DECANT POLICY AND PROCEDURES

DECANT POLICY AND PROCEDURES A. INTRODUCTION A.1 Solon aims to provide good quality accommodation and in providing this, it is sometimes necessary to modernise, re-improve and carry out major repairs to its older properties. Often the work required is so extensive that tenants cannot remain in residence whilst work is in progress. It therefore becomes necessary to decant those tenants either permanently or temporarily to other suitable accommodation to allow the work to proceed. In such circumstances Solon will pay removal expenses and other statutory payments where applicable. A.2 The procedure below should be followed in deciding what assistance/payments are offered for permanent and temporary moves. B. STATEMENT OF POLICY B.1 It is the policy of Solon to: Minimise disruption and inconvenience to tenants obliged to leave their homes either temporarily or permanently because of modernisation, re-improvement or major repair works. Pay statutory compensations (i.e. Home Loss and Disturbance Payments) due to tenants who have to be permanently displaced as a result of redevelopment or re-improvement. Reimburse a tenant s expenses arising from a temporary or permanent move. C. LEGISLATION C.1 Under the terms of section 29 of the Land Compensation Act 1973 as amended by the Planning and Compensation Act 1991 tenants permanently displaced from a home in which they have lived for at least one year to enable redevelopment, conversion or re-improvement work to take place are entitled to two main statutory payments, namely Home Loss and Disturbance Payments. C.I C.I.1 Entitlement to Home Loss Payments (statutory) Home Loss is a fixed sum of 1,500 payable to tenants to compensate them for the permanent loss of their home because of redevelopment or improvement work by Solon. It is only payable where Solon sells the property or where following the works the property is so different that it can be seen as totally new home. The amount, 1,500 covers the trauma of losing what may well have been a long standing home. Decant Policy & Procedure.doc Page 1 of 12

C.I.2 C.I.3 C.I.4 C.I.5 C.I.6 C.I.7 C.I.8 C.II C.II.1 C.II.2 C.II.3 The move must be permanent to qualify a Home Loss payment. A temporary move from a property which is to be totally redeveloped (e.g. demolished and rebuilt) is counted as a permanent move because the building the tenant will return to is so different it can be seen as a totally new home. As a general rule tenants will be offered a permanent move where the tenant is likely to be displaced for over 3 months and/or the property is to be enlarged or reduced beyond the existing household size and will therefore qualify for Home Loss Payment. The Act states that a possession under grounds 10 and 10a of the Housing Act 1985 (Landlord s works & Sales) will give a tenant the automatic right to Home Loss payment. Only those with a legal interest or right in the property qualify for Home Loss payment. Lodgers do not qualify for Home Loss payments. Joint tenants are only entitled to one Home Loss payment. The tenant must be resident in the property for at least one year and must satisfy that he or she has been in occupation of the property as his or her only main residence throughout the period of one year ending with the displacement. Successors are allowed to add the length of residence of the deceased tenant to their own length of tenancy to make up the one year qualifying period. When payable: The statute states that the payment is due from the date the tenant moves and must be paid within 6 years of the tenant s move and within 3 months of the tenant s claim. Entitlement to Disturbance Payments (statutory) Disturbance is payable under the terms of section 37 of the Land Compensation Act 1973 to tenants permanently displaced from their home to enable redevelopment or re-improvement work to take place. The displacement must be in consequence of the improvement or redevelopment It covers the reasonable expenses incurred in moving from the building to be redeveloped or improved. Reasonable expenses that have been backed by case law are costs incurred in the disconnection and re-connection of gas, gas/electric cookers, electricity, Telephone, washing machines/tumble dryers, TV aerials, and burglar alarms. To qualify, the tenant must occupy the property as their only and principal home for at least a year. The statute also states that this is payable from the date the tenant moves and must be paid within 6 years of the tenant s move and within 3 months of the tenant s claim Decant Policy & Procedure.doc Page 2 of 12

