This section provides information on the minimum, median and maximum charges that resource consent applicants face (appendix 6, questions 3.1–3.3). Under the Local Government Act 2002 (LGA), local authorities must adopt funding and financial policies to provide predictability and certainty about the sources and levels of their funding. Although most local authority funding of resource consent application processing is derived from fees and charges to the applicant, some subsidise their fees and costs using other income streams (eg, rates).
Section 36 of the RMA allows a local authority to charge for resource consent application processing (including receiving and granting resource consents). Such charges must be fixed in accordance with the LGA.
Data limitations
The data reported in this section has a number of limitations due to the fact that:
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a small number of local authorities provided estimated charges
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a small number of local authorities provided standard charges rather than the actual amounts paid by applicants
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some local authorities only processed one or two consent applications for some consent types, and so the charging information they provided may not be representative (this is particularly relevant for notification types processed less often; ie, notified and limited notified)
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two local authorities could not provide information on charges due to limitations in their recording systems.
One local authority recorded notified and limited notified consent applications together, and so only its results for non-notified consents have been included in the following analysis.
Regional council and unitary authority charges
Due to the small number of unitary authorities, information on unitary authority charges has been combined with that of regional councils. However, it is acknowledged that because unitary authorities have functions of both territorial authorities and regional councils, their minimum, median and maximum charges will differ from those of other local authorities.
Table 11 shows the average minimum, median and maximum charges levied by regional councils and unitary authorities for each consent and notification type in 2007/2008. The ranges of average median charges were, in descending order:
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notified consent applications: $5365–$9924
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limited notified consent applications: $1067–$4223
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non-notified consent applications: $717–$811.
In short, notified consent applications had higher average median charges than limited notified consent applications, and limited notified consent applications had higher average median charges than non-notified consent applications.
The highest average charge was $38,779 – the average maximum charge for notified discharge consent applications. The lowest average charge was $128 – the average minimum charge for non-notified land-use consent applications.
Table 11 does not include information on subdivision consent application charges because regional councils do not process subdivision consent applications, and only limited information was provided by unitary authorities.
Table 11: Regional council and unitary authority average charges to applicants for consent application processing, by consent type and notification type, 2007/2008
| Consent type | Notification type | Average minimum charge | Average median charge | Average maximum charge | Number of local authorities providing data |
|---|---|---|---|---|---|
| Land use | Notified | $1,615 | $6,421 | $31,765 | 12 |
| Limited notified | $1,021 | $2,653 | $8,858 | 15 | |
| Non-notified | $128 | $811 | $4,975 | 16 | |
| Water | Notified | $2,130 | $5,365 | $31,739 | 13 |
| Limited notified | $1,780 | $4,223 | $9,041 | 13 | |
| Non-notified | $153 | $717 | $7,068 | 15 | |
| Coastal | Notified | $3,905 | $7,165 | $12,974 | 12 |
| Limited notified | $973 | $1,067 | $2,077 | 7 | |
| Non-notified | $404 | $731 | $3,947 | 15 | |
| Discharge | Notified | $3,386 | $9,924 | $38,779 | 13 |
| Limited notified | $1,578 | $3,598 | $11,511 | 14 | |
| Non-notified | $143 | $778 | $9,559 | 15 |
Source: 2007/2008 RMA survey data.
Comparisons of median charges, by notification type
Figures 17a–17c compare the ranges of the average median charges levied by regional councils and unitary authorities in 2007/2008 with the previous two survey results according to the different notification types. The ranges are formed from the highest and lowest average median charge for each notification type. For example, the 2007/2008 range for notified consent applications (figure 17a) uses the average median charge for a notified discharge consent application for the upper range and the notified water charge for the lower range. This is because for notified consent applications, charges for discharge consent applications are the highest, on average, of the four consent types and charges for water consent applications are the lowest, on average, of the four consent types. The charges are provided in 2003/2004 dollars to remove any inflationary effect and to allow a direct comparison to be made across years.
It is important to note that more complex consent applications need more processing work and are therefore likely to have higher charges than less complex consent applications. However, the survey questions do not take consent application complexity into account. This makes it difficult to determine whether the consent application charges have changed over time, whether the complexity of consent applications have changed over time, or if it is a combination of the two.
Figures 17a and 17b show that the ceiling for average median charges for notified and limited notified consent applications dropped in 2007/2008. The highest ceiling charges were in 2005/2006. Conversely, the entire range of average median charges for non-notified consent applications rose in 2007/2008 (figure 17c); that is, there is no overlap between the 2007/2008 range of charges and those in previous survey years.
In some years, the range of average median charges is clearly larger than in other years – such as the 2005/2006 range in figure 17b. These larger ranges indicate greater variation in the average median charges for the different consent types.
