East Coast Gravel Pty Ltd v Brisbane City Council [2019] QPEC 15 [2019] QPELR 778
PLANNING AND ENVIRONMENT COURT
OF QUEENSLAND
CITATION: East Coast Gravel Pty Ltd v Brisbane City Council [2019]
QPEC 15
PARTIES: EAST COAST GRAVEL PTY LTD ACN 009 931 239
(appellant)
v
BRISBANE CITY COUNCIL
(respondent)
FILE NO/S: 961 of 2017
DIVISION: Planning and Environment
PROCEEDING: Appeal
ORIGINATING
COURT: Planning and Environment Court, Brisbane
DELIVERED ON: 5 April 2019
DELIVERED AT: Brisbane
HEARING DATE: 31 January and 1 February 2019 and further written
submissions received 15 February 2019
JUDGE: Kefford DCJ
ORDER: The appeal is dismissed.
CATCHWORDS: PLANNING AND ENVIRONMENT – APPEAL – where the
appellant filed an appeal against Council’s decision to refuse
a request to change a development approval – where the
appellant sought to change an infrastructure charges
condition to allow an offset against the transport
infrastructure charge in respect of provision of a bike path –
whether the proposed change is a permissible change –
whether the proposed change lies outside the scope of part 8
division 2 subdivision 1 of chapter 6 of the Sustainable
Planning Act 2009 – whether the change would require the
Council to enter an infrastructure agreement – whether in
exercise of the discretion the proposed change ought be
refused
LEGISLATION: Integrated Planning Act 1997 (Qld), s 3.5.14
Planning Act 2016 (Qld), s 311
Planning and Environment Court Act 2016 (Qld), s 76
Sustainable Planning Act 2009 (Qld), s 245, s 345, s 346,
s 347, s 361, s 367, s 374, s 375, s 461
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CASES: 48 Stuart Pty Ltd v Brisbane City Council [2016] QPEC 67;
[2017] QPELR 133, cited
Bayview Gardens Pty Ltd v Mulgrave Shire Council [1989] 1
Qd R 1, cited
Cooper Brookes (Woolongong) Pty Ltd v Federal
Commissioner of Taxation [1981] HCA 26; (1981) 147 CLR
297, cited
Harderan Pty Ltd v Logan City Council [1981] 1 Qd R 524,
cited
Hollis v Atherton Shire Council [2003] QSC 147; (2003) 128
LGERA 348, cited
Hymix Industries Pty Ltd v Alberton Investments Pty Ltd
[2001] QCA 334, cited
Lake Maroona v Gladstone Regional Council [2017] QPEC
25; (2017) 224 LGERA 166, cited
Lloyd v Robinson [1962] HCA 36; (1962) 107 CLR 142,
cited
Minister for Immigration & Citizenship v SZJGV [2009]
HCA 40; (2009) 238 CLR 642, cited
Peet Flagstone City Pty Ltd v Logan City Council [2014]
QCA 210, cited
Pike v Tighe [2018] HCA 9, cited
Project Blue Sky Inc v Australian Broadcasting Authority
[1998] HCA 28; (1998) 194 CLR 355, cited
The Avenues Highfields Pty Ltd v Toowoomba Regional
Council [2017] QPEC 48; [2017] QPELR 1033, approved
Zappala Family Co Pty Ltd v Brisbane City Council & Ors
[2014] QCA 147; (2014) 201 LGERA 82; [2014] QPELR
686, applied
COUNSEL: A N Skoien and D Whitehouse for the appellant
D R Gore QC and M Batty for the respondent
SOLICITORS: Thomson Geer for the appellant
Brisbane City Legal Practice for the respondent
TABLE OF CONTENTS
Introduction .......................................................................................................................... 3
Is the proposed change outside the scope of the legislation? ............................................... 3
Is the proposed change a “permissible change”? ................................................................. 5
From whose perspective is likelihood of a submission to be judged? .............................. 5
Was a submission likely, given the submitter and the assessment manager are the same
entity? ............................................................................................................................... 6
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3
Was a submission likely having regard to the nature of the change? ............................... 7
The context in which the information request was made and the conditions imposed ..... 7
The basis for imposition of condition 35 .......................................................................... 9
Was a submission likely having regard to the provisions of the Infill Transport
Infrastructure Contributions Planning Scheme Policy? .................................................. 10
Conclusion regarding likelihood of a submission .......................................................... 12
Is the change sought within the power of the court? .......................................................... 13
Should the proposed change be approved? ........................................................................ 14
Conclusion .......................................................................................................................... 15
Introduction
[1] East Coast Gravel Pty Ltd is the beneficiary of a development approval given by
Brisbane City Council for land at 59 Wypama Road, Bald Hills. The approval was
given on 26 March 2010. It permitted East Coast Gravel to develop its rurally zoned
land for 76 residential lots, subject to conditions. Condition 9 required payment of
infrastructure charges. Condition 35 required construction of a bike path.
[2] East Coast Gravel acted on the development approval. It constructed the bike path
and paid the infrastructure charges. The 76 lots were created. They now contain
houses.
[3] After completing the development, East Coast Gravel requested the Council change
condition 9. It wants the transport infrastructure charge reduced because of the money
it spent building the bike path. The Council refused the request.
[4] The issues for me to decide are:
(a) whether the change requested by East Coast Gravel lies outside the intended
scope of the legislative provisions;
(b) whether the requested change is a “permissible change” under s 367 of the
Sustainable Planning Act 2009 (Qld);
(c) whether the court has the power to change the condition to compel the Council
to refund money collected for infrastructure; and
(d) if there is no legal impediment to approving the requested change, whether it
should be approved.
Is the proposed change outside the scope of the legislation?
[5] On 12 December 2016, East Coast Gravel wrote to the Council requesting a change
to its development approval.1 It acknowledged that “each of the approved 76 lots has
now been created, ‘plan sealing’ is currently underway and the approved lots will be
formally titled shortly”. It requested the Council amend condition 9. It was “seeking
an offset to the Transport Infrastructure Charge as fair compensation for the
significant cost of the public bike path.”
1 The correspondence was sent by its consultant.
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[6] Section 369 of the Sustainable Planning Act 2009 permits a person to request a
“permissible change” to a development approval.
[7] A proposed change to a development approval is a “permissible change” if the change
would not:
(a) result in a substantially different development; or
(b) if the application for the approval were remade including the change—
(i) require referral to additional concurrence agencies; or
(ii) for an approval for assessable development that previously did not
require impact assessment—require impact assessment; or
(c) for an approval for assessable development that previously required impact
assessment—be likely, in the responsible entity’s opinion, to cause a person to
make a properly made submission objecting to the proposed change, if the
circumstances allowed; or
(d) cause development to which the approval relates to include any prohibited
development.2
[8] The Council submits that East Coast Gravel’s request to change condition 9 of its
development approval is outside the scope of s 369 of the Sustainable Planning Act
2009. It says it is absurd to suggest that the legislature intended to allow a developer
to request to change a condition about infrastructure charges, for the purpose of
obtaining a refund of money spent complying with another condition, where the
development approval has been fully acted upon. The Council submits the legislature
would not intend to waste public funds by imposing an obligation on the local
government to consider such a request, or by conferring a subsequent right of appeal.
[9] The relevant starting point is the plain language of the legislation.
[10] There is no statutory timeframe or deadline for the making of a permissible change
request under s 369 of the Sustainable Planning Act 2009.3 There is also no statutory
provision that precludes the making of a permissible change request where the
approved development is complete or where there has already been compliance with
the conditions of the development approval.
[11] The Council does not contest these matters. It contends that a construction that
modifies the meaning of the provision is necessary to avoid a request that is intended
to ground a right of compensation against the Council. It says that a construction that
permits that type of request would be an irrational result.4 It submits that conditions
of a development approval are not a means by which obligations can be imposed on
a local government, or a means by which the applicant may obtain a right to recover
2 Sustainable Planning Act 2009, s 367.
3 Leaving aside that the legislation has now been repealed.
4 Cooper Brookes (Wollongong) Pty Ltd v Federal Commissioner of Taxation [1981] HCA 26; (1981)
147 CLR 297, 321-1 per Mason J; Project Blue Sky Inc v Australian Broadcasting Authority [1998]
HCA 28; (1998) 194 CLR 355, 384 [78]; Minister for Immigration & Citizenship v SZJGV [2009]
HCA 40; (2009) 238 CLR 642, 651-2 [9].
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compensation from a local government. If East Coast Gravel has any such right, it is
to be exercised in the civil courts.5
[12] The Council submits that the basic object of conditions is to impose obligations on
the beneficiary of the development approval. The statutory regimes that have
prevailed in Queensland for decades reflect this. For example, under the Sustainable
Planning Act 2009, the basic proposition that conditions impose obligations on the
applicant is reflected in the constraints on conditions,6 the right to make a written
representation to the assessment manager about a condition,7 and the right to appeal
against a condition.8 The notion that conditions “run with the land”, as reflected in
s 245 of the Sustainable Planning Act 2009, also proceeds on that basic premise.9
[13] I accept that conditions of a development approval are not an appropriate mechanism
to impose obligations on local government. Courts of high authority have recognised
that a condition of a development approval is the community price that a developer
must pay for that development approval.10 These matters may well weigh heavily in
determining whether to approve a request to change a condition. However, they do
not justify a construction of s 367 of the Sustainable Planning Act 2009 that strains
against the natural and ordinary meaning of the provision. I do not accept that the
proposed change is outside the scope of the legislation.
Is the proposed change a “permissible change”?
[14] The Council submits that the change is not a “permissible change” under s 367 of the
Sustainable Planning Act 2009. It says it is a change that would be likely to cause
the Council, in its capacity as an infrastructure provider, to make a properly made
submission objecting to the proposed change, if circumstances allowed.11
From whose perspective is likelihood of a submission to be judged?
[15] East Coast Gravel submits the likelihood of a submission is to be considered from the
perspective of a properly informed12 “hypothetical potential objector who must be
taken to be an average representative of the community … taking a rational view of
5 The Council submits this is demonstrated by the existence of cases such as Bayview Gardens Pty Ltd
v Mulgrave Shire Council [1989] 1 Qd R 1 and Hollis v Atherton Shire Council [2003] QSC 147;
(2003) 128 LGERA 348.
6 Sustainable Planning Act 2009, s 345, s 346, s 347.
7 Sustainable Planning Act 2009, s 361.
8 Sustainable Planning Act 2009, s 461(1)(b).
9 See, for example, Pike v Tighe [2018] HCA 9 at [35] where their Honours said that s 245(1) of the
Sustainable Planning Act 2009:
“… expressly gives the conditions of a development approval the character of personal obligations
capable of enduring in their effect beyond the completion of the development which the
development approval authorised. …”
10 Lloyd v Robinson [1962] HCA 36; (1962) 107 CLR 142, 154; Harderan Pty Ltd v Logan City
Council [1981] 1 Qd R 524, 528; Hymix Industries Pty Ltd v Alberton Investments Pty Ltd [2001]
QCA 334, [23]; Peet Flagstone City Pty Ltd v Logan City Council [2014] QCA 210, [28].
11 The parties agree that the changes proposed to the development approval would not result in
substantially different development, require referral to any additional concurrence agencies, or result
in prohibited development.
12 48 Stuart Pty Ltd v Brisbane City Council [2016] QPEC 67; [2017] QPELR 133, 140 [8] citing
Holcim (Australia) Pty Ltd v Bundaberg Regional Council (No 2) [2014] QPEC 29; [2014] QPELR
561, 568-9 [27]-[29].
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the matter”13. It submits that the Council, in its role as infrastructure provider, is not
a “hypothetical potential objector”, nor an “average representative of the
community”. It submits this is illustrated by the obvious difficulty that if the Council
were to make a submission in their capacity as infrastructure provider, it would be
providing the submission to itself, albeit as assessment manager.
[16] When considering the likelihood of an objection, it is appropriate to have regard to
the perspective of a “hypothetical potential objector who must be taken to be an
average representative of the community”, rather than that of an expert town
planner.14 However, there may be other legitimate perspectives, such as identifiable
individuals or to corporate entities or statutory bodies who might make an objection.
The question is whether anyone in the community rationally and reasonably would
object.
Was a submission likely, given the submitter and the assessment manager are the same
entity?
[17] East Coast Gravel submits the Court should not find that a submission by the Council
to itself was likely. It says such an outcome is not desirable practically or as a matter
of public policy because it would be near impossible to establish that the Council, as
assessment manager, has objectively considered the submission received.
[18] Further, East Coast Gravel says that a submission was not likely, even if it was
technically possible. It submits one must ask, “why would Council make such a
submission about an offset for the cost of the Bikepath?” It says the Council (as
infrastructure provider) would know that the Council (as assessment manager) would
be aware that infrastructure charges are collected to cover the cost of bike paths. As
such, East Coast Gravel says any submission would be pointless. East Coast Gravel
also points to the Council’s failure to adduce evidence of an intention to make a
submission or of similar submissions in other cases as demonstrating the speculative
nature of the Council’s position in this case.
[19] The test is an objective one. The absence of evidence from the Council on the issue
is not determinative.
[20] In this case, the relevant question is whether, viewed objectively, the proposed change
would be likely to cause an infrastructure provider to make a properly made
submission objecting to the proposed change, if circumstances allowed. The reprint
of the Integrated Planning Act 1997 in force when the development application was
properly made15 recognised the dual capacity of the Council. It was both an
assessment manager and an infrastructure provider.16
13 48 Stuart Pty Ltd v Brisbane City Council [2016] QPEC 67; [2017] QPELR 133, 140 [8] citing
Ausbuild Pty Ltd v Redland Shire Council [2001] QPELR 409, 410 [11].
14 48 Stuart Pty Ltd v Brisbane City Council [2016] QPEC 67; [2017] QPELR 133, 140 [8] citing
Ausbuild Pty Ltd v Redland Shire Council [2001] QPELR 409, 410 [11]. In Ausbuild Pty Ltd v
Redland Shire Council [2001] QPELR 409, when referring to the hypothetical objector at 410 [10]-
[11], his Honour Judge Quirk was drawing a distinction between a potential submitter and the views
of an expert town planner. He was not excluding the potential for an identifiable individual or
corporate entity.
