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Community asset transfer policy 2025

Introduction

1. Gateshead Council's property estate contains a wide range of assets including, but not limited to, corporate offices, operational sites used to deliver council operated services, recreation and leisure sites and community assets (land, buildings, and other structures) used for a variety of different social, community and public purposes.

2. When a council service no longer has use for a property asset, we need to consider what is the best future use for this asset and how else it could be operated. This could include:

  • different service using the asset for an operational purpose
  • disposal at best value or market value (see below)
  • using the asset to contribute to council strategic goals and objectives, including regeneration priorities, by disposal at less than market value
  • transfer to voluntary and community sector organisations through a Community Asset Transfer

Market value

Local authorities have powers under the Local Government Act 1972 (opens new window) to dispose of assets that they own, such as land and buildings, in any manner that they wish. This broad power is limited by a duty to achieve the best consideration obtainable by a disposal which is to ensure, so far as reasonably possible, that public assets are not sold by public authorities at an undervalue, excepting where a 2003 General Disposal Consent (opens new window) applies, or consent has been granted by the Secretary of State.

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Purpose of the policy

3. This policy sets out Gateshead Council's approach to Community Asset Transfer (CAT). It outlines the principles behind community asset transfers together with details of who is eligible to apply, what support will be provided to assist organisations seeking to take a transfer and how proposals will be assessed.

4. It is anticipated that, by providing this framework, the council will help the voluntary, community and social enterprise (VCSE) sector to take full advantage of the opportunity presented by asset transfer to support them in their objectives whilst promoting their resilience and sustainability in the long term.

5. The council's aim is to ensure that the way its assets are managed strongly underpins its wider corporate aims. The council recognises that the VCSE sector has a vital role to play in delivering corporate goals and objectives, and a strong and sustainable VCSE sector is key in the delivery of services and providing a link with local communities.

6. This policy describes the process the council follow when a CAT is being considered for a property.

The policy is set out in three parts:

Section 1 'Understanding CATs' explains what CATs are, and how the council makes balanced decisions about property assets.

Section 2 'Scope, Eligibility, Principles and Risks of CATs' explains what is included within the scope of CATs and the specific principles that will be applied to them.

Section 3 'The CAT Process' sets out the process of applying for a CAT.

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Section 1: Understanding CATs

What is a CAT?

7. The Local Government Association defines a CAT as: "transferring the ownership of land or buildings from a statutory body to a Community Organisation at "less than best consideration" - that is at less than its full market value - "in order to achieve a public benefit".

National policy context

8. Prior to 2010, community asset transfer was encompassed within government policies to create sustainable communities, empowerment, and regeneration (for example the 2008 white paper Communities in control: real people, real power (opens new window)).

9. The most important piece of work contributing to government policy was the Quirk Review, "Making Assets Work" which was published in May 2007. The Rreview strongly advocated in favour of local ownership and management of public assets. This was supported by the then government and a number of new initiatives were created, including the establishment of the Asset Transfer Unit.

10. The Localism Act 2011 (opens new window) devolves decision making powers to neighbourhood level and advocates new rights and powers for communities and individuals such as the "Community Right to Challenge" and "Community Right to Bid" (for assets of community value). Local authorities are now required to maintain a list of "assets of community value", whereby communities have the opportunity to nominate, for possible inclusion, the assets that are most important to them. Then, when a listed asset, is available for sale or change of ownership, VCSE sector organisations will be given time to develop a business case and raise money so they can bid for the property when it comes on to the open market.

11. CAT will continue as a council policy alongside the statutory Community Right to Challenge and Community Right to Bid.

Why have CATs?

12. VCSE sector organisations make a significant contribution to community life and to the social and economic wellbeing of Gateshead residents. Transferring an asset to a local VCSE sector organisation can unlock local enterprise, engage, and develop volunteers, and offer local employment opportunities which can then attract capital investment to create a thriving community asset.

13. Working with our communities and partners is fundamental to enabling empowered and resilient communities that are better connected to the assets in their neighbourhoods. CATs are one way we can unlock the potential within our communities.

What are the benefits of CATs?

14. Changing ownership or management of assets within a community offers opportunities to extend the use of a building or piece of land, creating the potential to increase its value in relation to the numbers of people that benefit from it and the range of opportunities it can offer. Community-led ownership can also present additional opportunities to secure resources within a local area and to empower residents and communities.

15. The benefits of CATs can be measured in different ways, such as economic, social, or environmental wellbeing benefits for a community. Some potential benefits include:

  • utilising potentially surplus council assets to deliver community led services at a more local level
  • physical assets providing a base for building relationships and creating opportunities within the local community (for example training opportunities, communal warm spaces and support and advice services for local residents).
  • offering suitable lease terms to enable VCSE sector organisations to access grant funding (for example funding to refurbish the building or to support staff training and development)
  • opportunities for increased financial self-sustainability through supportive agreements
  • an opportunity to work in partnership with the council to provide a building which is suitable for the needs of the community and the proposed services
  • VCSE sector organisations will be signposted to appropriate networks and peer support. This will provide opportunities to pool knowledge and resources.

16. Any proposal to transfer an asset to the community will need to clearly demonstrate a range of benefits for the local community.

17. CATs also provide benefits for the council. A transferred asset may:

  • provide a more accessible and responsive base from which to deliver services that will benefit the local community and the wider borough
  • promote inward investment into the local area
  • help to build relationships between the council, the VCSE sector and the community
  • rationalise its estate and facilitate more effective and efficient use of its asset base by maximising use of its buildings and reducing its financial outgoings
  • maximise the community benefit from buildings transferred as the focus is on improved services and community outcomes through a more focused neighbourhood approach
  • build capacity within the community to deliver the council's priorities and outcomes by acting as a catalyst to stimulate stronger partnership working between VCSE sector organisations, the council and other partners, providing opportunities for long-term working between sectors

How do we make balanced decisions about how we use our property assets?

18. As a local authority all decisions we make, including those about potential CATs, must balance a range of often competing factors guided by our corporate priorities. These priorities are set out in our Corporate Plan and relevant council frameworks and plans have been developed to deliver them. This can mean that, depending on the situation, we will need to balance our corporate priorities, the financial benefit of disposing of an asset, and the potential added value a CAT can bring to a community and its residents.

19. Policies that will influence the decisions we make about CATs include, but are not limited to:

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Section 2: Scope, eligibility, principles and risks of CATs

Scope of the CAT Policy

20. For the purposes of this policy, an "asset" is any real property asset in the ownership of Gateshead Council.

21. The Policy does not explicitly exclude any asset from potential transfer to a VCSE sector organisation. Assets are open for decision, on a case-by-case basis, subject to the operational requirements of the council.

22. The Policy is not restricted to property that the council may deem from time to time to be "surplus to requirements" and includes property attached to the transfer of service provision.

How are potential CATs identified?

23. Council assets may be identified for a CAT in a range of ways, including, but not limited to:

  • a VCSE sector organisation currently occupying all or part of a property, providing existing services to the community may want to take over control of the asset
  • a VCSE sector organisation may want to deliver services from an asset and take on management and responsibility
  • a public interest in community occupation and management of an asset may have been expressed to elected members or officers of the council
  • assets that are surplus to the council's operational needs may be identified as part of routine work completed by the council's Property Team
  • an underutilised asset is identified by the occupant, a council service, elected members or the public as vacant or underused, offering a potential opportunity for partnership working

24. To enable robust oversight of opportunities for CATs that will add value to our communities and support the delivery of our corporate priorities, all surplus assets (or potentially surplus assets), CAT enquiries and applications are considered by a CAT Working Group. The CAT Working Group is made up of officers from across the council and ensures that CATs demonstrate and balance the priorities and needs of the council from a variety of service perspectives, as well as ensuring the needs of our residents and communities are at the forefront of decision making.

Terms of Reference for the Group are included as Appendix 9.

25. Before any decision is made about a CAT the application process set out in this policy must be followed including the provision of a robust and viable business plan that aligns with the council's corporate objectives.

26. Once approved by the CAT Working Group, the application will progress pursuant to the council's constitution and the appropriate scheme of delegation.

Eligibility

27. The council will consider a community asset transfer to any VCSE sector organisation. Appropriate groups may be area-based, focused on a particular social group or have some other "community of interest". The council will not transfer its assets under this policy to private businesses which distribute profit, or to political parties.

28. Fundamental to the success of any transfer is the VCSE sector organisation demonstrating to the council that they have a proposal with a clear business model backed by a robust business plan. This must demonstrate their ability to manage the asset effectively, including evidencing the financial and organisational capacity of the organisation and outlining the provision of services to be delivered.

29. Any organisation who wants to apply for a CAT will need to demonstrate this by meeting set criteria, including being able to demonstrate:

  • they are an appropriately constituted voluntary and community sector organisation or social enterprise
  • they have good governance and an appropriate legal structure, for example as:
    • registered charities
    • development trusts
    • community interest companies
    • community benefit societies
    • companies limited by guarantee
    • a constituted body
  • that the proposed use has extensive reach into the community and will be open to all. Organisations that serve a particular interest group or area will be expected to demonstrate how they will be inclusive
  • they have the skills and capacity to effectively deliver services and manage the asset to be transferred and/or have access to the necessary skills and capacity
  • they can build capacity within their organisation and demonstrate how they intend to do this
  • they have a viable business plan that covers the costs of holding the property and managing it effectively
  • they have an up to date legally adopted constitution or governing document which provides that the organisation can enter into a lease
  • they have a robust management committee/board of trustees with defined roles and responsibilities which meets on a regular basis and is elected in accordance with the governing document
  • appropriate financial systems and procedures in place
  • appropriate policies, procedures, licences and insurance cover in place
  • up to date, signed, examined or audited accounts which do not show a deficit
  • a robust business plan which demonstrates the organisation's plans for the asset and how these will contribute to Gateshead's corporate goals and objectives
  • evidence of community need and support for the proposal

Transfer arrangements

30. "Transfer" is generally considered to relate to leasehold arrangements (in some cases at less than best consideration).

31. In transferring its assets to a VCSE sector organisation, the council will consider the most appropriate type of transfer. This could include:

  • licence
  • short/medium-term lease, or
  • long-term lease

32. The decision on which type of transfer is the best option will be decided on a case-by-case basis. It is informed by an assessment of the application form and the business plan, and which option is best suited to meeting the objectives of the transfer.

33. However, there is a presumption in favour of a licence or lease to allow the council to maintain some control over the asset in order to explore alternative uses for the asset if the venture is not successful.

Standard Terms of CAT Agreements

34. The council has a standard lease template for use for CAT's. The council will however adopt a flexible approach to the lease terms if the circumstances of a particular CAT so require. However, the council will always aim to ensure that there is a balance between what the community organisation reasonably requires and what the council requires in order to ensure that the property asset remains available for the benefit of the community as intended (including, for example, the maintenance, repair and insurance of the property).

35. Typical lease terms are set out below:

  • standard lease provisions will include full repairing and insuring obligations
  • the lease to be contracted out of the Landlord and Tenant Act 1954, which means there is no automatic right to renew the lease at the end of the term
  • mutual break clauses or a council only break clause may be included as appropriate. This will be considered on a case-by-case basis and the drafting of any 'break clause' may need to address funders concerns - for example a 'break clause' may not be triggered until the project life of the funding has expired
  • underletting of part will not always be permitted. If the lease allows for underletting, this is subject to obtaining the council's prior consent and will be on the basis of short-term leases contracted out of the 1954 Landlord and Tenant Act, providing such underletting is mentioned in the supporting business plan and the user compliments the purpose of the CAT and will continue to do so. The granting of room hire agreements that do not confer any security of tenure or property rights will usually be permitted without consent
  • assignment of part is not permitted. There will be a prohibition on assignment and underletting of the whole. In certain circumstances, though, assignment of the whole may be permitted but only with the council's prior consent, which may be withheld and at the council's absolute discretion, but any permitted assignment would only be permitted to a relevant successor body
  • a legal charge (mortgage) on the property asset is not permitted without the council's prior consent and which will be at the council's absolute discretion
  • user provisions will be restrictive and clearly defined to ensure the asset is used for the particular community use it was intended. A right to review the rent payable at appropriate intervals (for example on a 5 yearly review basis). However, user provisions may also permit ancillary commercial uses in recognition of the fact that community assets cost money to run and commercial activity is often required to subsidise premises running costs to make premises sustainable for community use. Such commercial activity will only be permitted where it is ancillary to and clearly defined in the lease with any surpluses from commercial activity or rental paid by a third party reinvested in the asset and services delivered within
  • where assets sit in a wider public facility, such as a park, or are part of a larger building, lease terms may place certain restrictions on access and activities
  • standard forfeiture provisions to enable the council to terminate the lease (for example for non-payment of rent, breach of covenants and insolvency). Forfeiture for insolvency will need to be considered in each case and may need to be tailored, for example, by providing funders with 'step in' rights to accommodate particular funding requirements

36. Any lease or occupation granted under the CAT policy will be subject to regular review to confirm that the tenant is complying with the terms of the lease and that the asset continues to be used for community benefit on a not-for-profit basis.

Partnership agreements

37. A lease or occupation granted under the CAT policy will often be accompanied by a partnership agreement which is intended to provide direction for both the VCSE sector organisation and the council by setting out their obligations.

38. The requirement for a partnership agreement will be reviewed on a case-by-case basis and the agreement will be tailored to the objectives of both the VCSE sector organisation and the council.

39. Partnership agreements specify a review period, and a council officer will be nominated to monitor the partnership. The partnership agreement is non-transferable and is personal between the named parties. Both Parties will comply with good practice and legislation and identify the support resources and working practices required to meet the needs of the community in fulfilling the key goals outlined within the partnership agreement.

Maintenance and operating obligations

40. On completion of the CAT Agreement, the VCSE sector organisation will usually take on responsibility for managing and repairing and maintaining, insuring the property asset and other ongoing operational costs.

41. The VCSE sector organisation should demonstrate through the application process that they can access sufficient funds to cover repairs, maintenance, insurance and on-going operational costs.

42. Some responsibilities, for example compliance with Health and Safety legislations, may require additional technical advice, and VCSE sector organisations should demonstrate through the application process how they will address such issues. By way of example only and not by limitation:

  • maintenance liabilities may include maintaining in good order: Electrical, mechanical and plumbing installations, such as lighting and heating/cooling systems; lifts; building safety systems including fire detection and alarm systems and emergency lighting; structural and fabric elements including the roof, windows, doors and cladding; kitchens and bathroom; decoration and floor coverings; external areas such as hard and soft landscaping; security systems including CCTV, alarms or roller shutters
  • operational costs may include planned and preventative maintenance contracts; repairs; cleaning and waste management; utilities; business rates; insurance; grounds maintenance, window cleaning and pest control; office costs such as telephone, ICT and printing
  • other responsibilities may include complying with regulations for health and safety, and management of fire risk, asbestos, legionella, and electrical and gas safety

43. Under the terms of a CAT lease, the VCSE sector organisation must get written permission from the council's Property Team before making certain changes and improvements to the asset. This permission is called landlord's consent.

Rent

44. Subject to compliance with legal requirements and assessments, including land and property valuations, CAT properties may be leased at less than market rental. Although some projects may make financial surpluses this may not result in a rental being payable as long as there are robust and clear provisions in place to the effect that any surpluses are reinvested into the project and/or for community benefit, and lease provisions will be tailored for the particular circumstances.

45. The amount of rent (if any) payable under leases granted though the CAT process will be assessed on a case-by-case basis. Criteria used will, by way of example, include:

  • any rent payable by the council under an existing lease of leasehold premises - only in exceptional circumstances will the rent payable under the CAT be less than the current rental payable or a pro rata proportion thereof in the case of a CAT of part of an asset
  • any capital or revenue investment the vcse sector organisation is making into the asset
  • the extent/level of services provided and the social, economic or environmental benefit of the same
  • the extent to which the transfer supports gateshead council's corporate objectives
  • the extent to which the use of the asset benefits the wider community
  • the extent to which the asset is made available for other groups to use
  • how well the asset is managed and maintained
  • if the use of the asset changes, with the council's prior approval and in which respect the council will have an absolute discretion whether to give that approval or not, from the original business case to include commercial uses (other than commercial uses which are strictly ancillary to the main CAT use) and where any profit is reinvested in community uses, the council shall have the discretion to review the rent up to the market rental asset depending upon the degree of commerciality.

46. Any rent at the commencement of the lease and any rent payable where the use of the asset is varied as detailed above, shall be subject to five-yearly reviews.

Principles of CAT

47. To enable balanced decision making, the following principles inform our approach to CATs (from identifying CAT opportunities, to expressions of interest, to full applications) and our decisions to progress an asset transfer or not.

A transparent and consistent approach

48. The council endeavours to have a transparent corporate process, as outlined in this policy, for dealing with an asset transfer together with clear stages in the process for each party to follow.

49. The council will follow the established processes for assessing the suitability of a CAT and the alignment with Corporate goals and objectives.

50. The lease clearly sets out the legal responsibilities of each party.

51. Where a partnership agreement is granted alongside the lease, this will set out how the parties will work together once the asset has been transferred.

52. The transfer proposal will be approved pursuant to the council's Constitution and the appropriate scheme of delegation.

Best value

53. The council take a strategic approach to its estate through regular reviews of the community asset transfer potential of its assets, and the establishment of priorities linked, for example, to priority wards, delivery of corporate goals and objectives, or the potential of high-profile cases.

54. Organisations wishing to take on a CAT must demonstrate they are financially sustainable to ensure they are able to maintain the asset and their service delivery.

55. Where deemed appropriate, following the assessment process, the council may opt to include restrictive covenants in relation to the use of the site to prevent an asset being used or transferred on for excessive financial gain.

56. The test on whether to pursue restrictive covenants may be whether the disposal is in the interest of the public. For example, a disposal that enables cash to be reinvested in a local individual would not.

57. The council has a statutory obligation and fiduciary duty to obtain the best consideration reasonably obtainable for its assets.

58. However, best consideration can be obtained by money or monies' worth and therefore if the council considers that the community benefit derived from a community asset transfer represents monies worth then this can be taken into account when assessing the rent to be paid, as it can be seen as an alternative to monetary rent.

59. In determining if the proposed use of the property provides a benefit to the council that constitutes monies' worth and thereby enables the council to let the premises at a reduced monetary rent, the council will assess those potential benefits that will be gained by transferring the asset to the community.

60. In making this assessment the officers will have due regard to the provisions of council goals and objectives and the following: The community benefits to be realised by the transfer: will the interests of local people be better served by the transfer?

  • the opportunity to support and build capacity within voluntary organisations and encourage greater organisational sustainability and development of community enterprise activity
  • the impact on the council's proposals in terms of environmental and economic regeneration and social and economic wellbeing
  • improvements to safeguarding or creating new local services and activities whilst ensuring that existing activities, services or facilities already provided in the local community are not duplicated
  • supporting Gateshead Council's efficiency gains and co-location of service providers

61. In assessing the rent to be paid over the term of the lease the council may consider it prudent to make provision for the rent to be reviewed.

Balanced decisions

62. The council will have an open and transparent corporate process for CATs which includes a clear point of first contact and clear stages.

63. The council will balance the benefits of any transfer against corporate priorities and the potential for wider community benefit or social value.                                      

64. Where there are multiple VCSE sector organisation bids the council will consider all bids on their own merits and they will be assessed against the Assessment Criteria. Assessment criteria are set out in Appendix 2 (Expression of Interest) and Appendix 5 (Full Application). Where possible, competing groups will be encouraged to work together.

65. If the VCSE sector organisation anticipate that their plans for an asset require a 'change of use' or alterations to the asset they may need to seek a formal pre-application consultation to determine whether Planning Permission would be required before a decision about the CAT can proceed.

Communities first

66. Organisations are required to show there is a demonstrable need for their service within the community and that they have considered how they would be able to continue to meet these needs in the future.

Growth

67. Organisations are required to articulate how, by taking on the community asset, they will be able to positively contribute to the services delivered within the community.

Sustainability

68. Organisations are required to demonstrate how they have considered the environmental impact of their plans for the asset.

A corporate resource

69. Any proposed CAT must evidence that they support the priorities and aims of the council.

Collaboration

70. Decisions around how the CAT will be progressed will be agreed collaboratively between Gateshead Council Officers and the Community. This will include, as appropriate, speaking with any incumbent organisation, local community groups, or advertising the CAT publicly.

Fit for purpose

71. A CAT may be accompanied by a partnership agreement identifying the benefits and how these will be monitored and measured, together with the remedies available to both parties if the partnership agreement conditions are not met. This partnership agreement will be, in effect, a contract for provision of services.

72. The council will reserve the right to include some or all the following conditions on any transfer, whereby the asset could revert to the council:

  • if the organisation ceases to exist
  • in the case of bankruptcy or dissolution
  • in the case of corruption
  • if the anticipated benefits of transfer are not realised
  • if there is a material breach of lease covenants or restrictive covenants
  • if a building does not remain open for the use of the intended community
  • if the organisation loses its charitable status or there are changes to its legal structure
  • if there are significant reduction or changes of service to the community
  • if the council or the charity commission are made aware of an issue or concern regarding a VCSE-sector-organisation-run asset
  • for VCSE sector organisations the presumption should be that a transfer of assets will be by a lease arrangement, except in exceptional circumstances. restrictions would be placed on any transfer at less than market value, requiring the organisation to:
    • limit the use to a specific community use
    • seek approval from the council for any future sale, assignment or sublease
  • the council have a right to first refusal should the asset be transferred in the future

73. It is the presumption that, once a temporary licence is put in place or the community asset transfer is complete (whichever is sooner), the organisation will assume responsibility for the maintenance and financial sustainability of the asset, subject to the formal agreement to the terms of the licence/community asset transfer.

74. VCSE sector organisations that complete a CAT are required to produce an annual update, in line with the annual review requirements outlined as Appendix 7.

Risks of CAT

75. There are risks that may arise from a CAT and we accept that these are inherent to asset transactions and community-led services or initiatives. The risks associated with property occupation will pass in whole or in part from the council to the VCSE sector organisation at the time of licence or transfer, whichever is sooner.

76. Potential risks may include:

  • the asset becomes a financial liability for recipient
  • uncertainty around capacity of recipient to manage the asset
  • capacity of recipient to deliver proposed services/outcomes
  • knowledge of required compliance and legislative requirements
  • conflict with other legal, planning or other regulatory constraints
  • an ongoing council liability remains
  • conflict with other funding recipients
  • a possible unfair advantage for one group over another
  • perception of a loss of the use of a community facility by certain sectors of the community

77. It is important to note that this list of possible risks is not exhaustive. To mitigate against these risks and others that may be identified, we will ensure risks are robustly considered through the CAT process.

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Section 3: The CAT process

78. There are five stages in the CAT process:

  • Stage 1- Expression of interest
  • Stage 2 - Full application
  • Stage 3 - Approval
  • Stage 4 - Conveyancing
  • Stage 5 - Handover

Stage 1 - Expression of interest

79. The applicant is asked to complete an expression of interest form, included as Appendix 1.

80. This form requires details of:

  • the organisation's mission, purpose, and objectives and how they fit with the council's values and priorities
  • the organisation's governance arrangements, management capacity and staffing structure
  • the purpose and activities of the organisation
  • the proposed beneficiaries of the service
  • the benefit(s) users and / or the local community would receive from the transfer
  • the benefit(s) of the transfer for the organisation
  • how the need for the proposed service has been identified and any community support for the CAT application, including how this information has been gathered
  • the organisation's plans for managing the asset to ensure its financial sustainability

81. The expression of interest will be considered by the CAT Working Group, which convenes on a monthly basis and is made up of council officers, who will decide whether the expression of interest should proceed or not, and how it should proceed.

