Agenda item

To consider Item 8

The Lead Member for Finance and Assets, Information Security and IT introduced the report and advised it had been a huge part of his role that the Service exited out of its one leasehold property, as soon as possible, which had the benefits of not only reducing the day to day costs but would also reduce the environmental impact to the Service. The proposal provided significant funding to improve the estate and to ensure USAR continued to be based at Aylesbury.

The Director of Finance and Assets advised Members that the exit from Unit 7 formed a key part of both the recently approved update to the Property Strategy and the Service’s Efficiency and Productivity Plan.

The Director of Finance and Assets apologised for an error, the annual charge was understated by £4,000 as the last line before the total was erroneously excluded from that figure, and to reassure Members it would not significantly affect the decision, and if anything the saving was slightly better than quoted.

Unit 7 costs circa £180k per year to run and houses 26 staff, stores, USAR kit, ceremonial uniforms, a host of other miscellaneous items (including a life-sized model of a horse), and meeting rooms. Since the pandemic, the Service had adopted a hybrid working policy.  Desk space that was previously fully utilised had capacity freed up, allowing the chance to rationalise the estate and make savings.

The Director of Finance and Assets advised Members there were four main components of this proposed project, Stores, USAR, HQ works and ICT infrastructure. In terms of legal considerations, the most recent deed of variation allowed notice to be served at the end of any calendar month. Previously, this was restricted to the end of March each year to vacate by the end of the following December.

The Proposal was to serve notice following approval, and to fully vacate the building on 30 September 2024. The reason for proposing the notice was longer than 9 months, was to allow for all the work required to be completed, and to allow time to market the building in its current condition.  If a new tenant can be found who would take it ‘as is’, it would remove the need to pay for dilapidation costs, or at least mitigate some of them. Or, if that was not possible, it would allow time to undertake dilapidation works if the freeholder was unwilling to accept payment in-lieu.

The Director of Finance and Assets advised Members that there were significant financial benefits to this project, although there was a one-off cost of £369k, £500k had provisionally been set aside in the MTFP as part of the approved capital programme so this would free-up £130k of funds. The payback period was just over two years excluding dilapidations or under 3.5 years if these were included.

A Member asked about USAR as the decision to extend USAR funding only went up to 2025 and this would mean moving out six months before any future funding was known and he was concerned about moving out before the decision on USAR had been finalised by the government.

The Director of Finance and Assets advised Members that officers shared his concern, but a review of USAR had been imminent for the last 4-5 years, also whether the comprehensive spending review would happen if there was an election, or if it would roll over again, was not known, but a decision was needed on Unit 7.

A Member asked if USAR was in the correct location in Aylesbury.

The Deputy Chief Fire Officer advised USAR locations were agreed nationally through national resilience and were placed at strategic geographical locations. This was not just a Service decision.

A Member asked if the option of using the additional floor at the Blue Light Hub was considered.

The Director of Finance and Assets advised that the Blue Light Hub option had been considered, but it was discounted due to the primary cost, as part of the condition of occupation of the top floor, under planning conditions, was that a decked car park be built. This would cost approximately £1m. Also, when looking at the desk requirements in HQ and the number of people, no more physical space was required. A lot of the HQ work and fit out was around storage and this would be needed if the Blue Light hub was used too. Also considered was the cost to staff of driving to the Blue Light Hub.

The Vice Chairman suggested that regarding increasing the power supply at HQ, it needed to be requested with the power company sooner rather than later, as the power network could take a long time to be provided.

The Vice Chairman asked that it was put on the risk register.

RESOLVED –

That the Committee approve to serve notice to allow the exit of Unit 7 on 30 September 2024, and undertake the necessary enabling works as detailed in the Appendices.