The first and full-cost of replacing revenue from residential construction development levies with funding to local authorities
To ask the Minister for Housing; Planning and Local Government the first and full-cost of replacing revenue from residential construction development levies with funding to local authorities; and if he will make a statement on the matter.
With regard to development contributions, my role as Minister is generally to provide the necessary legislative and policy framework governing development contribution schemes operated by planning authorities. Under sections 48 and 49 of the Planning and Development Act 2000, as amended, planning authorities may levy development contributions. The basis for the determination of a development contribution is set out in a development contribution scheme adopted by the elected members as a reserved function.
Income from development contributions must be ring-fenced to pay for public infrastructure and facilities. Appendix 5 of the amalgamated Annual Financial Statements of local authorities show a total income of €237.4m for Development Contributions for the financial year ending 31/12/2018, which is the most recent year for which audited figures are available.
The Government introduced a special two-year time-limited residential development contribution rebate scheme in 2015 in respect of the functional areas of the four Dublin local authorities and the metropolitan area of Cork only. Rebate was paid in respect of 875 new homes under the scheme at a cost of €7.322m.
The full cost of applying a national waiver on residential development contribution levies is not available from local authorities AFS as the figures do not differentiate between levies collected from residential and non-residential development.
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