82. The potential outcomes from the CAT Working Group's assessment include:

  • the application for a transfer should not proceed as it relates to an asset that is not suitable for a CAT
  • the application should proceed to the full application stage, as the expression of interest has demonstrated reasonable merit against the assessment criteria
  • the application cannot yet proceed as more information is required for the council to make an informed decision
  • the application should not proceed as the expression of interest does not fulfil the assessment criteria

83. The applicant will be informed of the outcome of the CAT Working Group meeting within five working days of the meeting. Where an applicant's expression of interest is assessed as not meeting the criteria to proceed the applicant will be informed of this in writing with details of where criteria were not met.

Stage 2 - Completion and assessment of full application and business plan

84. Once the CAT Working Group determines that the expression of interest meets the criteria for the interest to be progressed, the organisation will be invited to complete the full application form and submit a robust business plan.

85. Details of what information is required is detailed as Appendix 3, with guidance available as Appendix 4.

86. When completing the full application form it is important to note:

  • it is the responsibility of the organisation to create and present the business plan, as this is part of demonstrating their ability to maintain the asset
  • support may be available through the council or partners to help organisations develop their application and business plan and this will be discussed with the applicant following assessment of the expression of interest
  • organisations will be required to gather a range of information to evidence the viability of their application
  • preparing the information and documents required for the application form can be a lengthy and time-consuming process. CATs from application to handover can take 12-18 months or longer depending on the individual circumstances

87. Once the full application form has been submitted, the CAT Working Group will assess the robustness of the application and business plan against the CAT assessment criteria.

88. The CAT Working Group may determine that the application:

  • meets the assessment criteria and should proceed to the approval stage; or
  • more information is required from the applicant before an assessment can be completed; or
  • does not demonstrate that it meets the criteria for a CAT

89. If the application meets the assessment criteria, the applicant will be informed. Where it has been determined that an application does not meet the criteria for a CAT the reasons for this decision will be set out.

Stage 3 - Approval

90. Once a CAT has been agreed, in principle, by the CAT Working Group, heads of terms for the transfer will be discussed with the successful organisation. These relate to the specific terms on which it is proposed the CAT is agreed.

91. The transfer proposal will then need to be approved pursuant to the council's constitution and the appropriate scheme of delegation.

92. Where applicable CATs will be subject to compliance with all relevant subsidy control rules.

Stage 4 - Conveyancing

93. Once the CAT has been formally approved it will proceed to the conveyancing stage where the appropriate documentation will be negotiated between the council's legal representatives and the successful organisation (or their legal representation).

Stage 5 - Handover

94. Following completion of the legal documentation arrangements will be made for the handover of the asset to the VCSE sector organisation. The organisation will now be in control of the asset and will assume responsibility for the maintenance and financial sustainability of the asset, as set out in the legal documentation.

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 1: Expression of interest form (external use)

Appendix 2: Expression of interest assessment criteria (internal use)

Asset name:

Officer name:
Date:
 

 Yes/noEvidence and comments
Is the organisation a constituted body?  
Is the organisation a registered charity?  
Is the organisation a registered company?  
Have they spoken to Gateshead Council previously? If yes, please give details  
Does the organisation's purpose fit with the council's corporate priorities?  
Does the organisation produce annual accounts?  
Has the organisation demonstrated financial sustainability?  
Does the organisation clearly outline their plan for the asset?  
Is there an identified need for the service proposed by the organisation?  
Is there demonstrated support from the community for the service?  
Are appropriate governance arrangements in place?  
Is there evidence of partnership working? (If stated the organisation will be working with partners)  
Is more information needed?  


Decision of the CAT Working Group

Do you support this expression of interest?Yes ☐
No ☐
Do you need more information?Yes ☐
No ☐
Please give the reasons for your decision:




 


Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 3: Full application form (external use)

Appendix 4: Business plan guidance (external use)

Stage 2 - Business plan

Your business plan should include:

1. Link to corporate objectives

How will your organisation and its services contribute to the council's corporate objectives?

2. Purpose of asset transfer and organisational objectives

  • objectives or aims for the asset (why you would like the site, how you intend to operate the site, for example directly, with a partner, through a commissioned service, etc)
  • details of operational partnerships if appropriate
  • activities/outputs and outcomes - what activities will you provide, and what outputs and outcomes you expect them to help deliver
  • who are your users?
  • needs analysis - what is the target market?
    • supply - who else is in the target market - why can't they supply what is proposed?
    • demand - what it is and how does the project meet it. How do you know? What measures have been taken to speak with the community?
    • pricing - how have charges been arrived at?
  • how does your organisation and activity fit with the wider community?
  • how will you contribute to the community's economic and social development
  • examples of where the organisation have managed buildings and delivered activities previously with measurably indicators of success
  • plans for future management of the building (compliance and health and safety)
  • measurement of impact - how will you know you have succeeded?
  • marketing and promotion - what are your plans for marketing your services?
  • risk assessment, mitigation, and dependencies

3. Finance

  • organisational finance - organisational accounts, plus details of any funding received or applied for
  • financial Information regarding the asset - what is the anticipated investment or capital expenditure required for the asset (what work needs doing and how much will it cost)
  • three-to-five-year financial projections
  • what are the anticipated the running costs for the asset (what are the costs in operating the site and how will you fund these?)

4. Environmental

  • what environmental impact do you see your management of the asset and proposed activities having?
  • what can you do to mitigate any negative impacts? (for example, does the proposal reduce or increase energy use, or result reduced or increased emissions; does it contribute to biodiversity such as through landscaping and planting; does it encourage access by walking and cycling)

5. Equality and inclusion

  • how will you make your services/activities accessible for the most members of the community?
  • what adaptations can you make to your services/activities?

6. Governance

  • what is your current staffing structure?
  • do you have a sustainable number of staff/ volunteers to manage the asset and deliver the service?
  • what are your staff succession plans?
  • do you have the necessary expertise to manage the assets and delivery impactful activities/services?
  • do you currently have any skills gaps, and if so how do you intend to address them?
  • details of how you will work with operational partnerships (if appropriate)

7. Asset

  • detail how the organisation will manage and maintain the building and adhere to health and safety responsibilities
  • are there any specific risk assessments you will need to develop?

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 5: Assessment considerations - full business plan (internal use)

Each application will be reviewed against the CAT scoring matrix which is then summarised in the form below for presentation to the CAT Working Group. The CAT Working Group will then review this form and make a recommendation on whether to proceed with the CAT to the Localities, Communities and Volunteering or Culture, Sport and Tourism Portfolio (depending on the past/proposed use of the asset), followed by SMG Projects and then Cabinet, for final approval.

Asset name:
Officer name:
Date:

1. Corporate objectives

CriteriaEvidence and comments
How has the organisation demonstrated it meets one or more of the corporate objectives? 

 

2. Governance

CriteriaEvidence and comments
The applicant must be a clearly defined organisation with appropriate governance arrangements in place 
Equal opportunities plan is in place and approved through the AGM/governance structure 
Necessary policies are in place including Safeguarding, Equal Opportunities, Health and Safety, and Equality and Diversity Policies. 


3. Finance

CriteriaEvidence and comments
Viable accounts have been provided for the previous 2 full years 
An evidenced minimum 3-year financial plan has been supplied which shows their financial situation as sustainable and viable 
Has the organisation Identified sources of funding (grants, fundraising etc) 


4. Management and activities

CriteriaEvidence and comments
There is evidence of previous successful and sustainable delivery 
There is evidence of management capacity with clear succession plans 
There is a staffing structure which can deliver the organisational objectives 
It is clear the organisation has the necessary expertise to take on the asset (now, and in future) 
There are clear aims and objectives for the asset which are costed where necessary 
Details of the organisation's activities have been provided. There is a demonstrated and evidenced need for these activities. 
There is evidence that the community support both the organisation and the activities they are proposing to deliver 
They have described how their services will be promoted/ advertised to generate interest 
They have described how their activity will contribute to the social growth of the community 


5. Asset

CriteriaEvidence and comments
There is evidence of how the organisation will manage the asset in the future 
The organisation have considered the risk associated with the asset and their activities and have risk assessments to mitigate the risk 
The organisation are aware of the health and safety requirements of the asset and the activities 
The organisation is aware of other regulatory regimes and requirements and their potential bearing on the proposals 
The organisation has demonstrated the environmental impacts of the asset and their proposed activities; and have sought to maximise positive impacts and mitigate any negative impacts 


6. Decision of the Working Group

Do you support this application?
Please give the reasons for your decision
Yes/NoNeed more
information
 
Comments 


Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 6: Pre-CAT assessment checklist for VCSE sector organisations (internal use)

The following list aims to provide useful information for the community organisation when taking on a transferred asset. Most areas should already be covered in a constitution, and be proportionate to the scale of the asset being transferred. To note the requirements may not currently be in place, but in place at the time of the transfer.

RequirementComplete
We know the asset - its history, any liabilities - for example, flooding, contaminated land, building plans
We have written policies covering payment of trustees / directors / management committee members and volunteers
We are a registered non-for-profit organisation
We have the appropriate constitution with the appropriate registrations in place
Our constitution allows the management / ownership of buildings and provision of community based activities
We can demonstrate good governance by operating through open and accountable processes, with adequate monitoring, evaluation and financial management
Our trustees / directors / management committee members understand their legal obligations
We can demonstrate we have the skills and capacity required to run the asset of this scale or have a development plan in place
Our roles and responsibilities are set out including powers to make decisions in our constitution or associated policies
We have a conflict of interest register
We have a reserves policy, have procedures for paying/reclaiming the correct amounts of tax, NI and VAT
We can provide copies of the accounts of the organisation
We have a clear purpose and understanding of the activities we wish to deliver
We have a track record of creating social benefit for the people of Gateshead
We have conducted consultation on our plans for the local area
We embrace diversity and work to improve community cohesion and reduce inequalities
We can evidence number of years established
Our management proposal includes a specific plan on health and safety issues and compliance with legislation and any statutory requirements arising from ownership or management of the building asset and the activity provided as part of it
We have all the necessary insurances in place or they are in plan
We know how the asset will be managed day to day that doesn't just rely on one person, including having repair and maintenance arrangements in place along with safety and security
Our governance structures are in place that rely on more than just a few people
We understand the terms of the lease and received independent legal advice
We know our digital requirements including IT security
We have all the required policies in place including where appropriate safeguarding, continuity plans, charging policy, complaints procedure, membership scheme criteria
We understand the statutory considerations that can include but are not limited to:
Health and Safety at Work Act 1974;
Regulatory Reform (Fire Safety) Order 2005;
Occupiers Liability Act 1957;
Landlord and Tenant Act 1954;
Charities Act 2011;
Town and Country Planning Act 1960 and subsequent regulations;
Equality Act 2010;
Building Act 1994;
Defective Premises Act 1972;
Control of Asbestos Regulations 2012


Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 7: Compliance guidance for VCSE sector organisations (external use)

Introduction
What is required under the lease?
Tenant's responsibility
Record management
1 Asbestos
2 Legionella
3 Fire
4 Emergency lighting
5 Electrical testing
6 Gas safety
7 Control of Substances Hazardous to Health (COSHH)
8 Servicing, testing and inspection
9 Security
10 Contractor briefing - routine maintenance visits
11 Insurance
12 Weekly checklist
13 Monthly checklist
14 Quarterly checklist
15 Annual checklist
16 Defects log
17 Contacts
18 How to carry out a fire alarm test

Introduction

One of the biggest challenges for voluntary, community and social enterprise (VCSE) sector groups is the safe and efficient management of their premises. As a Gateshead Council tenant in one of our buildings, we want to make sure that you can focus on the hugely important work you are doing delivering services to the residents of Gateshead. Properties will almost always need an element of repair or statutory compliance, but we want to make sure that the buildings are fit for purpose and do not take up a disproportionate amount of administrative time.

This tenant pack aims to streamline occupation by VCSE tenants:

  • clarity on roles and responsibilities
  • contact details for tenants wanting to access repairs advice
  • checklists on what H&S needs to be undertaken on a weekly, monthly and annual basis

As with all properties which are tenanted, Community Asset Transfer (CAT) tenants will need to plan for their own internal repairs and maintenance. In some cases, you may already be in your building and so will know broadly what the costs are, but for new agreements we will work with you to estimate future maintenance and repairs costs.

We know that accessing professional advice is also something which is a barrier to tenants. We list below some of the organisations which can offer low cost or even pro-bono advice:

Finally, compliance and management of your space is a critical part of occupying a building. This document sets out guidelines and checklists so that you and your trustees can be sure you are complying with all the current laws. However, whilst we have provided this guidance, it is still your responsibility to ensure that you are up to date as legislation changes. We would recommend that you nominate someone within your organisation to take responsibility for building matters so that they are able to report to trustees and the Council that the VCSE sector organisation is fully compliant.

What is required under the lease?

A lease is a legal interest in land for a certain length, known as a term, which allows the tenant to occupy their space with 'quiet enjoyment' - a legal term which has nothing to do with noise, but allows them to be in the premises without interruption from the landlord. All leases are granted for a 'contractual term'.

CAT leases are granted outside of the protection of the 1954 Landlord and Tenant Act. It is likely that a new lease will be granted at the expiry of the old one but if things are not going as expected, then both sides have the flexibility to move on. Under a CAT lease, tenants are responsible for paying their rent, using their premises for the agreed use, observing any planning restrictions, and for the repair and maintenance of their premises, as well as potentially contributing towards the upkeep of communal services.

The lease is the document that sets out what the tenant and landlord should both do. You are always advised to obtain your own professional property and legal advice before signing any lease.

Tenant's responsibility

The following section sets out the tenant's responsibility in terms of the lease. We know keeping on top of the running of a property can be a very complex process, so we have produced this combined property guide and logbook to help you. It seeks to simplify the responsibilities of managers for statutory tasks required at your site for the safety of staff, public and other visitors.
Further information at GOV.UK (opens new window)

Record management

As the occupier of premises, you will have responsibility under the Health and Safety at Work etc. Act 1974 (opens new window) for complying with all workplace health and safety requirements and ensuring a safe environment for your staff and visitors to the premises. You must carry out Health and Safety Risk Assessment(s) in the workplace and take action to remove or mitigate any hazards. Advice on preparing a Health and Safety Risk Assessment is available on the HSE website (opens new window). Retaining paperwork to evidence good management is essential and it is worth investing in a good system to ensure process and paperwork are kept in good order. This document sets out a good way to achieve an orderly health and safety system.

1 Asbestos

Asbestos can present significant risks to occupants of premises if not adequately managed. As such, asbestos management plans have been produced for all premises.

Prior to letting the premises, the council will have undertaken an asbestos management survey. Please note that the asbestos survey does not identify all asbestos within the property as there might be hidden items in areas such as risers.

You will be given a copy of this in the tenant handbook, on commencement of your lease. If you do not have a copy, please let us know immediately.

The asbestos management plan contains a copy of the asbestos survey, which shows where in the premises asbestos has been identified or is suspected. If your premises contains asbestos, this does not mean that there is a danger to your health, safety or welfare. If the asbestos is in good condition and is not in an area where it will be damaged by everyday activities, then it is safer to leave it in place.

Although you may appoint a competent person to carry out all or part of the work to meet the requirements of the duty, you will have to be involved in the final assessment of the potential risk. In particular, you will know how the premises are used and what disturbance is likely to occur.

Remember, the responsibility for complying with the duty to manage the potential risk remains yours as you are responsible for maintaining relevant parts of a building.

