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Section 106 funding

Section 106 funding is paid by developers and is used on community infrastructure projects. Funding differs from area to area and can only be used on capital projects. Recent examples of funding include: village hall enhancements, new play park equipment and new sports changing facilities.

The Community Infrastructure Levy (CIL) was implemented by Horsham District Council in October 2017 and has largely replaced Section 106 contributions. Parish Councils are given a proportion of the CIL collected from developments in their area, so if there is no available Section 106 funding you may be able to contact your local Parish Council to see if they have any available funds to support your project.

If you are a member of a community group or sports group and think you may have a suitable project, please contact the Community Development Officer who will be able to give you more information on your project's suitability, available funds and the application process. Call 01403 215358 or email community.development@horsham.gov.uk

Financial contributions secured through Section 106 agreements are payable to Horsham District Council as the Local Planning Authority (or to third parties at the direction of the Local Planning Authority) and it is for the Council to ensure that their expenditure is in accordance with the purpose specified within the agreement and otherwise satisfy legal requirements.

Assessment criteria

Section 106 funding may provide capital funds towards general community and leisure facilities, to be used for the provision, extension, adaptation or enhancement of the facilities.

Your project will also need to comply with the Community Infrastructure Levy (CIL) regulations. These include:

  • The project must be directly related to the development
  • The project is required to mitigate the impact of the development
  • The project is reasonable in scale and in kind; and any other legal criteria as set out in each S106 obligation.

The Planning Obligations Officer can advise you on this.

Eligibility

  • Retrospective Funding is not allowed. S106 funding cannot pay for work already completed.
  • The organisation must be based in the Horsham district or provide activities that benefit district residents.
  • The applying organisation must be a local Parish or Neighbourhood Council or a local voluntary, community or not-for-profit organisation that is properly constituted with its own bank account.
  • Projects must not unfairly exclude individuals from participation.
  • Annual subscriptions, joining fees and session charges should be affordable to all.
  • Horsham District Council will not support projects that promote specific political or religious views.
  • Organisations must have a safeguarding policy for children and vulnerable adults, equal opportunities, insurance and health and safety policies in place, where appropriate.
  • Applications for building works must be made by owners of the land or building or formal permission must be provided.
  • Applicants must establish if planning permission is required before applying for S106 funds.
  • Applicants are also requested to submit 3 quotes for work (if there are any issues with this please contact the Development Officer).
  • Applicants should show a cash contribution from their own funds/fundraising. This should be around 10-20%

How to apply

Contact the Community Development Officer to discuss your project informally. This will include an initial assessment of whether the application meets the relevant criteria and whether other sources of funding have been sought. If you meet the criteria and there is available S106 funding you will be sent an application form to complete.

Application Process

Applications from external parties

An application for funding will be considered by the Planning Obligations Officer determined by delegated authority by either the Compliance Team Leader, the Head of Development or the Director of Place, depending on the amount of funding sought.

Your application will go through a consultation period of, at minimum, two weeks before a decision is made. Relevant Council departments, Local Parish and Neighbourhood Councils and Local Horsham District Council Members from the area where the funding will be used will be consulted as part of the application process.

A decision letter will be sent to you as soon as practicable once the consultation period has closed.

Applications from internal  departments

Projects being delivered by Horsham District Council through the budget setting process will be considered as part of that process, and will proceed with approval from Full Council. As part of this process the Planning Obligations Officer will be consulted and these details will be included in the decision making process. Relevant Parish and Neighbourhood Councils will also be informed of the projects and proposed funding needed at the budget setting stage.

Projects being delivered by Horsham District Council which do not go through the budget setting process will consult the Planning Obligations Officer prior to submission of a funding application and will be expected to demonstrate that consultation has taken place, including with the relevant Parish or Neighbourhood Council(s) and any relevant community groups or organisations.  The Planning Obligations Officer will notify the Parish or Neighbourhood Council of submission of the funding application for information purposes.

Given the above, there will be no separate consultation at a later stage for projects delivered by Horsham District Council, but there will be a requirement for a Verification Plan to be submitted and approved by the Planning Obligations Officer prior to the commencement of development of projects being delivered through the budget setting process. This will need to confirm continued compliance of the project to the S106 legal Agreement, provide three quotes for the work (if this is not possible a justification needs to be submitted and will be considered) and confirmation of the overall project cost.

Awards and payments

  • Awards cannot be increased if project costs increase.
  • Payment will be made once work is completed (or stage of work is completed).
  • Payment will be made on the submission of an invoice from the applicant and a copy of any contractors invoice.
  • Applicants should be aware that it is anticipated that projects should aim to be completed and the funds drawn down within one year of allocation.
  • Successful applications are requested to provide a brief update at the end of their project.