Business Association News

16 February 2010

Businesses assisted by withdrawal of ‘cash for parking’

The North Shore City Council has withdrawn the District Plan rules that required cash payments where businesses could not satisfy car parking standards.

Plan Change 11, known as the ‘cash in lieu of parking’ rule, enabled cash payments to council by developers or business operators who did not comply with on-site parking rules in town centres.

The cash was used by council to develop public off-street parking spaces to offset the lack of parking by businesses or new developments. The ’cash in lieu’ rule extended a form of regulation first established under the Local Government Act 1974.

Council decided that the withdrawal of Plan Change 11 would have more benefits than downsides. Small businesses previously having difficulty getting started due to cash payments that were relatively large can now commence, provided the overall parking situation is acceptable.

Businesses or offices with many employees can address parking shortfalls through various mitigating measures, including staff travel management plans.

North Shore’s ‘cash in lieu’ rules were seen by businesses as a comparative disadvantage within wider Auckland, and a disincentive to business growth. The withdrawal brings North Shore in line with other Auckland councils, who seldom use ‘cash in lieu’ rules.

Strategy and Finance Committee Chair, Councillor Grant Gillon says, “This is good news for business and for North Shore. Not only does it support small businesses who need to control their costs, but it also helps to achieve a level playing field across the Auckland region.”

Another factor in the decision to withdraw Change 11 was a desire to direct resources into ‘comprehensive parking management plans’ for town centres, leading up to the Supercity on 1 November this year. This work will run in parallel with a review of on-site parking standards applicable to town centres.

These studies will enable North Shore’s centres to benefit from any future parking management changes by the new Auckland Council.

For more information please contact:

Ewen Patience, Senior Environmental Policy Adviser, on (09) 486 8600 ext. 8951

Lisa Inder, North Shore City Council Marketing and Communications Adviser, on (09) 486 8600 ext. 8000 or 027 231 3765.