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What is a GAIC Recording?2 December, 2010
The Planning and Environment Act 1987 (Vic) (‘the Act’) was amended by the Planning and Environment Amendment (Growth Areas Infrastructure Contribution) Act 2010 (Vic) on 1 July 2010. The amendments created new requirements for purchasers of certain land or owners undertaking subdivision or obtaining building permits on certain land to pay a growth areas infrastructure contribution (‘GAIC’). At this time the GAIC currently payable is $80,000 or $95,000 per hectare depending on the type of land.
Properties affected by these changes include four categories of land set out in s.201R and s.201RC(2)-(5) of the Act. In general terms it includes land brought into the Urban Growth Boundary (‘UGB’) between 28 November 2005 and 31 December 2006, or land in the UGB after 2 December 2008 as well as land in the Melton Shire council plan LEGL./09-317 brought within the UGB after 19 May 2010. Practitioners should look very carefully at the definitions in the Act. It will include land in the shires of Casey, Hume, Melton, Mitchell, Whittlesea, and Wyndham.
Land that is subject to GAIC payments will have a notice registered on title (‘GAIC recording’). The notice is worded: ‘NOTICE Section 201UB Planning and Environment Act 1987’.
It makes no mention of GAIC in the wording. All practitioners and staff practicing in the property area should be aware of the name of this notice and that it means that a GAIC may be payable on this land.
These notices were only placed on title between 1 and 12 July 2010 for some land and on 4 or 30 August 2010 for other land. Practitioners should ensure they have up to date title searches for land in the relevant shires to ensure any GAIC recordings are disclosed.
Practitioners should also make themselves familiar with the new s.32(2)(da) and s.32(3)(f) of the Sale of Land Act 1962 (Vic). These new provisions require a notice to purchasers in the vendor’s statement where there is a GAIC recording on title and also that various certificates be attached to the vendor’s statement.