Decision status: Recommendations Approved
Is Key decision?: No
Is subject to call in?: No
Members considered the Freedom Leisure report presented by Councillor Clark and Councillor Boden.
Councillor Seaton said it is encouraging to see the progress that Freedom Leisure has made since reopening, which is better than anticipated. He commented that leisure centre car parks are usually full of cars and as we are developing a cycling/walking strategy he wondered if there is an opportunity through Freedom Leisure, even for a limited period, to encourage people to cycle or walk to the centres to promote the overall strategy for health and wellbeing within Fenland. Councillor Boden thanked Councillor Seaton for his sensible suggestion and asked that he take this back to officers to feedback to the County Council and Freedom Leisure, with the assistance of Councillor Clark.
Cabinet AGREED that:
3.1 Fenland District Council (“FDC”) provides the Phase V financial relief to Freedom Leisure set out in these recommendations.
3.2 FDC defers the monthly management fee of £38,000 per month for July 2021 – September 2021, at a cost to the Council of £114,000, repayable in accordance with the terms set out at paragraph 3.4 of these recommendations.
3.3 FDC continues to support Freedom Leisure on an open book basis by providing financial support from the remaining NLRF grant. The current estimated cost of operational support for the period is £47,178.
3.4 Repayment of the £114,000 described in paragraph 3.2 of these recommendations shall become payable through an annual deduction of 75% of any profit generated in excess of the levels predicted in the LOBTA (Leisure Operators Base Trading Account). This is a change from the current 50/50 profit share and will be subject to the performance of the business over the contract period.
3.5 The Monitoring Officer and s.151 Officer are authorised to put in place all necessary arrangements to give effect to the agreed recommendations to include entry into the necessary legal arrangements and expenditure of the amounts described from existing budget provisions.
Publication date: 12/08/2021
Date of decision: 15/07/2021
Decided at meeting: 15/07/2021 - Cabinet
Accompanying Documents: