2009 Development Contributions Policy

Cost Allocation Methodology and Funding Model

The general principle is that the council analyses a 10-year window of the capital expenditure constructed in anticipation of growth, and funds the growth component over the capacity uptake period of the assets.

The process to determine appropriate development contributions charges requires an understanding of:

• Project purposes in respect of meeting the council’s strategic needs as defined in the Long Term Council Community Plan (LTCCP), activity planning, and council contributions to Community Outcomes.
• The levels of service delivered by the project. Principally the tactical levels of service that define the nature of and need for service capacity.

Based on the levels of service measures delivered by the project, the process determines cost allocations between existing and growth communities.

These cost allocations are achieved by considering:

• The community outcomes to which the project primarily contributes
• The distribution of benefits to groups within the community
• Timeframes over which benefits will accrue
• Those who will benefit from the implementation of the project
• The groups or individuals who cause or exacerbate the need for the project
• Issues of equity, transparency and fairness, this will include affordability
• And the overall outcomes/ impacts of these considerations.
  

The proposed 2009 Schedule of Charges is based on historic growth projects to date and those of the draft City Plan 2009-2024 falling within the plan’s first 10 years from July 2009 to June 2019.

You may wish to read more details about cost allocation and funding requirements as required under the Local Government Act 2002. All relevant documents are displayed or linked from this site.