£450k community stadium costs rise questioned

A £450,000 rise in the cost of delivering York’s community stadium scheme has been questioned by councillors who want it placed under fresh scrutiny.

City of York Council’s cabinet has approved a revised business case for the £19.2 million Monks Cross project, including a 6,000-seater stadium for York City FC and York City Knights alongside community facilities.

But although the scheme’s overall cost has remained the same, the project costs – relating to the search for an operator to run the stadium and York’s other public leisure facilities – have increased from £750,000 to £1.2 million between March and November. Meanwhile, the cost of the stadium itself has fallen by £350,000, to £10.65 million.

Councillors Ian Gillies, Mark Warters and Dave Taylor have now called in the cabinet’s decision on the business case, as well as its agreement to offer GLL – the current operators of Huntington Stadium, Waterworld and Courtney’s gym – reduced rent for a year until March 2014.

GLL told the council on October 1 that its losses meant it would terminate its lease in six months. The new agreement – financial details of which have been kept confidential – can be extended until June 2014, with the authority underwriting any losses in its final three months, but this was preferred to either closing the facilities or returning them to council control.

The call-in – which can lead to the cabinet being asked to revisit its original decisions – will be discussed at a scrutiny meeting today. Coun Gillies said the business case changes were “not particularly obvious and transparent”, particularly the increased project costs.

He raised concerns over potential “medium and high” risks associated with the project – mainly funding matters – becoming “unacceptable”, as well as over the GLL deal’s impact on the project’s “financial stability and sustainability”.

Construction work on the stadium is now unlikely to begin until June 2014 and be completed the following July, later than originally anticipated and meaning City and the Knights are likely to ground-share for two seasons.

A cabinet report by stadium project manager Tim Atkins said the revised business case was due to more “project management resources” being needed because an operator was being sought to run other leisure facilities as well as the stadium, which was not the case when the budget was originally set.

He said the additional costs would be “balanced out over the life of the project”, with fees increasing but more of the future risk potentially being passed to the operator, making it “a more cost-effective package”.

Comments (13)

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11:18am Mon 19 Nov 12

Even AndyD says...

More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity?
Let us just get the thing built can we?
More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we? Even AndyD

11:21am Mon 19 Nov 12

yorky1979 says...

So they need a company to manage the stadium? Who else has experience in managing stadium facilities and up keeping a good playing services, already has experienced ground staff? Why doesn't York City Fc put a bid forward to manage and run the stadium and community facilities!
So they need a company to manage the stadium? Who else has experience in managing stadium facilities and up keeping a good playing services, already has experienced ground staff? Why doesn't York City Fc put a bid forward to manage and run the stadium and community facilities! yorky1979

11:21am Mon 19 Nov 12

yorky1979 says...

So they need a company to manage the stadium? Who else has experience in managing stadium facilities and up keeping a good playing services, already has experienced ground staff? Why doesn't York City Fc put a bid forward to manage and run the stadium and community facilities!
So they need a company to manage the stadium? Who else has experience in managing stadium facilities and up keeping a good playing services, already has experienced ground staff? Why doesn't York City Fc put a bid forward to manage and run the stadium and community facilities! yorky1979

12:03pm Mon 19 Nov 12

Scarlet Pimpernel says...

Even AndyD wrote:
More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we?
Mark Warters doesn't do anything out of self-publicity - think you have got him confused with York's No 1 publicity Seeker ? !!!!!
[quote][p][bold]Even AndyD[/bold] wrote: More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we?[/p][/quote]Mark Warters doesn't do anything out of self-publicity - think you have got him confused with York's No 1 publicity Seeker ? !!!!! Scarlet Pimpernel

12:14pm Mon 19 Nov 12

Even AndyD says...

Stop abusing exclamation marks!
Stop abusing exclamation marks! Even AndyD

1:30pm Mon 19 Nov 12

Scarlet Pimpernel says...

I'm promoting them, so they get more attention than that other shameless self-promoter ;-)

7th May 2015 can't come soon enough for him, apparently - he can't wait to get out of his current job, and most of York will be pleased to see the back of him too !

