Subject: Springwood Town Centre Options Report
File no: F00241

Item 11: Springwood Town Centre Options Report

Recommendations

1. That the Council adopts the Options Report being Enclosure 1 to this Report for the purpose of public exhibition.
2. That the Council endorse the public exhibition of the Options Report for six (6) weeks commencing Monday 13 August 2007 until Friday 21 September 2007, with submissions on the Options Report accepted until 5pm on Friday 21 September 2007.
3. That the Council seek to develop a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.
4. That the Council delegate to the General Manager the authority to sign a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.

Decision

Resolved unanimously on the motion of Councillors McLaren and Myles, with Councillor Creed out of the chamber:

1. That the Council adopts the Options Report being Enclosure 1 to this Report for the purpose of public exhibition.
2. That the Council endorse the public exhibition of the Options Report for six (6) weeks commencing Monday 13 August 2007 until Friday 21 September 2007, with submissions on the Options Report accepted until 9am on Monday 24 September 2007.
3. That a summary sheet of the report be made available due to the extensive content of the Options Report.
4. That both a public forum and public information day be held.
5. That the Council seek to develop a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.
6. That the Council delegate to the General Manager the authority to sign a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.

Report by Group Manager, Community and Corporate

Introduction

This report provides an update on the implementation of the process set in place at the Council's ordinary meeting of 30 January 2007 regarding the use and development of Council owned and Crown land to assist in the revitalisation of the Springwood Town Centre. The purpose of this report is to present an Options Report which will guide the Expressions of Interest (EoI) process for public exhibition and comment; and to outline actions to support participation of the Department of Lands in the Project.

The Springwood Town Centre Project seeks to enhance the economic viability of Springwood Town Centre and to improve community facilities and services available within the Centre. The objectives of the Project are consistent with and support achievement of "Towards a More Sustainable Blue Mountains - A 25 Year Vision for the City" and "A Map for Action - 2000-2025".

Background

At its meeting of 30 January 2007 the Council considered a report entitled "Springwood Town Centre Revitalisation". It was resolved:

1. That the Council endorses Option 2, which includes a report to the Council following an expression of interest process by December 2007, to progress the use of certain land within Springwood for future development opportunities.
2. That $50,000 be re-allocated at the March 2007 Budget Review to fund the Springwood Town Centre Revitalisation project.
3. That the 2006/2007 and draft 2007/2008 Management Plans be amended to reflect the priority given by the Council to the Springwood project.
4. That this matter be oversighted by the Finance and Assets Working Party and the Springwood Town Centre revitalisation be a standing item on the agenda until this matter is finalised."

Option 2 in that report was a process involving limited scoping and research, preliminary consultation, and establishing parameters for calling and considering EoIs. This was to be completed by the end of 2007.

A second report regarding the above resolution was considered by the Council at its meeting of 24 April 2007. This report provided an update on the progress with the project and detailed the outcomes of the initial stakeholder consultation. The Council resolved:

1. That the Council note the progress of the Springwood Town Centre Project, as outlined in this Report.
2. That the Council note the summary of the major outcomes of the Springwood Town Centre Stakeholder Workshop, as outlined in this Report and in the Attachment to this Report.
3. That the Council endorse further community consultation on the proposed redevelopment of the three identified Council owned sites in Springwood, with the scale and timing of the consultation being referred to the Finance and Assets Working Party.
4. That the preparation of a social and community analysis of Springwood be referred to the Finance and Assets Working Party.
5. That the Council note, in light of recommendations 3) and 4) above and expenditure of funds to date, that additional funding and staff resources will need to be directed towards the project and this matter be referred to the Finance and Assets Working Party with a view to submitting a proposal to amend the 2006/07 and Draft 2007/08 Budget and Management Plan.
6. That Council note, in light of recommendations 3) and 4) above, that the timetable of the Springwood Town Centre Project will be extended into 2008. However, that this Council also indicates its strong preference for being in a position to accept or refuse any expression of interest by the end of March 2008.
7. That the preliminary, and any formal assessment, of the Springwood project under the Local Government Amendment (Public Private Partnerships) Act 2004 is prepared in accordance with the Regulation and Guidelines.

Since April 2007 further community services and facilities; traffic and economic advice has been received; a Probity Plan has been drafted; and the Department of Lands have agreed to participate in the project. Regular Councillor briefings have been provided and a number of workshops undertaken with Blue Mountains City Councillors. An Options Report has been developed which outlines the preferred process to seek Expressions of Interest and this is enclosed (see Enclosure 1) for consideration by the Council.

