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Permalink Reply by David Graves (your Alderman) on November 28, 2013 at 0:53

In terms of clarification, I have asked the appropriate Officer (currently on holiday) to explain what the Community Hall charge in the service charge represents (ie exactly what costs are included which are then charged across the Estate). Thanks to 15 storeys high for the extract from the service charge bill, although I was struck by the approx 40% increase in cleaning/porterage costs from one year to the next. I am not sure why that should be, do people understand why and are they happy with this? 

I will post here what I hear back on the Community Hall costs.

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Permalink Reply by David Graves (your Alderman) on January 14, 2014 at 21:51

I have made some progress with this since raising the questions before Christmas.

In short, in 2002 what is now the Community and Childrens' Services Committee decided that the costs involved in running all Community Halls on the City estates should be recovered via a combination of (1) rent and other running costs paid by the tenant where a lease of the premises is granted (as on Golden Lane) with (2) other costs (rates, water rates, buildings insurance, repairs and maintenance) being met by the City but then passed on to residents via service charges. So, the status quo is the result of a Committee decision from just over 10 years ago.

I am struck by the level of business rates and while (as the premises are non-Domestic premises) business rates may be payable in principle, I wonder whether any applicable reliefs have been explored. From a purely financial point of view, the bar operation downstairs may be the "ballast" that covers the running costs payable by the GLCA under the Lease which means that the use of the hall by residents' associations is "free at the point of delivery" albeit all residents are paying to have it there, whether they use the hall or not - a bit like the NHS, although some might not appreciate the analogy. 

There is more investigating to do, but I hope this update is useful. I will add more when I can.

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Permalink Reply by Maria Elizabeth Prior on January 14, 2014 at 21:57

Hello Mr Graves.  I asked you about 2 weeks ago if you would kindly forward me your contact details, as you are our Alderman, and I need to discuss an issue with you.  You may not have seen my post. 

Many thanks.

Maria E Prior
 
David Graves (your Alderman) said:

I have made some progress with this since raising the questions before Christmas.

In short, in 2002 what is now the Community and Childrens' Services Committee decided that the costs involved in running all Community Halls on the City estates should be recovered via a combination of (1) rent and other running costs paid by the tenant where a lease of the premises is granted (as on Golden Lane) with (2) other costs (rates, water rates, buildings insurance, repairs and maintenance) being met by the City but then passed on to residents via service charges. So, the status quo is the result of a Committee decision from just over 10 years ago.

I am struck by the level of business rates and while (as the premises are non-Domestic premises) business rates may be payable in principle, I wonder whether any applicable reliefs have been explored. From a purely financial point of view, the bar operation downstairs may be the "ballast" that covers the running costs payable by the GLCA under the Lease which means that the use of the hall by residents' associations is "free at the point of delivery" albeit all residents are paying to have it there, whether they use the hall or not - a bit like the NHS, although some might not appreciate the analogy. 

There is more investigating to do, but I hope this update is useful. I will add more when I can.

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Permalink Reply by David Graves (your Alderman) on January 14, 2014 at 23:29

I'm sorry - you did, and I have just spotted your posting in the Great Arthur House thread, prompted by your reminder just now. Is e-mail ok as a contact point - which is david.graves@cityoflondon.gov.uk.

My contact details (address and phone) are on the City of London website here:

http://democracy.cityoflondon.gov.uk/mgUserInfo.aspx?UID=231

Apologies again for missing your earlier post.

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Permalink Reply by Maria Elizabeth Prior on January 14, 2014 at 23:48

Thank you so much for this.  Will be in touch shortly.  Best wishes.

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