The City of Parramatta (Outside CBD) Development Contributions Plan was endorsed at Council’s Meeting on Monday 12 July 2021. The plan will require that new developments in most areas of the Parramatta Local Government Area (LGA) must contribute money, land or both for local infrastructure.

The new plan replaces and consolidates the eight existing contributions frameworks and will apply to developments, including residential accommodation, mixed-use development, and tourist and visitor accommodation. A separate plan is being created for the Parramatta CBD.

Through the Parramatta (Outside CBD) Development Contributions Plan, Council will be able to generate approximately $1.24 billion in developer contributions for infrastructure in the City of Parramatta over the next 20 years. The document outlines the circumstances in which a contribution is required, what kind of developments it applies to, and how the contribution is calculated.

These development contributions will help fund local infrastructure including:

  1. Open space and recreation facilities, such as parks and indoor sports courts
  2. Community facilities, such as libraries or community centres
  3. Traffic and transport works, such as upgraded local roads, pedestrian safety and traffic calming work

The Works Map below lists the works proposed and where the work would be located. The Works Map can also be accessed here.

Extensions and replacement homes are exempt from paying contributions under the plan, while granny flats are eligible for a 50 per cent discount.

Works map


Public exhibition concluded

The Draft City of Parramatta (Outside CBD) Development Contributions Plan 2021 concluded at 5pm on Friday 16 April 2021. The public exhibition materials are all available for viewing in the 'Resources' section of this page.

Frequently asked questions

Development contributions plans enable councils to charge fees on new development in order to help fund new and upgraded infrastructure which will be required as a result of additional demand coming from more residents, workers and visitors.

Council forecasts that the population will grow in the area outside the Parramatta CBD and Sydney Olympic Park by approximately 166,839 new residents and 33,131 new workers between 2021 and 2041. This is a comparatively high rate of growth compared to other council areas in NSW. This new population will use local infrastructure and contribute to demand for its use. The Draft Plan takes into consideration population projections, infrastructure needs and capital works priorities as identified in current Council strategies and plans.

As a result of NSW Government changes to council boundaries in May 2016, nine separate development contributions plans currently apply to areas in the Local Government Area (LGA) outside the Parramatta CBD and Sydney Olympic Park. There are differences between these existing plans with how contributions are levied, and some plans are more than 10 years old. The preparation of the Draft Plan is a key component of the “Harmonisation Project”, which also seeks to create a single consolidated local environmental plan and development control plan for the LGA.

The Draft Plan ensures transparency and accountability for the community, developers and Council about the need to collect contributions for infrastructure and how Council will use the contributions.

The Draft Plan applies to all the land within the City of Parramatta local government area except land located within the Parramatta CBD and Sydney Olympic Park. See map below.

In general, the Draft Plan will apply to all development that will create additional demand for new local infrastructure, including residential development, mixed use development and tourist and visitor accommodation. Section 2.1 of the Draft Plan explains the development types to which the Draft Plan applies.

Council will allocate contributions to local infrastructure in accordance with the works program in Appendix F of the Draft Plan. Council will ‘pool’ contributions within each infrastructure category so it can deliver the works in an orderly and timely manner and help meet the infrastructure demand of the incoming development and expected population growth.

Local infrastructure to be provided by contributions received under the Draft Plan includes:

  • Open space and recreation, including new and upgraded parks, outdoor playing fields, playgrounds and indoor sports courts.
  • Community facilities, such as libraries, multi-purpose hubs, neighbourhood centres and aquatic facilities.
  • Traffic and transport works, including pedestrian and traffic calming works, cycling connectivity works, intersection and traffic signal upgrades and new and upgraded local roads.
  • The Environmental Planning & Assessment Act 1979 (the Act) allows the following approaches to collect local infrastructure contributions:

  • Section 7.11 - Contributions are based on population projections and require residents, workers and visitors to contribute to local infrastructure needs in an area.
  • Section 7.12 - Levies are based on fixed percentages applied to the estimated cost of works.
  • The Draft Plan has been prepared under the provisions of Section 7.11 of the Act and will allow consent authorities including Council and private certifiers to levy a development contribution when a development consent or complying development certificate is issued.

    The Draft Plan proposes to exempt home renovations, including extensions (such as an additional level or bedroom) to existing homes and demolition of an existing dwelling and construction of a replacement single dwelling (whether of the same size or larger). A 50% discount is also proposed for secondary dwellings (also known as granny flats).

    Development contributions are calculated based on the cost of net increase of new residents, workers and visitors generated by new development. Section 2.1 of the Draft Plan explains in further detail how a contribution is levied.

    Under the Draft Plan’s proposed transitional provisions, the new contribution rates will only apply to development applications lodged after the Draft Plan’s commencement date, but not before. This means existing development applications are not affected by any changes to development contributions.

    Refer to Section 2.6 of the Draft Plan, ‘Obligations for Accredited Certifiers’ for details.

    Applicants must pay their contribution before issue of a construction certificate associated with a development application or prior to commencing the complying development works.

    The Draft Plan was on public exhibition from Wednesday 17 March 2021 until 5pm on Friday 16 April 2021. The Draft Plan will come into effect following Council endorsement.