New house builders could cough up more land cash: Albury city

DEVELOPER contributions to new housing blocks could jump about 70 per cent under a draft plan being considered by Albury Council.

A report to go before the council’s meeting on Monday night proposes increasing per-allotment contributions to $16,523 by 2015-16.

That compares with the 2013-14 charge of $9745, to then rise to $13,237 next financial year.

In 2008 councillors approved a 10 per cent increase, but since then annual rises have been around 3.5 per cent.

The increase revealed in the council’s Draft 2014 Infrastructure Contributions Plan would place Albury on a par with cities such as Wagga, where developer contributions are about $15,000.

This cost is borne by the developer, who then passes it on to people who buy individual home sites.

The $16,523 figure includes a $3000 payment for water infrastructure and $4000 for sewerage, compared with the current charges of $2875 and $3923 respectively.

That means the vast bulk of the proposed increase would come from the infrastructure contribution, rising from $2950 to $9523.

The total amount proposed falls within the NSW government’s $20,000 per lot cap.

In a report, planning and environment director Michael Keys said the “planned and co-ordinated” collection of revenue to finance infrastructure minimised the cost of growth for existing communities.

He noted the different system across the border in Wodonga, where North East Water, rather than that city’s council, deals with water and sewer contributions.

Two years ago, the developer contribution per block in Wodonga was around the $1160 mark.

Mr Keys pointed to the Albury Local Environmental Plan 2010, which identified land for long-term growth in Albury over the next 50 years when the population is expected to exceed 100,000.

“New development will need to make a reasonable contribution toward the provision of new and/or augmented infrastructure,” he said.

Mr Keys said the plan would begin on July 1, allowing enough time for community consultation if adopted at Monday’s meeting.