Planning obligations community benefit strategy
Background
LTGDC adopted a Planning Obligations Community Benefit Strategy
(POCBS) in March 2008. This is to ensure that developments
contribute financially and in kind towards the infrastructure that
is needed in the London Thames Gateway area to support the
developments that are coming forward for planning approval. The
Strategy is currently under review to ensure that the charges
remain appropriate and to build in any refinements from its initial
period of operation. We welcome your comments on the proposed
revisions.
Current Operation of the Strategy
The Discounted Standard Charge is currently set at:
- £10,000 in Lower Lea Valley (LLV)
- £6,000 in London Riverside (LR)
Two area-based pooled funds have been established and the LLV/LR
Management Groups, together with the Developer and Landowner
Liaison Group assist in determining how these funds are best
prioritised to help fund essential infrastructure required for the
regeneration of the area.
LTGDC has negotiated £44m towards the pooled fund and £15m on
specific agreements. The Corporation has received £3.6m in S106
contributions, including £1.7m towards the LLV pooled fund. Six
agreements have been signed that include the tariff and five are
under negotiation. Projects funded to date include:
- DLR Daisy Display
- Controlled Parking Zones and Traffic Regulation Orders
- LLV bus route study
- Air Quality Monitoring
- Public Realm Improvements
2009-10 Review
At the point of adoption, the Board noted a commitment to review
the Standard Charge and Discounted Standard Charge in 2009, and
that this process should be done collaboratively with the
Management Groups and Developer Liaison Groups. LTGDC
re-commissioned Environmental Resources Management (ERM), who had
assisted in the development of the original Strategy, to review the
process and level of charge, in light of its initial period of
operation and any impacts in relation to the current economic
climate.
The findings of the review were presented to the Board in
October 2009, with a recommendation to go out to consultation on
the proposed revisions to the Strategy. Board agreed to this
approach and therefore comments were invited on the proposed
changes to the POCBS. Please find attached below a revised version
of the Strategy with track-changes (October 2009), ERM’s technical
report and appendices (September 2009) and a summary of the main
proposed changes together with a list of consultation questions.
The consultation ran from October 2009 – January 2010 and LTGDC is
currently reviewing comments received in relation to the
consultation.
Consultation Documents
Background Documents
In 2006 the LTGDC commissioned Environmental Resources
Management (ERM) and Sustainable Property Consultants to produce
a report and annexes regarding a
potential Section 106 Strategy for the LTGDC.
Linked below are the adopted Startegy and related background
documents:
Previous Consultation
Several rounds of consultation took place throughout the
development and adoption of the Strategy and a wide range of
responses were received, which informed the approach to planning
obligations set out by LTGDC in the Strategy. A full summary of the
consultation responses received and the LTGDC response to these
comments was reported to LTGDC Board in March 2008 and is available
here
In summary, previous consultation on the POCBS took place:
- December 2006 - January 2007 on the technical reports
- August - November 2007 on the detailed provisions within the
Strategy
- January - February 2008 on specific final details
Relationship with Community Infrastructure Levy
The review of the Strategy considered changes to the legal and
policy context since the Strategy was adopted in March 2008. The
main change is the proposed introduction of a standardised
infrastructure charge in the form of the Community Infrastructure
Levy (CIL). The Regulations that will govern the operation of CIL
have been recently out to consultation, and include potential
measures to restrict the use of tariffs and tie S106 obligations to
site specific issues. The introduction of CIL therefore has the
potential to limit the operation of the Strategy, but the
Corporation has responded to the CIL consultation making the case
for the continuation of the LTGDC tariff (please see link to
LTGDC
response). In any event, it is likely to be several years
before S106 is formally restricted so as to prevent tariffs and
several years before boroughs are in a position to implement CIL,
and therefore the review concludes that there have been no
substantive changes which require LTGDC to reconsider the Strategy
as a whole.
Developer and Landowner Liaison Groups
LTGDC has committed to keeping developers and landowners
involved and informed in the provision of infrastructure and
expenditure of monies collected under the terms of the strategy. If
you are a developer or landowner with an interest in the Lower Lea
Valley or London Riverside areas, LTGDC would like to invite you to
become a member of the Developer Liaison Group that have been
established. Attendees at previous meetings include major
house-builders and developers, London First, RSLs, major landowners
in the area, planning and surveying consultancies, architectural
firms and utilities and infrastructure providers.
Please can you let Hannah Berriman know if you would like to
attend or find out the dates of the meetings. Please do not
hesitate to contact her if you would like any further information,
or have particular issues that you would like the meetings to
cover.