Issue - meetings

** Please note that this report will follow as it is currently being reviewed and finaliased **

Report of Assistant Director Growth and Economy

Resolved

(1)            That, subject to OCC completing the Marginal Viability Homes Infrastructure Fund (MV HIF) agreement, it be agreed to:

a)    enter into a “back-to-back” agreement with OCC to take on the MV HIF obligations seeking to secure funding towards the cost of the delivery of the Howes Lane infrastructure.  In addition, to use any excess grant funding (released as a result of the development funds contributing towards the cost of delivering the infrastructure) to deliver housing (subject to any legal issues being resolved and remedied);

and

b)    delegate to the Assistant Director – Growth and Economy, in consultation with the Lead Member for Economy, Regeneration and Property and the Team Leader – Non-contentious, the negotiation and completion of the agreement with OCC.

The Assistant Director – Growth and Economy submitted a report for members to consider the implications for Cherwell District Council (CDC) entering into a legal agreement with Oxfordshire County Council (OCC) in connection with the delivery of the rail bridge to enable the realignment of Howes Lane in Bicester.

Should the development subsequently become viable, the agreement would require CDC to seek contributions toward the cost of delivery of infrastructure through development receipts and, in accordance with the terms of the funding agreement, spend any released excess MV HIF (Marginal Viability Homes Infrastructure Fund) grant on the delivery of housing.

At the discretion of the Chairman, Councillor Sibley addressed Executive.

Resolved

(1)            That, subject to Oxfordshire County Council completing the Marginal Viability Homes Infrastructure Fund (MV HIF) agreement, it be agreed to:

a)    enter into a “back-to-back” agreement with OCC to take on the MV HIF obligations seeking to secure funding towards the cost of the delivery of the Howes Lane infrastructure.  In addition, to use any excess grant funding (released as a result of the development funds contributing towards the cost of delivering the infrastructure) to deliver housing (subject to any legal issues being resolved and remedied);

and

b)    delegate to the Assistant Director – Growth and Economy, in consultation with the Lead Member for Economy, Regeneration and Property and the Team Leader – Non-contentious, the negotiation and completion of the agreement with OCC.

Reasons

The conclusion is that the securing of this marginal viability funding from Homes England is a positive development and supports CDCs growth agenda.

Alternative Options

Option 1: Not to pursue the securing of funding. This could delay the provision of the realigned Howes Lane and subsequently some housing delivery and as such is not recommended

Option 2: Not to enter into an agreement with OCC that passes on the obligations to seek to recoup funding and use receipts to deliver housing. This option is not recommended as it is likely to prevent the funding being secured and results in a lost opportunity to release excess grant funding for housing.