Agenda item

At this juncture, the Convener advised that he was submitting an urgent notice of motion and in accordance with Standing Order 11.5, he was accepting it on the agenda today.

The urgent notice of motion by the Convener was in the following terms:-

            that the Committee:-

(1)        deplores that despite the additional revenues received in the draft budget Aberdeen City Council is still the lowest funded council in Scotland;

(2)        agrees that Aberdeen City Council the 3rd largest city in Scotland General Revenue Funding Grant from the Scottish Government including 85% floor funding in 2017/18 was £114.288m;

(3)        agrees that Aberdeen City Councils General Revenue Funding Grant from the Scottish Government including 85% floor funding in 2018/19 will be £92.245m;

(4)        condemns that Aberdeen City Council is receiving a cut to its General Revenue Funding Grant from the Scottish Government this year of £22.043m;

(5)        notes that Dundee City Council the 4th Largest City in Scotland will receive a General Revenue Grant Funding for 2018/19 of £229.820M as against £214.774m for 2017/18, an increase in General Revenue Grant of £15.046m;

(6)        agrees that between them Aberdeen City Council citizens via Council Tax and businesses via Business Rates fund £319.694M which equates to around 79% of the total spend in Aberdeen the highest percentage in Scotland;

(7)       regrets the lack of provision for businesses affected by the poor handling of the business rates issue in the city by the Scottish Government;

(8)       agrees even with this revised settlement Aberdeen City Council will be forced to look at cuts to vital services and instructs the Chief Executive to invite constituency and Regional MSPs and the President and Chief Executive of CoSLA to a meeting with all group leaders before the budget is agreed by the Scottish Parliament in order for Aberdeen politicians to unite for a fairer settlement for Aberdeen; and

(9)        instructs the Chief Executive to write to the President of CoSLA copying in the Chief Executive of CoSLA noting Aberdeen City Council’s dissatisfaction with the proposed settlement and urges CoSLA to reject the financial settlement offered by the Scottish Government.

The Convener spoke in support of his motion and explained the rationale behind his request.  The motion was seconded by the Vice Convener.

Councillor Flynn, seconded by Councillor Nicoll, moved as an amendment:-

            that the Committee:-

(1)        notes that as per the Stage 1 debate held in the Scottish Parliament on the 31^st January, Aberdeen will receive an additional £5.6million as part of the funding settlement;

(2)        regrets alleged comments by the Co-Leader of the Council, reported in the P&J, that the budget may be cut by “£35 million” and further comments that the budget was due to be cut by a further “£3.5million” neither of which reflect the settlement;

(3)        notes that at the meeting of Finance, Policy and Resources on 01 December 2017, the administration voted to reject financial support for the manufacturing sector in Aberdeen;

(4)        notes that the Scottish Government put in place approximately £7.5million for hospitality and office space as part of non-domestic rates relief scheme; and

(5)        calls on the Chief Executive of the Council to write to the Chief Executive of COSLA calling for a review of the funding mechanism.

Councillor Yuill moved as a further amendment:-

to approve the Convener’s motion with the addition of Councillor Flynn’s amendment number (5) above.

Councillor Yuill’s amendment was not seconded, therefore in terms of Standing Order 26.10 the amendment fell.

On a division, there voted:- for the motion (10) – the Convener, the Vice Convener and Councillors Donnelly, Houghton, John, Laing, Macdonald, Sellar, Wheeler and Yuill; for the amendment (7) – Councillors Allard, Cameron, Jackie Dunbar, Flynn, Catriona MacKenzie, Nicoll and Townson.

The Committee resolved:-

to adopt the terms of the motion.