Figures 17a–c: Ranges of the average median charges for regional councils and unitary authorities, by notification type, in 2003/2004 prices, 2003/2004–2007/2008
Figure 17a: Ranges of the average median charges for notified consent applications, by regional councils and unitary authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $3,198 | $8,841 |
| 2005/2006 | $3,923 | $10,172 |
| 2007/2008 | $4,767 | $8,818 |
Figure 17b: Ranges of the average median charges for limited notified consent applications, by regional councils and unitary authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $1,414 | $2,126 |
| 2005/2006 | $1,436 | $7,992 |
| 2007/2008 | $948 | $3,752 |
Figure 17c: Ranges of the average median charges for non-notified consent applications, by regional councils and unitary authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $350 | $598 |
| 2005/2006 | $400 | $595 |
| 2007/2008 | $637 | $720 |
Source: 2007/2008 RMA survey data and published survey reports for the periods indicated.
Territorial authority charges
Table 12 shows the average minimum, median and maximum charges for subdivision and land-use consent applications made by territorial authorities in 2007/2008. The ranges of average median charges were, in descending order:
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notified consent applications: $7148–$23,934
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limited notified consent applications: $4139–$4816
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non-notified consent applications: $861–$1243.
As with regional councils and unitary authorities, notified consent applications had higher average median charges than limited notified consent applications, and limited notified consent applications had higher average median charges than non-notified consent applications. The highest average charge was $62,025 – the average maximum charge for notified land-use consent applications. The lowest average charge was $213 – the average minimum charge for non-notified land-use consent applications.
Table 12 does not include information on water, coastal or discharge consent application charges because territorial authorities do not process these types of consents.
Table 12: Territorial authority average charges to applicants for consent application processing, by consent type and notification type, 2007/2008
| Consent type | Notification type | Average minimum charge | Average median charge | Average maximum charge | Number of local authorities providing data |
|---|---|---|---|---|---|
| Subdivision | Notified | $4,961 | $7,148 | $14,836 | 53 |
| Limited notified | $3,386 | $4,816 | $6,722 | 43 | |
| Non-notified | $386 | $1,243 | $11,182 | 66 | |
| Land use | Notified | $16,629 | $23,934 | $62,025 | 52 |
| Limited notified | $1,953 | $4,139 | $11,601 | 55 | |
| Non-notified | $213 | $861 | $18,711 | 66 |
Source: 2007/2008 RMA survey data.
Comparisons of median charges, by notification type
Figures 18a–18c compare the ranges of the average median charges levied by territorial authorities in 2007/2008 with the previous two survey results according to the different notification types. The ranges are formed in a similar way to those in figures 17a−17c. The charges are provided in 2003/2004 dollars to remove any inflationary effect and to allow a direct comparison to be made across years.
It is important to note that more complex consent applications need more processing work and are therefore likely to have higher charges than less complex consent applications. However, the survey questions do not take consent application complexity into account. This makes it difficult to determine the degree to which changing charges over time are caused by changes in the complexity of consent applications.
In 2007/2008 territorial authority charges for notified and limited notified consent applications increased (figures 18a and 18b). Figure 18a shows that the entire range of average median charges for notified consent applications was higher in 2007/2008 than in the previous two surveys; that is, there is no overlap between the 2007/2008 range of costs and those in previous surveys. The range was also considerably larger than in the previous two surveys.
The lack of overlap between the ranges in figure 18b highlights the increase in the average median charges for limited notified consent applications between each survey year. Conversely, in 2007/2008 there was some reduction in territorial authority charges for non-notified consent applications (figure 18c). The uppermost average median charge for non-notified consent applications was much lower in 2007/2008 than in the previous survey.
In some years the range of average median charges is clearly larger than in other years – such as the 2007/2008 range in figure 18a. These larger ranges indicate greater variation in the average median charges for the different consent types.
Figures 18a–c: Ranges of the average median charges for territorial authorities, by notification type, in 2003/2004 prices, 2003/2004–2007/2008
Figure 18a: Ranges of the average median charges for notified consent applications, by territorial authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $4,080 | $6,047 |
| 2005/2006 | $5,312 | $6,405 |
| 2007/2008 | $6,351 | $21,266 |
Figure 18b: Ranges of the average median charges for limited notified consent applications, by territorial authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $1,896 | $2,326 |
| 2005/2006 | $2,447 | $2,827 |
| 2007/2008 | $3,678 | $4,279 |
Figure 18c: Ranges of the average median charges for non-notified consent applications, by territorial authorities, in 2003/2004 prices, 2003/2004-2007/2008
| Survey period | Lower range (2003/2004$) | Upper range (2003/2004$) |
|---|---|---|
| 2003/2004 | $407 | $681 |
| 2005/2006 | $824 | $2,596 |
| 2007/2008 | $765 | $1,104 |
Source: 2007/2008 RMA survey data and published survey reports for the periods indicated.
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Charges
June 2009
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