EAST AYRSHIRE COUNCIL
CABINET MEETING – 18 MARCH 2015
UPDATE ON PROPOSED CONSERVATION AREA REGENERATION SCHEME
(CARS) FOR DALMELLINGTON & WATERSIDE (DOON VALLEY)
CONSERVATION AREA
Report by Acting Executive Director of Neighbourhood Services
PURPOSE
1
The purpose of this report is to:
update members on the outcome of the application to Historic Scotland
for a Conservation Area Regeneration Scheme (CARS) for
Dalmellington and Waterside (Doon Valley),

to consider the way forward with regard to an application to Historic
Scotland for a CARS for Dalmellington, and

to consider the options for tackling vacant and derelict buildings in
Waterside (Doon Valley).
BACKGROUND
2
On the 4 June 2014 Cabinet agreed to submit a CARS 6 bid for Dalmellington
& Waterside Conservation Areas to Historic Scotland and to commit £0.65M
subject to the success of the bid, and to appoint a full time temporary CARS
officer to deliver the project subject to the success of the bid and consultation
with Trade Unions.
3
An application was submitted by the deadline of 31 August 2014, based on
reports prepared by conservation accredited architects, quantity surveyors and
other relevant professionals. The total proposed project cost was £1.849M with
East Ayrshire Council providing £0.65M, the property owners providing
£0.361M with the balance (£0.838M) to be made up from the funding bid to
Historic Scotland.
OUTCOME OF THE CARS APPLICATION
4
On the 12 January 2015 we received a letter from Historic Scotland advising
that our application had been unsuccessful. However, Historic Scotland did
indicate that as they did not allocated the full £10M of funding for round 6 that
it is their intention to invite applications in 2015 from some of those schemes
that were rejected and that they are content to discuss a resubmission for
Dalmellington Conservation Area. However they considered that the inclusion
of Waterside made the project too big and complex to be delivered through a
single CARS bid with Dalmellington.
PROPOSED WAY FORWARD
5
Some discussions have been undertaken with Historic Scotland following
receipt of the decision letter but it is proposed that the Planning Service meet
with representatives from Historic Scotland so that their advice regarding the
future submission of a CARS bid for Dalmellington Conservation Area can be
fully explored and taken on board. However from the discussions completed to
date it is anticipated this is likely to require further technical and financial
support to enable additional survey work on key buildings to be undertaken and
to update and provide more detailed costs. It has also been suggested that
further work should also be undertaken to engage more fully with property
owners and to look at potential end uses for vacant buildings in the conservation
area. It would be intended to resubmit a bid for a Dalmellington CARS by the
end of September 2015, with a proposed scheme start date of April 2016 if the
bid is successful.
6
As part of the submission to Historic Scotland, Draft Conservation Area
Appraisals were prepared for Dalmellington and Waterside. It is intended to
carry out public consultation on these drafts and once finalised that they be
submitted to a future meeting of Cabinet for approval as non-statutory guidance
to support the proposed East Ayrshire Local Development Plan.
7
Waterside Conservation Area including the area designated as a Scheduled
Ancient Monument is of national importance but the condition of many of the
remaining buildings is of very serious concern. Due to the number and size of
vacant buildings in Waterside that are without any established end use Historic
Scotland took the view that a CARS was not the appropriate way forward.
Accordingly if there is a desire to save some of the nationally important
buildings there is a need to explore how best to progress the regeneration of
the area with both Historic Scotland and the current owners of the site. One
potential key step forward would be to obtain support to undertake an
options/feasibility appraisal with two main objectives, namely (1) to identify, for
key vacant buildings such as the former Palace Bar, the railway station and
blast engine house, a potential way forward and use and (2) to examine
potential operational and management structures that need to be put in place
by those with a responsibility for the site so that the site and buildings are not
lost to future generations. Therefore, it is suggested that further discussions are
held with the owners of the key buildings and community representatives and
a separate report is prepared for a future Cabinet meeting on the way forward
following these discussions.
FINANCIAL IMPLICATIONS
8
Cabinet in June 2014 agreed to the provision of technical and financial
assistance, as required, through the existing framework agreement to help
prepare the information for the Dalmellington and Waterside CARS submission,
at a maximum cost of £60,000, utilising funding from the Restoring
Communities Programme. Approximately £41,000 was spent on the technical
& financial assistance for the initial Dalmellington and Waterside CARS bid. To
enable the resubmission of a bid for a Dalmellington CARS to be progressed
(on the back of existing and future discussions with Historic Scotland) it is
proposed that further funding, not exceeding £30,000, be allocated from
available resources within the current 2014/15 and future 2015/16 Restoring
Communities Programme budget.
