Trowbridge Town Council held an Extraordinary Meeting on 3rd May 2022 regarding the proposed Doric Park 3G – Artificial Turf Pitch Project. It was concluded that a recommendations to Full Council would be as follows:
The Town Council will commit to borrowing up to £3.9 million and proceed with the Doric Park 3G – Artificial Turf Pitch Project including associated landscaping, parking and buildings. The agreement between Trowbridge Town Council and Trowbridge Rugby Football Club will complete and a main contractor for the project will be engaged pending a tender process. Once engaged, the approved contractor will undertake preparatory works prior to the receipt of borrowing approval, in order to meet the completion timescale of September 2023. A further recommendation was approved whereby there will be no use of rubber crumbing as a surface covering for the Artificial Turf Pitch and an alternative will be sourced; naturally sourced Cork or a sustainably sourced artificial cover called BrockFILL.
Borrowing and Repayment Information
Subject to confirmation of tenders, planning approval and public consultation; the council submits a borrowing approval application to the Ministry of House, Communities and Local Government for up to £2.2 Million. Based on the the latest information from HM Treasury this equates to an annual repayment, including interest of £104,398.74 over a 30-year term at an interest rate of 2.48%. This equates to a total of £3,131,962.20 including interest and repayments. And, the borrowing application, if approved, would not be taken until the financial situation of the town council resulting from the impact of the pandemic and the future financial security of the council is understood. And that a final decision on progressing the project would be subject to the decision of Full Council.
It is recognised that alternative options for funding the project would need to be based on funding the project over a shorter amount of time and therefore having a greater impact on the Council Tax precept. This would mean that the majority of the residents living in Ashton Park and other areas of the new development would make little, if any, contributions to the facility but would benefit from the reduced Council Tax Changes in future years when the facility was making a positive financial contribution, whereas existing residents of the town would be making a significant contribution immediately. An alternative for future projects is that the council increases the Council Tax to set aside a Capital Reserve which can be used to fund or contribute to capital projects.
The town council will update it’s on-hold borrowing for approval with the Department for Levelling Up, Housing and Communities, which has now been revised for a maximum of £3.9 million. Based on the latest information from the HM Treasury this equates to an annual repayment, including interest, of £150,804 over a 50-year term at an interest rate of 2.99%. This equates to a total of £7.54 million including interests and repayments. Following the receipt of borrowing approval the loan will be taken with the Public Works and Loans Board (Debt Management Office – DMO) when required and will be lower than the maximum if options such as Solar OV and environmental alternative carpet-infill are not taken up.
To See the results of the Public Survey please click here