ANNEX 2

DETAILED PROJECT APPRAISAL	APPRAISAL NO: OP48

NAME OF SCHEME	Improvements and Adaptations At County Hall

START YEAR:   2002/03

1.	DESCRIPTION OF PROJECT

This detailed project appraisal relates to Phase 2 of a three-phase programme of improvements and adaptations at County Hall.  Phase 1 is short-term redecoration and minor improvements to the 'Central Hall' to allow it to be used for a staff and member snacks/beverages facility, meetings, seminars and training events for two to five years until more extensive improvements are carried out.  Phase 2 is for the adaptation of members' accommodation on the first floor to make it suitable for use under the new political management arrangements and including works to the first floor kitchen and servery to enable the ground floor kitchen to be released.  Phase 3 is intended to be refurbishment of the accommodation in Old County Hall to provide good quality and well equipped meeting and conferencing facilities for shared use by the County Council and the proposed hotel on the Castle site.  This phase will be subject to an agreement with The Osborne Group and the granting of Listed Building Consent.

2.	NEED FOR THE PROJECT

The County Hall office block was constructed in the early 1970's and has had little improvement or refurbishment work since then.  The accommodation in Old County Hall is particularly unsuitable for current purposes and requires considerable renovation and investment.  The members' facilities on the first floor are not suitable for current use particularly following the changes to political management arrangements and the formation of an administration. The current group rooms and members' resource centre have to provide for the needs of all 70 members.  The Members' Lounge is a necessary facility but does not make best use of the space which is available.

Phase 2 of the adaptations and refurbishment will provide meeting rooms for each of the four political groups as well as group leaders' rooms for the three main groups, an office for use by the Executive, conversion of the current Members' Dining Room into a lounge/dining area, relocation of the Chairman's office so that it is part of the members' suite, provision of a small interview room for use by all members, and refitting of the kitchen/servery on the first floor.  The proposals are based on a brief prepared by a Member Officer Working Group chaired by the Chairman of the Council and have been approved by that Group.

3.	CONSISTENCY WITH SERVICE STRATEGY

The adaptations and improvements are intended to make full and effective use of the members' and corporate accommodation at County Hall in accordance with the Asset Management Plan.  Phase 2 is necessary to provide the minimum accommodation facilities for the Executive and will enable the ground floor accommodation in Old County Hall potentially to be released for refurbishment and fuller and more effective use in partnership with The Osborne Group which would invest a substantial amount (provisionally estimated at over £2million) in improving the building.  Overall the improvements will contribute to better facilities for all visitors to County Hall.

4.	
ANALYSIS OF REALISTIC OPTIONS AND JUSTIFICATION OF THE PREFERRED OPTION

It would be very difficult for the Executive to operate using the existing accommodation.  Meeting rooms and reasonable facilities to work within County Hall are essential if members are effectively to undertake their duties under the new political management arrangements.  Phase 2 of the works is necessary to release accommodation on the ground floor and to provide a kitchen facility suitable to meet the catering needs within County Hall thus avoiding the need to reinstate the kitchen on the ground floor at a much higher cost.  Alternative layouts for the accommodation have been considered by the Member Officer Working Group.  It is not possible to meet all of the aspirations within the accommodation which is available but the proposed scheme largely meets the brief.

5.	IDENTIFICATION OF FUNDING

Subject to the agreement of the Executive to the report on capital financing elsewhere on the agenda it is proposed that the cost of the scheme be funded from unallocated funding for the capital programme.

6.	FINANCIAL, STAFF AND ENVIRONMENTAL IMPLICATIONS

The capital cost of Phase 2 is estimated at £395,000 inclusive of fees.  The Member Officer Working Group has been anxious to ensure that the works provide value for money and that the capital cost is appropriate and reasonable for what is involved.  Overall the three phases will secure fuller and more effective use of the Council's accommodation and should reduce revenue costs by potentially avoiding subsidy to the staff restaurant, securing an income from the joint use of facilities in Old County Hall, and avoiding the need for hiring of conferencing and training facilities elsewhere.  The proposals will provide improved facilities for staff and members and should enable more efficient working.  Old County Hall and the members' accommodation have suffered from inadequate maintenance and decoration; the works will improve the internal environment for staff, members and the public.

The expenditure on Phase 2 will enable the possibility of much greater investment in the accommodation in Old County Hall subject to agreement with The Osborne Group.

DAVID YOUNG
Director of Environmental Services

CHRIS GRAY
Director for Business Support & County Treasurer

January 2002

Resource Appraisal											
											
								Status:	Detailed		
											
Capital Project:			County Hall - Improvements and Adaptations					Appraisal Ref:		OP48	
											
Price Base:			2001/02								
											
Capital Expenditure and Financing											
Cost of Project				2002/03	2003/04	20	20	20	20	Total	
				£'000	£'000	£'000	£'000	£'000	£'000	£'000	
	Land & Buildings										
	Construction			353						353	
	Furniture/Equipment									0	
		Fixed 								0	
		Loose								0	
	Other									0	
	Fees			42						42	
Total Estimated Payments				395	0	0	0	0	0	395	
											
The Construction Cost per square metre is                    gross/net.              											
											
Funding of Project				2002/03	2003/04	20	20	20	20	Total	
				£'000	£'000	£'000	£'000	£'000	£'000	£'000	
	Credit Approval (Borrowing)			395						395	
	Capital Receipt(s)									0	
	Contribution From Third Parties									0	
	Grant(s)									0	
	Revenue Contribution(s)									0	
	Other									0	
Total Financing				395	0	0	0	0	0	395	
											
Revenue Implications											
Corporate Costs											
Capital Financing (Cost of borrowing)				14	43					43	
											
Service Committee Implications											
				20	20	20	20	20	20	Full Yr Effect	
				£'000	£'000	£'000	£'000	£'000	£'000	£'000	
	Employees										
	Running Costs										
	Income										
Net Cost/(Saving) to Service											
Committee											
											
Staffing				20	20	20	20	20	20	Full Yr Effect	
				F.T.E	F.T.E	F.T.E	F.T.E	F.T.E	F.T.E	F.T.E	
Additions/(Savings) resulting											
from the project