Duffield Rackets and Fitness
23 Town Street • Duffield, Derby • DE56 4EH
Tel: 01332 841702
Hi [[firstname]]
It has been some time since the council has updated you with where we are and what our thoughts are for the future.
Padel
There has been much discussion and debate over the club having facilities to play Padel. We have always been aware that to install a Padel facility at the club, we would need planning permission from Amber Valley Borough Council. Although AVBC will not give ‘informal” planning guidance, we have always been led to believe it would not be granted, with noise and high flood risk being two reasons given. Our courts provider (Fosse) has also advised that installing the facility on our site would be a challenge. However, the membership continues to press us to revisit this and the only way to get clarity is to make a planning application. We are currently finalising an application which we hope to submit in the next couple of weeks. Depending on the outcome of the AVBC ruling, we will then include the business case for the two padel courts currently on our development plans, taking account of their impact on other club offerings and considering the possibilities for funding.
Fitness and Gym development as part of the overall plans
First of all, we need to address a point various members seem to persist in challenging. When the gym was first introduced, it had two aims: a facility for the squash teams to use to raise their level of fitness and, in the process, reduce injuries to players. The world has changed over the last 35 years and personal fitness and wellbeing, as an industry, has exploded. Standalone gym & fitness facilities abound but what they offer is not what we are proposing. We cannot be any clearer on this point in that we are not looking to set up a ‘commercial’ gym offering. We are a rackets club: squash, tennis, racketball, pickle, table tennis, and possibly Padel, and many members are asking for our current facility to be substantially improved. Furthermore, we want to improve our offering for the benefit of the local community. Our fitness proposal would do both: it is an integral part of our membership offering (an improvement and extension of how it was started) and it would provide a local well-being facility for the village. This is in line with our status as a Community Amateur Sports Club (CASC). The council is currently reviewing a 3-year financial plan for fitness & gym. It will be part of the overall 3-year financial plan the council will bring to members, along with our current business as usual (BAU) of squash, tennis, racketball, pickle, and potentially padel.
Concern regarding the validity of our merger on 1st April 2024
Recently, there has been a challenge from some members of the squash section regarding the fairness and validity of the joint vote in February 2024, that brought the two clubs together on the 1st April 2024. There has been an allegation that this process was in some way unfair and did not follow HMRC CASC regulations. Whilst the council has made a staunch rebuttal in writing, it has kept the matter confidential up to now. However, it has recently been brought to our attention that the matter has been openly discussed in the club house. The council finds this somewhat disappointing.
We want to assure you that the process followed by the squash and tennis committees along with the unification team acting on their behalf in early 2024 was correct, well-discussed, and communicated widely to members of both clubs. The present council has provided comprehensive explanations and documental evidence to the fact that the vote which culminated in the club becoming one entity on the 1st April 2024 was valid and accepted by HMRC. As a result, the new joint club’s updated CASC status was confirmed. Another application has had to be made to HMRC to further amend our CASC record following our change of name to Duffield Rackets and Fitness at the AGM in September. The application was supported by a copy of the signed minutes of the AGM, and we await confirmation from HMRC, but don’t expect any issues in this being given.
Next planned EGM
There will be a separate communication from the council soon as to an EGM, probably in early March. The main business will be a vote on the proposal to proceed to incorporation for which we will be sending members two documents:
Please note: These AoA are currently being reviewed by two members of the club (who are both lawyers), council members, and our club lawyers who are handling the legal process for incorporation.
Ordinarily, the AoA would be sent out at the time of an EGM notice. However, we will be sending these out an extra week early to solicit any questions prior to the meeting. This is so that, at the EGM, we will be happy to answer questions for clarification but not to make changes, as these would then require another EGM.
If incorporation is agreed, the club will again need to contact HMRC to further update our CASC registration. This is a laborious process but is necessary to maintain our CASC status, with its associated tax benefits. HMRC will want to see our new AoA and they might recommend changes to be made. However, we are using a law firm with experience in this area who can support us through the process. It is possible that members may be asked to vote again to approve any required changes before HMRC finally re-confirm our CASC status.
Financial plan to underpin investment
Lastly, many questions have been raised about the club’s finances, our ability to fund any redevelopment and the need to seek outside funding. To this end as part of our financial planning the council are looking to:
The council is looking to have a 36-month profit and loss for these various options. However, the most significant is a 36-month and cash flow statement during whatever work is then decided upon. We know there is a lot of expertise among our members and we would welcome anyone with financial experience to come forward to support the council members already working on these plans.
A note of obvious caution regarding financial planning. As anyone experienced in the practice will know, the mantra for forecasting is: year 1 - expectation; year 2 – hope, and year 3 - complete guess work. There are no certainties. However, hope and guesswork built on reasonable and sensible planning is the order of the day.
Once done, the council will be looking to have another meeting, where we will be walking the membership through these numbers in a way for all to clearly understand and so that members can make informed decisions about the best option for redevelopment. After these discussions, there will need to be a formal vote by members at an EGM to proceed.
However, one point all members need to remember: to meet our CASC requirements, whether we are unincorporated or incorporated, the club must reinvest the funds at its disposal and maintain a high standard of offering to its membership. Not to do so could incur scrutiny and possibly sanction from the HMRC. Our current constitution states: ”All surplus income or profits are to be reinvested in the club.” This position will be maintained under the new Articles of Association if incorporation is agreed by members.
Kind regards
The Council
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