C.II.4 Solon will pay the actual expenses incurred by tenants. Payments will cover costs incurred for the disconnection and re-connection of gas, gas/electric cookers, electricity, telephone, washing machines/tumble dryers, dishwashers, TV aerials and satellite dishes (in cases where Solon gave permission for its initial installation). Tenants will have to produce receipts as part of our policy please refer to item III under procedures. D. DISCRETIONARY PAYMENTS D.1 (i.e. Non-statutory Payments that Solon can pay in addition to the statutory payments or to tenants who do no qualify for statutory Home Loss or Disturbance either because the move is not permanent or the move is not as a direct consequence of redevelopment or reimprovement) D.I D.I.1 D. II D.II.1 D. III D.III.1 D.III.2 Removal Expenses for permanent moves due to major repairs This is a payment made by Solon on the same basis as a Disturbance Payment to tenants permanently displaced from their home to enable major works to take place. It covers removal expenses, disconnection and re-connections gas/electric cookers and re-direction of mail for three months.. There should be no cost for gas and electricity disconnection and reconnections provided four days notice is given to the suppliers by the tenant. There will be a charge for disconnecting and reconnecting tenants own fires. Orders can be placed through maintenance. Removal Expenses for temporary moves due to major works, improvement or redevelopment This is paid to tenant to cover the removal expenses, disconnection and re-connections into and back from temporary accommodation to enable conversion, re-improvement or major repair works to take place and re-direction of mail for the duration of the move Alteration to curtains & carpets Solon will pay for the cost of adapting existing curtains or providing new; whichever is the cheaper for permanent decants. These costs will only be met for temporary decants if the size or structure of the windows has altered as a result of the works on the tenants return to their original property. Solon will meet the cost of lifting and relaying or adapting carpets on permanent moves and will pay 7.50 per square metre towards new carpets where appropriate. Solon will provide carpets and curtains in temporary accommodation for temporary moves and no compensation will be paid if the carpets and curtains in the original property remain in place or are not Decant Policy & Procedure.doc Page 3 of 12

damaged. If they are damaged Solon will replace them like for like. Where the property being returned to has changed shape so much so that existing carpets are now too small, Solon will pay for its replacement. D.IV D.IV.1 Decorations Where appropriate, tenants will be given decorations allowance in line with the existing decorations allowance policy. For disabled and elderly tenants, Solon will undertake essential decorations work. E. POSSESSION PROCEEDINGS E.1 Where a tenant refuses to move out of a property where vacant possession is required to carry out repair to that property Solon can apply to the County Court for a possession order under sections 10 or 10a of the Housing Act 1985 for secure tenants and grounds 6 or 9 of schedule 2 of the Housing Act 1988 for assured tenants. E.2 In order to obtain a possession order Solon must make an offer of suitable alternative accommodation, which should be available for a tenant, when the possession order takes effect and which must be reasonably suitable to the needs of tenant and his or her family. Relevant factors to be taken into consideration when making suitable alternative accommodation are: nature of accommodation usually offered distance from work, education family member providing or receiving support. Solon can, however, not be held responsible for any claim for loss of education, employment or the like. The court would usually expect us to have previously made 3 reasonable offers of alternative accommodation. F. REPAIRS WITH RESIDENTS OR TENANTS IN OCCUPATION (not strictly a decant) F.1 Where tenants remain in occupation whilst major works are carried out, they may qualify for compensation (mainly if a room is not usable during the period of the works), usually rent free period, but this should be agreed between Housing Management and Maintenance. Decant Policy & Procedure.doc Page 4 of 12

