What are Financial Contributions?

    The Resource Management Act 1991 allows councils to provide in their District Plans for the ability to impose a condition on a resource consent requiring a financial (cash) contribution for the purpose of contributing to infrastructure required to service a particular development and managing the effects of development on the environment.

    A financial contribution assists with the costs of providing infrastructure for growth. Council’s District Plan allows financial contributions to be charged for water, wastewater, stormwater, ecological protection, transportation and recreation and leisure.   

    Western Bay of Plenty District Council has used financial contributions since approximately 2000. There are 17 financial models that have been used to calculate financial contributions across the District.  

    What do these updated financial contributions mean for Council?

    There are no significant implications for the current Financial Strategy 2021-31 arising from the proposed changes for further consultation. Council is in the process of developing its Long Term Plan 2024-34, a critical component of this being review of its financial strategy. Wider implications relating to future financial contributions will be considered through this process.  

    How does this impact Plan Change 92?

    In addition to the Annual Plan process, Council is progressing Plan Change 92 (PC92) to the District Plan, which includes changes to Section 11 relating to financial contributions, including a proposal to move from a per lot to a per hectare basis for calculating the level of contribution.

    PC92 is following the prescribed Medium Density Residential Standards process. Matters raised through submissions to this Plan Change will be heard by independent commissioners in September 2023 and final decision in December 2023. Therefore, matters relating to PC92 are out of scope for the purposes of this proposal.