Development & Financial Contributions
What are development contributions?
Development contributions are levied under the Local Government Act 2002 and will be imposed on resource consents to cater for the planned growth of reserves, network infrastructure, water, sewer, drainage, roading and community infrastructure.
A statutory document is prepared under the Act which enables councils to recoup the cost of growth where it has been planned for in the district and is shown in the Long Term Plan.
What are financial contributions?
The Council is required to impose financial contributions on resource consents in accordance with the purposes specified in a plan, and at a level determined in a manner described in a plan.
The purpose for which financial contributions may be imposed must be for the purpose of section 5 of the Resource Management Act 1991 (sustainable management of natural and physical resources).
All provisions under the Act are subject to Part 2 and therefore financial contributions must be for the purpose of:
- Enabling people and communities to provide for their health, safety and economic, social and cultural wellbeing;
- Sustaining the potential of resources to meet the reasonably foreseeable needs of future generations;
- Maintaining the life-supporting capacity of air, water, soil and ecosystems; and
- Avoiding, remedying and mitigating adverse effects of activities on the natural and physical environment.
What is the purpose of financial contributions?
The purpose of financial contributions generally is to offset the effects of a subdivision or land use on services, utilities, and/or facilities within the subdivision, or the site of the land use, or the vicinity, that are:
- New, upgrades or extensions or
- Secure environmental compensation for adverse effects of the subdivision or land use that cannot be avoided, remedied or mitigated.
For a list of current development contributions and their calculations, please see the Development Contributions Policy and Calculations Schedules.