Monday, June 8, 2009

Under scrutiny

When councils apply for exemptions they may receive a closer scrutiny than they expected. A Sydney council has given new meaning to the term "late library fees", slugging new residents for the cost of land it bought nearly a century ago for a public library. New landowners are also charged retrospective levies to pay for a 1928 scout hall in Longueville and a bowling club in Lane Cove built in 1930.

The details came to light in a review of councils that wanted to exceed a new $20,000 per lot cap on levies. Of 11 councils included in the first stage of the review, Lane Cove Council was the only one blocked from charging over the threshold, receiving a ticking off for its practices from the Planning Minister, Kristina Keneally.

"This is an inappropriate use of infrastructure contributions and may stifle development in the area," a media release issued by Ms Keneally's office said. Nearly 90 per cent of the contribution levied in Lane Cove was based on recouping the cost of providing public amenities and services dating back 90 years. This equated to nearly $6000 for each new resident.

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