1. Community Ownership of Assets
New “rights” under the Community Empowerment Act
Lynn Molleson COSS Advisor

2. building sustainable communities
Development Trusts:
building sustainable communities
DTA Scotland is a Scottish Charitable Incorporated Organisation (SCIO) No. SC034231

3. Community Ownership Support Service
COSS is part of the Development Trusts Association for Scotland (DTAS)
COSS is a Scottish government funded programme, adviser led across all 32 LA areas, set up to :
help community-based groups take ownership of assets for community benefit – asset transfer
support local authorities and other public agencies (relevant authorities) to transfer assets into community ownership.

5. What is (Community) Asset Transfer?
A process to allow a community organisation to take over publicly-owned land or buildings, in a way that recognises the public benefits that the community use will bring. That may be a discounted price, a grant or other support, or simply the agreement to transfer something the public authority did not plan to sell.
If the land is put up for sale or lease and a community body offers the best (or the only) bid, that is just a commercial transaction.
Assets are land and any buildings or other structures on the land, like bridges, walls or piers. (It does not include vehicles or equipment.)

6. Community Empowerment (Scotland) Act 2015

9. The Asset Transfer Process

11. Characteristics of success
10/12/2018
Characteristics of success
based on genuine community need –Actions Plans
the right asset sought to meet those needs
learning from others who have done it already
the business plan shows how the asset can ‘wash its face’ (grants, revenue – is there a market In that gap, SLAs)
Demonstrating economic/social/health/environmental value – the added value
being realistic about the condition of the building/land (contaminated. beyond reasonable repair)
making good use of free help and support ( COSS, local support - TSIs, Business Gateway, Funders, SE networks)

12. Identifying service gaps and show how the group can plug them!
Key questions to ask before you start:
what is the need/demand? How do we know?
do we require an asset to deliver on the need?
have we looked at every asset option?
Do we want to buy, lease or manage?
will the project promote or improve: economic development, regeneration, public health, social wellbeing, environmental wellbeing.
will it reduce inequalities?
is it all financially viable?
will it be sustainable in to the future?
Established and maintained focus on a clear social mission based on local needs.
Identifying service gaps and show how the group can plug them!
Legal model and governance structure fit for purpose
Strong leadership
Constantly developing in-house capacity
Prepared to seek the support of intermediaries and/or public agencies.

13. Key “Rights” for community groups
Right to
request information on any public asset that interests you
request the transfer of a public asset (doesn’t have to be surplus) – manage, lease, ownership
acquire that asset if the public body cannot offer a good reason not to (i.e. a presumption in favour of transfer)
to appeal any adverse decision

14. Key “obligations” for Public Bodies (relevant authorities)
To create/maintain an Asset Transfer Policy, and a register of all assets
To respond to requests for information on assets
Not to dispose of asset once transfer request received (unless already begun a disposal process!)
To acknowledge receipt of asset transfer request / notify “validation date” (only once satisfied request is complete)
To take a decision within 6mths of “validation date”

15. Relevant Authorities

16. Content of “Asset Transfer Request”
A very comprehensive written request - 15 criteria to be considered, including:
the land/ buildings concerned
the proposed terms of the transfer (eg ownership, lease etc)
the purchase price or rent/duration of lease
the reasons for the request & how the community would use the asset
the community benefits that would arise compared to other possible options
how the transfer / development / enterprise will be funded
Evidence of community support

17. How your request will be assessed
Public benefits of the transfer proposal must be demonstrably greater than that of an alternative proposal
economic development; regeneration; public health; social wellbeing; environmental wellbeing
Best value (discounting market valuation)
Ability of the group / project to deliver
Impact on the public body’s functions & any conflict with wider obligations
Level of community support / conflict with other community interests

18. Who can make a request - Community Transfer Body
Community of geography or community of interest
Open membership/controlled by that community
Community benefit purpose
Surplus applied to benefit of community
May be unincorporated if no transfer of ownership (but think carefully!)

