What is the Development Contributions Plan?
The Development Contributions Plan (DCP) is a levy for developments that are proposing to:
- Increase the number of dwellings on a site, and/or
- Increase the retail, commercial or industrial floor area on a site
Yarra Council has introduced the DCP to help provide the essential infrastructure needed to meet the demand of population growth as a result of new development.
The Yarra DCP commenced on 1 February 2021, and is paid directly to Yarra Council.
How is the Development Contributions Plan used?
The DCP will help to fund of a range of essential local infrastructure associated with new developments. Yarra will fund the balance of the cost.
There are two parts to the DCP levy
1. The Development Infrastructure Levy (DIL) applies to all residential, retail, commercial and industrial developments and helps to fund projects such as:
- Cycling infrastructure
- Public realm improvements
2. The Community Infrastructure Levy (CIL) only applies to residential development and contributes to funding projects including:
- Child care centres
- Maternal and child health centres
- Recreation and sporting facilities
- Neighbourhood houses
- Public toilets
- Shared community facilities
How is the DCP levy calculated?
The levy amount is based on each of the following that apply to that development:
- The proposed increase in the number of dwellings on a site
- The proposed increase in retail, commercial and industrial floor area
Mixed-use developments must pay the associated DCP levy for each component of the development.
The levy depends on which charge area the development is within. See a map of the charge areas (543KB, PDF).
Levy rates for the 2020/21 financial year
- Residential DCP levy rates
- Retail DCP levy rates
- Commercial DCP levy rates
- Industrial DCP levy rates
Development contribution rates are adjusted annually on or about 1 August each year to reflect the annual rise or fall in the Consumer Price Index (CPI).
How will I know the levy amount that I have to pay?
Planning permits for applicable developments will be issued with a condition specifying that the levy must be paid.
We will send an invoice confirming the levy amount (including breakdown into DIL and CIL parts as applicable) to planning permit applicants when development plans are endorsed.
The DCP levies will be indexed on 1 August annually. DCP invoices that are outstanding at 1 August each year will be cancelled and re-issued based on the new levy rates to reflect the annual rate adjustments.
How do I pay the levy?
From Monday 1 February 2021, you can pay the levy in a number of ways:
- In person at one of our customer service centres
- Online through our services portal
How was the DCP implemented?
The DCP became part of the Yarra Planning Scheme via Amendment C238, which was published in the Victorian Government Gazette on 1 February 2021 and came into effect on that date.
See Amendment C238 Development Contributions Plan for more information on the Yarra DCP. The amendment also identifies the relevant legislation.
You can also email us at firstname.lastname@example.org or contact Yarra Council’s DCP Officer on 03 9205 5555.