Agenda item

9.1

The Executive Director, Place submitted a report in relation to the Community Infrastructure Levy (CIL)

9.2

RESOLVED: That Cabinet:-

(a)

notes the recommendations of the CIL Examiner’s Report, received on 25 February 2015, that the CIL charges proposed are appropriate (with three amendments) and that the Charging Schedule be approved and resolves to recommend to Full Council that the CIL Charging Schedule is approved with an implementation date of 15 July 2015;

(b)

agrees to offer an Instalment Policy and Exceptional Circumstances Relief for CIL, as set out in the documents attached to the report;

(c)

agrees to the production of a Supplementary Planning Document on CIL and Planning Obligations, to be referred to Cabinet for subsequent approval following public consultation; and

(d)

agrees that the Interim Regulation 123 List will be adopted as the Council’s list of infrastructure projects or types of infrastructure that it intends will be, or maybe, wholly or partly funded by the CIL (the Regulation 123 List);

(e)

agrees that Cabinet shall take recommendations from the Council’s various internal programme and outcome boards to create, and update as required:-

(i)

the priorities for the Infrastructure Delivery Plan; and

(ii)

the Regulation 123 List; and

(f)

agrees that projects funded by the CIL shall be approved by Cabinet as part of the Council’s capital and revenue financial approval procedures.

9.3

Reasons for Decision

9.3.1

The CIL will help deliver the City’s strategic priorities for infrastructure provision, will be generated by economic growth and reinvested into economic growth and infrastructure. Specifically it will:-

·         Be fairer, faster and more transparent than Section 106;

·         Give the Council and local communities freedom to set infrastructure priorities that are justified;

·         Be a predictable funding stream making infrastructure delivery more efficient;

·         Give developers certainty and quicker planning decisions;

·         Be more transparent and flexible than Section 106;

·         Reward communities for new development through the neighbourhood portion;

·         Be supported and promoted by Government;

·         Focus on strategic infrastructure priorities for the City as well as local priorities through the neighbourhood portion;

·         Focus on delivering new homes and businesses in the priority locations set out in the local plan;

·         Generate significantly more funding than Section 106; and

·         Be set at a level that ensures it is affordable.

9.3.2

The Council is committed to charging a CIL and the Government Planning Inspector has confirmed the levels of the charge proposed are appropriate. The Council must now approve the CIL Charging Schedule at a meeting of Full Council.

9.3.3

Implementation of the CIL will also require details of the Instalments Policy and Relief for Exceptional Circumstances to be approved by Cabinet. It will also require clarification on how the CIL will work alongside Section 106 and how the CIL funds will be spent.

9.4

Alternatives Considered and Rejected

9.4.1

One option is not to implement a CIL, as it is not compulsory. Some local authorities have decided not to implement a CIL at the present time, where there are no major infrastructure requirements or viability is marginal, but most Councils are working on a CIL because funding for infrastructure is otherwise limited. As of mid-January 2015, 186 out of 326 local authorities have published a Charging Schedule (including 5 out of 8 Core Cities) and around 60 were already charging CIL. The CIL Examiner’s report confirms that it is appropriate to implement a CIL in Sheffield.

9.5

Any Interest Declared or Dispensation Granted

None

9.6

Reason for Exemption if Public/Press Excluded During Consideration

None

9.7

Respective Director Responsible for Implementation

Simon Green, Executive Director, Place

9.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Economic and Environmental Wellbeing

(NOTE: This will be forwarded to Full Council to approve the Charging Schedule at its meeting to be held on 3 June 2015).

9.1

The Executive Director, Place submitted a report in relation to the Community Infrastructure Levy (CIL)

9.2

RESOLVED: That Cabinet:-

(a)

notes the recommendations of the CIL Examiner’s Report, received on 25 February 2015, that the CIL charges proposed are appropriate (with three amendments) and that the Charging Schedule be approved and resolves to recommend to Full Council that the CIL Charging Schedule is approved with an implementation date of 15 July 2015;

(b)

agrees to offer an Instalment Policy and Exceptional Circumstances Relief for CIL, as set out in the documents attached to the report;

(c)

agrees to the production of a Supplementary Planning Document on CIL and Planning Obligations, to be referred to Cabinet for subsequent approval following public consultation;

(d)

agrees that the Interim Regulation 123 List will be adopted as the Council’s list of infrastructure projects or types of infrastructure that it intends will be, or may be, wholly or partly funded by the CIL (the Regulation 123 List);

(e)

agrees that Cabinet shall take recommendations from the Council’s various internal programme and outcome boards to create, and update as required:-

(i)

the priorities for the Infrastructure Delivery Plan; and

(ii)

the Regulation 123 List; and

(f)

agrees that projects funded by the CIL shall be approved by Cabinet as part of the Council’s capital and revenue financial approval procedures.

9.3

Reasons for Decision

9.3.1

The CIL will help deliver the City’s strategic priorities for infrastructure provision, will be generated by economic growth and reinvested into economic growth and infrastructure. Specifically it will:-

·         Be fairer, faster and more transparent than Section 106;

·         Give the Council and local communities freedom to set infrastructure priorities that are justified;

·         Be a predictable funding stream making infrastructure delivery more efficient;

·         Give developers certainty and quicker planning decisions;

·         Be more transparent and flexible than Section 106;

·         Reward communities for new development through the neighbourhood portion;

·         Be supported and promoted by Government;

·         Focus on strategic infrastructure priorities for the City as well as local priorities through the neighbourhood portion;

·         Focus on delivering new homes and businesses in the priority locations set out in the local plan;

·         Generate significantly more funding than Section 106; and

·         Be set at a level that ensures it is affordable.

9.3.2

The Council is committed to charging a CIL and the Government Planning Inspector has confirmed the levels of the charge proposed are appropriate. The Council must now approve the CIL Charging Schedule at a meeting of Full Council.

9.3.3

Implementation of the CIL will also require details of the Instalments Policy and Relief for Exceptional Circumstances to be approved by Cabinet. It will also require clarification on how the CIL will work alongside Section 106 and how the CIL funds will be spent.

9.4

Alternatives Considered and Rejected

9.4.1

One option is not to implement a CIL, as it is not compulsory. Some local authorities have decided not to implement a CIL at the present time, where there are no major infrastructure requirements or viability is marginal, but most Councils are working on a CIL because funding for infrastructure is otherwise limited. As of mid-January 2015, 186 out of 326 local authorities have published a Charging Schedule (including 5 out of 8 Core Cities) and around 60 were already charging CIL. The CIL Examiner’s report confirms that it is appropriate to implement a CIL in Sheffield.