The Senior Planning Officer introduced the item and explained that the Community Infrastructure Levy (CIL) was to be a standard charge based on floorspace for new development in the district. Sums collected would be used for the provision of infrastructure necessary to support that development. This CIL would replace some monies previously received through section 106 agreements.

To introduce a CIL the Council must produce a charging schedule. Officers had created a draft charging schedule as part of the consultation.

The charging schedule was based on a viability assessment and an assessment of infrastructure required to support development. The viability assessment showed that a proposed CIL of £125/m² was unsustainable in northern areas of the district and in Edenbridge and therefore a second tier of £75/m² was considered for some wards. At this level it was expected that the CIL would raise £5-6million across the district in the period 2014-2026.

An Infrastructure Delivery Plan was prepared to support the CIL as an indicative list of infrastructure required to support the implementation of the Council’s Core Strategy plan. The list was drawn up in consultation with infrastructure providers, including Town and Parish Councils. This list would become more developed over time and following the consultation period. There was still time for further schemes to be added during and after the consultation.

A Member of the Group enquired why residential care homes would not be charged the CIL. The Senior Planning Officer clarified that it depended on the use class of residential care home and that those in class C3 would be charged.

Action: Officers to clarify in the document when residential care homes would be charged.

The Member also suggested the population projection and infrastructure costs provided by Kent County Council (KCC) were underestimates. He also proposed that the figures be rounded to indicate that they were only estimates.

Action: Officers to remove the specific population projection and to round the estimated costs of infrastructure projects.

It was suggested that the difference between the CIL tiers was significant and could lead to unforeseen results. Officers responded that if the CIL were reduced to £75/m² across the district then the sum received would reduce by approximately £1million. Further, the figure of £125/m² had been considered as unsustainable in some parts of the district by the viability assessment. Government guidance on the introduction of CILs recommended that they be kept as simple as possible but if intermediate tiers were proposed then the Council would need a further viability assessment to consider the impact.

Another Member suggested that having a lower level in some areas indicated that they were second-class wards. The lower CIL could also incentivise greater development in areas which were already overcrowded. The Officer reminded the Group that the CIL receipts would be put into a central fund for use across the district. It was not believed the 2 tier CIL would particularly incentivise development as it was more usual for Councils to set the CIL at nil when they sought greater development.

A Councillor not on the Group asked whether the CIL would affect the income from Affordable Housing contributions. This had been considered and the viability assessment was on the assumption that the Affordable Housing contribution was made in full.

The Chairman added that she had recently questioned the Environment Agency regarding the cost for Edenbridge flood defences, following a suggestion that one type of defence could cost as little as £600,000 rather than the £11 million proposed. She would advise the Group of the response once received.

Resolved: That Cabinet be recommended that

(a)   the CIL Preliminary Draft Charging Schedule Consultation Document be agreed and published for consultation;

(b)   the Portfolio Holder be authorised to agree minor presentational changes and detailed amendments, including any minor changes to the proposed charging levels as a result of the completion of the CIL Viability Study, prior to publication to assist the clarity of the document; and

(c)        copies be made available for sale at a price to be agreed by the Portfolio Holder.