NOT FOR PUBLICATION BY VIRTUE OF PARAGRAPH 3 OF PART 1 OF
SCHEDULE 12A (as amended ) of the Local government Act 1972
Agenda Item No___14__________
North Walsham Sports Centre Joint User Agreement
Summary:
Conclusions:
Recommendations:
North Norfolk District Council manages and operates North
Walsham Sports Centre as part of a Joint User Agreement made
between NNDC and the County Council through North Walsham
High School Governors. This paper outlines a proposal to move
the operation of the sports centre for community use over to the
school.
The opportunity exists to move the Community Sports operation
at North Walsham to being under the control of the High School,
as part of its wider community aspirations, especially given the
recent completion of the Atrium building at the school. This will
also give rise to long term financial savings to the Council.
1) To confirm, subject to positive negotiations, the transfer
of the Community Sports Centre operation at North
Walsham High School from the Council to the School.
2) For officers to enter into and complete formal
negotiations with the School to allow this transfer to take
place at a mutually acceptable date.
3) That any lump sum payment made as part of an agreed
settlement with the school is made conditional on the
school keeping the facility open for two years.
Cabinet member(s):
Contact
Officer,
number, and e-mail:
1.
Cllr John Lee
telephone Karl Read, Leisure and Cultural Services Manager
01263 516002 Karl.Read@north-norfolk.gov.uk
Introduction
1.1
Members will be aware that the Council has three dual use sports facilities based
at Cromer, North Walsham and Stalham High Schools, which allow for use of the school
sports facilities outside school hours for community sports and active leisure. All three
facilities offer a wide range of sports including football, hockey, tennis, badminton,
basketball, judo, indoor climbing, carpet bowls, cricket and table tennis.
1.2
The North Walsham facility sees c29000 personal uses each year, across all of
the sports offered, both through block bookings made by clubs such as North Walsham
Gymnastics Club, and casual hire from individuals and other groups. The facility is also
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popular for sports based children’s parties and a limited programme of events is also
run in the school holidays, mainly for children under 12.
1.3
All three dual use facilities are subject to a separate Joint User Agreement made
between each High School (through the County Council/Governors) and the Council.
Each agreement requires a two year notice period for either party to terminate the
agreement.
1.4
The 2012/13 base budget for operating and managing the North Walsham Dual
Use Sports Centre (including support service recharges) is £117,000. There is also a
Sports Hall Equipment reserve held in relation to North Walsham of £15,000.
2.
The Current Position and Implications
2.1
North Walsham High School has recently successfully completed a joint
school/community building, The Atrium. This has been based on the school’s
aspirations around community interaction and engagement and allows an excellent new
school facility, to be used for a variety of public uses, both in and outside school hours.
There are obvious synergies between the management of the Community Sports
Centre and the Atrium and there seems little reason therefore why the Community
Sports Centre could not be absorbed into the wider management of the Atrium.
2.2
The Council’s Community Sports Manager has recently left North Norfolk District
Council. This presents the Council with other options in how it should operate the
existing dual use sports centres.
2.3
Officers have initiated informal discussions with the Head Teacher and Business
Manager at North Walsham High School and have reached an initial agreement in
principle, regarding a way forward. As well as Cabinet approval, any formal agreement
would also require the agreement of the School’s governing body.
2.4
The Council employs two staff that currently work at the Sports Centre. The
agreement would put the staff at risk of redundancy or TUPE and the options around
this depend on final contractual negotiations between the Council and the School.
2.5
Under the Joint User Agreement, a Management Committee is set up which
helps manage the facility and provides links to local clubs and the community. There is
also a Voluntary Committee which organises various activities throughout the year,
raising money to further invest in the facility. Should the negotiations between the
Council and the School reach a positive conclusion, then the school would take on
overall management responsibility of the Community Sports Facility.
3.
Financial Implications:
3.1
Essentially, the proposed agreement would see the Council pay the School, in
lieu of the required two year notice period, a lump sum which would not exceed the cost
to the Council of running the facility for the same period if it continued with the
contractual agreement, plus the reserve balance.
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2012/13 base budget
Staff
Premises
Supplies and services
Support service recharges
£52,000
£51,000
£14,000
£40,000
Income
(£40,000)
Net budget
£117,000
3.2
Excluding the support service recharges (which would remain with the Council)
the net budget position is £77,000. The proposal is to provide this budget to the school
for a period of 2 calendar years (equating to £154,000), which would give a cost neutral
budget position, with savings accruing from year 3 in the region of £77,000 per year. As
the proposal includes the payment of the £154,000 as a lump sum there may be a
requirement to use reserves to smooth the impact of this on the budget, although this
would just be a timing issue.
3.3
It is also proposed that the Sports Hall Equipment reserve of £15,000 is paid over
to the school, subject to legal advice that this is acceptable.
Proposal summary
2 years net budget (excl support service costs)
Sports Hall Equipment reserve
£154,000
£ 15,000
Total proposed payment
£169,000
3.4
There are two members of staff that will be put under risk of redundancy
depending on the details of the final agreement. The potential cost of such
redundancies will not exceed £10,000 and would be deducted from any lump sum being
paid across to the School.
4.
Sustainability
4.1
There are no environmental sustainability issues arising directly from the
proposal.
5.
Equality and Diversity
5.1
It could be considered that access to the facility is now at risk, although officers
have advised the School that all existing bookings should be honoured in order to
sustain participation and maintain access to the community for active leisure activities.
This should be in the interests of the school in any case for its own community business
planning.
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6.
Risks to the Council
6.1
As with any sports facility, the reputational risk to the Council is potentially high.
However, the community benefits which could accrue from the School’s running of the
facility in the future are potentially very significant, with public and community interaction
with the School and the School genuinely sitting at the centre of the local community.
6.2
In order to facilitate any transfer, officers would work with the School so that the
School is eased into the operation of the facility with it continuing to operate as a
community facility.
6.3
In terms of any agreement with the school, it would be appropriate to ask the
school to accept any lump sum conditional on the community sports facility remaining
open for the two years that the lump sum would otherwise fund. This would protect the
Council’s investment in the facility for this period.
7.
Conclusions
7.1
The opportunity exists to move the Community Sports operation at North
Walsham to being under the control of the High School, as part of its wider community
aspirations, especially given the recent completion of the Atrium building at the school.
This will also give rise to long term financial savings to the Council.
8.
Recommendations
1) To confirm, subject to positive negotiations, the transfer of the Community Sports
Centre operation at North Walsham High School from the Council to the School.
2) For officers to enter into and complete formal negotiations with the School to allow
this transfer to take place at a mutually acceptable date.
3) That any lump sum payment made as part of an agreed settlement with the school is
made conditional on the school keeping the facility open for two years.
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