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Delegated Decisions DELEGATED DECISIONS When: 5.30 pm Tuesday 11 February 2020 Where: Room 1.02 Civic, 1 Saxon Gate East, Milton Keynes, MK9 3EJ Public Questions The deadline for the submission of public questions is 5:30 pm on Sunday 9 February 2020 and should either be delivered to the address below or sent by email to [email protected] Public Speaking Persons wishing to speak at an agenda item must give notice by not later than 5.15 pm on the day of the meeting. Enquiries Please contact Shelagh Muir 01908 254271- [email protected] or [email protected] This agenda is available at https://milton-keynes.cmis.uk.com/milton- keynes/Committees.aspx Milton Keynes Council, Civic, 1 Saxon Gate East, Milton Keynes, MK9 3EJ Tel: 01908 691691 (1) DELEGATED DECISIONS SCHEDULE 11 FEBRUARY 2020 ITEM SUBJECT DECISION MAKER 1. Approval To Appropriate Cripps Councillor Long Lodge And The Peace Site For (Cabinet Member for Housing and Housing Purposes Regeneration) (Pages 4 to 8) 2. Waste Collection Pilot Councillor Darlington (Cabinet Member for Public Realm) (Pages 9 to 28) 3. Milton Keynes Development Councillor Middleton Partnership – Appointment of (Cabinet Member for Resources Interim Chair and Innovation)) (Pages 29 to 31) 4. Proposed Admissions Councillor Nolan Arrangements from (Cabinet Member for Children September 2021 for and Families) Community and Voluntary (Pages 32 to 54) Controlled Schools NOTICE OF INTENTION TO HOLD THE MEETING IN PRIVATE The public and press may be excluded from the meeting by virtue of Paragraph 3 (Information relating to the Financial or Business Affairs of the Authority) of Part 1 of Schedule 12A of the Local Government Act 1972, in order that the meeting may consider the Annex(es) to items 5, 6 and 7: ITEM SUBJECT DECISION MAKER 5. Approval to Appoint an Councillor Marklew Operator to Manage and (Cabinet Member for Climate Maintain the Fairfields Action and Sustainability) Community Sports Facilities. (Pages 55 to 57) (Annex Circulated Separately) (2) 6. Approval to Award Construction Councillor Nolan Contact and Professional (Cabinet Member for Children Services Framework Contract for and Families) Glebe Farm School (Pages 58 to 61) (Annex Circulated Separately) 7. Approval to Award Construction Councillor Nolan Contact and Professional (Cabinet Member for Children Services Framework Contract for and Families) Hanslope School (Pages 62 to 66) (Annex Circulated Separately) (3) ITEM 1 Delegated Decision report 11 February 2020 Approval To Appropriate Cripps Lodge And The Peace Site For Housing Purposes Name of Cabinet Member Councillor Nigel Long Lead Member for Housing & Regeneration Report sponsor Michael Kelleher Director of Housing & Regeneration Report author/s Martin Stannells Development Manager Exempt / confidential / not No for publication Council Plan reference 3.4 Building of 500 council homes by 2022 Wards affected Woughton and Fishermead Summary The Cripps Lodge site was formerly occupied by the Council’s Adult Social Care (ASC) service and held within the General Fund. The site was vacated on 1 April 2019. The site, alongside the adjacent Peace site, offers an opportunity to build additional council houses in pursuit of the Corporate Plan target to deliver 500 new council homes by 2022 and facilitate the regeneration of the local area. This will provide much needed truly affordable housing to help those in housing need in the borough whilst delivering an annual saving to the General Fund of £68,000. In order to facilitate this, the sites need to be appropriated to the Housing Revenue Account (HRA) for housing purposes in accordance with Part II of the Housing Act 1985. The asset is valued at £1.7m, which is the value at which the property will be MK Council, Civic, 1 Saxon Gate East, Central Milton Keynes, MK9 3EJ (4) appropriated, as a result of which the HRA will pay for the cost of the capital invested; a cost to the HRA (and saving to the General Fund) of c£68,000 per annum. 1. Decision/s to be made 1.1 That Cripps Lodge and the Peace Site be held for the purpose of providing Council Housing in accordance with Part II of the Housing Act 1985. 1.2 That the site be cleared for development, to avoid unauthorised occupation or other anti-social behaviour which would hamper or delay redevelopment. 2. Why is the decision needed? 2.1 The Cripps Lodge site was formerly occupied by the Council’s Adult Social Care (ASC) service and held within the General Fund. The site was vacated on 1 April 2019 and ASC had no further service use for it. The PEACE site is adjacent to this site. The total extent of the site extends to approximately 1.7ha (4.2 acres) and is shown in the Annex. 