Agenda item

To receive any questions relating to items on the agenda from members of the public and replies thereto.

Note:   A maximum of 30 minutes is allowed for this item.

Goff Welchman

At previous meetings I have asked questions about 3 Rivers Developments Ltd and have been very dissatisfied with the replies given which I believe to have been at best evasive and at worst highly economical with the truth.

At the recent Audit Committee meeting the following statement was made by the Council’s Auditors concerning 3 Rivers, I quote “Risk Management is the responsibility of the Board of Directors, whether this is the management of Health and Safety, Programme Delivery or Financial Performance”.

My question is; given the continued and escalating losses incurred throughout 3 Rivers disastrous history and not just since the pandemic, the war in Europe and the cost of living crisis as has been implied by some, I fail to see why this Committee refuses to apportion blame for the apparent gross mismanagement and incompetence which has led to these extensive losses of public funds? In fact, if these business amateurs had presented 3 Rivers to Lord Alan Sugar and asked merely for a quarter of a million pounds not the £23 million actually borrowed, his answer would have been “you’re fired”.  Therefore, why are those responsible getting clean away with it and in some cases enjoying generous pay rises?

The Chairman explained that as the questions had not been provided in writing in advance of the meeting that written responses would be provided within ten working days.

Nick Quinn

Q1: When the new 2024 Leisure prices were introduced, it was said that the increase had been based on the September 2023 inflation figure of 6.7%. Why did the session prices for Juniors and Concessions increase by up to double that percentage?

Response from the Cabinet Member for Community and Leisure:

I believe your reference to the September 2023 inflation figure of 6.7% comes from the Fees and Charges report brought before Cabinet on the 9^th January 2024.

Rather than reading entire sections of that report verbatim today, I will instead reference the paragraphs so you may refer to them alongside my answer.

Paragraph 1.3 sets out the distinction between the statutory and discretionary charges, and specifically mentions that leisure fees may be charged above inflationary increases where the market supports this.

I draw you attention to paragraph 1.6 which sets out the key principles for setting discretionary charges which we have followed.

Additionally, paragraph 2.4 requires that any proposal that exceeds inflation must be presented to, and supported by, the relevant PDG, which happened at the Community PDG on 24^th October 2023.

As you are aware from previous times you have asked me, extensive market research by a specialist leisure consultancy company preceded the fees changing which provided key guidance around the setting of all the leisure fees, including Junior Memberships and Concessions.  The recommendation that was made by the Community PDG and approved by Cabinet was based on that market research.  That information remained commercially sensitive and exempt from publication.

Q2: Why was it felt necessary to recently increase the car parking charges by an additional 6.7% when the previous price increase seemed, from the quarterly dashboard reports, to be raising sufficient income to cover the cost of the service?

Response from the Cabinet Member for Finance:

Inflationary fee increases were agreed / delegated last year to ensure that charges increase with inflation, to avoid higher than inflation fee increases in later years (as we saw proposed last year), it is also likely that some inflationary cost pressures would be realised in future periods along with provisions for longer term maintenance costs.

Q3: As at today's date, have all the assets of the 3 Rivers Developments Ltd been sold to the Council (including the parking spaces at Halberton)?

Response from the Cabinet Member for Finance:

As of 31.03.2024, all of the property holdings and fixed assets of 3 Rivers Developments Ltd had been transferred to the Council.

Q4: How many properties at Haddon Heights, Bampton, did the Council actually buy from 3 Rivers?

Response from the Cabinet Member for Finance:

5

Q4(a): On what date was that purchase made?

Response from the Cabinet Member for Finance:

28.03.2024