south northamptonshire council cabinet feasibility...
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SOUTH NORTHAMPTONSHIRE COUNCIL
CABINET
13 May 2013
FEASIBILITY STUDY INTO THE PROVSION OF SWIMMING
FACILITIES IN BRACKLEY
REPORT OF THE DEPUTY LEADER, COMMUNITY ENGAGEMENT AND
WELLBEING PORTFOLIO HOLDER
1. RECOMMENDATIONS 1.1. That a full Business Case be prepared for the relocation of Brackley Pool to
the Brackley Leisure Centre.
1.2. That £37,000 be approved to enable the detailed work of the Business Case to be formulated and to be funded from the 2012/13 Community Services underspend carried forward.
1.3. That Cabinet reconsider this potential project based on the completed Business Case.
2. REASONS FOR RECOMMENDATIONS 2.1. To enable full consideration of the benefits and all other implications arising
from the preferred swimming pool relocation option prior to a decision to proceed.
3. RELEVANT INFORMATION
Background
3.1. On 12 September 2012, Cabinet agreed to undertake a feasibility study into the provision of swimming facilities in Brackley. This followed the recognition by the Council in its 2012/13 Business Plan that Brackley Pool is of an age which requires some action.
3.2. The feasibility study was undertaken largely by Council officers but some technical support was engaged in order to assess some of the potential options and to provide order of magnitude costs to allow members to take adequately informed decisions at this early stage in the process.
Feasibility Study Conclusions 3.3. The full Feasibility Study report is attached at Appendix 1. The conclusions
arising from the report are; - The Brackley Pool is a well regarded facility which is of particular benefit
to children.
- Due to the age and condition of the current Brackley Pool, if the Council
is intent on retaining swimming provision in the town, a minimum of
£600k capital investment (based on the 2008 building condition survey)
is required up to 2023 and probably more to avoid any adverse effects
on revenue costs.
- Substantial investment in the current pool site is not recommended due
to the relative short 10 year remaining term of the lease.
- There is the potential for operational and revenue benefit from the co
location of a combined swimming pool and leisure centre site operation.
However, there will remain some uncertainty regarding the net revenue
consequence of this until more clarity is obtained regarding the future
funding of schools swimming and more detailed analysis is undertaken
of a new combined operation.
- Given the future growth planned for the town, it is expected that demand
for swimming will increase. If a new pool was provided, further use could
also be expected and as such, the provision of a learner pool is advised.
- A new pool will cost an estimated minimum £5m but there are capital
funding opportunities which could fund a significant proportion of this.
- There are many interdependent capital and revenue factors from which
only indicative costs can be estimated at present. This necessitates a
further stage of more detailed work focussed on a single option to be
more precise about the feasibility before any firm decision can be taken.
- The most appropriate future swimming pool option which combines best
investment value for the Council, long term security of tenure and the
best swimming outcome for local people is the relocation and the
building of a new main pool with a learner pool to adjoin Brackley
Leisure Centre.
3.4. Therefore, there is a strong evidence and sufficient potential for the Council to undertake further analysis in the form of a full Business Case for the option (including a turn key solution) of co locating a new swimming pool and learner pool at Brackley Leisure Centre.
Proposed Next Steps
3.5. If the Cabinet are minded to agree with these conclusions, further detailed analysis of many of the key aspects of the project will be required. Such analysis should include more detailed work with NCC over schools swimming, the financial benefit to the Council of enabling the redevelopment or alternative use of the existing site, more detailed revenue consequences of the combined operation at Brackley Leisure Centre, the potential for external funding thereby minimising the use of the Council’s own reducing financial resources and an assessment of other construction possibilities which include design/build approaches which might result in a lower capital cost compared to a conventionally built leisure centre extension.
3.6. There will be a resource requirement to undertake this substantial piece of work with many varied work steams arising from it. Project management preferably with a leisure management background for estimating future operational cost will be key to provide the thoroughness the Business Case requires and this will have to be sought externally as there is not the internal capacity to provide. In addition, some further specialist technical evaluations associated with Brackley Leisure Centre, land assembly and updated building conditions information of the current pool and the Leisure Centre will be needed to gather all relevant information for Cabinet. An estimated £30,000/£40,000 is required for this but it would result in work which would in part be needed in any case should the Council choose to proceed with the relocation.
