1. business and industrial
2. business operations
3. business plans

Annexure 1(a)
Byron Regional Sport and
Cultural Complex
Business Plan
September 2009
Business Plan
Byron Regional Sport and Cultural Complex
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Annexure 1(a)
Contents
1. Executive Summary
2. Introduction
3. The Need for the BRSCC
4. Market Analysis Summary
6
2.1 Objectives of the Plan
10
2.2 Key Assumptions/Limitations
10
2.3 Description of the BRSCC
16
2.4 Location of the Site
19
2.5 Background
21
2.6 Vision
22
2.7 Values
22
3.1 Characteristics of Byron Bay
23
3.2 Inadequacy of Existing Sporting
Facilities
25
3.3 The Social Benefits of Sport
27
3.4 Economic Impact of the Facility
32
3.5 The Interlinkage of Culture and
Sport
33
3.6 Summary
34
4.1 Geographical
35
4.2 Psychographics
36
4.3 Age
36
4.4 School Students
37
4.5 Sporting Clubs
37
4.6 Spectators
38
4.7 Casual Users
38
4.8 Other Users
39
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4.9 The PCYC
39
5. SWOT of the BRSCC
41
6. Investment Analysis
Summary
42
7. The Models
7.1 Key Success Factors
43
7.2 Risk Analysis
44
7.3 Model 1
44
7.4 Model 2
48
7.5 Model 3
52
7.6 Model 4
61
8. Recommended Model
9. Financial Plan
67
8.1 Assessment against key success
factors
68
8.2 Assessment against capital outlay
69
8.3 Assessment against Annual
Operating Budget
70
8.4 Recommendations
72
9.1 Model 1
73
9.2 Model 2
77
9.3 Model 3
81
9.4 Model 4
86
10. Appendices
90
Appendix 1 Island Quarry Inc
91
Appendix 2 Economic Impact Report
93
Appendix 3 Yamba Sporting Complex
94
Appendix 4 Conference Facilities
95
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Appendix 5 Articles about MICE Market
98
Appendix 6 Regional Cost Comparison
102
Appendix 7 PCYC Licence to Occupy
with Whitsunday REgional Council
103
Appendix 8 PCYC MOU with Orange
Shire Council
104
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5
Disclaimer
Any representation, statement, opinion or advice expressed or implied in this publication is made in good
faith but on the basis that R&S Muller Enterprise Pty Ltd, its agents and employees are not liable
(whether by reason of negligence, lack of care or otherwise) to any person for any damage or loss
whatsoever which has or may occur in relation to that person taking or not taking (as the case may be)
action in respect of any representation, statement or advice and referred within this business plan.
The compilation and verification of the costings for the design and construction of the complex fall
outside the scope of this business plan. Accuracy of the figures supplied to the consultant for the design
and construction of the basic complex, and any proposed extensions to this complex was the sole
responsibility of the client.
Copyright
Copyright including all intellectual property vests in Byron Shire Council and Industry and Development
NSW (I&I NSW), formerly the NSW Department of State and Regional Development (DSRD). No part of
this document may be reproduced without prior permission in writing of Byron Shire Council, General
Manager or I&I NSW.
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1.
EXECUTIVE SUMMARY
The business plan for the proposed Byron Regional Sports and Cultural Complex
(BRSCC) has been completed to assist Byron Shire Council to take a longer term
precautionary and anticipatory approach to the project in terms of the recurrent costs of
the facility and having regard to the intrinsic value of the asset to the community.
The proposed BRSCC is to be developed on approximately 13.27 H of community land
on Ewingsdale Road, 3.5 Km to the west of the centre of the township of Byron Bay.
Construction of the BRSCC has a value in excess of $14,000,000 of which Federal
Government grants make up $9,500,000, community contributions $35,000 with the
balance coming from Byron Shire Council Section 94 contributions and a loan facility.
The capital costs have been treated as sunk costs, in that once they have been spent
they can not be recovered. From an economic point of view, the only relevant issue for
the proposed BRSCC concerns the future costs and benefits for Council and for the
community.
The business plan examines a range of income options for the facility, but does not
address other means of offsetting any shortfalls between costs and revenues.
A number of activities have been proposed for the BRSCC, it is assumed that
appropriate zoning will be established to allow for the proposed developments to
proceed in the required timeframe.
The models proposed in the business plan aim to minimise any duplication of
infrastructure or eliminate competition for the same types of events/tenants/business
opportunities.
The BRSCC can be broken into two components:
The field area, comprising:
• Three soccer fields
• Cricket nets
• Two cricket ovals
• Australian Rules oval
• Rugby Field
• Hockey field
• Athletics track
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•
•
•
•
•
•
•
•
Softball field
Carpark and bus parking
Two general use fields
Outdoor netball and basketball courts
Cycleway
Skatepark
Caretakers residence (not required for the recommended model)
Canteens, storage sheds, amenities blocks and shaded areas.
An indoor multi-purpose stadium, which is approximately 2-3 basketball stadiums in size
and also includes a canteen area, amenities and meeting areas. Depending on funding,
it may also include:
• a Function Centre suitable for cultural and community events such as festivals
and conferences that also includes a music and arts facility as well as
additional meeting and office space.
The Project will be constructed in three stages (sectors).
The need for additional sporting facilities in Byron Bay was a prime reason for the
acquisition of the site in 2003. Currently there is a shortage of grass sports fields for
the population of Byron Bay. However, the construction of the BRSCC will considerably
exceed the provision of 0.85 h/1000 population benchmark.
Whilst the primary focus of the BRSCC will be sport, there is an interlinkage between
culture and sport in terms of recreation. Apart from sporting activities, and depending
on which model is chosen, the BRSCC may host community activities, small events,
festivals and markets.
Many potential users of the proposed BRSCC have been identified including:
• school students
• sporting clubs
• spectators - locals and tourists
• casual users - locals and tourists
• corporate groups
• film industry
• families
• older people
• festival, events and concert participants
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Although a diverse set of users has been identified, the business plan has identified four
management models to maximise use and decrease recurrent costs for Council and the
community.
All four models have been developed after identifying the following six key success
factors for the BRSCC:
• Dedicated staff to manage and promote the facility
• Innovative design solutions that reflect the need of users (and potential users),
and minimise maintenance and operational costs
• Consultation with the community
• Community support for a user pays system
• Commitment to maximising usage of the facility
• Commitment to partnerships
Model 1 sees the basic complex managed by Council and volunteers. It requires
considerable commitment from the community to operate the facility. The indoor
complex would be a simple and functional design offering primarily indoor sporting
activities.
This model would see the facility run at a recurrent cost to Council of
$473,260/year.
Model 2 sees the development of a basic complex maintained by Council, but managed
by a contractor. This is a Public-Private Partnership model. The major benefit of this
model is the reduced reliance on community volunteers to operate the facility. The
indoor facility would be a simple and functional design offering primarily indoor sporting
activities. This model would guarantee a minimum service standard for the facility with
predetermined operating hours. This model would see the facility run at a recurrent
cost to Council of $463,485/year.
Model 3 sees the BRSCC offering diversified activities, managed by Council using a
business venture model. This is a model that moves the operation of the facility from a
community project to maximising income in terms of the scope of commercial activities
offered. A number of business opportunities would be pursued including meetings,
conferences and events, film production, sporting events, weekly and monthly markets,
food outlets, sponsorships and advertising, and paid carparking. The design of the
indoor facility will need to be innovative and allow for multipurpose use. This may
come at a higher capital cost of construction. The recurrent costs to Council will be
$324,098/year if the capital costs can be contained within the current budget.
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Model 4 allows the BRSCC to offer diversified activities, under the management of
Council and the Police Citizens Youth Club (PCYC) as a partnership project. The PCYC is
an established not for profit organisation with some 59 clubs across NSW. Each PCYC
operates under the provision of 1-2 police officers and a centre manager, the wages of
whom are borne by the NSW Police Force. The governance includes the establishment
of a community based advisory committee. Whilst there may be the perception that the
PCYC is a youth based organisation, their mission is to maximise the use of the
community facility by the whole community. They would offer a range of sports and
activities and would work with the community to develop, promote and run events. The
final design of the building would be done in partnership with Council, the PCYC and the
community. The PCYC organisation has a proven history with innovative design for
multi-use facilities that reflect community need. The recurrent costs for Council for this
model will be $311,560/year.
Model 4 is the recommended model for the operation of the BRSCC as it addresses each
of the six identified key success factors, can be built to a budget allocation without
impact on the potential revenue streams and has the lowest annual recurrent costs for
Council. It is considered the model with the lowest financial and operational risks for
Council.
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2.
Introduction
2.1 Objectives of the Business Plan
The business plan for the proposed Byron Regional Sports and Cultural Complex (BRSCC) will:
• Investigate and report on the overhead costs associated with the basic function of the
Complex as a sporting venue
• Investigate and report of income potential from the basic model of the Complex
• Investigate and report of potential opportunities for government and private-sector
sponsorship
• Identify potential extensions to the basic model for the Complex that are likely to be cash
flow, sponsorship or highly social amenity positive, by considering similar regional facilities.
This includes capital and operating budgets, break-even analyses, key project risks, critical
success factors, contingency actions to minimize risks, and all key underlying assumptions.
• Investigate the financial and human resources, including the management structure, best
suited to deliver an effective management regime for the basic Complex model and each of
the potential extensions
• Financial projections for the basic model of the Complex in comparison with each of the
potential extensions.
The Business Plan has been completed to assist Council to take a longer term ‘precautionary
and anticipatory approach’ to this project in terms of the recurrent costs of the facility and
having regard to the intrinsic value of the asset to the community.
2.2 Key Assumptions/Limitations
2.2.1 Priority activities for the facility
While the facility has the potential to be a venue for cultural activities, sporting activities remain
the highest priority which is reflected in the Concept Plan for the site.
2.2.2 Catchment Area for the facility
While the facility will be used primarily by residents of the township of Byron Bay and its
environs, all residents of Byron Shire will be encouraged to use it. Indeed, as a regional facility,
residents across Northern Rivers fall within the catchment for its use.
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2.2.3 Budget
It has been assumed that the capital budget for the project is fixed. This project has a total
value of at least $14,000,000.
Within this budget, approximately $3,700,000 has been
allocated for the multipurpose stadium.
Costs
Completion of the project
Construction costs sector 1
$4,522,100
Construction costs sector 2
$2,683,800
Construction costs sector 3
$2,320,800
Balance of works
$4,567,000
TOTAL
$14,128,200
The sources of funding for this project are:
• $1,5000,000 from Building Better Regions Funding (Federal)
• $8,000,000 from Regional & Local Community Infrastructure Program (Federal)
• $5,200,000 from Council funds - Section 94 and loan funds
• $35,000 from the user groups
While the Business Plan examines a range of income options for the facility, it is outside the
scope of the Business Plan to address other means of offsetting any shortfalls between costs
and revenues such as:
•
•
•
Sale of certain assets which may be made redundant by the facility
Special levies
Rate increases.
2.2.4 Zoning
The site is currently zoned 1(d) (Investigation Zone) under the Byron LEP 1988. A ‘recreation
area’ is permissible under this zoning without consent. A Recreation Area is defined as:
(a)
a children's playground, or
(b)
an area used for sporting activities or sporting facilities, or
(c)
an area used by the council to provide recreational facilities for the physical, cultural or
intellectual welfare of the community, or
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(d)
an area used by a body of persons associated together for the purposes of the physical,
cultural or intellectual welfare of the community to provide recreational facilities for those
purposes,
but does not include racecourses or showgrounds.
Under point (c), the recreation area can include "an area used by council to provide recreational
facilities for…". Therefore a recreational facility would be considered a permissible use. The
definition of "recreation facility" is:
• a building or place used for indoor recreation, a billiard saloon, table tennis centre,
squash court, swimming pool, gymnasium, health studio, bowling alley, fun parlour or
any other building of a like character used for recreation and whether used for the
purpose of gain or not, but does not include a place of assembly.
Council planning staff advise that a building for indoor sports would be permissible with
development consent on the site.
It is noted that a ‘place of assembly’ is defined as:
• a public hall, theatre, cinema, music hall, concert hall, dance hall, open-air theatre,
music bowl or any other building of a like character used as such and whether used for
the purposes of gain or not, but does not include a place of worship, an institution or an
educational establishment.
Council planning staff advise that this is overridden by the provisions of the State Environmental
Planning Policy (Infrastructure) 2007. The relevant extract follows:
65 (2) Development for any purpose may be carried out without consent:
• (d) in the case of land that is a reserve within the meaning of Part 5 of the Crown Lands
Act 1989, by or on behalf of the Director-General of the Department of Lands, a trustee of
the reserve or (if appointed under that Act to manage the reserve) the Ministerial
Corporation constituted under that Act or an administrator, if the development is for the
purposes of implementing a plan of management adopted for the land under the Act
referred to above in relation to the land.
Council planning staff advise that the site is proposed to be rezoned RE1 under the draft Shire
Wide LEP. The objectives of this zoning are:
• To enable land to be used for public open space or recreational purposes.
• To provide a range of recreational settings and activities and compatible land uses.
• To protect and enhance the natural environment for recreational purposes.
• To ensure that there is an adequate provision of both active and passive open space to
serve the present and future recreational needs of residents and visitors.
• To identify land where existing recreation facilities for the general use of the community
are provided.
• To provide opportunities to enhance the total environmental quality of Byron Shire.
• To enable the provision of caravan parks located on public land.
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The following activities would be allowed under this zoning.
• Permitted without consent
Environmental protection works
• Permitted with consent
Agriculture but only Extensive agriculture and horticulture; Boat Sheds; Car parks;
Caravan parks; Child care centres; Community facilities; Dairies (pasture based);
Earthworks; Entertainment facilities; Environmental facilities;Filming; Flood mitigation
works; Function centres; Helipads; Information and education facilities; Public
administration buildings; Places of public entertainment; Recreation areas; Recreation
facilities (indoor); Recreation facilities (major); Recreation facilities (outdoor); Retail
premises but only Kiosks, Markets and Restaurants; Roads; Signage; Temporary
structures;Water recreation structures but only Boat launching ramps and jetties.
It is assumed that appropriate zoning will be established to allow for the proposed
developments to proceed in the required timeframe.
Extract from Draft Byron Shire!wide LEP
Legend
Proposed Sporting Fields at Ewingsdale
Disclaimer : While all reasonable care has been taken to ensure the information
contained on this map is up to date and accurate, no warranty is given that the
information contained on this map is free from error or omission. Any reliance
placed on such information shall be at the sole risk of the user. Please verify the
accuracy of the information prior to using it.
