Cox v Chief Executive, Department of Main Roads & Anor [2009] QPEC 50
PLANNING & ENVIRONMENT COURT
OF QUEENSLAND
CITATION: Cox v Chief Executive, Department of Main Roads & Anor
[2009] QPEC 50
PARTIES: PAMELA WINIFRED COX
(Applicant)
v
CHIEF EXECUTIVE, DEPARTMENT OF MAIN
ROADS
(First Respondent)
and
SUNSHINE COAST REGIONAL COUNCIL
(Second Respondent)
FILE NO/S: 3649 of 2008
DIVISION: Original
PROCEEDING: Application for declaration of invalidity of a concurrence
agency condition
ORIGINATING
COURT: Planning & Environment Court
DELIVERED ON: 10 June 2009
DELIVERED AT: Brisbane
HEARING DATE: 07 May 2009
JUDGE: Robin QC DCJ
ORDER: Application dismissed
CATCHWORDS: Integrated Planning Act 1997 s 3.5.15, s 3.5.18, s 3.5.32,
s 4.1.21, s 4.1.22, s 5.1.28, s 5.1.29
Applicant’s development application for a reconfiguration to
create 400 allotments in conformity with master planning
under Maroochy Plan 2000 was before Council in the
decision stage – Department of Main Roads (DMR) as
concurrence agency required a condition for contributions
towards State-controlled roads in accordance with Council’s
Priority Infrastructure Plan (PIP), if one existed at the defined
time for payment (if not, in specified amounts for two
dwelling classes) – whether DMR could lawfully require such
contributions when no PIP existed during the referral period –
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whether condition unlawful because of reference in the
wording of it to a draft PIP (if any) and to associated traffic
modelling – whether condition unlawful for uncertainty or
unreasonableness.
COUNSEL: C Hughes SC with M Williamson for the Applicant
M Hinson SC for the First Respondent
A Skoien for the Second Respondent
SOLICITORS: Rigby Lawyers for the Appellant
Crown Law for the First Respondent
Sunshine Coast Regional Council Legal Services for the
Second Respondent
[1] By her Originating Application, Ms Cox seeks:
“1. A declaration that the first condition in the Conditions and
Statement of Reasons included in the concurrence agency
response of the First Respondent dated 16 October 2008,
imposed for the purpose of Section 3.3.16 of the Integrated
Planning Act 1997 (“IPA”) in relation to a development
application seeking, inter alia, a development permit for
reconfiguring a lot to create approximately 400 allotments in
respect of land described as Lot 4 on RP854650 situated at
Old Emu Mountain Road, Peregian, in the State of
Queensland (Assessment Manager Reference No. MCU
07/0197 and REC07/0141) is unlawful in that it is ultra vires,
vague and uncertain.
2. An order that the said first condition be declared void and
struck from the said concurrence agency response.”
That relief is sought under s 4.1.21 and s 4.1.22 respectively of IPA.
[2] The impugned condition is:
“The Applicant must pay a contribution to Main Roads prior to the
release of the Plan of Survey or Commencement of Use or issue of
Certificate of Classification.
If the Council has a Priority Infrastructure Plan (PIP) in place, the
contribution must be in accordance with this plan.
If there is no PIP in place, the contribution must be $2,157 for each
detached dwelling and $1,444 for each attached dwelling. The
contribution must be indexed based on the Road and Bridge
Construction Index – Class 4121, published by the Australian
Bureau of Statistics.”
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[3] The Development Application was made to the Maroochy Shire Council in or about
November 2007 and is yet to be decided. For present purposes, it may be accepted
that the applicant’s proposed development accords entirely with what is envisaged
for the site by the relevant planning scheme, Maroochy Plan 2000. Mr Hinson SC,
for the Chief Executive says that this is presently irrelevant. It has no bearing on
the lawfulness of the condition.
[4] Although the address of the applicant’s 33.6ha site is Old Emu Mountain Road,
Peregian Beach, the Chief Executive became a concurrence agency for the
Development Application because the site lies within 100m from a road under his
control, namely the Sunshine Motorway. The Council as assessment manager has
no option but to follow the Chief Executive’s requirements by way of refusal or part
refusal of the Development Application or (as is relevant here) attaching conditions
properly required by him (i.e. within his jurisdiction and powers), as s 3.3.16 and
s 3.3.18 of the IPA make clear:
“3.3.16 Referral agency’s response
(1) If a concurrence agency wants the assessment manager to
include concurrence agency conditions in the development
approval, or to refuse the application, the concurrence agency
must give its response (a referral agency’s response) to the
assessment manager, and give a copy of its response to the
applicant, during the referral agency’s assessment period.
