Cabinet Briefing Note
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AGENDA ITEM: 12 Page nos. 98 - 124 Meetingng Cabinet Resources Committee Date 19 January 2009 Subject Fees and Charges for Environment and Transport R e port of Report of Leader and Cabinet Member for Resources Cabinet Member for Environment & Transport SummarSummaryy To approve the Environment and Transport fees and charges increase for 2009/10 Officer Contributors Dorne Kanareck – Acting Director of Environment and Transport Status (public or exempt) Public Wards affected All Enclosures Appendix 1 - Environment and Transport fees & charges (general) Appendix 2 - Car park tariffs for cashless parking pilots Appendix 3 – Fees and charges for pay and display For decision by Cabinet Resources Committee Function of Executive Reason for urgency / Not Applicable exemption from call-in (if appropriate) Contact for further information: Cory Sunderland, Administrative Assistant, Environment & Transport – 020 8359 3014 98 1. RECOMMENDATIONS 1.1 That the fees and charges for Environment and Transport Services detailed in Appendix 1, Appendix 2 and Appendix 3 of this report be approved to take effect as soon as possible, or from 1 April 2009, as appropriate. 2. RELEVANT PREVIOUS DECISIONS 2.1 Cabinet Resources Committee 23 September 2004 Decision no. 6 agreed: • That increases in fees and charges in line with the Financial Forward Plan be approved by Heads of Service in consultation with Cabinet Member for Resources, and that these increases be implemented from 1 January each year, with only limited exceptions to those being increased from 1 April. • That increases in fees and charges above the rate assumed in the Financial Forward Plan be approved by Cabinet Resources Committee, and that these increases be implemented from 1 January each year, with only limited exceptions to those being increased from 1 April. 3. CORPORATE PRIORITIES AND POLICY CONSIDERATIONS 3.1 Fees, charges and allowances need to be reviewed to ensure value for money; thus complying with the 2008/09 – 2011/12 Corporate Plan, Chapter 2: Our Values and Vision for Barnet: the Organisation and Chapter 3: Our corporate priorities of more choice better value. 4. RISK MANAGEMENT ISSUES 4.1 The inflation rate is liable to vary over time. Should the rate change significantly between now and the 1 April 2009, it is possible that those fees and charges whose proposed increases for 2009/10 are close to the current inflation rate and, as such, do not presently require explicit approval from the Cabinet Resources Committee (in accordance with paragraph 3.8 of the Council’s Financial Regulations), will either require such approval or need to be amended. 4.2 Increasing fees and charges always poses an element of risk around the proportionate level of increase, when compared to resident’s ability to pay and / or resident’s test of reasonableness. Every effort has been made to manage the charge increase to an appropriate level, however, some element of reputational risk will remain. 5. EQUALITIES AND DIVERSITY ISSUES 5.1 The increases in fees and charges alongside the introduction of new charges will enable the Council to continue to provide a high quality service to all users. This will also enable resourcing to be made available to ensure, that these services and information on how to receive assistance, is easily 99 accessible and is also promoted through a variety of different communication channels. 5.2 Some charges will be the subject of public advert, which enables all residents to be made aware of the increase in charges and their applicable date of change. 5.3 The outcomes and impact of these changes will be monitored and measured against current information to ensure that different groups are not adversely affected. As well as compared against those of different boroughs. 6. USE OF RESOURCES IMPLICATIONS (Finance, Procurement, Performance & Value for Money, Staffing, IT, Property, Sustainability) 6.1 The impact of increased fees and charges will be taken into account in the 2008/9 revenue monitoring and the 2009/10 forward plan process. The new charging schedule will achieve above inflation increases, to assist in the continued delivery of high quality services. 6.2 There are no staffing, IT or property implications. 7. LEGAL ISSUES 7.1 None, save as mentioned in body of report. 8. CONSTITUTIONAL POWERS 8.1 The Council’s Constitution Part 3 paragraph 3.6 authorises the Cabinet Resources Committee to approve income sources and charging policies. 8.2 Paragraph 3.8 of the Council’s Financial Regulations requires that the Cabinet Resources Committee (CRC) approves changes to fees and charges that are significantly different from inflation. 9 BACKGROUND INFORMATION 9.1 The fees and charges levied on users of council services have been reviewed as part of the development for the 2009/10 budget and council tax setting. Fees and charges are an important element of council income as they contribute approximately £80m per year to the cost of delivering services, which is not then required to be met from council tax. The Environment and Transport element of this total is approximately £21 million, of which, around half relates to parking. 