4. RESOURCE IMPLICATIONS 4.1. There are clear significant capital requirements for a project of this nature
combined with the potential for revenue benefit where two building operations are combined as one. No decisions on these aspects are required at this early stage in the process but there is a need to fund external support to take the project to the next stage of a full and detailed Business Case. This is estimated to be £30,000/ £40,000 and can be funded from the 2012/13 underspend of £37,000 in Community Services carried forward and earmarked for this purpose.
5. IMPACT ON EFFICIENCIES 5.1. There is the potential to generate further income from a new pool and secure
savings from a combined single operation rather than two separate buildings. However, there are likely to be increased staffing costs associated with an extended pool offer along with increased energy costs. In addition, the need for a new schools swimming arrangement and funding mechanism creates further revenue uncertainty. Further analysis is required on all these aspects to determine accurately what the net effect might be before any assumptions are made about securing efficiencies.
6. ALTERNATIVE OPTIONS (INCLUDING REASONS FOR REJECTION) 6.1. The Feasibility Study has identified a number of options – see Annex 1. 7. APPENDICES ATTACHED TO THE REPORT 7.1. Annex 1 – Feasibility Study in to the Provision of Swimming Facilities in
Brackley. KEY CONSIDERATIONS
Key decision (yes / no)
• Impact is more than £50,000 in revenue expenditure
• Impact is more than £250,000 in capital expenditure
• Impact is more than £5m Treasury Management investment of reserves
• Will have a significant impact on communities, usually in two or more wards in the district
Forward Plan/Urgency
No
Links to corporate priorities and policy framework
This requirement was recognised in the 2012/13 Business Plan and also the 2013/14 Business Plan
Risk management implications
The most notable risk is associated with the maintenance cost of retaining the current swimming pool site which, due to its age, there are known capital requirements to maintain to an acceptable operational standard.
Consultation undertaken
None
Equalities and diversity implications
None
Human rights implications
None
Crime and disorder implications
None
Biodiversity None
implications
Name Ian Davies Title Director of Community and Environment Date 1 May 2013
Background Papers: None Contact Officers: Ian Davies, 030000 30101,
[email protected] Chris Rothwell, 030000 30104, [email protected]
Feasibility Study into the Provision Of
Swimming Facilities in Brackley
Background
Brackley Swimming Pool is 40 years old and as a consequence, is showing clear signs that it is reaching the end of its economic life. Regular annual investment is now required to keep it operational to a satisfactory level. In addition, there are also restrictive parking and access issues associated with the site as well as short/medium term water disposal issues which require attention. Given the above factors, the Council’s 2012/13 Business Plan contained the requirement to prepare options for the relocation of Brackley Pool. To progress this, the Cabinet on 12 September 2012 agreed to undertake a feasibility study into the provision of swimming facilities in Brackley to include; - Site options analysis including the current site - Facility modelling analysis - Technical assessments of sites with order of magnitude capital and revenue costs - An indicative capital cost plan - Procurement and project management considerations This document is the result of that feasibility study. It examines the need for a swimming pool in Brackley and having concluded that there is a need, options to service this need. These options include; Option 1 – Remain on the current site up to 2023 Option 2 – Close the Pool and vacate the current site Option 3 – Relocate the Pool to Brackley Leisure Centre Option 4 – Relocate the Pool to elsewhere in Brackley The Current Brackley Swimming Pool The current Brackley Swimming Pool is a 25 metre, 5 lane swimming pool incorporating a viewing gallery, a small fitness suite and a sauna and steam room. The facility was built in 1973 off Manor Road in Brackley on land owned by Northamptonshire County Council (NCC) but leased to South Northamptonshire Council until 2023. At the end of the lease term, the Swimming Pool (along with the land) will revert to NCC. The Council has sub-leased the Swimming Pool site to The South Northamptonshire Leisure Trust (SNLT) until 31 March 2016 and the Swimming Pool is run by the SNLT on behalf of the Council until that date. An annual management fee of £101,620 is paid by NCC to the Council to operate the building for school swimming in school term time. Outside this time the pool is available to the general public. The
Annex 1
