Issue - meetings

Question Time.

Meeting: 21/04/2010 - Scrutiny Commission (Item 59)

Question Time.

Minutes:

Dr. Martin Vaughan, a resident in Measham, asked the Chairman the following questions under Standing Order 35:-

 

“1.        How did Leicestershire County Council arrive at its current valuation for Measham Youth Club’s current land and building?

2.         Does the County Council consider this valuation to be incredibly mean considering that the lack of finance available to the Club will inhibit its ability to provide a replacement facility?

 

3.         The current site of the Youth Club is being bought as part of the Ashby Canal Project. What is the anticipated increase in land value the Council expects when it sells the land on to a developer?  Is this part of the motivating factors for the current valuation?

 

4.         How much profit does the Council expect itself or developers to achieve from the sale of the site?

 

5.         Has any analysis been undertaken to assess the long term impact on the local community from the loss of this Youth Club?

 

6.         Is the County Council going to stand idly by whilst an important community facility like Measham Youth Club is destroyed, potentially exacerbating local anti-social behaviour issues, as well as damaging future community cohesion?”

 

The Chairman replied as follows:-

 

“1.        The County Council is restricted by statute as to how it assesses compensation .There is a set of rules laid down in Section 5 of the Land Compensation Act 1961 which govern the basis of compensation. The current valuation of the site has been based on what is considered to be the market value of the site in accordance with Rule 2 of these Rules and reflects what is felt to be the value for the site assuming potential for its development for residential purposes.  In addition, the County Council will pay any eligible Disturbance and other statutory payments due to the Youth Club. The site extends to approximately 1 acre and whilst a residential development value has been applied, the valuation assumes a deduction to allow for the need to negotiate access to the site over other land. The Youth Club have appointed Surveyors to act on their behalf (and whose fees will be met by the County Council) and officers remain in discussion with them over whether this or an alternative valuation is appropriate in this case.

 

2.         The valuation reflects the fact that the County Council is governed by a statutory scheme in assessing compensation which precludes the consideration of factors such as the financial status of the owner.

 

3.         It is expected that any land which is surplus to the requirements of the Canal scheme, will be disposed of under the terms of the Joint Venture Agreement between the County Council and Ideal Country Homes (Measham) Ltd. Any income arising from an increase in the value of the land on disposal will arise solely from the reinstatement of the Canal and subject to Cabinet approval would simply be set against the cost of construction (which is estimated to be in the region of £13 million). There is therefore no profit to the County Council from the overall scheme.

 

4.         The answer to question 3 above sets out the basis on which the County Council is proposing to enter into the process of disposing of surplus land, including the Measham Youth Club. It is not possible at the present time to predict entirely accurately the proceeds of sale and to do so in a public forum would not be in accordance with the County Council’s usual practice, as this information is commercially sensitive pending conclusion of regulations and conveyencing procedures.

 

5.         The County Council’s Youth Service is aware  ...  view the full minutes text for item 59