9.2 The Council’s financial regulations gives authority to Directors and Heads of Service to approve changes to fees and charges where these are broadly in line with inflation. This report seeks approval to any changes that are higher than could be reasonably taken to be in line with that definition. 100 9.3 The list below draws together a summary of the larger increases in charges as well as the new charges :- • It is proposed to increase the charge for recovering keys from road gulleys by £50, from £100 to £150, to cover the increased costs incurred by the Council. This service is delivered 8 to 10 times per year. • The two charges that relate to private hire skips have been increased above inflation in order to incentivise better compliance by private hire skip companies. • The footway reinstatement deposit increase reflects the estimated costs of dealing with any third party damage. • Following the implementation of the Clean Neighbourhoods & Environment Act (CNEA) 2005 Action Plan, and the Barnet Clean Borough Strategy, the Council is now implementing its powers under Schedule 4 of the Environmental Protection Act 1990. This permits the Council to seize, store and dispose of abandoned shopping trolleys in conjunction with recovering the costs incurred (by the Council) from the owners of abandoned shopping trolleys. • For trade waste, where payments made by cheque are bounced or returned, a cheque charge is proposed for introduction at £25.00 to recover the nominal costs involved in administering, visiting and collecting/processing of new cheques, whilst deterring any premeditated attempts to delay/avoid payments. • The proposed new charge for weekly cashless pay and display, held at 2007/08 rates, demonstrates a positive commitment to reduce charges where technology provides a more efficient solution. This is dependant on the current cashless pilot trial and cashless parking being rolled out borough wide. It is envisaged that with reduced tariffs on the cashless option, along with implementation of the borough wide scheme, efficiency savings on maintenance and cash collection (pay and display machines) will be provided. An additional option to purchase a weekly off street car parking space is also available, via the cashless system. This will enhance the options available to the public, improve choice within the community, in line with the corporate priorities and reduce cash handling. • Pay and display tariff increases will apply only to purchasing a pay and display ticket via coin. • The new charge for green garden and kitchen waste bins will enable residents who wish to have additional green garden and kitchen waste bins to purchase them. The first garden and kitchen waste bin will continue to be provided free of charge to each household. Ownership of all the green garden and kitchen waste bins will remain with the Council. • As part of the Traffic Management Act 2004 Notification Process, approval is required for works affecting the strategic road network within the 101 borough. The cost associated with this procedure incurred by the London Borough of Barnet, as highway authority, will be recovered in full from the works promoter / developer. • The increased charge for memorial benches will now provide for maintenance for the whole life expectancy of the bench, this would normally be 10-15 years. • The charge for New Roads and Street Works Act 1991 inspection and investigation has been increased inline with the national agreement with the Highways Authority Utilities Committee which will be effective from the 1st April 2009. • The Section 50 inspection has been increased inline with the Highways Authority Utilities Committee charges for utilities inspections. 10. LIST OF BACKGROUND PAPERS 10.1 None. Legal: John O’Hara CFO: Matthew Gaynor 102 Appendix 1 Environment and Transport - Fees and Charges APPROVED APPROVED PROPOSED % CHARGES CHARGES CHARGES INCREASES SERVICE CHARGE PAYABLE BY TYPE OF CHARGE VAT UNIT COMMENTS FROM 1 JAN FROM 1 JAN FROM 1 JAN IN GROSS 2007 2008 2009 COST Highways Unlicensed skips found on the highway Skip Hire Company Licence fee N Each £100.00 per skip £100.00 per skip £125.00 Per Skip 25.00% To incentivise better compliance by skip companies This is a one off charge for carrying out inspections in Section 50 inspections Individual applicant Charge N Per licence £120.00 £120.00 £150.00 20.00% accordance with NRSWA 1991. Individual applicant or Site inspection charge Inspection fee N Each £41.00 £42.50 £45.00 5.50% Construction company To incentivise better compliance by skip companies Processing of Notification for Transport for Developer Charge N Each £2,918.00 New Charge London approval under TMA 2004 Renewal for expired skip licence Skip Hire Company Licence fee N Each £16.00 £18.50 £25.00 35.00% To cover administration cost Increase to include the maintenance during the life Memorial seat 6' with inscribed bronze plaque Individual Applicant Charge N Each Bench £683.00 £709.00 £900.00 26.90% expectancy of the bench.