Council spends a net £68,057 revenue per annum on the running of the whole facility after taking account of the NCC payment. The terms of the lease (as amended by a Deed of Variation dated 4 July 1997) set out the financial arrangements between NCC and the Council for maintenance of the Swimming Pool and the hours with which the Swimming Pool is reserved for use by schools determined by NCC i.e. exclusive use of the Swimming Pool during the hours of 9am and 5pm on school days. In summary, NCC will contribute 37.5% of the Council’s costs relating to “premises costs, equipment maintenance, new equipment, furniture and fittings, clothing and laundry, miscellaneous expenses, telephones and pool hires for the areas used for educational purposes, 100% of the cost of employing a Duty Manager and a Lifeguard and 12.5% of the cost of employing a Leisure Manager”. In addition NCC agreed (in 1997) to contribute the sums of £6,790 and £14,000 per annum respectively towards the cost of corporate management and capital replacement provision. These figures have been converted to an annual consolidated amount of £101, 620 from NCC. These arrangements (including the financial arrangements) will end when the lease expires in 2023. At this time, as previously indicated, the Swimming Pool (along with the land upon it is situated) will revert to NCC. Due to its age and condition, in 2008, the Council commissioned an independent report which included a condition survey of the current pool. At that time £563,500 expenditure was projected over the remaining term of the lease to keep the existing pool operational (See Appendix 1). Other than annual maintenance and a Trust funded refurbishment of the changing rooms, the requirement for these works still remains and the costs are likely to have increased. There is a clear need for this conditions survey to be updated given the time which has elapsed since 2008. The 2008 report also examined an optional refurbishment requirement to ensure the building is presented to a finish and standard which remains appealing to users to maintain usage levels. At that time a further £1.7m was estimated for improvements to the appearance and fabric of the facility for example improving the reception area, changing rooms etc. This cost is likely to have increased bearing in mind the report was undertaken 5 years ago. Without such a refurbishment, the risk is that usage levels will fall and the net operating cost will increase accordingly as the facility will not be maintained and presented to a high enough standard. Most of the revenue costs are fixed whereas the income is at risk. Usage had declined by 12% in the four years following 2008, but has increased again over the last two years, although still lower then 2008. The pool currently attracts 55,000 swims per annum excluding school use plus a further 31,000 other non swimming uses per annum. A further significant issue remains unresolved. Anglian Water has determined that the discharge rate of waste into the system is over the permissible levels. As regulations have changed, there is now a need for a retaining tank to be installed in
order that the waste is discharged at a slower rate into the drains. It is estimated that such a holding tank would cost in the region of £90,000 to £100,000. The Demand for Swimming Provision and the Need for a Brackley Pool In 2011, the Council commissioned Nortoft Partnerships Ltd to develop a South Northamptonshire Sports Facilities & Playing Pitch Strategy. This was to build upon the West Northamptonshire Sports Facilities Strategy of 2009 and the Playing Pitch Strategy of 2007, updating them as necessary and taking account of the latest information on housing projections which particularly affect Towcester and Brackley. It considered the sporting needs of the authority up to 2026, but focussed on the major built facilities and playing field requirements rather than those using more ‘informal’ venues associated with sports such as off road cycling, jogging, angling and equestrian. The Strategy also forms part of the evidence base for the Joint Core Strategy, and as such it will inform the development of policy in relation to developers’ contributions and sports facility investment more widely and the infrastructure lists which will be associated with the delivery of the Joint Core Strategy. Its conclusions with regard to swimming recognised that there are only three public swimming pools in the district; Towcester, Brackley and the Willison Centre. Of these, Brackley Pool is ageing and requires replacement. This is reflected in the throughput of the pool, which is performing less well than would normally be expected, whereas Towcester pool is more popular. The Strategy also noted that the relatively limited amount of swimming pool space in South Northants means that about half of all swimming visits are to pools in the adjoining local authority areas. The pool network in the surrounding areas means that most people from within the district are able to reach a pool within around 20 minutes travel time, and that there are good opportunities to swim. The area least well served is to the west of Brackley. Even assuming that the pools in the surrounding authorities continue to be available for others as their own populations increase in the longer term, there will be some requirement for new pool space in the period up to 2026, and there is also an urgent need to address the situation at Brackley. Notwithstanding the proposed larger pool at Brackley, there is likely to be some further need for water space, particularly if a general increase in swimming participation rates is achieved. This further water space may be best provided by the commercial sector, but any pool would need to be at least 160 sq m in size, and an appropriate degree of community use would need to be negotiated. However, it is likely that any commercial pool would be provided as part of a multi-facility health and fitness centre, where income is driven by membership only usage, with very limited public accessibility. . From the facility modelling, the population projections and the current trends in demand for swimming, the Strategy concluded that the over riding priority up to 2026, is to replace Brackley Pool with a 6 lane x 25m pool with a teaching pool, and
