
A joint contributions plan, also known as a cross boundary plan, is a way for two or more councils to prepare a contributions plan together. Joint plans are used where demand for infrastructure crosses the boundaries of local government areas.
This module provides guidance on the additional steps related to a joint contributions plan. This advice can also be used when planning and delivering joint infrastructure funded by separate contributions plans from two or more councils.
Legislative requirements
The requirements for preparing a joint contributions plan are the same as those for preparing individual contributions plans. However, there are also specific requirements for cross boundary issues in the EP&A Act.
Legislative requirements | Section |
---|---|
A condition may be imposed under section 7.11 or 7.12 for the benefit of an area that adjoins the local government area in which the development is to be carried out. |
7.14 (1) EP&A Act |
Any monetary contribution required to be paid is to be apportioned among the councils per the relevant contributions plan, or the development consent for the development. |
7.14 (2) EP&A Act |
Disputes between the councils can be referred to the Planning Secretary and resolved following any direction given by the Planning Secretary. |
7.14 (3) EP&A Act |
Policy positions
A joint contributions plan may be appropriate where infrastructure demand crosses local government boundaries
Councils should consider preparing a joint contributions plan if the demand for infrastructure crosses the local government area boundary, for example:
- a release area straddling a boundary where collection and expenditure would involve both councils
- a development that is wholly in one area, but the development creates demand for infrastructure in at least one other local government area. This would involve the collection of contributions by only one council which is then passed to the other council for use in their local government area.
Collection and expenditure of funds should be agreed upon between councils
Councils should negotiate and agree on how the funds will be collected from the start of the joint plan to avoid disputes and ensure infrastructure is delivered. This includes how the councils will apportion any monetary contributions paid under a condition of consent in either of the local government areas. Councils should include these details in the joint contributions plan. Any condition of consent granted by the council under these plans must be in accordance with the plan.
The obligations of each council should be unambiguous
The process of preparing a joint contributions plan and programming the works is the same as with a standard contributions plan. However, councils should carefully consider and reach agreement before the plan is adopted. This agreement should then be detailed in the contributions plan or in supporting documentation to ensure there is no ambiguity around the obligations of each council.
Councils should consider and agree on any relevant matters, including:
- the catchment areas and the infrastructure required
- the cost of the infrastructure and standard of delivery
- the works program and delivery timeframes
- arrangements for the collection and sharing of contributions, including the investment and timely expenditure of the contributions
- how the costs of delivery and management will be shared between the councils, including recurrent expenditure and maintenance costs
- loan servicing arrangements and how the risks of any loans will be managed
- how legal expenses will be paid if there is a challenge to the plan
- who will maintain the plan and how it will be managed.
Councils can also share infrastructure between contributions plans
Councils may not want to make a separate cross boundary plan for a shared piece of infrastructure. For example, a cross boundary plan may not be necessary for simple low cost infrastructure items, such as upgrades to a road along a boundary or a single park that services demand from both areas.
Instead, the infrastructure item can be included in the relevant contributions plan of each council. All councils involved will need to agree on how the item will be funded, delivered and managed once complete. This includes apportionment between contributions plans, delivery timeframes, design and costing of the infrastructure item and final ownership arrangements.
While this method can be simpler than preparing and administering a joint contributions plan, councils will still need to create an agreement to ensure the item is delivered as intended.