Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011

No. 31 of 2011

table of provisions

SectionPage

SectionPage

Part 1—Preliminary

1Purposes

2Commencement

3Principal Act

Part 2—Amendments to the Planning and Environment Act 1987

4Part 9B definitions

5Contribution area

6Circumstances where GAIC not imposed

7Persons liable to pay GAIC

8When and to whom the GAIC is payable

9New Subdivision 2A of Division 2 of Part 9B inserted

Subdivision 2A—Work-in-kind agreements

201SLBMinister may enter into agreements

201SLCMatters to be included in a work-in-kind agreement

201SLDWork-in-kind agreement may contain restriction on land dealings

201SLECopy of work-in-kind agreement must be given to Commissionerand Growth Areas Authority

201SLFAmendment of work-in-kind agreement

201SLGEnding of work-in-kind agreement

201SLHWork-in-kind agreements to be recorded by
Registrar of Titles

201SLIRestrictions on dealings with land

201SLJEntering into a work-in-kind agreement does not discharge GAIC

201SLKPerson must notify the Growth Areas Authority of performance of agreement

201SLLGrowth Areas Authority must determine whether agreement has been performed

201SLMPerformance of work-in-kind agreement taken to be payment of GAIC

201SLNPerson in default if work-in-kind agreement not performed by due date

10Person may elect to defer payment of GAIC

11Liability to pay deferred GAIC in relation to subsequent
dutiable transactions

12Indexation and interest applying to deferred GAIC

13Interest payable on deferred GAIC

14Deferred GAIC and interest must be paid to Commissioner by due date

15Default on payment of deferred GAIC

16Deferred GAIC becomes a charge on the land

17Approval by Minister of staged payment of GAIC for subdivisions or building works

18GAIC certificate

19Notice to Registrar regarding registration of subdivision or transfer of land

20Commissioner to pay GAIC into Consolidated Fund

21Section 201TE substituted

201TEGovernor in Council may grant reduction or
exemption of GAIC in exceptional circumstances

22Notice of determination of application

23Establishment of growth areas funds

24Application of Building New Communities Fund

25Department and Growth Areas Authority to report on GAIC
and growth area funds

26Section 218 substituted

218Transitional provisions—Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011

27Statute law revision amendments

Part 3—Amendments to Other Acts

Division 1—Amendment to Land Acquisition and Compensation
Act 1986

28Reservation or certification of land required before acquisition

Division 2—Amendments to Sale of Land Act 1962

29Statement of matters affecting land being sold

Part 4—Repeal of amending Act

30Repeal of amending Act

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Endnotes

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Victoria

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SectionPage

1

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Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011[†]

No. 31 of 2011

[Assented to 29 June 2011]

1

Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011
No. 31 of 2011

1

571007B.I-31/5/2011BILL LA INTRODUCTION 31/5/2011

Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011
No. 31 of 2011

The Parliament of Victoriaenacts:

1

571007B.I-31/5/2011BILL LA INTRODUCTION 31/5/2011

Part 4—Repeal of Amending Act

Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2011
No. 31 of 2011

Part 1—Preliminary

1Purposes

The purposes of this Actare—

(a)to amend the Planning and Environment Act 1987

(i) to provide that a person liable to pay a growth areas infrastructure contribution may enter into an agreement to provide land or works to meet that liability; and

(ii) to provide that a person liable to pay a growth areas infrastructure contribution in respect of certain types of contribution area land will be able to defer the payment of the whole of the contribution rather than only 70% of it; and

(iii) to make other consequential and miscellaneous changes to the growth areas infrastructure contribution scheme; and

(b)to make consequentialamendments to the Land Acquisition and Compensation Act 1986 and the Sale of Land Act 1962.

2Commencement

(1)This Act (other than section 6) comes into operation on the day after the day on which this Act receives the Royal Assent.

(2)Section 6 is taken to have come into operation on 1 July 2010.

3Principal Act

See:
Act No.
45/1987.
Reprint No. 9
as at
27 May 2010
and amending
Act Nos
23/2010 and 58/2010.
LawToday:
www.
legislation.
vic.gov.au

s. 2

In this Act, the Planning and Environment Act 1987 is called the Principal Act.

______

Part 2—Amendments to the Planning and Environment Act 1987

4Part 9B definitions

s. 4

(1)In section 201R of the Principal Act, in the definition of utility installation, for "sullage." substitute "sullage;".