with electronic timing. In addition, the opening hours should also be increased to at least the full peak period (52 hours across the week) The above modelling has been worked out using the Sport England facilities planning tool kit and agreed by them. This is therefore considered robust and accurate for Brackley and the surrounding area. One of the key drivers for providing swimming pools is to offer children the opportunity at an early age to learn to swim. Currently the demand for school swimming in the Brackley Pool is running at 98% capacity. Taking last term as an example, for the first two months, this equates to over 5,000 visits by school children. Options for the Provision of Swimming Facilities in Brackley Having established that there is a current significant demand for swimming facilities in the town and that this demand is likely to increase in the future as the town expands, consideration is now required of the options available to the Council to meet this demand. To provide the exercise with some focus, these have been narrowed down to four options which range from no provision to relocation through new build. Each of these options will now be examined in turn with estimated costs. Option 1 - Remain on the current site up to 2023 Given that the Council has a legal agreement to manage and maintain the current swimming pool until 2023; this is a clear option for the future. However, NCC has been very clear with its intentions in that it wants to reduce or even eliminate its annual revenue fee paid the Council for the provision of school swimming, is willing to adopt an alternative swimming commissioning arrangement which is schools based instead of NCC commissioned and would like to realise the redevelopment value of the current site. In these circumstances, if the Council chose to retain swimming on the current site, it could realistically only do that within the terms of the current legal agreement i.e. to 2023 and that such an option is only available until 2023 and unlikely to be supported by NCC beyond. To achieve this, the Council could either redevelop the pool to improve it or merely maintain the current level of provision until 2023. Given the wishes of NCC to lower its costs and realise the redevelopment value of the site, it is unrealistic for the Council to consider substantial investment in any facility improvement on a site which has less than a 10 year life as the period beyond 2023 could not be guaranteed. Therefore, the only realistic way forward for this option is to maintain the pool in its current form and to invest to maintain its operation until 2023. For the period after 2023, the Council will then need to consider this matter again, either in the form of relocation or no pool provision.
To remain on the current site for the remaining term of the lease and to maintain the current building/facilities will require a minimum £600,000 investment to address the condition survey and water discharge requirement and a minimum of £1.7m to refurbish the facilities in order to maintain usage and avoid substantial increases in net revenue costs. However, these are 2008 building conditions survey costs which need updating. Option 2 - Close the Pool and Vacate the Current Site One alternative open to the Council is not to provide any swimming facilities in Brackley and to rely on the swimming pools in the surrounding towns of Banbury, Bicester, Buckingham and Towcester to serve the needs of Brackley people and current pool users. This option arises out of the fact that the provision of recreation facilities by the Council is a discretionary function albeit probably the most popular discretionary function the Council performs given the health benefits and enjoyment local people derive from them. Given the fact that a swimming pool has been provided in the town for 40 years and that the demand for it has been proven and indeed is expected to grow in the future, this option will clearly be very unpopular. Despite this and to ensure a full options appraisal is undertaken, some consideration has been given to what this might mean in practice which is broken down as follows; Public Swimming – some scope does currently exist in the surrounding four market towns for existing Brackley Pool public swimming users to use neighbouring pools. Not all these surrounding pools run at 100% capacity all of the time but this does rely on their current usage levels remaining stable and existing and future users being willing to travel from South Northamptonshire. School Swimming – it is unlikely that the current schools which swim at Brackley Pool could relocate to any of the four surrounding pools as each of these pools are either running to capacity during the school day or, in the case of Buckingham, Banbury and Bicester, would require some negotiation with Buckinghamshire and Oxfordshire County Councils respectively as joint use provision is provided via contractually agreements in these pools. This potential