APPENDIX A 2016/17 Budget Summary 2015/16 Original Budget - Budget Book Net Expenditure Adjustment for use of reserves and one-off items in 2015/16 2016/17 Base Budget £000 262,512 Includes one-off expenditure and funding from reserves (1,029) From 2015/16 budget setting 261,483 As per MTFS 0. Pre 2016/17 Activity Pay (102) Includes Sept 2015 payrise, reduction in pension costs & turnover changes National Employment Appeal Tribunal Case on the calculation of holiday pay (Bear Scotland) 660 (100) Increase in Private Hire income budgets Income increase Growth from previous budget settings no longer required (33) (4,987) Savings from 2016/17 structure changes changed in 2015/16 - includes Neighbourhood Policing and Support Services Transform - Pay Savings (2,074) Includes £655k for fuel and £436k for Forensic Analysis Transform - Non Pay savings Total 0. Pre 2016/17 Activity 2016/17 Base Budget after adjustment to 15/16 base for pre 2016/17 activity 1. Unavoidable Cost Pressures Pay inflation (6,636) 254,847 A reduction of (£7.7m) to the 2015/16 baseline budget 1,203 Based on 1% Pay (not inflation) e.g. increments/pension changes 2,165 Includes increments of £2.4m Pay national NI changes for Contracted Out 4,524 Contractual Inflation 497 Insurance Claims expenditure & contribution to provision Green Capital Programme - Revenue Consequences Amber Capital Programme - Revenue Consequences Historic Minimum Revenue Provision (internal debt) 1,100 366 76 (500) 2,576 Includes £650k increase for SCD and £1.7m IT SCD, IT and Support costs Total 1. Unavoidable Cost Pressures 2. Service changes needed to address challenges Public Protection Unit Cyber Crime 12,007 1,900 Includes investment of 100 fte's 103 2,000 Includes investment of 40 fte's Digital team and Local Policing Learning & Development and Data Analysts Total 2. Service changes needed to address challenges 3. Cost of change needed to fund 2 above Severance & Excess Mileage costs from restructures Total 3. Cost of change needed to fund 2 above 508 4,511 1,928 Service reduction across a range of departments 1,928 4. Short term one off costs Public Protection Unit - One-off 406 Transition costs of implementing the new structure In-year savings shortfall - one off 472 Based on delayed decisions - PCSO's Green Capital Programme - One-off revenue costs Amber Capital Programme - One-off revenue costs 232 1,223 Based on 75% of bids 253 Investment income offset with Interest charges Cost of Borrowing 1,122 Includes £926k investment in Information Technology Revenue Cost Pressures Fuel - deflation (100) Total 4. Short term one off costs 3,608 Additional Savings in 2016/17 (10,281) Includes PCSO's and Front Counter changes. Total Transform savings in 2016/17 = (£17.3m) - see Transform savings in pre 16/17 activity above (341) Transformation Programme One-off savings required Total Additional Savings in 2016/17 2016/17 Final Budget requirement (10,622) 266,279 Source of Funding HO Core Police Grant - a reduction of £0.588m - 0.57% HO formula Grant (ex DCLG grant) a reduction of £0.321m - 0.57% Council Tax Freeze grant (2011/12) 102,784 2015/16 £103.372m (2014/15 £110.111m) 55,932 2015/16 £56.253m (2014/15 £58.110m) 2,133 2015/16 £2.133m (2014/15 £2.133m) Council Tax Support Grant 10,992 2015/16 £10.992m (2014/15 £10.992m) - for reduction in taxbase from 13/14 Council Tax precept 92,644 2015/16 £88.081m (2014/15 £84.545m). Based on taxbase growth of 1.76% & 3.36% precept increase. Collection Fund surplus 1,794 2015/16 £1.680m (2014/15 £1.064m, 2013/14 £0.406m & 2012/13 £0.101m). 2016/17 Total Funding 266,279 2015/16 £262.511m (2014/15 £266.955m). Surplus / (deficit) Council Tax Band D (£147.15 2015/16, £144.27 2014/15) CT Increase % (1.996% 2015/16, 1.97% 2014/15 & 2013/2014) Increased cost to Band D property / pa (£2.88 in 2015/16) Additional Weekly Cost (6 pence in 2015/16) Tax base - number of properties (598.581m in 2015/16) £152.10 3.36% £4.95 £0.10 609,102 0 APPENDIX B POLICE & CRIME COMMISSIONER FOR ESSEX REVENUE BUDGET SUMMARY 2016/17 Subjective Analysis Council Tax Precept Increase 3.36% 2016/17 Estimate 2.00% 2016/17 Estimate 0.00% 2016/17 Estimate £000 £000 £000 £000 170,454 8,050 65,178 859 910 4,686 11,098 164,939 7,328 67,655 896 433 4,561 10,303 163,656 3,449 68,340 804 2,003 4,561 10,113 162,840 3,449 67,896 804 2,003 4,561 10,113 162,255 2,378 67,812 804 2,003 4,561 10,113 5,344 5,693 4,605 4,605 4,605 Supplies and Services 24,327 20,726 24,138 24,138 24,138 Third Party Payments 6,426 5,164 5,416 5,416 5,416 0 (2,495) 0 0 0 Gross Operating Expenditure 297,332 285,203 287,085 285,825 284,085 Total Income (29,602) (22,591) (23,179) (23,179) (23,179) Net Cost of Services 267,730 262,612 263,906 262,646 260,906 (200) 38 (243) 32 2 32 2 32 2 32 267,568 262,401 263,940 262,680 260,940 3,112 1,000 2,339 2,339 2,339 270,680 263,401 266,279 265,019 263,279 (1,622) (2,103) 1,180 (2,070) 0 0 0 0 0 0 266,955 262,511 266,279 265,019 263,279 (110,111) (58,110) (2,133) (10,992) (84,545) (1,064) (266,955) (103,372) (56,253) (2,133) (10,992) (88,081) (1,680) (262,511) (102,784) (55,932) (2,133) (10,992) (92,644) (1,794) (266,279) (102,784) (55,932) (2,133) (10,992) (91,384) (1,794) (265,019) (102,784) (55,932) (2,133) (10,992) (89,644) (1,794) (263,279) Employees Police Officer Pay and Allowances PCSO Pay and Allowances Police Staff Pay and Allowances Training Other Employee Expenses Police Officer Pensions (Ill Health & Medical) Premises Transport Transform savings to be identified Interest Receivable / Payable Net loss/(surplus) on the disposal of fixed assets Net Operating Expenditure Capital & Other Adjustments Net Expenditure Contribution to/(from) Earmarked Reserve Contribution to/(from) General Reserve BUDGET REQUIREMENT Finance by: Police Grant Home Office Formula Grant (previously DCLG) Council Tax Freeze Grant Council Tax Support Grant Council Tax Precept Collection Fund Surplus Sources of Finance 2014/15 Actuals 2015/16 Original Budget £000 APPENDIX C REVENUE BUDGET SUMMARY 2016/17 Objective analysis Police Objective Analysis Council Tax Precept Increase 3.36% 2.00% 0.00% 2016/17 Estimate £000 72,329 15,264 17,328 6,062 11,257 13,135 51,564 7,493 1,560 2016/17 Estimate £000 70,757 15,264 17,328 6,062 11,257 13,135 51,414 7,493 1,560 194,270 2014/15 Actuals £000 2015/16 Original Budget £000 2016/17 Estimate £000 79,027 14,020 16,805 12,615 16,492 11,981 44,731 7,444 1,302 77,908 17,405 18,043 7,036 12,437 13,161 46,269 7,417 1,512 72,829 15,264 17,328 6,062 11,257 13,135 51,564 7,493 1,560 204,417 201,188 196,492 195,992 Support Functions Police & Crime Commissioner - Office Police & Crime Commissioner - Grants Central Costs 51,777 1,171 3,102 10,213 51,978 1,275 3,369 5,591 52,546 1,260 3,370 12,611 51,786 1,260 3,370 12,611 Sub total 66,263 62,213 69,787 69,027 51,768 1,260 3,370 12,611 69,009 270,680 263,401 266,279 265,019 263,279 (1,622) (2,103) 1,180 (2,070) 0 0 0 0 0 0 266,955 262,511 266,279 265,019 263,279 Function Local Policing Dealing with the Public Criminal Justice Arrangements Road Policing Operational Support Intelligence Investigations Investigative Support National Policing Sub total Net Expenditure Net Transfer from Earmarked Reserves Contribution from General Reserve Budget Requirement CAPITAL PROGRAMME 