Council seeks feedback on fees for developers
11 April 2007
The Christchurch City Council releases a significantly amended Development Contributions Policy (DCP) today and seeks public submissions on it.
Development Contributions will be taken from those undertaking development to help fund the capital works costs necessary to provide reserves, network infrastructure (e.g. water supply, waste water collection, surface water management and transport) and community infrastructure (e.g. leisure facilities) to service these new developments.
The DCP affects anyone who:
• subdivides their land or section.
• constructs additional residential units (except one family flat per residential unit and people altering their existing home).
• constructs additional non-residential buildings (commercial, retail or industrial).
• anyone who changes their business activity or requests a service connection .
The full draft amended DCP is available on-line at the Council’s http://www.ccc.govt.nz/LTCCP/Draft/ webpage.
The draft amended DCP is part of the draft 2007 Amendments to the 2006-16 Long-Term Council Community Plan document that is out for consultation from 11 April to 11 May. Mike Theelen, General Manager, Strategy & Planning Group, says the revised policy seeks to find a fairer way of assessing and collecting contributions from developers to cope with growth.
“We want public feedback because this policy affects a lot of people both directly, as developers, and indirectly, as buyers of new developments and ratepayers,” says Mr Theelen.
A working party consisting of development industry representatives and councillors has reviewed the 2006-16 DCP and made recommendations, which were considered by Council when it adopted the amended draft DCP for public consultation.
This resulting draft amended DCP provides for a new transitional discount on the increase in development contributions for network and community infrastructure spread evenly over three years, leading to the full charge as follows:
• 2007-08 43%,
• 2008-09 72%,
• 2009-10 100%.
Significant changes between the current and draft amended DCP are as follows:
• Movement to 1 household equivalent (HUE) charge per lot on subdivision, with actual demand for multi-unit and non-residential development to be fully assessed (net of 1 HUE) at building consent.
• Provision of a small household unit occupancy weighting adjustment.
• Correction of the HUE conversions, including an explanation of the methodology to establish HUE equivalences.
• Removal of the HUE credit rollback provision on historic credits.
• Provision of a credit for existing undeveloped non-residential lots subdivided before 1 July 2004.
• Movement to cost-based development contributions for reserves (these will be capped at $12,272 per lot) and inclusion of the reserves projects for which development contributions will be collected, and spent on, in the schedules of past and pending growth-related capital expenditure (now included in the supporting information).
• Full integration of former Banks Peninsula and adoption of a single city-wide catchment for the reserves, water supply, wastewater collection, wastewater treatment and disposal and transport activities.
• A commitment to further analyse how the Council’s development contributions compare to those of other, especially adjoining, councils and to re-evaluate and align development contributions with those of adjoining councils.
• The review and removal of past projects not clearly growth-related. Past projects which are growth-related are now recorded in the supporting information to this policy, namely the schedule of growth-related capital expenditure.
The Council is also reviewing the recent High Court decision on the North Shore City Council DCP. Any necessary amendments to the Christchurch City Council’s draft amended DCP as a result of the North Shore City decision will be addressed as part of the consultation and submission process.
Public meetings will be held to explain the amended draft DCP on the following dates, with the 11 April and 3 May meetings being specifically dedicated to the DCP:
Date: Wednesday 11 April
Topic: Development Contributions
Venue: Our City, Cnr Oxford Terrace and Worcester Street, Christchurch
Time: 5.30 – 7.30 pm
Date: Monday 16 April
Topic: Annual Plan & amendments to the Long-Term Council Community Plan (including the Development Contributions Policy)
Venue: Council Chambers, 163-173 Tuam Street, Christchurch
Time: 7 – 9pm
Date: Wednesday 18 April
Topic: Annual Plan & amendments to the Long-Term Council Community Plan (including the Development Contributions Policy)
Venue: Diamond Harbour Community Centre, Waipapa Avenue, Diamond Harbour
Time: 7 – 9pm
Date: Tuesday 24 April
Topic: Annual Plan & amendments to the Long-Term Council Community Plan (including the Development Contributions Policy)
Venue: Akaroa Sports Complex, Recreation Ground, Akaroa
Time: 1 – 3pm
Date: Thursday 3 May
Topic: Development Contributions
Venue: Council Chambers, 163 -173 Tuam Street, Christchurch
Time: 5.30 - 7.30 pm
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