To consider and endorse Officers’ recommendations to award grant funding to the RPs East End Homes and Swan Housing Association from the Borough’s Right To Buy receipts to build affordable housing.

The Council has significant RTB receipts. These must be used for the provision of new social housing in accordance with the terms of the agreements that the Council has entered into with the DCLG.  To date £7.06m of these receipts has been agreed by the Commissioners to be used to assist developing RPs supplement their affordable housing build programmes.

The Grants Determination Sub-Committee heard from the Affordable Housing Programme Manager and:

• Noted that the report concerned progress on the Local Housing Affordable Grant Programme established under Commissioners in 2015.
• Noted the content of appendix to the report which was tabled at the meeting.
• Noted the comments of Grants Scrutiny Sub-Committee that it did not object to the proposal in principle but had some concerns around value for money and the management of the properties.
• Noted that the report lacked detail on the location of the proposed properties and arrangements for their management and requested that this information be provided.
• Supported the proposal in principle but were concerned with a number of operational matters/issues around delivering the second round of the programme.

DECISION

That having considered the report and Officers’ recommendations, the following be approved:

1. That subject to the necessary budget approval by the Mayor in Cabinet in January 2018, ‘Right To Buy grant funding’ be awarded to the following registered housing providers and for the following amounts: East End Homes: £375,000 and Swan Housing Association: £2,439,760 (as outlined in point 4.3 of the report).
2. That in addition, 10% uplift to the agreed amounts be approved to take account of potential increases in build or acquisition costs.
3. That the variations to the bid submitted by the Registered Provider Arhag that were subsequently approved by the Mayor on the 11th August 2017 be noted.
4. That the change in the scheme completion date for 34-40 Bow Road E3 being delivered by Arhag be noted.
5. That in respect to an existing grant approval to East End Homes, approve the change in purchase completion date and the grant purpose be extended to include the purchase of residential properties on the open market.
6. That the Corporate Director of Place be authorised to agree extensions of time on schemes approved for grant funding, which shall not in any event exceed December 2020.
7. That the Corporate Director, Place, be authorised to agree the terms of, and enter into, any contractual or ancillary documentation to give effect to the above recommendations, with recommendation 1 (above) to be effected only upon budgetary approval by the Mayor in Cabinet in January 2018.
8. That detail on the location of the proposed properties and arrangements for their management as requested be provided to the Sub-committee.