Land with garages in a Lancashire village which generates income for Pendle Council and its services should not be transferred to a parish council, Colne borough councillors are being warned.
Laneshawbridge Parish Council is interested in transferring the site, off Kingsley Road, from Pendle Council into its control.
But the garages are fully-let, there is a waiting list for people wanting garages, and a transfer could have various negative impacts, borough councillors are being advised.
Across the borough, Pendle Council manages 50 similar garage sites. A new report says income from them is important to its wider finances.
In recent years, some councils, faced with reduced government funding, have transferred some assets to local not-for-profit community groups, charities, town or parish councils.
Typical examples could be small pubic toilets, small parks or plots of land, small libraries, old swimming pools or leisure facilities.
Councils have also had to become more reliant on income from council tax paid by households and finding brand new sources of income.
Pendle Council has made a decision to investigate transferring none-income generating assets to town or parish councils.
But assets which generate income, rather than needing subsidy or losing money, are a different matter, Colne borough councillors are being told.
Pendle’s Colne Area Committee is looking at the Laneshawbridge request at its latest meeting.
A report for the committee states: “The clerk for Laneshawbridge Parish Council wrote to investigate the options of an asset transfer for the garage site earlier this year.
"The site has 16 plots. All are let with 11 people on the waiting list. The leaser rents the land only, providing their own garage structure. The current fee is at £110 plus VAT per annum, totalling £1,760 plus VAT.”
Overall, Pendle Council manages 50 garage sites, the report adds. There are eight permanent sites and 42 let with individual plots that are Pendle Council assets. There are a total of 583 plots [garages or similar spaces] across the borough.
The report emphasises: “The approach previously taken was that income-generating assets – which the garage sites are – where not to be considered for transfer, in order to maintain an income stream to support services.
"The committee’s decision should also be informed by the council’s asset management strategy and align with the council’s aims and objectives, because the site may have future development potential.
"Pendle Council’s asset management working group met recently and it agreed not to recommend this transfer.”
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