Claims behind levy for charity disputed

Darryl Sycamore is annoyed about development contribution fees the Dunedin City Council has...
Darryl Sycamore is annoyed about development contribution fees the Dunedin City Council has charged Ōtepoti Dunedin Whānau Refuge. PHOTO: GREGOR RICHARDSON
A charity's chances of getting a discount on a bill exceeding $40,000 from the Dunedin City Council over converting a house into office space could hinge on expectations about traffic.

Offices for Ōtepoti Dunedin Whānau Refuge, in Abbotsford, have been assumed likely to generate a lot more traffic than housing would, but this is disputed.

Also a matter for debate is whether a residential classification should be applied, rather than commercial, although the property is not intended to operate as a safe house.

Ōtepoti Dunedin Whānau Refuge provides services to support women and children experiencing family violence.

The refuge made its case yesterday to a hearings committee for full remission of development contribution fees of $41,998 including GST.

The committee is also considering remitting part of the levy or rejecting the request.

It heard arguments from refuge advocate Darryl Sycamore, who is a planner for Terramark, which did not charge a fee for its involvement in the process.

Mr Sycamore said the dwelling required minor internal works for conversion to offices and getting a building consent led to the development contribution levy.

The space was described as seven habitable rooms and one ancillary unit and it would be used by 10-12 staff.

The development was assessed as creating additional demand on the transportation network equivalent to 20.75 household units.

"I cannot reconcile how a charity office can have the same effects on the transportation network of almost 21 homes," Mr Sycamore said.

The council’s methodology was explained in its report.

Its policy is based on averages for typical developments throughout the city and transportation demand is calculated differently for residential and commercial uses.

Commercial properties "do typically result in much higher trip generation", the report said.

The policy was based on theoretical demand, as it was not practical to calculate actual demand from every development.

Refuge manager Simone Waring told the hearing staff were out in the community for long periods in the day and they travelled to places such as Milton and Lawrence.

There were five vehicles.

Mr Sycamore said the primary purpose of the site was residential and the levy should be applied on this basis.

The council report said offices were activities included in the commercial land use category.

Council development contributions officer Galina Reinhardt said the commercial classification was consistent with building consent documentation.

The initial assessment was for $52,866.88 including GST, and this was cut by more than $10,000 after a garage on the site was excluded from the calculation.

The hearing, in front of commissioner Ros Day-Cleavin and city councillors David Benson-Pope and Cherry Lucas, was adjourned.

grant.miller@odt.co.nz

 

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