Issue - meetings

Report by Head of Place (attached).

The Executive considered a report by the Head of Place (circulated previously), the options and/or alternatives and other relevant facts set out in the report regarding the Ilfracombe Watersports Centre project.

The Watersports Centre Officer gave a presentation and highlighted the following:

·         Background, context and use and the Watersports Centre.

·         Need identified and value of the Ilfracombe Watersports Centre to the economy of North Devon and Ilfracombe.

·         Community benefit which had been identified.

·         Current and future management of the upper and lower floors. The need for an interim North Devon Council manager to oversee the implementation of the project.

·         Additional income streams that the Council could receive from commercial use of facilities, Marine Academy, extra parking revenue and café profit share.

·         Non North Devon Council income opportunities identified to demonstrate the viability of associate operations.

·         Position summary. The tender process had now ended.  The additional funding from the Coastal Communities Fund had been unsuccessful.  Therefore, there was a larger funding gap than forecast.  Officers would explore options to reduce the funding gap. 

·         Therefore, the recommendations had now been amended to: “note the funding situations; and note that a further report will be brought forward highlighting steps to reduce the funding gap.”

·         Officers would continue to explore further options for cost reduction, firm up potential income streams and present the final funding gap and timeline at the next Executive meeting.

In response to questions, the Head of Corporate and Community confirmed that further work needed to be undertaken on the tenders received prior to a recommendation being made to the Executive and to Council.   As a contractor had not been appointed, the tender process was still live and the information remained confidential.  The Coastal Communities Fund had confirmed that a further delay until December 2020 was acceptable.  The anticipated start date would not be known until the contractor had been appointed.

In response to questions, the Head of Resources clarified the Council’s financial position.  The running costs i.e. sinking fund, insurance and cleaning and rents had been included within the financial projections.  Any loan would be through the Public Works Loan Board spread over the life of the asset.  The Watersports Officer post was revenue costs.