URL: https://democracy.arun.gov.uk/ieDecisionDetails.aspx?ID=1667

Decision Maker: Policy and Resources Committee

Outcome:

Is Key Decision?: No

Is Callable In?: No

Purpose: The Council has received a request from the current operators of the Alexandra Theatre for financial support in the lead up to and the early years of running the updated theatre. This report considers the work that has been undertaken to explore options for the operation of the theatre, soft market testing for potential alternative operators and the request for support from Arun Arts (the current operator). The recommendations endorse providing the requested financial support for a three-year period.

Content: The committee received a report from the Deputy Chief Executive providing an update on the support requested by the current theatre operator of the Alexandra Theatre to enable the recommencement of theatre operations when the theatre would reopen following the current investment programme of works. A degree of financial support had been requested during the early years of the new theatre’s operation and as it was noted that investment in the theatre meant that the operator would need to offer a wider range of facilities and an improved and wider service compared to previous provision.   Members’ attention was directed towards an options appraisal within the report which outlined work that had been undertaken to soft market test for potential alternative operators, and it detailed the request for support from Arun Arts. The recommendations endorsed providing the requested financial support over a three-year period.             The Deputy Chief Executive worked through the response that had been received to that exercise.   The recommendations in the report were then proposed by Councillor Lury and were seconded by Councillor Nash.   The chair then invited debate which saw a range of questions from members which were responded to at the meeting.   As part of those discussions, Councillor Nash, as seconder to the recommendations, proposed an amendment to recommendation 4 to read as set out below:   That the Group Head of Technical Services and the Director of Resources & Section 151 Officer be delegated to agree the final wording of financial support conditions and the lease Heads of Terms in accordance with any legal and procurement advice provided. However, the preference is for Year 0 financing of Arun Arts (£250,000) to be in the form of a grant, subject to further appropriate legal and financial advice   This amendment was seconded by Councillor Haywood.   Before proceeding further, the chair confirmed that in line with Part 5, Section 2, paragraph 8 of the Constitution, the meeting would need to conclude at 9.00 pm, unless a majority of Councillors present voted to extend the meeting by 30 minutes.   The chair therefore proposed to extend the meeting by 30 minutes after 9pm, and this was seconded by Councillor Nash. On this being put to the vote it was declared CARRIED.   The chair invited debate on this amendment. Having fully discussed it and having put this to the vote, it was declared CARRIED.   The chair then returned to the substantive recommendations.   Following further extensive debate,   The committee                       RECOMMENDS TO FULL COUNCIL - That   1.     Up to £50k in 25/26 to facilitate technical support during the construction phase.   2.     To provide financial support to the operators of the Alexandra Theatre in the following three years as follows subject to conditions.   YEAR 0 (Apr 26 – Mar 27) £250,000.00 YEAR 1 (Apr 27 – Mar 28) £170,000.00 YEAR 2 (Apr 28 – Mar 29) £140,000.00   3.     That the council enters into a new lease with Arun Arts for the operation of the theatre based on the draft Heads of Terms set out in this report; and   4.     That the Group Head of Technical Services and the Director of Resources & Section 151 Officer be delegated to agree the final wording of financial support conditions and the lease Heads of Terms in accordance with any legal and procurement advice provided. However, the preference is for Year 0 financing of Arun Arts (£250,000) to be in the form of a grant, subject to further appropriate legal and financial advice.    

Date of Decision: December 11, 2025