Adopted by the Council 12 December 2019.

1. Policy context

A development contribution is a fee payable to the Council as a contribution towards the funding of capital infrastructure like new pipes, roads and parks required to service new (growth) development.

Christchurch City Council has decided it will use development contributions as the primary method of funding growth-related infrastructure. This approach reduces the funding required from existing residents via rates to fund infrastructure for growth that primarily benefits the owners or occupiers of growth developments.

The Council’s Development Contributions Policy details how development contributions are calculated, what triggers a requirement for development contributions, the amount required to be paid and how a developer can apply for a reconsideration of development contributions required or lodge a formal objection to the required development contribution.

The Council believes there are situations where there is a significant benefit to the wider community from promoting particular types of development or development in particular locations. Providing a rebate of development contributions is one way the Council can seek to encourage development it considers provides these wider community benefits. The benefit to the wider community means it can be appropriate to fund some or all of the development contributions required in these situations from rates.

2. Policy statement

  1. Christchurch City Council recognises that in some situations there is a significant benefit to the wider community from development and that it can be appropriate for the wider community to fund some or all of the development contributions required from that development.
  2. From time to time, the Council may decide to put in place a development contributions rebate scheme as a way to help achieve strategic goals that benefit the wider community.
  3. Any development contributions rebate scheme operated by the Council will be introduced and implemented in ways that are consistent with this Policy.

3. Policy principles

  1. A development contributions rebate scheme will only be considered where there is a clearly identified benefit to the wider community. For example, to encourage development to occur faster or on a larger scale than it would without a rebate scheme in place.
  2. Rebate schemes should not be used solely to address issues of affordability for the developer.  Affordability is likely to be more appropriately addressed through the development contributions policy.
  3. A development contribution rebate is revenue foregone by the Council that needs to be funded instead from another source, which will generally be from rates. The source of the rates funding should reflect the wide community benefit and therefore be allocated as widely as practicable.
  4. It is neither appropriate nor permitted to fund a development contribution rebate by increasing development contribution charges to other developers.
  5. Any rebate scheme should be as user-friendly for the developer as possible while being as efficient as possible for the Council to administer.
  6. Development contributions rebates are to address specific situations for a finite period of time. For longer-term or permanent outcomes more general or open-ended adjustments to the development contributions regime should be made through the Council's Development Contributions Policy.

4. Rebate scheme parameters

When introducing a development contributions rebate scheme the Council will decide on scheme parameters under which the rebate scheme will operate. The parameters should address the following matters: 

  • Details of which developments are eligible for the rebate - identified by development type, location and/ or any other parameters of the development that enable or limit eligibility.
  • The extent of the rebate - whether all of a development contribution is to be rebated or some portion.
  • The date from which the rebate will apply and when it will expire.
  • Any financial cap that will apply to individual development rebates and/ or to the rebate scheme as a whole.
  • Any additional conditions a development must meet to be eligible for a rebate.
  • Any process requirements regarding how or when a rebate may be applied including details of any application for a rebate that is required.

The scheme parameters adopted by the Council for each rebate scheme will be attached as an appendix to this policy.

The adoption, review or revocation of parameters for a specific rebate scheme does not constitute a change to this policy.  

5. Policy review

The Council will review this policy at least every five years. The Council may undertake a review at any time in addition to the normal review cycle.