Agenda item

Cllr P Heinrich – Portfolio Holder for Sustainable Growth introduced the report and informed Members that an underspend remained on the placemaking scheme as work was still in progress on Black Swan Loke. He added that officers were close to finalising designs for the garden and other minor works in the area, and tenders would be sought as soon as possible. It was noted that there were a number of other small tasks to complete, but overall the project was approaching completion and had achieved vast improvements in the Town centre. Cllr P Heinrich reported that the project had also rejuvenated Cedar House, which was soon expected to be at capacity, whilst further improvements had been made to buildings throughout the town, and the addition of a bus interchange had drastically improved public transport. He added that the cultural programme and involvement of local schools had also had a positive impact on the town and the project had been very successful.

Questions and Discussion

       i.          Cllr C Cushing stated that the Committee now had sufficient detail outlining how funds had been spent and justification of the funding uplift, but it was unfortunate that this level of information had not been provided sooner as it would have saved considerable time and effort. He added that once the project was complete the Committee should receive a final report to determine the success of the project with reference to measurable outcomes such as any increased footfall. Cllr P Heinrich replied that there would be a final report once the project was complete, and footfall counters had been installed throughout the town. The ADSG stated that footfall had been measured before, during and would continue after project completion, as required by Historic England, as well as for the Council’s own benefit.

      ii.          Cllr N Housden noted that there had been a suggestion that the project may not require the full £400k funding uplift, and asked whether an update could be provided on this. Cllr P Heinrich replied that designs were yet to completed for Black Swan Loke, but it would go out to tender once finalised. The ADSG replied that the current budget position was set out in table 1 of the report, where it was shown that the placemaking scheme had a surplus of £332k, taking into account existing commitments such as safety audit work. He added that once the cost of Black Swan and Bank Lokes were known, any remaining funds could potentially be ringfenced for further works on the town, ancillary works related to the scheme, or any other matter determined by the Council, with the final budget position reported to the Project Board for final consideration. It was noted that the scheme had been descoped and rescoped to fit within the available budget, and expanding the scope may be considered for any remaining budget. Cllr N Housden asked whether it would be possible for any unspent funds to be returned to the Council’s reserves, to which the Chairman added that there would need to be a persuasive argument to explain why any unspent funds were still required for the project. Cllr P Heinrich replied that he didn’t believe in spending money for the sake of it, but there were further projects that could be actioned if funds remained, such as repairing the wall behind the Cedars and improving parking areas used for materials storage.

     iii.          Cllr V Holliday stated that she was of the view that any unspent funds should be returned to the Council’s reserves for use on other projects. She added that the project had also required significant resource for project management and asked whether this had been costed in to the overall project cost, and whether it had limited resources available for other projects, such as updating the Council’s Economic Development Strategy. The ADSG replied that funding did include a project officer role, with additional funds secured from Historic England to support the cultural programme. He added that despite this, a project of this size required considerable resource over an extended period of time, but the project was deemed to be a corporate priority for the Town. It was noted that the Team had worked hard to deliver the project, especially during Covid when resources had been diverted to administer Covid grant payments. The ADSG noted that Covid recovery programmes and tourism recovery schemes had also required significant resource, followed by the UKSPF and Rural England Prosperity Fund, which showed that the small Team had carefully balanced its priorities to ensure effective delivery of multiple projects.

    iv.          Cllr L Shires reported that upon closure of McColls, Morrisons had opened a convenience store which had been very well received by residents. She added that a water sports business had also opened on the periphery of the town, and many businesses had benefitted from the investment made as part of the wider scheme.

      v.          The Chairman noted that there had not been a precise date provided for completion of the project and asked whether clarification could be given. The ADSG replied that Historic England funding required the project to complete by March 2024, and a project completion report would be prepared soon after this date.

    vi.          Cllr J Boyle stated that she had recently visited the Cedars and was very impressed with the level of restoration work that had been completed, and was pleased to hear about the level of commercial interest in the building. She added that upon project completion it would be beneficial for the Committee to undertake a site visit, in order to gain better insights into the outcomes achieved. The Chairman replied that a proposal for a site visit had been raised previously, and he felt that it would be prudent to wait until the project was complete to arrange this.

   vii.          Cllr G Bull referred to the Cedars and asked whether the prior state of the building had been taken into account and suggested that the Council had to bear some responsibility for the cost overruns on the renovation work, due to its previous failure to maintain the building. Cllr P Heinrich stated that the building had been left unmaintained for several years whilst efforts were made to sell the building, however Covid, subsequent inflationary pressures, and insolvency of the original contractor had all contributed to an increase in the costs of the renovation project. The Chairman suggested that the Council should reflect on the lessons to be gained from the management and maintenance of its assets. The CE stated that the Council had received a report on the state of the Cedars building in 2011, which had suggested that expenditure of several hundred thousand pounds would be required to bring the building back into a good state of repair, and at the time this investment was not deemed to deliver the necessary return, and the works had not therefore been pursued. He added that the Council had received an unsolicited offer from a national pub chain for purchase of the property, which whilst below the agreed value would have adopted responsibility for repairs of the building, and a draft sale agreement was agreed which had meant that tenants were asked to find alternate premises. It was noted that there was a challenge to an alleged right of way, followed by Covid, which meant that the sale never completed. The CE stated that it was then decided to retain the building and undertake the renovation work as part of the NWHSHAZ project.

  viii.          The Chairman sought views on how the Committee would like to consider the project going forward, and whether a final report on project completion would suffice, or whether a further update in the next quarter was required. Cllr N Housden suggested that he would prefer to see an interim update following agreement of tenders for the Loke works. The CE stated that the Committee should not seek to micromanage the project, and that whilst the Committee should maintain an appropriate level of oversight, he felt that a final report upon project completion would be adequate for the purposes of the Committee, given the officer resource available. The Chairman suggested that if an interim update was required, it could be a very concise report to limit resource implications, but he would leave it for the Committee to decide. Cllr G Bull stated that he saw no benefit from receiving additional updates, and suggested that there would be more value in waiting for a final report upon completion of the project. Cllr N Housden suggested that it would have been helpful to understand the impact of the Loke works on the remaining project budget, rather than a full update. Cllr L Shires noted that project update information would be provided as part of Portfolio Holder’s updates to Full Council, and this may be a more appropriate method for providing interim updates prior to completion. The ADSG noted that following finalisation of the Loke work designs, the Council may either go out to tender or use the existing in-house contractor to complete works, but it would be procured using the appropriate framework. He added that he would be happy to provide as much detail as needed for Portfolio Holder Updates.

    ix.          Cllr P Fisher proposed that a final report be added to the Committee work programme in May to coincide with completion of the project, with updates provided as part of the Cabinet Portfolio Holder’s reports to Full Council. Cllr J Boyle seconded the proposal.

RESOLVED

1.     To note the contents of the report.

2.     To request that further projects updates are provided as part of the Cabinet Member’s Portfolio Holder updates to Full Council, and that a final report is presented upon completion of the project in Spring 2024.