© Bishop’s Stortford Town Council Bishop’s Stortford Sportshall Trust Briefing Note: further detail will be available at the F&GP meeting following a meeting

© Bishop’s Stortford Town © Bishop’s Stortford Town Council Council

Bishop’s Stortford Sportshall TrustBishop’s Stortford Sportshall Trust

BriefingBriefing

Note: further detail will be available at the F&GP Note: further detail will be available at the F&GP meeting following a meeting with Bishops Stortford meeting following a meeting with Bishops Stortford

High School scheduled for 18High School scheduled for 18thth July July

Position SummaryPosition Summary

Bishop’s Stortford Sportshall was purchased jointly in 1983 by EHDC, HCC Bishop’s Stortford Sportshall was purchased jointly in 1983 by EHDC, HCC and BSTCand BSTC

HCC share now vested in Bishop’s Stortford High SchoolHCC share now vested in Bishop’s Stortford High School A tri-partite agreement sets out the management of the hall for a period of 50 years. A tri-partite agreement sets out the management of the hall for a period of 50 years.

School – exclusive access 9-4 M-F, first call 4-6 up max 40% of total time subject to payment School – exclusive access 9-4 M-F, first call 4-6 up max 40% of total time subject to payment

of 40% of operating expenseof 40% of operating expense Remaining 60% - public useRemaining 60% - public use

Under tri-partite agreement hall is managed by a trust or alternative bodyUnder tri-partite agreement hall is managed by a trust or alternative body On 25th April Council notified that the Trust would wind up on 31st On 25th April Council notified that the Trust would wind up on 31st

August 2013August 2013 Claimed Insufficient public use, No longer viableClaimed Insufficient public use, No longer viable Documents and response reviewed by F&GP May 20 (attached); CEO stance Documents and response reviewed by F&GP May 20 (attached); CEO stance

approvedapproved Financial position of trust unclear at time, since clarified somewhatFinancial position of trust unclear at time, since clarified somewhat

Accounts to 2011 only, showing a position very close to viable and >100k in assetsAccounts to 2011 only, showing a position very close to viable and >100k in assets Accounts to 2013 now available showing declining revenueAccounts to 2013 now available showing declining revenue

no evidence of changes to operating model to take account of declining revenueno evidence of changes to operating model to take account of declining revenue Assets of 95k including a building believed essential to the use of the hallAssets of 95k including a building believed essential to the use of the hall

School had made a conditional offer to take over management School had made a conditional offer to take over management Conditions not metConditions not met Details of offer not clear –may become clearer by the time of the F&GP meetingDetails of offer not clear –may become clearer by the time of the F&GP meeting


Significant ConcernsSignificant Concerns

Trust assetsTrust assets Trust advises that the assets will be transferred to the School – Trust advises that the assets will be transferred to the School –

potentially puts school in a position to deny the use of the hallpotentially puts school in a position to deny the use of the hall Trust assets cannot be disposed of without Charity Commission Trust assets cannot be disposed of without Charity Commission

PermissionPermission Charity Commission advise that has not been sought or givenCharity Commission advise that has not been sought or given

Uncertainty in how any outstanding debts of the trust (principally Uncertainty in how any outstanding debts of the trust (principally to employees and it is said to the school) will be settled on windupto employees and it is said to the school) will be settled on windup

Eg by disposal of assets essential to the use of the hallEg by disposal of assets essential to the use of the hall Trust communicationTrust communication

Trust has been unresponsive to requests for informationTrust has been unresponsive to requests for information Incentive for School to maintain public useIncentive for School to maintain public use

Recently the hall has barely been advertisedRecently the hall has barely been advertised How strong have attempts to grow use beenHow strong have attempts to grow use been Does the School have sufficient incentive to grow public use?Does the School have sufficient incentive to grow public use?

East Herts Council positionEast Herts Council position Uncertain, probably want to exit but to facilitate solutionUncertain, probably want to exit but to facilitate solution


Options – Questions for CouncilOptions – Questions for Council

Establish new trust?Establish new trust? Manage like a community centre, attempt to turn it roundManage like a community centre, attempt to turn it round Bookings and administration through Council (fee payable)Bookings and administration through Council (fee payable) Would probably require evening caretaking staffWould probably require evening caretaking staff Advertise through Council website, Community centres etc.Advertise through Council website, Community centres etc. Would require (temporary) cash injection (several 10s of K?, Would require (temporary) cash injection (several 10s of K?,

perhaps a loan?)perhaps a loan?) Negotiate with School with view to possible acceptance? – Negotiate with School with view to possible acceptance? –

need detail on:need detail on: Treatment of outstanding/residual debts to school, Current trust Treatment of outstanding/residual debts to school, Current trust

employeesemployees Proposed operating & on-going financial modelProposed operating & on-going financial model

hours/advertising/charges/offers/business development/staffinghours/advertising/charges/offers/business development/staffing Monitoring, review and reversionMonitoring, review and reversion

Act quickly or in a more measured timescale?Act quickly or in a more measured timescale? Under extreme pressure from School to act quicklyUnder extreme pressure from School to act quickly Potential void exists if no agreement by 31st August – possibly Potential void exists if no agreement by 31st August – possibly

resulting in hall closureresulting in hall closure
