Policy And Resources Committee - 20/03/2006

At a MEETING of the POLICY AND RESOURCES COMMITTEE held at Dundee on 20th March, 2006.

Present:-

BAILIES

COUNCILLORS

Councillor Jill SHIMI, Convener, in the Chair.

The minute of meeting of this Committee of 20th March, 2006 was held as read.

Unless marked thus * all items stand delegated.

I SWIMMING AND LEISURE FACILITIES - ESTABLISHING A LEISURE COMPANY WITH CHARITABLE STATUS - BOARD OF DIRECTORS

Reference was made to Article VII of the minute of meeting of the Leisure and Arts Services Committee of 16th January, 2006 and Article III of the minute of meeting of the Policy and Resources Committee of 16th January, 2006 wherein members agreed to carry out an investigation on the feasibility of forming a leisure company with charitable status to be known as Dundee Leisure, and, once established, to manage and operate the Olympia Leisure Centre, Lochee Swimming and Leisure Centre, Dundee International Sports Centre, Lynch Sports Centre and Douglas Sports Centre.

There was submitted Agenda Note AN116-2006. The Committee noted that the Chief Executive, in consultation with the Convener and the spokespersons for the SNP, Conservative and Liberal Democrat Groups had authorised temporary appointments to enable instructions and negotiations to take place with the company's solicitor in order to progress matters.

II SWIMMING AND LEISURE FACILITIES - ESTABLISHING A LEISURE COMPANY WITH CHARITABLE STATUS

On a reference to Article VIII of the minute of meeting of the Leisure and Arts Services Committee of 20th March, 2006, the Director of Leisure and Communities, the Assistant Chief Executive (Management) and the Depute Chief Executive (Finance) submitted Joint Report No 215-2006 informing the Committee of the outcome of the feasibility study undertaken by Dundee City Council into the possibility of establishing a Leisure Company to operate swimming and leisure facilities currently operated by the City Council.

The Committee:-

a) Agreed to the formation of Dundee Leisure to initially manage and operate from 1st April, 2006 Olympia Leisure Centre, Lochee Swimming & Leisure Centre, Dundee International Sports Centre, Lynch Sports Centre and Douglas Sports Centre and other services in the City such as community swimming programme and community sports provision in PPP Schools.

b) Agreed the nomination of seven Directors from Dundee City Council to the Board of Directors of Dundee Leisure being three members from the Administration and two members from the Opposition Parties plus two Officers from the Leisure and Communities and Finance Departments.

In addition to the Council Directors agreed two Directors from the Local Sports Council, two Directors from the Dundee City Disability Sport, two Directors from user groups (one each representing wet sports/dry sports) to be appointed annually at a general meeting, and one Director from the Chamber of Commerce be invited to go on the Board of the Company. Total number of initial Board members to be 15.

c) Agreed to nominate the Convener of Leisure and Arts Services Committee as a Board Member and as Chair of the Company as part of the representation from Dundee City Council.

d) Agreed to the City Council nominating the Leisure and Communities Department's head of Parks, Sports and Leisure as Managing Director and the Depute Chief Executive (Finance) as Finance Director of the new Leisure Company to assist in the good management of the company for the benefit of the public.

e) Noted a further Director to be nominated by the employees.

f) Notes that the five Leases to Dundee Leisure of the Buildings etc. from Dundee City Council will be reported to the Economic Development Committee for approval.

g) Agreed the Management Fee to be paid to Dundee Leisure by Dundee City Council on an annual basis (see Appendix 1)

h) Authorised the Depute Chief Executive (Finance) to provide, if required, short term loans up to a maximum value of 100,000 at an interest rate of 5% to assist the Company with any cash flow shortfall.

i) Agreed to the Management Agreement (see Appendix 2) between Dundee Leisure and Dundee City Council.

j) Agreed that Dundee Leisure can request support services to be provided by the City Council. Any such provision shall be the subject of an appropriate Service Level Agreement between the Department concerned and Dundee Leisure.

k) Agreed to transfer, on their existing terms and conditions of employment, the staff listed in Appendix 3 from the Leisure Centres Section of the Leisure & Communities Department to Dundee Leisure. Note than an agreement between Dundee City Council and the Trade Unions in respect of the transfer of the employees will be submitted to the Personnel Committee for approval.

l) Agreed to support Dundee Leisure being admitted to the Tayside Pension Fund as an admitted body.

m) Agreed that application for 100% non domestic rate relief to Dundee Leisure will be submitted to the Finance Committee for approval, once the Company is established.

Councillors Duncan and Wallace declared a non-financial interest by virtue of their Council appointments as Directors of Dundee Leisure.

JILL SHIMI, Convener.