What are development contributions?

A contributions plan enables Council to levy contributions from developers to fund local community infrastructure and services. This infrastructure typically includes facilities such as parks, community facilities, roads and drainage.

A contributions plan describes Council’s policy for assessing, collecting, spending, and administering the contributions. The making of these plans is regulated by Section 7.11 (formerly Section 94) and Section 7.12 (formerly Section 94A) of the Environmental Planning and Assessment Act 1979 (EP&A Act). In addition, Council may enter into a planning agreement with a developer to provide for a public purpose. Such an agreement may levy contributions in addition to, or in lieu of, those to be levied under Sections 7.11 or 7.12.

Sections 7.11 and 7.12 developer contributions are levied as conditions of consent for a development application, while those of a planning agreement are negotiated, publicly exhibited, and secured in a legal contract prior to granting of development consent, albeit that a condition of consent would identify when the levy or service was to be provided.

Council has two development contributions plans.

Heavy Haulage Contributions Plan

The Richmond Valley Council Section 7.12 Heavy Haulage Contributions Plan 2013 enables Council to levy development contributions under Section 7.11 (formerly Section 94) where the anticipated development will, or is likely to, generate additional heavy haulage vehicle movements, such as from mines and extractive industries.

Monies collected will fund pavement rehabilitation works within the nominated haulage distance of the development. Such monies are levied based on haulage weight, and are collected by Council annually.

Section 7.12 (formerly s.94A) Contributions Plan

The Richmond Valley Council Section 7.12 Contributions Plan enables Council to levy a fix rate contribution under Section 7.12 (formerly Section 94A). The rate is fixed by section 209 of the Environmental Planning and Assessment Regulation 2021(EP&A Reg) at:

• 0% for development with a cost to carry out the development <$100,000;
• 5% for development with a cost to carry out the development between $100,000 and $200,000; or
• 1% for development with a cost to carry out the development >$200,000

(Note. the levy is charged on the total cost of the development and not just that part exceeding the threshold)

Draft Section 7.12 Contributions Plan (As Amended) was publicly exhibited from 22 April 2024 to 22 May 2024, and adopted at the Council meeting on 25 June 2024.

Planning Agreements

A planning agreement is a voluntary agreement or other arrangement between Council and a developer under which the developer is required to:

• dedicate land free of cost;
• pay a monetary contribution;
• provide any other material benefit; or
• provide any combination of the above

to be used for or applied towards a public purpose.

The EP&A Act and EP&A Reg establishes the statutory framework around how and when a planning agreement can be made. This includes:

• ensuring the process is clear and transparent with the community being engaged during preparation of the agreement; and
• that the agreement summarises the objectives, nature and effect of the proposed agreement and contains an assessment of the merits of the agreement including the impact (positive or negative) on the public or any relevant section of the public.

Council must keep a planning agreement register. The register must record: a short description of the agreement; the date it was entered into; names of parties; a description of the development; and a description of the land to which it applies.

For the purposes of section 206 of the EP&A Reg, this page and the planning agreements listed in the table below are to be taken as Richmond Valley Council’s Planning Agreement Register.