has not been explored in any detail although it is known that the Cherwell facilities have very little scope already and it also carries the uncertainty of the current South Northamptonshire schools continuing their existing use given that they will face additional transport costs and travel time. Club Pool Use – There is no programming capacity in surrounding pools for the current club users of the Brackley Pool to relocate. The main swimming club is South Northants Swimming Club. However there are a further four club bookings including Brackley Dippers, a group who provide support and rehabilitation to those with injuries or who are elderly needing support. It is unlikely these groups would be in a position to travel to other pools Swimming Lessons – all four surrounding market town pools run swimming lessons but younger age groups in particular are already in huge demand with some already running at capacity and therefore there is little scope for the current programme of
swimming lessons to be automatically accommodated elsewhere. In addition, regular associated travel costs will be a disincentive to many parents. Fitness Suite - users could relocate to Brackley Leisure Centre where there is sufficient capacity to accommodate, however some membership/usage may be lost due to the loss of wet side provision. Sauna and Steam Room – There are no immediate alternatives to replace this current provision. Option 3 – Relocate the Pool to Brackley Leisure Centre The option to relocate Brackley Pool to adjoin the Brackley Leisure Centre has been examined from two perspectives. Firstly, a replacement standard 25m pool largely like for like with the current pool and the second is a replacement standard pool plus a learner pool. These different possibilities have been examined to recognise the extent of the financial challenge which the Council will face if it chose to pursue this option. A further issue is where on the site such a relocation should occur. From the 2013 feasibility work undertaken so far on this option, this has included sketch schemes and order of magnitude capital costs of two possibilities which range from £5.2m to £6.1m at todays prices. The sketch schemes are attached at Appendices 2 and 3. In this respect, the facility could be constructed to the left side of the Leisure Centre or alternatively for the extension to join the existing centre at the rear side of the sports hall. Both options have their own merits and are feasible designs. One further issue arises from these potential design options and that is whether a ‘turnkey’ solution would be appropriate. Sport England promote this concept which needs further consideration here. It is anticipated that there will not be any issues of planning principle for this form of development given that the current Leisure Centre site provides for leisure and recreation land use. A development of this nature will be subject to the usual planning considerations and process. Option 4 – Relocate the Pool to Elsewhere in Brackley When considering alternative town locations for a pool, consideration should also be given to a combined new leisure centre and pool as, despite a significant increase in capital cost (a minimum of £15m is likely to be required based on 2013 prices), operationally it makes sense to do so. Therefore, when pursuing this option, a pool only and a combined leisure centre and pool have been considered. Winchester House School and Magdalen School have been approached to determine their views about future school use and the opportunity was taken to explore the use of their sites for a pool. Despite the importance of swimming to them, neither demonstrated any current intent nor site capability for a new pool provision.
Brackley contains very little open space or other land and sites which could be considered for a relocated pool. The large Radstone Fields development site is near finalisation in terms of master planning and Section 106 negotiation and offers little scope for a relocated pool and/or leisure centre without significant change to the current design and financial viability of the development. Beyond this, no detailed analysis or feasibility has been undertaken of the potential for other sites. Capital Cost Implications (NOTE: These are based on the best information
available at this time and a full appraisal is required to validate)
All the above options except Option 2 carry capital cost implications. Outline capital
cost summary is as follows
Type of
provision
Option 1
Remain
at
existing
pool site
until
2023
Option 2
Close pool
and no
replacement
Option 3a
Develop new
pool
facilities at
Brackley
Leisure
Centre side
of building
Option 3b
Develop new
pool facilities
at Brackley
Leisure Centre
to the rear of
building
Option 4
Develop a
new wet
and dry
facility in a
new
location
Basic Pool
only and
make waste
discharge
compliant
c£600k
N/A
£5.5m
£5.2m
N/A
Main pool,
learner pool,
café and
changing
facilities
N/A
N/A
£5.6m
£5.9m
N/A
As above with
moveable
floor to
learner pool
N/A
N/A
£5.8m
£6.1m
N/A
New Leisure
Centre on
new site
N/A N/A N/A N/A c£15m
minimum
Overhaul of
existing pool
£1.7m N/A N/A N/A
N/A
Capital Funding Opportunities
Similarly, the capital funding opportunities vary per option as relocation to another
site offers the opportunity to release some development value from which the
Council can benefit.
