asset development

Reflections on Good Finance Live

Becky Leave a comment

A couple of weeks ago, I headed to Birmingham for the Good Finance Live event on social investment to meet experts, social investors, not-for-profits that had accessed social investment and, hopefully, to bring some useful information and ideas back to Dudley borough.

I’ve become increasingly interested in social investment opportunities that may be appropriate for some not-for-profits in Dudley borough, and I think there’s untapped potential there and it seems to be growing, judging by the number of social investors brought together at the event.

I should say that social investment won’t be for every organisation because of its repayable nature. For instance, it wouldn’t suit an organisation that provides free services because that organisation would find it difficult to raise enough money to pay off the investment. But for an organisation that has something to trade, be it facilities for hire, goods, merchandise or services to sell, social investment could be a feasible source of finance to help it develop. As I’m seeing more requests for support around social enterprise development and community asset transfer, repayable finance might be an appropriate option for these types of organisation (a social enterprise is set up to trade to achieve its social or environmental purposes and an organisation with facilities might be able to generate an income from hiring them out).

So what did I get from the day?

Generally speaking, social investment is repayable finance where the investor wants to receive a social return as well as a financial one. But within that, there are many different types of social investment. The conference centre at BVSC was packed with different social investors that support charities and social enterprises. Between them, they provide a whole range of social investment options, such as:

  • secured loans
  • unsecured loans
  • community shares
  • social impact bonds
  • blended finance
  • equity
  • social investment tax relief (SITR)

A mind-boggling array of options that may sound very daunting. You can find out more about them here on the Good Finance website.

On top of that, while some investors offer general support to any type of not-for-profit, there are some that are interested in certain areas of work or themes, like:

As well as meeting social investors, it was incredibly helpful to meet and hear from organisations that had been successful in raising one or more kinds of social investment. Particularly inspiring were contributions from:

  • Wellington Orbit, a cultural hub owned by the community who raised finance through a community share offer and incorporated social investment tax relief SITR into its funding mix in order to open a community cinema and cafe bar
  • Creative Optimistic Visions CIC, run by the passionate Stacey who shared her journey from setting up her CIC from scratch, being supported through UnLtd finance and mentoring to taking on blended finance, allowing the CIC to employ staff and expand its work

These examples really demonstrated that social finance is not only for large organisations and already well-resourced organisations.

If you’re interested in finding out more about social finance, I’d always recommend learning from other organisations that have gone through it. Many will be happy to share their experiences and learning with you. As well as the two listed above, a couple of months ago I posted about Stretford Public Hall, which ran a successful community share offer.

I’d also recommend starting with the Good Finance website, which is packed with tools and resources to help you decide whether social finance is a good option for your organisation and what social finance options might be most appropriate. It’s a great source of information.

Finally, I’m doing some work behind the scenes to increase knowledge and understanding of social finance in the Dudley borough. This might include sharing more information about social finance, increasing our skills and bringing in experts who can give support and encouragement. If you’re interested in learning more, or getting involved in any initiatives around social finance in Dudley, please let us know and we can keep you informed.

 

Is your community thinking of taking on land or a building? Here’s what to think about and some resources to help

Becky 1 Comment

If you’re thinking of taking on a community building or facility, check out this excellent short webinar from Good Finance. It’s called ‘How to build a cocktail of funding for your community group’, but it covers so much more than that, as we all know that funding is about much more than asking funders, donors or supporters for money!

Photo by Mike Erskine on Unsplash

This webinar covers the things you’ll need to think about before you start and has a useful overview of fundraising options from Locality, as well as an introduction to social investment from Good Finance. It also contains an excellent case study from Stretford Public Hall, whose members brought its community together to bring a disused public building back to life, and ran a successful community share offer to raise the finance needed. Take a look at the webinar below.

