yass valley heavy haulage contributions plan 2018 · yass valley heavy haulage contributions plan...

YASS VALLEY HEAVY HAULAGE CONTRIBUTIONS PLAN 2018

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CONSULTING

Contents Summary ..................................................................................................... 4 1.0

1.1 Definitions used in this Plan ............................................................................................ 4 1.2 Background to the Plan ................................................................................................... 4 1.3 Contribution rate ............................................................................................................ 5

Administration and operation of the plan .................................................... 6 2.02.1 Name of the Plan ............................................................................................................ 6 2.2 Commencement of the Plan ........................................................................................... 6 2.3 Area to which the Plan applies........................................................................................ 6 2.4 Purpose of the Plan ......................................................................................................... 6 2.5 Statutory basis of the Plan .............................................................................................. 7 2.6 Relationship with other contributions plans ................................................................... 8 2.7 Development exempt from the contributions Plan ........................................................ 8

Heavy Haulage ............................................................................................ 9 3.03.1 Nexus between development and works ....................................................................... 9 3.2 Schedule of works (public amenities and services) ......................................................... 9 3.3 Calculation of the contribution rate.............................................................................. 10 3.4 Benchmark contribution rates ...................................................................................... 11 3.5 Application of periodic contribution rates to development ......................................... 12 3.6 Indexation of periodic payments .................................................................................. 13 3.7 Method and timing of payments .................................................................................. 13 3.8 Goods and services tax (GST) ........................................................................................ 14 3.9 Savings and transitional arrangements ......................................................................... 14 3.10 Pooling of contributions ................................................................................................ 14 3.11 Monitoring and review ................................................................................................. 14

Tables Table 1-1: Yass Valley heavy haulage contribution application and rate ............................................................... 5 Table 3-1: Formula and calculation of heavy haulage rate .................................................................................. 10 Table 3-2: Heavy haulage contribution rates across New South Wales ............................................................... 11 Table 3-3: Method to derive default contribution rates ...................................................................................... 12 Table 3-4: Example of vehicle ESAs and rates per tonne ..................................................................................... 12

Yass Valley Heavy Haulage Contributions Plan 2018 3 of 15

Quality Assurance

Report Contacts

William Tzaikos

Consultant B. Env (UniMelb)

Supervisor

Elizabeth Griffin

Principal BA (Geography), M.UrbPl, MPIA

[email protected]

Quality Control

Version Date Prepared by Reviewed by

Draft One 27.07.2018 Gibran Khouri Alex Hrelja

Draft Two 22.10.2018 William Tzaikos Elizabeth Griffin

Reviewer

Signature Dated 22/10/18

Report Details

File Name Draft Heavy Haulage Contributions Plan 2018

Job Number P18036

mailto:[email protected]


SUMMARY 1.0

1.1 Definitions used in this Plan

In this Plan, the following phrases have the following meanings:

EP&A Act – means the Environmental Planning and Assessment Act 1979

EP&A Regulation – means the Environmental Planning and Assessment Regulation 2000

The Plan - Yass Valley Heavy Haulage Contributions Plan 2018

1.2 Background to the Plan

The Yass Valley Heavy Haulage Contributions Plan 2018 (‘the Plan’) was adopted on [xxxxx] and commences [xxxxx] 2018. It was prepared under Section 7.11 of the Environmental Planning and Assessment Act 1979 (‘the Act’).

The Plan has been prepared to specifically address the cost of Council maintaining haulage routes.

Subdivision 3 of Division 7.11 of Part 7 of the Environmental Planning and Assessment Act 1979 authorises Council to require a section 7.11 contribution to be made towards the provision, extension or augmentation of local infrastructure required as a consequence of development.

The Plan is largely based on the work undertaken by Yass Valley Council in their preparation of the former Yass Valley Heavy Haulage Section 94 Plan (2006).


1.3 Contribution rate

Table 1-1 nominates the contribution rate under the Plan.

The Plan authorises Yass Valley Council as consent authority to impose a contribution rate on relevant developments for periodic payments based on heavy haulage demand loading on roads and, if relevant, a one-off contribution for the provision of development specific road works (new or upgrade works to roads).

Where periodic payments are required, relevant developments will make payments to Council based on tonnage returns in the preceding quarter.

Table 1-1: Yass Valley heavy haulage contribution application and rate

Application of the Plan Description

Land to which the Plan applies All land in Yass Valley Local Government Area.

