Agenda item

With reference to article 7 of the minute of its meeting of 12 September 2013  and article 4 of this minute, the Committee had before it a report by the Director of Education, Culture and Sport which provided further information on the occupation of a commercial childcare provider in part of Powis Gateway Community Centre. 

The report recommended that:

the Committee –

(a)       note the current negotiations with Stompers regarding the move towards a commercial lease arrangement;

(b)       note the wishes of Powis Gateway Community Centre Management Committee that they would wish for all rental income (even if greater than the currently level of rental income) from Stompers to go to the Management Committee and this to be guaranteed for a period of 10 years;

(c)        instruct officers to conclude the current negotiations with Stompers with a view to entering into an acceptable commercial lease agreement for the entire first floor, one room on ground floor and specified storage areas in the attic floor of Powis Community Centre;

(d)       instruct officers to offer Powis Gateway Community Centre Management Committee the option to sign up to a month to month licence to occupy the building (except for the rooms occupied by Stompers), on the same basis as the Council’s agreed Lease and Management Agreement, this offer to be open until 31 March 2014; subject to their constitution being approved;

(e)       instruct officers to increase the development grant provided to Powis Gateway Management Committee by £14,100 per annum to compensate for the loss of rental income currently received by Stompers, for the period while Stompers is in a commercial lease with the Council and paying at least this level of annual rent, for the duration of the license to occupy agreement;

(f)        in the event that the rental income received from Stompers is greater than £14,100 per annum, instruct officers to place remaining income into a grant pot for local organisations/ groups to bid into to fund the delivery of identified needs of the local community (St Machar ASG area; this recommendation to be dependent on resource being available after any associated costs incurred by the Council are covered; and

(g)       in respect of those Leased Community Centres on long term old style leases, instruct officers to write formally to the affected Management Committees to ask them to reconsider signing up to the new style Lease and Management Agreement by 31 March 2014.

The Committee resolved:

(i)         to approve recommendations (a), (b), (d), (f) and (g);

(ii)        to instruct officers to conclude the current negotiations with Stompers with a view to entering into an acceptable commercial lease agreement for the entire first floor and specified storage areas in the attic floor of Powis Community Centre; and

(iii)       to instruct officers to increase the Development Grant provided to Powis Gateway Management Committee by £14,100 per annum to compensate for the loss of rental income currently received by Stompers, for the period while Stompers is in a commercial lease with the Council and paying at least this level of annual rent, for the duration of the license to occupy agreement; and that if a lease to Stompers cannot be concluded within six months, to recommend to the Finance, Policy and Resources Committee that funds be allocated to allow an additional development grant of £14,100 to be awarded to Powis Gateway Management Committee to compensate for this loss of income necessary to keep the centre viable.