19. All with no fewer than 20 members.
Full Title Transfer:
For transfer of full title the community body must also be:
A limited company with a Dissolution Clause
(i) to another community transfer body
(ii) to a charity.
A Scottish Charitable Incorporated Organisation (SCIO)
A Community Benefit Society (BenComm)
All with no fewer than 20 members.
If a community group can’t change its rules to fit the requirements, it can ask the Scottish Ministers to make it a community transfer body by law. This is called being “designated”.
Decided to exclude reference to .
(c) in the case of a body designated by an order under paragraph (a) of subsection (2) of section 50, the order includes provision that the body may make an asset transfer request of the type mentioned in section 52(2)(a), or
(d) in the case of a body falling within a class of bodies designated in an order made under paragraph (b) of that subsection, the order includes provision that bodies falling within the class may make an asset transfer request of that type.
This refers to
50 Meaning of “community transfer body”
(1) In this Part, ―community transfer body‖ means—
(a) a community-controlled body, or
(b) a body mentioned in subsection (2).
(2) The body is a body (whether corporate or unincorporated)—
(a) that is designated as a community transfer body by an order made by the Scottish Ministers for the purposes of this Part, or
(b) that falls within a class of bodies designated as community transfer bodies by such an order for the purposes of this Part.
(3) Where the power to make an order under subsection (2)(a) is exercised in relation to a trust, the community transfer body is to be the trustees of the trust.

20. Reasons for community going for lease
10/12/2018
interim lease
Phased approach to full title AT is completely legitimate
to build up confidence and experience
to test their business ideas
must check heads of terms
break clauses in favour of ownership

21. BUT……… short term lease can cause funding issues
10/12/2018
BUT………
short term lease can cause funding issues
Usually full repairing
Groups being offered market leases
Burdens

22. Maud Story Develop a centrepiece for the village
Generate a sense of community and ownership
Encourage social inclusion of all groups in the village
Create sustainable and financially viable facilities for the benefit of the community
Create local employment opportunities
Give the village back its heart

23. Phase 1 – The Community Garden

24. Phase 2 – Cornerstone & Community Service Centre

25. Phase 3 – Community Resource Centre

26. Over 850 members – age range 12-80
Over 850 members – age range 12-80! 4 Qualified Fitness Instructors, Gym Kids Teen Classes Exercise Referral Chair-based exercises Circuits Spin Classes health referrals

27. Phase 4 – Community Cafe Opened June 2010
5 permanent & 4 temporary staff

28. Phase 5 – Recreational Area/Gardens

29. Benefits to the Community and area
New centre of the village
Employment opportunities – Cornerstone, Dial-a-bus, Venture
Support & Care, Buchan Agricultural consultants, Resource Centre, Gym , Cafe (MVT employs 17)
Wider access to services
Created financially viable businesses
Working in partnership with NHS & Aberdeenshire Council gives the community a chance to influence service provision in their area
Social Inclusion for a number of groups in the communiy e.g. mental health, learning disabilities
New families are encouraged to live there
The village now well and truly has its HEART back!

30. The Mart Site Today
Community Resource Centre
Community Service Centre

31. Who can help you? COSS can help if the asset is publicly owned.
Scottish Land Fund and the Community Land Team at Scot Gov can help if the asset is privately owned.
For help with Board training and capacity building – CLD teams; TSIs
Specialist business planning help from Enterprise Accelerator, Just Enterprise or Business Gateway.

32. Key Funders
Scottish Land Fund – for feasibility , design, business plan for viability and purchase. Geographic fund only.
Community Assets – BIG Lottery. For purchase and development
Raising money through Community Shares – Community Shares Scotland. Must be a CBS. Can be a charitable CBS.

33. Thank you Lynn Molleson Advisor
Normal working days Wednesday, Thursday, Friday
Community Ownership Support Service, 1B Washington Lane,
Edinburgh, EH11 2HA
T:   | M:   | W: 
@dtascot_COSS