To notify the Chairman of any items that appear later in the agenda in which you may have an interest.

No declarations of interest were received.

To confirm as a correct record the Minutes of the meetings held on :-

The Minutes of the meetings held on 21^st April 2006 and 19^th May 2006 were confirmed as correct records and signed by the Mayor. (For copy see file of Minutes).

The Mayor reported that since the last meeting she had attended 15 functions and events including Tudhoe Grange School Band Concert, the official opening of the South Durham Gymnastics Centre at Spennymoor Leisure Centre, CAVOS Volunteer Awards and Thank You Evening and a Charity Fundraising Variety Entertainment Evening at Trimdon Labour Club.

The Mayor had also attended the South West Durham Horse and Pony Driving Society Event, the Bishop Auckland Scout Council Annual General Meeting and St. John’s Ambulance 90 year Celebration Evening.

It was also reported that she had attended a Golden Wedding and Diamond Wedding Celebration together with a number of civic services and civic functions.

Eleanor Hayward from the North East Regional Employers Organisation will give a presentation on the Member Development Charter. The Chief Executive, the Leader of the Council and Leaders of the Liberal Democrat and 2003 Alliance groups will then be asked to sign the Charter.

It was explained that Eleanor Hayward from the North East Regional Employers Organisation would give a presentation on the Member Development Charter.  (For copy see file of Minutes).

Following the presentation the Chief Executive Officer, the Leader of the Council and the Leaders of the Liberal Democrat and 2003 Alliance Groups would sign the charter.

The presentation covered the following:-

• What is the charter was and why is it needed?
• How does the charter work?
• Charter milestones and standards
• NEREO - Supporting you in achieving the Charter
• What happens next?

It was explained that the charter was recognition of the Council’s investment in Member development and was supported and endorsed by the LGA the TUC the CBI, British Chamber of Commerce and the Federation of Small Businesses.  The Regional Employers Organisation managed the charter.

There were 5 key stages in working towards the North East Charter for Elected Member Development, which were outlined in the presentation.

Following commitment to the Charter the Council would receive a certificate and a detailed report on good practice and areas for improvement. Further information on how to take the Charter forward would also be sent to each Council.

RESOLVED:             That the Chief Executive, Leader of the Council and                         Leaders of the Liberal Democrat and 2003 Alliance                                Groups sign the charter.

Report of Head of Financial Services

Consideration was given to a report of the Head of Financial Services dealing with the statutory requirements set out in the Accounts and Audit Regulations 2003 for the production and publication of the Annual Statement of Accounts. (For copy see file of Minutes).

Under the Account and Audit Regulations 2003, Council was required to approve the Accounts of the Authority for the 2005/06 financial year by no later than 30^th June 2006 prior to publication and the formal signing off by the Audit Commission.

The Chief Executive gave a short presentation outlining the key points in the Statement of Accounts and financial performance during 2005/06. Members were given the opportunity to ask questions and raise any concerns that they had in relation to the accounts.

It was explained that the Audit Committee had reviewed the Statement of Accounts and separately reviewed the content of the Statement on the System of Internal Control and Corporate Governance at its meeting on 26^th June 2006 and had recommended that Council approve both statements (Minute no. AC4/06 refers).

In view of the favourable outturn position on the General Fund the Council had been able to make a contribution of £126,000 to the Budget Support Fund as opposed to the budget use of balances of £800,000.

The financial outturn position on the Housing Revenue Account was also positive and showed a contribution to balances of £1,190,000.

Furthermore, provision had been made to carry forward an unused resource amounting to £349,500 into the current year to meet specific one-off needs which were set out in the report.

Members noted the contribution made to the Council’s reserves throughout the year and were pleased with the overall level of balances available to Council at the end of year. 

The Medium Term Financial Plan anticipated that £1.5m would be used over the next three years for both the General Fund and the Housing Revenue Account.

In respect of the Capital Programme the Council had spent £15.093m gross on the 2005/6 Capital Programme against a gross spending target of £20.309m. 

Outstanding commitments in respect of each Portfolios Capital Programme amounting to £2.055m were authorised to be carried forward into 2006/07.

As a consequence of the underspend in the Capital Programme and the buoyant level of capital receipts, the Council had usable Capital Receipts available to finance future capital works amounting to £15.151m as at 31^st March 2006.  £12.824m of those capital receipts were earmarked specifically for regeneration schemes.  The balance would be available to support the General Fund and Housing Revenue Account Capital Programme.

RESOLVED:             1.   That the Statement of Accounts for year ended

                  31^st March 2006 be approved.

            2.   That the Statement on the System of Internal                                       Control and Corporate Governance be approved.

3.      That the control totals for the 2006/07 Revenue and Capital Budgets be amended to take account of the Revenue Provisions highlighted in paragraphs 4.6 and the Capital Programme carried forward as outlined in paragraph

      4.9 (e).

Report of Chief Executive

Consideration was given to a report of the Chief Executive setting out arrangements for the development of the Council’s Corporate Plan and Medium Term Financial Plan (MTFP) for the period 2006/07 to 2008/09. (For copy see file of Minutes).

Member’s attention was drawn to the draft Corporate Plan which outlined the linkages between the LSP Community Strategy and the Council, the Corporate and Performance Management Framework and detailed the priorities of the Council over the next three years. 

The plan was supported by a series of Delivery Plans focusing on the Corporate Ambitions and the Council’s Corporate Values.  Each Delivery Plan provided detailed information on the progress the Council made against the relevant ambition, outlined the key performance measures used by the Council to measure its ‘direction of travel’ towards the ambition and set out a detailed delivery statement of the actions, tasks and targets the Council would undertake throughout the next three years.

It was pointed out the financial implications of the Plan were addressed in the Medium Term Financial Plan which set out the overall position of the Council over the medium term and identified resources to be made available to help achieve Council and community priorities.

The Medium Term Financial Plan was based on the principles of Efficiency, Investment and Improvement.  Achievements of efficiency savings to deal with spending pressures and identify resources for investment were key to the medium term financial strategy. 

RESOLVED:   That the Corporate Plan 2006/07 to 2008/09 and the Medium Term Financial Plan be adopted.

Report of Director of Neighbourhood Services

Consideration was given to a report of the Director of Neighbourhood Services relating to the adoption of the Statement of Community Involvement. (For copy see file of Minutes).

It was explained that the Planning and Compulsory Purchase Act 2004 represented a reform of the planning system.  The Government’s objective was to produce a more flexible plan-making system.

The Local Development Framework comprised of a Statement of Community Involvement; a range of Development Plan Documents; Supplementary Planning Documents and Annual Monitoring Reports. 

The Statement of Community Involvement explained how the Council would engage those who had an interest in matters relating to development in their area and the preparation of documents. 

The Submission Draft Statement of Community Involvement was subject to a public examination by written representation between January and March 2006. 

The Planning Inspectorate had concluded that, subject to some minor amendments, the Statement of Community Involvement was “sound”. 

RESOLVED:            That the Statement of Community Involvement be adopted.