Decision Maker: Leader of the Council
Decision status: Recommendations Approved
Is Key decision?: Yes
This report seeks authority for the Council to create a new access road into the former Parkwood Ski Village.
Agreed that the Leader of the Council:
1) Approves a £300k feasibility budget to be funded from an existing Sheffield City Region (“SCR”) loan. If the Council are successful in being awarded an up to £6m grant from SCR, which is currently being applied for, it is expected that the loan will be accounted for from the SCR grant. In the event of the scheme not proceeding and the SCR loan and or grant funding having to be repaid then the £300k to be covered from CIF revenue.
2) Confirms support to and endorses the Council’s bid for up to £6m of grant funding from SCR for this project and in principle agrees to the Council accepting the funding should the Council be successful subject to the grant terms being received and agreed by the delegated officers.
3) Delegates authority to the Executive Director of Place in consultation with the Director of Legal and Governance and the Director of Finance and Commercial Services to accept the grant of up to £6m from Sheffield City Region and to enter into a grant agreement should the Council be successful.
4) Subject to the £6m grant from SCR being accepted, authorises the inclusion of a £6m budget into the capital programme for the delivery of the access road and car park scheme.
5) Approves the procurement strategy to enable the design work to be progressed via the Capital Delivery Partner Framework and appointment of a contractor through the YorCivil framework via rotation on a two-stage basis.
6) Delegates authority to the Director of Finance and Commercial Services and the Director of Legal and Governance or duly delegated officer to award the contract.
7) Delegates authority to the Chief Property Officer and Director of Legal and Governance to negotiate terms for agreements required with landowners to enable the construction and use of the road and car park for the benefit of the project including any reasonable variations to the boundaries as required and that the Director of Legal and Governance be authorised to complete all necessary legal documentation required.
8) Delegates authority to the Chief Property Officer and Director of Legal and Governance to negotiate terms for a variation to the existing Agreement for Lease and Lease with Extreme to reflect the construction of the road and car park by Sheffield City Council including any reasonable variations to the boundaries as required and that the Director of Legal and Governance be authorised to complete all necessary legal documentation required.
9) To the extent not already delegated to them by the Leader’s Scheme of Delegation, delegates authority to the Executive Director of Place, in consultation with the Director of Legal Services and the Director of Finance and Commercial Services, to take any other decisions necessary in order to meet the aims and objectives of the report.
Preferred option – Option 2 - Council carries out construction of the access road and associated infrastructure works
This approach provides for the most achievable route to securing the future of the Parkwood site as it:
• Meets the timetable for external funding.
• Secures access to the Country Park.
• Secures best opportunity of attracting external investment to Parkwood.
• Secure access and enhances deliverability and viability of a previously blighted site, should the investment by Extreme not proceed the site will be much more attractive to potential investors
It is unlikely that the funding available is likely to be made available again at a future date and as such meeting the timetable of this fund requires the Council to take control and make the progress required for the design and construction of the access and associated infrastructure.
Option 1- Do nothing and allow Extreme to continue to work up design and construction
• As matters stand the terms of the AFL would either need to re-negotiated or brought to an end. This may have the consequential risk of losing the associated international leisure operator and their investment potential.
• Timescale is outside that required by funding bodies.
• Time taken will mean that the project will become undeliverable.
• Leaves a prominent strategic site derelict and unviable for redevelopment by the market, whilst at the same time vulnerable to continued anti-social behaviour, vandalism and arson, with an ongoing maintenance cost and liability to the Council in the long term.
• Does not assist the Council any further to market the site anew if current development partnership was not successful.
Option 2 - Council carries out construction of the access road and associated infrastructure works
• Meets the timetable for external funding
• Secures access to the Country Park
• Secures best opportunity of attracting external investment to Parkwood
• Secure Access and enhances deliverability and viability of a previously blighted site, Should the investment by Extreme not proceed the site will be much more attractive to potential investors
Option 3 - Terminate the AfL and re-market the site - Council doesn’t take on the provision of the access road
• The project will not proceed, and the Council would need to revaluate the future of the site whilst continuing to incur on-going management costs.
• Unlikely that investment could be attracted without the ability to fund or provide the access required.
Publication date: 15/03/2021
Date of decision: 15/03/2021
Effective from: 20/03/2021