TDC signs off Development Contribution policy

February 22nd, 2013
[TDC press release]

The Tasman District Council has confirmed its "Once Paid Always Paid" Development Contribution policy at yesterday's Council meeting.

Developed from the draft proposed through the Long Term Plan last year, this policy is the result of working closely with the development community, said Tasman Mayor Richard Kempthorne.

"Its aim is to provide clarity around the role of development contributions, the funding of infrastructure construction driven by growth throughout the District and the application of the funding requirements on developers," he said.

The main change in the new policy is the philosophy of Once Paid Always Paid, giving developers and section and home buyers confidence all costs will have been paid in one transaction.

The total chargeable for a development which is liable for all Development Contributions was reduced at the last LTP to reflect less infrastructure development costs in roading and water.

These charges are also reviewed annually in line with the Construction Cost Index. The policy itself is reviewed every three years through the publically notified Long Term Plan process.

"In consulting with the development community it was accepted a balance had to be struck where the beneficiaries of the development have some responsibility for the costs imposed on the District and the need to support ongoing growth," Richard said.

"Notwithstanding these changes, Council is also participating in the discussion paper on Development Contributions by the Ministers of Local Government and Housing.

"We welcome this nationwide review as Development Contributions play a vital role in the funding of Councils and to a degree enable the Councils to attribute the costs to those who benefit, minimising the impact of growth on ratepayers. This purpose and the balance sought need to be explored fully to ensure the processes are fair, transparent and efficient."

The full policy is available at this web page.

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