To consider the attached report on the impact of the outcome of the Torbay Retail and Tourism Business Improvement District and the future of the English Riviera Tourism Company.

Members considered the submitted report on the decisions required in relation to the English Riviera Tourism Company (ERTC) (a wholly owned company of the Council) if the Torbay Retail and Tourism Business Improvement District (TRTBID) resulted in a successful ballot in October/November 2015. 

It was noted a business plan for the TRTBID had been prepared to assist those taking part in the ballot with their decision on how to vote.  The business plan made a number of assumptions in respect of the ERTC and therefore the Council’s decisions were required at this stage so it’s intentions in respect of the future of the ERTC could be included in the business plan should there be a ‘Yes’ vote.

It was proposed by Councillor Haddock and seconded by Councillor Amil:

(i)         that, in the event of a ‘Yes’ vote for the proposed Torbay Retail and Tourism Business Improvement District (TRTBID) the Executive Director of Operations and Finance, in consultation with the Executive Lead for Business, be instructed to:

a)         decommission the provision of Destination Tourism Marketing and Visitor Information Services from 1 April 2016, wind up the English Riviera Tourism Company (ERTC) and arrange for the transfer of Destination Tourism Marketing and Visitor Information Services to the new TRTBID Company;

b)         immediately establish a TRTBID/ERTC Project Transition Board, comprising two Senior Officers, the Executive Lead for Business and two members from the Conservative Group and one member from the Liberal Democrat and Independent Groups, so that the Council’s income and assets are properly considered in respect of the ERTC and the Torbay Town Centres Company (TTCC); and that the intellectual property rights of the English Riviera brand are safeguarded;

c)         allow the ERTC/TRTBID Project Transition Board to establish and facilitate the terms upon which the official ERTC brands and logos will transfer, under license, to the new TRTBID Company;

d)         provide Council support to facilitate the transfer of appropriate ERTC staff (including those in the Local Government Pension Scheme) to the new TRTBID Company;

e)         negotiate and sign the TRTBID Operating Agreement on behalf of the Council; and

f)          make an appropriate charge to the TRTBID Company each year for the duration of the TRTBID (5 years) to cover the Council’s costs associated with collection of the TRTBID levy;

(ii)        that, in the event of a ‘Yes’ vote for the proposed Torbay Retail and Tourism Business Improvement District (TRTBID) the Council agrees to:

a)         allocate sufficient funds to meet the TRTBID levy liability, for any applicable Council owned properties, for the term of the TRTBID (5 years);

b)         provide a cash advance facility to the TRTBID Company, which will be returned once the TRTBID levy payments are received;

c)         delegate the approval of pension liability arrangements, including a possible guarantee, to the Chief Financial Officer in consultation with the Mayor and the Assistant Director of Corporate and Business Services;

d)         request that the Overview and Scrutiny Board keep an oversight of how well the new TRTBID Company is meeting its aims and objectives, especially in relation to the functions, which had previously been undertaken by the ERTC and any performance issues arising from the formal Operating Agreement; and

e)         recognise that the new TRTBID Company will take over responsibility for operating as the official Destination Marketing Organisation (DMO) for Torbay;  and

(iii)       that in the event of a ‘No’ vote for the proposed Torbay Retail and Tourism Business Improvement District (TRTBID) the Executive Head of Business Services, in consultation with the Executive Lead for Business, the Executive Lead for Tourism and the Board of the English Riviera Tourism Company (ERTC), be asked to provide a report to Council, on or before 10 December 2015, setting out the options for the future of the ERTC, given the expected pressure on the Council’s budget in future years;  and

(iv)       that post ballot, the Torbay Economic Development Company Limited (TEDC), working with the Executive Head of Business Services, be instructed to prepare and consult with industry stakeholders on a new Tourism Strategy, to be approved by the Council and for this to form part of the development of the Council’s Economic Strategy.

On being put to the vote, the motion was declared carried (unanimous).