A Council Cost Report, or otherwise known as Section 94 report, is a document that developers are required to submit when they plan on building a residential, commercial or industrial structure.
A council cost report is filled out and submitted together with the Development Application (DA) and Construction Certificate (CC). The document is presented directly to your local council. Depending on the overall costs of the project, two types of council cost reports forms are available. Investors need to prepare one type of form for projects that are estimated to cost under $500,000, and another form is submitted for projects that are worth over $500,000.
Once the cost of a certain construction project reaches and surpasses a certain value, a great number of NSW councils demand a professionally made “Registered Quantity Surveyor’s Cost Report”. The value of these costs is usually between $500,000 and $3,000,000. This report is necessary to verify the construction costs.
This is also a supplementary document to the DA or CC certifications.
The purpose of the report is to enable the calculation of the fees for Section 7.12 contributions. Section 7.12 was previously known as Section 94 Contributions.
A section 94 contribution is a fee that an investor must pay to their local council. This fee is paid when the estimation of a construction projects reaches or is higher than $500,000. The contribution is then implemented in regional infrastructure or amenities for the benefit of the local community.