The following capital funding sources have been identified which can be considered
in relation to this exercise;
SNC Land Sale – The Council owns two parcels of land in the vicinity of the site
which can be considered as potential funding sources for this exercise. They are at
Daniaud Court and York Drive. Both sites are approximately four acres and, subject
to planning approval, could be suitable locations for residential development. Whilst
there will be many factors which influence the final price, for the purpose of this
exercise at this early stage, it is reasonable to assume that several £m can be
generated through these land sales and site redevelopments.
The Council also owns land in front of the leisure centre which could be considered
to realise capital receipt.
There does however remain some considerable uncertainty with such land values to
the Council due to market conditions and assumptions on valuations will need to be
tested and a full financial appraisal developed.
Section 106 Planning Agreement Contributions – There are a number of S106s
which can be considered for sports and leisure and which are reasonably assured for
this purpose. These amount to some £0.5m. They include;
Radstone - £300 per dwelling x 1000 dwellings = £300,000 – S106 not yet signed
Sawmills - £300 per dwelling x130 dwellings = £39,000 – S106 signed but not started
on site
Robson’s Land – Pre-application stage only so no S106 but potentially between 160-
180 houses which could secure £300 per house = £48,000 - £54,000
Brackley East - £300 per dwelling x 361 houses = £108,300 – S106 not yet signed
but progressing
Halse Road - £300 per dwelling x 26 houses = £7,800 – S106 signed but not started
on site
Rear of Market Place - £300 per dwelling x13 houses = £3,900 – S106 signed but
not started on site
Town Farm - £300 per dwelling x 14 houses = £4,200 – S106 signed but not started
on site
Brackley Fields, Halse Road - £300 per dwelling x 10 dwellings = £3,000 - S106
signed.
The Current Brackley Pool Site – Given NCC’s wish to realise a value from its
landholding and knowing the problematic access issues which exist, for this to be
progressed, alternative access arrangements will have to be found most likely over
this Council’s land in the vicinity or a land swap to occur to release additional
development value elsewhere. As a consequence, it could be reasonably assumed
that some benefit could be realised from new residential development in which the
current site was part of the mix. Again, there are many factors which will influence
the amount that benefit might be assessed as and in the first instance, site access
for redevelopment purposes must be achieved before this can be considered.
Other External Funding – On going discussions have been held with Sport England’s
Regional Office to provide support and guidance on possible avenues of funding.
The Sport England Improvement Fund has been identified as a possibility but this
funding is limited (£0.15m to £0.5m) and an indication of likelihood will not be given
until the Council has firm plans and a planning approval in place for those plans.
NCC - In discussion with NCC, the early termination of the current lease could be in
NCC’s financial interest which could in turn be beneficial to this Council. This would
obviously be subject to a complex negotiation and will be influenced by other factors
associated with the revised revenue costs of a new relocated operation and the
current site. As such, it is impossible to put a value on this at present.
New Home Bonus – This funding stream will benefit Brackley and could be
considered.
Borrowing – The Council could choose to borrow to fund capital costs. At present no
detailed work has been undertaken on this.
Revenue Cost Implications
By their very nature with high staff and energy costs, public swimming pools require
an annual revenue subsidy as income from customers does not match operating
expenditure. However, of the options considered in this report, it is anticipated that
there could be some revenue cost benefit for options 3 and 4 where the leisure
operation is combined and integrated as one building. Savings can be expected with
management costs, overall energy efficiency of a new building, a combined
reception function and other staffing/operational costs. An initial view of these is as
follows:
Staffing
By combining the two current separate operations, it would be expected that a
different numbers of Duty Managers, Recreation Assistants or equivalent and
reception staff would result. Overall, these are likely to be lower in total numbers on
a single site when compared to two separate operations and hence lower operational
cost could be expected.
