Twenty-one community groups have agreed to take on Full Repairing and Insuring (FRI) licences, allowing them to temporarily manage and run buildings that Falkirk Council no longer needs. In addition, the council has pledged £50,000 to help the community groups in their early months of running these new facilities to give them the best chance of success.
The FRI licences, which will take effect on 1 October 2024, alongside the new funding commitment, are the council's latest effort to support groups working through the Community Asset Transfer (CAT) application process.
The licences allow community groups to manage and run a council-owned building, covering all running costs, including repairs and utilities, until their CAT application has been approved and property transaction concluded, which can take up to six months. The council will ensure properties are wind and water-tight and statutory compliant before the licences begin.
To support groups moving onto FRI licences, the council has also allocated £50,000 to support groups with costs as properties transition to community management. Allocations will be based on property floor area and will be payable upon conclusion of the FRI licence.
CAT deadline
Community groups have until 1 October 2024 to submit their full CAT applications, a deadline agreed to by councillors in January 2024 for the 31 buildings identified for potential closure in Phase 2 of the Strategic Property Review (SPR).
Once submitted, each CAT application will be decided upon by members of the Council Executive. After that groups have up to six months to make a formal offer to the council.
Where a CAT application is not submitted for a property by 1 October it will close. This doesn’t stop it from re-opening subject to a CAT approval and property transaction concluding. If there is no CAT, then the property will be subject to the council’s surplus property procedures.
Of the remaining Phase 2 buildings progressing with CATs, five have historic management leases, allowing current operations to continue until the leases expire. Three properties (Action Outdoors Centre, Blackness WC, Duncan Stewart Pavilion) are already closed, and two (Maddiston Pavilion, Rannoch Park Pavilion) will close as no temporary FRI licence has been requested. These properties may reopen subject to CAT approval and the property transaction concluding.
Paul Kettrick, Head of Investment, Assets and Climate, said:
"We are committed to supporting community groups through the CAT process. The FRI licences not only help keep buildings open for community use during the CAT application process but also provide groups with valuable experience in managing the day-to-day running of the building, while still having access to support to assist with the transition to community ownership. The £50k funding being provided also demonstrates the council’s commitment to support groups with the transition to community management."