We are aware that a number of residents have questions which relate to the rent charge deeds and billing at Chilmington Green.  To help aid understanding, the following note has been prepared and picks up on specific issues raised by residents at this time.

The CMO welcomes contact from residents and is keen to hear about your concerns and how we can work together to understand each others roles and responsibilities.  This note is not therefore intended to replace the need for a conversation, but provide some background and response to those who have made contact through social media and other means.  We hope you find it helpful.

The Legal Bits

1. The CMO is an independent company LTD by Guarantee and a charity. Its purpose is to adopt and manage community assets at Chilmington Green and provide community development action to create a vibrant, active, great place to live for those who live, work and play there.  As a charity, the CMO is governed by its Objects and through the application of rent charge deeds on properties, has a responsibility to the freeholders to safeguard the assets for the benefit of those who live there
2. Compliance certificates are issued by the CMO at the end of the conveyancing process. These will only be issued when the CMO has checked that all correct sums have been received (rent charge deeds & legal sums) together with the legal paperwork completed, dated and signed accurately.  There is currently a backlog of Compliance Certificates for those properties who completed before March 2021 due to inaccurate and incomplete provision of information by purchasers conveyancers. Knights (CMO solicitor) have now contacted all of the purchasers conveyancers where information is missing and asked for this to be corrected.  As and when Knights can issue the Compliance Certificates, the process of registering all that is necessary at the Land Registry will be complete.  Purchasers are asked to contact their conveyancing solicitor if they think this situation may refer to them. Residents who are in the process of selling their property will be given priority by Knights once all the information has been provided to them.

3. There are three rent charge deeds (RCD). ALL properties sign rent charge deed 1 & 2 and some sign a third (RCD3).  There is a fixed RCD charge of £1 per RCD.  RCD1 is capped and can only increase by RPI each year.  There is currently no cost attached to RCD2 (apart from the fixed rent charge of £1) but after 2025 the Board can apply to residents to increase the costs of RCD1 by up to 20% to cover costs.  RCD3 is for those properties with areas which are of benefit to a small number of residents and the cost depends on the assets which are within the area.  RCD3 bills are fixed until 2030. This is explained in the CMO Information Pack (downloadable from www.cmo.org.uk) which is provided to the conveyancers as part of the Sales Pack.

Billing

4. All residents must pay their rent charge bills. This is the commitment made when purchasing a property at Chilmington Green and which is typical on new developments.  The CMO offers payment options which can be discussed with RMG.  If residents feel that is was not adequately explained to them at point of purchase, they are advised to speak to their conveyancer whose legal duty it is to explain the commitments required
5. If bills remain unpaid, then the CMO has the ability to pursue those payments (through RCD2). Ultimately, a charge can be put against the property and the monies recouped when the house is sold.  However, this is not a position the CMO welcomes and therefore invites residents to discuss their individual circumstances with RMG and arrange a suitable payment plan.
6. In the billing letter to residents, it was explained that it has been difficult to get information from the developers relating to sums collected as part of the conveyancing process. This has meant a significant delay to billing and unfortunately meant that some residents have received bills for sums in three financial years.  This is very unfortunate and not the position the CMO had hoped for, however, it has been out of our control.  To support residents in these difficult times, the Board agreed to split the 2021/22 bill in two halves this year and can offer residents individual discussions about payment options to help manage bills
7. How were the RCD sums determined? The sums which relate to RCD1 (which are different depending on the number of bedrooms at a property) were set as part of the Planning process, following lengthy financial modelling to establish an affordable and reasonable charge for residents.  RCD3 costs are based on developer costs on other developments and were put together by the developers in partnership with the CMO.

