Agenda item

ANNUAL UPDATE ON S106 OBLIGATIONS

REPORT OF THE DEVELOPMENT AND CONSERVATION MANAGER

 

To receive the annual update on S106 activity for Letchworth.

Decision:

RESOLVED:

 

(1)       That the content of the report entitled Annual Update on S106 Obligations be noted.

 

(2)       That it be agreed that a report continue to be presented on an annual basis to the Letchworth Committee, which sets out full records of all Section 106 activity for the preceding financial year and which reflects changes in legislation and practice.

 

(3)       That, other than where a contribution has been negotiated for a specific purpose or project, Ward Members of the area where the Section 106 Obligation or Unilateral Undertaking funding is generated and the Area Committee be consulted prior to funding being allocated away from that area. Members must note that the discretionary funds are rapidly diminishing and will not be replaced under current legislation and practice, for reasons that are set out in the report.

 

REASONS FOR DECISIONS:

 

(1)       To ensure that there is a robust system for negotiating and managing Section 106 Obligations and Unilateral Undertakings, that records activity for each financial year and is placed in the public domain.

 

(2)       To ensure that the process is kept under constant review and Member scrutiny and that the risk associated with this activity is managed in an appropriate manner.

Minutes:

Audio Recording 1 hour 55 minutes 12 seconds

 

The Development and Conservation Manager presented the report entitled Annual Update on S106 Obligations together with the following appendix:

 

·                Appendix 1 - Current Held Funds Letchworth.

 

He drew attention to the following:

 

·                There was now a need to collate information district-wide and send it to central government, as an Infrastructure Funding Statement, every year from December 2020 – this would be an annual account of everything that has happened across the district in the previous financial year – Area Committee updates would continue each year;

·                He was looking at a Business Case for a Small Sites Community Infrastructure Levy to obtain funding from smaller scale developments;

·                This could be affected by planning reforms proposed in the government White Paper. The government was looking at a national levy which would be a uniform charge across the country to give more certainty to the development industry. There was no firm legislation on this yet and it may take some time to be implemented;

·                In July 2020 the new planning obligations Supplementary Planning Document had been endorsed and would take effect subject to the Local Plan being adopted;

·                There was Informal Open Space funding of approximately £17,000 available as well as funding for Pitch Sport which could potentially be used for some projects which had been earmarked for capital funding, for example the landscaping around the War Memorial;

·                There was £89,0000 available under Sustainable Transport Funding. The Transport Officer could co-ordinate with Hertfordshire County Council to draw down some of that funding for cycle projects;

·                The Pitch Sports budget could used to fund some football goals on the recreational grounds;

·                There was £120,000 in funding available for Healthcare. This could be used for the Health Hub project planned in the centre of Letchworth.

 

The following Members asked questions and took part in the debate:

 

·                Councillor Helen Oliver;

·                Councillor Sue Ngwala.

 

In response to questions the Development and Conservation Manager advised that once funding was received the Council had 10 years to spend it and this was closely monitored to ensure funding was spent before the deadline.

 

The Vice-Chair thanked the Development and Conservation Manager for presenting his report.

 

Councillor Helen Oliver proposed, Councillor Morgan Derbyshire seconded and it was

 

RESOLVED:

 

(1)       That the content of the report entitled Annual Update on S106 Obligations be noted.

 

(2)       That it be agreed that a report continue to be presented on an annual basis to the Letchworth Committee, which sets out full records of all Section 106 activity for the preceding financial year and which reflects changes in legislation and practice.

 

(3)       That, other than where a contribution has been negotiated for a specific purpose or project, Ward Members of the area where the Section 106 Obligation or Unilateral Undertaking funding is generated and the Area Committee be consulted prior to funding being allocated away from that area. Members must note that the discretionary funds are rapidly diminishing and will not be replaced under current legislation and practice, for reasons that are set out in the report.

 

REASONS FOR DECISIONS:

 

(1)       To ensure that there is a robust system for negotiating and managing Section 106 Obligations and Unilateral Undertakings, that records activity for each financial year and is placed in the public domain.

 

(2)       To ensure that the process is kept under constant review and Member scrutiny and that the risk associated with this activity is managed in an appropriate manner.

Supporting documents: