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Development Contributions policy

Key changes to the policy

We are reviewing our Development Contributions policy as required under s106(6) of the Local Government Act 2002 (LGA) and we are proposing to make some changes to the current policy:

  • New catchment area maps specific to Tūrangi and Mangakino for water and wastewater infrastructure. This proposed change would require developments in these two areas to pay development contributions for new or upgraded wastewater infrastructure needed to service these developments. Under the current policy, these two areas were excluded because population was expected to decline, and no new developments were likely to occur in these areas in the foreseeable future. However, updated population projections indicate that population will increase in these areas, and new developments might be undertaken.
  • Lower threshold to meet the definition of high-water user / wastewater discharge. This threshold is currently set at more than 10m3 per day for water use or wastewater discharge. We are proposing to lower this threshold to 5m3/day of water usage and 2m3 per day of wastewater discharged by non-residential developments. This proposed change is expected to have little to no impact because new non-residential developments expected in Taupō district are unlikely to meet this lower threshold.
  • New provisions providing the option for developments on Māori land to request different payment conditions. This is expected to facilitate the occupation, development and utilisation of Māori land. This change would better align the policy with the requirements under the Te Ture Whenua Māori Act 1993.
  • Updated development contribution charges. The proposed new charges impact different catchment areas differently. Developments in some catchment areas will pay a lower contribution while developments in other areas will pay a higher contribution. See the table below on the proposed development contributions applicable to each catchment area.

Documents

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.
  • 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.

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 GA 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).

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