Revised budget proposals include millions of pounds of additional funding to support businesses, respond to flooding and repair roads.
Budget proposals for 2021/22 have been agreed by the council's executive today (Tuesday 2 February).
In light of the economic impact of coronavirus, the executive has proposed using some the council's reserves to provide an additional £12m to help support local businesses. There is also an extra £200,000 for flood response and £10m more for roads.
Cllr Martin Hill OBE, leader of Lincolnshire County Council, said:
"We know local businesses have had a particularly tough time during the pandemic, so we want to make additional support available.
"Thanks to our careful financial management over the years, we do have reserves we can draw on in times of emergency, and now is the right time to do that.
"We are also recommending that extra funding is made available for flood response and roads as we know these areas are a priority for our residents."
This year's budget proposals include over £500m for the day-to-day services residents rely on, such as adult care, children's services and the fire service.
In addition, the council is proposing to invest around £200m in infrastructure and building projects, such as improvements to local schools and new roads.
The authority's funding comes from a combination of council tax, business rates and government grants.
Although the government is allowing up to a 5% increase in council tax rates this year, the proposals recommend a 1.99% rise.
The majority of properties in Lincolnshire are in council tax band A so the council tax increase would be the equivalent of an extra 34p per week for these households.
The final budget will be set by the full council at their meeting on Friday 19 February.
For further information on the council's spending, visit www.lincolnshire.gov.uk/budget.
Executive budget recommendation amendments
After paragraph 2 of the recommendation insert a new paragraph 2A as follows:
2A Approve for recommendation to full Council that the budget for 2020/21 be amended as follows:-
(i) a new Support for Businesses Reserve of £12m be created for the purpose of implementing schemes for supporting Lincolnshire businesses by a transfer of £12m from the Financial Volatility Reserve; and
(ii) £0.2m be transferred from the Financial Volatility Reserve to the existing Flood and Water Risk Management reserve for the purpose of providing sandbags across the county.
Amend paragraph 3a) of the recommendation to read as follows:
a) the revenue budget for 2021/22 proposed in Table B of the report subject to the following changes:-
(i) the Financial Volatility Reserve be reduced by £12.2m;
(ii) the new Support for Businesses Reserve of £12m be inserted; and
(iii) the Flood and Water Risk Management Reserve be increased by £0.2m to £0.418m.
Amend paragraph 3b) of the recommendation to read as follows:
b) the capital programme for 2021/22 proposed in Table C and Appendix C of the report subject to the New Developments Capital Contingency Fund being reduced by £10m and the insertion of a new scheme in Highways, “Rural Road Fund” with an allocation of £10m;
The rest of the recommendation says the same as set out in the Report