Granny Flats and Section 94 Contributions Explained

Are the Sec 94 Conts just for granny flats or for all developments?

i.e. would it be the same charge if under 100k if I built a house instead of a granny flat?

Section 94's are for additional housing built on one property. ie: the first house has no contributions (they were paid when the original developer subdivided your block). They can differ from council to council - in my area you pay on an additional bedroom basis. eg: each block has entitlement for a 3 bed home. If I build a second dwelling which has 1 bedroom the contribution will be around 15k (this includes water and sewer charges) The fee goes up around 10k for each additional bedroom. Our council has waived all sec 94's for GF's but, as Brazen points out, some still charge at different rates.
 
Here we go.....

So, according to the S94 publication on the Hornsby Council website, I'm about to be slugged with at $12k bill for S94 contributions because I am building a Granny Flat, not for investment, but to live in myself.

http://www.hornsby.nsw.gov.au/planning-and-building/section-94-contributions

That's 10% of the cost of my granny flat.... Is this for real?

Construction has not started yet, but may I ask those that have been slugged with this bill, at what stage in the construction process will I receive this bill?

1) After Private Certifier Grants "OK" to start work?
2) After Occupational Certificate is issued, or right before it is issued?
3) Random time , whenever the council worker can be bothered?
 
They normally slug you before issuing a construction certificate - and you can't start building without a CC. Ring them up and ask.
 
They normally slug you before issuing a construction certificate - and you can't start building without a CC. Ring them up and ask.


In Blacktown at least it only needs to be prior to the occupational certificate being issued. They will request it a lot earlier but logically the extra 'burden' on the local government area won't exist until the dwelling is occupied.
 
Hornsby S94

Hiya

Re Hornsby from the guru

Apparently the levy is not charged @ Hornsby:

Also from the Council website:
http://www.hornsby.nsw.gov.au/uploads/documents/Sec94DevContributionsPlan2007-2011.pdf

Section 94 Development Contributions Plan (2007-2011)
"2.12 Exemptions
Council may exempt developments, or components of developments, from the requirement for a contribution that include:
• Alterations and additions to a dwelling with a total value less than $100,000.
Affordable housing that meets council requirements.
Council will consider each application and determine if the application merits full or partial exemption."
 
In Blacktown at least it only needs to be prior to the occupational certificate being issued. They will request it a lot earlier but logically the extra 'burden' on the local government area won't exist until the dwelling is occupied.

It's nice that they trust folks to pay before moving in. :)
 
I actually got serge to do my plans and at the time I did read what serge said in relation to Hornsby, but if you read lower, a guy said he had to pay a few posts under serge's post saying you don't.

Either way I will find out in a few weeks when I start construction. Thanks guys.
 
The evil tax!!

I actually got serge to do my plans and at the time I did read what serge said in relation to Hornsby, but if you read lower, a guy said he had to pay a few posts under serge's post saying you don't.

Either way I will find out in a few weeks when I start construction. Thanks guys.

Hiya

I Have started construction and i am building in Hornsby Council...so far not slugged yet...and i shd finish very soon...

But maybe they will slug me when i try to get my Occupation Certificate...:mad:

i have gone thru the whole post...who is the poster who got slugged in Hornsby Council that you were referring to?
 
S94

Hiya'

Just spoken to HighlyGeared who has also constructed a granny flat in Hornsby; and he was not slugged?:D

Can you elaborate HighlyGeared?
 
oh wow, that is great news, I almost lost a night's sleep over this being :mad: that I had to pay another 12k for this contribution and I am not renting it out so its not a money making machine (for now).

I went through the posts and I think the guy that said that you had to pay was you hehehe. (you said you went to council and they were adamant you had to pay even though you quoted something from their document) oops...:rolleyes:

So its all good :)
 
Just had another client get charged $5,850 in Section 94 Constributions Fees by AUBURN COUNCIL.. Now I have to try and explain this horrendous fee to a lovely Asian family who barely speak a word of English.

Hi Brazen,

What was your client building on their property? I'm in Auburn council and is thinking of building a granny flat at the back of my property. I'm not sure if I will get slugged with the S94 contribution fees.

I think I did read somewhere that I will only be charged this fee if the development if > $100k.

Would this be your understanding as well?

Cheers!
 
It's nice that they trust folks to pay before moving in. :)

It's not that they trust them, more so that it would be impossible to enforce it prior given the justification for the contribution itself.

Once they send out their letter to advise of it they will follow up and have an officer that will visit onsite to confirm that noone is in fact living there.
 
In my shire we cannot begin building a dual or multiple occ unless the sec 94 contributions are paid up front. ie: they won't issue a construction certificate.

That's more than a bit harsh given the Section 94 contribution is supposed to be used to provide addional services and public amenities to counter the burden of the additional people that will be living in the area as a result of the development. Until such time that the building is completed there is no additional burden.

Better the money sitting in my account than theirs.
 
Thats true, but once your place is built, it is harder for them to collect money from you if you refused to pay etc... or delay payment or pay partial etc.....

Much much much easier to slug you before you start construction :)
 
In my shire we cannot begin building a dual or multiple occ unless the sec 94 contributions are paid up front. ie: they won't issue a construction certificate.

Its the same with granny flats at these Councils m8. They wont allow the Certifier to issue the consent until these (ripoff) fees are paid.
 
Hi Brazen,

I posted a message for you earlier regarding your job with a client at Auburn council.

Could I trouble you for your insight on this?

Thanks in advance!
 
Hi Brazen,

I posted a message for you earlier regarding your job with a client at Auburn council.

Could I trouble you for your insight on this?

Thanks in advance!

Hi mic, sorry been busy and didnt see yer post. She just got her approval granted by our Certifier for a 2br granny flat in Auburn- this was ast week. He rang me to tell me he's not allowed to print out her consent unti she pays the Section 94 Contributios fee and present him with the receipt.

Was just bloody awesome :) I had to call the poor woman and tell her. Was actually my first granny flat approval in Auburn. Councils change fees at the dropof a hat anyway. Made me feel awful I know that much.

P.S. Quoted build price (on the form) was $84,000
 
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