Participation by the Department of Lands in the Project

The Department of Lands (DoL) has committed to participating in the Expression of Interest (EoI) process and supports the inclusion of Crown land within the Northern Car Park in the project. Representatives of DoL were consulted in the preparation of the Options Report, and support public exhibition of the final document as enclosed (see Enclosure 1). To confirm the participation of DoL a number of issues need to be resolved and agreement reached on the basis of their participation. The proposed actions are summarised in the table below.

It is therefore recommended that the Council seek to develop a MoU with the Department of Lands to allow all three (3) sites to be offered in the EoI. It is considered that this will provide the private sector with the best opportunity to submit quality proposals.

Sustainability Assessment

The Options Report has taken into account the scoping and research undertaken in the areas of community and social analysis; economic development; traffic; and parking within the Springwood Town Centre. The Options report suggests that in the future, more detailed economic assessment and community and cultural assessment would be required to inform development of a new master plan for the Town Centre. It is envisaged that an environmental assessment will be undertaken with each specific proposal and as part of any future Development Application process.

Financial Implications

Provision has been made within the 2007-8 Management Plan and Budget for this project. The project has the potential to provide either a recurring income stream to the Council, or market value for any Council owned land sold or leased.

The project presents significant potential for the upgrade of community facilities within the Springwood Town Centre. The long term management and maintenance of any facilities may require additional funds in the longer term but this cannot be quantified at this stage.

Legal and Risk Management Issues

The Project involves the Council in possible multiple dealings in public land and as the Consent Authority. A formal Probity Plan and independent Probity Audit process has been established, and the Expressions of Interest process will be undertaken in accordance with the Probity Plan and the requirements of relevant legislation. Investigations into the ownership and classification of the land under the Local Government Act have been undertaken. Survey of the land parcels and confirmation of the legal titles are to be undertaken. Pending the outcome of the Expression of Interest process Council may need to consider the reclassification of certain land parcels.

External Consultation

This report recommends that the Council adopt the enclosed Options Report (see Enclosure 1) for public exhibition seeking community comment. The Options Report includes a vision and proposed outcomes for a viable Springwood Town Centre, and outlines Council and community expectations for the three sites. Details of the proposed public exhibition of the Options Report, and for receiving submissions are outlined below.

1. The public exhibition period will be for six (6) weeks commencing Monday 13 August 2007 and finishing on Friday 21 September 2007. Submissions will be accepted throughout this period, and will close at 5pm on Friday 21 September 2007.
2. Notice of the public exhibition is to be placed in the Blue Mountains Gazette and the Penrith Press.
3. The Options Report will be exhibited at the Katoomba and Springwood Information Centres, all branch libraries and placed on the Council web site.
4. Notice regarding the exhibition of the Options Report will be mailed to government agencies, people who attended the Stakeholder Workshop held on 29 March 2007 and to all immediate adjoining land owners.
5. A public information day will be held at the Business and Information Centre in Springwood on 25 August 2007 from 10 am to 12 noon.

The purpose of the exhibition process is to allow the community to review the Options Report in order that the Council can receive and review comments and suggestions in relation to these options. The outcomes of this consultation will inform the next stage of the project which involves the Council and the Department of Lands seeking proposals for the three key sites from the private sector through Expressions of Interest.

Statutory consultation will be required with any reclassification proposals. Any Development Applications which result from the EoI process would be notified in accordance with the legislative requirements and Council's Development Control Plan 35: Community Consultation for Land Use Management.

Conclusion

Councillors and the community have expressed their concerns regarding the economic viability of the Springwood Town Centre. The Council owns or manages a number of sites which have the potential for further development which could enhance the overall operation of the town centre. A report on the various options available to seek Expressions of Interest from the private sector is enclosed. Adoption of the enclosed Options Report (see Enclosure 1) for public exhibition is recommended and a suggested consultation process is outlined and recommended.

Actions supporting the participation of the Department of Lands and the inclusion of Crown land parcels within the Northern Car Park are also outlined. Recommendations are made relating to the development and signing of a Memorandum of Understanding regarding this participation.

Minutes

The meeting was addressed by Ann Cantwell and Michael Parker.

RESOLVED UNANIMOUSLY on the MOTION of Councillors McLaren and Myles, with Councillor Creed out of the chamber:

1. That the Council adopts the Options Report being Enclosure 1 to this Report for the purpose of public exhibition.
2. That the Council endorse the public exhibition of the Options Report for six (6) weeks commencing Monday 13 August 2007 until Friday 21 September 2007, with submissions on the Options Report accepted until 9am on Monday 24 September 2007.
3. That a summary sheet of the report be made available due to the extensive content of the Options Report.
4. That both a public forum and public information day be held.
5. That the Council seek to develop a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.
6. That the Council delegate to the General Manager the authority to sign a Memorandum of Understanding with the Department of Lands regarding their participation in the Springwood Town Centre Project.