Agenda item

[Mark Bassett, Strategic Property Adviser, to present an update on the Future Space programme, with an overview of the progress to date and what is planned for the next period.]

Cllr Andrew Johnson, Cabinet Member for Resources, introduced the report and explained that the Future Space programme is part of wide range of work focused on effectively managing the Council’s property portfolio. The policy involves closing buildings no longer required. Cabinet Member for Resources explained the plans for redeveloping the Civic Centre were aimed at carrying out necessary electrical and engineering maintenance work to extend the life of the building. The work is estimated to cost £10 million and is expected to deliver savings of £500,000 and extend the lifespan of the building for a further 25 years.

Cabinet Member for Resources explained that the building work to the Civic Centre also includes maintenance work to the underground car park area. The Civic Centre car park provides the Council with an income of £600,000 annually and it is important to protect the asset. The planned work will deliver better customer service, reduced energy use. The scheme is a major project and will be partly funded by receipts from the sale of buildings no longer used and borrowing of £500,000. Cabinet Member for Resources commented that there was not another alternative option and this work was part of wider efforts to improve the City centre economy.

Mark Bassett, Programme Director, outlined the progress to date and explained that it is a complex programme and involves consultation and discussions with a range of colleagues about the plans for the Civic Centre. Programme Director explained that an important part of the work involves meeting regularly with key people to better understand their current and future business needs, that will deliver a better customer service experience.

Programme Director outlined the range of survey work done to inspect heating and ventilation systems to help inform plans that will give the building a further 25 years of use. Programme Director explained that the plans are designed to minimise disruption to people who work in the building.  Programme Manager explained the plans for the redevelopment of the ground floor to improve the resident and visitor experience and how they access Council services. The work will look in detail at the different needs of services, working styles and their location within the building and technology needs.

Programme Director explained that repair work will need to deal with issues that might arise during the building work programme. Programme Director explained that work will comply with legal and building safety standards.

Tim Johnson, Strategic Director: Place, commented on the learning from doing similar large scale projects elsewhere and also there was in-house expertise to manage the programme. Strategic Director explained that there will be an element of disruption while the work is being done but it will bring a number of benefits to the organisation.

The panel requested details of the performance measures that will be used to monitor progress and also give Councillors an overview of the project. Programme Director explained that the work is monitored regularly; this includes face-to- face meetings with the Heads of Service.

The programme board is presented with regular reports to give an update on the monitoring of costs and issues arising from the programme of planned work. The project links to the Corporate Plan priorities.

Strategic Director commented on the complexity of the building and that plans for the redesign are aimed at making changes that will go beyond improving the first floor but also make more rational use of the space. Cabinet Member for Resources explained that plans will involve looking at the whole customer service and was confident it would deliver the required changes.

Cabinet Member for Resources commented that the capital budget of £19.9

million is a significant amount of money and that there are risks of costs overspends.

Cabinet Member for Resources explained that there will be monthly meetings with the Head of Procurement and Strategic Director and was confident that expenditure will be kept within budget. In addition, the performance of contractors will be monitored on a monthly basis. The Council will also be recruiting contractors with the necessary experience and expertise.

The panel queried whether the current plans were flexible enough to deal with future technological and other advancements in the next 25 years and the re-modelling work done to take account of these developments. Cabinet Member for Resources commented that if there is a reduced demand for work space in the future then the Council will look at the idea of renting the space or accommodation to a partner organisation.

Strategic Director explained that at the end of the project the Council will have a more flexible building that can be used in different ways and also respond to demand from businesses wanting quality building space in the city centre.

The panel queried if the Council strategic risk register could be shared with the panel. Cabinet Member for Resources confirmed that he would be happy to share the information with the panel. The panel discussed the management of different risks. Cabinet Member for Resources explained that there is a built-in contingency fund to cover unforeseen risks.

The panel queried the current state of the building and the results of any recent inspection work. Programme Director explained that the building has been inspected and it is generally in a good state of repair. However, the underground car park is in need of repair as the concrete has been affected by the environmental conditions and water damage over the years, which will need to be made good. The civic centre itself the issues are more to do with general maintenance and electrical issues.

Mark Taylor, Director of Finance, explained that the inflation will be built into the lifetime of the contract. Director of Finance explained the need to actively manage risks and test that the programme is delivering value for money.

The panel queried the responses received to the public consultation about the plans. Cabinet Member for Resources commented that customers will see a clean and efficient building that can deal with their queries quickly and also provide the environment that can help people to deliver the service. The starting point for the project is considering the needs of the customer.

Cabinet Member for Resources explained that discussions are on-going about creating project spaces and also looking at the meeting requirements to avoid people meeting outside the Civic Centre. Cabinet Member for Resources commented that the changes are aimed creating a space that can showcase the City and provide a flexible workspace.

The panel queried how residents would view the decision to spend £10 -£20 million at this time and if the money would only be spent on what was considered to be essential repair work.  Cabinet Member for Resources commented that £10 million would cover the cost of fixing the necessary electrical work and building maintenance. However, this would not create the required flexible space and now was a good opportunity to invest in the building. Cabinet Member for Resources explained that the money would not be used to refurbish the third floor of the Civic Centre, but to create a building that was fit for purpose. Cabinet Member for Resources explained that the money would not be spent on vanity projects only those areas needed to bring the building up to a decent standard.

The panel commented that would like reassurance that the money would be spent on what was needed. Cabinet Member for Resources explained that the budget would be spent on putting things right in the building and getting the customer service areas on the first floor right. Cabinet Member for Resources commented that the ground floor space would be used to accommodate the new Multi Agency Strategic Hub (MASH) team.

The panel welcomed the report.

Resolved:

The panel agreed to receive a copy of the Strategic Risk Register.

The panel agreed to receive further progress report on the FutureSpace Programme at a future meeting.