#Yorkisjustastepping
stone
I'm promoting them, so they get more attention than that other shameless self-promoter ;-) 7th May 2015 can't come soon enough for him, apparently - he can't wait to get out of his current job, and most of York will be pleased to see the back of him too ! #Yorkisjustastepping stone Scarlet Pimpernel

1:47pm Mon 19 Nov 12

Septimius Severus says...

Farce. Inevitable.

Typical CYC scope creep.

The losers here are the fans and the community. As well as £350k less to spend on the stadium they are spending £50k less on ‘External works’ and £50k less on ‘community floorspace’.

The winners – the consultants to the tune of £450k.

This whole thing says. ‘we don’t want or aren’t able to do the job of managing the procurement process and risks so we’ll leave it to professionals and it can come from the budget.

See the whole Cabinet document here.

http://democracy.yor
k.gov.uk/documents/g
6878/Public%20report
s%20pack%2006th-Nov-
2012%2017.30%20Cabin
et.pdf?T=10

Page 251 onwards

Highlights

‘The CD process is governed by strict EU regulations and is a commercially sensitive and confidential process. Updates can only be provided at key stages within the process and will be bound by confidentiality restrictions’.

Which means no one will be able to speak about any specific details – ensuring incompetency and wastage are hidden.


‘Due to the procurement strategy of using a DBOM there will be a number of bidders developing the design of the scheme through the dialogue process. To ensure CYC maintain a reasonable level of control and that bidders have the comfort that they are not being asked to commit to an unreasonable level of fee exposure, it is proposed that the Council put in place a programme of support works. This will include surveys, feasibility and where appropriate enabling works. Bidders will not need to separately procure or fund this information that will be common to all parties. For example ARUPs have already been commissioned to bring forward a package of enabling works for the site, that could be jointly commissioned with the retail scheme John Lewis, Marks & Spenser etc).’

Is that the same ARUP, whose Director is also President of The Chamber that ‘supported’ CYC and the planning application?

YCFC and YCK are not getting what was promised.

I know who I blame.
Farce. Inevitable. Typical CYC scope creep. The losers here are the fans and the community. As well as £350k less to spend on the stadium they are spending £50k less on ‘External works’ and £50k less on ‘community floorspace’. The winners – the consultants to the tune of £450k. This whole thing says. ‘we don’t want or aren’t able to do the job of managing the procurement process and risks so we’ll leave it to professionals and it can come from the budget. See the whole Cabinet document here. http://democracy.yor k.gov.uk/documents/g 6878/Public%20report s%20pack%2006th-Nov- 2012%2017.30%20Cabin et.pdf?T=10 Page 251 onwards Highlights ‘The CD process is governed by strict EU regulations and is a commercially sensitive and confidential process. Updates can only be provided at key stages within the process and will be bound by confidentiality restrictions’. Which means no one will be able to speak about any specific details – ensuring incompetency and wastage are hidden. ‘Due to the procurement strategy of using a DBOM there will be a number of bidders developing the design of the scheme through the dialogue process. To ensure CYC maintain a reasonable level of control and that bidders have the comfort that they are not being asked to commit to an unreasonable level of fee exposure, it is proposed that the Council put in place a programme of support works. This will include surveys, feasibility and where appropriate enabling works. Bidders will not need to separately procure or fund this information that will be common to all parties. For example ARUPs have already been commissioned to bring forward a package of enabling works for the site, that could be jointly commissioned with the retail scheme John Lewis, Marks & Spenser etc).’ Is that the same ARUP, whose Director is also President of The Chamber that ‘supported’ CYC and the planning application? YCFC and YCK are not getting what was promised. I know who I blame. Septimius Severus

2:49pm Mon 19 Nov 12

TerryYork says...