2016/17 TO 2020/21 2016/17 joint with Kent ANPR Fixed site expansion Equipment replacement Estates CCTV Custody Suites ESMCP Project - ICCS Replacement Evolve/Strategic Change building works Chemical Enhancement Laboratory 2 Environmental Projects 2 Estates Strategy IT Digital Forensics - Digital Analysis Digital Forensics Gateway Business Objects Upgrade Digital Asset Management (Home Office Innovation Fund) ANPR Back Office Convergence / National Project Mobile policing Public Contact Programme (Channel Shift) Public Contact Programme (Contact Points) COSMOS Replacement SAP Programme Learning & Development - Learning Portal Athena Essex BRC Big Data Analytics Y Y Y Y Y Y Y Y Y Y Y Other Body armour 2016/17 SCD : CCDC Platform Equipment Y Transport Fleet replacement programme Transport - Telematics Y Capital Cost £000 2016/17 £000 106.0 114.0 106.0 114.0 380.0 1,863.0 250.0 625.0 250.0 39,075.0 190.0 1,863.0 250.0 625.0 150.0 14,625.0 164.3 127.0 125.0 800.0 37.1 127.0 125.0 700.0 30.0 3,311.0 1,200.0 1,200.0 268.0 250.0 100.0 1,300.0 125.0 30.0 1,709.0 1,100.0 1,200.0 268.0 175.0 100.0 1,300.0 125.0 71.0 145.0 56.0 122.5 1,800.0 114.0 53,793.3 1,800.0 114.0 27,011.6 2017/18 £000 2018/19 £000 2019/20 £000 2020/21 £000 Total £000 106.0 114.0 190.0 100.0 18,650.0 4,350.0 63.6 63.6 50.0 50.0 548.0 100.0 29.0 380.0 1,863.0 250.0 625.0 250.0 39,075.0 1,450.0 164.3 127.0 125.0 800.0 995.0 30.0 75.0 15.0 19,791.6 30.0 3,311.0 1,200.0 1,200.0 268.0 250.0 100.0 1,300.0 125.0 22.5 71.0 145.0 4,515.1 1,800.0 114.0 53,793.3 2,445.0 30.0 2017/18 joint with Kent ANPR Fixed site expansion Equipment replacement Other Body armour 2017/18 Transport Fleet replacement programme 2016/17 £000 2017/18 £000 2018/19 £000 106.0 114.0 106.0 114.0 550.0 2,900.0 150.0 1,650.0 200.0 750.0 Y 4,680.0 3,855.0 825.0 Y Y 80.0 11.0 80.0 11.0 71.0 56.0 1,900.0 1,900.0 Estates Environmental Projects 3 Estates Strategy IT ESMPC Project - Transition to Emergency Services Network and Devices Case Management (Business Services) Socrates as a Service Capital Cost £000 10,412.0 0.0 7,922.0 2019/20 £000 2020/21 £000 Total £000 106.0 114.0 200.0 500.0 550.0 2,900.0 4,680.0 80.0 11.0 15.0 71.0 1,900.0 1,790.0 700.0 0.0 10,412.0 2018/19 joint with Kent ANPR Fixed site expansion Equipment replacement Capital Cost £000 2016/17 £000 2017/18 £000 2018/19 £000 2019/20 £000 2020/21 £000 Total £000 106.0 107.0 106.0 107.0 Estates Custody suite enhancements Estates Strategy 1,000.0 17,250.0 500.0 8,750.0 500.0 7,650.0 850.0 1,000.0 17,250.0 IT End User Device Replacement Network Replacement Server Replacement 1,159.0 900.0 900.0 397.0 300.0 300.0 331.0 300.0 300.0 431.0 300.0 300.0 1,159.0 900.0 900.0 71.0 56.0 15.0 2,000.0 2,000.0 Other Body armour 2018/19 Transport Fleet replacement programme 23,493.0 2019/20 ANPR Fixed site expansion Equipment replacement Estates Estates Strategy Other Body armour 2018/19 Transport Fleet replacement programme joint with Kent Capital Cost £000 106.0 107.0 71.0 2,000.0 0.0 0.0 12,516.0 9,096.0 1,881.0 2016/17 £000 2017/18 £000 2018/19 £000 2019/20 £000 2020/21 £000 23,493.0 Total £000 106.0 109.0 106.0 109.0 3,500.0 969.8 2,530.2 3,500.0 71.0 56.0 15.0 71.0 2,000.0 2,000.0 5,786.0 0.0 0.0 0.0 3,240.8 106.0 109.0 2,000.0 2,545.2 5,786.0 2020/21 joint with Kent ANPR Equipment replacement IT IT System - Support Works Other Body armour replacement Transport Fleet replacement programme Y Capital Cost £000 2016/17 proposals 2017/18 proposals 2018/19 proposals 2019/20 proposals 2020/21 proposals 2017/18 £000 2018/19 £000 2019/20 £000 2020/21 £000 Total £000 110.0 110.0 110.0 66.0 66.0 66.0 71.0 71.0 71.0 2,000.0 