Note : The information shown on this map is a copyright of the Byron Shire Council
and the NSW Department of Lands.
Scale = 1:10,000
Metres
200
400
( Scale correct at A4 size )
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25/08/2009
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Annexure 1(a)
Byron Regional Sport & Cultural Complex Site
Current LEP Zonings
14
Disclaimer : While all reasonable care has been taken to ensure the information
contained on this map is up to date and accurate, no warranty is given that the
information contained on this map is free from error or omission. Any reliance
placed on such information shall be at the sole risk of the user. Please verify the
accuracy of the information prior to using it.
Note : The information shown on this map is a copyright of the Byron Shire Council
and the NSW Department of Lands.
Scale = 1:8,388
Metres
200
( Scale correct at A4 size )
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2.2.5 Proximity to other Community Assets
Island Quarry is located opposite the proposed location of the BRSCC on Ewingsdale Road. It is
a Crown Reserve (IQ Arts and Eco Reserve) with the Trustee being Island Quarry Inc (IQ Inc).
IQ Inc has an approved DA to provide a range of cultural services in very close proximity to
Councils site. The plans and activities of IQ Inc are outside the scope of this Business Plan but
have the potential to be complementary to BRSCC. See Appendix 1 for additional background
information on IQ Inc.
The model proposed in this Business Plan aims to minimise any duplication of infrastructure or
eliminate competition for the same types of events/tenants/business opportunities.
The concept plan for the BRCSF includes a roundabout on Ewingsdale Road. Council has
resolved to consider access to arrangements for adjoining sites including IQ.
While the lQ Inc development and the location of the roundabout are both outside the purview
of the Business Plan, it is assumed that:
•
•
IQ Inc will materialise their vision in the short term and
The issue of the positioning of the roundabout will be resolved appropriately.
More broadly, it is assumed that maximum opportunity is taken to achieve synergies between
the two developments.
2.2.6 Visitor Information
The business plan does not include an analysis of the viability of a Visitor Information
Centre(VIC) as it was outside the scope at this stage. However, during the consultation phase it
became clear that whilst a relocation of the existing VIC is not supported by the organisation
that runs the VIC, there is support for the potential for additional or supplementary Level 3
information as longer term potential. Should this be an option into the future for Byron Shire,
this proposed facility could also be investigated for complimentary services such as a cafe,
booking agencies, and also office spaces as a way to offset operating costs.
2.2.7 Consultation
Targeted consultation with key stakeholders has been conducted for the Business Plan.
However, there has not been scope for broad community consultation and the Business Plan
therefore relies on consultations conducted in the context of the Plan of Management and
information from meetings with the following stakeholders
• Cr Jan Barham
• Screenworks
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•
•
•
•
•
•
•
•
•
•
Arts Northern Rivers
Writers Festival
Byron Shire Sports Association
Ewingsdale Progress Association
Dept of Sport and Recreation
PCYC - NSW and Qld
Northern Rivers Tourism
IQ Inc
Dept of Lands
Orange, Taree, Lismore, Ballina, and Whitsunday Regional Councils
It is assumed that, in accordance with the Action Plan in the Plan of Management, there will be
thorough community consultation with all development proposals, especially with regard to the
detailed design options for the buildings.
It is further assumed that thorough consultation will be conducted with Aboriginal stakeholders
regarding archaeological sites and heritage issues.
2.3 Description of the BRSCC
The BRSCC will be a multi-use sports facility providing opportunities for major field-based and
indoor stadium activities, together with suitable facilities for the holding of major indoor/outdoor
cultural events.
The proposed BRSCC will be a signature sport facility for Byron Bay and the greater Northern
Rivers with the additional benefits of offering civic functions. The facility will provide both
economic and non-economic benefits to Byron Shire and the Northern Rivers.
From a functional perspective the BRSCC will include all amenities required to host sporting
competitions, community events, and small festivals.
The BRSCC can be broken into two components:
1. The field area, comprising:
• Three soccer fields
• Cricket nets
• Two cricket ovals
• Australian Rules oval
• Rugby Field
• Hockey field
• Athletics track
• Softball field
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Annexure 1(a)
•
•
•
•
•
•
•
Carpark and bus parking
Two general use fields
Outdoor netball and basketball courts
Cycleway
Skatepark
Caretakers residence
Canteens, storage sheds, amenity blocks and shaded areas.
2. An indoor multi-purpose stadium, which is approximately 2-3 basketball stadiums in size and
also includes a canteen area, amenities and meeting areas. Depending on funding, it may
also include:
• a Function Centre suitable for cultural and community events such as festivals and
conferences that also includes a music and arts facility as well as additional meeting and
office space to be used by local sports committees when required.
There is potential within the design and the landscaping of the BRSCC to engage and consult
with the Project Art Reference Group responsible for implementing Councils Public Art Policy.
The Project will be constructed in three stages (sectors). The BRSCC will be built to comply
with the Australian building standards and this will ensure that the facility is a regional leader,
particularly in terms of disability access.
The project brief required the Business Plan to evaluate the BRSCC with these components.
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Annexure 1(a)
Figure A
Conceptual Plans for Byron Regional (Ewingsdale) Sports and
Cultural Facility
18
Figure A
Conceptual Plans for Byron
Cultural Facility
Page 6 of 11
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2.4 Location of the Site
The site is located on a 40 Hectare parcel of Council owned land at Ewingsdale, 3.5 kilometres
to the west of the centre of the township of Byron Bay. It is located on lot 3, DP 706286.
Byron Shire Council has prepared and adopted a formal Plan of Management (POM) for the site
in compliance with the requirements of the NSW Local Government Act (1993) and the Local
Government (General) Regulation (1999).
As a result of that process, 11.23 hectares of the site has been classified as operational land,
with the remaining 28.87 hectares being classified as community land.
The proposed BRSCC is to be developed on approximately 13.27 H of the community land.
The remaining community land will be retained for conservation, vegetation buffer and passive
recreation activities as permitted by the legislation and the adopted POM.
These additional
areas fall outside the scope of this Business Plan.
The maps below depict the site.
PLA N O F M A N A G EMENT
249 Ewingsdale Road, Byron Bay
!
!
"#$%$!&'!()*+!,--.)/0!/-1234+*52!61-7!23*!5-8234*952*1/!:-8/;91<!-6!23*!5)2*=!%3)5!
,->92)-/!>-/29)/5!5)0/)6)>9/2!/92819,!5*;0*,9/;!39:)292!;-7)/92*;!:<!%955*,41853=!%3)5!
>-778/)2<!395!9!19/.)/0!-6!?#)03!@-/5*1A92)-/!(9,8*B!8/;*1!23*!Byron Biodiversity
Conservation Strategy=!%3*!/92)A*!A*0*292)-/!C6-1*01-8/;D!+-8,;!/**;!2-!:*!1*7-A*;!
2-!9,,-+!6-1!1*>1*92)-/9,!)/6195218>281*!95!53-+/!)/!Figure 9: Concept Plan=!
!
!
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Proposed
site of the BRSCC at 297 Ewingsdale Road
2-+91;5!23*!9;G-)/)/0!H<1-/!I125!J!K/;8521<!L5292*=!M8281*!1*>1*92)-/9,!;*A*,-F7*/2!-6!!
23*!>-778/)2<!,9/;!+),,!/**;!2-!9;;1*55!,->9,!9/;!79>1-4!A)589,!9/;!5>*/)>!N89,)2)*5=!!
!
Business Plan
Byron Regional Sport and Cultural! Complex
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-6!9!A)29,!+),;,)6*!>-11);-1R!F1-A);*5!39:)292!6-1!231*92*/*;!5F*>)*5!9/;!)5!);*/2)6)*;!95!!
:*)/0!?LS21*7*,<!#)03!@-/5*1A92)-/!(9,8*B!T)*=!91*9!395!9!F1)-1)2<!19/.)/0!6-1!!
>-/5*1A92)-/U!)/!23*!Byron Biodiversity Conservation Strategy=!
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"#
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L a n d A rc Pty Limit e d
!
19
Annexure 1(a)
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2.5 Background
2003
21
The site was purchased by Byron Shire Council on 16 May for operational and community uses.
The purchase was in accordance with the Byron Shire Council Management Plan 2003-2006 and
its key strategic objectives of a resilient community, infrastructure assets, revenue and
resources. It was funded from the Section 94 Fund (community land portion) and the Water
and Sewerage Fund (operational land portion).
It was based on a preliminary investigation of potential operational and community uses for the
land, as follows:
•
•
•
•
•
Operational use of the western portion of the land as an extension of Councils West
Byron Effluent Reuse Wetland Project
Suitability of the eastern portion for additional recreational infrastructure, particularly
sporting fields, which had been identified for some time as a high need/priority in Byron
Bay
Potential for other community uses including a festival site, out of town parking and
opportunities for an entry ‘gateway’ to the township
Benefits associated with the contiguous nature of Council owned land
Options for partial rezoning and alternative uses.
Council classified the entire site as operational pending a land use study and assessment.
Landarc were commissioned to prepare a Plan of Management (POM) for the community site.
2004
The draft POM site was presented to Council.
2005
Sporting Fields Working Group was created by Byron Council to oversee and provide community
input into major works required for the Byron Bay Recreation Ground and the community use of
the Ewingsdale Road site.
Council staff in conjunction with the Sporting Fields Working Group developed a concept plan to
address issues related to the supply of local sporting and recreational facilities.
Council endorsed the Concept Plan (page 11) provided by the Sporting Fields Working Group.
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The POM was accepted by Council on 20 December 2005.
2009
Council applied for funding from the Department of Infrastructure, Transport, Regional
Development and Local Government, from the Community Infrastructure Program to construct a
multi purpose sports and cultural centre. This grant was approved.
The Sporting Fields Reference Group was reconstituted into the Byron Regional Sport and
Cultural Complex Reference Group.
This Group reports to the Internal Audit Committee of
Council.
The Business Plan was commissioned.
2.6 Vision
The adopted POM for the facility has as its vision statement the following:
“To promote and enhance the sites future role as a significant and unique asset within
Byron Shire’s recreational open space, ensuring protection of identified values through
appropriate management in a way which best meets the environmental, recreational,
educational, cultural and social needs of the present community and for future
generations.”
2.7 Values
Community Values identified within the POM include:
• sport facilities including playing fields
• cultural values
• public access
• community infrastructure and future recreational facilities
• terminus for park and ride
• showground/festival site
• gateway site
• eco-tourism
• interpretative facilities.
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3.
The Need for the BRSCC
3.1 Characteristics of Byron Bay
23
3.3.1 Demographic information
The following table provides basic information on the population of Byron Bay.
Males
Females
Persons
2,835
2,773
5,608
0-4 years
135
104
239
5-14 years
282
286
568
15-19 years
218
169
387
20-24 years
254
173
427
25-34 years
398
387
785
35-44 years
413
404
817
45-54 years
501
557
1,058
55-64 years
365
302
667
65-74 years
137
140
277
75-84 years
96
179
275
85 years and over
36
72
108
Total Persons
Age
The following table provides basic information on the population of Suffolk Park.
Males
Females
Total
1,608
1,682
3,290
0-4 years
126
74
200
5-14 years
213
223
436
Total persons
Age
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15-19 years
126
94
220
20-24 years
83
89
172
25-34 years
204
251
455
35-44 years
263
284
547
45-54 years
291
342
633
55-64 years
172
151
323
65-74 years
59
79
138
75-84 years
52
61
113
85 years and over
19
34
53
24
The following table provides basic information on the population of Broken Head
Males
Females
Total
154
149
303
0-4 years
8
7
15
5-14 years
20
21
41
15-19 years
6
8
14
20-24 years
0
7
7
25-34 years
18
18
36
35-44 years
21
17
38
45-54 years
31
37
68
55-64 years
31
14
45
65-74 years
8
10
18
75-84 years
8
6
14
85 years and over
3
4
7
Total persons
Age
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The Byron Shire Social Plan 2004-09 identifies other key features of Byron Shire including:
• A relatively high unemployment rate (estimated at 7% cf 4.6% for NSW for 2007-08) and
a higher than average participation in part time work (the Byron Shire Social Plan 2004-09
stated that 40.1% of employed people in Byron Shire were employed part time, the
second highest proportion of part time workers in NSW)
• Median weekly incomes lower than the State average
• Significantly more one-parent (mostly women) families in Byron Shire compared to NSW
and a high proportion of children living in one-parent families
• A growing ageing population
• High numbers of new residents
• Significant numbers of tourists
• Population increasing at a significant rate in comparison to other areas in NSW
• Significant population increases in young people 10 - 19 years and those between 40 and
59 years.
3.2 Inadequacy of Existing Sporting Facilities
There is an increasing trend towards the development of sporting facilities incorporating
sporting fields and indoor activities. There are a number of such facilities in the Northern Rivers
region.
There are two significant sporting facilities in Byron Bay and Suffolk Park, both of which are
traditional sporting fields.
3.2.1 Byron Bay Recreation Grounds, Cnr Carlyle, Cowper & Tennyson Streets,
Byron Bay
• Children’s playground
• Girl Guides Hall
• Scout Hall
• Amenities
• Basketball
• Cricket
• Croquet
• Hockey
• Netball
• Rugby Union
• Soccer
• Tennis
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3.2.2 Suffolk Park Sports Fields, Beech Drive, Suffolk Park
• Children’s playground
• Amenities
• Skate Park
• Basketball
• Cricket
• Tennis
In addition, the following sporting facilities are located in Byron Bay:
•
•
•
•
Privately run gyms
Bowling Club
Golf Club
Red Devils Rugby League ground
Yoga and martial arts are also practiced in Byron Bay.
As indicated above, the need for additional sporting facilities in Byron Bay was a prime reason
for the acquisition of the site in 2003. There have been no significant additions to the sporting
infrastructure of the township in the intervening period.
A number of concerns have been raised about the Byron Bay Recreation Grounds, which is the
main sporting venue for the community of Byron Bay. These include:
• The poor quality of playing surfaces
• Huge pressure on its use, with some sports required to use fields outside the area for
home games
• This area is extremely busy and noisy on winter evenings and weekends, when
competitive sport is played. The intrusion of lighting that is used for training has been
raised as a concern by local residents
• Inadequate amenities
• Inadequate parking at peak usage times
• Encroachment of vegetation on the adjacent Reserve.