2.2 One of the five pillars ‘To achieving a fit-for-purpose and sustainable asset base by 2024’ is by supporting the Council’s growth and regeneration agenda by using our existing asset base to identify opportunities to develop housing and job creation through strong partnership. This site being in a Regeneration area is a suitable opportunity and was identified early in the regeneration planning process. It achieves revenue saving for GF as well which is also part of our savings targets. 2.3 With over 940 households in temporary accommodation the site has been identified for new council housing. The Housing and Regeneration Service has engaged with Woughton Community Council and the local residents association to develop proposals for circa 60 new council houses, bungalows and flats on the site. 2.4 In order to enable the provision of Council housing, the site must be appropriated from the General Fund to the HRA in accordance with Part II of the Housing Act 1985. 3. Implications of the decision Financial Y Human rights, equalities, diversity N Legal N Policies or Council Plan Y Communication Y Procurement Y Energy Efficiency Y Workforce N MK Council, Civic, 1 Saxon Gate East, Central Milton Keynes, MK9 3EJ (5) Financial implications 3.1 A valuation was carried out by Kirkby Diamond in July 2019. The valuation of the asset was £1.7m This is the value at which the property will be appropriated, as a result of which the HRA will pay for the cost of the capital invested; a cost to the HRA (and saving to the General Fund) of c£68,000 per annum. The HRA will also take on liability for business rates, insurance, utilities, and security costs until the property is developed and the new homes let to tenants. Clearing the site at an early date will minimise these ongoing costs. 3.2 Resource allocation and spend approval for the development will need to be sought through the Housing Programme Board. There is a risk that if these are not forthcoming, the HRA will have assumed liability for the costs of ownership without an income stream from rents. The need to obtain planning permission for the development presents a similar risk. Because of the assumed high likelihood of capital approvals and planning permission being granted, and the relatively low level of financial risk, these risks are considered to be acceptable. 3.3 The appropriation of the assets is necessitated by the council’s resolution that the assets are held for a purpose other than for which they were previously held, in this case for social housing purposes. The impact of the appropriation will be to increase the HRA Capital Financing Requirement by the value of the assets, which will result in higher capital charges for the HRA and lower charges to the General Fund. The added capital charges to the HRA will need to be considered in assessing the value for money and return on investment arising from the proposed development of new council housing on the site. Legal Implications 3.4 The Housing Act 1985 empowers the council to own and construct council housing. Section 122 of the Local Government Act 1972 allows the council to appropriate land and property that it holds for one purpose, but no longer requires for that purpose, for another purpose. Other implications Policy 3.5 This contributes to the corporate priority to increase the supply of truly affordable council housing. The Council is currently seeking to build 500 new council properties by 2022 MK Council, Civic, 1 Saxon Gate East, Central Milton Keynes, MK9 3EJ (6) Carbon and Energy Management 3.6 The design, use of materials and delivery of the scheme currently being prepared in partnership with the Woughton Community Council and local residents association will contribute towards the Council’s commitment to be carbon neutral by 2030 and carbon negative by 2050. This will be clearly set out in the subsequent planning application. Crime & Disorder 3.7 Since the closure of Cripps Lodge in April 2019, there have numerous reports from Police and MKC own security patrols of anti-social behaviour at this site, almost weekly. The building has been thoroughly secured, but the risk is of serious injury for those entering the building illegally or arson. Moving forward with a new development will help eradicate these issues. 4. Alternatives To sell on the open market 4.1 Market the site for sale at £1,700,000 which would provide a capital receipt to the General Fund. This option is not preferred as the Council would have less control over the future development of the site and it is unlikely to deliver the much needed truly affordable housing required in the borough. To appropriate for council housing 4.2 This is the preferred option to ensure that we meet the MKC Corporate Plan target of providing 500 truly affordable council homes by 2022; appropriating the site into the HRA is integral to this objective.
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