15 Reprint 9A.
16 See s 3.5.4(2)(d) and 3.5.15(2)(k)(iv) and Schedule 10 of the Integrated Planning Act 1997.
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[21] It has been well recognised by the courts that a local government may be involved in
development applications in two capacities. For example, a local government, as an
owner of land, can make a development application to itself and it can objectively
decide that application as the assessment manager.17 Similarly, a local government
may take an adverse view about a development application in its capacity as
assessment manager without being taken to have withdrawn consent to the application
given in the local government’s capacity as landowner.18
[22] There is no practical impediment to the Council, as infrastructure provider, making a
submission to itself as assessment manager, nor is there a public policy reason why it
should not.
[23] If the infrastructure provider, in this case the Council, wished to make its position
known to the assessment manager, it would need to do so by way of submission.
There is nothing pointless about such an exercise given the different capacities of the
Council. As is apparent from the examples referred to in paragraph [21] above, local
governments are accustomed to operating in different capacities, and to following the
usual procedures to ensure each action is appropriately referrable to the capacity in
which the action is taken.
Was a submission likely having regard to the nature of the change?
[24] East Coast Gravel submits that, objectively considered, a submission was not likely
because the Council, as part of the information request, requested the bike path as
planned infrastructure and on the basis that it constituted trunk infrastructure. East
Coast Gravel notes the proposed change does not remove the requirement to provide
the bike path, but changes the requirement that East Coast Gravel meet the cost of the
provision of that trunk infrastructure. It submits this is important because the Council
has, and will, collect funds for the infrastructure under its infrastructure planning
documents.
[25] The Council refutes the basis on which East Coast Gravel submits it imposed
condition 35. The Council says the provision of the bike path at no cost to the Council
was a ground that justified the approval of the development, despite its conflict with
the planning scheme. It says the conditions reflect that position.19
The context in which the information request was made and the conditions imposed
[26] On 19 June 2008, East Coast Gravel lodged a development application with the
Council. It sought two approvals: a preliminary approval overriding the planning
scheme for material change of use to facilitate 51 additional houses in a rural area,
and a development permit for reconfiguration of the land.
[27] The report that accompanied the development application noted that there had been a
previous application in August 2007. It sought reconfiguration of one lot into 100. It
was apparently withdrawn because the Council did not support it. The Council was
17 Heavey Lex No.64 Pty Ltd v Mulgrave Shire Council [1990] QPLR 108, 112.
18 Read & Anor v Duncanson & Brittain (Quarries) Pty Ltd & Anor (1987) 64 LGERA 1, 5.
19 At the time the development application was made, the Integrated Planning Act 1997 applied. As
such, the Council’s decision could not conflict with the planning scheme unless there were sufficient
grounds to justify the decision. See Integrated Planning Act 1997, s 3.5.14. Grounds were defined
as matters of public interest.
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concerned about inconsistency with the area classification and infrastructure
provision.
[28] The 2008 report sought to address the Council’s earlier concerns. It promised “The
site will be provided with the appropriate infra-structure (sic) for the intended
purpose of the site”, and that “Infra-structure (sic) costs will be borne by the
developer”.20 It said the land provides convenient access to the bikeway network.21
The report did not propose a bike path as part of the development.
[29] On 31 July 2008, the Council issued an information request, which stated:
“Council documents contain preliminary plans for a bikeway through site
linking the recently constructed Tinchi Tamba bikeway to Westfield
Strathpine. As such provide for a 3.0m wide off-road bikeway between the
waterway corridor and the allotment proposed in the south eastern corridor”.
[30] The information request recorded that, under the provisions of the Integrated
Planning Act 1997, East Coast Gravel could respond by providing:
(a) all of the information requested; or
(b) part of the information requested together with a notice asking the Council to
proceed with the assessment of the development application; or
(c) a notice stating it did not intend to supply any of the information requested and
asking that the Council proceed with the assessment of the application.
[31] On 17 April 2009, East Coast Gravel elected to respond to the request.22
[32] The response to the Council’s bikeway request was as follows:
“A bicycle path is proposed within the road reserve of Wyampa Road. This
path will traverse proposed road 1 between Wyampa Road and proposed
road 4, whilst running the entire length of proposed road 4. A link between
proposed road 4 and Wyampa Road will be provided proximate to the eastern
property boundary of lot 8.
Pedestrian and cycle paths are to be provided through proposed park areas,
as can be seen within the attached master plan prepared by EDAW. Paths
can be extended under the Gateway Motorway and through Tinchi Tamba
wetlands following the Department of Main Roads upgrade of the Gateway
Motorway.”
[33] The Landscape Masterplan by EDAW AECOM listed the landscape and urban design
objectives for the proposed development. They included “[t]o ensure pedestrian and
bicycle connectivity through and across the park, whilst linking to existing tracks”.
20 See the response to in response to the identification in the North Bald Hills Precinct of the draft
Neighbourhood Plan that the land is lacking infrastructure and the response to performance criteria
P1.5 of the Subdivision Code.