(2) If an advice agency wants the assessment manager to consider
its advice or recommendations when assessing the application,
the advice agency must give its response (also a referral
agency’s response) to the assessment manager, and give a
copy of its response to the applicant, during the referral
agency’s assessment period.
(3) If a concurrence agency does not give a response under
subsection (1), the assessment manager may decide the
application as if the agency had assessed the application and
had no concurrence agency requirements.
(4) However, the referral agency’s response is taken to be a
refusal of the application if—
(a) the application is a building development application;
and
(b) the concurrence agency is the local government; and
(c) the matter being decided by the concurrence agency is a
matter other than assessing the amenity and aesthetic
impact of a building or structure; and
(d) the concurrence agency does not give a response under
subsection (1).
…
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3.3.18 Concurrence agency’s response powers
(1) A concurrence agency’s response may, within the limits of its
jurisdiction, tell the assessment manager 1 or more of the
following—
(a) the conditions that must attach to any development
approval;
(b) that any approval must be for part only of the
development;
(c) that any approval must be a preliminary approval only;
(d) a different period for section 3.5.21(1)(b), (2)(c) or
(3)(b).
(2) Alternatively, a concurrence agency’s response must, within
the limits of its jurisdiction, tell the assessment manager—
(a) it has no concurrence agency requirements; or
(b) to refuse the application.
(3) A concurrence agency’s response may also offer advice to the
assessment manager about the application.
(5) To the extent a concurrence agency’s jurisdiction is about
assessing the effects of development on designated land, the
concurrence agency may only tell the assessment manager to
refuse the application if—
(a) the concurrence agency is satisfied the development
would compromise the intent of the designation; and
(b) the intent of the designation could not be achieved by
imposing conditions on the development approval.
(6) To the extent a local government’s concurrence agency
jurisdiction is about assessing the amenity and aesthetic
impact of a building or structure, the concurrence agency may
only tell the assessment manager to refuse the application if
the concurrence agency considers—
(a) the building or structure, when built, will have an
extremely adverse effect on the amenity or likely
amenity of its neighbourhood; or
(b) the aesthetics of the building or structure, when built,
will be in extreme conflict with the character of its
neighbourhood.
(7) Subsection (2)(b) does not apply to the extent a concurrence
agency’s jurisdiction is about the assessment of the cost
impacts of supplying infrastructure to development.
(8) If a concurrence agency’s response, other than a refusal taken
to have been given, under section 3.3.16(4), requires an
application to be refused or requires a development approval
to include conditions, the response must include reasons for
the refusal or inclusion.
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(9) Subsection (8) does not apply to a refusal mentioned in
section 3.3.16(4).”
[5] The applicant’s desire to establish that the impugned condition, which bodes to
burden the development with a large financial obligation, cannot be imposed at this
stage is understandable. For the moment, there is no PIP; no one can know whether
one might be in place when the Council comes to determine the application before
it, for which it is assessment manager.
[6] Apropos the “fallback” provision, the Department was asked on what basis the
amounts had been calculated and responded in a letter of 5 December 2008 that they
are “based on traffic modelling of future land use and road network planning. It
used information from the Traffic Forecasting Model that Council is currently using
to formulate its…PIP.”
[7] The argument of Mr Hughes SC and Mr Williamson for the applicant is that the
impugned condition is invalid because (disregarding for the moment complaints of
uncertainty and unreasonableness in the condition) the concurrence agency had
regard to irrelevant considerations, being a draft PIP and modelling done in the
course of formulating that draft. It is convenient to adopt their statement describing
relevant constraints, which is uncontroversial, although Mr Hinson observed that
there was a failure to deal with what “assessment” in paragraph 19 implies:
“18. In terms of IPA itself (even without reference to the common
law) a concurrence agency’s power to do those things
envisaged in section 3.3.18(1) of IPA is constrained in at least
five respects:
(a) first, the power is to be exercised within the limits of the
scope of the referral jurisdiction, which is dictated by
Schedule 2 to the Integrated Planning Regulation 1998
(“IPR”): the DMR’s referral jurisdiction in this case is
identified in Schedule 2, table 3, item 3 of the IPA as
“the purposes of the Transport Infrastructure Act 1994”;
(b) second, a concurrence agency is specifically directed to
assess an application against the matters identified in
section 3.3.15 of IPA, including:
(i) the laws and policies administered by the referral
agency;
(ii) any planning scheme (for the relevant planning
area) which was in force at that date the
application was made; and
(iii) any applicable concurrence agency code;
(c) third, the concurrence agency response must be given
within the “referral agency’s assessment period”
(section 3.3.16(1) of IPA);
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(d) fourth, the response can only be altered before the
application is decided and with the consent of the
applicant (section 3.3.17(1) and (2)); and
(e) fifth, any condition sought to be imposed on an approval
must satisfy the overarching requirements of section
3.5.30 of IPA.
