Wyndham council has received $82.8 million in developer contributions in the past five years to fund new and upgraded roads, sports facilities and other community infrastructure.
Information obtained by Star Weekly reveals the council has received at least $10 million through developer contributions each financial year since 2011-12, including $27.8 million for the 2015-16 financial year alone.
The money has been used to partially fund 18 road projects, including duplication of Tarneit and Hogans roads, reconstruction of Leakes Road and extension of Armstrong Road between Greens and Ballan roads.
The money has also gone towards construction of a Saltwater Promenade Community Centre, Penrose Promenade Hub and Featherbrook Community Centre, as well as seven sports facilities, including an oval at Hummingbird Boulevard Reserve and a pavilion at Foddard Street Reserve.
Developer contributions are a state government-imposed system that requires developers to financially contribute to new infrastructure.
Wyndham council sustainability and development director Dean Rochfort said a Development Contributions Plan (DCP) was incorporated into the Wyndham Planning Scheme.
It outlined how developer contributions were collected and the contribution rates to be paid for land.
“When land is being developed, it often means an upgrade or new infrastructure – like roads, bridges, intersections, sports reserves or community facilities – is needed,” Mr Rochfort said.
“It must be demonstrated that the new development is likely to use the proposed infrastructure in order to justify the application of a developer contribution fee.
“Developer contributions don’t need to be spent on the individual developments from which they have been collected, but they must be spent within the overall DCP area and within a specified time, usually 10 to 30 years.”
Mr Rochfort said the rate was calculated by dividing the total cost of development infrastructure items by the net size of the developable area in hectares.
Community infrastructure contributions are set at a capped rate of $900 per dwelling.
Residents at a recent roads forum held by Wyndham council questioned why the council was approving new estates without adequate roads and transport in place, and whether developers were required to contribute to infrastructure.
Wyndham strategic transport and growth infrastructure manager John Storrie confirmed that developers were required to make contributions towards road funding, but that was not enough to pay for all the works.
