What are Development Contributions?
The provisions of Section 94 (s94) of the Environmental Planning and Assessment Act 1979
enable councils to obtain development contributions as a means for funding local infrastructure and services that are required as a result of new development. Contributions can be applied to capital costs, including land acquisition, and public facilities that a council has a responsibility to provide or that are needed as a consequence of, or to facilitate, new development but cannot be applied to on-going operational or maintenance costs. Contributions may include;
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the dedication of land
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the payment of monetary contribution
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a material public benefit or
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a combination of some or all of the above
Section 94A (s94A) of the Environmental Planning and Assessment Act 1979 allows a levy, to a maximum rate of 1% of the cost of construction of a development to be imposed when a development consent or complying development certificate is issued. A s94A contribution can only be imposed if a Section 94A development contributions plan is in place and cannot be imposed on the same development application or development certificate if a s94 contribution is required.
Who Pays Development Contributions?
Development contributions under Section 94 will be sought by Council for a range of development including:
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Subdivision of Land (urban, rural and rural residential)
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Medium Density Housing
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Expansion or redevelopment of existing residential development; (infill development) that includes either subdivision or additional housing stock)
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Commercial and Industrial Development.
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Recreation and tourist facilities
Generally, contributions will be sought for all development other than for the purpose of a new dwelling or dwellings and development for the purpose of alterations and additions to existing dwellings or any development ordinarily incidental or ancillary to the use of a dwelling such as swimming pools, garages, sheds, tree applications and the like.
How and when are Development Contributions Payable?
If a development application is subject to Section 94 contributions the amount payable will be detailed in the consent conditions for the development and a remittence advice attached.
Payment of the contribution shall be made prior to the release of any Subdivision, Construction or Occupation Certificate.
Contributions rates including any outstanding contributions are to be adjusted quarterly (where necessary) in line with the Consumer Price Index as published by the Australian Bureau of Statistics.
Further Information
Fact Sheet 1 - Section 94 Contributions (PDF - 86kb)
Fact Sheet 2 - Section 94A Contributions (PDF - 93kb)
Current Section 94 Plans
Current Section 94 Contribution Rates
Section 94 Policies & Agreements
Section 94 Cost Report Form - $500,000 less
Section 94 Cost Report Form - $500,000 more
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