Agenda item

            The Committee considered the following report :

“1.0     Purpose of Report or Summary of main Issues

1.1       This report updates Members on the development and implementation of the £105m leisure assets capital programme.

2.0       Recommendations

2.1       The Committee is asked to note the contents of this report and

·        note the programme level update in respect of the new facilities under the leisure programme as outlined at 3.1.

·        note the update in respect of the options appraisal for the future management arrangements for Templemore as outlined at 3.2 to 3.4 and endorse the recommendation from the East AWG that “Option 4 – the Council enter into a contractual relationship with the TUT for the original building only, that being the interpretative area and the existing pool, with the new build being outsourced for management by the Council’s strategic partner” be adopted as the preferred future management option for the Templemore Baths.

·        note, however, that given the tight timescales for this work given the HLF timescales and the potential impact of the loss of HLF monies on the overall East leisure provision, the agreement of the East AWG that ‘Option 6 – Outsource the management of the building in its entirety to a strategic partner / the Council’s existing strategic leisure partner’ would be the fall back option in the event that consensus on Option 4 could not be satisfactorily reached.

·        note the next steps as outlined in 3.5 below and that Committee will be kept up to date on progress in the next two months

3.0       Main report

            Programme level

3.1       Members will recall that they have agreed the design cost limits and the citywide USP strategy for the Council’s £105m leisure programme which will ensure that the city has a unique offering in terms of its leisure provision and minimises any duplication of provision ensuring both balanced investment and value for money.  A high level summary of the current status of all the projects is outlined below –

            Templemore – Future management arrangements – Options appraisal

3.2       Members will recall that they were informed last month that an options appraisal in respect of the future management arrangements for Templemore was underway.  This was on the basis that the Council had received legal advice that a direct award to the Templemore Users Trust to run the new facility would leave the Council open to legal challenge.  At the same time however, there was a recognition of the significant work that the Trust has done over the years to keep the existing Baths open and the East AWG members have continually stressed their desire that the TUT continue to have an active role in management of the facilities. It has been highlighted this needs to be balanced against the fact that the new facility is an entirely different proposition to the existing centre and that the new centre is a core part of the city’s overall leisure offering.

3.3       The East AWG, at its meeting on 10th April, were updated on the outcome to date of the options appraisal by the consultants.  At this meeting, Members considered the options put forward and agreed to recommend to the SP&R Committee that the Council should progress ‘Option 4 - BCC enters into a contractual relationship with the Trust for the existing building only (i.e. existing pool and interpretative space). New build managed by the BCC’s strategic partner. (Precise contractual structure to be agreed with Council)’.  It was noted that this option is subject to a satisfactory partnership agreement or Memorandum of Understanding being reached that meets the Council’s and HLF’s requirements including, but not limited, to an agreement by TUT to apply Council policies in relation to pricing, a commitment to the Council’s monitoring arrangements and full co-operation with both the HLF and the Council in relation to the design, funding application and maintenance.

3.4       Members are asked to note that the Council has now received definitive timescales from the Heritage Lottery Fund and are now required to submit all project documents to them by 10th August for the pre-application review with the final application to be submitted by 5th October.  As previously advised HLF have indicated that there will be no possibility for an extension to this deadline and there is therefore an extremely tight window in the coming months to progress this. It must be emphasised that if the HLF monies are not secured the current proposals for Templemore cannot be achieved within the Council’s budget provision of £12m for the centre.  This will not only impact Templemore but will have a wider impact on the overall leisure provision within East as the Templemore and Avoniel projects are inextricably linked.

3.5       To ensure the tight HLF timescale is met the East AWG members agreed the timetable agreed the timetable and next steps as set out below:

·        By end of April 2018 - discussion period with TUT (starting asap) with the aim of agreeing the aforementioned principles/ Heads of Terms. Discussions with Strategic Partner.

·        18th May 2018 – Update to SP&R

·        May-Mid June 2018 – Detailed negotiations with TUT and Strategic Partner to agree specific division of roles and responsibilities (to be encompassed within a partnership agreement or Memorandum of Understanding)

·        22nd June – Update to SP&R

·        By 10 August 2018 – Submission of all project documents to HLF as part of a pre-application review – to include partnership agreement or MoU, Business Plan & Management & Maintenance Plan

            Members are asked to note that there is a significant piece of work to be undertaken in the coming months and it was therefore recommended that independent facilitation continue to be provided in support of this.

3.6       Committee is asked to note that all Members of the East AWG expressed their support for Option 4 and for a continued role for TUT in the future management of the building.  However that they also noted the tight timescales as set out above and the potential impact of the loss of HLF monies on the overall East leisure provision.  They therefore further agreed that ‘Option 6 – Outsource the management of the building in its entirety to a strategic partner / the Council’s existing strategic leisure partner’ would be the fall back option in the event that consensus on Option 4 cannot be satisfactorily reached. 

3.7       Members are therefore asked to endorse the recommendation of the East AWG that Option 4 be adopted as the future management option for the Templemore Baths. Recognising however the tight timescales and the potential impact of the loss of HLF monies on the overall East leisure provision note the agreement by the East AWG that Option 6 (as above) willbe the fall back option in the event that consensus on Option 4 cannot be satisfactorily reached.  Members will however be kept up to date of progress in the coming months.

3.8       Financial & Resource Implications

            Financial – The design costs limits for each centre were agreed by Committee in April 2015 as part of the overall £105m leisure programme.

3.9       Equality or Good Relations Implications

            There are no direct equality implications .”

            The Committee adopted the recommendations.