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S106 Developer Contributions: Taking Stock

Meeting: 17/03/2016 - Community Services Scrutiny Committee (Item 67)

67 S106 Developer Contributions: Taking Stock pdf icon PDF 72 KB

Minutes:

Matter for Decision

A report to this Committee March 2015 highlighted significant changes arising from restrictions (from April 2015) on the use of future S106 contributions. New ones had to be for specific projects and no more than five of these could be used/pooled for any particular project.

 

An interim approach to seeking new, specific S106 contributions was agreed and introduced last June. This anticipated a gradual build-up in securing new S106 funding alongside a need to strengthen the evidence base for justifying specific developer contributions. A review of the interim approach in early 2016 was requested – and this was the focus of the report for this item.

 

The Council may need to continue the interim approach for another year (at least) before the CIL system can be implemented locally.

 

The interim approach for new, specific contributions also needed to be viewed alongside the use of existing, generic S106 funds. In the last six months, over £2 million had been allocated to new priority projects.

 

Overall, the availability of generic S106 funding was tapering off and running down.

 

Decision of Executive Councillor for City Centre and Public Places

       i.          Agreed that the Council’s interim approach should now focus on seeking specific S106 contributions:

a)   primarily from appropriate major developments for projects relating to specific open spaces, community facilities and indoor and outdoor sports facilities;

b)   from both major and minor developments, as appropriate, for specific play area projects;

     ii.          Approved the ‘target lists’ of possible specific play area and open space projects as a starting point for seeking new S106 contributions from planning approvals in 2016/17 as set out in Appendices B and C;

   iii.          Noted the other improvements to make the interim approach to seeking specific S106 contributions simpler and more effective (see paragraphs 4.5 – 4.14 in the Officer’s report).

 

Reason for the Decision

As set out in the Officer’s report.

 

Any Alternative Options Considered and Rejected

Not applicable.

 

Scrutiny Considerations

The Committee received a report from the Urban Growth Project Manager.

 

In response to Members’ questions the Urban Growth Project Manager said the following:

       i.          Specific S106 contributions could only be entered into for mitigating the impact of particular developments at nearby facilities, where a case could be made (backed up by audit findings and other evidence) that this was necessary. For this reason, specific contributions would not be evenly spread across the city. This explains why the target lists of play areas and open spaces for which specific S106 contributions could be sought did not cover facilities in all wards.

     ii.          S106 developer contributions were used to mitigate the impact of developments, not address areas of deprivation.

   iii.          Whilst target lists of facilities for which S106 specific contributions could be sought were a starting point for negotiation. Specific contributions for other facilities may also be considered if it can be demonstrated that there is a strong need to mitigate the impact of a particular nearby development..

 

The Executive Councillor for City Centre and Public Places added that the Outdoor Play Investment Strategy would be a way to implement play area improvements through funding separate to specific S106 contributions.

 

   iv.          Alongside the arrangements for specific S106 contributions, the council still had some generic S106 contributions (from S106 agreements entered into before 6/4/2015), albeit that this funding availability is tapering off and running down. The next S106 priority-setting round would be in 2016/17. Officers would bring a report on the arrangements for this priority-setting round  to the committee in June or September 2016.

 

The Committee unanimously resolved to endorse the recommendations.

 

The Executive Councillor approved the recommendations.

 

Conflicts of Interest Declared by the Executive Councillor (and any Dispensations Granted)

No conflicts of interest were declared by the Executive Councillor.