MANCHESTER CITY COUNCIL REPORT FOR RESOLUTION FINANCE AND GENERAL PURPOSES OVERVIEW AND SCRUTINY
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1 MANCHESTER CITY COUNCIL REPORT FOR RESOLUTION COMMITTEE: FINANCE AND GENERAL PURPOSES OVERVIEW AND SCRUTINY DATE: 14 th FEBRUARY 2007 SUBJECT: FESTIVE LIGHTS REPORT OF: THE CHIEF EXECUTIVE PURPOSE OF THE REPORT To seek Members comments on proposals for the City s Festive Lighting Programme for 2007/08 under recently revised contractual arrangements. RECOMMENDATIONS F&GP Overview Scrutiny Committee is asked to comment on these proposals and review the progress of them later in the year. FINANCIAL CONSEQUENCES FOR THE REVENUE BUDGET Additional resources to augment the existing revenue budget in 2006/07 were met from the Service Improvement Fund, and approval has been sought for resources from SIF in 2007/08/09. FINANCIAL CONSEQUENCES FOR THE CAPITAL BUDGET Funding from the capital budget to meet the costs of purchasing new Santa installation. CONTACT OFFICERS Vicky Rosin, Assistant Chief Executive: Culture Margaret Nuttall, Head of Events Unit IMPLICATIONS FOR: Anti-Poverty Equal Opportunities Environment Employment No No Yes Yes
2 BACKGROUND INFORMATION Key Decision Document D8. WARDS AFFECTED Central. 2
3 1.0 BACKGROUND 1.1 Manchester s Festive Lighting is an important element of the City s Christmas offer in what is an increasingly competitive marketplace for visitor numbers and the associated economic benefit. In keeping with Manchester s claim of being a world class city, it is crucial that, as cheap flights to most major European cities are encouraging people to shop and spend leisure time abroad around the festive period, the City recognises the importance of incorporating festive lighting provision (and associated event offer) into its enhanced and increased public realm. 1.2 Despite the appointment of an external high profile festive lighting company in 2004, contracted under standard tender conditions, the festive lighting scheme provided failed to meet contract conditions and subsequent breaches brought about the termination of the contract early in 2006 and an urgent need to tender for an alternative supplier. 1.3 Alongside this it was recognised that there had been no investment in the Council s lighting stock for approximately 9 years, culminating in a situation where the lighting features owned by the Council were increasingly unfit for purpose making it unlikely that: any new contractor appointed would be capable of making a significant improvement on the previous scheme ambitions to encourage private sector investment were likely to fail since earlier representations had indicated this was dependent on a recognisably improved scheme 1.4 Against this background, it was agreed that an enhanced scheme warranted investment and an application was made to the Service Improvement Fund of up to 300k to augment the existing budget of 228k to bring the overall budget broadly into line with the spending of other major UK cities and allowed officers to draw up a realistic tender brief. 1.5 Corporate Technical Services managed the tender process for the new contractor, which was awarded in September 2006 to Blachere UK. Bidders were asked to submit proposals on a bronze, silver and gold basis and selection was made on both the quality of the creative concepts and value for money. The budget available provided for bronze schemes across the city with the exception of Albert Square, which was designated as gold. 1.6 Taking account of the tight timescales, officers consulted with the Executive Member for Finance and Human Resources and with the Chair of this Scrutiny Committee in September and confirmed the appointment 3
4 of Blachere UK as the successful contractor for the supply of the city s festive lights from 2006 to 2008 inclusive. 2.0 FESTIVE LIGHTING The 2006/7 scheme, installed by Blachere UK and jointly project managed by the Events Unit and City Centre Management Company, appears to have been widely appreciated by the public, media, and retailers as well as the private sector who, against minimal lead-in times, in total invested just over 100K to move schemes in their immediate areas from bronze to gold. City Centre Management Company has cited the new festive lighting scheme, along with the Christmas Markets, Ice Rink and Wheel of Manchester, as a key factor in contributing to Manchester s success in reversing the negative retail/visitor trend widely experienced in other areas of the country. 2.2 In keeping with Manchester s proclaimed intention of becoming the country s greenest city, the scheme prioritised the provision of high impact, low energy lighting which, as a prime example, resulted in the installation of LED lights in over 300 trees across the city. The advantage of prioritising tree lighting in this way means that there has been a one-off installation cost, since the lights can remain in-situ for years 2 and 3 and will therefore incur only routine maintenance costs in the interim. It also means the City has the capacity to illuminate the trees on special occasions outside the festive period if it so wishes. 2.3 In addition, the increased budget enabled a wider distribution of lights and therefore many new areas previously unlit over Christmas (eg Brazennose Street, Shudehill, Deansgate, New Cathedral Street, Cathedral Gardens, Thomas Street, High Street, Oak Street, Tib Street, Mount Street, Oxford Street, Central, Peter Street, Canal Street, Withy Grove, Princess Street) were illuminated, 2.4 It would, however, be fair to say that despite a significant perceived level of improvement there were one or two disappointments, notably the inability to install a new Santa and ribbon feature on the Town Hall as well as some negative reaction about the size of the living Christmas Tree in Albert Square. These issues are being actively addressed for FESTIVE LIGHTING The budget for the festive lighting scheme in 2006 was supported by funds from SIF. As part of the budget planning process and to secure best value, it has been recommended that the purchase of the Santa installation, costing in the region of 250k (see section 6 below) will be provided from the capital budget and that the additional costs required to install Santa and maintain the standard of 2006, will be met through an 4
5 application to the Service Improvement Fund in order to sustain the remaining 2 years of the contract with Blachere UK. All efforts will be made to attract a greater level of private sector investment for future years, thereby reducing the call on Council funds. 3.2 Consideration is being given to the introduction of new/enhanced lighting for 2007 in the following areas: John Dalton Street through to Bridge Street (MCC funded) Spinningfields (if private sector funded) London Road -Piccadilly Gardens to Piccadilly Station (if private sector funded) Albert Square (the five large trees need more lights extending to provide height and formation) MCC funded Review Deansgate features/extend past Cathedral (MCC/private sector funded) The Village/Princess Street (if private sector funded) New York Street (if private sector funded) Market Street (enhance existing scheme) Exchange Square (if private sector funded) Converting Cone Tree lighting to LED. This tree was relocated to Piccadilly Gardens from Albert Square for the 2006 scheme. Hoteliers Association to consider a complementary scheme across all city centre hotels 4.0 SANTA 4.1 The inflatable Santa, already 4 years beyond it s predicted life expectancy, has formally been declared unsafe because of excessive wear. Rather than incur storage costs, the feature has now been disposed of. Contrary to press speculation, Blachere s proposals for a replacement feature involve a fully illuminated 10m high installation. Subject to budget provision and confirmation of technical specification, it is hoped that this new feature will be available this year. 5.0 RIBBON 5.1 Plans to attach a ribbon to the Town Hall could not be progressed within the time available because of intricate planning requirements. Again this is a prospect for 2007, one that would create a highly visible lighting feature that distinguishes the Town Hall at the height of the Christmas Market activity. Work has commenced with Blachere UK towards the submission of a planning application that permits this temporary installation. 5
6 6.0 TREE 6.1 For the first time in many years, the City installed a live tree. Undoubtedly the scale of the tree was a disappointment and not compatible with visuals supplied at the time the order was placed. The suppliers have agreed to reduce their invoice and, despite a minor level of negativity, there has been considerable media interest and approval for the live tree that has now been relocated to a community park in Clayton. 7.0 RECOMMENDATIONS Recommendations appear at the front of this report 6
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