21 See, for example, the responses to s 3.2.2.1 of City Plan 2000, the desired environmental outcome
about access and mobility and s 3.5.2.2, the criterion about pedestrian and cyclist accessibility that
applied to development classified as “impact assessable generally inappropriate”, and performance
criteria P2 in s 5.1.3 of the Subdivision code.
22 In his affidavit, Mr Panaretos deposes that Urban Strategies Pty Ltd, of which he is a director, was
retained by East Coast Gravel to act on its behalf In respect of the development the subject of this
appeal.
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A plan within that report showed the “bike / pedestrian pathway”. It provided
indicative images for the path.
[34] The response also included other changes to the proposed development. It increased
the number of proposed lots to 77. The proposed residential subdivision plan
provided as part of the response showed a “bikeway provided in new development”.
The path corresponded with the pathway shown on the landscape masterplan. It
roughly coincides with the eastern half of the bike path ultimately constructed under
condition 35.
[35] On 1 September 2009, East Coast Gravel provided further information “to assist
Council in its deliberations”. It proposed to redirect and extend the path. East Coast
Gravel’s consultant explained:
“The path now meets the existing path opposite the site at Wyampa Road,
traverses proposed roads 4, 1 and 3 and links to the pedestrian crossing under
the Gympie Arterial north of proposed lot 62.”
[36] The concept masterplan provided with that letter showed a bike path in the same
location as that the subject of condition 35.
[37] On 24 November 2009, East Coast Gravel provided further reports “in support of the
proposed 1 into 76 lot subdivision”. The Revised Landscape Master Plan prepared
by EDAW again stated an objective of the proposed development was to “ensure
pedestrian and bicycle connectivity through and across the park, whilst linking to
existing tracks”. The plan showed the extended bikeway that corresponds to the bike
path required under condition 35.
[38] A council officer’s assessment report was presented to the Council on 23 March 2010.
It recommended approval. It noted, “A bike path is proposed to connect Kluver Street
and Wyampa Road in the drainage reserve.”
[39] The officer’s report said additional grounds supporting the proposed development,
despite conflict with the planning scheme, included “provision of a bikepath along
the wetland for public use”.
[40] On 26 March 2010, the Council gave the decision notice approving the application.
The decision notice recorded that the proposed development had demonstrated
sufficient grounds for approval notwithstanding the variances from the planning
scheme. It listed grounds in support of the proposal as including “provision of a
bikepath along the wetland for public use”.23
[41] The development approval was subject to conditions. Condition 9 required payment
of a monetary contribution towards the cost of providing infrastructure. Condition
35 required the construction of the bike path.
The basis for imposition of condition 35
[42] I do not accept East Coast Gravel’s submission that the ground referred to in the
decision notice was that the development of the otherwise rural land would facilitate
the provision of the planned infrastructure in a timely manner and adjacent residential
development, rather than through a rural property.
23 Emphasis added.
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[43] The development application contained several assertions about convenient access to
the cycle network and an intention to provide necessary infrastructure. In that
context, the information request asked that the proposed development provide a three-
metre wide off-road bike path.
[44] East Coast Gravel did not direct my attention to any evidence to substantiate its
assertion that the Council requested the bike path as planned infrastructure and on the
basis that it constituted trunk infrastructure. The information request did not refer to
“trunk infrastructure” or “planned infrastructure”. It only referred to unidentified
Council documents that contained “preliminary plans”.24
[45] In any event, I am not persuaded that the ground referred to in the decision notice
should be construed in the manner suggested by East Coast Gravel. The ground that
justified approval of the proposed development was the provision of the bike path,
proposed by East Coast Gravel during the application process, at no cost to the
Council. That interpretation of the decision notice is consistent with the imposition
of condition 35 and the absence of reference to an offset in condition 9.
[46] Although the proposed change will not remove the requirement to provide the bike
path, it will remove the public benefit associated with it, namely the provision of the
bike path at no cost to the community. It removes one of the grounds relied on to
justify a decision to approve the proposed development despite conflict with the
planning scheme.
Was a submission likely having regard to the provisions of the Infill Transport Infrastructure
Contributions Planning Scheme Policy?
[47] East Coast Gravel submits that any submission against the proposed change to
condition 9 would have been contrary to the Infill Transport Infrastructure
Contributions Planning Scheme Policy dated July 2009.
[48] Section 6.1.31 of the Integrated Planning Act 1997 permitted the Council to impose
a condition on the development approval requiring a contribution towards the cost of
supplying infrastructure under a planning scheme policy. The relevant planning
scheme policy was the Infill Transport Infrastructure Contributions Planning Scheme
Policy dated July 2009.
[49] It is East Coast Gravel’s position that the proper and complete application of that
policy, particularly clause 1.8.3, requires the provision of an offset. It submits that,
at all material times, the bike path was identified in Council’s planning documents as
trunk infrastructure. East Coast Gravel submits that, consequently, it was entitled to
an offset25 for the cost of the bike path and condition 9 has always been defective.
