Cabinet Member Report
Date:
Subject:
16 March 2009
Release of capital funds for works at Seymour Leisure
Centre, the Queen Mother Sports Centre and at Moberly
Sports and Education Centre.
Summary
The following report seeks authority to release funding to enable the creation of a
Climbing and Ski centre at Seymour Leisure Centre, the extension of the gym
facilities at the Queen Mother Sports Centre and improvements to DDA access
arrangements and staff welfare facilities at Moberly Sports and Education Centre.
All three projects will include a range of energy efficiency improvements and will
also include a number of enhancements to the accessibility of the facilities. The
mechanical and electrical works will improve the overall energy rating of the
buildings with the provision of recuperating fans, more efficient lighting systems,
two stage pumping equipment, upgrading of insulation and cladding on hot water
services. Access improvements will be implemented across all three sites and it
is intended the facilities will achieve the national Inclusive Fitness Initiative
accreditation
The contracts are part of an agreed programme of works to improve the sports
infrastructure within the City Of Westminster. The works will help to achieve a
number of priority areas within the ActiveWestminster sport and physical strategy.
The works associated with these contracts are included within the approved
capital programme for Environment and Leisure for 2008/09 and 2009/10.
Under Financial Regulation B8, capital expenditure cannot be incurred on any
scheme in excess of £150,000 until Cabinet Member approval is received.
Recommendations
In accordance with Financial Regulation B8 approval is given to the release of
funds from the Capital Programme to allow work to commence the provision of a
Climbing and Ski centre at Seymour Leisure Centre, the extension of the gym
facilities at the Queen Mother Sports Centre and improvements to DDA access
arrangements and staff welfare facilities at Moberly Sports and Education Centre,
as described in the report.
Cabinet Member Report
City of Westminster
Date:
Classification:
Title of Report:
Report of:
Wards involved:
Policy context:
16 March 2009
General Release
Release of capital funds for the provision of a
Climbing and Ski centre at Seymour Leisure
Centre, the extension of the gym facilities at the
Queen Mother Sports Centre and improvements
to DDA access arrangements and staff welfare
facilities at Moberly Sports and Education Centre.
Director of Environment and Leisure
All Wards
ActiveWestminster Sport and Physical Activity
Strategy
Financial summary:
Financial Regulation B8 approval is sought for
this project amounting to £1,132,806+ VAT. The
cost will be met in the approved capital
programmes for 2008/09 and 2009/10. The
associated cost centres and account codes are
detailed in section 3 of this report.
Report Author:
Richard Barker,
Principal Sports and Leisure Services Manager
Contact details
Richard Barker
Telephone 020 7641 2693
rbarker@westminster.gov.uk
1.
Background Information
1.1 The Built Environment Departmental Contracts Board (DCB) approved a
report to award three contracts for the delivery of the three capital schemes
detailed in this report on Monday 2nd March 2009. The associated DCB
report is attached as Appendix 1.
1.2 These contracts are part of an agreed programme of works to improve the
sports infrastructure within the City Of Westminster. The works include:



the construction of a climbing wall and ski centre at Seymour Leisure
Centre
the extension of the gym facilities, provision of a youth gym, provision of
two referral rooms at the Queen Mother Sports Centre
improved DDA access arrangements at the Moberly Sports and Education
Centre.
1.3 All three projects will include a range of energy efficiency improvements and
will also include a number of enhancements to the accessibility of the
facilities. The mechanical and electrical works will improve the overall
energy rating of the buildings with the provision of recuperating fans, more
efficient lighting systems, two stage pumping equipment, upgrading of
insulation and cladding on hot water services. Access improvements will be
implemented across all three sites and it is intended the facilities will achieve
the national Inclusive Fitness Initiative accreditation
1.4 The works will help to achieve a number of priority areas within the
ActiveWestminster sport and physical strategy including:
 Providing ‘alternative’ sports and physical activity facilities to attract a
wider user base (at present Westminster does not offer indoor climbing or
ski facilities).
 Improving the sports club infrastructure across the City
 Providing more accessible opportunities for people with disabilities
 Providing targeted opportunities for low participation groups
 Providing increased opportunities for children and young people and
particularly schools
1.5 Under Financial Regulation B8, capital expenditure cannot be incurred on
any scheme in excess of £150,000 until Cabinet Member approval is
received.
2.
Detail
2.1
Seymour Leisure Centre is a Grade 2 listed leisure centre. It is one of
Westminster’s largest sites with a diverse range of sports and leisure
provision. The site is a valued sporting facility that contributes much to
Westminster's leisure provision and service delivery plans. The site is
managed by Nuffield Health formerly Cannons Leisure Management Ltd
and has no service subsidy.
2.2
The Queen Mother Sports Centre is the Council’s flagship centre offering a
wide and diverse range of sporting and leisure facilities to local residents
and the many commuters who work within the City boundary. It receives no
service subsidy.
2.3
Moberly Sports and Education Centre, which is managed in house by the
Council, is very much a local community asset offering a range of
educational services and sports development programmes, as well as
sporting facilities to the local community and schools, and to various clubs
and disabled groups. The site provides facilities and activities for the whole
community and is open from 9am- 10pm (Mon- Fri) and 9am- 6pm (Sat and
Sun).
2.4
All three facilities are managed by the Parks, Sport and Leisure group in
Environment and Leisure as part of the integrated management of sports
and leisure services across the City. The three sites are extremely busy,
with over 900,000 users per annum.
2.5
The proposed works have been identified in the capital programme for
several years and form part of the regeneration works at the sites. An initial
feasibility study was undertaken into the proposed schemes which
confirmed that they were achievable.
2.6
A number of external funding agencies have also formally contributed
funding towards the proposed schemes as detailed in the table below:
Organisation
Funding Provided (£)
London Marathon 70,000
Trust
QM Community
capital build cost
London Marathon 150,000
Trust
Climbing Centre- capital
build cost
Sport England
Climbing Centre- 3 year
revenue support to deliver
activities and targeted
provision
60,000
Inclusive Fitness 8,000
Initiative
2.7
Purpose
Gym-
Revenue cost to support
achievement of the IFI
accreditation
The proposed works have all planning consents necessary to undertake
and deliver the improvements.
The Proposed Projects
2.8
The contracts include:

the construction of an ‘extreme sports’ centre containing indoor ski and
climbing facilities at Seymour Leisure Centre


2.9
the refurbishment and extension of the gym at the Queen Mother Sports
Centre with the provision of a youth gym, two ‘healthy living’ and
targeted intervention referral/ consultation rooms
DDA access improvement works including a disabled changing area,
refurbished exercise studio, enhanced reception area (to meet DDA
requirements) and the upgrading of staff welfare facilities
Climbing and Ski Centre at Seymour Leisure Centre. The new climbing
centre will feature one large 13m high wall, a smaller 7m high wall and a
series of traversing walls. The design of the facility has been informed by
expert practitioners, Sport England and the National Governing Body for the
sport, the British Mountaineering Council. The new facility will cater for
individual users, schools, groups and will also include a climbing club and
courses to promote skill development. To complement the climbing centre,
it is also proposed that an indoor ski centre be created which will feature
four indoor training ski simulators. The indoor ski centre will be the first of
its kind in London although there are other such centres in the south east
which Officers have visited and assessed. The actual space proposed to
be utilised by the ski centre has been designed to suit alternative activity
uses (eg exercise classes, dance, martial arts, meeting room space) if the
ski centre operation discontinued. It should also be noted that the cost and
responsibility of the ski simulators lies with the facility operator and not the
Council.
Feasibility work has been undertaken with the leisure management
contractor, Sport England, the British Mountaineering Council and through
informal discussions with potential sub contractors. It is estimated that the
new facilities will attract 33,500 users per annum.
