Development contributions are fees payable on developments and subdivisions. The fees pay for the additional demand placed by new developments on infrastructure (roads, water and sewer etc) and services.
A development may be a new green-fields subdivision, infill development, townhouses, or a project that creates additional commercial or industrial sites or buildings.
Contributions may also be required for conversions or extensions to existing buildings where they create new or additional uses. This could include converting one residence into two, or converting a residential building into a commercial office. Any contribution payable is calculated under Council's Development Contributions Policy (see the policy in the 'related documents' section at the bottom of this page).
What do development contributions fund?
Development contributions fund upgraded or new infrastructure which is a result of growth identified in Council's Long Term Plan 2018-28 (in the 'related documents' section at the bottom of this page).
The activities include roads, water supplies, waste water, stormwater disposal, playgrounds, toilets, parks and reserves.
Development contributions are made up of a district-wide component, ie. a set fee across the district, and specific area contributions. The fee may vary according to the location of the development.
Development contributions are not used to pay operational cost or parts of capital works which deal with infrastructure renewal and upgrades where the required level of service to the existing community is not being fulfilled.
When development contributions are not required
Development contributions may not be required (or be reduced) when:
- Council has already imposed a financial contribution condition on a resource consent for the same development; or
- Financial contributions have already been paid in respect of a development; or
- The developer will be providing network infrastructure upgrades or reserves in agreement with Council; or
- A development already has an existing use (such as one home with the development to increase that to three), in which case the development contribution fee will be based on the additional use, with credit given for the existing use.
Assessing a development contribution
Your project can be assessed at any of three stages:
- When a Resource Consent (subdivision or land use) is granted under the Resource Management Act 1991;
- When a Building Consent is granted under the Building Act 2004; or
- When authorisation for a service connection (water, sewer etc) is granted
Paying a development contribution
An invoice can be requested and paid at any time. Payment must be made prior to:
- A section 224 (c) certificate being issued for a subdivision;
- A code of compliance certificate (CCC) being issued for a Building Consent;
- An approved land use consent being acted upon; or
- A service connection being provided
Development contributions review
A request in writing can be made to Council asking that the assessment of development contributions for a project be reviewed, by emailing the Financial Policy Advisor. Please include the new or supporting information that your request is based upon.
Development contributions costs
Please contact Council's Financial Policy Advisor to find out whether a development contribution is required for your proposal, and what the cost is likely to be.
See Council's frequently asked questions documents, based on non-residential and residential dwellings, available in the 'related documents' at the bottom of this page. For further information contact Council's Financial Policy Advisor.