In its final report on the Appin Growth Area contributions plan, the NSW Independent Pricing and Regulatory Tribunal (IPART) has proposed that Wollondilly Shire Council reduce the levy from $85,000 to $75,500 for each dwelling.
The report on the giant Walker Corp development was released to the public this morning.
“Wollondilly Shire Council is proposing to levy contributions of around $85,000 for a typical dwelling in the Appin Growth Area,’’ says IPART in the report.
“Our recommendations reduce this rate to around $75,500, and the total cost of the plan from around $1.54 billion to $1.36 billion, to be raised through developer contributions over a period of over 30 years.
“These contributions are expected to provide the essential infrastructure needed to service the residents of the new Appin community.’’
IPART said it had found that all included infrastructure is essential and reasonable, and community liaison has occurred.
However, IPART has made recommendations that the council revise the scope and costs of open space works, correct works schedule errors, adjust the allocation of non-residential land, and include a land acquisition allowance.
IPART has also made recommendations in the final report that the council updates the plan administration costs relative to the updated total works costs following its new recommendations, and uses more suitable indexes for works costs over time.
The plan for Appin Growth Area covers around 2,950 hectares and will eventually provide close to 18,650 dwellings for a population of 55,950 people.
“There is significant planning documentation for the Appin Growth Area that is not yet finalised, however IPART proceeded with its assessment to prevent possible funding gaps for the council and ratepayers and because the plan is in its conceptual stage,’’ the report said.
“We have provided our final assessment and recommendations to the minister. The minister, or their nominee, will advise the council on any changes it needs to make prior to adopting the plan.
“The council will then be entitled to charge the applicable contribution rates in the Appin Growth Area.
“If the minister accepts our recommendations the maximum contribution rate would be around $75,500 for a typical dwelling.’’