19. A concurrence agency’s source of power to impose conditions
on a development application referred to it is found in section
3.3.18. The exercise of the power must be based upon its
assessment under the strict regime of section 3.3.15. It cannot
assess the application or seek to impose conditions
capriciously ignoring the section 3.3.15 statutory assessment
regime.
20. A concurrence agency’s power may, in appropriate
circumstances, include a power to direct an assessment
manager to include a condition in any approach which
requires the payment of a monetary contribution to mitigate
impacts of a development on the safety and efficiency of the
State controlled road network: sections 3.5.32(2)(a) and
5.1.28(2)(a) of IPA. Those “appropriate circumstances” exist
only when such a contribution is justified by the
considerations of the relevant matters delineated in section
3.3.15 and not otherwise. This power is also constrained by,
inter alia, sections 3.5.30 and 5.1.29 of IPA.”
[8] The purposes of the Transport Infrastructure Act 1994 are relevantly wide and
general, as can be seen from Section 2(2):
“In particular, the objectives of this Act are–
(a) …
(b) for roads – to establish a regime under which –
(i) a system of roads of national and State significance can
be effectively planned and efficiently managed; and
(ii) influence can be exercised over the total road network
in a way that contributes to overall transport efficiency;
and
(iii) account is taken of the need to provide adequate levels
of safety, and community access to the road network;
and
…”
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[9] The relevant parts of s 5.1.28 and s 5.1.29 (for which the Department is a “State
infrastructure provider” and roads are “infrastructure” according to definitions in
IPA Schedule 10) are:
“5.1.28 Conditions State infrastructure provider may impose
(1) A State infrastructure provider may impose a condition about
either or both of the following—
(a) infrastructure;
(b) works to protect the operation of the infrastructure.
(2) The condition must be only for—
(a) protecting or maintaining the safety or efficiency of the
provider’s infrastructure network; or
(b) additional infrastructure costs; or
(c) protecting or maintaining the safety and efficiency of
public passenger transport.
Examples of a condition for safety or efficiency—
1 a deceleration lane and entry access to a shopping centre development
2 traffic signals at an intersection 1 block from a shopping centre
development
3 upgrading transverse drainage under a State-controlled road because of
increased hard stand parking area from development
4 road shoulder widening added to reconstruction of a road because of
increased traffic loading to stop road edge wear
5 provision of a bus stop and adjacent pull-in bay in a large residential
subdivision to accommodate a public passenger transport service
6 provision of a bus turning lane at an intersection for a shopping centre
development because of increased traffic loading
7 upgrade of traffic control devices at a rail level crossing because of
increased vehicular crossings from nearby residential development
Example of a condition for additional infrastructure costs—
contribution for the construction of road works on a State-controlled road
when land, not in the priority infrastructure area is developed as a large
town-house estate—such as for the provision of footpaths, kerb and
channel with ancillary drainage and a landscaped noise buffer
5.1.29 Requirements for conditions about safety or efficiency
(1) A condition imposed under section 5.1.28(2)(a) for supplying,
or contributing toward the cost of, infrastructure must state—
(a) the infrastructure or works to be supplied or the
contribution to be made; and
(b) when the infrastructure or works must be supplied or the
contribution made.”
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[10] It is necessary to be more precise than was the submission quoted above about
s 3.3.15, which provides:
“3.3.15 Referral agency assesses application
(1) Each referral agency must, within the limits of its jurisdiction,
assess the application—
(a) against the laws that are administered by, and the
policies that are reasonably identifiable as policies
applied by, the referral agency; and
(b) having regard to—
(i) any planning scheme in force, when the
application was made, for the planning scheme
area; and
(ii) each of the following, if they are not identified in
the planning scheme as being appropriately
reflected in the planning scheme—
(A) State planning policies, or parts of State
planning policies;
(B) for the planning scheme of a local
government in the relevant area for a State
planning regulatory provision—the
provision;
(C) for the planning scheme of a local
government in a designated region—the
region’s regional plan; and
(iii) if the land to which the application relates is
designated land—its designation; and
(c) for a concurrence agency—against any applicable
concurrence agency code.
