LOCAL GOVERNMENT ACT 1995 - SECT 6.38
LOCAL GOVERNMENT ACT 1995 - SECT 6.38
6.38 . Service charges
(1) A local government
may impose on —
(a)
owners; or
(b)
occupiers,
of land within the
district or a defined part of the district a service charge for a financial
year to meet the cost to the local government in the provision of a prescribed
work, service or facility in relation to the land.
(2) A local government
is required to —
(a) use
the money from a service charge in the financial year in which the charge is
imposed; or
(b) to
place it in a reserve account established under section 6.11 for the purpose
of that work, service or facility.
(3) Where money has
been placed in a reserve account under subsection (2)(b), the local government
is not to —
(a)
change the purpose of the reserve account; or
(b) use
the money in the reserve account for a purpose other than the work, service or
facility for which the charge was imposed,
and subsections (2),
(3) and (4) of section 6.11 do not apply to such a reserve account.
(4) A local government
may only use the money raised from a service charge —
(a) to
meet the cost of providing the specific service for which the work, service or
facility charge was imposed; or
(b) to
repay money borrowed for anything referred to in paragraph (a) and interest on
that money.
(5) If a local
government receives more money than it requires from the service charge
imposed under subsection (1)(a) it —
(a) may,
and if so requested by the owner of the land, is required to, make a refund to
the owner of the land which is proportionate to the contributions received by
the local government; or
(b) is
required to allow a credit of an amount proportionate to the contribution
received by the local government in relation to any land on which the service
charge was imposed against future liabilities for rates or service charges in
respect of that land.
(6) If a local
government receives more money than it requires from the service charge
imposed under subsection (1)(b) it is required to make a refund to the person
who paid the service charge which is proportionate to the contributions
received by the local government.
(7) This section
applies in respect of a prescribed work, service or facility even if the work,
service or facility is not provided, or not wholly provided, by a local
government if the local government has facilitated or participated in the
provision of the work, service or facility.
(8) Where —
(a)
before the coming into operation of the Local Government Amendment Act 2012
Part 2 Division 5, a service charge was imposed, or purportedly imposed, under
this section by a local government for the purpose of the provision of
underground electricity; and
(b) the
underground electricity was not, or will not, be provided, or not wholly
provided, by the local government,
the charge is, and is
taken always to have been, as validly imposed under this section as it would
have been if, at the time of the imposition of the charge, the amendments
effected by Local Government Amendment Act 2012 Part 2 Division 5 had been in
effect and the provision of underground electricity had been a prescribed
work.
[Section 6.38 amended: No. 2 of 2012 s. 21.]