What are Local Infrastructure Contributions?

    Local Infrastructure Contributions are charged by Council when new development occurs. 

    These contributions fund local infrastructure needed to support an increased number of residents in the area. This type of local infrastructure typically includes local roads, stormwater and drainage, shared pathways, parks, playspaces or other recreational areas and community facilities.  

    Contributions may be in the form of cash payments, transfer or dedication of land (such as land for a new park), works in kind.

    The NSW Government sets the legislation and policy framework for how Council collects and administers contributions, which is governed by the Environmental Planning and Assessment Act 1979.

    What is a voluntary Planning Agreement?

    A Voluntary Planning Agreement (VPA) is an agreement entered into by a planning authority and a developer.  Under an agreement a developer agrees to provide or fund:

    • public amenities and public services;
    • affordable housing; and
    • transport or other infrastructure.

    Contributions can be made through:

    • dedication of land;
    • monetary contributions;
    • construction of infrastructure; and/or
    • provision of materials for public benefit and/or use.

    VPAs cannot be entered into unless public notice has been given and an explanatory note is made available for inspection for at least 28 days.

    The Environmental Planning and Assessment Regulation 2000 requires that Council maintain a planning agreement register for public inspection.  The register must include:

    • a short description of any VPA that applies to the area of the Council,
    • the date the agreement was entered into,
    • the names of the parties, and
    • the land to which it applies.

    Who is involved in this Planning Agreement?

    The parties entering into this Planning Agreement are:

    Cessnock City Council ABN 60 919 148 928 of 62-78 Vincent Street, CESSNOCK NSW 2325 (Council)

    &

    Henry Kendall Limestone Creek Pty Limited ABN 88 000 630 222 of 5 Amy Close, North Wyong 2259 (Developer)

    What is the proposed development?

    The Planning Agreement relates to the proposed development of the Land, which includes subdivision of land into 30 lots and 1 residue lot. The development of the Land is proposed to be part of a larger residential subdivision development, which will require additional development consent(s).

    What is the nature and goal of the Planning Agreement?

    • Henry Kendall will pay a monetary contribution of $1,713,000 which is their share of the construction of the intersection in accordance with DA 8/2014/628; 
    • Council will construct the intersection on behalf of Henry Kendall; 
    • Council will construct drainage and stormwater works on behalf of Henry Kendall; 
    • Henry Kendall will dedicate of a portion of land at the entrance to allow for further turning lanes required in the future when capacity targets are met.

    What is the effect of the Planning Agreement?

    Council is completing works to upgrade Wollombi Road, which include the area of the road that is the subject of conditions 8 and 11 of the Development Consent. 

    The upgrade works being completed by Council are different to those required to be completed by the Developer under the Development Consent.

    The Planning Agreement:

    • allows the Developer to pay the Monetary Contribution instead of completing the works required by conditions 8 and 11 of the Development Consent, so that Council is not required to demolish works undertaken by the Developer to complete the works to upgrade Wollombi Road.