Prior to any work commencing on the fabric of the building or fixed equipment, either by contractors or staff, the responsible person must check the asbestos log and establish whether it is safe for the work to be carried out. Under no circumstances must staff drill or affix anything to walls without first obtaining approval from the responsible person (even stapling / pushing a drawing pin into ACM may result in the release of fibres into the air).

The responsible person shall ensure the following:

  • that the asbestos log is consulted at the earliest possible opportunity and that all work affecting the fabric of the building or fixed equipment is entered in the permission to work log and signed by those undertaking the work
  • a visual inspection of asbestos containing materials remaining on site is conducted and recorded (we recommend this is conducted annually)
  • the limitations of the management survey and areas of the building that have not been surveyed are understood and considered as part of the permission to work process, for example areas above 3m in height, within ceiling voids (where panels / tiles are fixed), floor voids and ducts etc
  • all records pertaining to asbestos are effectively maintained and retained (legal requirement to do so for a period of 40 years)
  • the asbestos management plan is kept up to date and that any asbestos works (removal, new project specific surveys etc.) are notified to Gateshead Council
  • if you undertake any refurbishment works you must commission your own asbestos refurbishment survey and if any of the items are damaged or need to be remediated you must inform us at PropertyServices@gateshead.gov.uk

Contractors must read and sign the Asbestos Register before carrying out any work on the premises We recommend an asbestos re-inspection survey is conducted every 12 months.

Relevant legislation:

Find further information on controlling asbestos at the HSE website. (opens new window)

2 Legionella

You will be responsible for the completion of a legionella risk assessment and any subsequent annual testing of the water system, cleaning and chlorination to ensure water in your premises is safe.

Risk assessments and regular testing of water systems (water storage tanks, shower systems, water fountains, pressure wash lances and other systems which potentially hold water at a temperature between 20 and 45°C) now needs to be managed by a competent person in your organisation. Each premise should have a water hygiene logbook and risk assessment in which details of testing need to be stored. Please contact us if you do not have a logbook.

The risks from legionella are mitigated by basic operational controls and thus the following checks are recorded.

  • water is heated and stored to 60 degrees Celsius at calorifiers (any vessel that generates heat within a mass of stored water)
  • weekly flushing of seldom-used outlets and all showers (with all outlets flushed after school holiday periods)
  • monthly temperature checks on sentinel outlets (those nearest and furthest away from calorifier(s)
  • quarterly disinfection / descaling of showers
  • stored cold water tanks are inspected for compliance and safety on an annual basis

These operational controls are incorporated into the checklist towards the end of this document.

Find further information on controlling risk of legionella at the HSE website. (opens new window)

3 Fire

You are responsible for fire safety in your premises. The Regulatory Reform (Fire Safety) Order 2005 (opens new window) is the legislation which covers this area.

Occupied premises must have an up-to-date fire risk assessment for the premises and the activities undertaken within them. This document should be reviewed annually; any building changes or change of use to the premises will require a new fire risk assessment to be undertaken. For multi-let premises, the landlord is responsible for fire safety in communal areas such as corridors, but tenants are still responsible for their individual premises.

If fire extinguishers are provided, testing and replacement are now the responsibility of the leaseholder. The number and type of extinguishers will be determined by the fire risk assessment. Fire extinguishers should be inspected by a competent person every 12 months and any failings should be reported to the person in charge immediately. Health and safety regulations require adequate numbers of staff to be trained as fire marshals and usage of firefighting equipment; this number will be determined by risk assessment of the premises and the activities involved. For a high fire risk environment (welding workshop etc.), more staff should be trained than for a low fire risk environment (offices etc.) and attention to be paid to people who may have a disability.

"The responsible person" - (the employer or the person who has control of the premises) is responsible for producing an emergency fire evacuation plan and to train all staff in its use to ensure that all relevant persons on the premises can evacuate quickly and safely in an emergency.

Competent person to conduct the following:

  • weekly fire call point testing which must be documented in fire logbook 
  • six-monthly planned fire evacuation drill to be documented in the fire logbook
  • annual service/test of fire extinguishers, documents to be stored in fire logbook
  • annual test of fire alarm system, documents to be stored in fire logbook
  • The Regulatory Reform (Fire Safety) Order 2005 (opens new window)

The day-to-day fire management of the premises is a critical part of your responsibilities as an occupier, and it is essential you understand what these are: GOV.UK Fire safety in the workplace (opens new window)

4 Emergency lighting

Emergency lighting is lighting for an emergency situation when the main power supply is cut, and any normal illumination fails. The loss of mains electricity could be the result of a fire, or a power cut and the normal lighting supplies fail. This may lead to sudden darkness and a possible danger to the occupants, either through physical danger or panic. Emergency lighting is normally required to operate automatically and give illumination of a sufficient level to enable all occupants to evacuate the premises safely.

Monthly emergency lighting tests

All emergency lighting systems must be tested monthly. The test is a short functional test in accordance with BS EN 50172:2004 / BS 5266-8:2004.
During the test all luminaires and signs shall be checked to ensure that they are present, clean and functioning correctly.

Annual emergency lighting tests

The annual test must be completed by a competent person with power being disabled for a minimum of three hours; this is the full rated duration of an emergency light. The emergency lights must still be working at the end of this test. The result must be recorded and, if failures are detected, these must be remedied as soon as possible.

5 Electrical testing

Portable appliance testing (PAT)

Portable appliance testing (PAT) is the term used to describe the examination of electrical appliances and equipment to ensure they are safe to use. Most electrical safety defects can be found by visual examination but some types of defect can only be found by testing. However, it is essential to understand that visual examination is an essential part of the process because some types of electrical safety defect can't be detected by testing alone.

A relatively simple user checklist can be a very useful part of any electrical maintenance regime. However, more formal visual inspection and testing by a competent person may also be required at appropriate intervals, depending upon the type of equipment and the environment in which it is used.

Fixed wire electrical testing

Fixed wire testing is a legal requirement - keeping you, your employees and visitors safe. This type of electrical testing is mandatory by law, and ensures you are compliant with the Health and Safety at Work Act 1974 (opens new window) and the Electricity at Work Regulations 1989 (opens new window).

You might hear the electrical systems in your building referred to as electrical installations. The testing must be carried out every five years and appropriate actions undertaken to ensure full compliance.

Find further information on making your premises safe at the HSE website. (opens new window)

6 Gas safety

By law, under The Gas Safety (Installation and Use) Regulations 1998 (opens new window), a gas safety record must be issued every 12 months. This must be conducted by a Gas Safe registered engineer for all pipe work, gas appliances and flues installed at your property.

Requirements:

  • ensure gas fittings (gas pipework, meters, valves, appliances and flues) are maintained in a safe condition. Gas appliances should be serviced in accordance with the manufacturer's instructions. If these are not available it is recommended that they are serviced annually, unless advised otherwise by a Gas Safe registered engineer, and on completion a gas tightness test should be carried out
  • ensure an annual safety check is carried out on each appliance/flue
  • maintenance and safety checks must be carried out by a Gas Safe registered engineer who holds the relevant ACS such as commercial gas etc
  • keep a record of each safety check for two years
  • do not use any appliance that is believed to be dangerous
  • gas leak - To report a gas or carbon monoxide emergency, or if a pipeline is struck (even if no gas leak has occurred) call the National Gas Emergency Service 24 hours a day on 0800 111 999

Relevant legislation:

For further information on making your premises safe please refer to: HSE domestic gas (opens new window) and HSE gas (opens new window)

7 Control of substances hazardous to health (COSHH)

COSHH is the regulation that requires employers to assess and control substances that are hazardous to health. You must prevent or reduce workers exposure to hazardous substances.

More information on this requirement is available on the HSE website (opens new window).

8 Servicing, testing and inspection

Statutory requirements and industry standards for servicing, testing and inspection must be adhered to in order to reduce the risk of accidents and demonstrate due diligence.