G. SUMMARY OF MOVES AND ENTITLEMENT TO COMPENSATION Type of Work Opportunity to Return After 3 Months or layout altered Home Loss Disturbance, Removal Expenses & Reconnections Alterations to Carpets and Curtains Improvement No Yes Yes Yes Improvement Yes No Yes No Conversion No Yes Yes Yes Conversion Yes No Yes Yes, provided layout has altered as a result of works Demolition No Yes Yes Yes Major Repairs Yes No Yes No, unless layout has altered as a result of repairs Acquisition with tenant in occupation & subsequent redevelopment No Yes Yes Yes Sales Decant No Yes Yes Yes Stock Regeneration Programme No Yes Yes Yes H. PROCEDURES H.1 It is the responsibility of the Housing Manager (HM) whose tenant is being decanted to determine what the tenant is entitled to in line with Solon s Policy. H.2 The HM should visit the tenant to explain the proposed work, decant arrangements and their entitlement to them. Transfer Form and Home Visit Form should be completed at this stage. H.3 After a suitable alternative accommodation has been found, HM should make written offer of compensation. The appropriate form, Home Loss (form D1 attached as Appendix 1) or Removal Expenses Form (Form D2 attached as Appendix 2) should be sent to tenant at this stage advising tenant of how and when to make the claim. H.4 Please note that tenants will have to provide receipts for removal costs, disconnection etc. and therefore must be advised accordingly. H.5 On receipt of completed claim form(s), HM should ask for payment by cheque raised on the normal cheque request form and passed to Decant Policy & Procedure.doc Page 5 of 12

Finance Department. Copies of Statutory Home Loss and Disturbance payments should be sent to Development for their records and budget allocation as the costs are financed from scheme on costs held by Development. H.6 Where a tenant need advance payments before the date of the move, HM should agree part payment arrangements with tenant. Where this happens and tenant is paid part advance payments, then Finance Section should be informed when final claim is made. H.7 Funding authorities would normally meet costs of removals, disconnection etc. in full. H.8 NB. Any compensation payable should be credited to the tenant rent account if there are arrears outstanding, and the tenant advised in writing of the amount credited to their account. H.9 If it is a permanent decant, i.e. from property A to B, property A is voided and recorded on 4Homes in the normal way. Tenant maintains their type of tenancy, signs new tenancy agreement for property B and pays the rent of property B. H.10 Where a move is likely to be temporary up to 3 months, tenants moving from A to B to A should retain their tenancy on property A. There will be no new tenancy agreement but a letter from the Housing Manager confirming that: The tenant has permission to occupy property B temporarily until property A is ready for his/her return. The tenant remains a tenant of property A. The tenant and Solon agree that the tenant will return to A once the works have been completed. H.11 The rent payable will usually be the rent on property A, unless the rent for property B is lower, in which case the lower rent should be charged. H.12 Housing Management should therefore keep property B void, leave property A as let property. Where the rent being charged is less than the full rent for property A, the Housing Manager will need to complete a change form to credit the rent account with the shortfall. H.13 HM should aim to offer like for like in terms of property size. H.14 If an urgent decant is required and no suitable property is available, HM should consider alternative housing arrangements. For example, tenant can be advised to make their own arrangements staying with friends or relatives and paid compensation for this. Where tenant makes their own arrangements compensation payments should not exceed the sum of the weekly rent for that period. Temporary accommodation can also be Decant Policy & Procedure.doc Page 6 of 12

sought from the Local Authority in cases of urgent decants resulting from flood or fire. H.15 On the day the tenant is moving be on site with Maintenance Inspector to make sure everything is running smoothly and to offer help to vulnerable and elderly tenants. H.16 Visit tenant 3 months after their move to go through performance indicators (below). I. TENANCY ISSUES I.1 Secure tenants who are decanted remain secure tenants and so are assured tenants. And joint tenants will have one Home Loss payment I.2 Rent arrears cannot be carried over to the new account but the debt would be relevant in any possession proceedings. I.3 If secure tenant refuses to move back when the original premises are ready for occupation, HM can ask the tenant to move back under Ground 8 of the 1985 Housing Act. For assured tenants, HM should use Ground 9 of the 1988 Housing Act. I.4 These can only be enforced if it was made clear in the original letter given to the tenant that the move is on a temporary basis - only whilst the original property is being repaired. J. DECANTING ELDERLY OR VULNERABLE TENANTS J.1 When decanting the above, HM and maintenance staff should be sensitive to tenant s fears and anxiety. J.2 HM on their initial visit to tenant should discuss tenant s property requirements J.3 HM should offer assistance and help with the move such as changing pension and income support offices, GPs etc. K. SOME PROBLEM AREAS K.I K.I.1 Tenants already subject to possession orders If the terms of the court order have been breached then tenancy has ended and a notice of intention against them cannot be issued. HM should therefore apply for warrant of possession (i.e. order for possession from the court). If tenant applies to suspend warrant of possession, HM should ask for possession on basis of undertaking providing suitable alternative accommodation or taking separate proceedings under order 24 of the County Court Rules. Decant Policy & Procedure.doc Page 7 of 12

