Earmarked Reserves for Elections.

Question

Each year our Town Council includes in its budget the cost of a full election in case we have a by-election or a scheduled full (multi-ward) election. Like many parish councils contested full or by-elections have become less frequent (unfortunately but that's another issue entirely).
Rather than holding the cost of a full election in our annual budget, I'm proposing that we establish an earmarked reserve for Elections, with the budget contributing 25% of the cost of a full election each year. At the end of the cycle, should a full election be held adequate funds are available. If there is a contested by-election  the costs of that would be replaced the following year in the EMR either through the budget or a transfer from reserves.

I've done some research and it appears this is exactly the approach that other parish councils do (Middlewich, Knutsford and Frodsham Town Councils for example).
The net benefit is to free up a significant sum each year which can be used for other projects.
But are there any downsides to this that I haven't thought of ?

Answer 1

That is a perfectly sensible and logical approach, difficult to comprehend how this has persisted for so long (but not really) - are you new to the council?

"Habits" are hard to break, the longer they persist, the harder they are to break (with critical thinking and logic.)

The only input I would offer is that it is not essential, nor by any means the only option, to spend a 'saving', it is just as credible to reduce your precept by the value of the new and improved approach...

Answer 2

As usual seeking out the simplest answer is usually the best unlike our bureaucratic world where this is the last solution accepted.As elections are cycled every four years then putting aside 30% into election kitty is sensible. If no election is called then it is not added to except to keep up with rising costs for the next cycle. It just has to be ring fenced for an election. It is of course call fiscal prudence and meeting councils obligation to the electorate on budget planning

Answer 3

My PC has had one election in one of its four Wards in over 30 years, and before you ask I called it
Our Clerk to pad out the Budget includes the cost of an election in all the Wards every year
Once the Budget is set it is basically ignored as no attempt is made to properly track it
I don’t even see the need for a specific reserve with larger Councils like ours if it’s a one in 30 year event