Local councillors set to have more say on S106 agreements

s106

Following the revelation that Cheshire East Council was holding millions of pounds in their S106 account they are proposing to make changes to ensure that local councillors are more aware and involved in the S106 process.

As the result of a Freedom of Information Request, alderleyedge.com revealed in September 2015 that Cheshire East Council (CEC) was holding over £14m in their S106 account.

According to the Council coverage in the local press impacted negatively on their reputation and Members of the Council raised concerns about the lack of information being received regarding S106 agreements in their wards. Concern has also been expressed by Members regarding the desire to be more involved in how agreements are made, what the money is raised for and how the money is being spent.

As a result a Task and Finish Group was established to consider how member involvement in Section 106 agreements could be improved whilst ensuring that their involvement provides better outcomes for communities.

Section 106 agreements are legal agreements between the Council and developers, if these agreements are not developed effectively then the Council may not be able to claim funds from developers for community projects. Many section 106 agreements also have deadlines for when the funds must be spent by therefore there is a risk of losing funds through ineffective processes.

The Task Group made a number of recommendations that were approved at a meeting of the Jobs, Regeneration and Assets Overview and Scrutiny Committee on Monday, 21st March. The report will now be considered by Cabinet when it meets on April 12th to decide whether or not to support the recommendations.

To ensure the Council effectively involves local councillors and town and parish councils in the setting up and use of section 106 agreements the Task Group recommended that Ward Councillors be involved at the earliest possible stage about all possible Section 106 agreements for developments in their ward.

Further training on S106 agreements will be provided for councillors who were unable to attend the sessions held in December 2015 and a fact sheet on section 106 agreements will be created and shared with Borough Councillors and Town and Parish Councils to provide a better understanding of the process.

Once councillors are sufficiently informed about the section 106 process ward members will be encouraged to proactively work with their town and parish councils to develop a wish list of projects in their area which could potentially be allocated funding through section 106 agreements.

Additionally, the Section 106 Officer position, which is currently vacant, will be filled as soon as possible and they will hold six monthly section 106 update meetings for ward members.

Councillor Hayley Wells-Bradshaw, Chairman of the Section 106 Agreements Task and Finish Group said "For many Councillors there has been a feeling of frustration about an apparent lack of involvement in something that affects their ward in a tangible way. This frustration may in part be down to a lack of understanding from Councillors and Town and Parish Councils as much as it is down to an ineffective system.

"The training sessions for Councillors have been important, particularly for new members like me, to help us understand what can and can't be done. There are a lot of new councillors at town and parish level as well and the Council needs to help their understanding. As Borough Councillors we also have a responsibility to ensure our town and parish councils and residents also have an accurate understanding of the S106 processes and support the Council."

Cllr Craig Browne is a member of the Task and Finish Group, speaking about the recommendations he said "The main impact that I hope the recommendations will have (if accepted) will be to help make the whole Section 106 process more transparent by requiring Officers to involve Ward Members at an early stage of the negotiations, so that they can help make sure that the agreed schemes actually help address local priorities (although this will be further helped where Town & Parish Councils have a Neighbourhood Plan in place).

"Another impact will be to help improve awareness of what Section 106 schemes are in place at the moment and also how the funds are able to be used. Payments are often "triggered" when developments reach a certain stage, but the schemes are also usually very tightly restricted, so the monies cannot just be spent on anything. Hopefully this will be addressed in future through briefing/training sessions for Town & Parish Councils.

"Finally, the proposal for regular (six-monthly) meetings between Ward Members & Section 106 Officers will help improve the monitoring of how and when the funds are being spent, including any remaining balances. This is something that we, as Cheshire East Councillors, are often asked about (either by residents or Parish Councillors) and it is important in terms of transparency that we are able to provide an answer."

As the result of a Freedom of Information Request we submitted in September 2015, alderleyedge.com revealed that at the time the Council had £216,283 in the bank from agreements relating to Alderley Edge which represented a substantial increase since we had last obtained figures. In October 2013 the amount set aside for Alderley Edge was £146,783.

Money set aside for Alderley Edge includes a payment of £59,283 from the development at 17-23 London Road, where Tesco Express is located, which is to be used for transport services and infrastructure, and £88,678 from the Eden Park development on Macclesfield Road to be used towards the provision of affordable housing in a rural area to be determined by CEC.

Additionally there is £40,083 from the Oak Park development on Heyes Lane for the enhancement of Alderley Park, Heyes Lane Allotments and Chorley Hall Lane playing fields and £28,239 from the Greenlands development on Chorley Hall Lane to be used for the enhancement of facilities at Alderley Park and Chorley Hall Lane along with the provision of outdoor sport facilities.

There is a time limit on the £28,239 from the Greenlands development on Chorley Hall Lane - to be spent by March 2021 - and the £40,083 from the Oak Park development on Heyes Lane - to be spent by October 2029.

There is no time limit on the £59,283 from the development at 17-23 London Road, where Tesco Express is located, or the £88,678 from the Eden Park development on Macclesfield Road.

If the time to utilise a section 106 were to expire Cheshire East Council would be required to return any of the uncommitted balance to the developer. However, this has never happened.

Tags:
Cheshire East Council, Craig Browne, S106 Money
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Duncan Herald
Tuesday 29th March 2016 at 3:32 pm
blood; stone from