Land Acquisitions

Councils have broad roles and responsibilities in their communities, including the provision of facilities and the supply of public services, for example, the widening of roads, increased community park areas, or the expansion of water and sewerage services. It is recognised that a council will sometimes need to acquire land, or an interest in land such as an easement, to achieve its roles and responsibilities as its community’s needs change.

A council’s powers to acquire land or an interest in land for the purpose of exercising its functions are derived from section 177 of the Roads Act 1993 (for roads purposes) and from section 186 of the Local Government Act 1993 (for all other purposes). A council’s power to acquire land or in interest in land is non-delegable and the decision to undertake the acquisition must be made by a resolution of the council.  Section 178 of the Roads Act 1993 and section 187 of the Local Government Act 1993 authorises a council to acquire such land or interest in land by agreement or by compulsory process in accordance with the Land Acquisition (Just Terms Compensation Act) 1991.

The acquisition process is governed by the Land Acquisition (Just Terms Compensation) Act 1991. Councils must also ensure they are in compliance with the Property Acquisition Standards, the Minimum Requirements – Minimum Negotiation Period for Acquisition of Land, and the Minimum Requirements – Owner-Initiated Acquisition in Cases of Hardship.

In accordance with section 178 of the Roads Act 1993 and section 187 of the Local Government Act 1993,a council may not give a proposed acquisition notice under the Land Acquisition (Just Terms Compensation) Act 1991 without the approval of the Minister for Local Government. Councils should refer to the Office of Local Government Guidelines for the Compulsory Acquisition of Land by Councils for further guidance.

An acquisition of land or an interest in land that is available for public sale falls outside of the terms of the Land Acquisition (Just Terms Compensation Act) Act 1991.

A council should seek and be guided by its own legal advice in relation to any acquisitions it undertakes.

Links

 

Office of Local Government Circulars

Frequently asked questions

  • What does a council need to provide when making an application to the Minister for Local Government to compulsorily acquire Crown land or an interest in Crown land?

    The following information must be provided to the Office of Local Government:

    • Completed Application Form (which can be found in the Office of Local Government Guidelines for the Compulsory Acquisition of Land by Councils).
    • Clear copy of the registered acquisition plan or deposited plan that has been marked (by coloured edging or some other means) to identify the land or interest the council is proposing to acquire. Unregistered plans will not be accepted.
    • Copy of the approved council minutes authorising the acquisition and the making of an application to the Minister for Local Government and the Governor. If the resolution includes a property description that is different to that which is included in the registered acquisition plan, written confirmation that they are the same property will also need to be provided. Model resolutions and property description confirmation examples can be found here.
    • Copy of the report to the council recommending the compulsory acquisition and the making of an application to the Minister for Local Government and the Governor.
    • Copies of the following searches (all searches must be less than 12 months old):

    The searches must be of the land burdened by the interest to be acquired, or of the land to be acquired or, where the land to be acquired is identified in a registered acquisition plan, of the “parent lot” of the land to be acquired.

    • Correspondence from the Department Planning, Industry and Environment – Crown Lands confirming it has no objection to receiving a proposed acquisition notice. This correspondence must be less than 12 months old. For details on how to obtain this correspondence, please refer to Department Planning, Industry and Environment – Crown Lands (industry.nsw.gov.au/lands/access/compulsory-acquisition).
    • Where an Aboriginal Land Claim has been identified in the Aboriginal Land Claims Register search, a copy of the written agreement from the NSW Aboriginal Land Council and the local Aboriginal Land Council for their withdrawal of the Aboriginal Land Claim or their removal of the land the subject of the proposed compulsory acquisition from the existing Aboriginal Land Claim.
    • Where a Native Title Claim, Native Title Determination or Indigenous Land Use Agreement has been identified in the Native Title Register search, confirmation of the names of the parties to the Claim, Determination or Indigenous Land Use Agreement.
    • Written agreement to the compulsory acquisition from any Crown Land Managers, Local Land Services, beneficiaries of easements, tenure holders or any other person or party that has been identified as holding an interest in the land. Please refer to Department Planning, Industry and Environment – Crown Lands for details on how to ascertain who those parties may be (industry.nsw.gov.au/lands/access/compulsory-acquisition).

    Depending on the circumstances, additional information and documentation may be required (for example, where the council intends to re-sell the land after acquisition or where the council contends that Native Title has been extinguished).  Councils should refer to the Office of Local Government Guidelines for the Compulsory Acquisition of Land by Councils for further guidance.