(2) Despite subsection (1) a referral agency—
(a) may give the weight it considers appropriate to any
laws, planning schemes, policies and codes, of the type
mentioned in subsection (1), coming into effect after the
application was made, but before the agency’s referral
day; but
(b) must disregard any planning scheme for the planning
scheme area if the referral agency’s jurisdiction is
limited to considering the effect of the building
assessment provisions, on building work.”
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[11] There is an important difference when one compares this with the requirement in
s 3.5.4 “Code assessment” whereby:
“(2) The assessment manager must assess the part of the
application only against [plans, codes, policies and material].”
(Italics added)
[12] Section 3.5.4 was the provision considered by the Chief Justice in the authority
mainly relied on by the applicant, Emerald Developments (Aust) Pty Ltd v Minister
for Environment, Local Government, Planning & Women [2006] QPELR 714. The
Minister had “called in” a code assessable development application on the basis of it
involving a “State interest” (as defined in Schedule 10). It was accepted that in then
refusing the application the Minister relied on matters of State interest including, at
least, a threatened change to “the very character of the capital city of the State”.
That such matters may have justified calling in the application was held not to
justify reference to them in the Minister’s assessment. The Chief Justice identified
the context as a “tightly described statutory regime” in which s 3.5.4 prescribed “in
a limiting way, the only matters which may be taken into account”. There is no
“only” or equivalent in s 3.3.15.
[13] There are aspects of the IPA that support or encourage imposition of conditions like
the impugned one. Section 3.5.32 “Conditions that cannot be imposed” contains a
relevant exception in the second of the proscribed categories. In subsection (1):
“A condition must not–
(a) …
(b) for infrastructure to which Chapter 5 Part 1 applies, require
(other than under Chapter 5 Part 1)–
(i) a monetary payment for the establishment, operating
and maintenance costs of the infrastructure; or
(ii) works to be carried out for the infrastructure;…”
[14] The Chapter 5 provisions in s 5.1.28 and s 5.1.29 are set out above. Section
3.5.32(2) is specific that:
“(2) This section does not stop a condition being imposed that
requires a monetary payment, or works to be carried out–
(a) to protect or maintain–
(i) the safety or efficiency of existing or
proposed State owned or Stated controlled
transport infrastructure;…”
[15] For a convenient statement of the principle that ignoring relevant material or relying
on irrelevant material can amount to an error of law and jurisdictional error
invalidating a determination, the applicant referred to Craig v State of South
Australia (1995) 184 CLR 163 at 179, before going on to detailed reference to
Emerald Development. Section 3.5.15 of IPA is asserted to have “prescribed, in a
limiting way, the only matters which may be taken into account”. Plainly, a draft
PIP and the modelling relied on are not referred to in the section. It was submitted
that the only arrangements generated by a local government which may be taken
into account are planning schemes “in force”: Although a PIP may have the effect
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of a planning scheme once adopted, it has no status any earlier. Even the “Coty”
provision in s 3.3.15(2)(a) is of no assistance here because the “referral day”, which
would appear, by reference to s 3.3.14(1), to be identified by the Development
Application’s being referred to the Agency, has long passed without anything
relevant “coming into effect”. It is true that, as the written submission notes, “it
would have been a simple matter for the drafters of IPA to make appropriate
provision…if the drafters had intended the preparatory work involved in the
preparation of the PIP [or the draft PIP] to be a relevant consideration”; however, I
find myself unable to go along with the basic premise that s 3.5.15 excludes from
the matters to which regard may be had anything not expressly listed.
[16] Mr Hinson referred to Hickey Lawyers v Gold Coast City Council [2005] QPELR
579 at [30] – [38] and [51] – [52] in support of a contention that traffic modelling
and the likely traffic generation of the proposed development (put at 3,785 vehicles
per day, which is unsurprising given the scale of the development and represents, on
any view, a substantial generation of traffic likely to use the State-controlled roads)
are relevant considerations which could properly be taken into account. This
application is different from Hickey Lawyers, in which the court had detailed expert
evidence. Here, it is a matter of taking on faith general assertions of Mr Hinson’s
deponent as to what work has been done and the quality or reliability of it. I accept
that those aspects are immaterial because this is not a merits appeal by way of
hearing anew. The court is here concerned with a legal issue of the asserted
invalidity of what the Department has done as to which a declaration of invalidity is
sought. As Mr Hinson put it, “the sole questions are whether DMR had power to
require the imposition of the condition, and if so whether the power was lawfully
exercised.” Whether the power was exercised in the way the court might exercise it
is another question entirely, perhaps one for the future.
