Page 1148 - Week 04 - Thursday, 21 March 1991

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change in purpose; permitted gross floor area - in other words, if there is an increase in the development rights allowed for, for example, from two-storey to three-storey, provided it fits within the policy plan, that would allow us, the people of the ACT, to take the appropriate revenue from that; or subdivision.

It is those three areas that are important. If there is an increase in value, then the community should take that benefit. Obviously, if there is no increase in value, no betterment would be paid. That is one of the reasons why we, the Government, are unable to accept Mr Moore's proposed amendment No. 1. Quite frankly, it does not go far enough or wide enough in relation to that matter.

Certainly, Mr Speaker, it is accepted that leases should still be granted on free or concessional bases to organisations which provide services to augment the Government's social or community infrastructure. However, it is, of course, appropriate that a lease granted for community purposes on concessional or free terms should be owned only by a community organisation. If that community organisation which has the lease under the City Area Leases Act - or CALO Act - as opposed to the Leases (Special Purposes) Act decides to transfer the lease - that is a lease that has a community purpose in it - to a commercial organisation, then it is appropriate that a charge be levied which represents the revenue forgone by the community when the lease was originally granted. That is clearly part of the Government's upgrading of the lease administration.

The City Area Leases (Amendment) Bill sets out the basis on which these concessional leases may be transferred. The Bill also amends section 11A(1) of the City Area Leases Act to allow the ACT Supreme Court upon application by the lessee to amend any provision of the lease. Previously the court could consider only changes to purpose clauses. That was one of the problems because, if we are going to accept the suggestion that it is possible - provided that there are appropriate planning mechanisms in place - to allow the transfer of leases under a similar provision to section 72A, it would be appropriate at that time for such leases to be slightly upgraded and modernised to meet with current trends and arrangements. Therefore, this provides the flexibility, during this interim period, for the courts to upgrade those leases at that time. But any changes, of course, must be consistent with both the National Capital Plan and the Territory Plan.

Mr Speaker, appeal rights in respect of the determination of betterment charges and premiums payable on the transfer of concessional leases are provided for in the Bill. The provision of the City Area Leases (Amendment) Bill will be continued in the proposed planning and land use legislative package. The changes to the existing legislation ensure


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