The operational delivery for both facilities will be the responsibility of the
Council’s current leisure management contractor, Nuffield Health although
both facilities will be delivered by expert sub-contractor(s), reporting direct
to Nuffield under a licence agreement which is common for other specialist
operational elements across the facilities (eg catering). The specification
for the delivery of these facilities is in line with the main leisure facilities
contract and has been prescribed by Officers to ensure high standards of
quality and accessibility for the whole community. Fees and charges for
both facilities have been set by Officers as part of this process to promote
access for all residents (with discounts for residents, juniors, concessions,
schools and groups) and charges will be aligned with the Retail Price Index
(RPI) throughout the contract term, which will end in August 2014
(coterminous with the main leisure management contract).
The following prices have been determined for the climbing centre for
casual use and each session will last one hour:
Adult Non Member
Adult Member
£6.50
£5.95
Adult Resident
Concession Resident
Concession
Junior Resident & Westminster Sports Unit
Junior (16 years and under)
£4.50
£2.50
£2.65
£2.50
£2.80
The following prices for the indoor ski centre shall apply (prices are for half
hour sessions):
Group ski lesson prices
Adult
£27
Junior
£24
(A 5% discount shall apply when booking a block of ten multiple lesson
courses)
Private tuition (one to one intensive lesson)
Adult
£60
Junior
£44
Snowboard lessons (one on one private lesson format)
Single lessons
£46
5 lesson course
£189
Unsupervised practice (‘free-ski’)
10 sessions
£149
Prices for residents, schools and Westminster Sports Unit shall be
discounted in accordance with the general fees and charges principles
which apply to the wider leisure management contract.
The new facilities will be created through the conversation of a large area of
redundant plant space, an unused maintenance engineers area and 1 non
regulation size squash court.
Whilst the majority of the space being utilised is currently unused and will
therefore not negatively impact upon existing users, the loss of the small
squash court is likely to result in the loss or displacement (to other Council
squash facilities) of approximately 10,000 users per annum. However, as
utilisation the squash facilities is low, the court being utilised is non
regulation, the corresponding increase in usage through the proposed new
development will more than compensate for the loss and as the proposed
new facilities will provide new sporting opportunities which currently are not
provided for, Officers feel the proposal is in the best interests of residents
and users.
Whilst the loss of the squash court will result in a loss of income for the
contractor, the new facilities are likely to be surplus generating so there will
be no revenue implications for the Council. The financial performance of
the new facilities will be monitored through an agreed ‘open book’
arrangement on a monthly basis.
2.10
Community Gym Facility at Queen Mother Sports Centre. The new
facilities at the centre will include a new community health and fitness
activity space and two new consultation rooms (for one-one discussions
with personal trainers, teachers and health professionals).
The new facility will adjoin the current health and fitness facility at the centre
and will be able to be operated on an exclusive basis (for schools, junior
sessions, special population groups etc) or integrated into the main facility
during peak periods (when the existing fitness suite is often at capacity).
An activity programme will be agreed with the Council and the leisure
management operator and will particularly seek to encourage and support
inactive residents in Westminster and those which would benefit from more
tailored support. The facility will support the delivery of the
ActiveWestminster strategy and the emerging Health Inequalities strategy.
It is anticipated that the facility which will attract approximately 30,000 users
per annum.
The facility will be created through the utilisation of currently unused
corridor and office spaces and through the conversion of one of the four
squash courts at the centre. The new facility will be split level, through the
creation of a mezzanine floor which will make better use of the current
‘double height’ space. Whilst much of the new facility will be created in
unutilised spaces, the loss of the squash court is likely to result in the loss
or displacement of approximately 10,000 users.
Although the loss of the squash facility will result in a small loss of income
for the leisure facility management contractor, the corresponding increase in
income through the new facilities will more than mitigate this loss. The
revenue impact of the new facilities will be monitored through the ‘open
book’ arrangement on a monthly basis. The leisure facility management
contractor (Nuffield Health) has also allocated £12,500 revenue funding to
support the delivery of agreed intervention projects in line with agreed
Council/ WPCT priorities and to support the delivery of Nuffield’s charitable
objects.
2.11
Access Improvement Works at Moberly Sports & Education Centre.
