FAQs

A Business Plan is a written document that describes a business proposal or major land transaction which in this case is the proposed expansion of the Cockburn ARC.  The advertising of the Business Plan is to:

(a) Provide the opportunity for the public to make submissions regarding the Business Plan and the proposed acquisition of this property; and 

(b) Satisfy the requirements of Section 3.59 of the Local Government Act 1995. 

Section 3.59 of the Local Government Act 1995 details the process governing ‘commercial enterprises’ by local governments, including ‘Major Land Transactions’. A ‘Major Land Transaction’ means the acquisition, disposal (sell, lease or otherwise dispose of, whether absolutely or not) or development of land that is not exempt under the Act, and where the total value of:

(a) The consideration under the transaction; and 

(b) Anything done by the local government for achieving the purpose of the transaction; 

is more or is worth more than either $10m or 10% of the operating expenditure incurred by the local government from its municipal fund in the last completed financial year. 

In accordance with Section 3.59 before a local government enters into a major land transaction the local government is required to prepare a Business Plan. The Business Plan is to include an overall assessment of the major land transaction and is to include details of: 

(a) Its expected effect on the provision of facilities and services by the local government; 

(b) Its expected effect on other persons providing facilities and services in the district; 

(c) Its expected financial effect on the local government; 

(d) Its expected effect on matters referred to in the local government’s current plan prepared under Section 5.56;

(e) The ability of the local government to manage the undertaking or the performance of the transaction; and 

(f) Any other matter prescribed for the purposes of this subsection. 

The City is proposing to partner with the Fremantle Football Club to expand the facilities at the Cockburn ARC to ensure the best outcome for the community.  

The overall project will result in the following key components:

The City’s components - 695m2 of new and approximately 550m2 of reconfigured space: 

• Increasing the gym floor space to 1500m2 
• Increasing the Body and Mind Studio to 250m2 
• Relocating and modifying the main group fitness studio 
• Relocating and modifying the indoor cycle studio 
• Converting existing administration spaces to increase gym floor space 
• Moving the administration spaces to other areas within the facility. 

FFC Components - 764m2 internal + 465m2 outdoor terrace and seating: 

• Spectator seating area and public amenity
• Gender neutral change-rooms and amenities
• DDA toilet
• Lift 
• Multipurpose room

The City will pay for the costs of the City’s areas from its own funds set aside for that purpose. The City’s areas will cost approximately $6.8m. 

The estimated costs for the FFC portion of the works is $6.1m. The funding up to $6m will be from the following sources:

• WAFC/AFL - $650,000
• State Government - $2.5m
• FFC cash contribution - $2.85m

Should the FFC component of the project exceed $6m, FFC have requested access to a capital contribution of up to $1m through the City, without penalties for early payout and/or capital contributions.

It is proposed the capital contribution will be funded by the City and would be fixed to the remaining term of the initial 21-year period of the current lease (16 years), at the current West Australian Treasury Corporation (WATC) interest rate at the time of contract execution. 

FFC would make quarterly payments in the form of a rent to the City to repay the contribution plus the interest. Council would be required to endorse the capital contribution and repayment plan prior to approval which would be subject to a future report to Council.  As part of the same report, Council may consider a one off grant or contribution towards cost increases (if any) of the publicly accessible community elements of the FFC works.

Construction is expected to begin in 2023 and be completed in 2024.

A comprehensive staging plan will be finalised during the tender process. It is intended that only one health and fitness studio will be out of service at any one time with additional classes scheduled in the operating studios. The gym is expected to close for a 1–2-week period just prior to project completion.

Submissions are open until 4pm, Thursday 26 January 2022 and can be made in the following ways:

• Online: comment.cockburn.wa.gov.au/arc-bp
• Post: Acting Chief Executive Officer, City of Cockburn, PO Box 1215, Bibra Lake WA 6965
• Email: [email protected]

Submissions must be addressed to the Acting Chief Executive Officer and clearly marked ‘Business Plan Submission - Cockburn Aquatic and Recreation Centre Expansion Project’.

Submissions that are received will be collated and presented to Council for their consideration. An absolute majority decision of Council is required to endorse proceeding with the proposal.