[17] Mr Hinson in his outline dealt with some other arguments contained in the grounds
set out in the originating application which were not extensively pursued at the
hearing, such as that the payment of the contribution in accordance with a PIP is
unlawful in the absence of an Infrastructure Charges Notice, that failing both a PIP
and such a notice issued under it, there was no power to require a contribution by
way of a condition and that “the First Respondent is not empowered to require the
payment of a contribution at all.” Although the applicant’s written submissions do
not focus on this aspect, Mr Hughes (Transcript p. 29) raised it in submitting that
the entitlement of a State infrastructure provider under s 5.1.28 to impose a
condition may be exercised only under Chapter 5: “That is, you’ve given an
Infrastructure Charges Notice and you pursue the collection of the revenue in that
regard.” The absence of an Infrastructure Charges Notice is presumably pointed to
as confirmation that Chapter 5 of IPA was not being invoked. The appellant’s
argument is that Chapter 5, which may give the first respondent or his Department
powers as a State infrastructure provider, has nothing to do with its powers as a
concurrence agency under s 3.3.18, certainly cannot expand them.
[18] Section 5.1.1 defines the purpose of Part 1 of Chapter 5:
“The purpose of this part is to—
(a) seek to integrate land use and infrastructure plans; and
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(b) establish an infrastructure planning benchmark as a basis for
an infrastructure funding framework; and
(c) establish an infrastructure funding framework that is equitable
and accountable; and
(d) integrate State infrastructure providers into the framework.”
[19] While one might argue that those purposes have nothing to do with the setting of
conditions under Chapter 3, Part 1 is replete with references to conditions that might
be imposed by local governments (s 5.1.2, s 5.1.24, s 5.1.25) or State infrastructure
providers (s 5.1.28 – s 5.1.30). In my opinion the natural understanding is that the
Chapter 5 provisions are relevant in determining what conditions are permissible
under Chapter 3. I take s 3.5.32(1)(b) as a specific indication (relevantly
strengthened, so far as the first respondent’s position is concerned, by subsection
(2)) that the Chapter 5 provisions confirm, arguably enhance (if necessary),
certainly do not reduce or confine powers to set conditions conferred in Chapter 3.
If the argument be that Chapter 5 applies only where the State infrastructure
provider is the assessment manager (setting development conditions in that
capacity) rather than a concurrence agency (in which event the condition setting
powers are more limited), I reject that notion. It makes little sense.
[20] It was an aspect of the applicant’s case that a concurrence agency is not intended to
have wider powers than a local government acting as assessment manager. Thus, at
p. 18 (again at 31) s 3.5.6 is referred to as establishing that the Council may only
give weight to a policy or law not in effect at the time a development application is
lodged if it comes into effect before the date of the decision stage (which for present
purposes has arrived). The first respondent’s condition is said to represent “an
attempt for the referral agency to gain a contribution pursuant to a PIP that simply
doesn’t exist…to use the power for an improper purpose”. That the Council could
not impose a similar condition does not mean that a concurrence agency is similarly
restricted. Where a concurrence agency occupies a superior position in the
hierarchy as an arm of the State government, that may be seen as a justification, if
any were necessary, for the IPA allowing it greater scope (within the limits of its
remit) as to what may be referred to in a s 3.3.15 assessment and setting of
conditions. Mr Hinson reminded me (Transcript p. 45) that under s 6.1.31 it is a
condition of a local government imposing an infrastructure contribution that there is
a policy providing for it, a requirement not replicated here. Hervey Bay City
Council v BGM Projects Pty Ltd [2007] QCA 298 (which considered that section)
is authority against reading into IPA restrictions upon what decision-makers may
take into account which are not expressly set out or necessarily implied.
[21] In the absence of a policy there is no way to assess a development application open
to a concurrence agency, other than on a case-by-case basis, looking at traffic likely
to be generated by the development and the impact of it. I agree with Mr Hinson’s
arguments at 44-45, apropos such investigations:
“…when 5.1.28 and 5.1.29 talk about conditions, DMR’s only power
to impose a condition is in its capacity as concurrence agency for
development application. 5.1.28 and 5.1.29 don’t purport to be some
independent source of power to just go around willy-nilly and hit
people up for infrastructure charges.
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…
if one of the responses that DMR can make under 3.3.18 is the
imposition of a condition requiring a monetary contribution for…
protecting or maintaining the safety or efficiency of the State
controlled road network… isn’t that one of the things, I rhetorically
ask, that they must do when, under 3.3.15, they’re required to assess
the application …
… to make one of the decisional choices in 3.3.18?
