CHARGING POLICY FOR TOWN HALLS AND CIVIC BUILDINGS

Transcription

1 ITEM NO: 5 Report To: EXECUTIVE CABINET Date: 24 June 2015 Executive Member/Reporting Officer: Councillor Jim Fitzpatrick - First Deputy (Finance and Performance) Elaine Todd - Assistant Executive Director, Asset Management and Investment Partnership Management Subject: CHARGING POLICY FOR TOWN HALLS AND CIVIC BUILDINGS Report Summary: Recommendations: Links to Community Strategy: Policy Implications: Financial Implications: (Authorised by the Borough Treasurer) Legal Implications: (Authorised by the Borough Solicitor) This report proposes a revised charging policy for town halls and civic buildings. That members of the Executive Board consider the report and provide feedback in respect of the proposals to amend the current hire rates and give approval to the making of a Key Decision to implement the proposed changes. To support the delivery of the objectives of the Community Strategy. Expenditure in line with financial and policy framework. To assist in delivering a balanced budget and support the sustainability of the local economy. In 2014/15 Budgets and Actual Income for External Hire was as follows. Budget - 230,740 Actual - 224,964 Income received from hire charges contributes to on-going fixed costs and also for the one-off cost of being open for a specific function. However the impact of the new charging policy upon Hire Charge income is uncertain and close monitoring of volume of usage and income generated will be carried out on a quarterly basis, which will be reported to members within the quarterly Revenue Monitoring reports. It is envisaged that the increased costs of the extended opening hours of buildings will be partially offset by the increased income generated from the additional hours available for room bookings. The charging policy will be reviewed in full again in 12 months time using the usage data and income collection data to assess the adequacy of the current policy and to inform the decision to be taken on the policy for the following 12 months. The council has a statutory duty to achieve a balanced budget and had agreed a council policy that buildings must be able to cover costs and liabilities from income. Any policy must be fair and equitable. It will be important that there is clarity as to who is entitled to discounts and when they have been paid. There needs

2 to be transparency on the lettings. Risk Management: Access to Information: The ownership and use of property carries with it a number of risks including health and safety, economic, financial, service delivery, statutory compliance and maintenance risks. There is also a risk that changes to the charging policy adversely affect vulnerable groups. In addition, if not enforced consistently, raises the risk of legal challenge. It is therefore proposed to develop a risk register as part of the strategic review of the Councils assets to identify and manage risks. Any further information can be obtained from the report author Elaine Todd, Assistant Executive Director, Asset Management and Investment Partnership Management who can be contacted on : phone: [email protected]

3 1. INTRODUCTION 1.1 The hire rates and charging policy for civic and corporate buildings were last reviewed by the Executive Board in July The main changes implemented were a relaxation of the need to book venues for a minimum of 4 hours at weekends and evenings and the introduction of a 50% discount rate or actual cost, whichever is the higher, for charities and community groups which not already in receipt of financial support from the Council. 1.3 Dukinfield Town Hall, Denton Town Hall, Hyde Town Hall, Stalybridge Civic Hall, George Lawton Hall, Hyde Town Hall and Ryecroft Hall have all had some condition improvements undertaken over the last six months to address various building issues with roofs, mechanical and electrical services and so on being upgraded. Remodeling work has also been undertaken to accommodate services and partners, both during the decant period from TAC and into the future on a permanent basis. 1.4 The opening hours for most buildings have also been extended and buildings are now open generally from 7.00 am until 7.00pm, Monday to Friday, in addition to any pre booked lettings and extended existing use, for example library opening hours, that is currently taking place. 1.5 The Highfield Pavillion is also now fully operational and open 7 days a week. 1.6 The lease for the Hub, Hattersley has also been signed, meaning that extended use of the building at evenings and weekends can be facilitated. 1.7 A number of rooms at Ryecroft Hall have been occupied by a community association for some years and a license to occupy parts of the building, during week days at an initial cost of 47,000 a year, to reflect the space and hours used, has been agreed. 1.8 Therefore, there are a number of buildings that are already open and available to be used during weekdays and evenings. The additional cost incurred of extended opening hours mainly relates to caretaking, utilities and if necessary additional cleaning. 1.9 Some groups and private hire users report that the current costs charged are high compared to other commercial venues, who may offer room hire free if a catering package is taken up or because they can access rooms in church halls and so on at very low cost It is proposed that a new charging policy, based largely on the capacity of rooms is introduced for a 12 month period for new bookings, with effect from 1 July This will be reviewed on a quarterly basis to assess impact on volume of usage and income. 2 PROPOSED CHARGING RATES 2.1 All lettings will continue to be managed by the Tameside Investment Partnership, through a central booking system and venues will be promoted jointly by the Council and the TIP. 2.2 The current and proposed rates for each building and room are shown in the table below:

4 Main Hall Community Room Pennine Lounge Jubilee Hall George Hatton or Both Lesser Halls as a single venue Lesser Hall 1, Lesser Hall 2 or The Gallery Conference Rooms Main hall Community Room Room / Charge Period Current Hire Charge per Hour Denton Festival Hall Capacity Proposed Charge Per Hour Weekdays Sunday Weekdays Sunday N/A Weekdays Sunday N/A Dukinfield Town Hall Weekdays Sunday Weekdays Sunday Weekdays Sunday Weekdays Sunday George Lawton Hall Weekdays Sunday Weekdays Sunday Hyde Town Hall Weekdays Hyde Hall Sunday Weekdays Rutherford Suite Sunday Newton Suite Weekdays

5 Sunday Ryecroft Hall Ball Room Banquet Room Lounge Sunday Conference Room (ceremonies) Stalybridge Civic Hall Weekdays DA Room Sunday Weekdays Community Rooms Sunday Weekdays Victoria Market Hall Sunday Stamford Park or Dukinfield Park Function Room Weekday Weekend The total income collected for the hire of the main civic buildings in 2014/2015 was 186,217, analysed as follows: Denton Festival hall - 20,201 Dukinfield Town Hall - 63,040 George Lawton Hall - 42,217 Hyde Town Hall - 32,819 Stalybridge Civic Hall 27, The objective of the new charging policy for hire of buildings is to optimise income recovered, for hire when the buildings are already open and at least additional cost recovery when they would otherwise be closed, whilst at the same time supporting the Council's priorities. 2.5 The new charging rates are intended to be: Fair and understandable; As administratively simple as possible; Supportive of corporate priorities for example vulnerable groups and development of the economy; Clear about which groups will be entitled to concessions and at what levels these will apply; Subject to an equalities impact assessment and include mitigation of any adverse impact; and Subject to annual review. 2.6 Charging rates are proposed to be in three bands during core opening hours:

6 Rate Available To % of Standard Rate Commercial rates Businesses and non-tameside residents 100 Community rates Individuals residents and groups, including voluntary 80 or charity groups already receiving support from the Council, for private functions, meetings, conferences or awards evenings etc Concession rates Charities and voluntary groups not already in receipt of support from the Council Community and concession rates must at least cover the cost of opening up buildings at on evenings and weekends. Therefore, hire rates will be the higher of the community / concession rate or actual cost. The average cost of running each building varies across the estate, however, the cost of staffing the buildings is provided at a single rate, of per hour, plus on costs, with enhanced rates of pay at time and a half, or double time depending on the day and time. 2.8 Lettings at The Hub, Hattersley are currently managed during the day by a community group and tariffs have yet to be agreed for the group and other users. It is proposed that future bookings for all use is managed through the central booking system operated for all other buildings and that hire charges for new bookings will be in line with other venues based on capacity. The use of rooms by the community association will also be reviewed and regularized. 2.9 It is intended that all users pay for the hire of rooms on the above basis and that there are no free lets. 3 RISK ASSESSMENT AND MANAGEMENT 3.1 There are significant risks with managing facilities available to the public and also at differential rates. 3.2 Health and safety and access to buildings is a significant risk, as is the financial risk of reducing costs to meet the impact of funding cuts. In order to maintain and operate the town halls their use must be optimised to avoid becoming unsustainable to maintain. 3.3 There is a risk that groups who provide a valuable service to vulnerable groups will not be able to afford to pay even the concession rates, but a greater risk that if the policy is not applied consistently that the Council is open to challenge from groups or individuals who perceive that they have not been treated fairly. 4 CONCLUSIONS 4.1 The recent investment in civic and corporate buildings across Tameside, to upgrade condition and also provide permanent work spaces has resulted in many of the buildings being improved. 4.2 The extended opening hours of buildings now used partly as office accommodation, provides an opportunity to offer rooms and facilities to community groups and private hire at reduced costs, as buildings are open but in some cases under used. 4.3 The use of the Hub Hattersley also needs to be optimized and use by the Hattersley Forum reviewed and agreed.