1 TARIFF OF FEES South African Council for Town and Regional Planners PLEASE NOTE : THE TARIFF OF FEES WAS APPROVED BY THE COUNCIL
2 CHAPTER 10 : TARIFF OF FEES 10.1 INTRODUCTION General This tariff of fees has been determined by the South African Council of Town and Regional Planners as the recommended minimum professional fees for town and regional planning services, and should only be used in the absence of any other more appropriate agreement. Thus the professional fees for any town and regional planning services should be agreed between the town and regional planner and the client in accordance with the type, complexity and nature of the professional services to be rendered. Where, in the absence of an agreement referred to in Section 28(1)(g) of the Act or in the case of a dispute relating to professional fees payable, the minimum scale of fees contained in this Chapter shall be applied Omissions, additions and services not defined If any portion of the services described in this tariff of fees are omitted from the services rendered, the fees shall be reduced by an amount determined in accordance with the Time Tariff (Rule 10.7) and based on the estimated extent of the work which is omitted If services additional to those normally forming part of the town and regional planner's duties in undertaking an assignment are included, additional fees may be charged in accordance with the tariffs for such work set out in this Chapter Where no tariff of fees has been prescribed for services or where the services are of such a nature that the tariff of fees contained in this Chapter does not apply, the Time Tariff (Rule 10.7) shall be applied Cost of Units Reference to a cost unit (cu) in this tariff of fees means an amount equal to the Category A2 time tariff determined from time to time in terms of Clause (b) Portions of Land Where reference in this Tariff of Fees is made to a portion, or portions, of land it means a portion of land which is or is intended to be cadastrally defined and recorded as a separate entity in the offices of a Surveyor General but shall exclude public roads, servitudes and land defined for purposes related to minerals and mining Value Added Tax All suggested fee calculations set out hereunder EXCLUDE Value Added Tax, which should be added to the finally agreed total fee at the currently applicable rate, as a separately identifiable cost.
3 10.2 STRATEGIC PLANNING Definition For the application of this tariff of fees strategic planning includes: An Integrated Development Plan as provided for in the Local Government Transition (Second Amendment), 1996 (Act 97 of 1996) or superseding legislation; Land Development Objectives as provided for in the Development Facilitation Act, 1995 (Act 67 of 1995) or superseding legislation; Development Frameworks for both vacant or developed lands; Structure Plans or Development Policy Plans for both vacant or developed land; and Sectoral plans as defined in Cl 2(50) of the Western Cape Planning and Development Act, In general, Strategic Planning involves the following basic generic steps or actions which may or may not be applicable to all the above categories: Determination of the status quo situation of the planning area Formulation of a vision Identification of needs and priorities Formulation of goals and objectives Formulation of strategies Creation of planning and development policies Identification of projects and the preparation of business plans and implementation programmes Illustration in the form of a spatial framework plan The creation of a management and monitoring mechanism Scope Subject to the general exclusions of Rule 10.9 the tariff of fees provides for the research, investigations, the processing of information and data analysis, meetings with the client and other interested parties, and the compilation of report/s supporting maps and plans, and the formulation of recommendations and planning proposals. The scope of work shall include three components, unless otherwise determined by the town and regional planner and the client, as set out in Tables 10.2A, 10.2B, 10.2C and 10.2D.