(2) In section 201R of the Principal Act insert the following definitions—

"plan of subdivision has the same meaning as in section 3(1) of the Subdivision Act 1988;

work-in-kind agreement means an agreement entered into in accordance with Subdivision2A of Division 2 and includes that agreement as amended in accordance with that Subdivision.".

5Contribution area

For section 201RC(6) of the Principal Act substitute—

"(6)If type A land ceases to be in an urban development area, that land ceases to be in the contribution area.

(6A) If type B-1 land, type B-2 land or type C land ceases to be in an Urban Growth Zone, that land ceases to be in the contribution area.".

6Circumstances whereGAIC not imposed

For section 201SA(d)(ii) of the Principal Act substitute—

"(ii)the land or part—

(A)was specifiedas a lot having an area of 0·41 hectares or less in a plan of subdivision authorised by a planning permit referred to in section 201RB(d)(i) andregistration of the plan had taken effect before the time of the occurrence of the GAIC event; and

(B) is a lot having an area of 0·41 hectares or less at the time of the occurrence of the GAIC event; or

(iii)the land or part—

(A)was a lot created by an excluded subdivision of land referred to in section 201RF(f) or (g); and

(B)is a lot having an area of 0·41 hectares or less at the time of the occurrence of the GAIC event.".

7Persons liable to pay GAIC

s. 7

In the note at the foot of section 201SF(5) of the Principal Act, for "Subdivision 3 or 4" substitute "section 201SMAA or 201SRA".

8When and to whom the GAIC is payable

(1)In section 201SL(2) of the Principal Act, for "Ifliability" substitute "Subject to sections 201SMAA, 201SP and 201SS, if liability".

(2)After section 201SL(4) of the Principal Act insert—

"(5)Despite subsections (1) and (2), if an application is made under section 201TE, 201TF, 201TH or 201TI for a reduction of, or an exemption from, the whole or part of a person's liability to pay a growth areas infrastructure contribution, the contribution must be paid to the Commissioner by the later of the following—

(a)the day by which the contribution must be paid under subsection (1) or (2) (as the case requires);

(b)within 14 days after the person who made the application receives a notice under section 201TG or 201TK of the determination of the application.

Note

The period within which a growth areas infrastructure contribution must be paid can also be extended by the Growth Areas Infrastructure Contribution Hardship Relief Board under section 201TJ(4)(d).".

9New Subdivision 2A of Division 2 of Part 9B inserted

s. 9

After Subdivision 2 of Division 2 of Part 9B of the Principal Act insert—

"Subdivision 2A—Work-in-kind agreements

201SLBMinister may enter into agreements

(1)The Minister may, in accordance with this Subdivision, enter into an agreementwith a person for the provision by that person of land or works or a combination of land and works to meet the whole or part of that person's liability or expected liability to pay a growth areas infrastructure contribution (awork-in-kind agreement).

(2)A work-in-kind agreement may be entered into with other parties in addition tothe person liable to pay the growth areas infrastructure contribution.

Note

Other parties may include another Minister or a public authority or an owner of land affected by the work-in-kind agreement.

(3)The land or works to be provided under a work-in-kind agreement must be—

(a)situated in a growth area; and

(b) of a type that may be funded from the Growth Areas Public Transport Fund under section 201VA or from the Building New Communities Fund under section 201VB.

(4)A work-in-kind agreement relating to a growth areas infrastructure contribution must be entered into before the day on which the contribution is payable.

s. 9

(5)A work-in-kind agreement relating to a growth areas infrastructure contribution may be entered into whether or not the liability to pay the contribution arose before the commencement of this Subdivision.

(6)A work-in-kind agreement relating to a growth areas infrastructure contribution may be entered into in conjunction with the deferral of that contribution under Subdivision 3 or an approval for staged payment of that contribution under Subdivision 4.

(7) Before agreeing to enter into a work-in-kind agreement, the Minister must—

(a)consult with any other Minister that the Minister considers has a relevant interest in the subject matter of the agreement; and

(b)ifthe value of the work-in-kind agreement (within the meaning of section 201SLC(1)(e)) exceeds $2million, obtain the approval of the Treasurer.

