Agenda item

Intent to Levy a Special Charge - Arthurs Road Chum Creek

Minutes:

SUMMARY

In response to a petition from residents in July 2020, landowners along Arthurs Road, Chum Creek were surveyed to determine the level of support for a landowner funded Special Charge Scheme to construct the road.

As a result of the significant level of support received from these landowners, the road construction project was referred for inclusion in Council’s forward 10-year Capital Expenditure program (CEP) in January 2022.

Detailed design and planning for the project have been completed, including the establishment of drainage easements and the project is currently listed in the 2025/26 CEP 

This project was generated through a petition from landowners (separate to the Roads for Community Initiative Program).  It was investigated and gained landowner support when the RCI program was operating between September 2019 and January 2023.

These projects were not part of the RCI program, the landowner contribution was un-capped, and the $7,000 landowner cap (related to RCI) did not apply. Council generally ended up contributing 20 to 40% for these small rural type projects due to increased costs of construction.

This report recommends affected landowners be notified of Council’s Intent to Levy a Special Charge Scheme for the construction of Arthurs Road, Chum Creek.

In accordance with Governance Rule 29.1, Cr Child spoke to the Motion.

Moved: Cr Child
Seconded: Cr Ward

That

1.      The affected landowners be advised of Council’s intent to declare a special charge (“the special charge”) at its meeting scheduled for 9 December 2025, for the purpose of defraying expenses associated with proposed improvement works in Arthurs Road, Chum Creek.

2.      In accordance with Section 163 (3) of the Local Government Act 1989 Council specifies that the special charge

(a)     Is proposed to be declared for the land in the “designated area” shown on the attached plan.

(b)     Will be payable in respect of all rateable land within the designated area.

(c)     Will be assessed and levied as set out in this resolution.

(d)     Will remain in force for the period commencing on 1 July 2026 and concluding on 30 June 2036.

(e)   Will expire if the special charge is not levied to each person liable to pay it within 12 months after the day on which the declaration to which the rate or charge relates is made.

3.      In accordance with Section 221 Council may consider the inclusion of non rateable land that is not Crown land in a scheme.

4.      The assessment of the special charge is calculated on the following basis:

(a)     $14,200 per development unit.

(b)     Plus financing cost of 4.24% per annum.

(c)     100% on a development unit basis as follows:

(i)      Special benefit where a dwelling or building is permitted.

(ii)     The degree of special benefit having regard to the use or future use of the land.

5.      The amount assessed, based on the assessment factors, is set out in the attached schedule of costs per property for the scheme.

6.      Landowners may opt to repay the special charge in a lump sum where they will not incur the interest component of the charge.  The payment date for this option is 15 February 2027.

7.      Subject to any variation of the scheme, the amount to be levied under exclusive of any additional interest payable under Section 172 of the Local Government Act 1989 will be

(a)     In total $311,852 (“the amount to be paid”); comprising of $257,304 for the cost of works and $54,548 for financing cost.

(b)     On each date specified under Section 167 of the Local Government Act 1989 as being the date on which the whole of rates and charges (other than special rates and charges) is due (“the due date”) the amount represented by the formula: X/Y where X represents the amount to be paid and Y represents the number of due dates during the period which the scheme will remain in force.

8.      The Chief Executive Officer be authorised to give public notice of the intent to declare the special charge in accordance with Section 163 (1A) and 223 of the Local Government Act 1989 in The Star Mail newspapers and on Council’s Internet Website.

9.    If required a consultation meeting with appropriate Council Officers, be arranged to discuss any submissions received relating to the Special Charge.

10.   If submissions are made

(a)     Those submissions be considered, and any person (or their representative as specified in their submission) who has requested to be heard in support of his or her submission be heard, by a meeting of Council scheduled for 9 December 2025, or should this meeting not proceed then the next available meeting.

(b)     Those persons making submissions be advised that details of their submission (excluding submitter’s names and addresses) will be included in a Report to Council at the meeting held when their submissions are considered.

11.    If no submissions are made, the matter be reported to Council at the meeting scheduled for 9 December 2025 or should this meeting not proceed then the next available meeting.

12.       The Chief Executive Officer be authorised and directed to seek payment of and recover the special charge with any interest thereof.

The motion was Carried unanimously.

In Favour:    Cr Child, Cr Cox. Cr Heenan, Cr Marriott, Cr Mazzarella,
Cr Mcilwain and Cr Ward

Against:       Nil

 

Supporting documents: