Agenda item

Policy & Finance Committee - 6 September 2022

Minutes:

(Prior to the commencement of this item, Councillor Needs redeclared her Personal Interest made at the start of the meeting).

 

            The Chair of the Policy & Finance Committee, Councillor Gunner, presented recommendations from the meeting of the Policy & Finance Committee held on 6 September 2022.  The Minutes from this meeting had been circulated separately to the agenda having already been uploaded to the Council’s web pages and circulated to Members on 14 September 2022. 

 

            Councillor Gunner then presented a series of recommendations at Minute 236 [Strategic Options for the Regeneration of the Regis Centre and Heads of Terms for Hotel and Regis Centre] confirming that he supported the principles and ideas for investment in both recommendations which would help the council to deliver regeneration in Bognor Regis.  The proposals had been approved by the Policy & Finance Committee as part of a £25m scheme for investment in Bognor Regis and regeneration in the Town.  Councillor Gunner’s view was that he believed that all Councillors supported the idea of having a hotel on the seafront in Bognor Regis as well as plans to invest in the Alexandra Theatre and in the Town itself. The two recommendations before Members would ensure the delivery of this project and so Councillor Gunner was delighted to be able to formally propose them.  In proposing the recommendations, Councillor Gunner asked for a recorded vote to be undertaken on each of the recommendations. The recommendations were then seconded by Councillor Pendleton.

 

            Two Points of Order were raised over whether the debate on the recommendations would be held in Open or Exempt session. The Chair confirmed that she wished to conduct the debate in open session where possible accepting that if Councillors outlined that they wished to address details that were confirmed to be of a confidential nature, then the meeting would need to move into Exempt business at that point. Now that the Exempt report had been considered by the Policy & Finance Committee and the minutes from that item published as an open document, this was how she wished this part of the meeting to proceed. 

 

            A debate around the Exempt papers and Exempt discussion held at the Policy & Finance Committee on 6 September 2022 took place. It was one Councillor’s view that this discussion had been in breach of The Local Government Act 1972 and he explained why. In view of this, he asked why  the debate on the recommendations could be held in open session now?

 

            The Group Head of Law & Governance and Monitoring Officer explained that the minutes [the decisions and recommendations] from the meeting of the Policy & Finance Committee on 6 September 2022 were an open document.  The council did not produce Exempt minutes.  The reports considered by the Policy & Finance Committee had been Exempt reports and the reason for their need to be Exempt fully explained. Those reports and their contents remained confidential as they contained commercially sensitive confidential information that had not been published and remained Exempt under Schedule 12A of the Local Government Act 1972, the minutes did not.  If Members wished to discuss any matters that were of a confidential nature, they could but only if a proposal to move into Exempt business was proposed, seconded and passed.

 

            The Chair then invited debate on the recommendations. There were Councillors who spoke expressing great concern over the additional £3m supplementary capital estimate being requested. It was accepted that this was largely down to world events and economic policies of the current Government. There were many Councillors who fully supported the project, but due to inflationary pressures there was now a financial shortfall that if approved would be funded by the council’s taxpayers and this did not sit comfortably with them during these extreme times of hardship. Many felt that the Government should be funding these shortfalls. It was also outlined that some of the changes taking place within the project varied considerably to the Levelling-Up Fund Bid (LUF) that had been submitted to Government. These surrounded what Councillors had been told would be an increase in seats for the theatre to 450 seats. This was now no longer the case with just 25-27 additional seats being provided. What was new was a plan to provide another 100 seats in a separate auditorium, which was a different concept. It was highlighted that the theatre as it was constructed was too small to attract and support larger acts. A much bigger prime theatre was needed in Bognor Regis to attract well known performers to the Town, but this was not what was going to be delivered. This change in concept had not been discussed or approved by Councillors making it difficult to accept the recommendations being proposed.  Was the addition of the auditorium an option that could be debated further?  There was a firm view that the council should contact its Members of Parliament with a request that they put pressure onto Government to secure the additional funding needed from the Levelling-Up Fund.

 

            Other Councillors speaking against the recommendations questioned whether the supplementary capital estimates equalling nearly £4m were affordable or necessary and as other councils finding themselves in a similar situation to Arun were delaying projects as they could not afford to fund the gaps.  There were also other theatre refurbishment projects in the country that were being completed for much less emphasising the need for this project to be completed within budget.  Other concerns expressed related to the deal in place with Whitbread Plc, with some Councillors airing opinions that the decisions made by the Policy & Finance Committee on 6 September 2022, had locked the council into an unattractive commitment which would deny Bognor Regis any meaningful regeneration on the Regis Centre site. There was still concern expressed that Councillors had not been made aware at the time of approving the LUF bid that Whitbread would not allow the council to take possession of the site to access it for refurbishment unless a hotel was constructed on this publicly owned land.  It had not been confirmed that the deal with Whitbread was conditional. There were also concerns over the development of the hotel, its size and that this might mean the loss of the façade of the fire station a vital part of Bognor Regis heritage. 