Some areas of compliance (for practical reasons) need to be carried out by staff on site, for example, weekly fire alarm tests. Checklists are provided in this handbook. In every instance though, the manager is responsible for ensuring records (including inspection certificates) are maintained on site. Records of statutory inspections and certificates must be kept on site.

9 Security

Security is important, both in relation to normal working hours and in times of non-occupation. Procedures for late/early working are especially important in multi occupancy premises, where working activities and times of work differ. Liaison with other services will be needed.

A safe system of work should be devised for those employees who are lone working or remote working within the premises or who are dealing with members of the public.

Final exit doors must be able to be opened from the inside without a key for fire safety purposes. Key holders must be named as contacts in case of out of hours emergencies (this may be an external security contractor).

Relevant legislation:

10 Contractor briefing - routine maintenance visits

This note is targeted at contractors visiting premises for short periods to carry out routine or emergency maintenance or servicing.

Before selecting a contractor, ensure the contractor has Public Liability Insurance. This is not a legal requirement, but it ensures the contractor is protected if someone makes a claim against them for personal injury or damage to the property.

Before the contractor starts work, run through the following points:

  • the work involved
  • where the work is to be carried out
  • provide the asbestos management plan for the contractor to check the asbestos register and to check if the work requires disturbance to inaccessible areas (those not recorded in the asbestos management plan)
  • for the contractor to complete the register of maintenance/works
  • provide building manuals, risk assessments or logbooks on request
  • inform the contractor on no go areas (unless escorted by a local member of staff)
  • inform the contractor on basic housekeeping and fire procedures
  • ensure the contractor signs in and out and completes any relevant logbooks

Ask the contractor about work that may affect the normal running of the premises:

  • hot work leading to increased fire risk
  • falls from height/protection from falling objects
  • noisy or dusty working or works causing smells
  • switching off power, water, heating or ventilation
  • switching off or testing alarms
  • temporary obstructions, particularly fire routes and exits
  • arrangements for parking and deliveries
  • segregation of works where appropriate (fencing etc.)
  • welfare arrangements

11 Insurance

Gateshead Council insures each building through a commercial property policy. This allows tenants to make claims for any repairs following an 'insured event' such as flood, subsidence, fire or similar, as well as accidental damage of the building. Tenants need to make their own arrangements for all other forms of insurance. This is likely to include contents insurance (to replace items, flooring and furnishings that are damaged or stolen) as well as employers insurance.

Public liability insurance is important for the protection of people who visit or use your building. This ensures that if they slip, fall, or are harmed, then they can claim against your policy. Public liability insurance is important and Gateshead Council does check from time-to time. You will also want to check that people carrying out activities in your building are also properly insured. This would include people like dance teachers, martial arts clubs, as well as contractors and people undertaking maintenance work.

It is important that all tenants know that no activities may be carried out in the building that causes the landlord's building insurance to be invalidated. This is seen as really serious by the landlord who may have to take action. An example may be bringing in particularly flammable materials into the building, but common cases include not carrying out essential maintenance for which the tenant is responsible or not reporting building faults in a timely way.

When claiming on landlord's insurance, tenants will be required to pay a policy excess, but the landlord may consider reimbursing this in some situations. Payments are not made automatically, even if the proper forms are completed and sent in, and the council looks into all claims to establish any negligence or breach of 'statutory duty'.

To make a claim against the landlord's insurance you, you must first contact the council, who will redirect your claim accordingly.

12 Weekly checklist

On completion of weekly checks and actions, sign the inspections and checks log and record any defects in the defects log.

Weekly checks
Items to be addressedDocumentApplicable yes/no
FireFire log book 
Test the fire alarm call point (ensure all call points are tested in rotation)  
Are fire exits and escape routes clear of obstructions? If not, record in the defects log and report to manager.  
LegionellaWater hygiene log book 
Run infrequently used showers and taps for two minutes  
SecurityNone 
Do internal lights work? If not, report as a fault  
Do external lights work? If not, report as a fault  
Do CCTV cameras work? If not, report as a fault  
Is the intruder alarm system working? If not, report as a fault  
Slips, trips and fall hazardsNone 
Are there any obvious slips, trips or fall hazards apparent around the building? If yes, record in the defects log and report to the manager or service responsible.  


13 Monthly checklist

Monthly checks  
Items to be addressedDocumentApplicable yes/no
AsbestosAsbestos Management Plan 
Check the asbestos register for maintenance / work completed against entries in the visitors' book - report discrepancies to your line manager  
Record any changes to asbestos survey and pass to line manager  
Energy managementPremises log book 
Have meter readings been recorded?  
FireFire logbook 
Are highly combustible materials (LPG etc.) stored and secured in their correct locations? If not, report to the manager or service responsible  
Have new members of staff been briefed on fire precaution arrangements for the premises? If not, report to manager and request a briefing  
Are fire extinguishers correctly sited? If not, record in the defects log and report to manager  
Do fire doors open as required? If not, record in the defects log and report as a fault  
Are the fire assembly points kept free from obstruction? If not, record in the defects log and report to manager  
Is access kept clear for emergency vehicles if required? If not, record in the defects log and report to manager  
Are corridors, stairwells and kitchen areas clear from storage? If not, record in the defects log and report to manager  
Test emergency lighting with key switch. Record lamp failure in the defects log and report as a fault  
Slips, trips and fall hazardsNone 
Are there obvious slip, trip or fall hazards apparent around the building and site generally? If yes, log them on the defects log and report to the manager or service responsible  
Statutory noticesNone 
Are all safety and hazard signs visible and in good order? If not, contact facilities management  

 

14 Quarterly checklist

On completion of quarterly checks and actions, sign the inspections and checks log and record any defects in the defects log.

Quarterly checks  
Items to be addressedDocumentApplicable yes/no
AsbestosAsbestos Management Plan 
Where asbestos has either been removed or made safe, ensure that the management plan has been updated (this includes the asbestos register and survey).  
FireFire logbook 
Are fire extinguishers in date? If not, report to management.  
Check the fire logbook for recent emergency lighting system tests. If the system has not been tested recently, report this to your manager or service responsible  
Are the fire/emergency procedures up to date?  
Are fire/emergency procedures visible and correct?  
Is the fire risk assessment available in the file?  
Does the fire risk assessment need reviewing because of changes to the building or its occupancy?  
Has the fire control plan been brought up to date to reflect changes in personnel etc.?  
Are there regular date entries in the fire logbook? If not, report to the manager (for weekly alarm tests) or contractor responsible (for annual servicing or emergency lighting tests).  
Do personal emergency evacuation plans for disabled members of staff need updating?  
LegionellaWater hygiene logbook 
Are entries in the water hygiene logbook up to date?  
MaintenanceNone 
Are there any obvious items of maintenance outstanding (gutters overflowing, roof leaks, plumbing leaks, trip hazards etc.)? If yes, record in the defects log and report as a fault.  
SecurityPremises logbook 
Are the key holder names and numbers up to date?  
Site specific assessmentsNone 
Are there any obvious risks from falling trees or branches? If the risk is new, changed or if there are residual concerns about the safety of the tree, seek further advice from your property manager  
Are there any obvious defects to adventure playground or other outside equipment? If yes, log and report to manager for further action.  
Are there any obvious breaches of security fencing or gates? If yes, log and report as a fault.  
Are car parks and external areas that you are responsible for safe and free from broken glass, potholes etc.? If not, take remedial action and report  
Statutory noticesNone 
Are all safety and hazard signs visible and in good order? If not, report to manager for action.  

 

15 Annual checklist

On completion of annual checks and actions, sign the inspections and checks, log and record any defects in the defects log.

