Agenda item

To provide an overview of the Section 106 (planning obligation) process, an update on recruitment and the recent Infrastructure Funding Statement.

The planning system played a key role in the delivery of outcomes to support economic growth and sustainable neighbourhood across South Kesteven.   This included housing and commercial development as identified in the Council’s Local Plan.  This, along with the delivery of environments and development that respond to the Councils climate change and quality agenda were key to achieving the priorities in the Council’s Corporate Plan (2020-2023). 

Planning Obligations, also known as Section 106 Agreements (s106), could be requested under the Town and County Planning Act (1990) (as amended) and were legal agreements used to mitigate the impact of a proposed development where it was not possible to do so by condition.  Such agreements were legally binding and entered between a local planning authority and the owner and developers of land on which planning permission was sought.  Such agreements may include obligations to undertake work and obligations to make a payment.  Typically, they were used to secure infrastructure such as affordable housing, highways improvements, education contributions and leisure facilities such as open space and play parks.  The obligations were focused on site specific mitigation of the impact of the development.

Since the last report to the Governance and Audit Committee, a restructure of the Planning Service had taken place. A new Infrastructure Delivery Officer post had been created through the restructure and a recruitment process was currently underway to fill the role. Once recruited to, a review of the processes from negotiation through to monitoring and collection, and spending and delivery of obligations was to take place. The post holder will engage with the Parish and Town Councils around infrastructure needed at a local level.

An Officer Working Group was set up in 2021 following an audit into s106 agreements.  However, on review, further work was required around the governance and role of that Officer Working Group. 

The Council was able charge fees for the work undertaken to monitor s106 agreements.  Once the Infrastructure Delivery Officer post had been recruited to, work will be carried out to create a charging scheme.  This would need to be on a cost recovery basis.  New Fees and Charges will need to be agreed in the usual way and this Committee was to be involved in establishment of a new fee setting structure.

The Chairman requested clarification of the expected timeline for completion of the review of the Local Plan.

The Assistant Director of Planning confirmed that there was a published Local Development Scheme that sets out the timetable for the Local Plan review.  The Council was currently aiming to submit the new Plan for examination to the Secretary of State in March 2024.  The supplementary planning document can then to be updated.

A Member asked if there were any time constraints and whether any monies were returned.

The Assistant Director of Planning informed Members that there were timely triggers within the planning obligations and that no monies had been returned in the last 18 months.

A record of outstanding monies was kept on a ward and parish basis.

It was proposed, seconded and AGREED:

That the Finance, Economic Development and Corporate Services Overview and Scrutiny Committee:

a)         Agreed to receive proposals on a new charging framework for the monitoring of Section 106 allocations, at a future meeting.