The Whakatāne District Council has decided to continue the in-house operation of the Whakatāne Aquatic and Fitness Centre.
That follows a comprehensive review of aquatic activities, as required by the Local Government Act, to assess the cost-effectiveness of the current service in meeting community needs. Reporting to the Council’s Policy Committee on 23 March, Strategy and Community General Manager Julie Gardyne said the service review had highlighted the substantial progress achieved since the Council took over the operation of the Aquatic Centre in 2012.
“Admissions have increased by close to 25 percent since 2014, while fitness centre membership has more than doubled, reflecting improved service offerings and positive public perceptions about the facility, particularly amongst regular users,” she said. “However, the review was initiated primarily because financial contributions from rates to the aquatics activity had not decreased as had been expected when the service was brought in-house.”
To complete the review, potential external service providers were invited to register their interest in providing the aquatics service, and three of the four responding businesses were asked to ‘price-up’ their service offerings. Analysis of the data provided was undertaken by procurement experts, The Integral Group, which indicated that Council’s operating costs, excluding overheads, were similar to or lower than the responding businesses.
“The review indicated that while there was gap in income between the Council operation and the projections provided by external operators, that situation could be addressed,” Ms Gardyne said. “A range of options were proposed for Aquatic Centre management to pursue, including obtaining expert advice on revenue growth, reviewing the management structure and resources, and introducing specific revenue growth opportunities highlighted by the review.”
Speaking after the meeting, Policy Committee Chairperson Judy Turner said there was a clear message from elected members that the rates contribution to Aquatic activity needs to reduce. “However, we also recognise that there is a very significant public good at stake too. Drowning rates in New Zealand are far too high, and the ‘Learn to Swim’ service and other activities the Aquatic Centre provides make a very positive contribution to community wellbeing,” she said. “The Centre has made great gains since it became a Council-run facility, and we’re comfortable that the management and marketing initiatives needed to maintain its positive momentum will be put in place.”