24 In the Respondent’s Response to the Appellant’s Statement of Facts, Matters and Contentions, the
Council accepts that the bike path the subject of condition 35 was shown on the Brisbane Bicycle
Plan and constituted trunk infrastructure at the time of the issue of the development approval.
However, it did not admit that the path the subject of the information request was shown on the
Brisbane Bicycle Plan or constituted trunk infrastructure at the time of the issue of the development
approval.
25 Throughout East Coast Gravel’s Outline of Submissions, it refers to an entitlement to a credit.
During oral submissions, it clarified that it was intending to refer to an offset, not a credit.
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[50] Section 1.8 of the policy provides an overview of the process for calculating
infrastructure contributions. Section 1.8.3 deals with infrastructure offsets. It states:
“1.8.3 Infrastructure Offsets
An offset may be allowed where a developer will undertake trunk
infrastructure works that are part of the PSP. The amount of this offset is
determined by Council, deducted from the calculated infrastructure
contributions and expressed as ICUs.
A development may be conditioned or agreement reached (via an
Infrastructure Agreement) to supply certain items of trunk infrastructure as
part of a development. In such instances, the value of that infrastructure
identified in the relevant PSP will be offset against the contribution for the
relevant network. For example, where Council has approved the construction
of works or dedication of land in fee simple, the value of these works or land
will be offset against the assessed infrastructure contribution where an
agreement is reached with the Council to do this.”
[51] Chapter 2 provides the detail about how transport infrastructure contributions, credits
and offsets are to be calculated. It relevantly provides:
“2.5.2 Infrastructure Offsets
An offset may be allowed where a developer will undertake trunk
infrastructure works that are part of the PSP. The amount of this offset is to
be determined by Council, deducted from the calculated infrastructure
contributions and expressed as ICUs.”
[52] East Coast Gravel submits that the references to “may” in these provisions should be
construed as “must”.26 It says the first sentence of the first paragraph of s 1.8.3 sets
a condition precedent that triggers the obligation to give an offset. It says the word
“may” in the first sentence of the second paragraph of s 1.8.3 connotes the choice
available to Council: it can provide for the offset either by way of condition or by
entering an infrastructure agreement. East Coast Gravel says this is apparent from
the third sentence of the second paragraph of s 1.8.3, which provides an example of
how the Council might offset the value of the works.
[53] The starting point is the language of the relevant provisions. Both s 1.8.3 and s 2.5.2
of the Infill Transport Infrastructure Contributions Planning Scheme Policy are
expressed in facultative or permissive language. A literal interpretation of those
provisions would permit the Council to exercise a discretion.
[54] The words “where a developer will undertake trunk infrastructure works that are part
of the PSP” in the first sentence of s 1.8.3 are a precondition to the exercise of the
Council’s discretion. There is nothing about the precondition that, as a matter of
context, suggests that the word “may” should be construed as “must”.
[55] The first sentence of the second paragraph in s 1.8.3 is directed at the mechanisms
that the Council may use to facilitate the provision of the trunk infrastructure, not the
offset. East Coast Gravel’s submissions regarding the example provided by the third
26 Relevant principles with respect to statutory construction and whether “may” should be construed as
“must” are set out in The Avenues Highfields Pty Ltd v Toowoomba Regional Council [2017] QPEC
48; [2017] QPELR 1033, 1045-6 [47] – [52]. They assist with construction of the Infill Transport
Infrastructure Contributions Planning Scheme Policy: Zappala Family Co Pty Ltd v Brisbane City
Council & Ors [2014] QCA 147; (2014) 201 LGERA 82; [2014] QPELR 686, [52].
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sentence do not accord with its ordinary meaning. That sentence indicates that an
offset will be provided where the Council agrees to give an offset. It supports a
construction that the provision of an offset is at the Council’s discretion.
[56] Under the policy, the amount of any offset is a matter for determination by the Council
in its capacity as infrastructure provider. The policy does not prescribe a means for
calculating any offset. This also lends support to a construction that any offset was
at the discretion of the Council.
[57] For those reasons, I do not accept that the Infill Transport Infrastructure Contributions
Planning Scheme Policy conferred an entitlement to an offset. The provision of an
offset was a matter for the Council in exercise of its discretion.
[58] In those circumstances, a submission objecting to the change would not have been
contrary to the Infill Transport Infrastructure Contributions Planning Scheme Policy
dated July 2009.
Conclusion regarding likelihood of a submission
[59] East Coast Gravel has not persuaded me that the proposed change would not be likely
to cause a person to make a properly made submission objecting to the proposed
change, if the circumstances allowed.
[60] In this case, it is likely that a properly informed person, including the infrastructure
provider, would object to the proposed change for three reasons.
[61] First, during the development application process, East Coast Gravel said it would
provide necessary infrastructure and, after receiving the information request, it
offered to provide the bike path.
