Agenda item

Cllr Dan Levy, Cabinet Member of Finance, Vic Kurzeja, Director of Property and Assets, Michael Smedley, Head of Estates Asset and Investment, and Emily Urquhart, Policy Officer – Inclusive Economy Lead, were invited to present a report on the Community Asset Transfer Policy and Leases to Voluntary and Community Sector Tenants.

The Committee is asked to consider the report and raise any questions, and to AGREE any recommendations it wishes to make to Cabinet arising therefrom.

Cllr Dan Levy, Cabinet Member of Finance, Vic Kurzeja, Director of Property and Assets, Michael Smedley, Head of Estates Asset and Investment, and Emily Urquhart, Policy Officer – Inclusive Economy Lead, were invited to present a report on the Community Asset Transfer (CAT) Policy and Leases to Voluntary and Community Sector Tenants. Ian Dyson, Director of Financial and Commercial Services, was also present to help answer any questions Members had in relation to the CAT report.

The Cabinet Member introduced the report, noting that the relationship with voluntary groups had become unclear, with property management and support for voluntary groups closely connected. The purpose of the recommendations in the report was to align work being undertaken with the VCS and to support this with updated policies that meet the requirement of community organisations.

Members underscored and reaffirmed the significance of social value, especially in the context of community services such as libraries. It was noted that these services offer substantial benefits to the community, including improvements in reading scores within local schools, which were not easily monetised or quantified.

The discussion emphasised that while financial value was important, the non-monetary advantages provided by community services were crucial and should be factored into decision-making processes. It was proposed that local members should participate in discussions regarding community assets to ensure that the social value and communal benefits were thoroughly understood and considered.

The Director of Property and Assets highlighted the necessity of commercial acumen while also stressing the importance of assessing the social value provided by community services. This balanced perspective ensured that decisions were made with consideration of both financial metrics and the broader impact on the community.

Members inquired about the efficacy of balancing social value and financial metrics, particularly given that the report indicated the 92 leases generated an average of only £3,500 per annum. There was concern among members that such leases might be viewed unfavourably within a commercial strategy.

The Director of Property and Assets stressed that being commercially savvy means more than generating income. It involves leveraging Council's spending and ensuring smart investments. Social value from leases, though not easily monetised, was crucial. Each lease was reviewed for both financial and social benefits, with local councillors involved in evaluations. The focus should be on maximising estate use, ensuring properties were well-utilised for commercial, corporate, or community purposes. The aim was to maintain high occupancy and best use of space.

Members noted that several properties had been listed for an extended period as ready for disposal. Therefore, a clear statement regarding the intended timeline for their disposal was essential to address the concerns about the council sitting on unutilised assets.

Officers confirmed that they focused on effectively using the existing portfolio to meet service demands. Nearly all 13 properties on the vacant property list were assigned specific purposes. It was noted that a number of the sites are being held for future disposal once planning consent has been granted. Although waiting for planning permission was time-consuming, it was essential for value-maximisation. This process involved considerable preparation ahead of the application.

Keeping residents informed about vacant properties was vital. Service responses to enquiries about vacant property usage and plans had been slow, but this issue was being addressed via 4-year business plans. These plans aimed to clarify future actions in each service area and property, streamlining decision-making for quicker actions. Additionally, strategic and commercial investment opportunities were evaluated to deliver services effectively within budget.

Members questioned what level of collaboration, with community groups and District/City councils, there was in relation to vacant land and properties owned across the County by the County Council and the Districts. Examples were given of known desires of the Oxfordshire Wildlife Rescue Service and the Hindu community for available sites.

Previously, the Council could not offer properties until service areas declared them surplus. Now, services must cover costs if they do not want to dispose of or lease the property. Over the past two years, the Council had actively addressed vacant property issues, resulting in very few available properties. This meant that despite frequent inquiries from community organisations, there was limited vacant property to offer.

It was acknowledged that more work could be done with sister organisations, such as other local authorities and the NHS to ensure best value for properties was being met across the county. Property moves and bids affected everyone, so awareness and collaboration were crucial. Developing an approach to the inclusive economy partnership could help the County showcase its best practices.

Members concluded by enquiring about the process of how community asset transfers were chosen and the governance involved in decisions to lease properties to certain groups, and what support was offered by the Council to ensure the community, and the council were benefiting from the transfer.

When transferring authority properties, it was crucial to ensure clear benefits for the local community. Historically, transfers often included conditions for new owners to support community development. Asset transfers were seen as opportunities to provide value, not just offload property. Councillors played a key role in these discussions to evaluate the benefits of transfers.

Future support requests were to be assessed on the social benefits identified and will be supported by a business case demonstrating community value. Each charitable organisation was to be required to produce an annual report detailing their finances and activities so their financial health can be reviewed,  and the social benefits delivered can be assessed against those promised. This will be to support and justify the County's commitment to community groups and its concessionary arrangements agreed. Where concerns arose, the County could offer early support with its expertise and resources.

The Committee resolved to AGREE to make the following observation:

· That the social benefits provided by buildings provided to VCS organisations were difficult to quantify, but nonetheless significant

The Committee also resolved to AGREE to make the following recommendations to Cabinet:

· That local members should be involved with next-step discussions with VCS groups and the social value provided by these organisations be considered as part of the discussions.

· That communications around empty properties are improved, including sharing with members a clear statement of the aspiration and timeline for disposing of properties listed for disposal, a quarterly report/update summarising recent events and developments with Council land/property ensuring all parties are kept up to date, and regular updates for those residents neighbouring vacant Council properties to keep them up to date with ongoing developments and plans.

· That a list of available Council land and buildings is shared with Members and sister organisations, to ensure available land is put to best voluntary and community use where possible.

· That processes for sharing lease requests by VCS organisation with sister organisations in the county be developed, land available for VCS leases, and any planned leases.

The following action was also AGREED:

· The Oxfordshire-wide Terrier be shared with members of the committee.