In its mission to see more housing developed in Leeton Shire, Council is proposing an innovative way of helping larger residential developers with cash flow while still ensuring the community benefits from developer contributions.
Leeton Shire Council, at its September Ordinary Council meeting, endorsed its DRAFT Developer Contributions Deferred Payment Policy to be placed on public exhibition until 5pm on Friday 22 October 2021.
Developments that are likely to result in increases in the local population, visitation or traffic are usually required to pay development contributions under Section 7.12 contributions (formerly Section 94A) of the Environmental Planning and Assessment Act 1979.
Council invests these contributions in upgrading infrastructure, services, recreation and community facilities to support the growth of the developed areas.
The essence of a report to Council by Group Manager Shire Activation Andrew Reilly indicated the current requirement for upfront payment of development contributions can slow down development in the Shire as it ties up cash that could be better spent on the next project.
“Section 7.12 contributions are currently required to be paid upfront before a new subdivision is approved,” said Mr Reilly.
“Depending on the size of the development it could cost the developer more than $200,000 before they have had a chance to sell any of the new allotments.
“This policy aims to assist developers by giving them the option to apportion these costs to each allotment in the new subdivision for up to a maximum of 10 years, at which time any remaining balance would need to be paid.
“The aim of deferred payment policy is to increase the availability of residential land by helping developers better align expenditure with income,” said Mr Reilly.
Mayor Maytom welcomed the draft policy, saying it is important to explore ideas that will encourage the creation of new residential land developments across the Shire.
“It makes good sense for our large-scale developers to better align expenditure with income, for example when the lots get sold,” said Mayor Maytom.
“This new policy is a win-win as it encourages further development while still ensuring that Council receives the full contributions within ten years.”
Community members are invited to provide feedback on the DRAFT Developer Contributions Deferred Payment Policy during the exhibition period.
Interested community members may view the draft policy on Council’s website at www.leeton.nsw.gov.au or on Council’s ‘Have Your Say’ online engagement portal at https://haveyoursay.leeton.nsw.gov.au/
Hard copies of the draft policy are available for viewing by the public at the Leeton Shire Council Administration Office, Leeton Library, Yanco Shop, Murrami and Whitton Post Offices.
The community is encouraged to provide feedback to Council in any of the following ways:
ELECTRONICALLY (Preferred): Complete the short survey on Council’s ‘Have Your Say’ online engagement portal at https://haveyoursay.leeton.nsw.gov.au/ Please note you will need to ‘Sign In’ or ‘Register’ to ‘Have your Say’ to participate in the survey.