Agenda and minutes

None received.

Dorota Dominiczak, newly appointed Director of Finance, Alexandra Palace, was welcomed to the meeting.

The Chair will consider the admission of any late items of urgent business. (Late items will be considered under the agenda item where they appear. New items will be dealt with at items 12 & 21 below)

None received.

None received.

None received.

i.              To confirm the unrestricted minutes of the Alexandra Palace and Park Board held on 28 October 2014 and 9 December 2014 as accurate records of the proceedings (Pages 1 - 7).

ii.            To receive the minutes of the Alexandra Park and  Palace Advisory  Committee meetings held on 27 October 2014 and 2- January 2015 and to consider any recommendations from that Committee (Pages 9 - 13).

iii.           To receive and consider the minutes of the informal joint Alexandra Palace and Park Consultative Committee, and Alexandra Park and  Palace Advisory  Committee meetings held on 27 October 2015 and 20 January 2015 (Pages 15 – 28).

i.              Alexandra Palace and Park Board

The minutes of the meetings held on 28 October 2014 and 9 December 2014 were agreed as accurate records of the proceedings and would be signed by the Chair.

ii.            Alexandra Park and  Palace Statutory Advisory  Committee

The minutes of the Statutory Advisory Committee meetings held on 27 October 2014 and 20 January 2015 were noted.

iii.           Informal Joint Alexandra Palace and Park Consultative Committee and Alexandra Park and Palace Advisory Committee

The minutes of the Joint Consultative  and  Advisory Committee meetings held on 27 October 2014 and 20 January 2015 were noted.

The following amendments to the minutes of the meeting held on 20 January 2015 were agreed:

Page 21 – Attendance – An asterisk to be added to indicate that Gordon Hutchinson had not been present.

Page 26 – Minute APSC – Any Other Business or Urgent Business – to be amended to read: “The Chair of the Committee advised...”

Action: Clerk

To note the report of the Commercial and Development Director.

Received the report of the Commercial and Development Director, Lucy Fenner, as laid out on pages 29-33 of the agenda pack.

Ms Fenner highlighted that

i.          Alexandra Palace Trading Limited (APTL) had made a gross profit of £500,000 from concerts to the end of November and catering revenue had exceeded £1,000,000.

ii.         In December £581,000 total net profit had been achieved against a £500,000 target.

iii.        February 2015 had been a quiet month.

iv.        Plans to increase sales for the forthcoming year included: hosting an extra beer festival and a number of outdoor food festivals, increasing capacity at the darts event, attracting new clients, maximising work with concert promoters and maximising ticket sales for the ice-rink.

In response to questions it was noted that:

v.         Alexandra Palace had been put forward to host the Land Rover event by an agency and the Board recognised that it had been a popular family event. In response to comments that the advert, recorded during the event, should be publicised it was noted that the advert was available on the Palace’s Facebook page and YouTube Channel.

vi.        Last February the Palace had hosted the Girl Guide bi-annual event, which would return next year and some concerts had already been secured for February 2016.      

vii.       The Palace targeted who it was felt would reach the appropriate level of ticket sales for our venues.

Resolved that the contents of the report be noted.

To note the report of the Head of Learning and Community Programmes.

Received the report of the Head of Learning and Community Projects, Melissa Tettey, as laid out on pages 35-39 of the agenda pack.  Ms Tettey added that a joint skills workshop was being developed in partnership with Tottenham Hostpurs Football Club focusing on skills in heritage and construction.

Noted in response to questions and discussions that

i.          The trial of an additional centenary project called Children of the Great War funded by Age Exchange and Heritage lottery Fund (HLF) had taken place on the previous Saturday and would be launched in March.

ii.         The War on the Home Front project will run until September 2015, after September some of the objects donated from private collectors would be returned but film and graphics from the exhibition would be incorporated in to the Palace’s learning and community programmes.  The Palace is not currently in the position to replace War on the Home Front with a new exhibition.

iii.        War on the Home Front had been well received with 1500 visitors engaging with the Palace’s story, this had prompted visitors to enquire about the Palace’s use during Second World War and the team would be looking to research the subject further in due course.

Resolved that recent progress with the Trust’s learning and community programmes be noted.

To note the report of the Regeneration and Property Director, including an update on the Heritage Lottery Fund Scheme.

Received the Property and Regeneration update report, on pages 41-53 of the agenda pack, introduced by Duncan Wilson, Chief Executive, Alexandra Palace. 