Development type

Development that generates heavy vehicle trip generation and the need for additional or brought-forward maintenance of roads and/or new and/or upgraded roads (unless exempt). This may include development of mines, extractive industries, asphalt processing, concrete batching, earth works (both excavation and filling deposition) and other similar ‘heavy haulage’ development types.

Contribution type Contribution rate

Periodic payment method: $0.045 per tonne per 1 kilometre of sealed road

$0.1125 per tonne per 1 kilometre of unsealed road

One-off payment: A development specific condition to pay for road works (new or upgraded road works) that directly relate to the need of the proposed development. Works and cost to be determined by Council.

Land and/or works in-kind: At the discretion of Council


ADMINISTRATION AND OPERATION OF THE 2.0PLAN

2.1 Name of the Plan

This Plan is called Yass Valley Heavy Haulage Contributions Plan 2018.

2.2 Commencement of the Plan

The Plan has been prepared in accordance with Section 7.11 of the EP&A Act and the EP&A Regulation. The Plan was adopted on [xxxxx] and commences [xxxxxx].

2.3 Area to which the Plan applies

The Plan applies to all land in the Yass Valley Local Government Area.

Specifically, the Plan applies to development that generates heavy vehicle trip generation on Council roads across all land in Yass Valley Local Government Area. This may include earthworks (excavation and fill), development of mines, extractive industries and other similar ‘heavy haulage’ development types.

2.4 Purpose of the Plan

The purpose of the Plan is to provide a framework for the determination and collection of developer contributions towards the maintenance, upgrade and construction of roads utilised by heavy vehicles.

The Plan authorises the imposition of a condition on certain development consents and complying development certificates requiring the payment of a contribution pursuant to section 7.11 of the EP&A Act. The contributions are intended to be levied upon developments that generate heavy vehicle traffic.

Contributions will be sought where a nexus can be established between development that generates heavy vehicle trip generation and the need for additional or brought-forward maintenance of roads and/or construction of new or upgraded roads (unless exemptions apply).

The Plan:

Details of public amenities and services that will be provided by Council

Provides a schedule of contribution rates for development that is subject to the Plan

Explains how the contribution rates have been calculated

Documents administrative matters on how and when development proponents will meet contribution obligations.


2.5 Statutory basis of the Plan

Section 7.11 of the Environmental Planning and Assessment Act 1979 provides as follows:

7.11 Contribution towards provision or improvement of amenities or services

1. If a consent authority is satisfied that development for which development consent is sought will or is likely to require the provision of or increase the demand for public amenities and public services within the area, the consent authority may grant the development consent subject to a condition requiring:

a. the dedication of land free of cost, or

b. the payment of a monetary contribution,

or both.

2. A condition referred to in subsection (1) may be imposed only to require a reasonable dedication or contribution for the provision, extension or augmentation of the public amenities and public services concerned.

3. If:

a. a consent authority has, at any time, whether before or after the date of commencement of this Part, provided public amenities or public services within the area in preparation for or to facilitate the carrying out of development in the area, and

b. development for which development consent is sought will, if carried out, benefit from the provision of those public amenities or public services,

the consent authority may grant the development consent subject to a condition requiring the payment of a monetary contribution towards recoupment of the cost of providing the public amenities or public services (being the cost as indexed in accordance with the regulations).

4. A condition referred to in subsection (3) may be imposed only to require a reasonable contribution towards recoupment of the cost concerned.

5. The consent authority may accept:

a. the dedication of land in part or full satisfaction of a condition imposed in accordance with subsection (3), or

b. the provision of a material public benefit (other than the dedication of land or the payment of a monetary contribution) in part or full satisfaction of a condition imposed in accordance with subsection (1) or (3).

6. If a consent authority proposes to impose a condition in accordance with subsection (1) or (3) in respect of development, the consent authority must take into consideration any land, money or other material public benefit that the applicant has elsewhere dedicated or provided free of cost within the area (or any adjoining area) or previously paid to the consent authority, other than:

a. a benefit provided as a condition of the grant of development consent under this Act, or

b. a benefit excluded from consideration under section 7.4 (6).

