Newcastle council has endorsed a plan to spend $10 million in developer contributions this financial year on Bathers Way, cycleways, parks and suburban precincts.
The plan identifies $50 million in community infrastructure projects over the next two years which will be financed partly from the contributions fund, which stood at almost $30 million on June 30.
The projects include $3.8 million at Christ Church Cathedral Park, $1 million on Passmore Oval, $1.75 million at National Park, $1.5 million at Hamilton's Gregson Park and smaller amounts at Wallsend's Federal Park, Tarro reserve, Jesmond Park and Waratah Park.
Developer contributions are collected via a levy on projects across the city, excluding single dwellings and renovations.
The levy is 0.5 per cent of the total value of developments between $100,000 and $200,000 and 1 per cent above $200,000.
Development in the city centre is levied at higher rates, including 3 per cent on projects worth more than $250,000. For example, the developer of a $50 million inner-city apartment tower or office building pays $1.5 million in contributions.
The contributions plan is a guide to how the money will be spent.
The council approved a billion dollars in development applications in three consecutive years between 2016-17 and 2018-19 and $590 million in 2019-20.
Other projects to be partly funded by developer contributions in the next two years include $7.45 million on Bathers Way at King Edward Park and South Newcastle beach.
Cycleway projects, including $530,000 in Wallsend, $1 million in Jesmond and more than $1 million each on paths into the city centre from Adamstown and Merewether, will also receive money from the fund.
The levy is also helping to pay for neighbourhood centre upgrades in Merewether, Stockton, Kotara, New Lambton, Wallsend and Shortland.
Lake Macquarie City Council found itself in hot water this year after lending itself $44 million in restricted money from its contributions fund over 20 years to prop up its general expenditure.
The troubled Central Coast Council also accessed its restricted reserves as it slipped into a financial crisis which has led to the appointment of an administrator.
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