Joint Strategies have beenprepared.
Any Declarations of Interests Declared: None
Any Dispensation Granted: None
Minutes:
The report was introduced by the Leader of the Council who provided Members with an overview of the appendices to the report which included the Joint Capital Strategy, Joint Investment Strategy, Joint Treasury Management Strategy, Treasury Management Indicators, Economic Outlook and Interest Rate Forecast, Existing Borrowing and Investments, Treasury Management Policy Statement and Minimum Revenue Provision Statement.
Councillor Ward proposed recommendations 3.1 to 3.7 of the report and explained that recommendation 3.8 had been proposed by the Joint Audit and Standards Committee. Councillor Ward commented that although he understood the sentiment behind this recommendation, he believed that the primary focus of the Councils investments was to maximise returns to ensure income was available to guarantee services to residents.
Councillor Arthey queried the aim of recommendation 3.8 and commented that it was unclear what change was needed. Councillor Ward confirmed that the Joint Audit and Standards Committee’s debate had focussed on whether oil and gas companies were appropriate companies for the Council to invest in.
Councillor Parker expressed reservations regarding the wording of the recommendation which he felt was unclear.
Councillor Busby agreed that the wording of the recommendation was unclear however he understood the sentiment that there was more than one aspect to investments which should be considered.
Councillor Holt commented that he felt the wording of the recommendation had no meaning or definition and would support removal of the recommendation.
In response to a question from Councillor Parker, the Chief Executive advised that he believed the lease referred to in Appendix B, Paragraph 3.10 was 24 years however confirmation would be provided.
Councillor Davis seconded Councillor Ward’s proposal of recommendations 3.1 to 3.7 of the report.
By a unanimous vote
It was RESOLVED:
1.1 That the Joint Capital Strategy for 2020/21, including the Prudential Indicators set out in Appendix A of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020 as detailed below.
1.2 That the Joint Investment Strategy for 2020/21, as set out in Appendix B of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020.
1.3 That the Joint Treasury Management Strategy for 2020/21, including the Joint Annual Investment Strategy as set out in Appendix C of the report and the updates tabled at the meeting be endorsed for recommendation to Council on 26 February 2020.
1.4 That the Joint Treasury Management Indicators as set out in Appendix D of the report be endorsed for recommendation to Council on 26 February 2020.
1.5 That the Joint Treasury Management Policy Statement as set out in Appendix G of the report be endorsed for recommendation to Council on 26 February 2020.
1.6 That the Joint Minimum Revenue Provision Statement as set out in Appendix H of the report be endorsed for recommendation to Council on 26 February 2020.
1.7 That the key factors and information relating to and affecting treasury management activities set out in Appendices E, F, and I of the report be noted.
Reason for Decision: Local authorities are required to approve their Treasury Management Strategy (TMS), their Capital Strategy (including an overview of the TMS) and their Investment Strategy annually before the start of the financial year.
Supporting documents: