Development contributions

Population and business growth create the need for new subdivisions and developments in our District, and this growth places increasing demands on the assets and services we provide. As a result, significant investment in new or upgraded infrastructure and services is required to meet the demands of growth.

The purpose of the Development Contributions policy is to ensure that the cost of that infrastructure is funded by the new developments with the overarching principle that growth pays for growth.

Under s198 of the LGA, Council may require development contributions to be made. A contribution is made by a developer to Taupō District Council according to the methodology set out in the Development Contributions policy. Contributions can be either: money, land, community facilities or a combination of them. Council has sole discretion to collect development contributions in ways other than money on a case-by-case basis.

Development contributions pay for new, or upgrades to, network infrastructure needed to serve new residential or commercial developments. Network infrastructure includes the provision of drinking water, the conveyance, treatment, and disposal of wastewater, roading and cycling network, improvements to destination, community and local parks and the purchase of land for reserves.

You could be expected to pay development contributions if you intend to:

• Build a new residential dwelling or commercial building.
• Build a granny flat.
• Extend or change existing commercial buildings.
• Make a new connection to services.
• Subdivide land.

We will advise you to pay any development contributions:

• With your Building Consent in the case of a building or service connection
• In the Resource Consent decision in the case of a subdivision.
• With a Project Information Memorandum (PIM) in the case of a granny flat.

Council will generally require development contributions at the earliest possible point (i.e. whichever consent, certificate, or authorisation is granted first). For new developments, the resource consent is often the first step in the process and therefore the first opportunity to levy development contributions.

Where development contributions were not assessed (or only part assessed) on the first consent, certificate or authorisation for a development, this does not prevent the Council assessing contributions on a subsequent consent, certificate or authorisation for the same development.

Developers are entitled under the LGA to request a reconsideration or lodge a formal objection if they believe Council has made a mistake in assessing the level of development contributions for their development.

S199A of the LGA allows for reconsideration of development contributions on the grounds that you believe the contribution has been incorrectly calculated or assessed. A request for reconsideration must be made within ten working days of receiving notice of the requirement to pay a development contribution from Council.

S199C of the LGA provides the right to object to the assessed contributions on the grounds that Council has incorrectly applied its Development Contributions Policy to your development. This is a more formal process and Council has to follow the procedure set out in Schedule 13A of the Act. To pursue an objection, the developer must lodge the request for an objection within 15 working days of receiving notice to pay a development contribution, or within 15 working days of receiving the outcome of any request for a reconsideration.

No. The amount of the development contributions assessed can vary according to the location and type of development (eg, whether rural or urban, whether water and wastewater services are available, if the development is commercial or residential etc).