201SLCMatters to be included in a work-in-kind agreement

(1) A work-in-kind agreement must include the following matters—

(a)a description of any works to be carried out under the agreement;

(b)a description of the land on which any works are to be carried out under the agreement;

s. 9

(c) a description of any land to be transferred under the agreement;

(d) thedue date by which the agreement or any stage of the agreement is to be performed;

(e) the agreed value of any land to be transferred under the agreement or the agreed value of any works to be carried out under the agreement or the agreed value of the combination of both of those things (as the case requires) (the value of the work-in-kind agreement);

(f) themethod or methods for calculating the value of works to be carried out under the agreementif they are only partly carried out;

(g) dispute resolution procedures;

(h)any other matters that the Minister thinks appropriate.

(2) A work-in-kind agreement may include provisions setting out the circumstances in which the agreement is ended wholly or as to any part of the land affected by the agreement.

201SLDWork-in-kind agreement may contain restriction on land dealings

(1)A work-in-kind agreement may contain a term that restricts a person,who has entered into the agreement to meet a liability to pay a growth areas infrastructure contributionor another person who is a party to the agreement,from anydealing or dealingswith the followinglandunless the person has obtained the consent of the Minister—

(a) landthat is to be transferred under the agreement;

s. 9

(b) landon which works are to be carried out under the agreement (other than Crown land);

(c) the whole or part of the landin respect of which the growth areas infrastructure contribution is imposed.

(2)In this section, dealing, in relation to land, includesentering into any sale, transaction or arrangement, or obtaining or granting anylease, licence or approval, with respect to the land, or making any improvements of a durable nature to the land, but does not include any of the following—

(a) asale of any of the land to the person to whom the land is to be transferred under the work-in-kind agreement;

(b)any approvals relating to a plan of subdivision of the land to enable a sale of land for the purposes of paragraph(a);

(c) any works required to be carried out on the land under the work-in-kind agreement or approvals relating to those works;

(d) any approvals relating to the plan of subdivision of the land or building works to be carried out on the land in respect of which the growth areas infrastructure contribution is imposed;

(e) the discharging of the whole or any part of the land from any mortgage affecting that land.

201SLECopy of work-in-kind agreement must be given to Commissionerand Growth Areas Authority

s. 9

The Minister mustgive the Commissioner and the Growth Areas Authority a copy of a work-in-kind agreement entered into under this Subdivision.

201SLFAmendment of work-in-kind agreement

(1)The Minister may, with the agreement of the person who has entered into a work-in-kind agreement to meet a liability to pay a growth areas infrastructure contribution and all other parties to the agreement, amend the agreement to vary the terms of, or the parties to, the agreement.

(2)The Minister must give to the Commissioner and the Growth Areas Authority a copy of a work-in-kind agreement amended under subsection (1).

201SLG Ending of work-in-kind agreement

(1)The Minister may, with the agreement of the person who has entered into a work-in-kind agreement to meet a liability to pay a growth areas infrastructure contribution and all other parties to the agreement, end a work-in-kind agreement.

(2)The Minister must notify, in writing, the Commissioner and the Growth Areas Authority of the ending of a work-in-kind agreement under subsection (1).

(3) The power to end a work-in-kind agreement under subsection (1) is in addition to any other right that the Minister has to end a work-in-kind agreement in accordance with the agreement or at law.

201SLH Work-in-kind agreements to be recorded by Registrar of Titles

s. 9

(1)The Minister must apply to the Registrar of Titles to record a work-in-kind agreementon any folio of the Register relating to the following land (the land affected by the work-in-kind agreement)—

(a)land that is to be transferred under the agreement;

(b)land on which works are to be carried out under the agreement (other than Crown land);

(c)the whole or part of the land in respect of which the growth areas infrastructure contribution relating to the agreement is imposed.

(2)An application must—

(a)be in a form approved by the Registrar of Titles; and

(b)be accompanied by a copy of the work-in-kind agreement.

(3)The Registrar of Titles, on receiving an application that complies with subsection(2),may make a recording on each folio of the Register relating toland affected by the work-in-kind agreement.

(4) After the making of a recording in the Register—

s. 9

(a)the burden of any covenant in the work-in-kind agreement runs with the land affected by that burden; and

(b)theMinistermay enforce the covenant against any person deriving title from any person who entered into the covenant as if it were a restrictive covenant despite the fact that it may be positive in nature or that it is not for the benefit of any land of the Crown.

