Page 503 - Week 02 - Wednesday, 19 March 2014
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ventures. However, this does not mean that the government has abandoned these development options. The current program includes releases of various sizes to the market which will create a range of opportunities for local builders. In order to ensure that we capture the needs of the widest possible range of players in the local construction industry, parcels will vary from small lots of three to 10Â dwellings to mini englobo sites of around 300.
The Land Development Agency is establishing a taskforce to work with the MBA, the HIA and the Property Council to determine the most appropriate processes for future releases. The change in policy gives smaller and medium-sized building firms better access to work in the territory. The next such release will be for 500 dwellings in Moncrieff in the coming months. Blocks will be packaged into lots of between two and eight sites and offered by a restricted ballot. Blocks will be sold via put and call options, allowing builders to introduce individual purchasers to the LDA. This will support industry in managing demand and staff retention as well as providing alternative purchase options for home owners.
Turning now to portable long service leave levies, the government will not commit to putting on hold future increases to the construction industry portable long service leave levy. It is important to note that any decision to increase the levy is never taken lightly. The latest increase in the levy occurred last year and came at the recommendation to government from the Long Service Leave Authority Board and was based on full actuarial advice. The board is made up of independent members as well as members who represent both employer and employee organisations.
The government is certainly aware of, and is reluctant to impose, additional costs on industry through an increase in the levy. However, it is obliged to fully consider any recommendation made by the board, and in doing so needs to balance the competing interests of the industry with the viability of the scheme. It should be noted here that the portable long service leave levy is calculated on wages and not on the cost of building. The government is aware of the need to reduce red tape on business. However, adjusting the amount of the levy does not change the administrative requirements employers must comply with.
It is important to note that the levy is about protecting the rights of workers. The levy is an important measure to ensure hard-working staff in the construction sector enjoy the benefits of their long service to the industry, and it is very disappointing that once again the Canberra Liberals cannot accept this.
Turning now to the planning authority, the ACT is a national leader with respect to the time taken for decision-making under the development application assessment process. In the 2012-13 financial year, the Planning and Land Authority performed better than the accountability indicator of 75 per cent of development applications determined within time. During the same period, the median processing time for development applications was 30 working days. In councils in Sydney and Melbourne it is five and six times that period, 150 to 180 days for approvals. The authority only requests further information where it is necessary to make a decision for a development application.
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