On 17 November, 1992, I advised all Ministers as per Memorandum No. 1992-41 of the principles which are to apply regarding development contributions sought by local government.

It has become necessary, because of the provisions of the Environmental Planning and Assessment Act, to expand on the brief principles which I set out in my earlier Memo.

In order to clarify the Government's intent and to make it clear how projects may be expedited, I would now like to invite your attention to the following, more expansive version of the principles:

1. The Government is prepared to enter into discussions with particular Councils regarding the particular or specific project related needs of Councils where appropriate.
2. The Government reserves the right to pay reasonable contributions - but it is essential that such negotiations not delay - and should not continue to delay the commencement of essential community service developments.
3. Where projects have received development consent but are subject to disputed conditions, including financial contribution issues, or are proposed to be refused by Council, then such projects shall be subject of a determination under S91A of the Environmental Planning and Assessment Act by the Minister for Planning where the matters are not resolved within 21 days.
4. In cases where development consent has not been granted within 40 days from lodgment, then the relevant Crown Agency, assisted by the Department of Planning, will immediately undertake consultations with the relevant Council to have the matter resolved.
5. If the matter is not resolved within the following 21 days, then the Minister for Planning will request the Council to refer the matter to him for determination under S91A of the Environmental Planning and Assessment Act immediately.

I should be pleased if you would bring this matter to the attention of all administrations and agencies coming within your portfolio. I might add that information along the above lines is being conveyed to all Councils by the Minister for Local Government.

Yours faithfully

John Fahey
Premier