Communication and Engagement with Residents

8. The CMO has spent time over the past year communicating with residents through alternative means; Covid restrictions have meant that meeting face to face with residents has sometimes not been allowed and at others, lengthy risk assessments have been required to safeguard staff and residents. This, however, has not stopped the team door knocking on several occasions, publishing newsletters, responding promptly to emails which have been sent to hello@cmo.org.uk, keeping the website up to date, offering residents director-resident surgeries and holding the first AGM (virtually).  The team has worked hard to reach out to residents but it has not been easy and as restrictions now lift, far greater emphasis will be placed on getting to know residents and providing some activities and events for them.  We hope with this increase in opportunities to meet, that the Team can support local residents with concerns and questions more quickly.
9. Linked to communications and ensuring a CMO presence on site regularly, we are hoping to see the handover of the Chilmington Community Cabin in early summer from Hodson Developments. The handover is currently outside of the CMO’s control but the team are working with Ashford Borough Council and Hodson Developments to ensure a smooth handover.  Once the Cabin is in place, the team will be on site a couple of days a week, together with Sue Canty from RMG. Residents will be able to drop in and see us and also participate in activities.  Residents will also be able to hire the Cabin for private events.  There is also a substantial garden provided with the Cabin where we would like to create a community garden and where we will be able to host community BBQ’s, etc.
10. There is a plan to appoint the first resident director later this year. Within the CMO Articles (governing documents), this first appointment is by the Board.  Subsequent appointments will be voted on at the annual AGM.  The Board recognise that residents may want to have a say in who is the first resident director and will give some thought as to how we can make this happen.  Residents should note however that ALL directors must act in the best interest of the CMO (and not their nominating body) and therefore are available to listen to resident feedback.
11. The CMO did not deliver Easter eggs to residents. This was a project led by Tom Lewis, the community development worker for the United Reformed Church and Methodist Church who lives on site
12. The CMO team in partnership with Tom Lewis are looking to set up a parent and toddler group. More information will be available shortly.

Setting Up the CMO

13. Over the past 18 months the CMO Team has been very busy setting up the framework to the CMO including writing policies, setting up the board and financial accounts systems and processes, procuring an estate management company and setting plans for early community projects. This work has been paid for through a s106 grant provided by the developers, a commitment of the Planning permission.  There has also been work which relates to the setting up of the rent charge deeds, billing, conveyancing and work with the developers around asset handover.  These costs are charged to the residents through the rent charge deeds with the remaining balance being placed into reserve funds to safeguard the future management and maintenance of assets the CMO will own.  It is important that the CMO does this to minimise the risk of significant bills for residents in the future.  We understand this is a difficult message to receive but the CMO must protect the long term interests of the residents and the assets for which it will be responsible for on the residents’ behalf.
14. The CMO do not currently own any assets. We are working towards a handover of the first pieces of landscaping coming from Barratts and Hodson. We also anticipate Hodson will handover the Community Cabin later this year.  Until this time the developers are responsible for the upkeep of these areas at their cost.  Residents who have concerns about these areas should speak to their respective developers.  The CMO will let residents know when land has been taken over by them and therefore who to contact.

Issues with Properties

15. Residents who have concerns about snagging or matters which directly relate to their property are advised to speak to their developers. Contact details can be found on the CMO website here

Distinguishing Between the CMO and South of Ashford Garden Community Team

16. Ashford Borough Council leads on the coordination of the South of Ashford garden Community, of which Chilmington Green is one part on behalf of a partnership which includes the developers, Homes England and Kent County Council.  As part of that role, the council coordinates a community group called the Community Stakeholder Group which is open to anyone living in the area to attend. Its purpose is to share the latest news with residents and stakeholders and to come together to deliver on projects in the community.  The meetings are held every six weeks or so and are chaired by Simon Cole, Head of Planning and coordinated by Dan Daley.  Please contact dan.daley@ashford.gov.uk for more information.
17. The CMO is an independent organisation and charitable trust. The CMO has a services contract with the council to provide resourcing to run the CMO in these early years.  SallyAnne Logan, Katy Parr and Dan Daley are the key members of staff leading the delivery of this contract.  SallyAnne is thereby the Chief Executive of the CMO.  In time, the CMO will appoint its own staff directly.  In the meantime, there are many benefits to having SallyAnne and the team run the CMO, not least to ensuring good linkages with the delivery of the wider garden community.