Communities NSW advises that the average provision of grass sports fields by councils in the
same demographic group as Byron Shire is 0.85 hectare/1000 population. This translates to
just over 4.5 hectares of sporting fields to service the population of Byron Bay. The Byron Bay
Recreation Grounds are considerably less than this, but the BRSCC will considerably exceed this
benchmark.
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3.3 The Social Benefits of Sport
A key consideration in supporting the development of the BRSCC is the flow on benefits
provided by sporting and physical activity.
NSW Sport and Recreation explains the benefits of participation in sport and physical activity as
follows:
“Participation in sport and physical activity delivers benefits beyond improvements in
physical and mental health, with evidence that communities as a whole are strengthened.
Healthy, harmonious communities have strong social connections and links, and exhibit a
high level of inclusion, cooperation and participation across all community groups.”
(Sport and Physical Activity in NSW, NSW Sport and Recreation)
As noted by the Australian Sports Commission’s, “Case for Sport in Australia”, “the importance
of sport to achieve wider social, health, economic and environmental outcomes has been
increasingly recognised by the Australian Government and others over recent years”.
3.3.1 Health and Wellbeing
The individual health benefits of physical activity and sport have been well documented. Sport
and Physical activity are recognised as critical factors in reducing the risk of chronic disease in
Australians.
People who participate in sports clubs and organised recreational activity, enjoy better mental
health, are more alert, and more resilient against the stresses of modern living.
Sport and physical activity provides community members with the opportunity to experience
enjoyment, skill development, wider social interaction and new challenges.
Participation in sport, physical and social activity is shown to reduce stress, anxiety and
depression and reduce symptoms of Alzheimer’s disease. Current literature shows that people
who participate in sports clubs and organised recreational activity enjoy better mental health,
are more alert, and more resilient against the stresses of modern living. 1
Children or adolescents who are overweight or obese are more likely in the short-term to
develop gastrointestinal, endocrine or certain orthopedic problems than children of normal
weight and are more likely in the longer-term to develop cardiovascular disease.
Physical activity in childhood can reduce the occurrence of chronic illness later in life.
1
HYPERLINK http://www.health.nsw.gov.au/public-health/health-promotion/activity/benefits/index.html”
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Physical activity improves strength, balance and mobility in persons who might otherwise have
restricted functions due to disability. Sport participation in older people can significantly reduce
the occurrence of disabling conditions.
According to the 2008 Exercise, Recreation and Sport Survey (ERASS) 83.4% of the NSW
population aged 15 and over participated at least once in a sport or physical activity in 2008.
Based on the Census data quoted above, this would translate to 4004 residents of Byron Bay,
2213 from Suffolk Park and an additional 206 from Broken Head aged 15 and over participating
in a sport or physical activity.
However, according to ERASS, less than half the NSW population (49.3%) participated in sport
or physical activity the recommended three or more times per week to achieve a healthenhancing benefit.
The Byron Shire Social Plan identifies improvement of community health, including mental
health and drug and alcohol issues, particularly as they impact on children, youth and families
and also the homeless/transient population as major themes/issues for attention.
The Social Plan states that, with the increasing ageing population, and the higher propensity of
older people developing disabilities, there is a need to promote healthy and positive lifestyle
through supply of recreation and cultural opportunities.
While participation in sport is not specifically identified as a strategy in the Social Plan, the
evidence cited above indicates that the facility has the potential to be a strong complement to
strategies addressing this issue.
3.3.2 Reducing crime and antisocial behaviour
The Social Plan identifies increasing homelessness and transience as potentially contributing to
increasing crime rates in Byron Bay. It also states that there are high numbers of young
people, including underage young people drinking in public spaces. The Community Safety Plan
2003 referred to data which indicated that Byron Shire ranked within the top 25 LGA’s for
Stealing from Person and Stealing from Motor Vehicle.
The lack of activities for youth was identified as a key reason for this activity.
There is growing evidence that involvement in sport and recreation can contribute to reducing
anti-social behaviour and offending. While sport in itself does not reduce anti-social behaviour, it
is generally agreed that it is an important conduit for personal and social development to occur.
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Sport improves self esteem, confidence, develops skills and can improve relationships all of
which are identified as positive factors in reducing anti-social behaviour. 2
The Australia Institute of Criminology report on trends and issues in crime and criminal justice
(2000) concluded that:
• Sport and physical activity can combine with other interventions to reduce crime in
particular groups and communities.
• It appears that sport and physical activity can reduce crime by providing accessible,
appropriate activities in a supportive social context.
• Elite sporting bodies can be involved in programs directly aimed at particular crimes or
communities.
Crucially, it states that it is essential to consider how the design, location, and funding of
sporting and recreational infrastructure contributes to social cohesion, and avoids taking sport
and physical activity out of its social context.
The Byron Shire Community Safety Plan include actions which address:
• Recreational activities for youth, including working with entertainment venues to provide
safe venues for youth and providing support for youth night entertainment
• Support for the collaborative development and implementation of initiatives to enhance
police youth relationships
• Reducing the impact of alcohol abuse
• Support and planning for a Safe New Years Eve in Byron Bay.
The BRSCC has the potential to play a key role in each of these actions.
3.3.3 Students achieving potential
There is a significant positive correlation between academic ability and sport performance.
Recent evidence suggests that increasing the time that children spend in sport or physical
activity is a potential strategy for optimising children’s learning. Higher school ratings of
scholastic ability are associated with higher physical fitness, physical capacity and physical
activity. 3
Students who participated in vigorous physical activities such as football, or even activities such
as skateboarding, did approximately 10 per cent better in their academic grades in
2
Mason,G and Wilson, P. 1988, Sport, Recreation and Juvenile Crime: An Assessment of the Impact of
Sport and Recreation Upon Aboriginal and Non-Aboriginal Youth Offenders. Australian Institute of
Criminology, Canberra.
3
lidner KJ the Physical Activity/academic performance revisited. Perceived and actual performance and
the effect of banding. Pediatric Science, 2002; 14:155-169
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mathematics, science, English and social studies. Physical education and activity during the
school day reduce boredom and help keep kids’ attention in the classroom. 4
Sport and education partnerships provide educationally disadvantaged young people and those
at risk of withdrawing from the education system with opportunities to participate in accredited
sport and recreation training programs whilst also doing literacy and numeracy course activities.
This can result in improved literacy, numeracy and attitude of the individual and their family to
school and encourage links with sports clubs for out of school time activity. 5
3.3.4 Strengthening Aboriginal communities
Sport provides positive alternatives to the problem behaviours that may exist in Aboriginal
communities. Introducing sport carnivals into Australian indigenous communities has shown atleast short-term reductions in violence, other offending, improvements in self-esteem, social
cohesion and social support systems. Sporting competitions in indigenous communities have
proven beneficial in reducing crime rates and drug use as they involve the entire community,
rather than just young people.6
The health and well-being of the indigenous population in Byron Shire was identified as a key
issue by the Aboriginal and Torres Strait Islander Community Needs Analysis 2001/2002.
3.3.5 Tourism
A facility of this type, with its close proximity to the CBD, is regarded as an added ‘attractor’ in
helping increase numbers of visitors and increasing their length of stay. It can also be a venue
for major events, which will draw visitors to Byron Bay.
The Byron Shire Council Draft Tourism Plan states:
“Tourism is recognised as an important contributor to the Shire’s economic development.
It is estimated that 1.1 million tourists visited Byron Shire in 2007 with an expenditure of
$354 million. It is also estimated that for this expenditure that 2,500 full time-equivalent
jobs were created.
4
Coe DP, Pivarnik JM, Womack CJ, Reeves MJ, Malina RM (2006). Effect of physical education and
activity levels on academic achievement in children. Medicine and Science in Sports and Exercise
30:1515-1519.
5
Australian Sports Commission 2006 - SBS Review of the ASC Junior Sport Framework Resource.
6
Morris L, Sallybanks J, & Willis K (2003). Sport, physical Activity and Anti-social behaviour in Youth.
Research Public Policy Series no 49, Australian Institute of Criminology.
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Despite the popularity of Byron Shire as a tourist destination, visitor numbers have
remained relatively flat since 2002. In 2007, it was estimated that there were 1.1 million
visitors to the Shire, a decrease of 15% from 2006.”
Strategies for destination development for Byron Shire directly relevant to to the BRSCC are:
• Development of infrastructure to support tourism and community needs
• cycleways
• parking facilities
• public toilets
• playgrounds
• picnic areas
• youth facilities such as skate-parks
• Investigation of the development and promotion of additional tourism product and visitor
experiences to complement the brand and image of the Shire
• Over come the Byron Bay “party-town” image
• Encourage visitors that seek different experiences.
3.3.6 Byron Bay Writer’s Festival
The Northern Rivers Writers’ Centre is a full-time centre that provides resources, information
and literary activities for writers and readers. The Writers’ Centre is a non-profit, incorporated
organisation receiving core funding from Arts NSW and has membership of more than 800
individuals and organisations. The Centre offers a year-round program of workshops, seminars
and events as well as the annual Byron Bay Writers Festival. This festival is a significant event
for Byron Shire and the region with an estimated 3000 people/day coming to the area for the
three day event.
The Festival has recently been required to change venues, however this new location is costing
the organisation an additional $40,000/event to stage. Indeed, whilst the participant numbers
have increased, the most recent event was run at a loss. This is a major challenge for the
organsation.
Relocation to a new site is certainly a possibility for the Writers Festival. The program would
continue to be delivered in marquees and the use of an indoor facility would only be required as
a wet weather option.
The proposed location of the general use field (the front eastern side of the facility) which has
been designated as the overflow carpark area for events, borders Ewingsdale Road and the
industrial estate. In this location, the Writers Festival deem the proposed site as inappropriate
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for this festival due to the traffic noise and the potential industrial noise. Should the general
use fields be able to be located farther away (ideally, this would need to be the north western
corner) then the site would be ideal for the festival.
The organisation has indicated that it would not expect to pay for hire of the facility.
It is worth noting, that once the BRSCC is operational, the opportunity to free the Byron Bay
Recreational Grounds for use for the Writers Festival should also be explored.
Interim
discussions with the Festival organisers indicate that the use of the recreational grounds would
be highly appealing, and potentially a better location than the proposed BRSCC, especially given
it is right in town.
3.4 Economic Impact of the Facility
An Economic Impact analysis of the facility has been conducted. The full report is at Appendix
2. Developments such as the proposed BRSCC generate economic benefits for the regional
economy through expenditure associated with the development and construction of the site and
infrastructure as well as the on-going benefits associated with increased expenditure / turnover
within the region that would otherwise not have occurred. If the proposed development will
generate increased economic activity for the region over and above that of the economic
activity generated by the existing land use then it may be considered a positive development for
the region in economic terms.
The key findings are:
• The facility will impact on a number of sectors of the economy, especially construction, retail,
tourism and hospitality
• The impacts of the construction will depend on the location of the construction contractor. If
a local building company is involved:
• The total impact on industry output is estimated at $30.1 million
• 56.8 direct full time equivalent positions and an additional 67.2 indirect positions will
be created
• Total value added to Gross Regional Product is estimated at $11.4 million
• The impacts of the construction if a non local building company is involved:
• The total impact on industry output is estimated at $25.1 million
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• 47.3 direct full time equivalent positions and an additional 56 indirect positions will be
created
• Total value added to Gross Regional Product is estimated at $9.5 million
• Impacts from the operations of the facility include:
• An annual increase in industry output of $1.4 million
• Direct employment of 3.8 and indirect 2.9
• Total value added to Gross Regional Product of $517,400 per annum.
• Impacts from utilisation of the facility as a film studio include:
• The total impact of industry output is estimated at $2.8 million
• 3.4 direct full time equivalent positions and an additional 6.4 indirect positions will be
created
• Total value added to Gross Regional Product is estimated at $900,000.
As noted above, the facility has the potential to increase the number of visitors to Byron Bay,
through attendance at sporting and other events. Assuming that visitors conform to average
regional length of stay and expenditure patterns, key impacts include:
• An increase in estimated direct output of $4.8 million and additional flow on increases in
output of $5.2 million through other industries, for a total direct and indirect impact of $10
million
• An estimated increase of 47.2 direct full-time equivalent employment positions, with an
estimated additional 19.5 employment positions gained indirectly through other industries
• An estimated increase in GRP of $1.9 million from direct effects, with a further flow on impact
of $2.1 million through other industries for a total industry value added of $4.0 million.
3.5 The interlinkage of culture and sport
As stated earlier, the primary focus of the facility will be sport. However, as stated in the Byron
Shire Council Cultural Plan 2008-13:
“Culture in the Byron Shire is the expression of the history, heritage, customs, arts,
recreation, creativity and values of a community.”
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The following strategic actions within the plan are particularly relevant to the BRSCC:
• Develop recreational trails and spaces eg cycling paths
• Accessible playground facilities incorporating public art
• Support community based cultural tourism including recreational and sport tourism, and
festivals
• Encourage markets including evening, farmers markets
• Encourage and advocate for multi-use of public facilities
• Support youth forums
• Enhance youth facilities and activities
• Ensure a Shire-wide integrated transport strategy within a regional context to address
access to cultural facilities and places.
• Support lifestyle cultural festivals
• Support access to cultural venues and activities for older people and people with
disabilities
• Foster community partnerships with a view to encouraging the development of cultural
projects and public outcomes.
• Support activities and promote creative opportunities including forums, exhibitions and
events.
• Encourage and support cultural events that showcase local talent
• Recognise and support events with diverse cultural significance.
Apart from sporting activities, and depending on which model is chosen, the facility may host
community activities, small events and festivals.
3.6 Summary
A key operational goal of Byron Shire Council (and all Councils throughout Australia) is to
promote and provide access to parks and natural areas that enhance quality of life and wellbeing for residents and visitors. Councils are responsible for the provision of parks and
playgrounds, open space facilities, sporting fields and public amenities for the community.
The Byron Shire Council Management Plan 2009- 2012 identifies Councils commitment to
sustainability. “Sustainability requires the successful integration and balancing of ecological,
social and economic values practices.”
The BRSCC will deliver direct benefits to the community by providing a high quality, state of the
art, sporting facility.
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In addition however, there is significant potential for the community to derive significant flow on
benefits of an ecological, social and economic nature and add to the social capital of the area.
As identified above, the BRSCC has the potential to complement a number of councils strategies
with reference to different groups in the community, including:
• Youth
• Older people
• The aboriginal community.
It will support the activities of a number of agencies and organisations in addressing a number
of social and other issues facing the community.
4.
Market Analysis Summary
Potential markets for the BRSCC have been split into the following user groups to analyse the
percentages of types of people who will use the basic facility. These groups are not mutually
exclusive. It relates solely to the ‘basic’ facility ie the sporting fields and indoor sporting facility.
Figures are estimates based on analysis of the figures within the Road Net Traffic Study,
Indicative Use (appendix).
4.1 Geographical
• Byron Bay, Suffolk Park and Broken Head Residents 70%
• Other Byron Shire Residents 10%
• Other Northern Rivers Residents 10%
• Outside of region 10%
Local residents
Shire Residents
Norther Rivers Residents
Outside of the region
10%
10%
10%
70%
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4.2 Psychographics
(behavioral patterns or "types of people", and people fitting into a certain market
groups unrelated to the above categories)
• School students 20%
36
• Sporting Club Members 40%
• Spectators 15%
• Casual users (individuals or informal groups) 15%
• Other 10%.
10%
School students
Sporting Club members
Spectators
Casual Users
Other
20%
15%
15%
40%
4.3 Age
under 10
10%
10-20
30%
21-35
33%
35-50
15%
50 and over 12%
12%
10%
15%
30%
33%
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Under 10
10-20 yrs
21-35 yrs
35-50 yrs
50 + yrs
Annexure 1(a)
The core market for the BRSCC are people who wish to participate in organised or unorganised
sporting or physical activity. This core market exists in all the categories above, and the
primary target markets will be the segments with the greatest proportionate shares.
The extent to which the lesser markets are reached will be largely dependent on:
• Design of the building, which is itself dependent on the funding available and
• The type of management model adopted.
Below is a list of target market segments that the BRSCC will cater to and the types of usage
relevant to each segment:
4.4
School students participating in organised sporting activities
The facility will be used for a minimum of 4 carnivals for local schools and 2 inter school multisport carnivals each year (these would include schools from outside the immediate locality).
Local schools may also use the facility for training and practice.
4.5
Sporting club users include:
Soccer
Training for male and female juniors and seniors
Competition for male and female juniors and seniors
Junior regional competition
Final series.
Rugby Union
Training
Seniors Competition
Rugby Sevens (possibility of an international competition which would be bid for)
Hockey
Training
Competition
Regional Carnivals
Frisbee
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Training
Regional Carnivals
Touch Football
Carnival
38
Little Athletics
Competition
Regional Carnival
Australian Rules Football
Training for juniors and seniors
Competition for juniors and seniors
Carnival
Cricket
Training for juniors and seniors
Competition for juniors and seniors
Basketball
2 Tournaments per year
Netball
2 tournaments per year.
4.6
Spectators
Spectators include local residents attending local competition games and carnivals and
people from elsewhere attending carnivals. They may be family members of participants or
other individuals.
4.7
Casual users
Casual users include:
• Local residents using the indoor or outdoor facilities for informal sporting and other
leisure activities
• Domestic and international tourists. It is expected that the facility will be an attractive
leisure option for individual tourists and families who are spending at least 2 nights in
the area. It will also be an attractive option when weather conditions are poor.
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4.8
Other use(r)s include:
• Corporate Groups attending conferences, meetings or training workshops
• Film Industry Members seeking an soundproof space for sound recording and filming
• Indoor concerts – stakeholders have identified potential for 3 per year with a
maximum size of 1000 people
• After school care programs
• Children’s play centre
• Activities for older people
• Outdoor concerts/festivals - stakeholders have identified potential for 4 per year with
a maximum participation of 4000 people.
The first five in particular are dependent on the design and configuration of the building.
4.9
The PCYC
The Business Plan discusses 4 different management models, one of which is management
by the PCYC. If this model is adopted, the usage pattern and activities conducted in the
indoor facility would potentially be more diversified. This model could still include the users
listed above.
Under this model, people become members of the PCYC and participate in a range of
sporting and other activities. The broad target market for the PCYC is youth, including
youth at risk.
The range of sporting activities vary from club to club but include:
• Netball
• Basketball (traditional and 3 on 3)
• Futsal
• Martial arts such as taekwondo and karate
• Gymnastics
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• Aerobics
• Boxing
• Judo
40
• Wrestling
• Indoor abseiling
• Baton-twirling
• Rugby League 7s.
While some activities would be structured, many would be unstructured.
The PCYC also conducts carnivals at a regional and inter-regional level.
The PCYC would use the facility to provide a wide range of non sporting activities, including:
• Rock eisteddfod
• Dance nights, including Blue Light Discos
• Leadership development programs
• Crime prevention programs.
The facility under this management model would also include other activities such as video
games, TV, lounge, and pool tables.
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5.
SWOT of the BRSCC
The following SWOT analysis was completed following consultation with potential users,
community and industry representatives, and operators of other regional facilities in
NSW.
Strengths
Location - Byron
Bay
Out of town
location reduces
traffic in town
Size of the land,
with no residential
neighbours
Land is owned by
Council
5 years working
with sporting
organisation to
identify the sporting
needs of the
community
Weakness
Short timeframes
reduce consultation
phase
Proximity of the
road and
associated noise
Cost to operate the
facility
New model of user
pays to access
sporting fields in
Byron Shire
Council
Reduced need for
community to travel
for sport (home
ground facilities)
Addresses the
critical shortage of
sporting fields in
Byron Bay
Opportunities
Threats
Government grant
for capital costs
Cost to use the
facility
Sports based
tourism
Roundabout
location
Cultural events
Duplication and/or
competition with
other existing or
proposed
community facilities
Small festival site
Conferencing
venue
Parking
Entrance point to
town
Location of each
component of the
complex - highest
and best use for
the widest range of
users
Bring PCYC model
to the area
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Recurrent costs for
Council
Limitations of the
current and
proposed zoning
for some activities
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6.
Investment Analysis Summary
It is important to note that community sporting grounds (even regional complexes), do not have
the capacity to generate a return on investment in the true sense of the word.
A return of 4% on the capital costs of $15,000,000 is $600,000/year. Commercially, this would
be a minimal return, given it is only slightly more than would be earned in a bank account.
Returns as high as 10%, or $1,5000,000 are common benchmarks for analysing return on
investment in the commercial sector.
It is unrealistic to assess the investment in a community asset in this manner. During the
compilation of this business plan, it has become apparent that a return of between 10-20% of
operating costs would be a realistic target.
In this case, the capital costs for construction of the BRSCC are primarily from external funding.
It is therefore more realistic, to instead address the capital costs as ‘sunk costs’.
In economics and business decision-making, sunk costs are retrospective (past) costs which
have already been incurred and cannot be recovered. From an economic point of view, the only
relevant issue for the BRSCC concerns the future costs and benefits.
This is the fundamental assumption of the business plan. Capital costs are sunk costs,
recurrent costs are however a real and ongoing costs for Council (and the community) which
will need to be considered prior to commencing construction of the BRSCC.
Based on the practices of other regional facilities across NSW, it is the management
structure that will minimise recurrent costs for Council and it is the management
model that will drive usage, and in turn drive community satisfaction.
So rather than looking at what could be offered on the site that has the highest chance of a
commercial return (golf or tennis academy, or tennis courts compared with say little athletics), it
is accepted that the proposed range of sports as outlined in the complex concept plan has been
well considered and best meets the needs of the community. The basic types of usage are
accepted. Therefore the focus has been to identify the best management model to increase
use, and decrease recurrent costs for Council.
Business Plan
Byron Regional Sport and Cultural Complex
Page 42 of 104
42
Annexure 1(a)
7.
The Models
Four management models have been developed for consideration by Council. Models 1 and 2
focus on the basic complex operating under two different management structures. Model 3 and
4 require the diversification into broader activities, again under two different management
models.
Model 1
Basic Complex managed by Council and volunteers.
Model 2
Basic Complex maintained by Council, managed by a contractor.
Partnership model.
This is a Public-Private
Model 3
Complex has diversified activities, managed by Council using a business venture model.
Model 4
Complex has diversified activities, managed by Council and the Police Citizens Youth Club
(PCYC) as a partnership project.
All four models have been developed after identifying six key success factors for any proposal
for the facility and/or the indoor complex.
7.1 Key Success Factors
1. Dedicated staff to manage and promote the facility
2. Innovative design solutions that reflect the need of users (and potential users), and
minimise maintenance and operational costs
3. Consultation with the community
4. Community support for a user pays system
5. Commitment to maximising usage of the facility
6. Commitment to partnerships
Business Plan
Byron Regional Sport and Cultural Complex
Page 43 of 104
43
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The complex would be the responsibility of Council to manage, promote and run the basic
complex with the assistance of volunteers.
This model requires Council to employ a caretaker and grounds staff.
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community demand. Caretaker would be responsible for the opening and closing of the centre,
basic maintenance of the centre including cleaning bathrooms and tending minor repairs. They
could also take bookings for the facilities (this could also be done online via councils website).
Grounds would be maintained by Council grounds staff. This would include mowing, weed
maintenance, line marking, repairs and maintenance.
Volunteers would be required to run canteens and to run the indoor complex. This would
include any set-up for events and meetings.
Limitation of this model would be the reduced operating hours due to the limitations of having
one caretaker. They can not be expected to work 7 days per week. Volunteers could be called
upon to increase hours of operation.
Business Plan
Byron Regional Sport and Cultural Complex
Page 44 of 104
!789!#
Annexure 1(a)
This model requires onsite accommodation and an onsite caretaker would reduce the potential
for damage to the centre. There is an associated cost to having the caretaker residence in
terms of repairs and maintenance.
Caretakers across the region typically adopt a model of management that is minimalist,
responding to requests or issues and not creating opportunities. Pay is not outcomes driven, so
it is not beneficial to increase the usage of the facility as this increases the workload of the staff
member, with no attached rewards.
Other councils report that this model results in higher maintenance and repair bills due to the
lack of supervision or ownership of the complex. It has also the potential to generate
complaints to council about the state of the complex if it is not looked after exceptionally well.
The indoor stadium would be a simple design with multi-use courts, vending machines (no
canteen required), changes rooms and could also include meeting rooms for community groups.
These meeting rooms would generate limited return given they would be used by community
sporting groups.
It would not be realistic to include sponsorship in this model given the lack of dedicated staff to
drive this type of income for the complex.
7.3.1 Potential Source of Income:
Users fees for sporting clubs
• Annual fee for each user group of the facility eg soccer club. The fee would be a team fee
(not a per capita fee)
• Fees would be charged at the beginning of the season. The fee would include access to the
complex for training, competition games and finals.
• Payment directly to Council at the beginning of each season to allow the club (for set number
of teams) to access the complex.
• Caretaker does not regulate users, allows them access only. Clubs are responsible for
collection and regulation of payment to their players if they need to recoup these costs.
User fees for individual users
• This would require volunteers to be present to collect payment and supervise attendees. Pay
as you go. This may prove unfeasible.
User fees for venue hire
• In the case of events, the facility could be booked and paid by the organisation running the
event. Standard fees and charges would be developed for each aspect of the complex and be
available for booking from the caretaker or Councils website. Payment to Council.
• This would include sporting events such as regional competitions or sports days.
Business Plan
Byron Regional Sport and Cultural Complex
Page 45 of 104
45
Annexure 1(a)
7.3.2 Summary of Model 1
Advantages
Reduces the number
of paid staff
Onsite caretaker
provides a level of
supervision for the
complex
Provision of housing
for the caretaker could
offset cost of wages
Basic fitout
Disadvantages
46
Willingness of volunteers
Number and skill of volunteers available - how to open the complex 7 days
per week without paid supervision
Must have onsite caretaker, who would need to be paid overtime to assist in
emergency situations
Collection of money of individual users to access the facility would be left to
volunteers to pass onto Council. Limited regulation possible.
Responsibility for administration of fees and charges passed to clubs and
volunteers, extra burden
Scheduling of access for many clubs
Risks
Likelihood
Consequence
No one promoting the facility to maximise use is an
“opportunity cost” in that potential income is not converted
into actual income
Likely
Major
Extreme
Management structure does not reward increased usage,
and may indeed create a disincentive. There is an
opportunity cost involved.
Likely
Major
Extreme
A caretaker can not provide a full time level of supervision
of the facility. The risk is the level of damage and/or loss
of equipment due to lack of supervision. There is a direct
cost.
Likely
Moderate
High
The risk with the administration skills of each club and or
volunteers to collect revenue on behalf of Council. This
would be a direct cost to council.
Possible
Moderate
High
Business Plan
Byron Regional Sport and Cultural Complex
Page 46 of 104
Risk
Rating
Annexure 1(a)
7.3.3 Capital Costs
Indoor Complex is a simple and functional design, in line with the $3,700,000 budget including
internal fitout with equipment of $100,000
47
Page 9 of 11
Business Plan
Byron Regional Sport and Cultural Complex
Page 47 of 104
Annexure 1(a)
7.3.4 Summary of Operating Budget for Model 1
Details
Amount
Income
48,050
Expenses
521,310
Surplus/Deficit
-473,260
7.4 Model 2 - Basic complex Council maintained, contractor
managed
Many councils across NSW now operate their community facilities using external
contractors. The appointment follows a competitive tendering process.
Rather than hiring a caretaker, the complex management is tendered and subsequently
contracted to an organisation or individual who has the skills and business acumen to
manage the facility.
Council would set the fees and charges and the minimum hours of operation of the
complex ensuring community satisfaction on access to the complex.
The tenderer is offered a lease to run the facilities, however it is not a source of income
for Council. In fact, in the main the tender includes an annual retainer for contractors to
provide guaranteed levels of service and access to the community owned facility.
This model has been adopted by numerous councils. Yamba basketball and indoor
stadium (see Appendix 3) has just been contracted to an independent operator at an
annual retainer of $120,000/year. Council remains responsible for maintenance of the
facility. Any income is shared at a 50:50 ratio between council and the contractor. It is
anticipated that this income will cover general maintenance costs, but will not cover the
cost of the retainer.
This model does have the benefit setting fees and charges that are realistic for the
community, ie that they are not commercial rates. It also has the added bonus of
allowing Council to set performance measures.
Business Plan
Byron Regional Sport and Cultural Complex
Page 48 of 104
48
Annexure 1(a)
Promotion of the complex is the responsibility of the contractor. Financial incentive
(profit share) and performance measures guarantee the contractor will actively promote
the use of the facility.
It is important to note that in most other case, the facility can not be opened 7 days per
week, but in the main, they are opened 6 days per week.
The tenure would need to be 5 years with the option of 5 years. Of note, Yamba has
made the first contract a trial period of 1 year.
The canteen in the multipurpose stadium would form part of the contract. This is seen
as a way to increase income for the contractor, and council would not benefit financially.
Given the number of proposed canteens on the complex, the contract should only
include the main canteen in the multipurpose facility, allowing each of the sporting clubs
to run their own canteens adjacent to their fields.
The caretaker residence would be constructed and form part of the contract conditions
offsetting the cost of the retainer.
Potential Source of Income are the same as per Model 1 less 50% for the
contractor.
7.4.1 Summary of Model 2
Advantages
Other councils are currently using this management model
Public- Private partnership potentially brings business acumen to the
model
Guaranteed minimum operating hours
Disadvantages
Council bares the
expense for retainer yet
income of 50% user fees
Canteen operates at the
sole advantage of
contractor
Lower fees and charges
No way to regulate use,
and therefore income
Performance measures
Tenure secures good operator
Reduced hours of
operation
Increased use of the indoor complex
Chance to increase venue hire with a dedicated person to do this
Business Plan
Byron Regional Sport and Cultural Complex
Page 49 of 104
49
Annexure 1(a)
Risks
Likelihood
Consequence
Risk
Rating
Contractor who does not perform, or does not
manage the facility to reduce costs for Council.
This would have a direct cost to Council.
Possible
Major
Extreme
Contractor who does not reach income targets.
This would have a direct cost to Council.
Possible
Major
Extreme
There is a risk with the reporting and
administration for revenue collection. This would
be a direct cost to council.
Possible
Major
Extreme
The contractor may focus on the indoor complex
rather than the complete facility. Direct cost, but
also indirect costs with Council staff needing to
respond to community complaints.
Possible
Major
Extreme
Contract is too general and does not cover specific
operational requirements. Could result in direct
cost for council should additional staff be required.
Possible
Major
Extreme
7.4.2 Capital Costs
Indoor Complex below is a simple and functional design, in line with the $3,700,000 budget
including a $100,000 fit out for sporting equipment.
Page 9 of 11
Business Plan
Byron Regional Sport and Cultural Complex
Page 50 of 104
50
Annexure 1(a)
Capital Cost for Yamba indoor complex currently being completed is approximately
$4,000,000 (this costs includes carparking and landscaping).
51
Business Plan
Byron Regional Sport and Cultural Complex
Page 51 of 104
Annexure 1(a)
7.4.3 Summary of Operating Budget for Model 2
Details
Amount
Income
49,525
Expenses
513,040
Surplus/Deficit
-463,485
7.5 Model 3 - Council running the BRSCC as a business venture
This management model moves the operation of the facility away from a community
project to become a business venture. Fundamentally, this model is based on
maximising income in terms of scope of activities offered.
This model requires a skilled manager in charge of business development, promotion
and management of the BRSCC.
The need remains for a caretaker to open and close the facility and to complete general
maintenance and cleaning.
The onsite location of the caretaker remains a good
investment to minimise vandalism and security breaches for the complex.
A number of business opportunities would be pursued (subject to zoning and
development approval) under this model.
Of most note is the potential to bring events, festivals and conferences to the facility.
These would utilise indoor and/or outdoor facilities. However, the current proposed
location of the general sport field at the front of the facility would need to be relocated
away from the road to maximise this opportunity. This is of particular relevance to the
Byron Bay Writers Festival (who operate from Marquees), would not relocate to the site
in its current proposed location due to the road noise.
To realise additional opportunities, the indoor stadium would need to be designed in a
manner that is different to model 1 and 2. This may be very difficult to do within the
current budget allocation. Other Councils have developed a tendering process that
includes minimum requirements and then add “desired” requirements. This includes
POPE licencing standards to allow for concerts and performances and events.
Business Plan
Byron Regional Sport and Cultural Complex
Page 52 of 104
52
Annexure 1(a)
A showcase facility that has been designed to balance the needs of indoor sports and
other commercial users is the PCYC situated in the Airlie Beach Sports and
Entertainment Centre at the Whitsunday Sports Park, Jubilee Pocket.
One wing of the centre is dedicated to indoor courts with roller doors at either end for
ventilation reducing the need for air-conditioning to this part of the building (it has
excellent passive energy design). There are change rooms, canteen, foyer/reception
area in this wing.
The adjacent wing has multipurpose meeting rooms in a range of sizes, plus one large
function hall that has a stage area, an acoustic ceiling provisions, and a retractable
partition wall to enable the function hall to be divided into two areas.
Business Plan
Byron Regional Sport and Cultural Complex
Page 53 of 104
53
Annexure 1(a)
Construction costs for this complex was $2,203,109.79 (not including carparking or
landscaping) with an additional fit out cost of $130,000. Construction was completed in
2002.
Another showcase facility is the newly built PCYC in Orange in NSW. The centre opened
in July, 2009. The cost of construction was approximately $5,500,000 including fitout
costs of $200,000 for sports equipment, kitchen fit-out, and all the joinery to the
meeting rooms and offices. This costing more likely reflects the type of budget required
to service a diversified market.
This building has been designed to take advantage of passive heating and cooling to
significantly reduce the operation costs for the complex.
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Business Plan
Byron Regional Sport and Cultural Complex
Page 54 of 104
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COPYRIGHT FACILITY DESIGN GROUP PTY. LIMITED. ALL RIGHTS RESERVED.
DO NOT SCALE OFF DRAWINGS. WORK TO FIGURED DIMENSIONS ONLY.
VERIFY DIMENSIONS ON SITE PRIOR TO COMMENCING WORK.
54
Annexure 1(a)
7.5.1 Potential Sources of Income
Meeting, Incentive, Conference and Events (MICE)
With an appropriate design, the BRSCC could position itself to take advantage of the
MICE market who would be attracted to Byron Bay.
The MICE sector is recognised as having significant growth potential and has the ability
to make valuable contributions to both national and regional economies.
MICE differ from other segments in the tourism industry in that business
communication, not leisure travel, is the underlying motivation.
Whilst this sector has been growing, recent economic events have had a huge negative
impact on this market.
However, in general, the current research shows:
• the average number of delegates attending conferences and events is 50
• More than 50% of all meetings, events and conference last for more than one day.
• On average delegates spend 1.5 days at a conference location.
• The daily spend is on average $554 (far more than international and domestic
tourist).
There is an identified shortage of dedicated conference venues in Byron Bay. Currently
Byron at Byron has the largest function room being capable of seating 180 people
theatre style with a number of smaller rooms also available. This facility has successfully
entered the MICE market due to its two full time marketing staff. Packages are
approximately $71/head per day (not including accommodation).
Jonson Resort and Conference Centre is capable of seating 90 theatre style. This centre
also has smaller function rooms, dedicated catering facilities and staff and onsite
accommodation.
In addition, there are other regional conference facilities worth noting:
• Salt, Kingscliffe has numerous function rooms, and one large conference facility
capable of seating some 430 delegates
• Angourie Resort at Yamba also offers a large conference facility for some 180
delegates with supplementary functions rooms smaller in size.
All of the above conference facilities also offer accommodation, restaurant quality dining
all on the one premises. See Appendix 4 for further details.
Business Plan
Byron Regional Sport and Cultural Complex
Page 55 of 104
55
Annexure 1(a)
The MICE market is an option for an expanded facility but it is a highly competitive
market that requires a high level of servicing.
See Appendix 5 for background
information about the challenges and opportunities for this market segment.
Given the BRSCC manager will need to enter many new markets, effort should reflect
potential return. Consequently, the MICE market forms an ancillary not a major source
of income.
Film Studio
2008 production levels in the region data generated income to the region with a
conservative value of $6 million. This generated the employment of some 237 locals,
plus the employment of an additional 183 local cast including ‘extras’.
Screenworks receives approximately 150 enquiries from both local and external
producers each year.
Screenworks runs an annual signature event called Life's A Pitch, where the
organisation brings the screen market to the region and a shortlist of 6 producers pitch
their projects to the 4 judges from screen funding agencies and TV networks. Last
years winner was picked up on the night by ABC TV and is in pre production with a TV
documentary. The previous years winner went on with the travel prize money to
another international market and won. This winner was picked up by SBS TV - his
program A Camel Odyssey went to air in May 09. The 2005 winner is in post
production in the region on a $10.6 million dollar international children’s animation
series called Dirt Girl World.
There is currently no indoor studio that meets the requirements of the film industry in
the northern rivers.
The basic requirements for a studio include sole and uninterrupted access for a 9-10
week shoot and pre-production period. The lead time is quite short with a maximum of
2-3 months notice before booking a studio.
The studio would also double as a wet weather option for the industry who may be
shooting on location in the region. Bookings for these situations would be at very short
notice, and would be for a shorter period of time.
Minimum requirements for a film studio are:
• level access (no steps)
• capacity to drive truck inside for deliveries (one end roller door, concrete floor)
• sound proofing/insulation
• minimum height of 6m
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• 3 phase power
• office space(s) with high speed internet connection
• ability to control external light (either no windows, or black out window dressing)
57
Sporting groups
Whilst this model is based on business principles, the users fees would need to remain
affordable for the sporting associations. Currently in Byron Shire, there are no fees for
accessing sporting facilities. Regionally, three out of the seven councils do not charge
the community to use sporting facilities.
In the remaining instances, the fees in Lismore Council are the most expensive and
could be considered commercial rates.
See Appendix 6 for a comparison between user fees across the regional.
Markets
In model 2, markets are identified as a source of income, but are charged at a nominal
fee to encourage the start up of additional weekly markets.
This model includes the addition of a large monthly market to supplement the Bangalow
and Byron Market.
Parking
The complex will have the ability to offer some 360 sealed car spaces, plus additional
parking for 10 buses.
Paid car parking for one off events is an appropriate option.
Paid carparking for general access to the BRSCC is not considered appropriate as this
would have the potential to reduce use of the facility.
There is an opportunity to establish a paid car parking area for caravans for up to 150
caravans for part or full day use.
This need has been identified by the Visitor
Information Centre staff as there is no parking in town for visitors towing caravans to
stop. However, security and regulation of the the site is also a challenge.
Major events run in other locations (eg Blues Fest, New Year’s Eve Party) could also
potentially hire carparking from the BRSCC.
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Annexure 1(a)
However, it is considered that after the BRSCC has been operational for a period of not
less than one year, a business planning exercise which looks into a wide range of
carparking options for council including park and ride should be undertaken.
58
Canteen and vending machines
The indoor stadium offers this as a potential revenue stream for the BRSCC, however,
the challenge on how to staff the service without additional staff is a critical issue.
Realistically, income from this aspect could come from major events when casual staff
can be hired. In the main, vending machines could still service users. The canteen
could also be contracted to another operator as a risk free source of revenue.
Sponsorship and Advertising
Advertising space could be sold for all structures for the complex (in the form of
signage).
It could be possible to establish a friends of the complex membership base. All fees
raised here would need to go back into the future development and upgrade of the
facility to encourage people to join. This would require substantial effort by the centre
manager, and would have to offer benefits to members.
This aspect, whilst an
opportunity, is not costed into the operating budget given the time required to establish
and service members by the centre manager. It should remain an option for further
review if model 3 is adopted by Council.
Event based sponsorship is the most likely form of sponsorship eg naming rights for
events, however these fees would be income for the event organisers, not the venue.
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Annexure 1(a)
7.5.2 Summary of Model 3
Advantages
Disadvantages
Diversified activities
opens the centre to
broader market
segmentation
MICE Market is very hard market to gain entry, takes a lot of
time and requires a large marketing budget
Dedicated marketing and
promotional staff
Greater use of the facility
Truly multi-purpose
facility
With increased usage, increased need for supervision. Marketing
staff could not provide this supervision. May still need volunteers
to support the operation of the centre (or additional staff).
Potential conflict between users who have the greatest capacity
to pay, versus community use
Direct conflict between MICE market who need to book a venue
with long lead time, versus Film industry who have very short
lead times.
Risks
Likelihood
Consequence
Sponsorship/advertising may be limited due to
the perception that the facility is council owned
and run. This is a direct cost to Council.
Possible
Moderate
High
Business risk associated with entering new
market. This would have a direct cost to Council.
Possible
Major
Extreme
Community backlash with commercial users
fees. This would have a direct cost to Council.
Possible
Major
Extreme
DA approval required for proposed activities.
Some activities may not be permissible, and this
would have a direct cost to Council.
Unlikely
Major
High
Increase to the capital budget for a more
flexible design. This would have a direct cost for
Council.
Possible
Major
Extreme
Gaining market share of a wide scope of
activities is potentially a poor business decision.
This would be a direct cost to Council.
Likely
Major
Extreme
Capacity of a government organisation to run a
commercial venture. This would have a direct
cost to Council.
Likely
Major
Extreme
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Risk
Rating
59
Annexure 1(a)
Risks
Likelihood
Consequence
Film Industry operates on very short
timeframes, this may reduce market share due
to clash of existing programing. Opportunity
cost for Council if bookings can not be taken.
Possible
Major
Potential breach of competitive neutrality in
entering some proposed markets. This would
have a direct cost for council.
Possible
Major
Extreme
Location of the festival area next to the road
may reduce the appeal as a suitable venue. This
would have a direct cost for Council.
Likely
Moderate
High
Capital costs of construction of the indoor
stadium could exceed the $3,700,000 budget.
This would have a direct cost to Council,
requiring an increased loan (and subsequent
repayments)
Likely
Major
Extreme
7.5.3
Risk
Rating
Extreme
60
Summary of Operating Budget for Model 3
Details
Amount
Income
267,250
Expenses
632,410
Surplus/Deficit
-365,160
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Annexure 1(a)
7.6 Model 4 - Expanded Complex in Partnership with PCYC
Option 4 is a government partnership management model between Council and the
Police Citizens Youth Club (PCYC). The PCYC is an established not for profit organisation
with proven capacity to operate community owned assets to the benefit of the
community.
Currently there are 59 clubs in NSW, all of which are reaching an income level of a
minimum of 92% of the operating costs (fund raising initiatives then address the
shortfall). The way this percentage is achieved goes to the heart of the PCYC model.
Police Officers (1-2) are ‘allocated’ to the centre, as is a Centre Manager. The wages of
the police officers are borne by the NSW Police Force.
PCYC at a glance
INCOME – SOURCES OF REVENUE 2007
Contributions from
Police Officer Services 24%
Fundraising
and Donations 29%
Other Income 6%
Fees and Sale
of Goods 25%
Government Grants 16%
EXPENDITURE 2007
Cost of Police Officer
Services 21%
Fundraising Expenses 11%
Activity and
Trading 9%
Other Expenses 1%
Vehicles and Repairs
and Maintenance 9%
Clubs Staff, Office,
Administration 27%
State Office Staff, Office,
Administration 12%
Depreciation 10%
Source:
PCYC
MEMBERSHIP GROWTH
2003-2007
Annual
Report
2007
WEBSITE
GROWTH
2001-2007
ALL PCYC MEMBERS
VISITORS TO ALL PCYC WEBSITES
70,000
140,000
61,600
60,000
50,000
49,000
53,000
30,000
133,138
120,000
100,000
40,000
Business Plan
85,524
80,000
33,000
154,760
36,000
45
60,000
52,837
Byron Regional Sport and Cultural
20,000 Complex
40,000
10,000
20,000
17,301
Page 61 of0 104
0
2003
2004 2005
2006
2007
1,741
4,194
2001
2002
2003
2004
2005
2006
2007
61
Annexure 1(a)
A long term contract is negotiated with the PCYC for the operation of the facility. In
effect, this model is a tripartite relationship between the Council, PCYC and the NSW
Police Force.
The indoor stadium will be open 7 days per week for long hours (normally this is
7am-10pm) as the number of paid staff easily allows for this to occur.
There is no need for a caretaker as the PCYC would manage the facility including
general maintenance and cleaning etc. This in turns means there is no need for a
caretaker residence and these costs (approximately $250,000) would be allocated to the
capital budget for the building, raising the budget from $3,700,000 to almost
$4,000,000.
Alternatively, this budget allocation could be used to install security
cameras offering 24 hour surveillance should these be seen as necessary.
Whilst the general maintenance is the role of the PCYC the long term maintenance role
remains Councils responsibility. The sporting grounds at this stage, fall outside the
responsibility of the PCYC, however, they have expressed an interest in the potential to
manage the entire BRSCC. Time did not permit a full investigation into this potential,
however should Model 4 become the preferred management model for Council, this
option should be further explored and has the potential to further reduce operational
expenses for Council.
There is the perception that a PCYC is a ‘youth organisation’ and this would need to
addressed with proactive marketing by the organisation to the community of Byron Bay.
Council - PCYC partnerships are a proven model with both the Orange Council and the
Whitsunday Regional Council facility mentioned in Model 3, being managed in this way.
Other examples across NSW where the asset is owned by Council and managed by PCYC
include Burke, Young and Marrickville.
Whilst a legal lease/contract/licence to occupy is in place, the PCYC pays only a
peppercorn rent (approximately $1000/year). See Appendix 7 for the current LTO
between Whitsunday Regional Council and the PCYC.
None of the Councils mentioned above have gone through a formal tendering process to
“engage” PCYC, nor it appears, have the arrangements been considered a formal PublicPrivate Partnership. Further investigations would need to be conducted by Byron Shire
Council as to the manner in which these Councils have been able to achieve this.
An additional benefit of this partnership is the creation of an arms length management
model from Byron Shire Council. It is anticipated that this has the potential to increase
community connection and commitment to participating and contributing financially to
the facility.
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If necessary, the contract with the PCYC could include running (or allowing) festivals and
events on site. Whilst this is not a core operation of the PCYC, if it is identified as a
requirement, then it can be accommodated.
There is no need for the PCYC to address the conference market (in terms of a need to
generate income) however the Orange PCYC complex has been designed and
constructed to be compliant with POPE licencing requirements. There is a longer term
goal for the Orange PCYC to enter the event and conference market. This could also be
considered appropriate for the BRSCC, dependent on the cost of construction.
The final design of the building would be done in partnership with Council the PCYC, and
following extensive community consultation. The PCYC organisation has an excellent
history with innovative design for multi-use facilities that reflect the needs of the
community.
It is recommended that negotiations with PCYC commence immediately to work through
the operational details of this model. At this stage, the BRSCC has support in principle
from the General Manager, Club Development of PCYCs potential role in this model.
“I have discussed this project with our CEO Mr Chris Gardiner and he
agrees with my comments to you on the phone earlier that PCYC would
very much like to be a part of this project, we are able to offer
substantial input into the design of the facility based on our past and
recent experiences in building and refurbishing sporting facilities.
We are also very keen to manage such a facility including all sporting
fields, currently we operate some 59 clubs throughout NSW a number of
those being Council/PCYC partnership arrangements.”
John Mills
General Manage, Club Development
Police and Community Youth Clubs NSW Ltd
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SUTHERLAND
CAMPBELLTOWN
TWEED HEADS
LISMORE
Regional
MOREE
64
BOURKE
ARMIDALE
GUNNEDAH
TAMWORTH
COFFS HARBOUR
KEMPSEY
PORT MACQUARIE
TAREE
DUBBO
MUSWELLBROOK
WELLINGTON
SINGLETON MAITLAND
MUDGEE CESSNOCK
PORT STEPHENS
NEWCASTLE
PARKES
LAKE MACQUARIE
ORANGE
LITHGOW
BATEAU BAY
BATHURST
UMINA BEACH
COWRA
SYDNEY
BROKEN HILL
GRIFFITH
YOUNG
GOULBURN
WAGGA WAGGA
BULLI
WOLLONGONG
LAKE ILLAWARRA
SHOALHAVEN
ALBURY
PCYC in Regional NSW
Discussion with the PCYC indicate that they would need to discuss with the NSW Police Force
(Youth Command) options to man the facility with Police. The CEO believes they would be
successful in gaining the allocation of addition police officers for Byron Bay.
The management model would comprise a Centre Manager supported by an Advisory
Committee made up of interested community members and council representatives
(employees) .
The centre would be staffed by qualified personnel, ie. Relevant sports
qualifications for the area of operation – Gymnastics, Boxing, Futsal, Martial Arts etc. The
manager would report to a Lead Zone Manager who reports to the General Manager Club
Operations then to the CEO.
In addition to the activities already identified in models 1, 2 and 3, the PCYC would also
consider it appropriate to offer including futsal, badminton, boxing, martial arts, music,
gymnastics, weights gym, Kindi gym and yoga .These additional activities would be assessed on
what is already available in Byron and its environs and what is seen by the community, council
and PCYC as being sustainable.
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Annexure 1(a)
Summary of Governance Model for the PCYC
COUNCIL OWNED ASSET
MANAGED BY
Centre Manager
Advisory Committee
Council & Community Members
Lead Zone Manager,
Northern zone
General Manager,
Club Operations
CEO
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7.6.1 Summary of Model 4
Advantages
Disadvantages
Proven governance model
Perception the PCYC is a
youth only organisation
Brings additional resources from other government sources
This management model is
dependent on resourcing/
staffing from a third party
Maximises usage
Low cost, low risk for Council
Connects with an existing network (50+ other clubs across the state)
Capacity to offer a diverse range of service to address community
need
Community Advisory Committee ensures ongoing community input
PCYC will work with other community organisation to establish
partnerships and joint projects
Risks
PCYC may not be able to gain allocation of the necessary
police officer(s) to run the centre.
Likelihood
Consequence
Unlikely
Catastrophic
Risk
Rating
Extreme
7.6.2 Summary of Operating Budget for Model 4
Amount
Income
34,450
Costs
346,010
Surplus/Deficit
311,560
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8.
Recommended Model
Model 1 sees the basic complex managed by Council and volunteers. It requires considerable
commitment from the community to operate the facility. The indoor complex would be a simple
and functional design offering primarily indoor sporting activities. This model would see the
facility run at a recurrent cost to Council of $473,260/year. This model is not considered the
best model for Byron Shire Council given the risks in terms of low usage and high recurrent
costs.
Model 2 sees the development of a basic complex maintained by Council, but managed by a
contractor. This is a Public-Private Partnership model. The major benefit of this model is the
reduced reliance on community volunteers to operate the facility. The indoor facility would be a
simple and functional design offering primarily indoor sporting activities. This model would
guarantee a minimum service standard for the facility with predetermined operating hours. This
model would see the facility run at a recurrent cost to Council of $463,485/year. This model is
not considered the best model for Byron Shire Council given the high recurrent costs.
Model 3 sees the BRSCC offering diversified activities, managed by Council using a business
venture model. This is a model that moves the operation of the facility from a community
project to maximising income in terms of the scope of commercial activities offered. A number
of business opportunities would be pursued including meetings, conferences and events, film
production, sporting events, weekly and monthly markets, food outlets, sponsorships and
advertising, and paid carparking. The design of the indoor facility will need to be innovative
and allow for multipurpose use. This may come at a higher capital cost of construction. The
recurrent costs to Council will be $324,098/year if the capital costs can be contained within the
current budget. This is not considered the recommended model for Council given the risk in
terms of realising business potential in such a diverse set of industries, and also the
commitment Council would need to make in terms of staffing. In addition, this model could see
capital costs exceed the budget allocation.
Model 4 allows the BRSCC to offer diversified activities, under the management of Council and
the Police Citizens Youth Club (PCYC) as a partnership project. The PCYC is an established not
for profit organisation with some 59 clubs across NSW. Each PCYC operates under the provision
of 1-2 police officers and a centre manager, the wages of whom are borne by the NSW Police
Force. The governance includes the establishment of a community based advisory committee.
Whilst there may be the perception that the PCYC is a youth based organisation, their mission is
to maximise the use of the community facility by the whole community. They would offer a
range of sports and activities and would work with the community to develop, promote and run
events. The final design of the building would be done in partnership with Council, the PCYC
and the community. The PCYC organisation has a proven history with innovative design for
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Annexure 1(a)
multi-use facilities that reflect community need. The recurrent costs for Council for this model
would be $311,560/year.
Model 4 is the recommended model for the operation of the BRSCC as it addresses each of the
six identified key success factors, can be built to a budget allocation without impact on the
potential revenue streams and has the lowest annual recurrent costs for Council. It is also
considered the model with the lowest financial and operational risks for Council.
An analysis for a model that did not include the construction of the indoor facility was not
considered appropriate for a number of reasons:
1.
The project brief required that it be included
2.
The Federal funding application included the indoor complex. Not proceeding with
this aspect of the project could put at risk the grant, or at least a component of the
grant.
3.
The major costs for the operation of the BRSCC are in the maintenance of the fields
at $172,510/year.
4.
An appropriate management model can reduce the operational recurrent costs of the
indoor facility.
5.
The social and economic benefits from the range of activities that could be offered at
the indoor facility are significant; are well aligned with the competitive strengths of
the area in terms of festivals/events/creative industries; and offers good potential for
revenue raising and cost offsetting.
8.1 Assessment against key success factors
Six key success factors have been identified through the development of the business plan
based on the successes and challenges of other regional facilities. Table 8.1 is an assessment
of each model based on three ratings (poor - doesn’t address the KSF, average - goes part way
to addressing the KSF, Excellent - addresses the KSF in full). Model 4 is the only model that will
address all six key success factors.
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Table 8.1 - Summary of Key Success Factors
Key Success Factor
Model 1
Model 2
Model 3
Model 4
Poor
Average
Excellent
Excellent
Innovative design
solutions that reflect
need of users (and
potential users), and
minimises maintenance
and operational costs
Average
Average
Excellent
Excellent
Consultation with the
community in the design
of the indoor building
Poor
Poor
Average
Excellent
Community support for
a user pays system
Average
Average
Average
Excellent
Commitment to
maximising usage of the
facility
Poor
Poor
Excellent
Excellent
Excellent
Average
Poor
Excellent
Dedicated staff to
manage and promote
the facility
Commitment to
partnerships
8.2 Assessment against capital outlay required
The budget for construction is $3,700,000 and this is a key assumption of the business plan.
Model 1 and 2 utilises a simple design which has been costed by GeoLINK at $3,700,000.
Model 3 will need a significantly different design to enable a diversified scope of activities. A
building considered an example of an appropriate design is Orange PCYC as it has been built to
comply with POPE licencing standards. The capital cost of construction for this facility was in
excess of $5,000,000. This does not necessarily mean the cost of construction of the BRSCC
would be this value, simply it signals the potential for a multipurpose facility to be costly.
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Model 4 whilst not totally defined in terms of scope of activities to be offered, can be built
within the budget allocation of $3,700,000 because the PCYC will simply modify the activities to
reflect the design/budget options. That being said, the PCYC would need to be closely
consulted during the design phase and can recommend architects who they have worked with
over a number of years.
Table 2 below summarises the capital required to construct the indoor complex.
Table 8.2 - Summary of Capital Costs
Capital Required
for construction
of the indoor
complex
On budget at
$3,7000,000
Model 1
Model 2
Yes
Yes
Model 3
Model 4
No
Yes
Similar complexes
costed at more than
$5,000,000
Design will reflect budget,
and scope of activities.
8.3 Assessment Against Annual Operating Budget
Comprehensive Annual Operating Budgets for each of the four models can be found in Section 9
of the Business Plan. All 4 models will incur significant recurrent costs for Council. This is
typical for community sporting facilities right across NSW with few returning income of more
than 10% of the costs of operation.
Table 8.3 below is a summary of this financial information.
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Table 8.3 - Summary of Operating Budgets
Item
Model 1
Model 2
Model 3
Model 4
Receipts
User Fees for sport clubs*
71
16,250
8,125
16,250
16,250
User fees for individual users*
1,200
5,800
11,600
1,200
Venue Hire*
7,200
17,400
141,400
4,800
Vending Machine
5,200
0
0
0
18,200
18,200
18,200
0
0
0
79,800
12,200
48,050
49,525
267,250
34,450
Building Repairs and
maintenance
80,000
60,000
60,000
30,000
Staff Costs
83,300
120,000
194,400
0
Administration Costs
10,000
0
20,000
0
5,000
5,000
20,000
0
Electricity
18,000
18,000
18,000
16,000
Equipment replacement
25,000
10,000
20,000
0
Ground repair and
maintenance
172,510
172,510
172,510
172,510
Loan repayments
127,500
127,500
127,500
127,500
TOTAL OPERATIONAL
COSTS
521,310
513,010
632,410
346,010
TOTAL INCOME
48,050
49,525
267,250
34,450
Surplus (deficit)
-473,260
-463,485
-365,160
-311,560
Residential
Other
TOTAL INCOME
Operational Costs
Marketing costs
* Indicative costs based on other regional facilities, please see assumptions for a more detailed explanation.
Business Plan
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Annexure 1(a)
8.4 Recommendation
Model 4 is the recommended model for the operation of the BRSCC because:
• It is the only model that addresses each of the identified six key success factors
• The design for the complex can be built to suit a set budget. Innovative design would
minimise the need to reduce the scope of activities on offer.