7. If:

a. a condition imposed under subsection (1) or (3) in relation to development has been complied with, and

b. a public authority would, but for this subsection, be entitled under any other Act to require, in relation to or in connection with that development, a dedication of land or payment of money in respect of the provision of public amenities or public services or both,


then, despite that other Act, compliance with the condition referred to in paragraph (a) is taken to have satisfied the requirement referred to in paragraph (b) to the extent of the value (determined, if the regulations so provide, in accordance with the regulations) of the land dedicated or the amount of money paid in compliance with the condition.1

2.6 Relationship with other contributions plans

The Plan repeals the following contributions plans:

Yass Valley Council Heavy Haulage Section 94 Contributions Plan 2006

Where a development application includes earthworks it may be subject to the Yass Council Development Contributions Plan 7.12 as well as the Yass Council Heavy Haulage Contributions Plan 7.11. In these instances earthworks should be excluded from the costs under the Yass Council Development Contributions Plan S.7.11. Exemptions to developer contributions towards heavy haulage costs on top of levies under Yass Council Development Contributions Plan S.7.12 are at the discretion of Council.

2.7 Development exempt from the contributions Plan

The following development is exempt from paying a contribution under the Plan:

Any development excluded from paying a contribution by a Ministerial direction under Section 7.17 – ‘Directions by Minister’ of the EP&A Act

Development undertaken by or on behalf of Council for the purposes of community facilities or infrastructure.

_________________________ 1 Extract from Environmental Planning and Assessment Act (current version for 1 July 2018)


HEAVY HAULAGE 3.0

This Section provides the framework for the efficient and equitable determination and collection of developer contributions towards the maintenance, upgrade and construction of roads utilised by heavy vehicles associated with developments which generate a significant amount of heavy vehicle movements.

These contributions are intended to be levied upon development which generate heavy vehicle traffic, and will require road maintenance, upgrade or construction with associated works. Such works would be required to ensure adequate maintenance, safety, efficiency, amenity and environmental standards are achieved on existing roads, and to ensure that upgraded and new road networks, are constructed to a standard commensurate with the heavy vehicle usage generated by the development.

For the purpose of the Plan, the contributions for “roads” is deemed to include all necessary works of carriageway construction and maintenance, including pavement, associated culverts, bridges, drainage, signs, line-marking, noise attenuation measures, landscaping, safety and traffic management measures.

3.1 Nexus between development and works

Developments that generate heavy vehicle movements on Council’s road network lead to an increased burden on the road system, and can create the need for new or upgraded roadworks to be constructed.

An increase in heavy vehicle usage on existing roads results in a reduction of road life. This necessitates increased construction and maintenance work beyond typical standards.

The combination of the additional axle loadings (i.e. number of wheels on the road surface) and the payloads (i.e. gross transport weight of loaded vehicle) generated by heavy vehicles have an impact on the rate of deterioration of the road. As such, the Plan takes into account these factors.

Furthermore, an increase of heavy vehicles using the road system has an impact on road safety and amenity, and may require additional works to be undertaken to ensure that roads are constructed to an acceptable standard.

For the purposes of the Plan, the land over which contributions will be calculated is to be determined on a development specific basis, thereby making allowance for the location of developments and the actual roads utilised by developments and the estimated impact of developments.

Council has determined that developments that generate significant truck movements on Council roads will reduce the expected life of the subject roads and as such should make a monetary contribution towards the additional and/or brought-forward maintenance cost and any specific new construction and upgrade costs that relate to the development.

3.2 Schedule of works (public amenities and services)

The works (public amenities and services) that are covered by the Plan include pavement damage to Council roads caused by mines, extractive industries and other ‘heavy haulage’ developments.

The works do not include private roads within the Council area or national highways or state roads within the Council area.

As heavy haulage developments can occur anywhere in the Council area, it is not possible to identify up-front all roads that are subject to the Plan. These will be assessed by Council at the time of development application.

Monies received under the Plan will be allocated to the haul roads that developments have contributed towards.


Council, at its discretion, may accept the provision of land and/or works in lieu of monetary payments by development proponents to satisfy the required road works.

3.3 Calculation of the contribution rate

The calculation method for the Plan is derived by Yass Valley Council’s engineering department and is based on the following assumptions:

Annual average daily traffic (AADT) = 200 vehicles

Percentage of trucks = 10 per cent

Truck payload = 30 tonnes

k = length of road maintained - 1 kilometre

E = estimates trucks generated by development = one truck movement per day.

T= estimated truck movements after the development = 20 + 1 = 21 truck movements per day.

M = maintenance = $10k pa = $27.40 per day

The formula and calculation of the contribution rate is detailed in Table 3-1.

Table 3-1: Formula and calculation of heavy haulage rate

Sealed roads

Contribution = (M x k) x (E / T)

= (27.4*1)*(1/21)

= $1.305 per truck per kilometre

= $0.045 per tonne of payload per kilometre for sealed roads OR $0.1125 per tonne of payload per km for unsealed roads

= 4.5¢ per tonne payload per kilometre travelled on Council’s sealed road network or 11.25¢ per tonne payload on Council' s unsealed road network*

*The rate for unsealed roads has been set at 2.5 times the sealed rate to reflect the much greater maintenance requirements which result from heavy haulage movements on unsealed roads.

Source: Yass Valley Council (2018)

In addition to the above, Council will assess whether a development requires the construction of specific roads or road upgrade works based on the specific needs and demands of the development. This would be assessed on a case by case basis by Council.

In each case (i.e. periodic or one-off payment), a sufficient nexus must be established between the new development and works that would reasonably be expected to be undertaken by the development to cater for traffic that is generated.

Any estimate of the volume of material to be hauled must be accompanied by the respective calculation.

Deposition of fill in excess of 500 cubic metres on a property will require a volumetric survey to be undertaken at commencement and upon completion, or weighbridge tickets confirming truck configuration and payload.


3.4 Benchmark contribution rates

Table 3-2 provides a comparison of haulage rates across NSW.

Table 3-2: Heavy haulage contribution rates across New South Wales

Contributions plan Rate per tonne of hauled material per kilometre of haul road

Rate per equivalent standard axle (ESA) per kilometre of haul road

Goulburn Mulwaree Section 94 Development Contributions Plan 2009 $0.0462 $0.231

Dungog Shire Council Draft Section 94 Contributions Plan For Heavy Haulage Generated By Extractive Industries 2017

Split rate: Rural Sub-Arterial $0.054 Rural Local $0.212

Split rate: Rural Sub-Arterial $0.19 Rural Local $0.75

Narrabri Shire Section 94 Contributions Plan 2016 $0.053 $0.31

Ballina Shire Heavy Haulage Contributions Plan 2011 $0.053 $0.31

Source: Current and draft contribution plans from Goulburn-Mulwaree, Dungog, Narrabri and Ballina Councils

An example of a method used to derive the contribution rates in other regional NSW council heavy haulage contribution plans is shown in:

Ballina Shire Heavy Haulage Contributions Plan 2011 (Ballina Shire Council, October 2011); and

Narrabri Shire Section 94 Contributions Plan 2016 (GLN Planning, February 2017).

The approach used in those plans generates similar results to the proposed Yass Valley Council rate on a per tonne per kilometre basis.

The method for periodic payment in the Ballina and Narrabri plans is based on the estimated loss in road life caused by heavy haulage traffic.

The first step is to estimate the cost of a road lane per kilometre. The cost has two components, being road construction (which is assumed to last for 20 years) and the spay-seal (which is reapplied at the mid-point of a road’s useful life).

The cost is divided by the amount of traffic that the road can take over its useful life, which is measured by the number of equivalent standard axles (ESAs) for the typical vehicle.

The cost of the road per ESA is estimated at 31 cents per ESA per kilometre for the typical vehicle (derived by dividing the cost of the road by ESAs).

This provides a contribution rate option for Council to apply where relevant.

The typical vehicle’s ESA varies and depends on the size and weight of the vehicle. For the example contribution plans, the typical vehicle is assumed to have 2.6 ESAs. This generally reflects a four axle vehicle.

The cost of the road per typical vehicle is derived by multiplying the 31 cents by number of ESAs, which generates a cost of 79 cents per typical vehicle.

A per tonne contribution rate is estimated at 5.3 cents per tonne as the default rate.

This is derived by assuming the typical weight of vehicles is 15 tonnes (i.e. 79 cents divided by 15).


Table 3-3: Method to derive default contribution rates

Road Design Life (1 Kilometre) Cost Equivalent standard

axle (ESA) Years Cost / ESA

Pavement $200,000 873,743 20 $0.23

Pavement Spray-Seal $20,000 262,795 10 $0.08

Total Cost/ ESA $0.31

Typical Vehicle ESA 2.6

Cost per Typical Vehicle $0.79

Typical Vehicle Tonnes 15

Cost per Tonne $0.053

Source: Derived from Narrabri Shire Section 94 Contributions Plan 2016 (GLN Planning, February 2017)

The Yass Valley Council rate at 4.5 cents per tonne per kilometre for sealed roads would be generated using the method shown above but using 2.2 typical ESAs instead of 2.6.

For context purposes, the table below shows the typical range of vehicle ESAs and the resultant rates that would apply based on a 15 tonne average.

