Published: Wednesday, 1st July, 2009 2:46pm

Residents" fury as developer demands return of £200,000 community fund

by Elaine Birse

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A PROPOSED extension to the Dumyat Centre, worth £200,000, is in jeopardy following a dispute between a housing developer and Clackmannanshire Council over the cash.

Gladedale handed over the money in 2006 as part of the planning permission for over 300 homes in the village.

But as the community council failed to spend the cash before the July 2008 deadline, the firm says it is legally entitled to claim the money back.

The news has angered villagers and a protest is being planned for the Stirling headquarters of Gladedale.

Eddie Carrick will be amongst those councillors who will be joining the protest and says the action taken by the housing firm is 'morally wrong'.

Mid-Scotland and Fife MSP Richard Simpson has also said he will write to the firm and, depending on the outcome, table a motion in the Scottish Parliament.

Mr Carrick said, 'Gladedale"s behaviour is despicable. They were late in every one of the community payments they made - a full year late in handing over the £200,000 for the Dumyat Centre - and have ignored reasonable requests to extend the time limit.

'The council has planning permission in place, but Gladedale seem determined to deprive the local community of this facility.'

The history of the grievance dates back to December 2001 when Bett Brothers plc/Bett Homes Ltd (acquired by Gladedale in 2002) were granted planning permission for a phased residential development of 24 hectres at Menstrie Mains totalling 300 homes.

The agreement had the added condition that the firm should contribute £200,000 to Clackmannanshire Council for the purpose of constructing the extension to community facility, the Dumyat Centre.

Clause 11 of the agreement stated that the money must be used within two years of the last instalment - failing to do so and the council 'will be obliged to repay such part of any of the contributions which have not been utilised … together with the interest duly accrued thereon'.

According to the council, the final instalment was made a year later than agreed, on or about 26 July 2006. It meant that the council had until summer 2008 to spend the cash.

However, a few months before the deadline council officers wrote to Gladedale asking for a time extension to clause 11. On receiving no reply, the council continued with its plans for the Dumyat extension, with planning permission granted just 10 days before the deadline.

Then seven months later the project was put in jeopardy when Gladedale finally responded to the council, refusing its request for an extension to the deadline and demanding its money back.

'We were almost at the stage where we were saying, 'that"s where the plugs go",' Menstrie community council chairman Les Sharp told the Advertiser.

'At this stage for Gladedale to say 'we want out money back" is not fair. They"ve made a great amount of profit out of the village already with the houses.'

The community council has now organised a protest to take place outside Gladedale"s headquarters in Stirling on Monday at 10.30am. A bus will leave the Dumyat Centre at 10am.

Mr Sharp went on, 'All we want is to make Galdedale aware that it"s not just the council that is affected but it"s the community as a whole.

'And it"s not just our generation but it"s the generations to come which will be deprived of the extra facilities. We want to try to make sure we get that feeling across.

'They"ve made promises to the village and they should keep them. It"s a paltry amount of money to a firm like Gladedale - it"s nit-picking on their part.'

The council claim that Gladedale had, until after the extension deadline, shown 'disregard for timescales' with various contributions set out in the planning agreement coming up to a year late. These included payments of £36,000 for play areas, £15,000 for public art, £80,000 for an additional classroom in Menstrie Primary and £35,000 towards upgrading play facilities.

However, the firm is so far refusing to budge on the issue, blaming Clackmannanshire Council for not moving quickly enough to start work on the Dumyat Centre.

A spokesperson told the Advertiser the firm was confident it had abided by the agreement.

She added, 'The funds were paid to the council in July 2006, however when no work had started by the beginning of 2009 we regretfully had to take the decision to request for these funds to be returned, as set out in the contract with the council.

'Gladedale has also made other payments, totalling over £180,000 to Clackmannanshire Council, for facilities around Menstrie including an extension to the local primary school, public art and new, improved play equipment and open space.

'The contract with the council sets out the procedures which have to be followed throughout the development process and Gladedale is confident that we have completed each stage required.'