Local Government NSW (LGNSW) President, Darriea Turley, has met with NSW Minister for Planning and Public Spaces, Paul Scully, seeking an urgent briefing on the Environmental Planning and Assessment Amendment (Housing and Productivity Contributions) Bill 2023.
The Bill does not propose to make changes to local infrastructure contributions collected by councils, but does seek to introduce a new, broad-based infrastructure contribution scheme to replace the existing Special Infrastructure Contribution system.
The NSW Government will use the funding for State infrastructure that supports housing and productivity in high growth regions. This includes hospitals, schools, state and regional roads, transport infrastructure and measures to conserve the natural environment.
“The Bill also proposes to permit the Minister to define via Ministerial Planning Orders ‘regions’ for the purposes of ensuring that the contributions collected in a specific area are used for State infrastructure in that same area,” said President Turley.
“I reiterated to the Minister the importance of councils being consulted with on the setting of and any changes to regions.
“In good news, the Bill also provides for up to $1 billion in grant funding over 10 years for councils to deliver local infrastructure, such as regional parks and sporting facilities. Again, this funding will only be available for use in the area in which it was generated through contributions.”
The Department of Planning and Environment’s explanatory document for the reforms advises that councils will be involved in the development of “Infrastructure Opportunities Plans” that will outline the “long list” of infrastructure required to support housing and productivity growth in the identified regions.
The plans will be developed through an Urban Development Program coordinated by the department that includes state agencies, councils and industry, drawing from strategic planning. The Urban Development Program will provide forums for stakeholders to discuss the growth challenges for the regions where the Housing and Productivity Contribution will apply.
“The opportunity for councils to input to this process is welcomed and we look forward to understanding more details about how this will work in practice,” said President Turley.