Draft Planning Agreement Policy (Amendment 2)

Project overview

The proposed draft Planning Agreement Policy (Amendment 2) seeks to update Council’s existing City of Parramatta Planning Agreements Policy (Amendment 1). Public exhibition of the draft policy provided an important opportunity for stakeholders including the community and the development industry to review the proposed provisions and provide feedback. This process helps to ensure the final policy is transparent, robust, and responsive to the needs and expectations of all stakeholders, while strengthening governance and maintaining public trust in Council’s planning system.

This Policy outlines Council’s approach to the negotiation and management of planning agreements when they are used in connection with planning proposals, development applications, or complying development certificates within the City of Parramatta Local Government Area (LGA) under the relevant legislation.

The Policy applies to all planning agreements proposed or entered into by the City of Parramatta Council (“Council”) and applies to all land within the LGA, including land owned by Council. To the fullest extent possible, the Policy also applies to land outside the City of Parramatta LGA where a joint planning agreement is entered into between Council and another council or consent authority that applies in part to land outside the City of Parramatta LGA.

The updated draft Policy incorporates strengthened governance and probity measures, consistent with recommendations from the NSW Department of Planning, Housing and Infrastructure’s Planning Agreements Practice Note (May 2025). These updates position Parramatta’s framework as a robust and transparent model for the administration of planning agreements.

What are the aims of and main updates proposed to the draft Policy?

The updated draft Policy aims to provide a strengthened framework for negotiating, executing, and administering planning agreements in the City of Parramatta.

The draft Policy seeks to update Council’s existing Policy and introduces several key changes including:

  • The introduction of an Infrastructure Service Delivery Plan template to guide the identification and delivery of infrastructure through planning agreements.
  • The removal of the Land Application and Parramatta CBD Maps from Appendix A, as they are no longer required.
  • The deletion of references to the value sharing framework, as there is no value sharing mechanism under the Local Environmental Plan (LEP).
  • The removal of the clause relating to land value uplift to align with Council’s current policy position.
  • Expanded governance and probity measures to ensure the protection of the public interest and to prevent the misuse of planning agreements.
  • The inclusion of an Affordable Housing Contribution to support the delivery of affordable rental housing.
  • Additional detail on the procedures for negotiating planning agreements.
  • Updates to the clause regarding the registration of planning agreements and caveats to ensure public interests are appropriately protected.
  • A Capital Works Delivery section outlining detailed requirements where developers deliver public infrastructure under a planning agreement.

Submissions regarding the draft Planning Agreement Policy (Amendment 2) were invited until 5pm on Wednesday 20 May 2026. Thank you to everyone that had their say.

A report is now being prepared that will be presented to Council incorporating any public comment at a meeting in mid-2026, where the elected Councillors will be asked to adopt the final Policy. The Planning Agreement Policy (Amendment 2) will become effective once it is adopted by Council.

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