Energy Costs
It is anticipated that there will be increases in energy usage if a new learner pool is
provided and that energy consumption is influenced by pool use which is expected to
increase. This increase could be offset in part by the expected increase in energy
efficiency of a new build. In addition, there will be additional water and chemical
costs if a learner pool is provided.
Food and Beverage
If a café was provided as part of the development, it is anticipated increased
secondary spend could generate a net trading return.
Increased pool space
If a learner pool is provided, this will provide additional programming flexibility to
generate additional income through additional public swims in the day time as well
as the offer of new swimming classes and aquafit etc. The amount of income this
could generate is uncertain as a formal programme and demand analysis has not yet
been completed.
Work is needed to be undertaken with South Northamptonshire Leisure Trust (SNLT)
and its operating partner, Serco Leisure Ltd., to be more precise about what the
effect of combining the two operations in one building will be. However, certainty
about these cannot be achieved until the Council’s leisure management contract
from 2016 has been established.
Schools Swimming
In addition, a major revenue factor in the net cost of the current Brackley Pool is the
fee of £101,620 pa received from NCC for schools swimming. Whilst this is relatively
secure until 2023 on the existing site, complex negotiation will be required with NCC
to reconfigure the schools swimming component, probably involving the schools
individually before a new revenue position is established. NCC are receptive to a
different arrangement similar to Towcester where the schools have the budget and
have a direct relationship with the swimming pool. Until this process of change is
undertaken, there will remain some uncertainty regarding this revenue issue. It is
however expected that by retaining a strong schools swimming programme, this
scale of revenue benefit can remain albeit in a changed form should a relocation of
the pool take place.
In summary therefore, by combining the two current operations and assuming that
the revenue effect of schools swimming remains largely the same, there is potential
for a beneficial revenue impact but further considerable work is required on the
different revenue aspects before this can be assumed.
Procurement of the Project
If the Council was minded to pursue either options 3 or 4, then consideration needs
to be given to the most appropriate procurement route to deliver a new swimming
pool. Material to this is the current operating contract the Council has with SNLT and
its partner Serco Ltd to operate its three leisure facilities in Towcester and Brackley
as this development will have a fundamental impact upon it. However, there is an
added complication which could be an opportunity in that the current contract comes
to an end in 2016 and the Council will need to consider the most appropriate
arrangements after this.
Two clear procurement options are available to the Council. The first is a works
contract procurement by SNC completely separate from whatever leisure
management arrangements are procured but with the necessary liaison taking place
with the leisure service provider (potentially but not necessarily SNLT and their sub
contractor) at the relevant time. The second incorporates the construction of the new
pool as part of the leisure management procurement for post April 2016, effectively
making it a single contract for the provision of works and the supply of services by
the chosen contractor in what is known as a Design, Build, Operate and Maintain
leisure management contract. Both of these procurement processes will require
significant up front fees to progress but each will be of a different nature.
No decision is required on this matter at this early stage but an acknowledgement of
this requirement is appropriate for this exercise.
Conclusions
Arising from the above research and options analysis, some clear conclusions can
be drawn as follows;
- The Brackley Pool is a well regarded facility which is of particular benefit to
children.
- Due to the age and condition of the current Brackley Pool, if the Council is
intent on retaining swimming provision in the town, a minimum of £600k
capital investment (based on the 2008 building condition survey) is required
up to 2023 and probably more to avoid any adverse effects on revenue costs.
- Substantial investment in the current pool site is not recommended due to the
relative short 10 year remaining term of the lease.
- There is the potential for operational and revenue benefit from the co location
of a combined swimming pool and leisure centre site operation. However,
there will remain some uncertainty regarding the net revenue consequence of
this until more clarity is obtained regarding the future funding of schools
swimming and more detailed analysis is undertaken of a new combined
operation.
- Given the future growth planned for the town, it is expected that demand for
swimming will increase. If a new pool was provided, further use could also be
expected and as such, the provision of a learner pool is advised.
- A new pool will cost an estimated minimum £5m but there are capital funding
opportunities (subject to a full financial appraisal) which could fund a
significant proportion of this sum There are many interdependent capital and
revenue factors from which only indicative costs can be estimated at present.
This necessitates a further stage of feasibility focussed on a single option to
be more precise before any firm decision can be taken.