4 Determination of Fees The calculation of, and agreement to, any professional fee is a function of : the physical extent and complexity of the planning area; its environmental and social diversity; its population size and density; and the nature of the desired end product. Consequently in order to agree a fee, it is necessary to first agree the nature of the end product that the Client requires, and the process to be followed so as to achieve that goal. A suggested appropriate method of reaching agreement, would be for the project fees to be calculated on the basis of each activity that has to be completed and the expected time taken to achieve that product, calculated as per the Time Tariffs, for the appropriate skill level see Clause These would be scheduled by activity group, project phase, programme and time scale. These fee costs can then be agreed with the Client as a project fee budget, from which variance may occur, but only with both parties agreement. In the absence of any other more appropriate agreement, the minimum fees in respect of strategic planning projects shall be calculated using the applicable Table 10.2A, 10.2B, 10.2C or 10.2D according to the category of strategic planning projects. The fee calculation made shall be no less than the minimum number of cost units in the relevant table below. TABLE 10.2A : STRATEGIC PLAN FOR A METROPOLITAN COUNCIL OR DISTRICT COUNCIL AREA OF JURISDICTION COMPONENT MINIMUM COST UNITS Technical 700 Community Participation 270 Information Technology 185 TOTAL 1155 cu TABLE 10.2B: STRATEGIC PLAN FOR A SUB-AREA OR REGION OF A METRO LOCAL COUNCIL OR DISTRICT COUNCIL AREA COMPONENT MINIMUM COST UNITS Technical 690 Community Participation 235 Information Technology 90 TOTAL 1015 cu
5 TABLE 10.2C: STRATEGIC PLAN FOR LOCAL COUNCILS OR DISTRICT COUNCILS OUTSIDE METROPOLITAN AREAS COMPONENT Technical 425 Community Participation 150 Information Technology 90 MINIMUM COST UNITS TOTAL 665 cu TABLE 10.2D: STRATEGIC PLAN FOR REPRESENTATIVE OR RURAL COUNCIL AREAS COMPONENT Technical 340 Community Participation 145 Information Technology 90 MINIMUM COST UNITS TOTAL 575 cu Payment of fees The payment of fees shall be as agreed between the town and regional planner and the client. In the absence of such agreement fees shall be payable on a monthly basis in accordance with work completed, or in relation to the progress of the project as a percentage of the total agreed or determined fee.
6 10.3 LAND USE MANAGEMENT SCHEMES Definition Scope For the application of this tariff of fees, a Statutory Land Use Management Scheme means any scheme used to manage, regulate or control the use and development of land within any defined area of jurisdiction of any local authority body and includes a town planning scheme or similar zoning scheme prepared in accordance with any legislation governing the preparation, implementation and application of such schemes. A Statutory Land Use Management Scheme may include three constituent elements, namely a set of written regulations or by-laws, a zoning map or maps, and a register which records departures and consent approvals. The scope of work may include all, or some of the constituent elements of a Statutory Land Use Management Scheme as agreed between the town and regional planner and the client. Subject to the general exclusions of Rule 10.9 the tariff of fees hereunder provides for the investigations and surveys necessary for the preparation of a Statutory Land Use Management Scheme (or the constituent element), the attendance of meetings and consultations with the client and other interested and affected parties, supporting documentation and any other requisite documents or records as prescribed in terms of the relevant legislation. The following scope of work is included: (a) (b) (c) Scheme Regulations or Scheme Provisions The formulation of scheme provisions and supporting documentation to accurately define and explain the restrictions, management principles and development guidelines which will apply to each of the separately registered properties within the scheme area on the coming into operation of such a scheme. Zoning Map A land use survey of each separately registered property on the records of the Surveyor General at the effective date to record the de facto use of the relevant property. The drafting of a scheme or zoning map from a cadastral base plan compiled and provided by the client and the illustration by some form of notation or by the application of symbols on the relevant map to visually present the restrictions and management principles referred to above which may be cross-referenced with the written supporting documentation or scheme provisions. Register Preparation of an example or typical format for the departures register, and a procedural manual for administering the register.
7 (d) Public Consultation Prior to the submission of the scheme to the client for consideration, a public consultation exercise during which interested and affected parties are consulted and involved so as to make known the contents and implications of the scheme and to provide for representations and comments on the compilation of the scheme Tariff of Fees The fees for the preparation of a new land use management scheme shall be determined on the basis of the relevant Time Tariffs referred to in Rule In the absence of a more appropriate agreement, the fees shall be determined as one cost unit for every 10 land portions in the scheme area The fees for the revision or modification of an existing land use management system shall be determined on the basis of the relevant Time Tariffs referred to in Rule In the absence of a more appropriate agreement, the fees shall be determined as one cost unit for every 15 land portions in the scheme area Specific Exclusions In addition to the tariffs prescribed in Rule and additional fees, calculated in terms of the Time Tariff (Rule 10.7) may be levied in respect of the following: Any work required to compiled a detailed register of departures and consent approvals; Any work related to the preparation of policy guidelines or explanatory handbooks which are not required in terms of legislation governing the preparation of statutory land use management schemes. Amendments to maps and documents requested after the scheme has been prepared in terms of the requirements of the clients; and Any work related to the preparation for, and attendance at, hearings to deal with objections or representations after the scheme has been submitted to the client Payment of Fees The payment of fees shall be as agreed between the town and regional planner and the client. In the absence of such agreement fees shall be payable on a monthly basis in accordance with work completed or in relation to the progress of the project as a percentage of the total agreed or determined fee.