3.3.15 is silent as to what the mode of assessment is to be but it must
involve, as a bare minimum, looking at the facts and circumstances
of the application having regard to and knowledge of what the end
process is, a decision, … when 3.3.15 talks about assessment against
the laws that are administered by the referral agency, that expression
“the laws that are administered by” picks up 5.1.28, 5.1.29, 3.5.30
and 3.5.32 as explained by The Chief Justice in Emerald
Developments.
We know from Mr Upton’s affidavit how that exercise was done…”
[22] That last observation rather overstates things. There is nothing corresponding with
the evidence before the court in Hickey Lawyers. Rather, Mr Upton refers to what
are said to be the results of work of people who may be presumed to know what
they are doing in preparation for the Council’s PIP which may eventuate in the
future. A lot is being taken on faith. However, in the end, I think that Mr Hinson is
right, that the present application is about whether there is something wrong with
the impugned condition in a “power sense”, rather than in a “merits sense”.
Conditions sought by the Department may be challenged in a merits appeal, whether
they relate to monetary contributions (Nielson v Gold Coast City Council & Anor
[2005] QPELR 452) or not (Keith L Noble & Sons Pty Ltd v Caboolture Shire
Council & Anor [2009] QPEC 049).
[23] The applicant fails to persuade me that there is any factor vitiating the condition by
way of excess of power or jurisdiction, pursuit of some improper purpose,
consideration of irrelevant factors or the like to justify granting the relief sought.
[24] Mr Hughes (Transcript p. 26) was correct to observe that his client has no idea what
the figures are underlying the Department’s calculations or those that will go into
the PIP. As indicated, for the moment, that is beside the point. The onus is on his
client to demonstrate that there is something wrong, rather than on the first
respondent to demonstrate the contrary. The applicant’s argument that she succeeds
unless the first respondent can demonstrate a head of power in s 3.3.18 (s 3.5.32 and
s 5.1.28 being said to be irrelevant here) fails. I do not accept the general approach
that the concurrence agency is limited in the assessment task for the purposes of
setting conditions (if the development proposal is regarded as fit to go ahead) by
being restricted in the same way as the Council may be in its assessment task as
assessment manager. This was a proposition fairly central to Mr Hughes’ argument.
As Mr Hinson pointed out (Transcript p. 37), neither s 3.3.18 (nor anything else that
could be pointed to) constrains a concurrence agency’s decision in the way that
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s 3.5.11 constrains an assessment manager, subsection (2) expressly requiring that
the decision be based on assessments made under Division 2, that is s 3.5.4 and
s 3.5.5; an implicit requirement in s 3.3.18 by reference to the s 3.3.15 assessment
was acknowledged. However, there is nothing controlling the concurrence agency
to correspond with the controls upon an assessment manager in s 3.5.13 and
s 3.5.14.
[25] Mr Hughes urged the court not to succumb to sympathy for the first respondent or
any concern that, if she succeeded, his client might be getting away with something,
a theoretical concern that might be thought heightened by his emphasis on s 3.3.17
which precludes the first respondent’s “having another go”. (It was accepted that
circumstances might arise offering Mr Hinson’s client a second chance, such as a
change to the development proposal.) It was said that the Department was on notice
from the year 2000 that Maroochy Plan envisaged development of the site exactly
along the lines now proposed, so that the Department had plenty of time to take
steps to lay a foundation for exacting contributions from the developer, perhaps by
formulating “policies” of its own (none such being relied upon). While the
Department may well have enjoyed a fairly complete knowledge of what was to go
into Maroochy Plan 2000, it strikes me as rather unrealistic to expect the
Department to take steps to arm itself to recover appropriate contributions from
future development under the many planning schemes covering the State, or face the
consequence said to ensue here, of missing out.
[26] Mr Hinson took issue with any notion that the authorities had “gone to sleep” after
adoption of Maroochy Plan 2000, suggesting that in the use of the model jointly
owned by the respondent, “one would be very surprised if the land, the future land
use planning data that went into the model does not reflect that this land and
adjoining land is in a master planned area under Maroochy Plan” (Transcript p. 52).
[27] As things have happened, the situation is untidy. New ways of State and local
authorities charging for infrastructure required by development are becoming more
familiar to us. It is common practice to defer payment, where monetary
contributions are required, and, indeed, calculation of the amount of contributions
(to allow for the effects of inflation and other factors that are relevant) to be
deferred until the time of payment. At this stage, it is a reasonable approach, in my
opinion, to assume that a PIP, if one is in place at the relevant date, would indicate
appropriate contributions. There are avenues of challenge if, when the time comes,
it is thought not to do so.
