NEWSLETTER SUMMER 2015 This Edition Site-Specific Amendments to Local Environmental Plans Amendment to the Environmental Planning and Assessment Regulation 2000 (NSW) How Many Tenders Do I Need? The Importance of Building Life Cycle & Maintenance Costing Keeping the Faith: Contractual Good Faith Obligations eme n . anage ag nt . eme t A M m an I g S/ al en S a N t t M O n Z n . y a S e I t S i 9 M 4 l 0 m O a 8 0 S n 1 u 0 1 o H 4 1 r i Q 0 Copyright © 2015 EPM O v 0 n 1 E All Rights Reserved Global-Mark.com.au® Global-Mark.com.au® Global-Mark.com.au® SITE-SPECIFIC AMENDMENTS TO LOCAL ENVIRONMENTAL PLANS The dynamic nature of town planning and planning site investigations as exclusive the ongoing need for environmental planning review of the land use table and conventional instruments to reflect community values and LEP development standards may fail to identify objectives is such that a Local Environmental the actual development potential of the land. Plan (LEP) should not necessarily be regarded Vice-versa, when the actual development as a static, or rigid form of development potential of the land is not recognised by the control. land use table and conventional development standards, it may be appropriate to consider Sites that have either high development a planning proposal, either to rezone the potential (consistent with a broader strategic land, amend development standards, or to policy or strategy), unique characteristics, include an additional permitted use within or other environmental attributes, often Schedule 1 of an LEP. require preparation of a planning proposal to address an amendment to an LEP. Where If a new LEP does not translate each and there is sufficient strategic planning merit, every land use definition from a previous an LEP can be amended to allow for greater LEP, this may result in an existing approved flexibility by allowing development that may permissible use becoming a prohibited use. previously have been prohibited, or non- Consequently, the existing development may compliant with development standards. not comply with applicable development standards, but warrants the flexibility However, it is not always appropriate to continue operating and to undergo to rezone a site when the consequences of enlargement or intensification without such actions may lead to inappropriate having to rely upon existing use rights for development outcomes elsewhere within the purposes of any subsequent development a Local Government Area (LGA). In application (DA). This type of LEP amendment situations where a broad rezoning cannot would be an appropriate use of Schedule 1. be supported, but the site warrants unique consideration of a land use (or development standard) that would otherwise prohibit In this case, a Council (or the NSW (or restrict) development that is suitable for Department of Planning and Environment) the site, it may be appropriate to consider may opt not to adopt a rezoning due to inclusion of the site and/or any relevant the adverse consequences of allowing other proposal within Schedule 1 of an LEP as an forms of inappropriate development across ‘Additional Permitted Use’. an entire LGA in that particular (new/ default) zone. Instead, Schedule 1 is able Schedule 1 of an LEP has the ability to to recognise the unique attributes of the site recognise specific land uses and development and promote appropriate development that standards that prevail (to the extent of any is within the public interest, consistent with inconsistency) over the permissible and broader strategic policies/strategies and prohibited land use table contained within able to be carried out without creating any a conventional LEP. Furthermore, a site may significant adverse environmental impacts. require unique application of development standards such as height, or floor space ratio Please contact State Planning Services (FSR), which can also be recognised in this (SPS) regarding amendments to an LEP that manner. may be appropriate for your site. Hence, it is critical to check Schedule 1 of John McFadden an LEP when undertaking preliminary town Managing Director AMENDMENT TO THE ENVIRONMENTAL PLANNING AND ASSESSMENT REGULATION 2000 (NSW) Amendments to the Environmental Planning Ku-ring-gai, Lane Cove, Leichhardt, City of and Assessment Regulation 2000 (NSW) Liverpool, Manly, Marrickville, Mosman, North (EP&A Regulation) came into force on 28 Sydney, City of Parramatta, City of Penrith, October 2015. The amendments are designed Pittwater, City of Randwick, City of Rockdale, to improve the notification of neighbours to land City of Ryde, Strathfield, Sutherland Shire, subject to a complying development certificate. City of Sydney, The Hills Shire, Warringah, Waverley, City of Willoughby, Wingecarribee, Changes