This report describes the current status of work on the Development Approval Project. It outlines the activities undertaken since August 1998, identifies recommended priorities for the coming year and it highlights matters pertinent to the further implementation of the Project.

Whilst this report is intended primarily for use of members of the Project Steering Committee, the content is likely to be of interest to a wider audience and therefore more extensive distribution of the report is recommended.

Development Approval Project Objective

The project objectives are to:

• Reduce the processing time for development approvals from prevailing level to a maximum of 90 calendar days.

• Establish an information system that is capable of informing the public of the status of development approvals at any point in time.

• Produce relevant manuals to inform the public about the approval processes.

Background to the Development Approval Project Objective

The Investment Facilitation Board in mid-1995 concluded that the lengthy processing time for development and sub-division approval was a major disincentive to investment. There was concern that such delay impacts negatively on the Government's development strategy, which sees investment as central to the growth and development of the country.

Consequently, the management consultants, Coopers and Lybrand, were contracted to conduct a study of the development and subdivision approval processes. The study made a number of recommendations and proposed that the recommendations be implemented by way of a project, utilizing the services of a Change Management Expert.

A Cabinet Submission was presented to Cabinet seeking approval for the implementation of the Coopers and Lybrand study recommendations by means of a Project. Cabinet on September 22, 1997 considered the submission and gave approval in principle. A Change Management Expert, Galba Bright, was engaged in August 1998 to work with the ARA Consulting Group in the first instance to develop the operational plan and to implement it thereafter.

Development of Long-Term Implementation Plan

By August 1998 the problems in the subdivision and development approval system had become endemic. At that time there was a backlog of at least 1500 subdivision applications. When the project commenced, it was not possible to reliably estimate the average time taken to process applications. It was subsequently discovered that some applications had been lodged over five years ago.

In October 1998, following extensive consultations with the various development approval bodies, the consultants produced a short-term plan for a streamlined development approval process. The report consisted of a series of "quick fix" initiatives directed at Parish Councils, KSAC, the Town Planning Department and other Ministries and Agencies involved in reviewing subdivision and development applications. Implementation of the reforms commenced immediately.

In October 1998 the Project received additional impetus following the Prime Minister's announcement, in a speech to the nation, of a ninety-day target for application decisions. The Prime Minister made a corresponding announcement in Parliament in November 1998. The Long Term Plan Report for the Implementation of a Streamlined Development Approval Process was completed in December 1998. It contained a comprehensive action plan for the achievement of the ninety-day development approval processing target. The consultants stressed the need to take concerted action in the following four areas:

• Implementing improvements in administrative procedures;

• Securing additional staff, equipment and training resources in exceptional cases;

• Enacting legislative changes; and

• Effecting changes in workplace culture.

The Report recommended a series of time targets for the assessment of applications by the various development approval agencies to ensure that the 90-day approval processing target is achieved. The Project Steering Committee and the Investment Facilitation Board accepted the Report. Implementation of the Report's recommendations commenced immediately.