 

            The Council’s Regeneration Consultant was invited to respond to some of the points raised in the debate. He explained that the initial design and costings had been drafted quickly to ensure that the Bid had been submitted by the deadline imposed.  Having undertaken further detailed surveys coupled with the full pressure of inflation, it had been clear that additional significant funding was required. Extensive discussions had been held with Arun Arts over seating and what their preferences were. They had confirmed this to be for two separate auditoriums.  In listening to the concerns of Members, if the message was preference for a 450 seat theatre, the design was in its infancy. The council’s architects were working up a design towards RIBA Stage II which would be followed by a tender process for a builder who would work to the design and build scheme. At its meeting held on 6 September 2022, the Policy & Finance Committee had agreed that monthly updates be brought to each future meeting of the committee.  At the next meeting of the Committee on 20 October 2022, the council’s architects would be present to provide to Members a presentation on the current design. If it transpired that it was Members’ overriding wish to proceed with a 450 seat theatre, that would be discussed at that meeting with the Architects explaining design constraints and costs. This did not mean that this option would be ruled out however Councillors were reminded that the concept design to date had been based upon the brief from the LUF bid and from Arun Arts. If Councillors felt that they could not accept the initial design, this was an evolving design that could be changed, it was not final. 

 

            Councillor Pendleton, as the seconder to the recommendations, reminded Councillors that this was an amazing opportunity for the residents and visitors to Bognor Regis. She could not understand some of the arguments put forward to delay the project. She urged Councillors to support the recommendations as they would allow the council to provide the best project it could alongside the money already awarded by Government. Extensive consultation had been undertaken with Arun Arts who had confirmed that the proposals in place would work and it had to be accepted that they were the experts in this field running the theatre on a daily basis. Back stage facilities were important and had been acknowledged providing larger performers with the space needed for equipment and facilities. The increased seat capacity was an issue that could be examined further but that the economics for that would need to be investigated.

 

            Councillor Gunner, as proposer of the recommendations,  responded to some of the comments made and urged Councillors to support the recommendations.

 

            The Chair then turned to the two recommendations confirming that a recorded vote would be undertaken on both recommendations separately.

 

            Those voting for recommendation (1) were Councillors Bicknell, Bower, Brooks, Caffyn, Chace, Chapman, Clayden, Mrs Cooper, Cooper, Edwards, Elkins, Mrs English, English, Goodheart, Gunner, Haywood, Hughes, Kelly, Madeley, Oliver-Redgate, Pendleton, Roberts, Stainton and Staniforth (24).  Those voting against were Councillors Coster, Dixon, Gregory, Hamilton, Lury, Needs, Oppler, Smith, Stanley, Thurston, Walsh, Warr, Worne and Yeates (14). Councillors Huntley and Northeast abstained from voting.

 

            The Council therefore

 

                        RESOLVED

 

That a supplementary Capital estimate of £3m to support the delivery of Option 2 as outlined in the report is approved.

 

The Chair then returned to conducting a recorded vote on Recommendation (2).  Those voting for this recommendation were Councillors Bicknell, Bower, Brooks, Caffyn, Chace, Chapman, Clayden, Mrs Cooper, Cooper, Edwards, Elkins, Mrs English, English, Goodheart, Gregory, Gunner, Haywood, Hughes, Kelly, Lury, Madeley, Needs, Oliver-Redgate, Oppler, Pendleton, Roberts, Smith, Stainton, Staniforth, Stanley, Thurston, Walsh, Warr, Worne and Yeates (35). Those voting against were Councillors Coster, Dixon and Hamilton (3). Councillors Huntley and Northeast abstained from voting.

 

The Council, therefore

 

          RESOLVED

 

That a supplementary Capital estimate of £750k to buy back the current lease of the site as outlined in Paragraph 4.15.6 be approved.

 

            Councillor Gunner then drew Members’ attention to the next recommendation at Minute 243 [Environment Committee – 14 July 2022 and Financial Report] which set out financial arrangements for Council to consider in implementing the recommendation made by the Environment Committee at its meeting held on 14 July 2022. The recommendation to approve a supplementary estimate of up to £40,000 for additional resources to support the consultation process required to implement the additional licensing scheme for houses in multiple occupation was proposed by Councillor Gunner and seconded by Councillor Pendleton.

 

            The Council

 

                        RESOLVED

 

That a supplementary estimate of up to £40,000 be approved for additional resources to support the consultation process required to implement the additional licensing scheme for houses in multiple occupation.  This equates to a Band D Council Tax equivalent of 0.63p.