Here are the main things that I would take away from the webinar:

  1. Funding options (led by Debbie Lamb, from Locality)
  • Business planning is incredibly important. You’ll have to be clear about what the running costs will be and what will generate income, as well as having a good sense of the advantages and risks of running a community building.
  • Be dispassionate. Try to be realistic about how viable this is and don’t let your emotions lead you to take on something that has very slim chance of success.
  • Think about your organisational structure and the people you have. Does your structure help you to manage risk and liabilities? Does it allow you to borrow (if you plan to borrow)? Does it allow you to raise money through a community share offer (if you plan to do this)? Do you have the right amount of people with the necessary skills and expertise to work as a team?
  • You’re more likely to be raising money through a ‘patchwork’. It’s very unlikely that you will have just one source of income.

This all chimes with my experience of supporting nonprofits with community asset transfer and funding. The strength of the team and its planning is really crucial to success.

The one thing I’d add here is that evidence of community involvement and buy in is equally important. It’s one of the key things Dudley Council will take into account when making decisions on bids for community asset transfer and funders like the National Lottery Community Fund make community involvement a key criterion of all its programmes. You’ll need to be able to demonstrate that the community has been involved in the development of your plans and that the community wants your project to happen!

In terms of community asset transfer in Dudley borough, Dudley Council has made a ‘How to’ guide which tells you what they look for in a robust business case and I’ve made a template business plan which is based on this. What the local authority will look for can be boiled down into a few things:

  • Realistic costings, projections and sources of income: Do you know what condition the facility is in? Does any money need to be spent to bring the building back into use and if so, where is this money likely to come from? Do you already have some confirmed resources to put into it? What are the likely running costs?
  • Robust income-generation model / evidence of sustainability: What activities will bring in income? How realistic are these? Have you spoken to people who are willing to spend money here? What evidence do you have to show that your income will be able to cover running costs?
  • Benefits for the whole community: How will the community benefit? How will people be able to get involved? What positive difference will this make? How will your activities link to local and national strategies? If your building will be used for just one type of activity, it’s less likely to get support.
  • Evidence of community-involvement in the plan: How have members of the local community been able to have a say on what will happen at your facility? Can they be involved as members or will they be able to have a stake in your project?
Photo by Jens Behrmann on Unsplash

2. Social investment (Kieran Whiteside, Good Finance)

Social investment comes in many forms and, although it’s not particularly new, it’s constantly evolving. Not many of the organisations I’ve worked with have wanted to consider social investment, being put off by its repayable nature. In the current climate, though, I think groups should seriously consider it.

The starting point is to learn about what it is to find out about what type might suit you. And in this webinar, Kieran gives us a brief overview of what social investment is and what tools can help you to get started:

  • Social investment is repayable finance, where the investor looks for a social as well as a financial return on their investment. This means you need to be clear about what you need the money for, whether there’s an income stream that will help you to repay, and what social impact you will create (this is about ‘outcomes’ and I recommend the now archived ‘Getting funding and planning successful projects’ guide from National Lottery Community Fund back when it was known as the Big Lottery Fund).
  • The Good Finance website can help you to understand social investment. It has a diagnostic tool to help you to understand whether social investment is right for you and the type of social investment you should consider.
  • Community shares: This involves raising money from the community by issuing shares in the organisation through a formal community share offer. It’s a great way of demonstrating real community buy-in for a project, but only certain types of organisation can issue shares. The Community Shares Unit is a good source of information.
  • Blended finance: This type of social investment is typically a grant + a loan. It’s more common for investments of £250,000 or less.
  • Secured loans: Like a mortgage against an organisation’s asset. This means that the organisation needs to own a building / asset for use as collateral. Social banks, some high street banks and some specialist funders offer secure loans with typically lower interest rates.
  • Finally, crowdfunded investment: Different from rewards-based crowdfunding (Kickstarter, for instance), but more like peer-to-peer lending. You’ll find more information on Ethex or Community Chest

3. Case study of Stretford Public Hall, which ran a successful community share offer (Simon Borkin, Stretford Public Hall)

I was really inspired by the story Simon told of Stretford Public Hall and the power of a community coming together to make things happen!

Stretford Public Hall is a Grade II listed Victorian building that fell into disuse (for the second time) in 2014. In 2015 the Friends of Stretford Public Hall successfully used the Localism Act to get the building listed as an asset of community value. The group secured the freehold of the hall from Trafford Council which meant they could start refurbishment.