L. RESOLVING DISPUTES L.1 Any tenant not satisfied with their Home Loss and/or Disturbance Payments under the Land Compensation Act can apply to the Independent Lands Tribunal for their entitlement to be assessed. L.2 HM should, however, advise tenant to firstly follow Solon s published complaint procedure and if still not satisfied appeal to the Independent Lands Tribunal. L.3 Tenants (including those not qualifying for statutory payments) can also sue in the County Court for statutory debt if they feel they have been wrongly denied payment. M. MONITORING M.1 Maintenance/Housing Management sections are responsible for controlling the decant budget and should keep records of all payments and report as part of their quarterly reports. M.2 The Housing Manager (Administration) should liaise with Finance and Maintenance sections and keep records of the take up of allowances and keep track of payments made to the tenants and report quarterly to the section and to TSSC. M.3 The Company Secretary should also keep record of formal complaints made about the policy, decant moves, compensation claims, staff error, staff attitude etc. N. PERFORMANCE STANDARDS N.1 Performance will be evaluated on the following: i) Length of time it takes to decant tenant after maintenance has notified HM of the need for a decant. Target: 3 months. ii) Prompt turnaround of the payment of Home Loss, disturbance and discretionary payments. Target: To be paid in 3 months after decant iii) HM should visit tenant within 3 months after move to check all reconnections, mail directions etc. are in order and to seek feedback from tenants. In cases of elderly and vulnerable tenants to carry out visit within 2 months. Also to find out: if they adequately informed What they would have liked more. Target: 3 months after tenant s move. Decant Policy & Procedure.doc Page 8 of 12

iv) Number of vulnerable tenants as percentage of all tenants decanted in the financial year and support given to vulnerable and elderly tenants by the type of support given. v) Feedback from tenants to be collated by HM (Administration). O. POLICY REVIEW O.1 This policy should be reviewed in 3 years, unless major changes in the legislation makes it necessary to be reviewed earlier than 3 years. Appendices: Home Loss Claim Form (D1) Disturbance & Removal Expenses Form. (D2) Decant Policy & Procedure.doc Page 9 of 12

Application For Home Loss Payments D1 To: The Housing Manager 1. Name (s)........ (both names if joint tenancy). 2. Present Address:........ 3. Address from which you were displaced...... 4. a. Tenancy date... b. The date you were displaced:... c. Did you live there continuously for that period? Yes/No If not please give details:......... Decant Policy & Procedure.doc Page 10 of 12

5. Did you occupy the whole house? Yes/No If not please state the number of rooms and on which floor etc............. I/We certify that the above information and the evident submitted is correct. Signed:... Date... Signed:... Date... (Both tenants to sign if joint tenancy) FOR OFFICE USE ONLY Payment Agreed?: Yes/No Amount Tenant s Ref. No... Cheque Requisition Form Attached Finance Notified Date Maintenance/Development Notified Date Housing Manager: (Copy to Finance, Original on File) Please indicate which type of scheme: Major Repair Re-improvement Re-development Other (please specify) Permanent Move Temporary Move Bedsize Entitlement Decant Policy & Procedure.doc Page 11 of 12

Form D2 Application For Disturbance Payments/Removal Expenses 1. Name: 2. New Address: (Both names if joint tenancy) 3. Address to which claim relates: 4. When did your occupancy begin? 5. List of reasonable expenses incurred in your move from the old to the new address. Evidence of these expenses must be attached. ITEM CHECKED (Office use only) I/We certify that the above statements are true SIGNED: DATE SIGNED: DATE FOR OFFICE ONLY Payment Amount: Tenant Ref. No... agreed: Finance Notified: Date: Maintenance/Development: Date Housing Manager: Decant Policy & Procedure.doc Page 12 of 12