Murray River Council has endorsed a new draft Development Contribution Plan (DCP) which proposes a simpler means of calculating development contributions across the area.
The new Plan was presented at Council's ordinary meeting this week, marking the beginning of a public exhibition period.
Mayor, Cr John Harvie said the new draft Development Contribution Plan will provide a simpler, fairer and more transparent way to fund the infrastructure and services needed to support the council's growth.
"The current Development Contribution Plan has been in place for more than 10 years and we acknowledge that it is complex, difficult to interpret and has not kept pace with the significant growth and development pressures being experienced across the municipality."
"The proposed updates will provide a more clear-cut means of determining developer contributions, utilising a fixed levy template that works to a percentage of the overall development value."
The draft Plan proposes moving from the current Section 7.11 contribution framework under the Environmental Planning and Assessment Act 1979 to a Section 7.12 "fixed levy" model.
Instead of complex calculations for each development, contributions would be calculated as a clear percentage of the total development cost.
"This simplifies the process for applicants and provides greater certainty about contribution amounts upfront," Cr Harvie said.
Under the proposed Plan a sliding scale will apply, with lower-value developments attracting a lower percentage and higher-value developments attracting a higher percentage, reflecting their relative impact.
For example:
- A small sole-operator mechanical workshop may attract a 0.5% contribution due to its relatively modest impact.
- A large retail hardware store employing 20 staff with extensive car parking may attract a 1% contribution due to higher traffic, service demand and infrastructure impact.
The draft Plan also clarifies that where a development expands in the future, only the additional value of the expansion would attract a contribution, ensuring applicants are not charged twice for the same component.
It also outlines exemptions, including for amendments to existing premises where there is no net increase in floor area or patron numbers.
The draft Plan does not include or alter water, sewerage or stormwater contributions under Section 64 of the Local Government Act 1993, which are managed separately to maintain clear legislative intent.
"Most Development Applications create some level of impact on Council infrastructure including our roads, drainage, parks, waste services and community facilities, so these updates are about ensuring contributions are charged fairly and proportionately to each development's impact," Cr Harvie said.
'We're now inviting community feedback to make sure we've got the settings right and are heading in the right direction before finalising the process."
Council is encouraging developers, industry representatives and community members to review the draft Plan and provide feedback during the exhibition period.
Following consultation, Council will consider all feedback before determining whether to adopt the Plan in its current form or make amendments.
Murray River Council's Draft Development Contribution Plan is available via council's Your Say website. Submissions close March 24.