Even AndyD wrote:
More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity?
Let us just get the thing built can we?
Exactly right. Anything for Waters to get his name in the Press. He should put the wishes of the people of York first, or maybe he should consider I'm a Celebrity.
[quote][p][bold]Even AndyD[/bold] wrote: More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we?[/p][/quote]Exactly right. Anything for Waters to get his name in the Press. He should put the wishes of the people of York first, or maybe he should consider I'm a Celebrity. TerryYork

3:21pm Mon 19 Nov 12

PoolPartyHireCustomer says...

GLL no longer accept some private hire bookings - and have not even had the courtesy to inform me of their new policy which shows their fine words about "committment to the community" sound hollow. Unavoidably, there are many "fingers in the development pie" - big business and genuine community interests have to work together and that is sometimes uncomfortable. The Council could themselves organise a "social enterprise agency" and manage facilities within York FOR the people of York. GLL hail from Greenwich and York may just offer the prospect of a tasty bit on the side for them - maybe not yet as they are losing money - but "community sports people" should hope they do not get into the City long term.
GLL no longer accept some private hire bookings - and have not even had the courtesy to inform me of their new policy which shows their fine words about "committment to the community" sound hollow. Unavoidably, there are many "fingers in the development pie" - big business and genuine community interests have to work together and that is sometimes uncomfortable. The Council could themselves organise a "social enterprise agency" and manage facilities within York FOR the people of York. GLL hail from Greenwich and York may just offer the prospect of a tasty bit on the side for them - maybe not yet as they are losing money - but "community sports people" should hope they do not get into the City long term. PoolPartyHireCustomer

3:27pm Mon 19 Nov 12

Scarlet Pimpernel says...

TerryYork wrote:
Even AndyD wrote: More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we?
Exactly right. Anything for Waters to get his name in the Press. He should put the wishes of the people of York first, or maybe he should consider I'm a Celebrity.
Disagree.

Anyone who knows Mark Warters, will tell you that he isn't in it for publicity (for himself). He is in it to expose any wrongdoing by the council/councillors/
officers, and to protect the interests of his ward residents.

York needs more like Mark, and less like the embarrassing self-promoter who is in it to massage his own inflated ego, and to a lesser extent, promote party politics. Bring on the 7th May 2015, and hopefully he will be parachuted into a safe seat - as far away from York as possible !
[quote][p][bold]TerryYork[/bold] wrote: [quote][p][bold]Even AndyD[/bold] wrote: More political point scoring made out of this - usual suspects involved. Thought Mr Warters was going to throw (his words) a 'very large spanner in the works) and get the whole thing stopped by the EU. Or was that just a bit of self-publicity? Let us just get the thing built can we?[/p][/quote]Exactly right. Anything for Waters to get his name in the Press. He should put the wishes of the people of York first, or maybe he should consider I'm a Celebrity.[/p][/quote]Disagree. Anyone who knows Mark Warters, will tell you that he isn't in it for publicity (for himself). He is in it to expose any wrongdoing by the council/councillors/ officers, and to protect the interests of his ward residents. York needs more like Mark, and less like the embarrassing self-promoter who is in it to massage his own inflated ego, and to a lesser extent, promote party politics. Bring on the 7th May 2015, and hopefully he will be parachuted into a safe seat - as far away from York as possible ! Scarlet Pimpernel

4:41pm Mon 19 Nov 12

redbluelion says...

I give up on this idea..don't look like its going to happen..any other city apart from york and this stadium would have been built by now.even rotherham took the p** by naming there sthadium the new york stadium..what a joke this has become..
I give up on this idea..don't look like its going to happen..any other city apart from york and this stadium would have been built by now.even rotherham took the p** by naming there sthadium the new york stadium..what a joke this has become.. redbluelion

6:37pm Mon 19 Nov 12

Buzz Light-year says...

#thepresscommentsisn
ttwitter
#thepresscommentsisn ttwitter Buzz Light-year

8:01pm Mon 19 Nov 12

jimmy120883 says...

I hear that after today's meeting the call in got thrown out after a vote.
So carry on nothing more too see here.
I hear that after today's meeting the call in got thrown out after a vote. So carry on nothing more too see here. jimmy120883

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