Developer Contributions and Planning Agreement Register

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Developer Contributions 

Development Contributions, also known as Local Infrastructure Contributions, are a levy charged by Council when new development occurs. Contributions may be in the form of cash payments, transfer or dedication of land to Council, or the provision of a Material Public Benefit or Works in Kind. 

These contributions are collected for funding public infrastructure that is required as a direct or indirect result of development, for example local roads, footpaths, community centres, sporting fields and parks. 

Development Contributions are levied under Section 7.11 and 7.12 of Environmental Planning & Assessment Act 1979. Councils are required to prepare contributions plans to be able to levy development contributions as a condition of consent.  

Armidale Regional Council has a Section 7.11 Heavy Vehicles Plan and a Section 7.12 Contributions Plan, both of which are applicable to the whole local government area.  

Development Contributions are in addition to building and development fees (i.e. DA/CC and/or CDC fees), and the amount payable will be based on the type and cost of the development.  

Development Contributions are assessed as part of the Development Application (DA) or Complying Development Certificate (CDC) process. 

Development Contributions are typically payable when demand is created through subdivision of land, additional housing (such as dual occupancies, secondary dwellings or apartments) or new businesses such as retail fit-out or restaurant where the use is more intense than the current approved use.  

Each Contribution plan details the way development contributions are calculated and when they are payable and all contributions are subject to CPI adjustments with the final amount payable calculated at the time of payment. 

Section 7.11 – Heavy Haulage Contributions Plan 2018 

Contributions may be in the form of cash payments, transfer or dedication of land to Council, or the provision of a Material Public Benefit or Works in Kind. 

For Council to levy contributions under Section 7.11 there must be a clear nexus between the proposed development and the need for the public service or amenity for which the levy is being required and as detailed in a Contributions Plan. 

This Section 7.11 Contributions Plan seeks contributions towards the additional costs of road maintenance from developments which generate frequent heavy haulage vehicle movements. 

Accordingly, certain developments will be levied because of their impact on the frequency of road maintenance, determined by a consistent methodology based on heavy vehicle usage.

 

Section 7.12 Contributions Plan 2022 

Contributions do not require a nexus between the development, infrastructure and the contribution and the contributions fee is calculated as a percentage of the cost of development, as per the below table: 

Cost of Development Contribution Levy Rate %
 All development valued at $100,000 or less  0.0%
 All development valued at $100,001 up to $200,000  0.5%
 All development valued in excess of $200,000  1.0%

 

For example, if your cost of works was $400,000, a contribution of $4,000 would be payable. 

The monies collected will assist Council towards the provision, extension or augmentation of public amenities or public services. 

This Plan typically will see contributions money spent on the following categories of public services and facilities: 

  • Public Assets and related infrastructure.  
  • Pedestrian and cycling Infrastructure.
  • Open Space and Recreation.
  • Civic and community facilities. 

Planning Agreement Register  

Under Section 206 of the Environmental Planning and Assessment Regulation 2021 (EPA Reg), Council is required to keep a register of all Planning Agreements.  

A planning agreement is a voluntary agreement between a developer and Council relating to a development application or complying development certificate, generally when a variation to a development standard is sought. The developer is then required to provide either of the below for the purpose of public benefit:

  • Dedicate land free of cost, or; 
  • Pay a monetary contribution, or;
  • Provide any other material benefit, or provide a combination of the above,