Wollondilly or Woollahra The requirement that certifying authorities The requirement that certifying authorities must give occupiers of neighbouring land must give occupiers of neighbouring land which 14 days written notice of an application is within 20 metres of the boundary of land that for a complying development certificate for is the subject of the complying development development on land (other than on land within certificate seven days written notice of the a residential release area) that is to be carried person’s intention to commence work for out on a lot that has a boundary within 20 development on land that is not in a residential metres of the boundary of another lot on which release area and that involves: a dwelling is located that involves: a new building, or development specified under any environmental planning instrument an addition to an existing building, or that involves any of the following: the demolition of a building – a new dwelling; will now only apply to land in category 1 local government areas (see – an addition to an existing list below). dwelling; All other land is a ‘catergory 2 local development specified in Part 7 of government area’. Land that is a catergory 2 State Environmental Planning Policy local government area only needs to give two (Exempt and Complying Development days’ written notice. Codes) 2008 (the Demolition Code, or Category 1 local government areas means Ashfield, City of Auburn, City of development specified in Division 2 Bankstown, City of Blacktown, City of Blue or 7 of Part 2 of State Environmental Mountains, City of Botany Bay, Burwood, Planning Policy (Affordable Rental Camden, City of Campbelltown, Canada Housing) 2009, Bay, City of Canterbury, City of Fairfield, City of Hawkesbury, City of Holroyd, Hornsby, will now only apply to land in Hunter’s Hill, City of Hurstville, City of Kogarah, applicable local government areas (see Ku-ring-gai, Lane Cove, Leichhardt, City of list below). Liverpool, Manly, Marrickville, Mosman, North Sydney, City of Parramatta, City of Penrith, Applicable local government area Pittwater, City of Randwick, City of Rockdale, means Ashfield, City of Auburn, City of City of Ryde, Strathfield, Sutherland Shire, Bankstown, City of Blacktown, City of Blue City of Sydney, The Hills Shire, Warringah, Mountains, City of Botany Bay, Burwood, Waverley, City of Willoughby, Wingecarribee, Camden, City of Campbelltown, Canada Wollondilly or Woollahra. Bay, City of Canterbury, City of Fairfield, City of Hawkesbury, City of Holroyd, Hornsby, Patrick Holland Hunter’s Hill, City of Hurstville, City of Kogarah, Partner HOW MANY TENDERS DO I NEED? The process of tendering has many factors B. Current and future project workload to consider such as which firms to select for submitting a tender, how long should the tender C. Suitability of its firm to the type of period be, and how many Tenderers should be project included in the tender panel. D. Size of project The decision about the number of Tenderers to seek submissions from will be informed by a E. Competing Tenderers number of factors: F. Assessment of risk in the project 1. Current market conditions Of these factors, only item E is initially the 2. The number of experienced firms for most unknown factor. During the tender process the project it ultimately becomes apparent to all Tenderers who their competition is and how many firms 3. Responses to an Expression of Interest will be submitting tenders. This will invariably campaign cause the Tenderers to approach the tender in a manner particular to its circumstances at that time. For this reason, in order to avoid 4. Scale of project the decisions of Tenderers to withdraw from tendering due to the competition, or take a less 5. Existing sample of pre qualified firms considered approach due to the perception that for tendering there are too many Tenderers, it is best to be transparent at the commencement of the tender 6. Time constraints process. The primary intention of any competitive Advising each Tenderer of the proposed tender process will be to receive comprehensive, tender panel size and the competing firms well considered, and price competitive allows the Tenderer to more fully consider its submissions. Receiving such submissions can commitment to the tender process and in turn be achieved from a panel of two Tenderers as provide the same commitment to the Client that well as from a panel of six Tenderers. However it will submit a comprehensive, well considered, there are some fundamental considerations to and price competitive submission. This in be explored before making a decision on the turn allows the Client to make its decision on number of Tenderers to select. whether, for example, a small panel of 3 or a large panel of 6 Tenderers