Decision details

The report of the Chief Executive was presented by the Deputy Leader and Executive Member (Resources), Councillor Peter Wilson.

Decision:

The recommendations within the report were approved.

Reasons for decision:

1.            The Council is continually looking at options to address the budget deficit through either identifying savings or new ways to generate income. The work undertaken by Deloitte, particularly in relation to financial services and operational management functions can be discharged by officers of the Council. As these are services that can be charged back to the service charge or are costs to the Council by discharging the functions ourselves the council will be able to income and decrease expenditure.

2.            The strategic management could be opened up to a procurement exercise. However, due to Deloitte’s knowledge and experience of the centre which has been demonstrated over the last 12 months, and to enable a level of continuity it is proposed to seek a waiver to enable to enter into a new contract with Deloitte for strategic management advice specific to Market Walk. It is estimated the advice will cost no more than £12k per annum.

3.            It is felt that this mix of delivering the financial and operational management in house, and continuing to outsource the strategic management advice would give the best balance of income generation and risk management.

Alternative options considered and rejected: At this point the Council could continue to outsource the management of Market Walk. Whilst continuing with the existing management agreement provides some continuity this is at best cost neutral for the council neither generating any significant savings or income. A tender exercise may lead to low level savings, but not to the extent that could be achieved through in house management.