Community Infrastructure Levy – consultation

14 Aug

CIL-TwitterOverview

The Council receives a payment called a Community Infrastructure Levy (CIL) for new building projects, which is then used to fund necessary improvements in infrastructure.

We are seeking views on our proposals to use the Local CIL (Neighbourhood Portion) in Sheffield to:

  • promote the development of Neighbourhood Plans across the city
  • ensure that areas of higher deprivation receive a fairer overall share
  • improve how local communities are involved in the decisions on how it is spent

Why We Are Consulting

Background

What is Community Infrastructure Levy?

“A levy allowing local authorities to raise funds from owners or developers of land undertaking new building projects in their area.”

The Community Infrastructure Levy (CIL) is a planning charge paid to Councils by owners or developers of land undertaking new building projects. It is used by councils to fund improvements to the infrastructure required to support new development. This could include transport, telecommunications, energy, water supply, sewerage and drainage, schools, hospitals, health centres, sports and recreational facilities and open space.

CIL is a flexible fund. Money collected from development in one part of the city can be used to help provide essential infrastructure in another part of the city. Therefore –

  • 80% of CIL goes into a central pot and the Council decides the priority city-wide projects that will receive this funding.
  • 5% of CIL goes to the Council for administration
  • 15% is called the ‘Neighbourhood Portion’ or ‘Local CIL’ and is used to fund local infrastructure needs. Local communities will decide on how this fund is allocated.

The Council started collecting CIL in July 2015. To date (August 2018) the total CIL collected is £7.4m. £1.1m of this is the ‘Neighbourhood Portion.’

This consultation is focused on the allocation of the Neighbourhood Portion.

The ‘Neighbourhood Portion’ or Local CIL

“Anything that is concerned with addressing the demands that development places on an area”.

Where there are town and parish councils, the CIL Neighbourhood Portion will be paid over directly to them and they will spend it on their infrastructure priorities. Sheffield has three local councils – Bradfield Parish Council, Ecclesfield Parish Council and Stocksbridge Town Council.

Where there is a Neighbourhood Plan the CIL Neighbourhood Portion is increased to 25%. A Neighbourhood Plan gives communities direct power to develop a shared vision for their neighbourhood and shape the development and growth of their local area. This 25% is paid to the local Neighbourhood Forum that has developed the Plan. Up to August 2018 there have been no Neighbourhood Plans adopted in Sheffield, although 3 are in preparation.

In non-parished areas without a Neighbourhood Plan (i.e. the majority of the city), the City Council will hold the CIL Neighbourhood Portion funds and ensure that it is spent within the “communities where development takes place”

What we are seeking views on

We now need your views on how the Neighbourhood Portion is allocated in non-parished areas or those areas without a Neighbourhood Plan, as well as how local communities are involved in the decisions on how it is spent.

Please see the flowchart attached to help you visualise the process we are consulting on.

https://sheffield.citizenspace.com/communities-business-strategy/use-of-the-community-infrastructure-levy/

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