2018-01-15 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                           15 JANUARY 2018


REPORTS DIRECT TO GENERAL COMMITTEE
1                        EXPRESSION OF INTEREST OUTCOME - COOROY RV STOPOVER MANAGEMENT
                         SERVICES
DOCUMENT INFORM AT ION




Author                             Property Advisor, Denis Wallace
                                   Corporate Services Department

Index                              ECM/ Applications/MCU15/0003/VP16/0011/Property/17 Mary River Rd

Attachments                        1.    EOI Evaluation Summary Sheet
                                   2.    Submission Regarding the RV Stopover Operation



EXECUTIVE SUMMARY
Council established the Cooroy RV Stopover in 2015 to address an identified need to cater for
RV travellers in the Noosa hinterland. Council invested significant funds and resources to
establish and operate the stopover facility but patronage has been modest at best. A report to
Council in August 2017 indicated the current third-party management agreement to operate the
facility represents a poor financial outcome. A new Expression of Interest (EOI) process was
undertaken to seek new management proposals for the facility, with 5 submissions received from
a range of business and community entities.

Council’s EOI assessment panel scored the submission of the incumbent manager, Crimmins
Enterprises, highest and noted its management of the RV Stopover has been to a high standard
and met Council expectations. The panel considered Crimmins Enterprises to have an excellent
relevant track record and experience. Its submitted fee proposal represents a projected financial
saving of $9,015 over the existing management arrangement but the facility is still anticipated to
cost in the order $10,000 per annum to maintain.

The report considers alternate options for the Cooroy RV Stopover, including investment in new
amenities and facilities, Council management and closing the facility. The option presented by
the EOI outcome is preferred to allow the facility to remain open, whilst at the same time reducing
operating costs to contribute to Council’s ongoing financial sustainability. The EOI assessment
panel supports Crimmins Enterprises’ submission and it is recommended Council agree to enter
a new management agreement for a total term of up to 3 years.

RECOMMENDATION
That Council note the report by the Property Advisor to the General Committee Meeting dated 15
January 2018 regarding the expressions of interest process undertaken for management
services for the Cooroy RV Stopover and:
A.                       Agree to enter a new management agreement with Crimmins Enterprises for management
                         of the facility for an initial one (1) year term; and
B.                       Authorise the CEO to award two management agreement extensions of 1 year, subject to
                         satisfactory performance.




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