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Longford County Council Planning Department

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Re: Draft Revised Development Contribution Scheme

I attach herewith Draft Revised Development Contribution Scheme for consideration by the members of Longford County Council. The adoption of a Development Contribution Scheme is a reserved function of the Council. The original scheme which was adopted by the Council in March 2004 for the period up to 31 December 2009 is now under review.

The primary objectives of the Development Contribution Scheme are to:

  • Provide a mechanism by which developers and others can contribute to the cost of providing public infrastructure and facilities that benefit development in their area.
  • Increase flexibility for local authorities in relation to the range of projects that could be funded from this source, by allowing authorities to fund public infrastructure provision without necessarily tying it to a specific development 
  • Introduce greater transparency into the way in which development contributions are levied and applied (so that developers would be able to establish in advance what levy should apply to them)
  • Ensure that local authorities can manage and maintain growth by providing key infrastructure to support local economies

The Development Contribution Scheme has had a very positive impact on the delivery of infrastructure in Longford since its introduction. It has generated funds for a wide variety of infrastructure, including the acquisition of land, provision of open spaces, recreational and community facilities, amenity and landscaping works, roads, car parks, footpaths, water and waste water facilities.

I attach a number of tables which provide further information in relation to development contributions.

Table A lists the main areas of infrastructure provided during the period 2004 to 2008 with financial assistance from development contributions.

Table B compares the main level of contributions generally applicable at January 2009 in the Midland Region and adjoining counties and shows the proposed revised levels of contribution for Longford County Council.

Issues

(1)Number of categories of contributions in respect of residential development

The current Development Contribution Scheme provides for four different categories of contributions in respect of residential development.A recommendation that these categories be reduced to two categories to ensure consistency of application throughout the county was considered. However it was considered that an increase in the amount payable in respect of development contributions may not be appropriate in the current economic climate.

(2)Level of development contributions

 Having regard to the estimated cost of providing further public infrastructure and facilities in the period 2010 to 2014 and the projected development for the same period as set out in the scheme it is evident that the current levels of development contributions are not sufficient to meet the capital costs involved in providing this infrastructure.

However, it is important that development contributions should not act as a deterrent or disincentive to future prospective investment and development nor act as a barrier to enterprise start up. In addition, having regard to guidelines from the Department of Environment, Heritage and Local Government, there should not be a major divergence in the level of contributions adopted by other local authorities in the area. While there is no evidence to suggest that the level of contributions in Longford has deterred any development it is essential that Longford continues to be an attractive location for future development and inward investment.

The current Development Contribution Scheme provided that the rates of contribution be adjusted on the 1st January each year based on changes to the Wholesale Price Index for Building and Construction as published by the Central Statistics Office. This index is currently showing a decrease of 3.17% for the 12 month period from August 2008 to August 2009.

I recommend that the current level of development contributions be reduced by approximately 3.17% with effect from 1st January 2010 to the revised levels shown in Table 1 and Table 2 of the .Revised Draft Development Contribution Scheme.

The Planning and Development Acts make provision for

(a) the advertising of a draft scheme
(b) that written submissions may be made within a period of at least 6 weeks
(c) the sending of the scheme to the Minister who may make recommendations
(d) the preparation and submission of a report by the County .Manager on any submissions or observation received to the elected members within a further 4 week period after the period for submissions has expired
(e) the passing of a resolution by the members within a further 6 week period after receipt of the County Manager’s report  to make, vary or modify the scheme.

View the Draft Development Contribution Scheme 2010 to 2014 

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