Issue - meetings

(1)       The consolidated revenue budget monitoring position as at 30 November 2019 was noted.

(2)       The draft West Midlands Combined Authority consolidated revenue budget was approved for consultation. This included:

(a)       the budget requirement for transport delivery 2020/21 comprising three elements:

(i)         £114.7m a year to be funded from the existing transport levy mechanism;

(ii)        £1.4m to be funded from grant awarded by the Commonwealth Games Organising Committee; and

(iii)       a transfer from earmarked reserves of £3.65m.

(b)       the West Midlands Combined Authority Delivery budget requirement for 2020/21 of £142.0m comprising of six elements:

(i)         £125.8m Adult Education spending to be funded from Adult Education Budget funding devolved by the Department for Education;

(ii)        £8.3m to be funded from other devolution deal grants;

(iii)       £4.6m to be funded from Constituent Authority fees (fees to remain at the same level as 2019/20);

(iv)       £0.4m to be funded from Non-Constituent Authority and observer fees (fees to remain at the same level as 2019/20);

(v)        £2.2m to be funded from other income; and

(vi)       a transfer from reserves of £0.8m.

(3)       The Mayoral Office budget for 2020/21 of £0.8m, to be funded from additional confirmed Mayoral capacity funding of £0.8m, was approved for consultation and scrutiny.

(4)       It was noted that the Mayor had indicated that there would be no mayoral precept during the remainder of his current term of office.

(5)       An application to the Living Wage Foundation to become an accredited Real Living Wage employer was approved in principle.

(6)       The West Midlands Combined Authority’s indicative 5-year Medium Term Financial Plan was noted.

(7)       The draft Transport Capital Programme was approved for consultation.

(8)       The planned spend on the Investment Programme over the three-year period was noted.

(9)       It was approved that surplus cash balances generated from the Collective Investment Fund and Residential Investment Fund were used to support the West Midlands Combined Authority Delivery budget, thus minimising Constituent and Non-Constituent Authority contributions.

(10)     The matters identified by Overview and Scrutiny Committee that arose out of the Mayoral Q&A on 18 December 2019 were noted.

The board considered a report from the Director of Finance presenting a draft budget for consideration so as to enable a period of consultation with stakeholders to begin. The report represented the first part of the formal process to determine the WMCA’s budget, levy and precept levels for 2020/21. It would form the basis for the budget proposals to be considered by the WMCA Board on 14 February.

Councillor Lisa Trickett reported that Overview & Scrutiny Committee had considered the draft budget and its comments had been included within the report, including the need for improved performance monitoring, the longer-term sustainability of using reserves to fund revenue expenditure, and the need to develop a wider assessment of the return on capital invested to include CO₂ reduction and social inclusion considerations. Councillor Bob Sleigh thanked the Overview & Scrutiny Committee for its contribution to the development of the draft budget.

Lee Barron welcomed proposals to become an accredited Real Living Wage employer and considered that it was an important step to take in helping to encourage other organisations across the region to make a similar commitment.

Resolved:

(1)       The consolidated revenue budget monitoring position as at 30 November 2019 be noted.

(2)       The draft West Midlands Combined Authority consolidated revenue budget be approved for consultation. This included:

(a)       the budget requirement for transport delivery 2020/21 comprising three elements:

(i)         £114.7m a year to be funded from the existing transport levy mechanism;

(ii)        £1.4m to be funded from grant awarded by the Commonwealth Games Organising Committee; and

(iii)       a transfer from earmarked reserves of £3.65m.

(b)       the West Midlands Combined Authority Delivery budget requirement for 2020/21 of £142.0m comprising of six elements:

(i)         £125.8m Adult Education spending to be funded from Adult Education Budget funding devolved by the Department for Education;

(ii)        £8.3m to be funded from other devolution deal grants;

(iii)       £4.6m to be funded from Constituent Authority fees (fees to remain at the same level as 2019/20);

(iv)       £0.4m to be funded from Non-Constituent Authority and observer fees (fees to remain at the same level as 2019/20);

(v)        £2.2m to be funded from other income; and

(vi)       a transfer from reserves of £0.8m.

(3)       The Mayoral Office budget for 2020/21 of £0.8m, to be funded from additional confirmed Mayoral capacity funding of £0.8m, be approved for consultation and scrutiny.

(4)       It be noted that the Mayor had indicated that there would be no mayoral precept during the remainder of his current term of office.

(5)       An application to the Living Wage Foundation to become an accredited Real Living Wage employer be approved in principle.

(6)       The West Midlands Combined Authority’s indicative five-year Medium Term Financial Plan be noted.

(7)       The draft Transport Capital Programme be approved for consultation.

(8)       The planned spend on the Investment Programme over the three-year period be noted.

(9)       It be approved that surplus cash balances generated from the Collective Investment Fund and Residential Investment Fund were to be used to support the West Midlands Combined Authority  ...  view the full minutes text for item 76