Leisure Contract
Exempt Report of Director of Community and Environment
Additional documents:
Decision:
Resolved
(1) That the outcome of the negotiations over a change to the benchmark contract price and the incorporation of Legacy Leisure into the leisure management contractual framework be endorsed.
(2) That the net financial benefit of these changes be incorporated into the revised 2015/16 revenue estimates and the full savings effect into the base budget for 2016/17.
Minutes:
The Director of Community and Environment submitted an exempt report relating to negotiations with Parkwood Leisure Ltd over changes to the contract to operate the Council’s main leisure centres.
Resolved
(1) That the outcome of the negotiations over a change to the benchmark contract price and the incorporation of Legacy Leisure into the leisure management contractual framework be endorsed.
(2) That the net financial benefit of these changes be incorporated into the revised 2015/16 revenue estimates and the full savings effect into the base budget for 2016/17.
Reasons
The package is regarded by officers as a very positive outcome from negotiations where the Council will;
- Achieve a greater annual cost saving than that originally offered.
- Achieve a substantial annual reduction in the cost of operating its three primary leisure centres.
- Address in full one of the outstanding 2008 contract anomalies and another in part.
- Address some of the 2015/16 budget challenges associated with the Spiceball bridge.
Alternative options
Option 1: To reject the linked outcomes of the negotiations and revert to the current contract structure and cost. This will not deliver any financial savings to the Council