The improvement works at Moberly Sports Centre will include:
 the refurbishment of a currently dilapidated exercise studio, including
new flooring and redecoration
 new flooring and air handling facilities in the fitness suite
 a new disabled changing facility (which is currently not provided at the
centre)
 a more accessible reception area (including an accessible reception
counter)
 a newly refurbished meeting room area and staff welfare facilities
The variety of improvements at the centre will enhance the facility, create
income generation opportunities (through an improved exercise studio and
fitness suite) and improve the overall accessibility of the facility, particularly
for those with limiting disabilities.
2.12
3.
Following a competitive tender process in accordance with the Council’s
procurement code, DCB approved the following contract awards:
 T&B (Contractors) Limited for the contract in the sum of £358,997+ VAT
in respect of the works at Queen Mother Sports Centre.
 Walker Construction Limited for the contract in the sum of
£670,733.59+ VAT fro the works at Seymour Leisure Sports Centre.
 Frencon Construction Limited for the contract in the sum of £103,075.29
+ VAT for the works at Moberly Sports Centre.
Financial Implications
3.1 The submitted tendered costs for the projects were above the allocated
capital budget for each scheme. Officers have mitigated this situation by
working with the appointed consultants and negotiated with the relevant
building contractors to reduce the cost of the proposed schemes. Officers
have also liaised with and finance officers to identify other capital budgets
(Chelsea Barracks Consultancy and Pool filters) which can be used without
risking service delivery or the effective delivery of the wider capital
programme.
3.2 The costs for the contract will be met through the approved capital
programme as detailed below:
Cost
Centre
Capital Budget
W650032
W650021
W650024
W650034
W650031
Climbing Centre
Community Gym
Studio refurbishments
Moberly Improvements
Access improvement
budget
W650037
Chelsea Barracks
consultancy
W650035
Pool Filters
Total Budget Available
Contract Costs
Climbing Centre
Community Gym
Access Improvements
Total Cost
Variance
from
Budget
Net Budget Available
After Current
Commitments
Notes
637,888
224,500
42,920
70,000
50,000
50,000
1
60,000
1,135,308
2
Cost (£)
670,734
358,997
103,075
1,132,806
2,502
3
3
Notes
1
Delays have been experienced with the Chelsea Barracks
project and the budget for related consultancy support (to
provide expert monitoring of the sports and leisure facility
development to ensure a high quality and fully compliant
facility) will not be required in 09/10.
2
Pool Filter works were undertaken in 08/09 through the
approved Energy Efficiency programme as the need became
urgent and non completion would have risked service delivery
3
The contract costs for the climbing centre and the community
gym have been reduced by £125k following the removal of
the exercise studio, removal of the bouldering wall and a
revised demolition cost for the Seymour contract and removal
of the CCTV works for the Queen Mother contract. These
particular works can be undertaken at a later date without
risking service delivery.
3.3 All associated consultancy fees are included within existing budgetary
commitments and will be met within budgetary provision.
3.4 Subject to Cabinet Member approval, the necessary capital budget virements
will be made to ensure that the schemes have adequate budgetary resource
allocated to them to meet contractual obligations and associated fees.
3.5 The revenue implications arising from the proposed capital expenditure of
£1,132,806, assuming an asset life of twenty years, are shown below:2009/10
£’000
Capital Charges
108.4
4.
2010/11
£’000
105.8
2011/12
£’000
103.2
2012/13
£’000
100.6
Legal Implications
4.1
There are no legal implications associated with this report
4.2
The relevant Legal Officer has been consulted and has approved this
report.
5.
5.1
6.
6.1
Staffing Implications
There are no staffing implications associated with this report.
Business Plan Implications
The proposals in this report must support the Council’s ActiveWestminster
sport and physical activity strategy by:
 providing ‘alternative’ sports and physical activity facilities to attract a
wider user base (at present Westminster does not offer indoor climbing or
ski facilities).
 improving the sports club infrastructure across the City
 providing more accessible opportunities for people with disabilities


7.
7.1
8.
8.1
9.
9.1
10.
providing targeted opportunities for low participation groups
providing increased opportunities for children and young people and
particularly schools
Outstanding Issues
There are no outstanding issues.
Consultation
Customers and facility hirers will be informed of the works, and of the
operational implications once approval has been granted and once a
detailed programme of works has been agreed.