- The most appropriate future swimming pool option which combines best
investment value for the Council, long term security of tenure and the best
swimming outcome for local people is the relocation and the building of a new
main pool with a learner pool to adjoin Brackley Leisure Centre.
- Consideration should also be given to a new wet/dry turnkey solution on the
existing leisure centre site.
Given the above conclusions, there is a strong evidence and sufficient potential for
the Council to undertake further analysis in the form of a full Business case for
Option 3 (including a turn key solution) of co locating a new swimming pool and
learner pool at Brackley Leisure Centre. Such analysis to include more detailed work
with NCC over schools swimming, the financial benefit to the Council of facilitating
the redevelopment or alternative use of the existing site, more detailed revenue
consequences of the combined operation at Brackley Leisure Centre, the potential
for external funding thereby minimising the use of the Council’s reducing financial
resources and an assessment of other construction possibilities which include
design/build packages which might result in a lower capital cost compared to a
conventionally built leisure centre extension.
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2022
YEAR
ELEMENT
1 2 3 4 5 6 7 8 9 10 15
Fab
ric
West Elevation - Partial
b/work repairs, cracking
repairs
East Elevation - replace
windows
North Elevation - replace
windows
General - making good
cracking -
£35k
Soffits/
fascias,
louvres -
paint - £10k
Flat roof -
resurface -
£25k
Replace roof
lights - £15k
Plastic
gutters-
removal +
repairs - £10k
Sanitaryware
- £20k
Int Doors -
£20k
Soffits/
fascias,
louvres -
paint - £10k
Soffits/
fascias,
louvres -
paint - £10k
Roof
repairs?
Windows -
£30k
Soffits/
fascias,
louvres -
paint - £10k
Finishes
Grout repairs
Redecorate reception
incl. tile repairs, safety
barrier recoat pool hall
timber ceiling - £30k
Pump £3k
Repairs
Redecorate
Tile repairs
Grout repairs
£25k
Repairs
Redecorate
Tile repairs
Grout
repairs -
£25k
Repairs
Redecorate
Grout
repairs -
£25k
Calorifier -
£10k
Appendix 1 - 2008 Pool Condition Survey Requirements
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2022
YEAR
ELEMENT
1 2 3 4 5 6 7 8 9 10 15
Mec
han
ical
Boilers - £40k
Expansion Vessel- £1.5k
Flue £10k
A/C Unit - £5k
Pressure Unit - £2k,
AHU - £15k
AHU - £20k
Electrica
l
Fan - £7.5k
Heaters -
£1.5k
Controls -
£15k
Externals
CP Bay Marking - £5k
CP Tarmac Resurface -
£25k
CCTV drainage check -
£5k
Redecorate - £10k
CP Bay
Markings -
£5k
CCTV
drainage
check - £5k
Redecorate -
£10k
CP Bay
Markings -
£5k
CCTV
drainage
check - £5k
Redecorate
- £10k
CP Bay
Markings -
£5k
CCTV
drainage
check - £5k
Redecorate
- £10k
Total £176.5k £29k £50k - £95k - £15k - £10k £75k £65k
Appendix 1 - 2008 Pool Condition Survey Requirements
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2022
YEAR
ELEMENT
1 2 3 4 5 6 7 8 9 10 15
Refurbish
Option
£1.75 -
including
fees
OPTION
Notes:
1. Specialist inspection of pool tank and surround is required.
2. All costs exclude VAT, fees and inflation.
3. Costs exclude BWK (Builders Work re M & E)
Appendix 1 - 2008 Pool Condition Survey Requirements
Option 3a - Develop new pool facilities at Brackley Leisure Centre to the side of building.
Appendix 2 – Brackley Leisure Centre Pool Relocation to the Side
Drawing taken from document: ‘Feasibility Study Undertaken by B3 Architects for a Public Swimming Pool in Brackley’ – January 2012
Option 3b - Develop new pool facilities at Brackley Leisure Centre to the rear of building.
Appendix 3 – Brackley Leisure Centre Pool Relocation to the Rear
Drawing taken from document: ‘Feasibility Study Undertaken by B3 Architects for a Public Swimming Pool in Brackley’ – January 2012