(5) The Minister must apply to the Registrar of Titles—

(a)if an amendment is made to the work-in-kind agreement, for the Registrar of Titles to remove the existing agreement from each folio of land on which the agreement is recorded and record the amended agreement on each folio of the Register relating to land affected by the work-in-kind agreement; or

(b)if a work-in-kind agreement is ended wholly or as to any part of the land, for the Registrar of Titles to, as appropriate, removein whole or in part the recording of the agreement from any folio of the Register on which the agreement is recorded.

(6)An application under subsection (5) must—

(a)be in a form approved by the Registrar of Titles; and

(b)in the case of a work-in-kind agreement that has been amended, be accompanied by a copy of the agreementin its amended form.

(7) The Registrar of Titles, on receiving an application that complies with subsection(6), may (as the case requires)—

(a)remove the existing agreement from each folio of land on which the agreement is recorded and record the amended agreement on each folio of the Register relating to land affected by the work-in-kind agreement; or

(b) as appropriate, remove in whole or in part the recording of the agreement from any folio of the Register on which the agreement is recorded.

201SLIRestrictions on dealings with land

s. 9

(1)A person,who is subject to a restriction on dealingwith land that has been specified in a work-in-kind agreement in accordance with section 201SLD, must not, without the consent of the Minister, enter into or effect such a dealingwith that land (within the meaning of section 201SLD) while the agreement is in force.

(2) Nothing in this section prevents—

(a)a mortgagee from exercising a power of foreclosure or sale in respect of the whole or any part of land that is subject to a restriction referred to in subsection(1); or

(b) an application to the Registrar of Titles for the registration of a charge in respect of unpaid tax (within the meaning of the Taxation Administration Act 1997) over the whole or any part of land that is subject to a restriction referred to in subsection(1).

201SLJEntering into a work-in-kind agreement does not discharge GAIC

s. 9

The entering into a work-in-kind agreement by a person to meet the whole or part of a liability to pay a growth areas infrastructure contribution does not discharge the person from that liability.

Note

It is not until the person performs their obligations in accordance with the work-in-kind agreement that the value of the land or works provided can be taken to be a payment towards the growth areas infrastructure contribution owed (see section 201SLM).

201SLK Person must notify the Growth Areas Authority of performance of agreement

A person who has entered into a work-in-kind agreement to meet a liability to pay a growth areas infrastructure contribution must, without delay, notify the Growth Areas Authority in writing of the following—

(a)the performance of the agreement;

(b)the performance of anystage of the agreement that must be performed by a due date specified in the agreement;

(c)if the agreement is not wholly performed by the due date for performance, how much of the agreement has been performed.

201SLLGrowth Areas Authority must determine whether agreement has been performed

(1)The Growth Areas Authority acting on behalf of the Minister must, after receiving notification under section 201SLK, determine the following—

(a) whether a work-in-kind agreement or a stage of a work-in-kind agreement, which has an agreed value under the agreement, has been performed by the due date for performance;

(b)if a work-in-kind agreement has only been partly performed by the due date for performance or before it has been ended in accordance with section 201SLG(1), the value of the land or works provided in accordance with the agreement.

(2)The Growth Areas Authority must, without delay, notify the Commissioner in writing of any determination made under subsection(1).

201SLM Performance of work-in-kind agreement taken to be payment of GAIC

s. 9

(1)A person who has entered into a work-in-kind agreement to meet the whole or part of a liability to pay a growth areas infrastructure contribution is taken to have paid to the Commissioner an amount of that contribution that is equivalent to—

(a)if the agreement is wholly performed, the agreed value of the agreement; or

(b)if a stage of the agreement is wholly performed, the agreed value of that stage; or

(c)if the agreement is partly performed, the value of the land or works provided under the agreement as determined by the Growth Areas Authority.

(2)A person is taken to have paid an amount of a growth areas infrastructure contribution under subsection (1) at the time at which the Commissioner receives a notice from the Growth Areas Authority under section 201SLL(2) of its determination of the relevant matter referred to in subsection (1)(a), (b) or (c).

201SLN Person in default if work-in-kind agreement not performed by due date

s. 9

(1)If—

(a)a person liable to pay a growth areas infrastructure contribution has entered into a work-in-kind agreement to meet the whole or part of that liability and fails to performthatagreement or a stage of that agreementin accordance with the terms of the agreement by the due date for performance; and