Hertfordshire County Council ruling Conservatives have come under fire from the Liberal Democrat opposition after they exposed news that the county council has had to pay back almost a £0.25m to developers and may have to pay back almost another £1m.
Cllr Stephen Giles-Medhurst, Liberal Democrat Spokesperson on Highways, has discovered that in the last five years the county council has had to repay £214,206, mainly to house builders, because it has failed to spend money given to it in accordance with the legal agreements.
These legal agreements (known as Section 106 agreements) normally identify schemes and projects in the locality of a new development that need improvements and can range from new road junctions and traffic calming to bus stops and bus provision.
Cllr Stephen Giles-Medhurst has also unearthed the fact that there are now 34 section 106 agreements where the ‘use-by’ date has passed. This totals a shocking £892k of highways improvements. This money can now not be used unless the developer agrees to an extension of the agreement. If they do not agree the money will have to be repaid.
Stephen said: ‘I have for many years called for adequate control of these agreements. Four years ago I got a scrutiny review carried out. Assurances which were then given by the ruling group have clearly not worked. Why have they kept this a secret?
‘It is not just highways money that is at risk. Youth schemes and improvements for children have also been lost because of this mismanagement.’
Stephen concluded: ‘I have called for a independent review and audit. We need to find out what has gone wrong and put it right so that no more money is lost. The council must ensure that as much of the £892K at risk is safeguarded and then spent.’