Agenda item

Paul Walsh, Programme Manager presented the submitted report which set out the progress being made to build new Council Housing in Rotherham

The April budget announcement contained £100m of funding to be made available to build new Council homes.  In addition, the Prime Minister subsequently announced a further £1.5 billion package of housing investments.

The Homes and Communities Agency was to administer the funding for building new Council homes and issued initial guidance to local authorities on the bidding process and bid requirements in May.

Approval was given by the Council to make a funding bid submission to the HCA for new grant funding in June 2009.  There were two bidding rounds - 31^st July and 30^th October.

A development proposal for 36 new homes on identified sites at Wood Street and School Street in Dalton had been finalised.  This enabled a comprehensive funding bid to be submitted to the HCA by the 31^st July deadline.

Rotherham’s funding bid had been successful and the focus would now be on meeting the deadlines to deliver this exciting new development.  In addition, work would be continuing to develop proposals to enable a further funding bid in Round 2 in October, to enable Rotherham to deliver more new Council homes.

Discussion ensued and the following issues were raised:-

• The bids for the new build should address how support to local businesses and opportunities for training and skills development could be provided.  It was agreed that this was necessary, and confirmed that a training and skills element was required by the HCA (Homes and Communities Agency).
• Members asked how much the bid would be for and what the split would be between the HCA and the Council.  It was confirmed that the bid was £4.35m and of this the HCA would be providing £2.3m.
• The question of sustainability was raised and how this was being addressed.  It was confirmed that renewable energy processes were being undertaken to make each property more energy efficient.
• Member queried how much the rent was likely to be for the new properties.  This was confirmed as being between £71 and £91 dependent upon the size of the property.
• What would happen if the timescales were not met and whether there was a risk register in place to monitor such eventualities?  It was confirmed that the project was subject to risk management processes.
• The site which was proposed for building the new properties had already had planning permission declined on it.  Concerns were raised that this could be a problem with the new builds.  Reassurance was given that pre-planning work had been undertaken, and it was highly unlikely that the application would be turned down.
• What work had been undertaken to ensure that the communities were ‘sustainable’.  Preliminary discussions had taken place to ensure that the potential development was served with transport links, had access to community facilities, primary health care and schools.

Resolved:- (1) That the report and the news of Rotherham’s successful funding bid be received.

(2)  That the further work underway to develop proposals for a further funding bid in October be supported.