MEDIA RELEASE
From: Councillor Joel Cayford
Dated: 27 August 2001
“For over a decade, despite their resistance to growth sprawl, North Shore City residents have been forced to subsidise new development infrastructure to the tune of over $25,000 per home. Hopefully, if the government listens, that will stop.”
Cllr Cayford is optimistic that a substantial government lobbying campaign - triggered by Cllr Cayford a year ago – and led by North Shore City Council – may at last lead to an effective and comprehensive developer levy system.
“It is iniquitous that a large part of new development infrastructure costs continue to be subsidised by ratepayers. It has been that way for the whole of this term of Council, and for all North Shore City Councils before that. Except for a small $1300 developer levy to cover Rosedale Treatment Plant expansion costs – the Council has been unable to implement an effective and comprehensive Developer Levy system.”
This Tuesday, NSCC’s
Strategy and Finance Ctte has a special meeting to sign off a regional
submission to Government calling for new Development Contribution legislation.
There has been unanimous support by council for this initiative to date.
When Council supported
Cllr Cayford’s motion – that North Shore City Council lead a lobbying campaign
to establish a Development Levy regime under the Local Government Act - North
Shore City Council staff established a Development Contributions Working Group
with officers across the Auckland Region, and with experts at Local Government
New Zealand. Senior NSCC officer Wayne Brown has led the group.
“When I came into Council almost three years ago, one of the big things for me was Developer Levies. I have moved motion after motion trying to get fairness in the funding infrastructure needed for growth. The Resource Management Act is not up to the task. The previous Rodney Council almost bankrupted itself fighting developers in the Environment Court over developer levies. I decided there must be a better way.”
Cllr Cayford spent hours
talking with officers and obtaining government documents under the Official
Information Act. “One of the things that really disturbed me was the attitude
in Wellington that developer levies were not needed – they believed the rates
from new subdivision would be more than enough to cover the costs of necessary
infrastructure. How wrong they are.”
“I am advised that for
new development infrastructure costs are anywhere from $25,000 up to $40,000
per lot – it partly depends how far away from existing services the new lots
are. That’s a huge subsidy for ratepayers. They should not be paying any of
that at all.”
“I am also advised the Working Group has had a good hearing in Wellington so far. However it will be necessary for MPs in this region to support this initiative for it to be guaranteed safe passage through the house.”
Contact: Cllr Cayford