Plan affordable rental housing

The Housing SEPP also contains provisions which aim to retain affordable rental housing. These provisions enable local councils to impose a levy on a development if it is going to result in the loss of existing low cost rental housing. Funds collected in this way are then used by the NSW Government to support the development of affordable housing by community housing providers in the area where the funds were levied.

The NSW Department of Planning, Housing and Infrasstructure has developed guidelines for retaining existing affordable housing which detail how to implement these provisions, including when and how to impose a levy and what to do with the funds collected.

Payment and transfer of levies collected

The Minister for Planning issued a direction under section 7.33 of the Environmental Planning and Assessment Act 1979 requiring the consent authority, upon receiving the contribution in the form of a levy, to transfer it to the Secretary, NSW Department of Communities and Justice. These contributions will be used to fund community housing providers to develop local affordable housing projects in the area in which they were levied.  The Community Housing Branch within Homes NSW and DCJ works with councils to realise affordable housing projects using these funds.

Local councils should:

• follow the link here to the Housing SEPP Contributions form DOCX, 43.66 KB, email it to CAH@facs.nsw.gov.au ,  and Homes NSW will send an Electronic Funds Transfer (EFT) form and explain the next steps.
• And here is the link to the information on the DPHI website about retention of affordable housing which includes the Ministerial Direction

For more information about affordable housing, or if you have a question, contact us at CAH@homes.nsw.gov.au.