Noted that:

i.          Paragraph 9.1 – Staffing - Mr Wilson explained that an interim Director of Property and Regeneration would be appointed to continue work on the Heritage Lottery Fund (HLF) project.  A permanent candidate  would be sought when final approval of the project had been confirmed by HLF.

ii.         The HLF Committee had visited the Palace and Park on 5 February and was expected to make a decision on 24 March.

iii.        The HLF project planning application would be considered by the London Borough of Haringey’s Planning Committee on 16 February.

iv.        Paragraph 6.11 – Project Programme - It was hoped that the new facility would open in 2018. 

v.         Subject to details about access to the archives being agreed the BBC had expressed support for the project.

vi.        Paragraphs 7.6 & 7.9 – Energy Efficiency – the following work was expected to reduce energy costs and alleviate risks associated with events:

·         Replacement of two out of four boilers;

·         Replacement of lighting system in the Great Hall;

·         Gas main replacement as perished seals were causing gas leaks.  This work would consume half of the annual capital budget and would limit how much work listed in the Fabric Maintenance Plan (FMP) could be done.

vii.       It was hoped that some replacement brickwork on the terrace retaining wall would also take place in the next few months.

In response to questions and discussions it was noted that:

viii.      The facilities contract was being terminated at the end of 2015 in accordance with the contract.  A contracts administrator had been employed to help re-let a number of smaller supply and service contracts which should provide better value for money and generate long term savings.

ix.        Further to a Board Member’s concerns it was confirmed that Little Dinosaurs (Campsbourne) had committed to reopening once the organisation’s new management structure was confirmed.

x.         A small budget was available to start work on the new park vision (paragraph 8.9) and ideas for outdoor activities and zoning of wildlife habitats in the Park were being drawn up.  In response to further questioning it was explained that a masterplan had been drawn up for the Palace and it was considered to be good practice to have the same for the Park.

xi.        In response to concerns it was explained that the Park was protected by the Alexandra Park and Palace Act and the new vision would not propose to close off any additional space within the Park, however, consultation would take place about how space could be better used.

Resolved to note the updates on Regeneration, Facilities Maintenance, Property, Fabric Repair and Park related matters.

To note the Alexandra Palace Trading Limited (APTL) management accounts for the period ended 30 November 2014.

Received the Charitable Trust Financial Results report for the period ended 30 November 2014, on pages 55-58 of the agenda pack, introduced by Duncan Wilson, Chief Executive, Alexandra Palace, including:

i.          The Trust was on target to end the year with a lower deficit than projected and Gift Aid contribution from APTL was expected to be in line with projections.

ii.         The figures in the report were slightly out of date and December had been a better month.  Overall the Trust was in a good position.

iii.        In response to a question it was clarified that the Land Rover event had been included in the events income figures.  Where possible some income from events would be put towards increasing capital investment in the Park.

Resolved that the performance of the Trust for the eight months ended November 2014 be noted.

To receive and approve the Charitable Trust Budget.

Received the Charitable Trust Budget for the 12 months ending 31^st March 2016, pages 59-63 of the agenda pack, introduced by Duncan Wilson, Chief Executive, Alexandra Palace.

Noted that

i.          The overall Haringey deficit funding was £2.15 million in 2014-15 and and would reduce to £1.9 million in 2015-16.

ii.         The Trust would operate a balanced budget and profits from trading in 2015-16 were expected to increase by 5%, higher than the projected long term 2% annual profit increase trend in the Trust’s 10 year plan.

iii.        One staffing redundancy had been made and it was acknowledged that further reductions could risk the delivery of the overall HLF masterplan.

iv.        Any underspend would be carried forward to the next year.

v.         In response to questioning about how additional income would be achieved it was explained that new initiatives would be put in place including: The Trading Company (APTL) hosting its own (more profitable) events; sales staff being proactive in maximising extra spend by current concert clients; more revenue from Bar and Kitchen sales; and increasing upsales for exhibitions.

vi.        Creating additional fire exits in the West Hall would enable increased capacity at the darts event.  Moving the event to the Great Hall had been proposed but promoters had felt that this would dilute the atmosphere at the event.

vii.       The success of the beer festival during the fireworks event would be followed up with an Easter beer festival.  In response to questioning it was confirmed that the fireworks event had been organised in-house for reasons of practicality and the success of the event had justified the closure of most of the park for just over 24 hours for preparation and take-down.

viii.      Further to questioning on the regeneration costs it was clarified that the budget included a proportion of Trust staff salaries and a contingency fund to enable extra costs such as surveying which were not included in the HLF project plan.  HLF funding would only be permitted to be spent on areas within the agreed project plan.

Resolved that the Trust’s budget for 2015/16 be approved.

To approve proposed wording for clarification of the terms of the debt from Alexandra Palace and Park Charitable Trust to Haringey Council.

Received the report proposing wording to clarify the terms of the debt from the Charitable Trust to Haringey Council, pages 65-66 of the agenda pack, introduced by Duncan Wilson, Chief Executive, Alexandra Palace. 