[62] Second, the Council, as assessment manager, granted the development approval on
the basis that the bike path would not give rise to an offset, but was a ground for
approval despite conflict.
[63] Third, East Coast Gravel’s request at this late stage has the potential to prejudice the
infrastructure provider and its provision of infrastructure throughout the city. The
collection of infrastructure charges forms an important part of the budget of an
infrastructure provider. An infrastructure provider is entitled to rely upon certainty
and finality in the collection of infrastructure charges.
[64] The development approval was granted to East Coast Gravel on 26 March 2010,
nearly 9 years ago. East Coast Gravel did not exercise any appeal right in respect of
the conditions included in the development approval. To the contrary, on 8 April
2010, it notified the Council that it accepted the decision notice “without dispute” and
would not exercise any right of appeal in respect of the decision. It paid the relevant
infrastructure charges on 24 November 2016. On 3 January 2017, the survey plan
giving effect to the development approval was registered.
[65] Prior to paying the infrastructure contributions, in August 2016, East Coast Gravel
requested a change to the development approval. It sought to change condition 9 to
obtain an offset against the transport infrastructure charge for the cost of the provision
of the bike path required by condition 35. On 26 September 2016, East Coast Gravel
requested that the outstanding infrastructure charges be paid by way of instalment, to
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allow buyers to start building work, sealing of the survey plan (to allow settlement of
allotments), and to assist with its cash flow.
[66] On 2 November 2016, East Coast Gravel withdrew the requested change to
condition 9 and instead asked to alter the existing approval to include a number of
small changes to the survey plan to accommodate on-site conditions identified during
the construction phase. The Council approved that amended request on 10 November
2016.
[67] On 17 November 2016, East Coast Gravel, through its consultant, wrote to the
Council about payment of the infrastructure charges. The letter asserted:
“In order to stave off crippling costs and interest charges and to satisfy
contractual pressures from buyers, [East Coast Gravel] has been forced to
pay the full amount of the Infrastructure Charges, without any offset, so that
the plan sealing can be finalised and land titles issued for the new lots.
We wish to reiterate that [East Coast Gravel] does not accept the lawfulness
of the transport component of the Infrastructure Charges applied to this
development and advise that a further Permissible Change will shortly be
lodged with Council, to seek an appropriate financial offset for the provision
of a trunk bike path through the approved estate.”
[68] These actions by East Coast Gravel prior to the payment of the infrastructure
contribution do not persuade me that the change would not be likely to cause a person
to make a properly made submission. There was no entitlement to an offset.
[69] For the reasons given, I am not satisfied the proposed change is a permissible change.
East Coast Gravel has not discharged the onus.
Is the change sought within the power of the court?
[70] The Council contends that, even if the court thought there was some merit in East
Coast Gravel’s contention that it is entitled to an offset, the court would be powerless
to grant the relief. It submits that the court has no power to require the Council to
enter into an infrastructure agreement or to require it to carry out a valuation for the
purpose of determining an offset. The Council referred to this as “the Harderan
issue”.27 These submissions were made at a time when East Coast Gravel had not
identified the precise nature of the change to the condition that it sought.
[71] In its Outline of Submissions dated 1 February 2019, East Coast Gravel said the
permissible change does not seek a change to require anything at all. It said the
request simply asks that condition 9 be modified to recognise East Coast Gravel’s
entitlement to a credit for the cost of the trunk infrastructure that it provided. At that
time, East Coast Gravel’s assertions about the effect of the condition were
unsubstantiated, as East Coast Gravel had not identified the wording of the condition
sought.
27 Harderan Pty Ltd v Logan City Council [1989] 1 Qd R 524, approving Knox v Brisbane City Council
(1975) 31 LGRA 108; Wendon Nominees Pty Ltd v Brisbane City Council [1984] QPLR 99; Wroxall
Investments Pty Ltd v Cairns Regional Council [2010] QPEC 92; [2011] QPELR 82, 91-4.
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[72] After the completion of the hearing, East Coast Gravel told the Council it proposed
the following wording be added to condition 9:28
“The establishment costs of the infrastructure required under Condition 35
shall be offset under the Infill Transport Infrastructure Contributions
Planning Scheme Policy – CityPlan 2000 (PSP) against the infrastructure
contributions imposed pursuant to the PSP for the Transport Trunk
Infrastructure Network, calculated at the rate payable when the infrastructure
contributions under Condition 9 are paid.”
[73] The Council now submits that the wording of the proposed change would appear to
be based on efforts to avoid the application of the Harderan principle.29 Regardless
of whether it successfully does so, the Council says the wording is plagued with so
many defects that it gives rise to further reasons why, in the exercise of the Court’s
discretion, the request for the proposed change should be refused.
