Reportedly noticed setting (5)
I believe the answer is:
scene
'setting' is the definition.
(I know that setting can be written as scene)
'reportedly noticed' is the wordplay.
'reportedly' shows a homophone (sound like).
'noticed' becomes 'seen' (I've seen this in another clue).
'seen' sounds like 'SCENE'.
(Other definitions for scene that I've seen before include "Subdivision of a play/film" , "Spectacle" , "site" , "A row - or a view" , "Part of Hamlet" .)