8 10.4 AMENDMENTS TO LAND USE MANAGEMENT SCHEME PROVISIONS, OR ZONING PROVISIONS, AND OTHER STATUTORY RESTRICTIONS ON THE USE AND DEVELOPMENT OF LAND IN RESPECT OF INDIVIDUAL PORTIONS OF LAND IN ORDER TO PERMIT CHANGES TO THE USE OR DEVELOPMENT OF THAT LAND Scope Subject to the general exclusions of Rule 10.9 the tariff of fees hereunder provides for the obtaining of plans, documents and information, investigations, site inspections, consultations with the client, negotiations with the local and other authorities, the preparation and submission of the application, including any plans or diagrams in accordance with ruling legislation, posting of notices in terms of any statutory provision, the arranging of legal advertisements, the investigation of and response to objections and the finalising of all administrative matters to obtaining the final decision in respect of the application, and, in the case where the amendment is approved, all administrative matters to bring the amendment into effect including advising the client on requirements to be met and any levies payable to the authorities arising from the approval of the amendment Tariff of fees For professional services in respect of the preparation, submission and administration of any application in 10.4 above to the stage where a decision of the relevant authority is finalised (excluding any appeal), the fees shall be determined as follows: A basic amount equal to the minimum number of cost units for the relevant type of amendment in Table 10.4; plus An additional amount equal to 1% of the value of the land which is the subject of the amendment. The value of the land referred to above shall be the market value of the land on the approval of the amendment applied for. Provided that if the application is not approved the total fee shall be 80% of the fee payable as if the application were approved. TABLE 10.4: TYPE OF AMENDMENT 1. Variation in zoning provisions (i.e. consent use or departure) 2. Change of zoning or land use management provisions MINIMUM COST UNITS 30 cu 35 cu Payment of fees The payment of fees shall be as agreed between the town and regional planner and the client. In the absence of such agreement fees shall be payable on a monthly basis in accordance with work completed or in relation to the progress of the project as a percentage of the total agreed or determined fee.
9 Specific exclusions The following are excluded from the responsibilities covered by this tariff of fees and for which additional fees shall be charged in accordance with the Time Tariff (Rule 10.7). Negotiations or disputes relating to charges or contributions levied by an authority arising from the approval of the application. The preparation for attendance at any hearing of the application held by the relevant authority and negotiations with objectors to the application. Any work related to the lodging or opposing of an appeal against the decision on the application. The preparation of any site development plans for specific sites or portions of land which are the subject of the application. The compilation of plans from existing Surveyor General Plans or data and the preparation of plans for other purposes such as marketing. Applications relating to expropriation of mineral rights, cancellation or creation of servitudes, notarial deeds or related applications to authorities other than the authority responsible for the Land Use Management Scheme.
10 10.5 PLANNING AND ESTABLISHMENT OF NEW DEVELOPMENT AREAS Scope Subject to the general exclusions of Rule 10.9 the tariff of fees hereunder provides for the planning, design and establishment of new development areas which is the conversion of rural or vacant urban land to urban development or settlement purposes in which new cadastral portions are created i.e greenfield planning. It includes obtaining all the relevant data and information, inspections of the site concerned, attendance at meetings and consultations with the client and other organisations concerned with the planning and finalisation of the new development layout as required by the client and the authorities, compiling and submission of an application for the establishment of the new development area in accordance with the relevant legislation regulating establishment of new development areas and the administration of such an application through the various stages of establishment in accordance with such legislation up to and including the proclamation of the new development or when the newly created development portions are capable of registration in a Deeds Office, but excluding public meetings and consultation with community organisations Determination of fees In order to determine an appropriate fee, the town and regional planner should establish the process, planning steps, activities, and products that will have to be completed and delivered within an agreed time scale in order to meet the Client s requirements. These are likely to include all of, or elements of, the following activities: (a) an overall conceptual development framework; (Clause 10.2); (b) detail developmental frameworks and rezoning applications; (Clause 10.4) and (c) detailed sub phase subdivision layouts. (Clause 10.5) In those instances where work is being duplicated as a result of the nature and/or pace of the approval process, consideration could be given to providing for an appropriate discount in the total fee. The total fee as calculated in (a), (b) and (c) can then be broken down so as to be equitable with a fee per residential unit provided, (allowing for both single residential and general residential housing opportunities) as well as a fixed fee amount, per 100 square metre of commercial floor area or bulk, approved in the rezoning conditions.