[74] In East Coast Gravel’s Further Written Submissions dated 14 February 2019, East
Coast Gravel submits that there is no scope for the application of the Harderan
principle as the proposed change to condition 9 does not impose a requirement on the
Council. It says the change recognises that East Coast Gravel is entitled to a reduction
in the infrastructure contribution because it provided infrastructure that was planned
to be provided by the Council at Council’s cost.
[75] For reasons already provided, I do not accept that there is an entitlement to an offset.
[76] In light of my finding that the request is not for a “permissible change”, and due to
the change in the complexion of this part of the appeal following the late notification
of proposed wording for condition 9, it is unnecessary for me to address this issue
further.30
Should the proposed change be approved?
[77] In making a determination about whether a proposed change is a permissible change,
the court retains a discretion to refuse the request.31 Two things make that clear.
First, s 374 of the Sustainable Planning Act 2009 does not limit those matters the
court may consider in reaching a decision. Second, s 375 of the Sustainable Planning
Act 2009 requires the court to make a decision in respect of the permissible change
request. It does not prescribe the outcome. It only requires that the decision be made
“after assessing the request under section 374”. The court is to exercise the discretion
in the circumstances of each case having regard to the specified considerations.32 East
Coast Gravel accepts this.
28 The late provision of the proposed change to the condition resulted in the provision of further written
submissions by both parties. In the submissions that accompanied the proposed condition 9, East
Coast Gravel notes that the Council first raised the issue about the form of the amendment to
condition 9 in final submissions. Regardless of whether that was so, East Coast Gravel has the onus
and, as I have noted, its submissions were reliant on assertions that it could not substantiate without
identifying, with precision, the proposed wording.
29 Harderan Pty Ltd v Logan City Council [1989] 1 Qd R 524.
30 As is identified by the Respondent’s Reply dated 15 February 2019, having finally drafted a
proposed condition, East Coast Gravel departed from some of the positions taken by it at the hearing.
31 East Coast Gravel accepted this during its opening.
32 See Lake Maroona v Gladstone Regional Council [2017] QPEC 25; (2017) 224 LGERA 166, 173
[29] with respect to s 387 and s 388 of the Sustainable Planning Act 2009, which are in similar
terms. See also 48 Stuart Pty Ltd v Brisbane City Council [2016] QPEC 67; [2017] QPELR 133,
146-50 [36]-[51].
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[78] It is unnecessary for me to consider whether East Coast Gravel’s request should be
approved, as East Coast Gravel has not satisfied me that the proposed change is a
permissible change. However, were it necessary to consider the merits of East Coast
Gravel’s request, I would not approve the proposed change for four reasons.
[79] First, there has been substantial delay in making the request and there is no reasonable
explanation for the delay. East Coast Gravel lodged its development application in
June 2008. It received its approval on 26 March 2010. It paid the relevant
infrastructure charges in November 2016. It waited almost six years from the original
grant of the development approval, and until after the development was complete and
money paid, to pursue this request to change condition 9 to provide for an offset.
[80] Second, East Coast Gravel elected not to challenge the conditions by way of appeal,
even though it is of the view that, at all material times:
(a) the bike path was identified in Council’s planning documents as trunk
infrastructure;
(b) it was entitled to an offset33 for the cost of the bike path; and
(c) condition 9 was defective.
[81] Instead of exercising its appeal rights, East Coast Gravel elected to act in reliance on
the development approval it had obtained, with all its attendant rights and obligations.
[82] In 2016, East Coast Gravel requested a change similar to the present request, but
withdrew the request prior to its determination. Rather than pursuing that request,
East Coast Gravel again elected to continue to act in reliance on the development
approval. It chose to pay the outstanding infrastructure charges, register the plan, and
sell the lots before further pursuing the possibility of an offset.
[83] Third, the provision of a bike path along the wetland for public use was a ground
relied on by the Council to support approval of the proposed development, which
conflicted with City Plan 2000. The cost of its construction, as required by condition
35, was part of the community price paid by East Coast Gravel to secure the right to
develop rurally zoned land for 76 lots.34 Having regard to this matter alone, I would
have refused the request.
[84] Fourth, I do not accept East Coast Gravel’s submission that there is no prejudice to
the Council in the provision of an offset now rather than at the time of the grant of
the development approval. East Coast Gravel’s election not to appeal condition 9,
and to make the request after the development was complete, denies the Council the
ability to argue that should the condition be changed, the development application
should be refused.
Conclusion
[85] East Coast Gravel has not discharged the onus. The appeal is dismissed.
33 Throughout East Coast Gravel’s Outline of Submissions, it refers to an entitlement to a credit.
During oral submissions, it clarified that it was intending to refer to an offset, not a credit.
34 Lloyd v Robinson [1962] HCA 36; (1962) 107 CLR 142, 154; Hymix Industries Pty Ltd v Alberton
Investments Pty Ltd [2001] QCA 334, [23]; Peet Flagstone City Pty Ltd v Logan City Council [2014]
QCA 210, [28].
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Official source: https://www.sclqld.org.au/caselaw/QPEC/2019/015