  • What does a council need to provide when making an application to the Minister for Local Government to compulsorily acquire private land or an interest in private land?

    The following information must be provided to the Office of Local Government:

    • Completed Application Form (which can be found in the Office of Local Government Guidelines for the Compulsory Acquisition of Land by Councils).
    • Clear copy of the registered acquisition plan or deposited plan that has been marked (by coloured edging or some other means) to identify the land or interest the council is proposing to acquire. Unregistered plans will not be accepted.
    • Copy of the approved council minutes authorising the acquisition and the making of an application to the Minister for Local Government and the Governor. If the resolution includes a property description that is different to that which is included in the registered acquisition plan, written confirmation that they are the same will also need to be provided. Model resolutions and property description confirmation examples can be found here.
    • Copy of the report to the council recommending the compulsory acquisition and the making of an application to the Minister for Local Government and the Governor.
    • Copy of the Title search. The search must be of the land burdened by the interest to be acquired, or of the land to be acquired or, where the land to be acquired is identified in a registered acquisition plan, of the “parent lot” of the land to be acquired and must be less than 12 months old.
    • Evidence of the council’s contact and negotiations with all affected landowners. The council must ensure that the evidence provided demonstrates how it has complied with Standard 1, Standard 2 and Standard 4 of the Property Acquisition Standards, section 10A of the Land Acquisition (Just Terms Compensation) Act 1991, the Minimum Requirements – Minimum Negotiation Period for Acquisition of Land, and the Minimum Requirements – Owner-Initiated Acquisition in Cases of Hardship (whichever is applicable). If an agreement on all matters has been reached with the landowner, a copy of the executed agreement must be provided.

    Depending on the circumstances, additional information and documentation may be required (for example, where the council intends to re-sell the land after acquisition or where the application is for an owner-initiated acquisition).  Councils should refer to the Office of Local Government Guidelines for the Compulsory Acquisition of Land by Councils for further guidance.

     

  • How long will the compulsory acquisition process take?

    The amount of time a compulsory acquisition will take to complete will vary and is dependent on a variety of factors including, but not limited to, negotiations with all affected landowners.

    Under the Office of Local Government’s Guarantee of Service, we aim to process applications for compulsory acquisitions within 90 days of receipt of all the required information and documentation.

    Below is a sample timeline where proposed acquisition notices (PANs) are required to be given.

     

    Minister’s approval to give a PAN granted

    s178(2) of the Roads Act 1993 and s187(2) of the Local Government Act 1993

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     Timeframe under Council’s control.

    PAN should be given as soon as practicable.

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    Council gives a PAN and Claim for Compensation Notice to all landowners

    Council notifies the NSW Registrar General and the NSW Valuer General

    s11, s17 & s18 Land Acquisition (Just Terms Compensation Act) 1991

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    90 days

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    Expiration of minimum period of notice

    s13 Land Acquisition (Just Terms Compensation Act) 1991

    The Office of Local Government will submit the Acquisition Notice for the Governor’s Approval upon the expiration of the minimum period of notice and will notify Council when that approval has been granted. Council is to arrange for the approved Acquisition Notice to be published in the NSW Government Gazette within the prescribed period. The land or interest in land is vested in Council on the date of publication in the NSW Government Gazette.

    s19 & s20 Land Acquisition (Just Terms Compensation Act) 1991

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    30 days

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    The PAN is taken to have been withdrawn if the approved Acquisition Notice has not been published in the NSW Government Gazette within 120 days after the PAN was given (or within such longer period agreed to in writing by all affected landowners). Council may not give a further PAN in respect of the land within 12 months after the date of withdrawal unless the Minister for Local Government is satisfied that in the circumstances of the case a further notice within that period is justified.

    s14(2) & s14(3) Land Acquisition (Just Terms Compensation Act) 1991

     

    The Office of Local Government and the Minister for Local Government’s involvement in the compulsory acquisition process ends here. Questions relating to or requests for any Ministerial intervention during post-acquisition procedures under the Land Acquisition (Just Terms Compensation Act) 1991 should be raised with the Property Acquisition NSW or referred to the Minister for Water, Property and Housing.

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    45 days from Gazettal

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    Council must give the former owners of the land written notice of the compulsory acquisition, their entitlement to compensation and the amount of compensation offered (as determined by the NSW Valuer General)

    s42 Land Acquisition (Just Terms Compensation Act) 1991

  • Where can I go for more information?