Table 3-4: Example of vehicle ESAs and rates per tonne

Vehicle Class Vehicle Type ESA per Vehicle Cost per Typical

Vehicle

Assessed Vehicle Tonnes

(15 tonnes)

1 Light vehicle 0.0 Nil N/A

2 Light vehicle towing 0.0 Nil N/A

3 Two axle heavy vehicle 1.2 - -

4 Three axle heavy vehicle 1.6 $0.488 $0.033

5 Four axle heavy vehicle 2.2 $0.671 $0.045

6 Three axle articulated vehicle 1.8 $0.549 $0.037

7 Four axle articulated vehicle 2.2 $0.671 $0.045

8 Five axle articulated vehicle 2.8 $0.854 $0.057

9 Six axle articulated vehicle 2.4 $0.732 $0.049

10-13 Not applicable within Yass Valley N/A N/A N/A

Source: Yass Valley Council Heavy Haulage Section 94 Contributions Plan 2006

3.5 Application of periodic contribution rates to development

The process for calculating and collecting contributions will generally be as follows:

Identify the length of Council roads that the development will use for heavy haulage purposes

Calculate the required periodic payment using the contribution rates shown in the Plan; that is: at per ESA per kilometre or rate per tonne per kilometre

Assess whether any additional road construction or upgrade works are required to meet the specific needs of the development; if so, include a condition that the development pay for or deliver such works.


Example1: An example of the periodic payment calculation is shown below (using 2018 dollars):

An extractive industry development will utilise 10 kilometres of Council sealed roads for heavy haulage purposes

The development is estimated to generate 10,000 tonnes over a contribution period

10 kilometres x $0.045 per tonne per kilometre for sealed road = 0.45 cents per tonne of haulage material

After the development has assembled verified data on tonnes hauled on Council roads, to the satisfaction of Council (see method and timing of payments below), a final payment calculation is made as follows:

o 0.45 cents per tonne x 10,000 tonnes of haulage material = contribution of $4,500.

Example 2: An example of the periodic payment calculation is shown below (using 2018 dollars):

A development requiring fill deposition will utilise 5 kilometres of Council roads for heavy haulage purposes

The development is estimated to generate 5,000 tonnes over a contribution period

5 kilometres x $0.045 cents per tonne per kilometre for sealed road = 0.225 cents per tonne of haulage material

After the development has assembled verified data on tonnes hauled on Council roads, to the satisfaction of Council (see method and timing of payments below), a final payment calculation is made as follows:

o 0.225 cents per tonne x 5,000 tonnes of haulage material = contribution of $1,125.

3.6 Indexation of periodic payments

The periodic contribution rates presented in the Plan relate to June 2018 dollars.

The contribution rates will be adjusted annually to reflect annual variations to the Consumer Price Index (CPI) for Sydney as published by the Australian Statistician. The current indexed rate will be included in Council's annual Fees and Charges Schedule.

3.7 Method and timing of payments

Contributions for the maintenance and/or construction of roads utilised by development requiring heavy vehicle haulage are to be levied in accordance with the Plan.

The amount of development contribution shall be calculated on the basis of the adopted rate at the time of payment of the contribution, and any consent issued requiring the application of the Plan shall contain appropriate conditions stating the timing, form and amount of payment to be made.

Generally, the timing of the payment of contributions will be as follows:

Contribution for maintenance works: will be determined and collected on a quarterly or annual basis (i.e. 3 or 12 months) at the discretion of Council - based on the submission to Council of returns calculated from weighbridge dockets or other suitable records for the applicable period, from the time the consent becomes operational, and shall be collected for every period or part thereof that the development is operating.


Construction and upgrade contributions: will be determined and collected (and works undertaken) prior to the issue of a Construction Certificate, except as otherwise determined by Council.

Due to the nature of heavy haulage related development, Council does not allow deferred periodic payment of contributions under this plan.

3.8 Goods and services tax (GST)

Payment of development contributions made under the EP&A Act is exempt from the Goods and Services Tax (GST).

All costs quoted in the Plan exclude GST.

3.9 Savings and transitional arrangements

A development application which has been submitted prior to the adoption of the Plan but not determined shall be determined in accordance with the provisions of the Plan which applied at the date of determination of the application.

3.10 Pooling of contributions

The Plan expressly authorises monetary 7.11 contributions paid for different purposes to be pooled and applied (progressively or otherwise) for those purposes.

3.11 Monitoring and review

The Plan will be subject to regular monitoring and review by Council.

This will occur at least every 5 years to ensure that anticipated costs, development expectations and contribution rates are generally accurate.

The Plan should be revised and updated when deemed necessary.


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