Conflict of Interest Policy: Council Related Development Applications

Amendments to the Environmental Planning and Assessment Regulation 2021

Forthcoming amendments to the Environmental Planning and Assessment Regulation 2021, will require all councils in New South Wales to adopt a policy that specifically deals with council‑related development applications and associated conflicts of interest. The policy sets out how Council will determine applications for Council related development in a fair and consistent manner.

The Environmental Planning and Assessment Regulation 2021 will come into effect on 3 April 2023. The legislative changes are intended to address the situations where the Council is both the applicant and regulator for particular development applications. This might arise when a Council is undertaking property renewal or replacement activities and it is intended to ensure that any conflicts of interests are appropriately identified and managed. For example this might arise when Council is required to lodge development application to construct a community facility such as a public swimming pool, community centre or similar project.

The legislative amendments have introduced the following requirements:

1. Councils must adopt and have a policy that specifies how conflicts of interest in connection with council-related development applications will be handled. The policy must comply with the requirements of the NSW Government issued Guidelines.

2. Council-related development applications must now be accompanied by either a management strategy statement, which explains how the council will manage potential conflicts of interest, or a statement that the council has no management strategy for the application.

3. Councils must record conflicts of interest in connection with each council-related development application, and the measures taken to manage the conflicts, in their existing DA register.

4. Council-related development applications must be exhibited for a minimum of 28 days to ensure transparency during the assessment process.

Burwood Council: Conflict of Interest Policy: Council Related Development Application

The policy outlines the procedures for the assessment of applications for Council related development. It requires that a statement be prepared to accompany the application which clearly states the management measures that will be used to ensure that any conflict of interest is appropriately managed. The management steps will vary based upon the nature of the application, likely impacts and the capital investment value (construction cost) of the proposal. Steps that Council might take could include peer review of an recommendation by a senior planning officer, appointment an external consultant to assess the application or publication of information about the development on Council’s website.