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Proposal to Ryde Town Council

From East Hampshire District Council-RegenCo

Preparation of an ‘Options Study’ associated with the establishment of a

‘NewCo’ to enable Ryde Town Council to adopt a more ‘commercial’ approach

Introduction

Ryde Town Council (RTC) has an ambitious agenda for the future development of

the town of Ryde and of the role of the Town Council in enabling the realisation of

the overall vision.

Critical to the realisation of the vision is consideration of the most appropriate

governance framework and associated legal structures (possibly including a

‘NewCo’) to facilitate particularly any ‘commercial activities’ that might underpin this

workplan.

EHDC-RegenCo have been approached to help the Council understand the pros and

cons of various options for any ‘NewCo’ and help develop the chosen option.

This proposal outlines a suggested initial 2-stage workplan associated with this work.

It is accompanied by a fee proposal.

Background

Earlier this year, the Council held a ‘Business Planning Workshop’ where various

members and officers discussed the future of the town and the Council’s role in

facilitating that. Subsequent discussions have identified a number of potential

activities that could help realise this more general ‘vision’. These have been

grouped into 3 general categories - commercial activities; services; and property -

with specific opportunities including:

• Commercial - beach management, Ryde Harbour, deckchair and watersports

hire, community transport, electric bike and scooter hire;

• Services - managing parks and beaches, innovation centre, promoting Ryde

as a tourist destination;

• Property - social housing development, purchase of St Thomas Church,

purchase of Ryde Town Hall / Theatre, purchased of Ryde Harbour, leasing

current Network Ryde.

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Councillors and officers would like advice on what are the most appropriate

structures to enable these aspirations to be realised in the most appropriate and

cost-effective way bearing in mind both present circumstances but also with an eye

to building in long-term financial and organisational sustainability.

Options that have been provisionally suggested include a potential community

interest company structure or similar as a suitable vehicle to ring-fence property

acquisitions, such as The Ryde Town Hall / Theatre. The Council would wish to

understand how this/these might be funded or run; whether this would be external to

the Council; how it could be supported by the local community and other

stakeholders; how legacy funding would work; etc.

Similarly, there have been initial discussions associated with setting up a suitable

vehicle to promote the Town, such as a holding company with subsidiary companies

for various projects, such as the Heritage Action Zone; a Cultural Consortium; skills

& apprentices; individual regeneration projects; etc.

EHDC-RegenCo

EHDC-RegenCo have been approached for assistance because of our track record

on similar projects and the potential benefits of our ‘government-to-government’

procurement offer. This short, costed proposal includes a proposed 2-stage

workplan and anticipated timelines to achieve an initial September target date. It

clarifies other information and contacts we will may require to complete the

commission.

Our Proposal

EHDC-RegenCo propose that Steve Pearce and Hazel Warwick (who are already

working with the Council with respect to the production of an Outline Business Case

for the potential acquisition of The Ryde Town Hall / Theatre) prepare an 'issues and

options' paper on the pros and cons of various options on structures as referred

above that will best enable the Council to address their desire for a more

'commercial' approach to some of their existing and potential future activities.

We suggest this ‘issues and options’ paper is discussed at a facilitated 'workshop'

with key players within the Council enabling clarity on the selection of the ‘preferred

option’.

The second strand of work (the subject of a follow up proposal) will entail the actual

development work and formal ‘set up’ of the 'preferred option' as agreed.

We believe the first strand will comprise 12 days work in total as shown below and to

comprise background reading, discussions with a few key players, production of

issues and options report, and presentation to and facilitation of a workshop.

The workplan and days allowance for 'stage 2' will only be determined once the

workshop has been held.

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EHDC-RegenCo experience

EHDC-RegenCo have experience of the development of successful ‘company

structures’ for a number of projects across the south of England and elsewhere. We

have helped local authorities and their development partners establish a variety of

structures related to housing and commercial development and the management of

the resultant projects. We have also helped local authorities and their development

partners establish development trusts to develop and manage a mixed portfolio of

building and community service projects. We have also assisted in the development

of business cases to support grant awards to enable the ‘structures’ and the projects

to be realised.

Added benefit of working with RegenCo

RegenCo is a regeneration advisory, consultancy and delivery service created by

East Hampshire District Council following the success of the Whitehill & Bordon

project in the north-east of the district. The Whitehill & Bordon project entailed the

redevelopment of the Bordon army garrison with 3,350 new homes, the creation of

5,000 new jobs and a wide array of supporting social and physical infrastructure.

The scheme also contributed to the regeneration of the surrounding settlement of

Whitehill that was otherwise ‘under-performing’ and exhibiting most of the less

desirable characteristics of a ‘garrison town’.

This scheme is progressing very well and is highly regarded as an exemplar of

‘partnership regeneration’.

East Hampshire was asked by many other authorities for advice and support on

replicating this success and so RegenCo was borne.

For the avoidance of doubt, RegenCo is not a separate legal entity. It is the

Council, and RegenCo is simply a ‘brand’.

This means that any other local authority and many other public bodies can contract

with RegenCo without the need for and time, cost and risks associated with

traditional procurement. We have contracted on this basis with over 20 other local

authorities etc over the last 5 years.

EHDC-RegenCo comprises the Council’s in-house staff (planners, economic

development, housing and regeneration experts) together with an extensive ‘pool’ of

other specialists that we have recruited onto our OJEU-compliant frameworks. This

provides us with access to other specialists from a wide array of regeneration

professional disciplines.

Fee Proposal

The EHDC-RegenCo fee for preparing the Stage 1 ‘Issues and Options’ report to be

presented to a workshop will be £9,387.00 for 12 days’ work as shown below. The

fee includes expenses (to be charged at cost - estimated at 5%) but is exclusive of

VAT. Additional work will be charged at the rates referred below.