To raise money through a community share offer, the Friends of Stretford Public Hall had to set up as a community benefit society (or Ben Comm) so that the organisation could issue shares. This allowed members to invest in the organisation in return for shares, but the principle of the Ben Comm is that each member gets one vote, no matter how many shares they bought.

To set up a community share offer, the organisation had to draw up a business plan and a formal share offer document. Both of these are available on the Stretford Public Hall website, along with lots of other information about how the organisation is run.

What struck me most about this case study was the importance of engaging with the community and the real openness to involving the community in the organisation’s set up and decision-making. It really shows that the friends of Stretford Public Hall did the legwork to make sure the community was engaged and motivated, resulting in the organisation successfully raising £255,000 over 56 days from 790 people in the community and 7 organisations. It’s that kind of community involvement that decides whether a venture will succeed.

Photo by “My Life Through A Lens” on Unsplash

Great news from the brand new Priory Community Centre!

Becky 1 Comment

What a difference a year makes! Priory Community Centre now looks a far cry from the empty, not-quite-finished shell of a building I visited in June 2017. Now it’s vibrant, full of people of all ages doing all sorts of creative things together!

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It’s a journey that started long before I started working with the passionate group of people who make up Priory Community Association, a charity that’s been without a home since the North Priory estate in Dudley was flattened and redeveloped in 2010. Priory Community Association volunteers live and breathe their community; they continued to work in the community at other venues to make sure they stayed connected, they maintained links with other community centres for support while they were without a home and they provided a strong voice for what the new community centre should look and feel like.

Last year, I was asked to support Priory Community Association through the asset-transfer process, work that had been started by my former colleague Caroline, who’d worked closely with Dudley Council staff on its asset-transfer strategy. In basic terms, asset transfer is when building or land moves from statutory control into the control of not-for-profit organisations. In Dudley borough, this has in most cases been a transfer of management (through a lease) rather than transferring ownership from the local authority to another organisation. Asset transfer can be a lengthy process (with more work required the longer the lease is), so it’s good to approach it with realistic expectations. Generally, the process involves completing a short expression of interest and then working on a business plan that will show the community support for the transfer, what kinds of activities will happen there and how they will benefit the community and the financial viability. Understandably, the local authority will want to make sure that the transfer will benefit the community and that it is sustainable.

So this is the process we started with Priory Community Association. We got busy with the business plan and I think together we made a really strong case for the community benefits, linking not only with the Dudley Council plan but showing links to priorities of the Health and Wellbeing Board, West Midlands Police and Dudley Clinical Commissioning Group. We had some help and good feedback from Martin, who’s the principle link with the local authority for groups looking at asset transfer – he does an excellent job!

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What we all found more difficult was the financial figures. We were lucky enough to be able to get some figures from other community centres, but we weren’t sure how realistic they would be, given that Priory’s was a completely new building (and hopefully more energy efficient!). On top of that, while we were working on the plan, the completed building risked standing empty and Priory Community Association couldn’t give any certainty to potential users and hirers of the centre. So I asked Martin whether a temporary lease might be an option; this would allow Priory Community Association to get in the building and start managing it, giving them experience, building interest and providing a more realistic view of what the costs would be thus making their business plan more robust. At the same time, the building wouldn’t have to stand empty for too long and be at risk of deterioration.

Dudley Council was open to this, which was wonderful news! We thought ahead and it seemed that the timings might coincide with the summer holidays, so I suggested that Awards for All might be interested in funding a playscheme with a difference – one that would help to launch the brand new community centre and kickstart other activities that would happen there. Together we worked on the application – it was a good one! – and Priory Community Association landed a grant of around £5,000 from Awards for All. The group also successfully applied to Dudley Council’s Community Forums to help them furnish the kitchen and other areas of the centre, and their good relationships with other community centres in the borough meant they had lots of chairs and tables donated.

I recently went back to the centre on the last day of the playscheme to see how things had gone. I was utterly staggered by what this passionate group of people has achieved! They’ve made connections with children and families who’ve come to the playscheme and joined in the range of the activities on offer, connections that will last many years judging by the ‘Thank you’ cards on display and the wonderful comments Priory Community Centre has received on its Facebook page, which has been joyously charting each day of the playscheme. Honestly, if you want to brighten your day, take a look at the wonderful pictures and comments like the ones below:

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During my visit a group of children and adults descended on trustees and volunteers with flowers and chocolates to say thank you for the two weeks of fun they’d had. Of course, I had to get a snap!

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Leaders, people like Celia, Sally and Rachel, have also instilled the sense that the community centre is for absolutely anyone and everyone. The behaviours the leaders have shown and the language they’ve used have helped people feel a sense of ownership. Children have made posters encouraging everyone to tidy up after themselves and people feel like they can contribute to making activities happen. The fact that they had enough volunteers to cover a day trip of 59 people to Weston and keep activities going at the centre shows that people are willing to help and volunteers are valued there. This is great news for the future of the centre!

The people I spoke to had lovely things to say about the local PCSO’s too. They went to each day of the play scheme, getting involved in the activities, judging competitions, doing the less attractive jobs! It seems like the play scheme has been a great way to connect communities with each other and with the people that serve those communities, like the Police, who want to be visible and engaged there.

The future looks good. Throughout the last few months, Priory Community Association have been engaging with people and organisations that might want to use the centre. There’s an exciting plan in the pipeline with young people’s charity Top Church Training, which might see the Community Centre cafe opening regularly, and there’s been a lot of learning about what works from the play scheme – a regular families session might be on the cards!

Whatever the plans, I wish Priory Community Centre every success. The people involved make my job an utter privilege and we’ll always be happy to support them as they develop.

Meet the volunteers transforming Lye and Wollescote Cemetery

Becky 3 Comments

Shadowed by the beautifully refurbished Lye and Wollescote Chapels (now known as the Thomas Robinson Building) Lye and Wollescote Cemetery is a peaceful spot for reflection and an historically fascinating site. I visited recently and was overwhelmed by the transformation the Friends of Lye and Wollescote Cemetery have made to the site in the past two and a bit years since I saw them last!

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IMG_20180808_113733885_HDR-01Lye and Wollescote Chapels is a rare example of two chapels – Church of England and Nonconformist – being housed in one building, and originally the cemetery was divided along those lines. The cemetery now has an area for Muslim burials, it houses the graves of 29 servicemen who lost their lives in the First and Second World Wars (managed by the Commonwealth War Graves Commission) and it’s the final resting place of local people of historical significance, from inventors to entrepreneurs.

The Friends of Lye and Wollescote Cemetery are working hard to make sure people can still see these links to the past and to create a pleasant environment for visitors. The group came together during the renovation of the Grade II listed chapels led by West Midlands Historic Buildings Trust (WMHBT). As part of the £1.2m project, WMHBT wanted to engage with the community to increase the chances of the project’s long-term sustainability. Soon, a small group of volunteers was clearing the cemetery ground on the first Saturday of every month.

FoLWCDonna and I met the volunteers in 2016. We visited the cemetery, which was overgrown and pretty uninviting (I’m sure it didn’t help that it was a cold and dismal January morning!) and did a series of workshops in the nearby (and warm) Stambermill House where we built a vision for what the cemetery could be like in the future, painted a picture of the skills, talents and networks that each volunteer brought and created a simple plan. We also developed a simple constitution during our conversations about whether the volunteers would like to become a constituted group or to remain informal for the time being.

Fast forward two years and the group has achieved so much! The Friends of Lye and Wollescote Cemetery signed their constitution and opened a bank account, which unlocked a grant of £5,000 from the Community Forums. They’ve also managed to raise a further £2,500!

The visible difference the group has made to cemetery is clear. They’ve cleared grounds and uncovered graves that they didn’t know were there; they’ve cleaned graves meticulously; they’ve brought in professionals to repair graves; they’ve installed two beautiful benches commemorating those who died in the First and Second World Wars; they’ve set up a system to make it easier for people to carry water from the site’s only tap.

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All of this work has increased the number of visitors to the cemetery, whether for the local history, for remembrance or for the peaceful environment that’s open to everyone. The Friends have told me that more people now come to lay flowers at graves, many of which have no family members left to tend to them.

IMG_20180808_112838443_HDR-01The group’s Facebook group is very active too, and there are always lots of messages of thanks to the Friends from local people who walk through the grounds, as well as progress reports from the Friends themselves. It really feels like these volunteers have built a sense of community around this almost forgotten site.

Coincidentally, when I paid a visit to the grounds I met Ian from Dudley Council’s Bereavement Services, which manages the cemetery. Ian was as enthusiastic about the group’s achievements as I am and he’d love it if every cemetery in the borough had a friends group, testament to how local people really do make local places.

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So what about the future? Members of the Friends of Lye and Wollescote Cemetery plan to continue their work. They want to repair more graves, which costs money; each grave that needs professional repair costs in the region of £400-£1,500. I’m in the process of identifying funders that may support this type of work and the group will do plenty of its own fundraising. Wish us luck!

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If you’d like to get involved with Friends of Lye and Wollescote Cemetery, you’ll find them on site on the first Saturday of every month from 9.30am. They meet on the third Wednesday of the month, 6.30pm at Stambermill House and you can always join the Facebook group.

Nurturing caring, vibrant and caring communities – A snapshot of our story over the last year

Helena 1 Comment

We are really pleased to share the work that our Dudley CVS team have been doing over the past year in our most recent annual review. The 2016-17 review is a snapshot of the work we’ve done between April 2016 and March 2017 to support individuals, communities and organisations across Dudley borough.

Take a look at our annual review website and read about how we’ve been connecting and inspiring people and organisations to achieve positive change and championing their work.

Or, if you would like to read a short snapshot of our story, you can download our pdf version by clicking on the image below:

I hope you enjoy learning about the work we’ve been doing over the past year. If you’ve any feedback please feel free to leave a comment!

Be part of our collective story and share how you’ve been involved in our work or how you would like to get more involved! #dcvstory

How communities can breathe life into their green spaces: Friends of Huntingtree Park

Becky 3 Comments

I’m really pleased that one of the first groups I worked with since joining Dudley CVS, has now become a charity and it was lovely to pay them a visit earlier this week to see how they were getting on.

Friends of Huntingtree Park started in 2006 to address issues of antisocial behaviour in and around the park, which was causing the park to be underused and therefore unloved. Supported initially by my Dudley CVS colleague Kate, the Friends set up a simple constitution to formalise themselves as a voluntary group. They were also supported by a network of ‘Friends of…’ groups across Dudley borough and the local authority’s Parks Development team.

Friends groups are all sorts of shapes and types of not-for-profit organisation. Some are simple voluntary groups that don’t have much paperwork (in fact, many start this way), such as Friends of Grange Park, which I’ve helped to get set up in the last few months; others are registered charities and incorporated in some way because they have taken on more responsibilities. Some Friends of Parks groups work alongside the local authority to help keep their park looking attractive; some manage buildings on the park; others put on all sorts of events; some try to raise funds to improve facilities on the park; others do a combination of all of these things! Some groups focus on things like nature and biodiversity; others focus on health and social activities. It really depends on what kind of park and facilities are there and of course, on the kinds of things local people want to do on that particular park. I’ve met people from lots of different Friends groups and it’s clear that they have something in common. They all love their local green spaces and understand how important it is to protect them!

When I started working with Friends of Huntingtree Park in 2008, they were a simple voluntary group with a constitution and a determination to make their park an attractive environment that everyone could enjoy. Group members were passionate about involving children in the park, believing that if children had a sense of ownership in the park, the park would be loved for years to come.

FOHP Mosaic

Friends of Huntingtree Park planned a lovely project with Huntingtree and Lutley primary schools; bringing in borough artist, Steve Field, to design and make two mosaics which would be installed at the park’s entrances. I helped the group to access £10,000 in grant-funding from Awards for All and the now-defunct Grassroots Grants programme. The mosaics were installed and they still look beautiful!

Nowadays Friends of Huntingtree Park continue their association with the local schools and regularly plant flowers and trees with their pupils. On top of that, the group has good links with Halas Homes, whose community also gets involved in projects on the park.

Huntingtree Park was chosen as one of the five ‘Healthy hubs’ in Dudley borough’s Healthy Towns initiative; the Friends think that having a really active Friends group was crucial to Huntingtree Park being chosen. Being a ‘Healthy hub’ meant that the park benefited investment of staff and money that allowed the MUGA (multi-use games area), outdoor gym and other facilities to be developed and many healthy activities to run in and from the park’s activity centre.

The park also has a bowling green where people of different ages and abilities get together for a game. The green was previously managed and maintained by Dudley Council, with bowlers paying the Council for access. The Friends of Huntingtree Park has built relationships with the bowlers over the years, helping to purchase equipment and promoting the sport as something anyone can get involved in.

Late last year, the bowling green at Huntingtree Park came under threat due to public sector budget constraints. The Friends group entered into discussions with the local authority and the bowlers to explore how the green could be saved and maintained in the future. Everyone agreed that the Friends of Huntingtree Park could manage the green on lease from the local authority. At this point, the Friends recognised that it might be the right time to alter how the group was set up to get them on the right footing for taking on this extra responsibility. That’s when the group asked me for some support to think about how they could develop.

I met Alan, Lynda and Jane from the group and we talked about how it might work, what could go wrong and how the group could reduce that risk. We looked at budgets and the pros and cons of charity registration. We also discussed appropriate legal structures that might offer group members more protection when their liabilities increased. With some consideration, group members decided to set Friends of Huntingtree Park up as a CIO (charitable incorporated organisation), which would give them the benefits of charitable status and a corporate structure that would give them some protection.

The process involved developing a new constitution for the group; we did a fair amount of working getting the group’s charitable purposes (its reasons for existing) just right so that the Charity Commission would accept them. Once the constitution was ready, it was time to work on the application. I worked with Alan and Lynda on this and the application was submitted after a couple of meetings. We were really pleased when the Charity Commission confirmed a few weeks later that Friends of Huntingtree Park was now a CIO!

In the meantime, the Friends group and the bowlers were working together and with the Council to help a smooth transition. When the heads of terms for the lease came from the Council, the group was able to plan with real figures and it looked very positive! The group was able to pay a modest sum per year for the lease, engage a groundskeeper who would do routine maintenance. The bowlers agreed to transfer their subs from the Council to the Friends group to ensure that the green can be used for years to come.

FOHPAnd as Lynda walked us around the park earlier this week, it seems clear why this is working beautifully; it’s the relationships that the members of the Friends group have built with bowlers, residents, schools, park rangers, people from other groups. Everyone seemed to know each other and to have time for each other! It was lovely to meet Colin, a bowler who simply started teaching others to bowl a few years ago and hasn’t stopped since, building a social group that gets together for a game. I met Stuart, the Physical Activity Activator, who told us about his involvement in ShareFest! It was equally a treat to meet members of the social group who meet each Tuesday afternoon for an amble around the park, knitting (the results of which often go to babies born prematurely), coffee, cake and a chat. I was so happy to see the networks and friendships that had developed between everyone and this is something that only needs a few ingredients: open, caring people who want to share their skills and a place where they can do it!

 

A snapshot of our work supporting people, communities and organisations over the last year

Becky 3 Comments

1

I’m really pleased to share the work that my colleagues and I have been doing over the past year in a our most recent annual report. So new, it’s not yet hot off the press, the 2015-16 annual report is a snapshot of the work we’ve done between April 2015 and March 2016 to support individuals, communities and organisations across Dudley borough.

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Dudley groups that got involved in Small Charity Week

Becky 1 Comment

Small Charity Week 2016I just wanted to say a big ‘THANK YOU!’ to everyone who got involved in Small Charity Week in Dudley borough and to highlight the organisations that joined in our conversations.

We had quite a few conversations online and some busy activities that I really hope were useful and stimulating for everyone that joined in.

 

 

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How far we’ve come with Brierley Hill Civic Hall

Thomas 3 Comments

Col Civic

Since taking on Brierley Hill Civic we’ve found that everyone from local small groups to international music promoters are very excited in the work we’re doing to bring new life into this amazing building.

We took on on the Civic in February and we’ve had great support from the council, staff at the Civic, businesses and charities, all helping us in the early stages of this exciting journey. In March we kicked off with an open day to learn more about what the community, organisations, schools and businesses want from their Civic Hall.

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