[28] Against the possibility that there will be no PIP at the relevant time, default
contribution arrangements are specified, which are subject to challenge as to the
amount of them.
[29] It is convenient to note the terms of the applicant’s attack on the impugned
condition for uncertainty and unreasonableness:
“ THE CONDITION IS INVALID AS IT IS NOT A PROPER
EXERCISE OF THE POWER UNDER SECTION 3.3.18 OF
IPA: UNCERTAINTY
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14
39. It is well established that a condition, to be lawful, must be
both certain and final 17 (subject to the qualification that
relatively minor aspects of a development can be postponed
for final determination at a later stage18 ).
40. As is obvious, concepts of finality and certainty are related.
As the authorities indicate, certainty includes both “certainty
of expressions and certainty in operation”.19 A condition can
lack finality and certainty for grammatical reasons or
operational reasons (ie it is either uncertain in its construction,
or its operation is uncertain).
41. It is well established that a condition which does not reveal or
prescribe a certain objective standard is invalid. The
condition is invalid not only because the ultimate requirement
or obligation lacks precision, but because the power purported
to be exercised to impose the condition has not been pursued
or properly exercised.
42. The classic statement of principle in this regard is that of
Dixon J in King Gee Clothing Pty Ltd v Commonwealth
(1945) 71 CLR 184 at 197 where his Honour said in the
context of a price fixing order made by the Commissioner of
Prices under the National Security (Prices) Regulation20 :
“It needs no imagination to see that in drafting an order
for the fixing of prices for an important trade many
difficulties must be encountered and it would be
impossible to avoid ambiguities and uncertainties which
are bound to arise both from forms of expression and
from the intricacies of the subject. But it is not to
matters of that sort that I refer. They depend upon the
meaning of the instrument and they must be resolved by
construction and interpretation as in the case of other
documents. They do not go to power. But it is another
matter when the basis of the price, however clearly
described, involves some matter which is not an
ascertainable fact or figure but a matter of estimate,
assessment, discretionary allocation, or
apportionment, resulting in the attribution of an
amount or figure as a matter of judgment. When that
is done no certain objective standard is prescribed; it is
not a calculation and the result is not a price fixed or a
17 See Mison v. Randwick Municipal Council (1991) 73 LGRA 349: cited in McBain v. Clifton Shire
Council & Ors (1995-6) 89 LGERA 372.
18 It is submitted that in the context of the DMR’s imposed conditions, the amount of this contribution
could hardly be regarded as something minor or ancillary: the contribution appears as an important
part of the DMR’s purported exercise of its power which is under scrutiny in these proceedings.
19 Television Corp Ltd v. Commonwealth (1963) 109 CLR 59
20 See also Environmental Protection Agency v Genkem Pty Ltd (1993) 79 LGERA 47 at 60 (Bignold
J), which was upheld by the NSWCA in Genkem Pty Ltd v Environmental Protection Agency (1994)
35 NSWLR 33: cited in Mt Marrow v. Moreton Shire Council (1994-5) 85 LGRA 408 at 411.
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fixed price. That, I think, means that the power has not
been pursued and is not well exercised.” (emphasis
added)
43. It is submitted by the applicant that the impugned condition
fails to provide certainty in terms of its operation. The
condition provides the beneficiary of an approval with two
possible scenarios:
(a) the possibility that relevant contribution is to be paid in
accordance with a Council PIP which is yet to be
finalised; yet to be made available to the public;
impossible to scrutinise; and yet to have the force of
law; or as an alternative
(b) the possibility that prior to the coming into force of the
Council’s PIP (a time which is presently unknown) the
relevant contribution can be calculated by reference to
the number of dwellings and attached dwellings
multiplied by the prescribed rate per dwelling type – but
of course this calculation only applies if and when there
is no PIP in force at the relevant time.
44. The terms of the impugned condition are such that the
Applicant cannot calculate with certainty the nature of the
obligation nor the amount (or likely future amount) of the
contribution which has to be paid during the currency of an
approval of the staged development proposed: not only is no
PIP presently in force, but there is no real indication as to
when (if ever) that document will come into existence and
enjoy the force of law.
45. The impugned condition fails to prescribe a certain objective
standard against which the ultimate contribution payable may
be calculated. A condition of this character is invalid.