9
The 4 June 2014 Cabinet also agreed to commit £0.65M for the Dalmellington
& Waterside CARS scheme subject to the success of the bid. To give the
resubmission of the Dalmellington CARS bid the best chance of success it is
suggested that the Council revised contribution is based on the original bid
minus that which specifically relates to Waterside buildings, this being a total of
£0.563M. The total proposed project cost would be approximately £1.235M,
seeking a contribution of £0.597M from Historic Scotland, and £0.075M from
property owners. The Council funding would come from the same budgets as
previously proposed (i.e. £0.2M from the Capital Regenerating Fund budget,
and £0.363M from the revenue budget within the Restoring Communities
Programme). It should be noted that projects supported by capital funds will be
required to fulfil specific criteria, and in relation to revenue expenditure, if the
bid is successful, that the reduced revenue funding of £0.363M to cover the
Council’s contribution can be made available from April 2016 over a 5 year
period from the Restoring Communities Programme.
PERSONNEL IMPLICATIONS
10
Historic Scotland has indicated that a temporary full time qualified project officer
would be required to deliver the resubmitted Dalmellington CARS, if the bid is
successful as part of Historic Scotland’s minimum funding criteria. The
Council’s experience in these types of regeneration projects indicates that a
dedicated project officer would be required to deliver the Dalmellington CARS
Project and ensure the best return from both the Council’s and Historic
Scotland’s investment. The costs for appointing a member of staff to cover this
project would be built into the grant funding bid, but would be required to be
part funded by the Council from revenue identified in paragraph 9 above.
11
This full time post can be approved as required under the Scheme of
Delegation.
LEGAL/POLICY IMPLICATIONS
12
The duty to formulate proposals for the preservation and enhancement of
Conservation Areas is contained within Section 63 of the Planning (Listed
Building and Conservation Areas) (Scotland) Act 1997.
13
Draft Conservation Area Appraisals for the Dalmellington and Waterside
Conservation Areas were prepared as part of the original bid submission. Once
public consultation is completed and the Conservation Area Appraisals are
finalised they will be submitted for approval as non-statutory guidance to
support the East Ayrshire Local Development Plan. As such the guidance would
be a material consideration in the determination of planning applications.
COMMUNITY PLANNING IMPLICATIONS
14
The proposals are entirely consistent with the current and emerging Community
Plan.
RISK MANAGEMENT IMPLICATIONS
15
The main risk resulting directly from this report is the cost of the technical and
financial assistance without any guarantee that the resubmitted Dalmellington
CARS bid will be successful or that the studies in relation to Waterside will lead
to the successful redevelopment and reuse of its buildings. However if the
CARS application is not successful, the information will provide essential
background information that will potentially assist the regeneration of the
targeted buildings utilising other funding sources. If funding is not secured there
is a distinct possibility, particularly in the Waterside, Dunaskin site, that some
of East Ayrshire & Scotland’s rich industrial heritage could be lost.
16
If the application is successful all offers of grant will be subject to a condition
requiring that “The Grantee shall take professional advice to ensure that
adequate insurance cover exists to protect the existing structures and the
contract works against all risks of loss or damage and to provide an indemnity
in respect of all potential liabilities arising from the contract works, having first
carried out the relevant risk assessments and ensured compliance with the
Health and Safety at Work Act 1974 and those relevant statutory provisions
made there-under.” This wording has been agreed with the Council’s Risk
Manager.”
RECOMMENDATIONS
17
It is recommended that Cabinet agrees:
(i)
to the provision of further technical and financial assistance as required
through existing framework agreements to help prepare additional
information for the Dalmellington CARS resubmission, at a maximum
cost of £30,000, utilising funding from the Restoring Communities
Programme;
(ii)
to delegate to the Acting Head of Planning & Economic Development the
preparation and submission of a bid to Historic Scotland for grant
assistance to establish a Conservation Area Regeneration Scheme for
Dalmellington;
(iii)
to confirm in principle funding of up to £0.2M from the Capital
Regenerating Fund budget to the Dalmellington CARS projects subject
to the success of the bid;
(iv)
to confirm up to £0.363M of funding from the revenue budget within the
Restoring Communities Programme to the Dalmellington CARS projects
if the bid is successful;
(v)
to the appointment of a full time, five year temporary CARS post to
deliver the Dalmellington CARS, subject to the bid being successful, ;
(vi)
To report back to Cabinet in relation to the way forward for Waterside
following further discussions with relevant building owners and
community representatives; and
(vii)
To otherwise note the content of the report.
Chris McAleavey
Acting Executive Director of Neighbourhood Services
13 March 2015
FV-DMcD
(CMcK/KD)
LIST OF BACKGROUND PAPERS
1. Cabinet Report – 4 July 2012: Marketing of 30-38 John Finnie Street, 1-3
Dunlop Street, & 12 Strand Street, Kilmarnock & Proposed Conservation Area
Regeneration Scheme(CARS) for Galston Conservation Area, & John Finnie
Street & Bank Street, Kilmarnock Conservation Area.
2. Cabinet Report – 4 June 2014: Proposed Conservation Area Regeneration
Scheme (Cars) For Dalmellington & Waterside (Doon Valley) Conservation
Area.
Members wishing further information should contact Karl Doroszenko, Development
Planning and Regeneration Manager, Tel: 01563 576751
Implementation Officer: David McDowall, Acting Head of Planning and
Economic Development