Key criteria for funding
LAs/RSLs must demonstrate that the application meets the following key criteria:
- the applicant can demonstrate a strong track record in delivering and managing social rented housing.
- a clear strategic case for support is made where grant support is targeting homes which require improvement, to bring them up to standards set out below and confirms they will be let to the target clients.
- the application confirms that the LA/RSL does not have sufficient resources to fund or contribute to the improvement works from their own or other resources, or where investment is scheduled in future years that the grant would significantly accelerate the availability of properties.
- the application includes details of how the homes will be managed. Minimum expectation is the homes will be available for a period of up to 3 years following which, LAs and RSLs will work with those tenants who wish to remain in the area to identify alternative rehousing options. Homes will be for social rent and be let or available for letting, under a Scottish Secure Tenancy or Short Scottish Secure Tenancy to UDPs.
- the homes will be improved to the LA/RSLs normal social housing lettings standards, and comply with the Scottish Housing Quality Standard and all relevant building regulations. Confirmation will be required that any fire safety issues including those related to cladding of properties, will be considered and treated appropriately as part of the works programme.
- confirmation that Value for Money (VFM) will be secured for all applications, by the use of appropriate tendering processes which follow UK Subsidy Control Regulations and this should be evidenced in the application process. Costs of improvement works will be subject to a VFM assessment as part of the due diligence process. SG will not contract or manage improvement works on behalf of an LA or RSL.
- SG will contribute to the capital costs of the improvement works (up to 100% of capital costs). LAs/RSLs will be responsible for the leasing arrangements and rent collection. The fund is capital only and revenue costs will not be covered. For the avoidance of doubt, void rental costs will not be covered by the Fund.
- for RSL properties, the application should demonstrate that the proposed project has the support of the relevant LA, and all approved projects will be included in the LAs forthcoming Strategic Housing Investment Plan (SHIP) as a local priority.
- projects will be delivered as quickly as possible in line with a timescale agreed with SG. Applicants will be encouraged to maximise the delivery of homes in 2022/23 through property selections and their programming of works. Proposals that include delivery of homes in 2023/24 will be considered by exception on a case-by-case basis.
- LAs/RSLs will ensure there is no debt on existing power meters at the start of any tenancy and avoid the use of pre-payment meters where possible.
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