Development contributions

Part 7 of the Environmental Planning and Assessment Act 1979 (the Act) allow councils to impose contributions on development consents for community infrastructure.

The main types of development contributions relevant to the Bega Valley are:

• Section 7.11 of the Act (direct) contributions – these may be in the form of land dedication and/or monetary contribution, or the provision of material public benefit. The level of contribution is determined by the relationship between expected development and the requirement for provision of, or increase in, demand for the infrastructure to be provided. Council’s development contribution plan levies direct contributions on different types of development that will, or is likely to increase demand for community infrastructure.
• Section 7.12 of the Act (indirect) contributions - are a monetary contribution that is a percentage of the proposed cost of carrying out the development.
• Planning agreements - Section 7.4 of the Act enables councils to enter into Voluntary Planning Agreements with a developer to dedicate land free of cost, pay a monetary contribution, or provide any other material public benefit (or any combination of them) to be used for or applied towards the provision of public infrastructure or another public purpose. Contributions under a planning agreement can be additional to, or in place of Section 7.11 or 7.12 contributions. Information on Council's Policies and Procedures, can be found on our Public Policies page (enter 'planning agreement’ in the search bar).

Development contributions are spent on community infrastructure identified in the schedule of works in Council’s contribution plan. This schedule reflects Council’s latest community infrastructure capital works priorities as well as the provision of local and district level roads, parks, sporting, recreation and cultural facilities and car parking facilities. Council can only levy contributions under Section 7.11 of the Act if the area for development in question falls under one of Council’s development contribution plans.

It is important to check with Council whether any contributions are payable because if there were no contributions paid at the time of subdivision, or your development is of a nature that increases demands for community of public infrastructure, then a contribution will apply. For more information on the current contributions amount, see Councils Fees and Charges document(PDF, 4MB).

Contributions payable are calculated during assessment of a development application and are then levied as a condition of development consent. They must be paid before Council can issue a subdivision certificate or construction certificate. Contributions for Complying Development must be paid prior to commencing works. Bega Valley Section 94 and 94A Contributions Plan 2014 explains the calculation methodology (see information below).