• It has the lowest annual costs to operate, with the smallest deficit of all the models.
It is therefore considered the lowest financial risk model for Council. It is also considered the
model with the highest chance for success in terms of usage.
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9.
Financial Plan
9.1 Model 1
9.1.1 Model 1 Annual Operating Budget
Item
73
Amount
Receipts
User Fees for sport clubs
16,250
User fees for individual users
1,200
Venue Hire
7,200
Vending Machine
5,200
Residence Rental
18,200
TOTAL INCOME
48,050
Operational Costs
Building Repairs and maintenance
80,000
Staff Costs
83,300
Administration Costs
10,000
Marketing costs
5,000
Electricity
18,000
Equipment replacement
25,000
Ground repair and maintenance
172,510
Loan repayments
127,500
TOTAL OPERATIONAL COSTS
521,310
TOTAL INCOME
48,050
Surplus (deficit)
-473,260
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9.1.2 Model 1 Assumptions for Receipts
User Fees for
Sporting Teams
User Fees for
Individual Users
Soccer
Frisbee
10 x junior teams
6 x senior teams
4 x teams of over
30ʼs ladies
Carnival x 300
players
Total of 20 teams x
$250/team =
$5,000/yr
Venue Hire
Soccer Regional
Competition x 20 teams
Day rental rate of
$600
Other
Income
Rugby Sevens x 50 teams
Residential
tenancy from
caretaker
premises
Hockey regional carnival x
20 teams
$350/week x
52 weeks
Touch football carnival x 30
teams
$18,200
Regional little athletics
carnival x 1400 competitors
School competitions x 2000
x 3/year
Basketball x 20 teams (2
days)
Netball x 20 teams (2 days)
Day hire rate of $600/day
12 days hire x $600 =
$7,200
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User Fees for
Sporting Teams
User Fees for
Individual Users
Rugby union
Little Athletics
3 x teams x $250/
team/year = $750
300 competitors
Venue Hire
Other
Income
Vending
Machines
Estimate of a
profit of $100
per week
Day rental rate of
$600
$5,200
Hockey
12 x teams x $250
= $3,000
Cricket
12 x teams x $250
= $3000
Indoor sports
(various)
10 x teams x $250
= $2500
AFL
8 x teams x $250
=$2,000
TOTAL
TOTAL
TOTAL
TOTAL
$16,250
$1,200
$7,200
$23,400
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9.1.3 Model 1 Assumptions for Expenses
Item
Building repair and
maintenance
Comments
Budget for graffiti removal
breakages, damage, repair
to fencing.
Amount
$80,000/year
Estimate based on actual
costs provided by other
regional sport facilities with
limited supervision.
Ground repair and
maintenance
$13,000/H/year quoted by
Dept of Sport and Rec as
industry standard for like
demographic LGA
$172,510/year
Land size of 13.27 H
Equipment replacement
25% of fitout costs of
$100,000
$25,000/year
Staff costs
Caretaker
$83,3000/year
$60,000/year + 28% oncosts = $83,300/year
Electricity
Flood Lighting and general
use
$18,000/year
Administration Costs
Estimate for phone,
stationery costs.
$10,000
Marketing Costs
Budget allocation for
promotion
$5,000
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9.2 Model 2
9.2.1 Operating Budget Model 2
Item
77
Amount
Receipts
User Fees for sport clubs
8,125
User fees for individual users
5,800
Venue Hire
17,400
Residence Rental
18,200
TOTAL INCOME
49,525
Operational Costs
Insurance
Building Repairs and maintenance
Staff Costs
60,000
120,000
Marketing costs
5,000
Electricity
18,000
Equipment replacement
10,000
Ground repair and maintenance
172,510
Loan repayments
127,500
TOTAL OPERATIONAL COSTS
513,010
TOTAL INCOME
49,525
Surplus (deficit)
-463,485
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9.2.2 Model 2 Assumptions for Receipts
User Fees for
Sporting Teams
User Fees for
Individual Users
Soccer
Frisbee
10 x junior teams
6 x senior teams
4 x teams of Over 30ʼs
ladies
Carnival x 300
players
Total of 20 teams x
$250/team = $5,000/yr
Day rental rate of
$600
Venue Hire
Other
income
Rental
Soccer Regional
Competition x 20
teams
Rental of
caretakers
home
Rugby Sevens x 50
teams
$350/week x
52 weeks
Hockey regional
carnival x 20 teams
$18,200
Touch football
carnival x 30 teams
Regional little
athletics carnival x
1400 competitors
School competitions
x 2000 x 3/year
Basketball x 20
teams (2 days)
Netball x 20 teams
92 days)
Day hire rate of
$600/day
12 days hire x $600
= $7,200
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User Fees for
Sporting Teams
User Fees for
Individual Users
Venue Hire
Other
income
Rental
Rugby union
Little Athletics
Meetings
Canteen
3 x teams x $250/team/
year = $750
300 competitors
2 meeting/week @
$25/meeting
Nil for
Council
Day rental rate of
$600
Hockey
12 x teams x $250 =
$3,000
General use of the
indoor stadium
$2,600/year
Small events
50/week x $4/entry
4 events/year x 750
people @ $4/head
$10,400
$12,000/year
Cricket
Markets
12 x teams x $250 =
$3000
1 market per week
@ $250
$13,000
Indoor sports (various)
10 x teams x $250 =
$2500
AFL
8 x teams x $250
$2,000
TOTAL REVENUE
$16,250
50% = $8,125
TOTAL REVENUE
$11,600
50% = $5,800
TOTAL REVENUE = TOTAL
$34,800
$18,200
50% = $17,400
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9.2.3 Model 2 Assumptions for Expenses
Item
Building repair and
maintenance
comments
Budget for graffiti removal
breakages, damage, repair
to fencing.
Value
$60,000/year
Estimate based on actual
costs provided by other
regional sport facilities
Supervision of the complex
will reduce damage.
Ground repair and
maintenance
$13,000/H/year quoted by
Dept of Sport and Rec as
industry standard for like
demographic LGA
$172,510/year
Land size of 13.27 H
Equipment replacement
10% of fitout costs of
$100,000 due to the much
higher level of supervision
10,000/year
Staff costs
Contract retainer
$120,000/year
Electricity
Sport lights
$18,000/year
Marketing
Budget for promotion of
the facility
$5,000
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9.3 Model 3
9.3.1 Model 3 Operating Budget
Item
81
Amount
Receipts
User Fees for sport clubs
16,250
User fees for individual users
11,600
Venue Hire
141,400
Other
98,000
TOTAL INCOME
267,250
Operational Costs
Building Repairs and maintenance
Staff Costs
60,000
194,400
Administration Costs
20,000
Marketing costs
20,000
Electricity
18,000
Equipment replacement
20,000
Ground repair and maintenance
172,510
Loan repayments
127,500
TOTAL OPERATIONAL COSTS
632,410
TOTAL INCOME
267,250
Surplus (deficit)
365,160
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9.3.2 Model 3 Assumptions for Receipts
User Fees for
Sporting
Teams
User Fees
for
Individual
Users
Soccer
Frisbee
10 x junior
teams
6 x senior
teams
4 x teams of
Over 30ʼs
ladies
Carnival x
300 players
Day rental
rate of $600
Total of 20
teams x $250/
team =
$5,000/yr
Venue Hire
Other income
Rental
Soccer Regional
Competition x 20 teams
Rental of caretakers
home
Rugby Sevens x 50 teams
$350/week x 52
weeks
Hockey regional carnival x
20 teams
Touch football carnival x 30
teams
Regional little athletics
carnival x 1400 competitors
School competitions x 2000
x 3/year
Basketball x 20 teams (2
days)
Netball x 20 teams 92 days)
Day hire rate of $600/day
12 days hire x $600 =
$7,200
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$18,200
82
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User Fees for
Sporting
Teams
User Fees
for
Individual
Users
Venue Hire
Other income
Rental
Rugby union
Little Athletics
Meetings
Canteen
3 x teams x
$250/team/
year = $750
300
competitors
4 meeting/week @ $25/
meeting
Profit of $300/week
$15,600
Day rental
rate of $600
$5,200/year
General use
of the indoor
stadium
Small events
Parking
4 events/year x 750 people
@ $4/head
360 spaces x $5/car
x 4 events
$12,000/year
$7,200
Cricket
Markets
Advertising
12 x teams x
$250 = $3000
1 market per week @ $250
= $13,000
$200/sign x 25 signs
Hockey
12 x teams x
$250 = $3,000
50/week x
$4/entry
$10,400
$5,000
1 large market per month @
$2000 = $24,000
$37,000
Indoor sports
(various)
10 x teams x
$250 = $2500
MICE
Sponsorship Target
$50/person/day average 2
days x 400 people x 2 MICE
per year
$10,000
$80,000
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User Fees for
Sporting
Teams
User Fees
for
Individual
Users
Venue Hire
AFL
Other income
Rental
Sound studio
10 weeks x $600/day
8 x teams x
$250
= $2,000
= $42,000
TOTAL
TOTAL
TOTAL
TOTAL
$16,250
$11,600
$141,400
$98,000
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9.3.3 Model 3 Assumptions for Expenses
Item
Building repair
and
maintenance
comments
Budget for graffiti removal breakages, damage,
repair to fencing.
Value
$60,000/year
Estimate based on actual costs provided by
other regional sport facilities
Supervision of the complex will reduce damage.
Ground repair
and
maintenance
$13,000/H/year quoted by Dept of Sport and
Rec as industry standard for like demographic
LGA
$172,510/year
Land size of 13.27 H
Equipment
replacement
10% of fitout costs of $200,000
$20,000/year
Staff costs
Centre Manager
$80,000 + 28% on costs = $111,100
$194,400
Caretaker
$60,000/year + 28% on-costs = $83,300/year
Electricity
Sport lights
$18,000
Estimate based on other regional sport centre
Marketing
$20,000
Budget for promotion and advertising
$20,000
Administration
Costs
Full time staff at the centre, the expenses have
been increased. This is a cost estimate for
phone, stationery etc.
$20,000
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9.4 Model 4
9.4.1 Model 4 Operating Budget
Item
Amount
Receipts
User Fees for sport clubs
16,250
User fees for individual users
1,200
Venue Hire
4,800
Other
12,200
TOTAL INCOME
34,450
Operational Costs
Building Repairs and maintenance
30,000
Electricity
16,000
Ground repair and maintenance
172,510
Loan repayments
127,500
TOTAL OPERATIONAL COSTS
346,010
TOTAL INCOME
34,450
Surplus (deficit)
-311,560
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9.4.2 Model 4 Assumptions for Receipts
User Fees for
Sporting Teams
User Fees for
Individual Users
Soccer
Frisbee
10 x junior teams
6 x senior teams
4 x teams of
Over 30ʼs ladies
Carnival x 300
players
Total of 20 teams
x $250/team =
$5,000/yr
Venue Hire
Soccer Regional
Competition x 20
teams
Rugby Sevens x 50
teams
Day rental rate of
$600
Hockey regional
carnival x 20 teams
Touch football
carnival x 30 teams
Regional little
athletics carnival x
1400 competitors
School competitions
x 2000 x 3/year
Day hire rate of
$600/day
8 days hire x $600 =
$4,800
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Other income
Rental
Parking
360 spaces x $5/
car x 4 events
$7,200
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User Fees for
Sporting Teams
User Fees for
Individual Users
Venue Hire
Other income
Rental
Rugby union
Little Athletics
Advertising
3 x teams x
$250/team/year
= $750
300 competitors
$200/sign x 25
signs
Day rental rate of
$600
$5,000
Hockey
12 x teams x
$250 = $3,000
Cricket
12 x teams x
$250 = $3000
Indoor sports
(various)
10 x teams x
$250 = $2500
AFL
8 x teams x $250
= $2,000
TOTAL
TOTAL
TOTAL
TOTAL
$16,250
$1,200
$4,800
$12,200
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9.4.3 Model 4 Assumptions for Expenses
Item
Building repair and
maintenance
comments
Maintenance responsibility
of PCYC
Value
$30,000/year
Outdoor facility
maintenance
Ground repair and
maintenance
$13,000/H/year quoted by
Dept of Sport and Rec as
industry standard for like
demographic LGA
$172,510/year
Land size of 13.27 H
Electricity
Sport lights
Estimate based on other
regional sport centre less
costs for indoor electricity
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$16,000
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10. APPENDICES
Appendix 1
Island Quarry Inc
Appendix 2
Economic Impact Report
Appendix 3
Yamba Sporting Complex
Appendix 4
Conference Facilities
Appendix 5
Articles about MICE market
Appendix 6
Regional Cost Comparison
Appendix 7
PCYC Licence to Occupy- Whitsunday Regional Council
Appendix 8
PCYC MOU - Orange Shire Council
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Appendix 1 - Island Quarry Inc
History
Island Quarry had been used as a source of road base materials for over fifty (50) years but
closed in 1980 for both economic and environmental reasons.
In 1981 the quarry site was used to store heavy mineral sands, which were removed from
several sites in the locality. This sand was subsequently removed for permanent disposal at
another location.
In 1991 the Department of Land and Water Conservation completed a land assessment for the
reserve, which identified the preferred land use to be Public Recreation and Tourism.
Introduction
Over the past fifteen (15) years the Byron Bay locality has become one of New South Wales
most popular tourist destinations for both domestic and overseas visitors and a home to a
diverse community including an alternative culture of young people and families seeking a
better environment and lifestyle.
The concept of creating a state of the art community facility in Byron Bay which utilises the
prime roadside location, panoramic views of the Pacific Ocean, Byron Bay, Mt Warning and
hinterland, the large water-body and terraced landform of the old Quarry arose from a small
group of volunteer residents committed to regeneration and redevelopment of this degraded
area.
The ambitious project intends to develop the site as an interpretive centre demonstrating
permaculture techniques, environmentally sustainable power & waste management systems in
conjunction with the provision of education, recreation and entertainment facilities, studio and
office space, workers accommodation, workshops, recycling operations and the establishment of
endemic and botanic gardens.
Several events have been held on the site to demonstrate the viability and multi-functional
potential of the area and to raise funds, awareness and support of residents for the project.
Support for the project has been building over the past three (3) years and on New Years Eve
'97 a fundraising event held off-site attracted two thousand (2,000) people.
It is planned to hold further forums for potential investors, long term tenants and patrons to
discuss management proposals, site layout, financial considerations and community consultation
in regards the future of the site and adjoining wetland habitat areas.