Board members discussed the issue at length and the following was noted:

i.          It was necessary to clarify the terms of the debt for the purpose of encouraging future investors in Alexandra Palace and also to satisfy the concerns of the Heritage Lottery Fund (HLF) Committee.  The debt would be removed from the Trust’s balance sheet and would make investment more attractive to potential partners.

ii.         Board members raised concerns that the wording would mean that the Trust accepted the debt permanently and urged the Trust to push for the debt to be written-off.  Mr Wilson agreed that writing-off the debt was the preferred option and maintained that the proposed wording would not reduce the potential for the debt to be written-off in the future but would protect the Trust from the debt being unilaterally recovered.

iii.        Mr Wilson would draft a letter to the Council stating that the Board still expected the debt to be written-off and this letter would be public.  The letter would emphasise the commercial objectives of APTL (Alexandra Palace Trading Ltd).

Action: Chief Executive

iv.        Robert Kidby, Advisory Board Member, expressed agreement with the wording and advised the Board that it would be illogical to invite market investment when the Council’s books stated it owed such a large sum.  Mr Kidby also highlighted the risk of the Council attempting to recover the fund if the wording was not agreed.  He said it was important to include in the definition of “obligations” contractural as well as statutory obligations

v.         The Council remained the freeholder of and had a statutory duty towards Alexandra Palace and Park.

vi.        If approved the agreement would be put in place by end March 2014 and may require annual agreement.   

Resolved that

i.          The wording set out below be approved as the basis for further discussion and agreement with the Council, including the word “arbiter” being replaced with “arbitrator”:

The Trustees of the APPCT (“the Charity”) acknowledge that as at 31^st March 2014 the total amount advanced by the London Borough of Haringey (“Haringey”) and its predecessors to the Charity and not repaid by the charity was stated in the Trust’s accounts at £48.747m on a conservative basis.

Haringey and the Charity have agreed that this amount will not be repayable in whole or in part by the Charity unless and until full financial provision has been made for the statutory and contractual obligations of the Charity for the foreseeable future.  Any assessment of these obligations must be to the satisfaction of both the Charity and Haringey, both parties acting reasonably, before any such repayment is initiated.  Should the parties be unable to reach an agreement, the issue to be settled by an independent arbitrator, answerable to both the Council and the Trust.

ii.         The  ...  view the full minutes text for item 11.

Replacement Chief Executive

The Board regrettably noted the resignation of Mr Wilson and congratulated him on his new forthcoming role as Chief Executive of Historic England.  Mr Wilson expressed that he was fully committed to Alexandra Palace and Park until his departure on 5 May and would ensure a succession plan was in place prior to this. 

Further to discussion and questions it was noted that:

i.          An agency would assist in the selection of potential candidates for the role.

ii.         An interim Chief Executive was likely to be put in place due to the four to six month recruitment process.  The Trust would look first at the possibility of an existing member of staff being qualified to act up to the position.

iii.        Mr Wilson’s departure should not affect the chances of the project succeeding with HLF as long as there was a clear strategy for appointing a replacement Chief Executive.

iv.        Haringey Council and the Board of Trustees and Non-Executive Board Members were likely to be part of the recruitment process but the contract of employment would be between the Chief Executive and Haringey Council.  All other Alexandra Palace staff were recruited by either the Trust or the Trading Company.

To note the date of the next meeting: 28 April 2015.

The next meeting will be held on 28 April 2015.

Items 15 - 21 are likely to be subject of a motion to exclude the press and public from the meeting as they contain exempt information as defined in Section 100a of the Local Government Act 1972; Para 1 – information relating to any individual, Para 2 – Information which is likely to reveal the identity of an individual,  Para 3 - information relating to the business or financial affairs of any particular person (including the authority holding that information), and Para 5 – Information in respect of which a claim to legal professional privilege could be maintained in legal proceedings.

RESOLVED to exclude the press and public for the meeting for items 15-20 , as they were likely to contain exempt information as defined in Section 100a of the Local Government Act 1972; Paragraph 2 – information which is likely to reveal the identity of any individual and Paragraph 3 – information relating to the business or financial affairs of any particular person (including the authority holding that information).

To receive and note the latest version of the Risk Register.

Resolved to note the report.

To note the management accounts for the period ended 30 November 2015.

Resolved to note the accounts for APTL for the eight months ended 30 November 2014.

To agree the recommendations in the report.

Resolved to approve the recommendations in the report.

To approve the terms of the lease agreement for the Go Ape proposal and to consider any advice from the Alexandra Park and Palace Statutory Advisory Committee.

Resolved to note the report and approve the recommendation.

To agree the recommendation in the report.

Resolved to agree the recommendation in the report.

To confirm the exempt minutes of the Alexandra Palace and Park Board held on 28 October 2014 and  9 December 2014 as an accurate record of the proceedings.

The minutes of the Board meetings held on 28 October 2014 and 9 December 2014 be agreed as a correct record of the proceedings and signed by the Chair.

None received.