Crime and Disorder Act 1998
There are no Crime and Disorder Act issues associated with this report.
Health and Safety Issues
10.1
As part of the contract award, Officers will ensure the appropriate and
detailed health and safety considerations have been made and satisfactory
processes and procedures are agreed.
10.2
As part of the programme of works, a detailed health and safety manual,
risk assessments and insurance documentation will be provided by each of
the appointed contractors.
11.
Human Rights Act 1998
11.1 There are no Human Rights Act issues associated with this report.
12.
Reason(s) for Decision(s)
12.1
The works contracts form part of the wider regeneration programme at the
leisure centres and will support the delivery of the Active Westminster
strategy and under corporate strategy including the emerging Health
Inequalities Strategy priorities.
12.2
The tender offer submitted by T&B (Contractors) Limited in the sum of
£358,997+ VAT in respect of works at Queen Mother Sports Centre is
considered fair and reasonable and suitable for acceptance.
12.3
The tender offer submitted by Walker Construction Limited in the sum of
£670,733.59+ VAT in respect of works at Seymour Leisure Sports Centre is
considered fair and reasonable and suitable for acceptance.
12.4
The tender offer submitted by Frencon Construction Limited in the sum of
£103,075.29 + VAT in respect of works at Moberly Sports Centre is
considered fair and reasonable and suitable for acceptance.
12.5
The report gives contract and background information and requests the
Cabinet Member for Customers and Neighbourhoods approve capital
expenditure of £1,132,806+ VAT from the approved capital programme,
pursuant to the Council's Financial Regulations (FR B.8). The report gives
information in relation to the provision of a Climbing and Ski centre at
Seymour Leisure Centre, the extension of the gym facilities at the Queen
Mother Sports Centre and improvements to DDA access arrangements and
staff welfare facilities at Moberly Sports and Education Centre.
If you have any queries about this report or wish to inspect one of the
background papers please contact Richard Barker on 020 7641 2693, fax
020 7641 2959, email rbarker@westminster.gov.uk
Background Papers
List any background papers used in the writing of the report
For completion by Cabinet Member for Customers and Neighbourhoods
Declaration of Interest

I have no interest to declare in respect of this report
Signed ……………………………. Date ………………………………
NAME:

I have to declare an interest
State nature of interest ……..……………………………………………
………………………………………………………………………………..
Signed ……………………………. Date …………………………………
NAME:
(N.B: If you have an interest you should seek advice as to whether it is appropriate to
make a decision in relation to this matter.)
For the reasons set out above, I agree the recommendation(s) in the report entitled
Release of capital funds for the provision of a Climbing and Ski centre at
Seymour Leisure Centre, the extension of the gym facilities at the Queen Mother
Sports Centre and improvements to DDA access arrangements and staff welfare
facilities at Moberly Sports and Education Centre and reject any alternative options
which are referred to but not recommended.
Signed ………………………………………………
Cabinet Member for ………………………..
Date …………………………………………………
For Ward Specific Reports Only
In reaching this decision I have given due regard to any representations made
by relevant Ward Members.
Signed ………………………………………………
Cabinet Member for ………………………..
Date …………………………………………………
If you have any additional comment which you would want actioned in connection with
your decision you should discuss this with the report author and then set out your
comment below before the report and this pro-forma is returned to the Secretariat for
processing.
Additional comment: …………………………………………………………………
………………………………………………………………………………………….
………………………………………………………………………………………….
NOTE: If you do not wish to approve the recommendations, or wish to make an
alternative decision, it is important that you consult the report author, the Head of Legal
& Services, the Director of Finance and, if there are staffing implications, the Director of
Human Resources (or their representatives) so that (1) you can be made aware of any
further relevant considerations that you should take into account before making the
decision and (2) your reasons for the decision can be properly identified and recorded,
as required by law.
Note to Cabinet Member: Your decision will now be published and copied to the
Members of the relevant Policy & Scrutiny Committee. If the decision falls within
the criteria for call-in, it will not be implemented until five working days have
elapsed for any call-in request to be received.