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Status
Island Quarry Reserve at Byron Bay is Reserve 140104 for tourist facilities and services and was
notified in the NSW Government Gazette of 18 April 1997 comprising 2.3 hectares.
The reserve is managed by the Byron (R140104) Island Quarry Reserve Trust, a statutory
corporation established and appointed as trustee on 18 April 1997. The affairs of the Reserve
Trust are controlled by Island Quarry Association Incorporated (IQ Inc) a corporation
constituted and established under the provisions of the Associations Incorporation Act '84.
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Appendix 2 - Economic Impact Report
93
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Appendix 3 - Yamba Sport and Recreation Centre
94
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Appendix 4 - Conference Facilities
The Byron at Byron Conference Centre
Get creative and inspired at The Byron at Byron Resort and Spa for your next conference or
meeting. Stroll along the boardwalks in the stunning natural rainforest. Reconnect with nature
as you enjoy the sunrise over Tallow Beach. Restore your energy sampling the freshest in local
cuisine. Set within a forty five acre lush rainforest, moments from Tallow Beach and the Byron
Bay Golf Club, The Byron at Byron Resort and Spa provides the perfect venue for meetings,
conferences, product launches and corporate incentives.
The Conference Centre is 216 square metres that can be separated into three individual rooms
of 12m x 9m and two rooms of 6m x 9m. Ceiling height is 3 metres at the lowest point and 3.7
metres at the highest point. The largest door in to the conference room is 2.9 metres wide.
Break-out areas can be utilised on the verandahs, by the ponds, or in other quiet spots
throughout the resort. In the event that The Byron at Byron is totally booked by one company,
use of all veranda areas, restaurant and other areas will be available for overall company use.
Conference packages are available, which include room hire, morning and afternoon tea,
working lunch and specific audio visual equipment, namely, whiteboard, flip chart, lectern, pens,
pads and iced water. Current full day delegates package is $72 per person.
Conference Floor Plans & Capacities
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JONSON RESORT AND CONFERENCE CENTRE - BYRON BAY
Location
122 Jonson St, Byron Bay NSW 2481
Right in the heart of town.
This centrally located resort offers air-conditioned comfort in a choice of motel rooms
or 1 & 2 bedroom apartments. The resort offers many extras including: tennis court,
ping-pong table, heated swimming pool, gas BBQs, shared indoor spa and sauna, as
well as conference and boardroom facilities, cable TV and in-room internet connection.
Conferences
The Bay Conference Room has a floor space of 8m x15m and can be pre configured for the
following seating capacities: Theatre - 90, Classroom - 50, U-Shaped -30, Hollow Sq -40,
Boardroom - 12
The Resort Boardroom has a floor space of 3.9m x 5.9m and can be pre configured for the
following seating capacities: Theatre - 12, Classroom - 12, U-Shaped - 12, Boardroom - 12
Conference Room Facilities include: Electronic whiteboards, 35mm Ektapro slide projector
Cassette deck with recording, Overhead projector Flip charts & pads, Laser pointers, 5 disc CD
player & DVD, NEC LCD data projection.
Gaia Retreat & Spa
933 Fernleigh Road, Brooklet, NSW 2479
Description
Gaia Retreat and Spa is an ideal place for small corporations to retreat, hold workshops, plan
strategic sessions or simply honour their team members. Gaia offers a balance of nature,
privacy and comfort with delicious gourmet food, exquisite pampering and a host of activities all
focused on health and well being. facilities include accommodation, retreat activities, day spa
and meeting facilities. Gaia has 20 beautifully appointed retreat style bungalow/villas, set in lush
tropical gardens. The retreat is serviced by Ballina and Gold Coast airports.
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Conferences and Events at SALT
Gunnamatta Avenue
Kingscliff NSW 2487
SALT's luxury beachside resorts - Peppers Salt Resort & Spa and Mantra on Salt Beach
have the superb quality accommodation and conference facilities for which Stella
Resorts are renowned. The variety of on site resources available will assist in making
your event at SALT a success.
Facilities include; 9 pillarless function rooms to accommodate up to 400 delegates, two
impressive resorts with 700 accommodation rooms, 8 on site dining options within Salt
Village as well as state of the art conference facilities. On Site Staging and Events
Theming Company, 4 x Dedicated Conference Sales Executives, and the iconic Golden
Door Day Spa on site.
20 minutes south of the Gold Coast Airport the relaxed SALT village precinct features a
variety of restaurants and bars with Salt beach patrolled 365 days a year. With local and
natural attractions on our doorstep including world heritage listed Mt Warning National
Park, SALT can deliver a unique experience.
Saltbar Beachbar and Bistro
Saltbar Beachbar and Bistro can easily cater for your next corporate event or other
function. Magnificent ocean views, a menu tailored to your needs and experienced staff
means you'll get a function venue with a difference.
Peppers Salt Resort & Spa
The Peppers Salt Resort & Spa ballroom has a maximum capacity of 432 delegates and
can be re-configured into three separate meeting rooms each with a capacity for 108.
Mantra on Salt Beach
The Mantra on Salt Beach conference room seats 250 in theatre style, and also breaks
out into three separate meeting rooms for smaller gatherings.
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Appendix 5 - Articles on MICE Market
Grow the space, watch the costs
Publication: Edmonton Journal
98
Date: Sat Jul 25 2009
Page: A18
Edmonton residents with long memories might shudder at the news that the Edmonton
Economic Development Corp. (EEDC) is looking at greatly expanding the Shaw Conference
Centre.
EEDC officials say the building will have to double in size to meet rising demand over the next
10 years, which could even mean growing beyond the current site overlooking the North
Saskatchewan River valley. But the centre's track record isn't great when it comes to
construction expenses.
The idea of building the facility in the first place was so controversial it went to a plebiscite, but
after voters gave it the go-ahead the price tag ballooned to $81.8 million by the time doors
opened in 1983 from an initial estimate of $22.5 million.
When Hall D was added in 2006 to deal with a space crunch, the cost rose to $29 million from
the expected $24 million due to Alberta's booming economy and high construction inflation.
While councillors cut spending on furniture, equipment and finishes by $2.2 million to stay close
to the original budget, they were later convinced some of that material was necessary and put
money back. Bryan Anderson said left them feeling "we've been played like a yo-yo."
However, that doesn't mean expansion can be dismissed out-of-hand. Even though Hall D
boosted the amount of space in the centre by about 20 per cent, with room for banquets for up
to 1,400 people, it was quickly filled. Indeed, more than 90 per cent of the space at the Shaw is
booked during the two-thirds of the year when conventions are popular, making it one of the
busiest convention centres in the country.
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The facility is already running into capacity problems, both in the number of events it can host
and in handling larger gatherings. Some conventions only fit in a few halls in Canada's biggest
cities, and ideally Edmonton officials would like to be able to bid for more of them.
EEDC president Ron Gilbertson says similar operations in at least seven or eight other Canadian
municipalities are planning to expand or already have work underway, so looking at Edmonton's
needs in this area for the next 30 to 40 years will help the city stay competitive.
The study will also better estimate how much of the projected $37.7-million in upgrades
proposed for the city-owned building by 2018 will actually be needed.
Gilbertson insists, with some justification, that he wasn't in charge when previous construction
projects were done and a good planning will reduce the chances of costs going up
unexpectedly. He says the financial performance of EEDC has been excellent and it meets its
objectives every year.
Running a convention centre isn't cheap; this year, the annual city subsidy will be $2.7 million.
But the EEDC calculates it had a direct impact of $44 million on the local economy in 2008, as
well as attracting tourists and future investment. While these numbers are always subject to
interpretation, and must be compared to the economic impact of spending subsidy money on
something else, a careful examination of what lies ahead for the convention centre is
still a good idea.
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Mighty MICE: sector’s value revealed
Ria Voorhaar
20 December 2004
AUSTRALIA’S MICE sector generates $17.36 billion in spending each year and creates 214,000 jobs.
The figures are revealed in a new study – conducted by the Sustainable Tourism Cooperative Research Centre at Victoria
University – that for the first time quantifies the value of the MICE industry to Australia’s economy.
Produced for the Business Events Council of Australia (BECA) the study found that 316,000 business events were held across the
nation during the 2002-03 financial year, involving 22.8 million people.
BECA chairman and Melbourne Exhibition and Convention Centre chief executive Leigh Harry described the results as a “pleasant
surprise”.
“This will challenge the perception many have of how important business events are to the economy, especially the high yielding
nature of the delegates,” Harry said. “And it’s a good indication to potential investors, both in government and the private sector
such as hotel companies, of the size, return on investment and the economic benefit of business events.”
He said BECA would now undertake the study on a regular basis to provide an accurate, independent snapshot of the business
events industry.
The information would also be used by convention bureaus when pitching for international business.
“It also acts as a confidence boost for governments who are investing in this sector,”he said.
Tourism Australia chairman Tim Fischer, who launched the National Business Events Study in Sydney this week, said the sector
was the “quiet achiever” of the industry.
“People don’t regard business visitors as being as sexy as holiday-makers, but the truth is they spend a lot more per person and
make a huge contribution to the Australian economy,” Fischer said.
The study showed that the average daily expenditure of an international meeting or conference delegate was $554, almost six
times the $94 average daily spend of international tourists. International business visitors accounted for $1.86 billion of the
overall business-event spend in 2002-03. Domestic business-event participants spent $15.5 billion.
“But while domestic business events generate more expenditure, it is the international market that delivers the best yield and
holds the most potential for growth,” Fischer said.
The report was also the first to examine the contribution Australia’s growing incentive travel industry makes to the business
events sector.
More than $585 million was spent on incentive business alone in 2002/03, with $539 million generated by international incentive
visitors.
The key sectors involved in hosting incentive groups were the pharmaceutical industry, which was responsible for 13 per cent of
delegates, the electrical industry (9 per cent) and IT (8 per cent).
The average number of participants in each incentive event was 194.
The study found that international meeting and conference delegates spent an average of 7.3 nights in the host city and an
average of $3526 per trip.
More than 45 per cent of international conference delegates took a pre- or post-event tour averaging 7.6 nights.
NSW has the biggest share of the MICE sector, attracting 27 per cent of all business events, followed by Victoria (25 per cent),
Queensland (20 per cent) and Western Australia (12 per cent). The ACT and SA accounted for 6 per cent each, while Tasmania
has 3 per cent and the Northern Territory one per cent.
Exhibitions were found to be a particularly lucrative component of the MICE sector.
In 2002/03, 300 large exhibitions were attended by 8.5 million visitors.
An estimated 1.42 million square metres of floor space was sold for the 300 large exhibitions, with $137.7 million spent staging
the events.
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Hoteliers must develop new pricing strategies
Wednesday, July 01, 2009
The booking patterns for MICE groups and independent travellers have changed significantly
due to the financial crisis, Great Hotels Organisation reports, and hoteliers need to react to
this by adapting their pricing strategies accordingly.
It should come as no surprise that over the past year, the hotel industry has entered a phase of
slowdown because of the dwindling economy and booking lead times for MICE and global
distribution systems (GDS) have shown a sharp decrease.
GHO, the London-based hotel sales and marketing company, offering a dedicated MICE sales
desk for its member hotels and GDS representation through its own chain code, reports on the
changing trends in the MICE and GDS/ADS markets.
Booking lead times are down in the meetings and events industry with an average decrease of
21% in May 2009 compared to May 2008. Meeting planners are also attempting to cut costs by
decreasing their travel times, meeting length and size of meetings. As budgets are slashed, the
UK (in particular London) and France (in particular Paris) have become more popular MICE
destinations as the resort destinations such as The Algarve in Portugal and Marbella in Spain,
which were favourites last year, are losing out to city centre hotels. The average length of
meetings has also decreased by 50% with the average stay in 2009 at 1.5 nights and the
number of delegates attending meetings dropping by 66% with the typical group size now
down to 50 delegates.
Booking lead times on GHO’s GDS chain code, GW, have also decreased. The average daily rate
(ADR), length of stay and number of ADS bookings also follow a similar trend.
•
The number of travellers making a booking 60 or more days in advance through the
GDS has decreased by 41% and the number of travellers making a booking a week in
advance has increased by 38% year to date in comparison with 2008.
•
The ADR in city centre destinations has fallen by 12% and in resort destinations by
10%.
•
The average length of stay has also fallen, although not as steeply, with the average
stay in city centre destinations down by nearly 6% and resort destinations by 3% to an
average of 3.15 and 2.05 nights respectively. This more gradual decline in hand with the
steeper ADR decrease suggests that travellers are opting for a cheaper room category
rather than dramatically decreasing the length of stay.
•
The number of ADS bookings in 2009 has decreased by 16.5% in comparison to the
same period last year and the revenue generated from these bookings has decreased by
23%.
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101
Annexure 1(a)
Appendix 6 - Regional Cost Comparison
Source: Current Management Plans for each Council.
Council
Area Name
Description
Costs
Lismore City Council
Crozier Oval
Soccer / season
Casual Hire
Lights
$4000
$260/ day
$250/ hour
Lismore City Council
Oakes Oval
Soccer / season
Cricket / season
Casual Hire
Lights
$4000
$5000
$320 / day
$145 / hour
Lismore City Council
Mortimer Oval
AFL / season
Carnival / day
$1800
$320
Lismore City Council
Netball Courts
Court / day
$50
Richmond Valley Council All sports grounds
Netball Courts
Soccer
Rugby league/union
Cricket
$9/person / session
$25/person / session
$25/person / session
$18/person / session
Tweed Shire Council
All Fields
Soccer / season
Casual
$1600/ sport / season
$50 / field / day
Tweed Indoor Stadium
Netball
$10/person / session
Min $50/ court /session
All Sports Fields
Soccer
$50/ field / day
Netball
$10/court / session
Indoor Stadium
Basketball / Netball
Non sport Hire
$370/court / day
$140/ hour
Indoor Stadium
Junior Entry
Senior Entry
$3 / session
$6 / session
Clarence Valley Council
Ballina Shire Council
All Sports Grounds
Nil found
Kyogle Shire Council
All Sports Grounds
Nil found
Byron Shire Council
All Sports Grounds
Nil found
Bangalow Markets
$2060 / day inc power
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Annexure 1(a)
APPENDIX 7 - Licence to Occupy
Whitsunday Regional Council and PCYC
103
Business Plan
Byron Regional Sport and Cultural Complex
Page 103 of 104
Annexure 1(a)
Appendix 8 MOU
Orange Council and PCYC
104
Business Plan
Byron Regional Sport and Cultural Complex
Page 104 of 104