Agenda item

To receive a presentation on a new Community Asset Transfer Policy ahead of consideration by Executive Board on 24 July 2024.

The individuals in attendance for this item were:

-  Cllr Debra Coupar (Executive Member for Resources)

-  Angela Barnicle (Chief Officer Asset Management & Regeneration)

-  Mark Mills (Head of Asset Management)

The Chair invited Mark Mills to deliver a presentation on proposals for an updated Community Asset Transfer (CAT) Policy. The presentation covered the following:

-  The background to community asset transfer following its introduction in the Localism Act 2011.

-  The benefits of community asset transfer including enabling investment in an asset from sources of funding the local authority may not be able to access.

-  Features underpinning a successful community asset transfer including a realistic business plan and well-structured community organisations.

-  Challenges including the complexity of sustaining and maintaining a building over the long term.

-  Drivers for refreshing the policy including incorporating learning from ten years of managing CATs and a desire to make it easier for communities to engage in the process.

-  Proposed changes to the CAT policy including producing a list of properties with potential for CAT to be approved and published.

-  An overview of consultation and engagement with ward members, Leeds Community Anchor Network, and Voluntary Action Leeds.

-  Next steps in the process.

Members welcomed the creation of a new list of assets suitable for community asset transfer. Mark noted that properties will not be available for CAT indefinitely and disposal will be considered if there is no viable interest in a CAT.

Members sought clarity about the implications for both the Council and community groups of changes in requirements relating to EPC ratings. Members were advised that new procedures will be established to provide greater flexibility to community organisations seeking to deliver works to improve the EPC rating of a building so as to enter into a lease.

It was confirmed that Council funding will not be available to carry out improvement works prior to transfer, given the need to invest in the retained estate. However, a time limited opportunity to utilise some UK Shared Prosperity Funding to support community asset transfer in the current year has been identified. Organisations invited to present a business case for a CAT could also therefore be invited to submit a UKSPF application to support the CAT.

Current proposals reflect feedback from previous stakeholders with experience of CAT. For example, a standard head of terms document is proposed given feedback about the legal process being daunting for community groups. This was welcomed by members. 

Angela Barnicle advised members about discussions with voluntary partners regarding their capacity to provide advice, mentoring and signposting to organisations seeking to progress a CAT.

Officers have also worked with colleagues in the ABCD team within Adult Social Care to create a better ‘front door’ to signpost community groups to sources of information and support.

It was noted that the EDCI screening at appendix 2 of the report does not identify any differential impact for different equality characteristics. However, it was suggested that typically the LGBT community is less likely to successfully secure grant funding, which in the scenario of CAT may be disadvantageous for such groups. It was agreed that Cllr Bithell would raise these concerns in more detail with Cllr Coupar outside of the meeting. 

The Scrutiny Board considered the proposed approach to communication and engagement about the updated policy. It was suggested that a ‘frequently asked questions’ document for councillors would be helpful particularly focussed on potential pitfalls.

Members acknowledged the need to be transparent about the condition of buildings and the liabilities community groups would be taking on. The Board noted the risk associated with community capacity to manage assets requiring substantial maintenance.

Cllr Coupar reiterated the complexity of the CAT process and the challenge in sustaining buildings in the long term. She highlighted the importance of managing expectations.

Members sought clarity about the nature of buildings that may be excluded from the list of assets with potential for approval for CAT.

Cllr Coupar confirmed she would reflect the comments of scrutiny members during the discussion with Executive Board on 24 July 2024. She also reiterated that she is committed to working with members and community groups to continue to learn from the experience of previous community asset transfers.

Cllr Bithell agreed to provide a summary of the comments of Scrutiny Members via email ahead of the Executive Board meeting.

RESOLVED:

Members agreed to note the proposals for an updated Community Asset Transfer Policy.

It was further agreed that Cllr Bithell will provide a summary of the Board’s comments to Cllr Coupar ahead of the Executive Board meeting.

Cllr Buckley left at 12.30pm