Development Contributions

Overview

North Shore City Council adopted a Development Contributions Policy as part of its Long Term Council Community Plan (LTCCP) effective from July 1, 2004.

A Development Contributions Policy provides the Council with a method to obtain contributions to fund infrastructure required as a result of growth.

Development contributions may be required in relation to development if the effect (or cumulative effects) of the development is to require new or additional assets of increased capacity and as a consequence the Council incurs capital expenditure to provide appropriately for network infrastructure, community infrastructure and reserves.

In addition the Council requires development contributions to pay, in full or in part, for capital expenditure already incurred by the Council in anticipation of development.

The Council will calculate development contributions using the methodology set out in the Local Government Act.

This methodology requires the council to identify the capital expenditure it expects to incur to meet the increased demand resulting from growth, and then attribute a share of the expenditure to “units of demand”.

For detailed information on Councils adopted Development Contributions Policy please contact the Development Contributions administration team on:

Telephone:
09 486 8600
Email: Actionline@northshorecity.govt.nz

Development Contribution Judicial Review Update

We advise that we are still in the process of preparing a revised Development Contributions Policy to reflect the findings contained in the High Court's judgment last year.

This is a process that involves our own expert consultants and lawyers and those retained by the plaintiffs in the judicial review proceedings. 

The process is necessarily taking some time given the steps required under the Local Government Act 2002 to prepare and change this document. 

The complexity of these matters affects how soon any revised  Development  Contributions  Policy will be available for public consultation. We now anticipate that any public consultation process is likely to start in late August or September 2008 with possible implementation in October 2008.

We are also working with the plaintiffs and their consultants and lawyers, as directed by the High Court, to try to agree on what changes are made to the 2004 and 2006  Development  Contributions  Policies, and contribution levels under those policies, in light of the High Court's judgment.

Once changes to the 2004 and 2006 policies have been finalised, we will consider how the changes can be automatically applied to existing assessments. You will not need to contact us to apply for a reassessment.

It is possible that the changes result in a reduction in your assessed development contribution. If that is the case, we will make a refund where the development contribution has been paid, or issue a revised assessment if the development contribution has not been paid. We are unable to confirm at this point in time the value or timing of the refund, if any. 

We have received legal advice which confirms that the High Court's judgment last year does not affect the obligation to pay development contributions required under existing or future assessments, or the Council's ability to enforce payment of development contributions.  Despite finding some errors of law in the 2004  Development  Contributions  Policy the Court did not quash the policy, and both that policy and the 2006 policy continue in force.

We thank you for your patience while we resolve these matters.

Development Contributions Team Updated 19 June 2008