2,000.0 2,000.0 2,247.0 2,247.0 2,247.0 SUMMARY 2016/17 £000 Capital Cost £000 53,793.3 10,412.0 23,493.0 5,786.0 2,247.0 95,731.3 0.0 2015/16 £000 27,011.6 0.0 0.0 0.0 0.0 27,011.6 0.0 2016/17 £000 19,791.6 7,922.0 0.0 0.0 0.0 27,713.6 0.0 2017/18 £000 4,515.1 1,790.0 12,516.0 0.0 0.0 18,821.1 0.0 2018/19 £000 2,445.0 700.0 9,096.0 3,240.8 0.0 15,481.8 2019/20 £000 30.0 0.0 1,881.0 2,545.2 2,247.0 6,703.2 Total £000 53,793.3 10,412.0 23,493.0 5,786.0 2,247.0 95,731.3 APPENDIX E CAPITAL RESOURCES AND EXPENDITURE FORECAST 2016/17 £000 2017/18 £000 2018/19 £000 2019/20 £000 2020/21 £000 Opening balance 4,699 (26,055) (49,032) (30,343) (31,475) Estimated resources to be generated in year Home Office - capital settlement Other capital contributions Capital receipts from existing plan and Estates Strategy 1,100 3,373 1,100 5,150 1,100 36,450 1,100 13,250 1,100 2,500 4,473 6,250 37,550 14,350 3,600 (8,215) (1,513) (40) - - (27,012) - (19,792) (7,922) - (4,515) (1,790) (12,516) - (2,445) (700) (9,096) (3,241) - (30) (1,881) (2,545) (2,247) (35,227) (29,227) (18,861) (15,482) (6,703) Closing balance (26,055) (49,032) (30,343) (31,475) (34,578) In year surplus/(shortfall) from resources/ payments (30,754) (22,977) 18,689 (1,132) (3,103) Less, estimated capital payments in year 2015/16 and earlier years projects Capital bids 2016/17 2017/18 2018/19 2019/20 2020/21 Notes 1 Awaiting notification of 2016/17 capital grant announcement. 2 The capital programmes from 2017/18 are subject to ongoing update and review. 3 Opening balance of £4.699m includes sale proceeds for Hadleigh of £300k expected 2015/16. APPENDIX F Current & Forecast Reserves 2015/16 Forecast Movements (£m) 2016/17 Forecast @ 31/3/16 (£m) Forecast Movements (£m) 2017/18 Forecast @ 31/3/17 (£m) Forecast Movements (£m) 2018/19 Forecast @ 31/3/18 (£m) Forecast Movements (£m) 2019/20 Forecast @ 31/3/19 (£m) Forecast Movements (£m) 202/21 Forecast @ 31/3/20 (£m) Forecast Movements (£m) Forecast @ 31/3/20 (£m) Specific Revenue Reserves Future Capital Funding Leased Property Dilapidations Reserve Original Leased Property Dilapidation & Maintenance Reserve Forfeiture Monies Reserve Estates Plan Athena Restructuring Reserve Investment for Estates & IT Strategies Pay Equalisation Reserve POCA income (0.3) - Specific Revenue Reserves (2.9) 1.4 - 1.4 - 1.4 - 1.4 - 1.4 - 1.4 Carry Forwards Reserve (1.2) - - - - - - - - - - - (2.2) 13.0 - 13.0 - 13.0 - 13.0 - 13.0 - 13.0 General Reserve (1.3) (0.7) (0.3) (0.3) - GR as % of net revenue expenditure Total Revenue Reserves Specific Capital Reserves Usable Capital Receipts Unapplied grants & other contributions Long term liabilities Capital Grants - receipts in advance Total Capital Reserves (note 1) Usable Provisions Insurance (for known outstanding claims) Restructuring (for known redundancies @ 31.03) Total Usable Provisions Grand Total Internal Borrowing on past capital projects (note 4) Reserves Financed by Cash 0.2 0.5 0.1 0.6 - 4.9% 0.2 0.5 0.1 0.6 - 4.9% 0.2 0.5 0.1 0.6 - 4.8% - 4.8% 14.4 - 4.7% 3.5 0.8 (3.5) (0.8) - - - - - - - - - - 0.5 (0.5) - - - - - - - - - (5.9) 4.8 (4.8) - - - - - - - - - 0.1 - 2.7 - 0.1 - 2.8 - - 2.8 - 0.1 - 2.9 - 0.1 - 3.0 - 0.1 2.7 0.1 2.8 (13.8) 21.8 (4.7) 17.1 0.1 17.2 1.0 (12.8) (8.1) 13.7 note 1: From 2016/17 the implementation of the Estates Strategy will reduce the Capital Reserves to zero 0.5 (7.6) 0.5 (4.2) 9.5 0.6 (7.1) 10.1 - 4.7% (5.0) (0.9) 2.6 14.4 0.2 0.5 0.1 0.6 - (1.6) - 0.2 0.5 0.1 0.6 14.4 2.6 - - - (6.0) (0.1) (1.5) 14.4 0.2 0.5 0.1 0.6 14.4 - 14.4 - 2.8 0.1 2.9 0.1 3.0 - 17.2 0.1 17.3 0.1 17.4 0.5 0.5 (6.6) 10.6 0.5 0.6 (6.1) 11.2 0.5 0.6 (5.6) 11.8