Planning obligations, also known as Section 106 agreements (based on section 106 of The 1990 Town & Country Planning Act) are agreements made between local authorities and developers.
These obligations can be attached to a planning permission to make acceptable development which would otherwise be unacceptable in planning terms. The land itself, rather than the person or organisation that develops the land, is bound by a Section 106 Agreement, something any future owners will need to take into account. Once created, they are a legal charge on the land and are registered by our Land Charges Team.
The council operates the Community Infrastructure Levy in most areas with legal agreements required. This is to secure affordable housing and other necessary infrastructure to make development acceptable in planning terms.
Protocol for planning obligations funding allocations
Legal agreements can secure funding and land from development which may ultimately be passed on to a third party to deliver the intended infrastructure.
Town and parish councils are often well placed to deliver some forms of community infrastructure, but funding can also be passed to 'Not for Profit' organisations, for example:
- Educational Establishments
- Company Limited by Guarantee with Charitable Status
- Registered Charitable Organisation
- Unincorporated not for profit organisation
Where infrastructure funding is to be passed to external bodies, Dorset Council will require a level of assurance that they are suitably 'competent' for the purposes of delivering the funding.
In May 2021, Dorset Council approved a protocol for managing the allocation of section 106 developer contributions to appropriate bodies. The protocol does not have a bearing upon the purposes for which the money was collected in the first place, as the subsequent spending is required to meet the terms of the legal agreement.
However, it provides the Council with a clear decision-making process for allocation of the funding tot he body that is best placed for delivery of the infrastructure and establishes the necessary safeguards, to ensure the appropriate level of accountability.
The protocol requires an agreement, signed prior to release of funding between the body in receipt of funds and he Council, detailing the terms under which the money is granted. For further information on this, please contact CIL@dorsetcouncil.gov.uk
Request for confirmation of compliance with legal agreements
Any request for confirmation of compliance with a specific agreement or agreements is treated as an application and is subject to a fee of £145. Please note that once the application has been registered, it will have a target time of 8 weeks for a response.
If you request information relating only to the payment of financial obligations with a specific agreement or agreements, this is also a chargeable request and also requires a fee of £145.
Requests can be sent by email to CIL@dorsetcouncil.gov.uk. We will aim to respond to all requests within 10 working days of payment.
If you wish to view previous monitoring reports or other documents, please contact CIL@dorsetcouncil.gov.uk.