Decision details

Consideration was given to a report of the Assistant Director Youth, Leisure & Communities which approval to extend the term of the Leisure Management Contract between Oldham Council and Oldham Community Leisure (OCL) and the proposed contract variations (as detailed in the commercially sensitive report at Item 21).

The contract, in respect of leisure facilities in Oldham, commenced on 28 March 2013 for an initial term expiring on 31 March 2023 (Contract).but under the terms of the contract this term could be extended for a period of up to 5 years.

OCL delivered the leisure offer through operating leisure centres owned by the Council, and a wider community offer. 

The council worked in close partnership with OCL to ensure that the outputs and outcomes it required from the services were met and that continuous improvement was achieved throughout the Contract Period.

A performance monitoring system was in place with the aim of providing reasonable and prudent checks, while focusing on KPIs which confirmed that a high quality of service was being delivered and measuring the contribution of the service to the Council’s outcomes. OCL were performing well. 

The level of subsidy the Council provided was low in comparison to other GM authorities and many nationally.  Overall financial performance was positive.

To support the monitoring of the performance of OCL, in addition to the contracted quarterly performance meetings, monthly monitoring meetings were also in place. 

Prior approval was given by Cabinet to undertake negotiations with OCL around the contract extension and any required contract modifications and the commercially sensitive information contained at Item 21 of the agenda included the outcome of those negotiations.

The Leisure contract, which is for a 10 plus 5-year term, is due for consideration this financial year with the extension (if approved) beginning 1 April 2023.  If an additional 5-year extension was agreed the contract would finish at the end of March 2028. 

Options/alternatives considered

Options were considered at Item 21 of the agenda due to the commercial nature.

RESOLVED – That the cabinet would consider the commercially sensitive information contained at Item 21 of the agenda before making a decision.