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Local Government Act 2002

Regulatory, enforcement, and coercive powers of local authorities - Development contributions - Conditions relevant to requirement for contributions

200: Limitations applying to requirement for development contribution

You could also call this:

“Rules about when you have to pay for new stuff in your town”

You can’t be asked to pay a development contribution for a reserve, network infrastructure, or community infrastructure if:

  1. You’ve already been asked to do something similar when getting a resource consent.

  2. You’re going to pay for or provide the same thing yourself.

  3. You’ve already paid a development contribution for the same building work before.

  4. Someone else has agreed to pay for or provide the same thing.

You can still choose to give extra contributions if you want to.

The council can ask for a development contribution even if they’re using money from other sources (like rates or loans) for part of the project. They can also ask you even if you pay rates or other fees.

If you’ve already paid a development contribution, the council might ask for another one if your project gets bigger or more complex.

When the council gets extra money from the national land transport fund for a specific project, they usually can’t count this as money from someone else to avoid asking for development contributions. There are some complicated rules about how this works with other transport projects.

If you want to know more about how this works for transport projects, you should ask someone who knows about these rules.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM173837.

Topics:
Government and voting > Local councils
Housing and property > Land use
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Part 8 Regulatory, enforcement, and coercive powers of local authorities
Development contributions: Conditions relevant to requirement for contributions

200Limitations applying to requirement for development contribution

  1. A territorial authority must not require a development contribution for a reserve, network infrastructure, or community infrastructure if, and to the extent that—

  2. it has, under section 108(2)(a) of the Resource Management Act 1991, imposed a condition on a resource consent in relation to the same development for the same purpose; or
    1. the developer will fund or otherwise provide for the same reserve, network infrastructure, or community infrastructure; or
      1. the territorial authority has already required a development contribution for the same purpose in respect of the same building work, whether on the granting of a building consent or a certificate of acceptance; or
        1. a third party has funded or provided, or undertaken to fund or provide, the same reserve, network infrastructure, or community infrastructure.

          1. This subpart does not prevent a territorial authority from accepting from a person, with that person's agreement, additional contributions for reserves, network infrastructures, or community infrastructures.

          2. This section does not prevent a territorial authority from requiring a development contribution if—

          3. income from the following is being used or will be used to meet a proportion of the capital costs of the community facilities for which the development contribution will be used:
            1. rates:
              1. fees and charges:
                1. interest and dividends from investments:
                  1. borrowings:
                    1. proceeds from asset sales; or
                      2. a person required to make the development contribution is also a ratepayer in the territorial authority’s district or has paid or will pay fees or charges in respect of the facilities.

                        1. Despite subsection (1)(ba), a territorial authority may require another development contribution to be made for the same purpose if the further development contribution is required to reflect an increase in the scale or intensity of the development since the original contribution was required.

                        2. Subsection (6) applies if a territorial authority or a council-controlled organisation has entered a funding agreement with the New Zealand Transport Agency under which—

                        3. a specified amount of additional financial assistance is to be provided from the national land transport fund to the territorial authority or the council-controlled organisation to fund a specified network infrastructure project; and
                          1. that specified amount of additional financial assistance is to be offset by reduced funding for 1 or more other projects or programmes.

                            1. If this subsection applies, the specified amount of additional financial assistance must not be treated as third-party funding for the purposes of subsection (1)(c).

                            2. Subsection (8) applies if a funding agreement referred to in subsection (5)—

                            3. provides for some or all of the specified amount of additional financial assistance to be offset by the provision of a reduced amount of financial assistance for 1 or more other network infrastructure projects; and
                              1. specifies the amount of financial assistance for each other network infrastructure project that would otherwise have been provided.

                                1. If this subsection applies, to the extent that a network infrastructure project receives a reduced amount of financial assistance, subsection (1)(c) applies as if the amount of financial assistance provided for that project were the amount that would otherwise have been provided, and not the reduced amount.

                                2. In this section, additional financial assistance means an amount of financial assistance for a network infrastructure project that is greater than the amount (if any) that would otherwise be provided from the national land transport fund in respect of that project.

                                3. Subsections (5) to (9) prevail over subsection (1)(c).

                                Notes
                                • Section 200(1)(a): amended, on , by section 6 of the Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023 (2023 No 68).
                                • Section 200(1)(ba): inserted, on , by section 56(1) of the Local Government Act 2002 Amendment Act 2014 (2014 No 55).
                                • Section 200(1)(c): replaced, on , by section 56(2) of the Local Government Act 2002 Amendment Act 2014 (2014 No 55).
                                • Section 200(3): inserted, on , by section 56(3) of the Local Government Act 2002 Amendment Act 2014 (2014 No 55).
                                • Section 200(3)(a)(v): amended, on , by section 10(3) of the Land Transport Management (Regional Fuel Tax) Amendment Act 2018 (2018 No 15).
                                • Section 200(3)(a)(vi): repealed, on , by section 11 of the Land Transport Management (Repeal of Regional Fuel Tax) Amendment Act 2024 (2024 No 9).
                                • Section 200(4): inserted, on , by section 56(3) of the Local Government Act 2002 Amendment Act 2014 (2014 No 55).
                                • Section 200(5): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).
                                • Section 200(6): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).
                                • Section 200(7): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).
                                • Section 200(8): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).
                                • Section 200(9): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).
                                • Section 200(10): inserted, on , by section 13 of the Local Government (Community Well-being) Amendment Act 2019 (2019 No 17).