(or Initial Feasibility Study under the Housing (RTM) Regulations 1994)

RTM Feasibility Grant is made to a TMO through an agency to assess whether some form of tenant management organisation would work on a particular estate or group of estates. A feasibility study may only be carried out after tenants have served a RTM Notice on the local authority. An Options or Pre-Feasibility Study will have determined that tenants are interested in looking in more detail at the options for tenant led management.

At the feasibility stage tenants will be developing the skills that they will need to carry out tasks involved in the work programme and prepare for the development phase. The agency will assess the current skill base and advise the tenants where these need to be developed through training and practical activities. The tenants’ group will also need to show that it is acting in accordance with its constitution and has adequate committee, administration and financial procedures in place.

Ceiling costs

The total costs for the feasibility study should not exceed the following ceiling costs of £9,680 for 25 dwellings plus £19 per additional eligible dwelling for more than 25 dwellings.

RTM grant will provide 100% of the costs involved in an application for Feasibility grant.

What are the key elements of a Feasibility Study?

The programme of the feasibility study in part consists of training events for the committee members of the TMO. It is also an investigation into the support for tenant involvement among local people and the housing problems of the estate. The work undertaken will enable the agency to prepare a report and recommend whether the TMO should proceed to the development stage. Detailed guidelines on the Feasibility Study are set out in the Right to Manage publication Preparing to Manage.

Making an application for Feasibility grant

The agency should submit the completed application for Feasibility grant [link to form] to the Resident Involvement Team at the Corporation at least 4 weeks before work is due to start. Work started prior to receiving the consent of the Corporation will be carried out at the agency’s risk. The Corporation will generally process applications for grant within 20 days of receipt of a complete submission.

Supporting documentation

The following information must be submitted with the grant application to enable the application to be processed within the timetable of 20 working days. Incomplete submissions will not be processed and will be returned to the agency.

• Outline of the scheme, including a note explaining the extend and nature of liaison with the local authority
• A work programme identifying key themes, together with a full breakdown of forecast input hours, i.e. travel time (TT), preparation time (PT), meeting time (MT) and total hours
• Total number of dwellings, together with a breakdown of local authority, freeholders, RSL, etc
• Itemised Work Programme Costings identifying the cost of agency hours plus any additional direct costs (which must be clearly explained and split between two financial years where necessary)
• Copy of Right to Manage notice
• Copy of Options Study or Pre-Feasibility Study Report
• Copy of tenants’ group’s constitution