Annual checks  
Items to be addressedDocumentApplicable yes/no
Inspections and checks logPremises logbook 
Does the inspections and checks log show a regular pattern of inspections and checks for the premises covering weekly/monthly/quarterly checks?  
Review the defects log and any recorded actions.  
AsbestosAsbestos management plan 
Is an asbestos management plan folder held on the premises? Does it containing an asbestos management survey, emergency procedures, emergency contacts, the permission to work register and the re-inspection log?  
Has the asbestos items recorded on your survey report been re-inspected in accordance with the record of inspection schedule in the last 12 months?  
Contractors  
Are copies of the contractor briefing - routine maintenance visits sheets kept in a prominent place with the signing-in book?  
Disabled personsPremises logbook 
Are the following documents available for the premises?
Accessibility audit
Access management plan
  
Where there have been physical changes to the premises or changes in the services delivered from the premises - have the accessibility audit and access management plan been reviewed and updated?  
Are there procedures in place for disabled people in the event of a fire? You will need to cross check with your fire control plan.  
Do disabled employees have a personal emergency evacuation plan? You will need to cross check with your fire control plan.  
Energy managementPremises logbook 
Are there regular briefings to staff and are posters displayed etc. to remind staff to switch off lights, monitors etc.?  
Are monthly records kept of meter readings and the readings passed to the energy management team?  
FirePremises logbook 
Is an up to date fire risk assessment held on the premises? Review the actions applying to local management arrangements and review the assessment for changes in building occupancy or service delivered.  
Is an up to date fire control plan held on site? Review the plan for changes of personnel or service delivery.  
LegionellaWater hygiene logbook 
Is the water hygiene risk assessment and logbook available on site?  
Lifts and lifting equipmentLifts and lifting equipment logbook 
Is the lifts and lifting equipment logbook available on site?  
Are commissioning, testing and insurance inspection certificates held on site for all equipment?  
Is a recorded procedure for maintenance requirements in place, with records kept?  
SecurityPremises logbook 
Has annual maintenance been carried out on security systems... intruder alarm / power-assisted doors / CCTV / panic alarms / security shutters / etc.  
ElectricalPremises logbook 
Have there been significant numbers of new appliances added resulting in trailing leads? Advise managers to limit the number of appliances or dispose of old equipment.  
If the five yearly electrical inspection is due - has the logbook been updated?  
Have portable appliances been tested this year (this will be recorded on the equipment itself)?  
Site specific assessmentsNone 
Has an annual check (by a specialist) of any adventure playground equipment or other outdoors equipment been carried out?  
Storage  
Are gas bottles and other highly flammable materials adequately controlled and stored? You may need to take further advice from the health and safety co-ordinator and notify the manager responsible.  


16 Defects log

When defects are reported or picked up during your regular checks (whether management related - for example, fire exits being regularly blocked - or building related - for example, plumbing leaks) these can be recorded in the defects log and the actions tracked and closed out by the responsible person or service.

Budget constraints and competing priorities may mean that some defects will need to be put into a future programme of works rather than being dealt with immediately. In some circumstances, defects may not be deemed a priority at all and won't be remedied, for example, where the cost of access far outweighs the cost of the repair or consequent damage caused.

DefectReported byAssigned toDate recordedAgreed date for actionDate action completed
      
      
      
      
      

 

17 Contacts

Contacts
NameArea of workPhone number/email address
   
   
   

 

18 How to carry out a fire alarm test

Did you know it's a requirement of the Regulatory Reform (Fire Safety) Order 2005 (opens new window) that your fire alarm system should be tested and the results recorded weekly?

It's the responsibility of the 'responsible person' and the results of each weekly test should be kept in a central fire logbook.

To carry out a weekly fire alarm test you'll need the 'call point test key'.

Insert the key into the call point. When the alarm sounds, remove the key and head to the fire alarm panel.

Alarm panel should then be reset. Record the results in your fire logbook. (This is also the best place to store all of our engineer's maintenance and servicing report sheets.)

Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 8: Building management and compliance - annual review (external use)

The following checklists accompany a yearly reminder letter which aims to aid the council and VCSE sector organisations when carrying out an annual health check of an asset which has been Community Asset Transferred, to ensure the following are in place/remain unchanged:

  • compliance
  • partnership agreement management - is it being followed
  • changes to charity structure and purpose
  • changes to charity future plans and changes to deliverables
  • insurance - certificate provided, where applicable

These checklists should be referred to alongside the annual reminder letter, CAT policy and guidance.

Building maintenance and compliance
TaskIn placeDocument evidenced byStill relevantDate createdReview date
Health and safety and risk assessments for the premises     
First aid obligations for the premises     
Fire safety obligations for the premises     
Electrical portable appliance     
Gas boiler servicing and maintenance     
Gas appliances servicing and maintenance     
Asbestos     
Water hygiene management     
Are the group aware of their obligations regarding requesting landlords consent for tree maintenance?     
Are the group's lift/lifting equipment records up to date for the premises?     
Are the group's automatic door servicing and maintenance records up to date for the premises?     
Are the group's roller shutters servicing and maintenance records up to date for the premises?     
Are the group's air conditioning servicing and maintenance records up to date for the premises?     
Are the group's air handling/change filter unit records up to date for the premises?     
Are the group's pressure vessels servicing and maintenance records up to date for the premises?     
Are the group's emergency lighting inspection records up to date for the premises?     
Are the group's electrical testing records up to date for the premises?     
Is the group's defect logbook up to date?     
Do the group have the relevant insurances in place?     
EPC Certificate (subject to government changes, E or above until 2028)     
Future      
TaskIn placeDocument evidenced byStill relevantDate createdReview date
Next date in place for reminder for the group of their property related responsibilities and check condition of the property     

Recommendations

 

 

     


Download the Community asset transfer policy as a PDF (PDF, 1 MB)

Appendix 9: CAT Working Group terms of reference

Responsibility

To ensure that Gateshead Council are meeting our legislative obligations arising from the Localism Act 2011 and any subsequent legislation or guidance, relating to community asset transfer.

To ensure that Gateshead Council are acting in a way consistent with The Gateshead Council CAT Policy 2025, The Gateshead Compact 2024-2027, Volunteering Strategy and any other policies or strategies which may relate to community asset transfers.

Role

  • to assess CAT applications, considering the Gateshead CAT Policy
  • to make recommendations to Cabinet on those applications
  • support the development and delivery of the CAT policy, as required
  • develop resources to support staff and communities engaging in the CAT process
  • support the preparation of an annual report to Cabinet

Membership

In order to ensure that all relevant parties can input into the CAT discussions, no less than one nominated officer from each of the following:

  • Property Management, Property, Assets and Traded Services - to advise on any property and land considerations.
  • Neighbourhood, Housing and Homelessness Services, Localities - Locality Coordinator from relevant area to advise on community benefit, community consultation and local community planning. Also, as lead service for governance support to applicants.
  • Public Health and Wellbeing, Community Development - to advise on considerations for sport assets and the impact on the Playing Pitch Strategy.
  • Environmental and Technical Services - to advise on any considerations for green and open spaces and to advise on existing volunteering arrangements.

And any other Gateshead Council officers as deemed appropriate according to the agenda of the group.

Meeting structure

Frequency

monthly (more frequently, if required)

Administration

Agenda item deadline - 2 weeks prior to meeting date
Key paper circulation - 1 week prior to meeting date
Circulation of minutes - 1 week after meeting
Approval of minutes included as an agenda item and dealt with at the start of the following meeting.
All the above will be dealt with by the Property Team.

Format

Microsoft Teams meeting

Decision-making

A proposal will be introduced, followed by a discussion and, if required, a vote.
The CAT Working Group will make a recommendation to the Localities, Communities and Volunteering or Culture, Sport and Tourism Portfolios (depending on the past/proposed use of the asset), followed by SMG Projects and Cabinet, for final approval.

Conflicts of interest

Conflicts of interest will be declared by members, reviewed by the group and, if required, an alternative officer will be identified, by the party who declared the interest, to attend the meeting in their place.

Accountability

The CAT Group will provide recommendations on CAT applications, as required, to Localities, Communities and Volunteering or Culture, Sport and Tourism Portfolios (depending on the past/proposed use of the asset), followed by SMG Projects, which, if approved, will then proceed to Cabinet.

The CAT group will provide an Annual Report on CAT KPIs to Cabinet.

Download the Community asset transfer policy as a PDF (PDF, 1 MB)