Agenda item

With reference to article 15 of the minute of the meeting of the Enterprise, Planning and Infrastructure Committee of 18 January, 2011, the Committee had before it a report by the Director of Enterprise, Planning and Infrastructure which outlined the proposed funding for services to be provided by VisitScotland (VS) Aberdeen City and Shire from 1 April, 2011 - 31 March, 2012 and 1 April - 30 September, 2012,  and detailed the funding requirements for the establishment of an Aberdeen Destination Marketing Organisation (DMO) to build on past investment in joint activities with VS and to further drive the promotion of Aberdeen as a destination for business and leisure tourism.

The report recommended:-

that the Committee –

(a)       authorise the allocation of £385,000 towards joint tourism marketing activities, in partnership with VS, from 1 April, 2011 to 31 March, 2012 and £115,000 from 1 April - 30 September, 2012.  This was the current level provided to VS for business and leisure tourism promotion;

(b)       authorise Aberdeen City Council officers to work with its partners at VS, ACSEF, Aberdeen and Grampian Chamber of Commerce and private sector tourism sector businesses to establish a DMO Steering Group that would at no additional cost to Aberdeen City Council:-

1.              establish a private sector led DMO and appoint the DMO’s Board of Directors, by 30 November 2011, with the initial aim of:-

·              producing an action plan for the period 30 November 2011 to 30 September 2012;

·              implementing the DMO’s initial action plan;

·              appointing a Chief Executive, to start before 1 April 2012;  and

·              supervising the production of a detailed, long-term DMO business plan, by the new DMO Chief Executive, before 30 September 2012;

(c)        authorise the DMO Board of Directors and the Chief Executive to secure £40,000-£50,000 of private sector cash contributions to pay for the actions detailed in the recommendation (b) above;

(d)       authorise the allocation of £297,500 to the DMO during their establishment phase (1 April to 30 September, 2012) and the transfer of management responsibility for the effective utilisation of Council visitor attraction funding, as set out in the table below:-

(e)       authorise the submission of a further report to Enterprise, Planning and Infrastructure Committee in September 2012, requesting ongoing council support for the Aberdeen DMO for the next 3-5 years, based on the transfer of existing resources (i.e. no new resources), and subject to the DMO Chief Executive and Board:-

(1)       producing an appropriate, detailed and financially sustainable 3-5 year Business Plan;  and

            (2)       securing significant private sector cash contributions or other non-council income streams, equivalent to at least 20% of the DMO’s total annual operating costs over the 3-5 year business plan period.

The Committee heard from the Project Director for Economic Business Development, who advised that the figure in recommendation (c) above, should state £20,000 rather than £40,000-£50,000.

The Committee resolved:-

to approve the recommendations as contained in the report, on the basis that the figure in recommendation (c) be £20,000.