PAPER C

Purpose: For Decision

Committee:	EXECUTIVE

Date:	18 JUNE 2002

Title:	CASTLEHAVEN COMPULSORY PURCHASE ORDER

	JOINT PORTFOLIO HOLDERS – RESOURCES AND AGENDA 21 AND COUNTRYSIDE MATTERS

SUMMARY/PURPOSE

The Executive at its meeting on 27 November 2001 resolved to proceed with compulsory acquisition of land at Puckaster Farm, together with a right of access, to provide environmental mitigation for the proposed coast protection works at Castlehaven, and that a further report should be brought back with a view to passing a formal resolution.

This report invites the Executive to pass a formal resolution authorising the making of a Compulsory Purchase Order (CPO).

BACKGROUND

The Department for Environment, Food and Rural Affairs has given the Council formal approval to proceed with coast protection works at Castlehaven, but on condition that the Council acquires land at Puckaster Farm for an environmental mitigation package. Without this acquisition the works cannot proceed and some 40 properties would remain at risk of slippage.

NEGOTIATIONS

The Property Services Manager has been in discussions with the owner of Puckaster Farm, to settle terms for the acquisition by agreement, but has been unable to settle terms which can be recommended to the Council. Independent professional advice received in February 2000 says that the then asking price of £185,000 (One Hundred and Eighty Five Thousand Pounds) is not unreasonable for the whole of the farm.

The farm consists of a detached bungalow, being a conversion of a farm building which was granted consent on 26 November 1996, and it should be noted that there is an agricultural occupancy restriction. In addition there is a range of outbuildings, part of which has been converted into holiday accommodation.

The property also consists of an area of land amounting to some 23 acres or thereabouts, the majority of the land is rough grazing. Access to the property is via a very narrow, steep private drive which it is assumed runs with the property. A very sizable part of the holding is affected by ground movement and even the area of the house is said to be in an area with slight ground movement with a very high risk of further movement which is likely to cause structural damage.

To try and bring this question to a resolution the Coastal Manager and Property Services Manager wrote a joint letter to the owner on 6 August 2001 setting out the options, making an offer for the acquisition of the whole of the farm or an offer to acquire part of the farm, namely the 20 acres, and giving the owner the option to choose the course he would most prefer.

It is understood that the owner would prefer to settle terms for a sale of part of the farm to the Council.

Since that time officers have pursued this acquisition further with Mr Farr but there has been no formal acknowledgement or any acceptance of either of the terms proposed.

LEGAL POWERS

Section 121 of the Local Government Act 1972 gives the Council power to acquire compulsorily any land in their area for the purpose of any of their statutory functions. The Council is the Coast Protection Authority under the Coast Protection Act 1949 and has power to carry out coast protection works. In order to enable the works at Castlehaven to take place it is necessary to purchase this land and s.111 of the 1972 Act authorises such purchase as being calculated to facilitate or conducive to the works. The procedure is governed by the Acquisition of Land Act 1981.

s.13(1) of the Local Government (Miscellaneous Provisions) Act 1976 also gives power to acquire rights not previously existing and this authorises purchase of a right of way for access to the land as shown on the plan.

PROCEDURE

If the Executive approves the resolution the Order will be made and advertised. The form of the Order is very short and sets out the land to be purchased, with reference to a plan, and details of ownership. Notice is published in the local press and served on the landowner, and objections may be made within 21 days from publication. The Order has to be accompanied by a statement of reasons for its making.

The Order is submitted to the Secretary of State for confirmation, and he may decide to hold a public inquiry if there are relevant objections.

If the Order is confirmed the Council may follow certain procedural steps to take possession of the land. Any dispute about the amount of compensation payable is settled by the Lands Tribunal.

OTHER CONSIDERATIONS

The Executive should be sure that the area to be acquired is sufficient to fulfil the intended purpose; and should give some consideration to future use of the land to be acquired in the light of the applicable planning policies. The Council will need to be able to certify to the Secretary of State that either an application for planning permission for any future proposed use could not be made before the CPO, or that no permission would be required for any proposed use.

The area proposed for acquisition is not the whole of the farm, but only the area of about 20 acres (7.96 ha) actually required for environmental mitigation of the coast protection scheme. It is understood that the owner would prefer to retain the remainder of the farm. The farmland is only used for pasture and professional advice states that the farm is not viable, either with or without the land to be purchased.

If the landowner considers that the CPO makes the remainder of the farm non-viable he may after confirmation of the CPO serve a Blight Notice on the Council under s.150 of the 1990 Act if he has tried to sell the remainder and is unable to do so except at a substantially lower price than might be reasonably expected. The Council can serve a counter-notice and the resulting dispute would be settled by the Lands Tribunal. If the landowner were successful the Council would have to buy the remainder of the farm.

The Human Rights Act 1998 requires the Council to consider the right of the owner to the peaceful enjoyment of his possessions (Article 1 of the first protocol to the Convention). Since it is possible to purchase only the 20 acres required, leaving the owner in possession of the house and remaining land, it would be advisable under this Act to do so.

When acquired no change of use necessitating planning permission would be involved.

FINANCIAL IMPLICATIONS

The possible costs of acquisition are referred to above. The costs associated with making and serving the CPO, and submitting it for confirmation, can be covered within normal budgets. If a public inquiry is held there will be costs of perhaps £30,000 for legal and professional fees.

There is no anticipated net capital resource implication arising from the acquisition of part of the farm as this can be financed from grant assistance.

OPTIONS

1. To pass the resolution authorising compulsory purchase of 7.96 hectares as shown on the plan.

2. To pass a resolution authorising compulsory purchase of the whole of Puckaster Farm.

3. Not to pass a resolution for compulsory purchase.

RECOMMENDATION

Option 1 – to resolve as follows:

That the Executive for the reasons above and in the earlier report considers it is necessary to acquire compulsorily

(a) the land shown edged pink on attached plan namely 7.96 hectares of pasture land being part of Puckaster Farm, Niton, in order to provide environmental mitigation for the proposed coast protection works, and;

(b) a right of way for access by the Council and its agents and invitees for all purposes over the land coloured blue on the plan;

and resolves that a compulsory purchase order be made in respect of the land under s. 121 of the Local Government Act 1972, s.13 of the Local Government (Miscellaneous Provisions) Act 1976 and the Acquisition of Land Act 1981.

BACKGROUND PAPERS

Report to Executive 27 November 2001.

DEFRA Approval letter for Coast Protection Scheme dated 18 December 2001

Correspondence with owner of Puckaster Farm.

Contact Point: Peter Pilgrem, Legal Services Manager, tel. 823207

MIKE FISHER

Strategic Director

Corporate and Environment Services

REG BARRY

Portfolio Holder for Resources

BRENDA LAWSON