S.106 Agreements

The planning obligations under Section 106 of the Planning and City Planning Act 1990 (as amended), commonly known as s106 agreements, constitute a mechanism that makes a development proposal acceptable in planning that would otherwise not be acceptable. They focus on mitigating the impact of site-specific development. S106 agreements are often referred to as “developer contributions,” as well as highway contributions and the Community Infrastructure Tax. In Merton, the s.106 agreements are used to guarantee contributions to affordable housing, in accordance with the local and London plan. Section 106 (S106) Agreements are legal agreements between local authorities and developers; These are linked to planning authorities and can also be characterized as planning obligations. The structure of how planning obligations in Merton were taken into account and calculated is defined in the planning obligations decided for the 2006 SPD. Since April 1, 2014, the Commission has been filing a complaint against merton CIL. The Community`s 2010 Infrastructure Tax Regulation (as amended) limits the scope of what can be included in the new S.106 agreements for infrastructure projects to agreements directly related to the area and prohibits the obtaining of S.106 agreements for projects on the list of Regulation 123 that the Council plans to include in CIL appropriations. With respect to developer contributions, the Community Infrastructure Tax (CIL) did not replace the Section 106 agreements, which strengthened the s 106 tests. S106 agreements on developer contributions should focus on correcting the specific weakening required for a new development. CIL was designed to address the broader effects of development. There should be no circumstances in which a developer pays CIL and S106 for the same infrastructure for the same development. Section 106 of the agreements are developed when it is considered that a development will have a significant impact on the territory, which cannot be mitigated by conditions related to a decision to approve the plan.

The Cheshire East Council collects a fee for legal fees related to the preparation and negotiation of the S106 agreements, and you must make a commitment for the costs before starting the legal work. The fee is charged at $160 per hour ($195 per hour from April 1, 2018), which includes a review of unilateral commitments submitted to the Commission as part of the planning application and the claim procedure. They are legally binding, with a building permit and carried out between the Council and the developers/landowners.

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