Irrecoverable VAT on the above. Note 1 Where the development contract is a design and build contract, the on-costs are deemed to include the builder’s design fee element of the contract sum. The amount included by the builder for design fees should be deducted from the Works cost element referred to above, as should other non-works costs that may be submitted by the builder such as fees for building and Planning Permission, building warranty, defects liability insurance, contract performance bond and energy rating of dwellings. Note 2 Some items will not qualify as Development Costs unless the Grant Recipient can clearly demonstrate that such costs are properly chargeable to the housing development, i.e. for the sole use of the residents or to comply with any statutory obligations that may have been imposed. Examples of these are as follows: • works to any roads which do not exclusively serve the housing development; • landscaping to areas of land which lie outside the boundaries of the Site; • district heating systems; • trunk sewers and sewage disposal works; • special refuse treatment buildings; • public conveniences; • community halls, club rooms, recreation rooms. Note 3 Subject to the above, where any cost incurred or to be incurred by the Grant Recipient is common both to the development of the AHP Dwellings within any Named Project and to any other activity, asset or property of the Grant Recipient, only such part of that cost as is attributable to the development of the AHP Dwellings may be treated as a cost in respect of which grant under this Agreement may be paid. Part 2 Costs which are not Development Costs Capital costs incurred:
Irrecoverable VAT on the above. Note 1 Where the development contract is a design and build contract, the on-costs are deemed to include the builder’s design fee element of the contract sum. The amount included by the builder for design fees should be deducted from the works cost element referred to above, as should other non-works costs that may be submitted by the builder such as fees for building and planning permission, building warranty, defects liability insurance, contract performance bond and energy rating of dwellings. Note 2
Irrecoverable VAT on the above