46. In truth, the purported exercise of the power under section
3.3.18 in this case involves and illegitimate attempt by the
referral agency to achieve what it cannot at the present time
lawfully achieve, namely securing a contribution to state
infrastructure in the absence of an appropriate policy or
planning scheme provision and in the absence of an
appropriate PIP. This proposition clearly illustrates the
improper nature of the purported exercise of the power of the
referral agency in issuing its concurrence agency response
under section 3.3.18 including the impugned condition.
UNREASONABLENESS
47. Further, in terms of paragraph 11 of the Originating
Application (the “Wednesbury unreasonableness point”) the
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applicant submits that, even if she is wrong with respect to the
allegations that the DMR has acted ultra vires, and even if
there is some residual power on the part of the DMR to seek a
general monetary contribution towards external “roadworks”,
no reasonable concurrence agency could seek to collect sums
of money in the absence of some properly considered and
formally adopted policy dealing, in a transparent and
reviewable way, with at the very least:
(a) the extent, nature and timing of the works which require
funding;
(b) the cost of such works;
(c) the extent to which future developers should be required
to contribute to that funding; and therefore
(d) the extent to which any particular developer should be
required to contribute;
(e) a proper and reasonable amount to require from any
given developer.
That formally adopted policy or document has not yet come
into existence.
This is a clear use of “Wednesbury” unreasonableness.
CONCLUSION
48. The impugned condition is invalid and ought be struck from
the First Respondent’s concurrence agency response dated 16
October 2008.”
[30] The uncertainty/lack of finality issue is raised fairly often, but rarely successfully. I
encountered it fairly recently in Lucy v OCC Holdings Pty Ltd [2008] QPELR 398;
see [17] ff. In my opinion, there is no problem about a condition which refers to
another document, even a document not yet in existence, where a fallback means of
calculating the contribution is provided, as here – even one incorporating a
mechanism to allow for future events, such as inflation. Making obligations
dependant on a “future contract” or “future document” may well lead to
unenforceability for lack of finality or definiteness, “vagueness” as in Farmer v
Honan (1919) 26 CLR 183; see 192-3 and 197. The potential problem is avoided
by the provision the impugned condition makes, should there be no PIP.
[31] Wednesbury unreasonableness was identified and acted upon in Parmac Property
Pty Ltd v Redland City Council [2008] QPEC 120. It cannot be identified here. For
all the criticism of the lack of data available to be scrutinized, much of it emanating
from me, it is hardly tenable to identify unreasonableness in the approach of Mr
Upton, who stands as the decision maker. As Mr Hinson told the court (Transcript
p. 48 ff):
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“He says the model incorporates a connected network of local
Government and State-controlled roads serving the whole Sunshine
Coast Region. It is divided into traffic analysis zones, land use
planning data is determined to drive travel characteristics and travel
demands for each of those zones. Those zones are grouped into
sectors or districts for assessment of contributions. Additional
infrastructure to serve that future development is justified.
…
He is saying there was a computer model which exists. The
databases relating to it are the property of the Sunshine Council. The
model is jointly developed and owned by the Department and the
Council. The traffic from this development was put through the
model. The model does these things and it estimates the cost of
additional roads to service the future population and future
development…”
[32] For present purposes, I think it is right to accept the submission (Transcript p. 52)
that the applicant’s submissions “don’t deal at all with what the notion of an
assessment implies … the graphic modelling is simply a tool, an assessment tool to
assess the impacts”. It was the modelling that was used, in his submission, not the
draft PIP. Mr Hinson submitted there was no indication that the Department had
regard to the draft PIP in devising the condition. In the end, I think that is right. All
the applicant has to go on is a collection of references to a PIP, two in the condition
itself, the other in the letter from the first respondent’s delegate of 5 December 2008
explaining the default contribution amounts as “based on traffic modelling of future
land use and road network planning … (that the second respondent) is currently
using to formulate its … PIP.”
[33] Mr Skoien, for the second respondent indicated (Transcript p. 33) that he was not
making any submission about the concurrence agency’s response, which he
accepted the Council was obliged to follow. He told the court that if the impugned
condition is deemed to be ultra vires, “it may well be that the (development)
application has other considerations that apply to it.” He confirmed that the
application is in the decision stage of IDAS and that the Council has not yet decided
it or formed its own view about whether or not it accorded entirely with the
planning scheme or what might be relevant conditions. Those conditions may well
include contributions for road infrastructure in respect of the development’s
demands upon the local road network – as distinct from the State-controlled roads.
It was said that the Council has a policy about transport infrastructure contributions,
which will turn out to support such a condition (Transcript p. 52).
[34] The application will be dismissed.
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Official source: https://www.sclqld.org.au/caselaw/QPEC/2009/050