Developer Contributions in Parramatta

The funding of local infrastructure is assisted in part, by developer contributions known as Section 94 or Section 94A contributions. Councils in NSW have the ability to levy developers for contributions towards local infrastructure under the provisions of the Environmental Planning and Assessment Act.

The Parramatta City Centre Vision Document includes a plan for 30,000 new jobs in the Parramatta City centre by 2031 and 20,000 additional residents. Similarly, the NSW Government’s Metropolitan Strategy proposes an additional 21,000 residents by 2031 in the remainder of the Parramatta local government area.

The growth in these populations will generate an increase in the demand for public facilities and services provided by Parramatta City Council. Incoming populations should make a reasonable contribution toward the provision of these new and/or augmented facilities. In order to facilitate the levying of developer contributions, Parramatta has in place, two contributions Plans:

• Parramatta City Centre Civic Improvement Plan (effective from 19 December 2007
• Parramatta Section 94A Development Contributions Plan (effective from 9 April 2008)

Both plans supersede the Parramatta Comprehensive Section 94 Contributions Plan which only applies to development applications lodged before the dates that each respective plan took effect. Both plans describe the method for calculating the levy that is payable to Council and the programs of works (projects) which will be funded from the levies.

An alternative method of developer contributions is a Voluntary Planning Agreement (VPA) under section 93F of the Environmental Planning and Assessment Act. A VPA is an agreement entered into by Council and a developer during Council’s consideration of a rezoning application or development application. Council and a developer might agree to enter into a VPA in the case of a large site in single ownership where better outcomes could be produced by a VPA than through a Section 94A monetary contribution. It should be noted that in the case of a VPA, the merits of a development will be assessed separately to the negotiations of the VPA and any proposed public benefit under a VPA will not affect the outcome of Council’s consideration of the rezoning or development application. In order to maximise transparency and consistency in the processing of VPAs, Council has adopted the Parramatta Voluntary Planning Agreements Policy which can be viewed below.

Any questions regarding developer contributions in Parramatta should be directed to the Outcomes group on 9806 5710.