Issue - meetings

To consider a report by the Head of Housing Services on the possible introduction of charges on properties adapted through Disabled Facilities Grants.

Agreed to place charges on properties where owner occupiers receive a disabled facilities grant in excess of £10,000 (excluding HIA fees) where the grant is for a garage or outbuilding conversion, or extension or any combination of these; authorised the Heads of Legal and Democratic Services and of Housing Services, after consultation with the Executive Councillor for Strategic Planning and Housing, to determine the most effective and efficient procedure for placing charges on properties to include the development and adoption of a repayment scheme; and authorised the Head of Housing Services to decide whether to seek repayment in accordance with the requirements of the Disabled Facilities Grants General Consent Order 2008.

Pursuant to Minute No 11/42 and by way of a report by the Head of Housing Services (a copy of which is appended in the Minute Book) the Cabinet considered a proposal to put charges on properties to recover certain costs of Disabled Facilities Grants (DFGs) together with the views of the Overview and Scrutiny Panels (Social and Economic Well-Being) thereon.

Members were advised that the Housing Grants, Consultation and Regeneration Act (as amended) had given local authorities the discretion to impose a limited charge on adapted properties of owner occupiers for repayment if their property was sold within ten years and if the DFG cost more than £5,000. Having noted that the maximum that could be reclaimed was capped at £10,000 and in recognising that most adaptations do not add to the home’s capital value with the exception of the garage and outbuilding conversions and extensions, the Cabinet

RESOLVED

(a)  that charges be placed on properties where owner occupiers receive a disabled facilities grant in excess of £10,000 (excluding HIA fees) where the grant is for a garage or outbuilding conversion, or extension or any combination of these;

(b)  that the Heads of Legal and Democratic Services and of Housing Services, after consultation with the Executive Councillor for Strategic Planning and Housing, be authorised to determine the most effective and efficient procedure for placing charges on properties to include the development and adoption of a repayment scheme; and

(c)  that the Head of Housing Services be authorised to decide whether to seek repayment in accordance with paragraph 2.5 of the report now submitted.

To consider a report by the Head of Housing Services on the possible introduction of charges on properties adapted through Disabled Facilities Grants.

(Councillor N J Guyatt, Executive Councillor for Strategic Planning and Housing, was in attendance for this item).

With the assistance of a report by the Head of Housing Services (a copy of which is appended in the Minute Book) the Panel considered a proposal to impose charges on properties in certain circumstances which had been adapted with Disabled Facilities Grants (DFGs).

Councillor N J Guyatt reminded Members that they had previously supported a supplementary capital estimate of £1.116m for DFGS to avoid delays in applicants receiving adaptations to their homes. He went on to explain that the current proposal would enable the Council to impose a limited charge on adapted properties if they were sold within ten years and if the grant was for more than £5k. In his view, given its current financial position, the Council was under an obligation to recoup this money. Members noted that repayments could only be sought in respect of properties that were occupied by their owners. It would not be possible to impose charges on properties owned by Registered Social Landlords. However, it was anticipated that Landlords would manage their housing stock to ensure that tenants who required adaptations were allocated properties that had already been adapted in a way that met their needs, thus reducing future demand for new Grants.

Members’ attention was drawn to the criteria that the Council would consider when determining whether to seek repayments. They went on to discuss a number of matters including the likely impact of the proposals on property values, the cost of imposing charges and the length of time occupiers might remain in their properties. With regard to the costs associated with the proposals, Members were informed that investigations were currently being undertaken into what was the most appropriate route for levying charges on properties in terms of the processes, risks, costs and time-scale involved. In response to a question as to whether there would be a sliding scale for repayments according to the length of time that had expired since the grant was made, Members were informed that if a property was sold within a ten year period the full amount would be claimed up to a maximum limit of £10,000.

Members referred to the limited funding which was provided by Central Government for DFGs. It was suggested that the Council, in conjunction with other authorities in the region, should make representations to Government requesting additional support. It was further suggested that the maximum amount that could be reclaimed by local authorities had been capped at £10,000 for several years and that representations should also be made that this figure should be index linked. Whereupon, it was

RESOLVED

that the Cabinet be recommended to

a)  agree that charges be placed on properties where owner occupiers receive a disabled facilities grant in excess of £10,000 (excluding HIA fees) where the grant is for a garage or outbuilding conversion, or extension or any combination of these;

b)  agree that the Head of Legal and  ...  view the full minutes text for item 43

To consider a report by the Head of Housing Services on the possible introduction of charges on properties adapted through Disabled Facilities Grants.

20 Minutes.

(Councillor N J Guyatt, Executive Councillor for Strategic Planning and Housing, was in attendance for this item).

With the assistance of a report by the Head of Housing Services (a copy of which is appended in the Minute Book) the Panel considered a proposal to impose charges on properties in certain circumstances, which had been adapted wholly or with the assistance of Disabled Facilities Grants (DFGs).

The Executive Councillor for Strategic Planning and Housing and the Head of Housing Services outlined the background to the proposals. Members noted that changes to legislation gave local authorities the discretion to impose limited charges on adapted properties that were occupied by their owners if the properties were sold within ten years of the grant being made and if the grant was in excess of £5,000.

The Panel discussed a number of matters, including the resources that the proposal would require for it to be implemented, the anticipated level of charges that would be placed on properties together with the criteria that would be applied to determine whether repayments would be enforced.

Following a question by a Member on when applicants would be notified of charges, the Head of Housing Services assured the Panel that this would be done by Officers during the application process. The Panel then discussed the market value of adapted properties and noted that in Huntingdonshire the charges would only be made in respect of grants in excess of £10,000 for garage/outbuilding conversions and/or an extension to a property. Having expressed their satisfaction with the proposals, the Panel

RESOLVED

  that the Cabinet be recommended to

(a)  agree that charges be placed on properties where owner occupiers receive a Disabled Facilities Grant in excess of £10,000 (excluding Home Improvement Agency fees) where the grant is for a garage or outbuilding conversion, or extension or any combination of these;

(b)  agree that the Head of Legal and Democratic Services, together with the Head of Housing Services, following consultation with the Executive Councillor for Strategic Planning and Housing, should determine the most effective and efficient procedure for placing charges on properties; and

(c)  delegate authority to decide whether to seek repayment, as set out in paragraph 2.5 of the report now submitted, to the Head of Housing Services.