Dáil debates

Tuesday, 16 June 2015

Urban Regeneration and Housing Bill 2015: Second Stage (Resumed)

 

9:05 pm

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein) | Oireachtas source

The year 2018 is too far away in the context of the introduction of this levy. There is also scope to include properties outside of those zoned residential as developers sitting on commercial property is also not in the interests of communities and the economy. The exclusion of all properties in negative equity, particularly larger properties or ones in areas of high housing demand, is also a problem. If the property is of low market value then the levy rate may not work but some form of charge should be in place in areas where there is a need for housing. Developers would be better off using this land and potentially increasing its value. Currently, they do not have to do anything on these lands, which in many cases they bought for speculative purposes. The owner may have lost out on a gamble but he or she should not be given a get-out clause in terms of his or her social responsibility. Some may say this is unfair but what is really unfair is the family without a home while speculative developers leave land idle in the hope of a return to the days of high sale prices.

At a time when people are living in hotel rooms and hostels because of a lack of housing and ever increasing rents we cannot allow this to continue. Properties that have no market value are also excluded, the reason for which may be that the land is not safe or suitable for development. If this is not the case, these properties if left idle should be also subject to some form of a levy. Market demand for a site is not important when there is a social demand for it in respect of housing need. This is paramount. The public must come before the market. Provision should be made for councils to take in charge or buy lands that could be developed but remain idle following the introduction of this levy. There should be an increase in the annual levy in respect of properties which remain idle. This will further encourage development or force speculators to sell land to people interested in making use of it.

Grounds for appeal should be strict given the notice to be provided in respect of which developers must use land or prove it is already in use. On failure of an appeal the site levy should be applied retrospectively. Appeals should not be used to hold off as long as possible the payment of levies which are justified. Following closure of the initial appeals window any further appeal should not lead to a freezing or suspension of the levy for any period until the appeal has been concluded.

The Government proposes to take water charges payments from the social welfare benefits of those who refuse to pay. I believe such a move would be more appropriate in the case of a developer who refuses to pay the levy. Prolonged failure to pay the levy in an area of high need should lead to councils taking a property in charge. The levy should also not apply in respect of any planned development but on the basis of actual work being carried out, which work has been approved by the board as legitimate development on the site in question for the purposes of housing provision. Erection of a shed or the breaking of ground to no end should not justify an end to the levy in respect of a site. On removal from the register, a probationary period within which a site can be returned to the register should apply, with the levy being retrospectively applied if satisfactory development has not been followed through. Proceeds from the levy must be ring-fenced for the provision of housing, as well as covering the costs of administration of the levy. While the levy could be used to provide housing on a vacant site it must not be tied to that site and should be available for the provision of housing in areas where the council sees fit. The levy should not be used to improve the properties of inactive developers at no further expense to them.

Sinn Féin cannot support this Bill in the context of the proposed changes to Part V, which will reduce it to a mechanism to provide social leasing and provide more get-out clauses for developers. We will seek to amend this Bill substantially on Committee Stage, by seeking changes to the vacant site levy and a strengthening of the approach to Part V to ensure delivery of the maximum number of council houses by private developers.

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