The Council, which launched a consultation on the PDCS earlier this month, has proposed that its administrative area is divided into two residential charging zones, each with two different rates depending on development size.
Residential developments in Zone A, which covers the Council's "higher viability areas" including St Mary’s Island, Rochester Riverside, South Rainham, Hempstead, Wigmore and rural areas, are proposed to be subject to a rate of £200 per sq m if they comprise 14 homes or below, and a rate of £150 per sq m if they comprise 15 homes or above.
Zone B covers the Council's "lower viability areas" including Chatham West, Rochester, Chatham South and East, Strood, Gillingham North and West. Residential developments within the Zone are subject to a proposed rate of £150 per sq m if they comprise 14 homes or below, and a rate of £50 per sq m if they comprise 15 homes or above.
The Council said its viability assessment had identified seven sub market areas within Medway and suggested residential rates varying from £50 per sq m for lower viability areas up to £500 per sq m for higher viability areas.
However, it said it had proposed to create only two residential charging zones because setting charges for each of the seven sub markets "would make the process to unwieldy and complicated". It said it had proposed to set lower rates for developments with 15 homes or above because developments of that size would be required to provide affordable housing.
For retail uses, any "edge of town" or "out of town" "superstore type" developments are proposed to be subject to a rate of £75 per sq m. A proposed zero rate levy will apply to all other retail uses and all other types of development, including education, care homes and health facilities.
The Council said that figures in its viability assessment had suggested that there was "reasonably substantial residual value" in retail development. It said the proposed rate had been based on the experience of other authorities with adopted CIL or currently going through the process of adoption.
The consultation will be open until 19 April. The Council said it expects to adopt CIL by April next year.
