EHDC Committee Library Report: SPORTS CENTRE MAINTENANCE RESERVE

Report No: COM. 51/01 - 05 December 2001 - Final Copy

Cabinet
SPORTS CENTRE MAINTENANCE RESERVE
Report of Head of Leisure & Culture

For Decision

Purpose of Report:

This report outlines proposed projects to be funded from the Sports Centres Maintenance Reserve.

Recommendations:

It is recommended:

a) That members approve the projects outlined in paragraph 3.3;

b) That these projects are added to the Council's Capital programme; and

c) That in order for the the cubicle and locker schemes to be integrated with other Capital Schemes managed by DC Leisure Ltd, that Standing Orders be waived, to provide a Capital Grant to DCL, for these schemes.

Resourcing Implications:

A total capital cost of £211,000 has been added to the capital programme (Report number R35/01) shown elsewhere on this agenda. However the exact cost of all the Schemes are not known, but if the costs exceed the remaining balance of £211,000, the remainder of the finance will be through the use of the new life cycle fund, discussed elsewhere on this meeting's agenda (Report number COM.52/01). The utilisation of the reserve will result in a loss of interest earnings, averaging £10,000 per annum.

Body of Report:

1.0 INTRODUCTION

1.1 The current leisure management arrangement of the EHDC's two leisure facilities with DC Leisure Management Ltd (DCL), include that the responsibility for non day to day maintenance lies with EHDC. Some three years ago the former Policy & Resources Committee created a £400,000 Sports Centres maintenance reserve to deal with major projects.

1.2 To date £189,000 has been spent out of the reserve. This report outlines to members that the £211,000 balance of this reserve is needed to implement new projects.

2.0 APPROVED PROJECTS

2.1 EHDC's Leisure and Architects staff work with DCL to provide a maintenance matrix that outlines future projects, where the scheme will/can be funded from, the cost including fees and when the project is to be carried out.

2.2 EHDC's former Policy & Resources Committee approved the following schemes:

a) Alton Sports Centre - A new spa and steam room, repainting the external cladding, renewing the electrical switch gear, installing firebreaks and improving access to comply with Part M of the Building Regulations.

b) Taro Leisure Centre - A new Building Management System was installed to control and monitor the heating and ventilation equipment, replacing floor screed in the Changing Village and improving access to comply with Part M of the Building Regulations.

All projects except for the access improvements have been completed. All work in these schemes will be completed by the end of the financial year, except for the replacement of the lift at Alton Sports Centre, which should be installed by the Spring 2002.

3.0 PLANNED PROJECTS

3.1 The responsibility for maintenance projects in the new leisure management contract will still be the responsibility of EHDC. Whilst discussions in respect of the new contract are progressing, there are schemes in the maintenance matrix that need to be completed by April 2002, in advance of the new contract. The total cost of these new schemes exceeds the balance in the reserve fund. The schemes are as follows:

a) Alton Sports Centre - electrical back feed problem, replace lockers and refurbish cubicles, Maintenance of outdoor sports area, main pool tiling, pool filters relining and medium change, rails for Diving Pool. The estimate for this work totals £207,000

b) Taro Leisure Centre - replace lockers and refurbish cubicles, soffit steel work repainting, Pool Hall and plant room survey, flume pump location, guttering and down pipes and plant room water ingress. The estimate for this work totals £153,500

3.2 Due to the high cost of the work - up to £360,500 there has been a need to prioritise the projects according to urgency and importance. It is acknowledged that any other schemes, within the maintenance matrix, will have to be funded through new arrangements as part of a new leisure management contract.

3.3 The projects to be funded out of the balance of the reserve fund are suggested as follows:

Alton Sports Centre

a) An independent survey was commissioned as a result of an electrical back feed problem. This survey has identified that the problems emanate from the emergency lighting system. It has also emerged that significant parts of the electrical installation do not comply with current recognised standards (the building is nearly 30 years old). The cost for the work has been estimated at between £25,000 and £100,00 depending on the scope of the works. Specifications for the work are being drawn up by the Council's Property Service.

b) The 268 lockers in the 'wet' and 'dry' changing rooms have reached the end of their life expectancy and need to be replaced. Quotations for the work have been received at £23,200.

c) The seats in the 'wet' side changing rooms and 'dry' side toilet cubicles need to be replaced at a quote of £9,000.

Taro Leisure Centre

a) The 381 lockers in the 'wet' and 'dry' changing rooms have reached the end of their life expectancy and need to be replaced. Quotations for the work have been received at £38,500.

b) The cubicles in both the 'wet' and 'dry' side need replacing and quotes have been received at a cost of £55,500.

c) The placement of the flume pump has been a continuing problem at the Centre for a number of years, even after some remedial work. Water has been entering the area where the pump is located and recently a Southern Electrical report has indicates that it is a hazard and the pump should be relocated. To resite it to the plant room will cost an estimated £20,000, quotes will be received shortly.

The cubicles and lockers cannot be refurbished as the company that installed them went into receivership several years ago and hence the plans are for replacement. This work will be implemented at the same time (Mid March) as the capital work on the 'dry' side changing rooms at Alton & Taro, as part of the Council's investment in the new leisure management contract shown elsewhere on this meeting's agenda.

4.0 FINANCIAL IMPLICATIONS

4.1 The obvious difficulty is not knowing exactly the extent and cost of the electrical work at Alton Sports Centre. Assuming a worse case scenario the total cost of the works would total £246,200. This exceeds the £211,000 currently available in the Sports Centre maintenance reserve. In the Property officer's considered opinion, the total should not exceed £50,000. However, no guarantees are given for the cost of the electrical work. If the full amount of the earmarked reserve is released and the electrical work exceeds £50,000 the rest of the work can be accommodated in the proposed maintenance arrangements in the new leisure management contract. The Council will be contributing £155,000 per annum into a life cycle maintenance fund managed by DCL.

4.2 As mentioned above the cubicle and locker work will integrate with the other Capital works, as part of the new leisure management contract (as shown in Report COM 52/01 elsewhere on this agenda). Given the proposal to place DCL with the responsibility for the management and procurement of these capital projects, it is recommended that the funding of the cubicle and locker work also be in the form of a capital grant to DCL, and that this is reflected in the Capital Programme.

5.0 CONCLUSION

5.1 The work outlined above needs to be completed, for the reasons given above. The projects have featured in the maintenance matrix for some time and two of the schemes are of a health & safety nature. It is also necessary to agree to the schemes, in order to proceed with the work as soon as final quotes are received. Otherwise the schemes will be further delayed. Therefore, members are requested to agree to the projects outlined above which will be funded from the earmarked reserve and added to the Council's capital programme.

5.2 In order for the cubicle and locker work to proceed with the other Capital improvements, it is recommended that Standing Orders be waived and that a Capital Grant be provided to DCL.

5.3 It is further suggested that if the works come to less than £211,000, then a report to Cabinet is provided to recommend future use of any remaining balance of this fund. If the projects exceed £211,000 the new life cycle fund will be utilised. In addition the rest of the projects outlined in paragraph 3.1 a) and b) above will also have first call on the life cycle fund.

Contact Officer: Chris Youngs, Head of Leisure & Culture

E-Mail: chris_youngs@easthants.gov.uk

Corporate Portfolio Holder: Cllr A Pattie

Consultation:

Background Papers: