Agenda item - New Homes Bonus Scheme

Agenda item

New Homes Bonus Scheme

Minutes:

The Cabinet considered the report on a revised New Homes Bonus (NHB) Community Grants Scheme to enable community groups to apply for funding from the NHB grant received by the Council.

 

 It was noted that the revised Scheme had previously been deferred to enable a review of the funding position within the Medium Term Financial Plan. The allocation of £101k was included in the 2016/17 budget and approved at Council. As set out in the Financial Implications section of the report, the budget was balanced for 2016/17 and the shortfall for 2017/18 is being addressed. In view of the current level of balances,  the funds for NHB scheme are therefore available.

 

In addition attention was drawn to the £23,840 underspend from the 2015/16 NHB scheme process and it had been agreed that this be carried forward to increase the available funding for 2016/17 to approximately £124k.  The new scheme proposed that the funding be allocated to areas on the basis of the homes completed in 2014/15 (this being the most recent complete year of data available).  The bidding process by Community Groups was proposed to remain similar to 2015/16.

 

In accordance with Cabinet Procedure rules and with the agreement of the Leader, Councillor S. J. Baxter spoke on this issue.

 

Councillor Baxter welcomed the continuation of a NHB scheme and agreed with a number of aspects of the scheme. There were however a few points of concern.

 

In relation to the carry forward of £23, 840 underspend, Councillor Baxter felt it was unfair that this would now be allocated in accordance with the new regime as this would mean that communities which had been the location for new development at an earlier stage would be precluded from bidding for this funding.   

 

Within the Scheme itself, the criteria included that the projects must be sustainable but this would be very difficult if the funding available was £548 as in the Hollywood Ward. It was possible that the total cost of the application process would be more than the grant awarded.  Councillor Baxter also queried whether adjacent Wards could join together to apply in respect of projects which may be cross boundary. 

 

The Portfolio Holder for Finance, Councillor G. N. Denaro  responded that he had some sympathy in terms of the eligibility for  the £23,840. The initial thinking had been that the underspend could be rolled forward but this had been on the assumption that the guidelines for the Scheme remained the same.

 

In terms of the Scheme itself  it was proposed that the application process as a whole be reviewed by the NHB Panel and this could include a simplified process in respect of applications for smaller amounts. The Panel would also consider “joint” applications on a adjacent Ward basis and this could be made clearer within the Scheme.  

 

Members also discussed the availability of funding from other sources such as the  County Councillor Divisional funding. It was confirmed that information on this formed part of the application form.

 

Following discussion it was

 

RECOMMENDED:

(a)       that the revised New Homes Bonus Community Grants Scheme as set out in Appendix 1 to the report be approved subject to the exclusion of the sum of £23,840 (unallocated from 2015/16 scheme) and the subsequent recalculation of the sums available to each Ward ;

(b)       that 25% of the additional New Homes Bonus grant received in 2016/17 be used to calculate the amount of £101k to be allocated to the scheme; and

(c)        that the sum of £23,840 previously unallocated from the 2015/16 scheme, be allocated to bids from Communities previously affected by housing growth in 2015/16, using the criteria from 2015/16.

       

 

 

 

 

 

 

 

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