Item 08 - West Dunbartonshire Leisure Trust Business Plan 2024-25
West Dunbartonshire Council · 7 February 2024
Back to Corporate Services Committee — 7 February 2024 and its agenda
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer – Education Corporate Services Committee: 7 February 2024 ___________________________________________________________________ Subject: West Dunbartonshire Leisure Trust Business Plan 2024/25 1. Purpose 1.1 The purpose of this report is to update members on the West Dunbartonshire Leisure Trust Business Plan for 2024/25. 2. Recommendations 2.1 It is recommended the Committee: • approves the report and the 2024/25 West Dunbartonshire Leisure Trust Business Plan; • agrees that the WDLT management fee set out in this report is included in the Council’s 2024/25 revenue budget considerations for the March budget-setting meeting 3. Background 3.1 West Dunbartonshire Leisure Trust (the Trust) is a company limited by guarantee with charitable status. In addition to being regulated by the Companies Act (2006), the company is also subject to the charities regulator in Scotland, OSCR (Office of the Scottish Charity Regulator). 3.2 West Dunbartonshire Leisure Trust was incorporated as a company in December 2011 and started trading on 5th April 2012. 3.3 There are nine members of the company who serve as trustees comprising of three (3) West Dunbartonshire Councillors (Partner Trustees), an Employee Representative Trustee and five (5) Independent Trustees. The board of Trustees (who are also directors of West Dunbartonshire Leisure Trust for the purposes of company law) has control of the company subject to providing and operating the services in accordance with the Legal Agreement reached with West Dunbartonshire Council and provides strategic direction to the General Manager and his Management Team. 3.4 West Dunbartonshire Leisure Trust is responsible for the strategic and operational management of West Dunbartonshire Council’s Sport and Leisure Facilities, Community Facilities, Sports Development, Active Schools, Outdoor Recreation facilities and for event delivery on behalf of the Council. 3.5 In order to ensure that the Council meets its obligations to provide adequate provision of facilities for the residents of the area for recreational, sporting, cultural and social activities in terms of Section 14 of the Local Government ITEM 8
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and Planning (Scotland) Act 1982, there is a Services Agreement in place between the Council and the Leisure Trust. The Trust is paid a management fee for delivery of the services through an annual funding commitment. 3.6 The Services Agreement states that the Leisure Trust should bring a draft Business Plan forward for the coming financial year that illustrates the resources which WDLT intends to use to deliver its services. It should also include information on the expected expenditure required to provide those services, and the amount of funding required from the Council in the form of the management fee. This report and the accompanying Business Plan (Appendix 1) fulfils this requirement. 3.7 This report is presented to Committee on behalf of WDLT by the Chief Officer for Education who is the senior officer responsible for monitoring WDLT activity on behalf of the Council. 3.8 The 2023/24 Management fee was £4,699,721 and incorporated an extension of a £200,000 one-off saving to the Council as part of the use of reserves. 4. Main Issues 4.1 At the Council budget setting meeting on 20 December, as part of a suite of required savings to offset a financial gap of approximately £17million, it was agreed to reduce the management fee provided by the Council to the Leisure Trust by 20%, a reduction of £939,940. 4.2 A number of budget savings have been implemented within the accounts where possible to achieve the current anticipated budget expenditure including savings from the recently completed Active Schools and Sports Development restructure; the anticipated staff cost savings from the Community Facilities Review; and the decision to re-let Floor 1 at Clydebank Leisure Centre. Additional Income has also been built into the budget based on service charge increases; however, the Trust is still required to provide another one-off use of £621,288 of reserves to close the budget gap. 4.3 The use of reserves will result in a break even position for 2024/25 Projected Trust costs 2024/25 £ Operating and Expenditure Costs -8,468,858 Total Projected Costs -8,468,858 Projected Trust income Draft Management Fee 3,658,373 Income (Customer Receipts) 3,907,270 Income (3rd Party Funding & Misc) 281,927 Total Projected Income 7,847,570 Gap 621,288 4.4 The Leisure Trust proposes to deliver the following in the coming year as per the Business Plan at Appendix 1:
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4.5 Sport & Leisure The strategic and operational management of the Council’s three wet and dry leisure centres, Vale of Leven Swimming Pool; the Meadow Centre; and Clydebank Leisure Centre 4.6 Community Services The strategic and operational management of the council’s Community Facilities (5); Theatre; Grass Pitches (16); Synthetic Pitches (3); Bowling Greens (2) Tennis Courts (3); and the new Athletics Track in Posties Park, Dumbarton. 4.8 Sports Development Sports Development team is focused on widening opportunities for all residents to participate in sport. This is achieved via the provision of community and school sports programmes, club and coach development initiatives and the delivery of various mass participation sports events across the area. With the opening of the new Athletic Track at Posties Park the Trust will work with athletic clubs to generate usage and programme opportunities for residents to participate in athletics. 4.9 Active Schools Our Active Schools team aim to provide more and higher quality opportunities for children and young people to take part in sport and physical activity before, during lunchtime and after school. We will continue to work closely with the Council’s Education department to investigate how best we can increase pupil physical activity participation. 4.10 Major Outdoor Events We will continue to deliver an annual programme of outdoor events for the Council. This Events Calendar includes the Loch Lomond Highland Games; the Scottish Pipe Band Championships; and Firework Display. In addition to delivering outdoor events for the Council, we will also manage and deliver the Run Loch Lomond 10k & 5k Road Races.. 4.11 Key Performance Indicators To allow the Council monitor Trust service delivery during the year a number of Key Performance Indicators are set and reported on. The agreed suite for the 2024/25 Business Plan is included in Appendix 1. 5. People Implications 5.1 There are no direct people implications for the Council arising from this report 6. Financial and Procurement Implications 6.1 As outlined in this report and the Business Plan, the Trust’s proposed service delivery would allow for a management fee from the Council to the Leisure Trust of £3,658,373 in 2024/25.
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6.2 If agreed the WDLT management fee set out in this report will be included in the Council’s 2024/25 revenue budget considerations in March. 6.3 There are no procurement implications from this report 7. Risk Analysis 7.1 There is a risk that the Trust may not achieve the income levels that have been targeted. If that is the case then the Trust could allocate further funds from reserves up to a limit to mitigate issues in the first instance. If it goes beyond this then a further report could be brought to Council in 2024/25. 8. Equalities Impact Assessment (EIA) 8.1 An EIA was undertaken on the 2024/25 Business Plan. This identified the Plan would have a positive impact and benefits to the local area. The Business Plan has a stated commitment to equality and inclusion. Participation is lower for some groups, women, disabled people and BAME People, so explicit note of the centrality of equalities can help inform planning and practice. WDLT will continue to prioritise this in the coming year and beyond. 9. Consultation 9.1 Consultation on this report has taken place with WDLT management, Finance, Procurement, Legal and Assets. 10. Strategic Assessment 10.1 This report supports the following Strategic Plan objectives: • Efficient and effective frontline services that improve the everyday lives of residents Laura Mason Chief Officer – Education 7 February 2024 ________________________________________________________________ Person to Contact: Laura Mason, Chief Officer - Education Email: laura.mason@west-dunbarton.gov.uk Appendices: Appendix 1: WDLT Business Plan 2024/25 Appendix 2: EIA for the WDLT Business Plan 2024/25 Background Papers: None Wards Affected: All