11 In the absence of a more appropriate agreement based on the suggestions above, the minimum fees in respect of the planning and establishment of new development areas shall be calculated as follows: A basic amount equal to the minimum number of cost units for the relevant category of development in Table 10.5; plus An additional amount equal to 1% of the value of the land which is the subject of the development application. The value of the land referred to above shall be the value of the land on the approval of the development applied for. In those instances where work is being duplicated as a result of the nature and/or pace of the approval process, consideration could be given to providing for an appropriate discount in the total fee. TABLE 10.5: CATEGORY OF NEW DEVELOPMENT (a) Subdivision of established urban land (e.g. a single township erf) (b) New development area (100 portions/erven or less) (c) New development area (101 to 600 portions/erven) (d) New development area (600 portions/erven or more) MINIMUM COST UNITS 18 cu 105 cu 140 cu 140 cu Plus 1 cu for each additional 15 portions Payment of Fees The payment of fees shall be as agreed between the town and regional planner and the client. In the absence of such agreement fees shall be payable on a monthly basis in accordance with work completed or in relation to the progress of the project as a percentage of the total agreed or determined fee. Provided that 30% of the total fees determined in (a) and (b) above shall be in respect of preparing the layout plan for the development area, and 70% shall be in respect of preparing the development application and obtaining the final approval of the new development to the stage where buildings may be constructed or the ownership of newly created portions of land may be transferred in a Deeds Office.
12 Specific exclusions In addition to the exclusions under Rule 10.9 additional fees shall be payable in respect of the following: Preparation of site development plans for specific sites (e.g. Grouphousing). Additional fees are levied in accordance with the Time Tariff (Rule 10.7). Professional advice on matters related to the relevant property which do not relate to the planning and layout plan of the proposed development area (e.g. feasibility investigation and advice on marketing). Additional fees are levied in terms of the Time Tariff (Rule 10.7). Detailed drawings outside the scope of the development area layout plan where such layout planning includes urban design and detailed considerations regarding the siting, height and nature of the proposed buildings. Additional fees are levied in accordance with the Time Tariff (Rule 10.7). The preparation of compilation plans from existing General Plans or other application plans and the preparation of plans intended for marketing purposes. Additional fees are levied in accordance with Time Tariff (Rule 10.7). Applications for the amendment or deviation from any statutory plans or policy plans which govern the development within the area in which the proposed development area is to be established. Additional fees are levied in accordance with the Time Tariff (Rule 10.7). The Time Tariff (Rule 10.7) shall apply in respect of the undermentioned applications required for the purpose of the establishment of a new development area including: Separate applications for need and desirability approval; Separate studies and reports on or related to environmental impact assessment as may be required in terms of other legislation such as the Environment Conservation Act, 1989; Separate applications for building line relaxations along provincial or national roads; Separate applications for the expropriation of mineral rights; Separate applications for the incorporation of land into municipal areas; Separate applications for deproclamation or reservation of land for the establishment of new development areas; and Professional advice on aspects of the relevant property which is not related to the establishment of the new development area (such as marketing).
13 10.6 ESTABLISHMENT OF DEVELOPMENT AREAS FOR HOUSING BOARD FINANCED HOUSING PROJECTS OR SUBSIDY LINKED HOUSING DEVELOPMENTS Scope Subject to the general exclusions of Rule 10.9 for professional services in respect of the planning of a development area for a state subsidised housing development including : obtaining all the relevant data and information, inspections of the site concerned; attendance at meetings and consultations with the client and other organisations concerned with the planning and finalisation of the development layout plan as required by the client and the relevant authorities; compiling and submission of an application for the establishment of the land development area in accordance with any Act regulating the establishment of a development area; and the administration of such an application through the various stages of establishment in accordance with the conditions of such an Act up to and including the final proclamation thereof Tariff of Fees The Tariff of fee shall be calculated as the number of portions of land created, multiplied by the cost unit percentage per portion in the applicable column in Table TABLE 10.6: ESTABLISHMENT OF DEVELOPMENT AREAS FOR SUBSIDY LINKED HOUSING PROJECTS NO. OF PORTIONS Cost Unit % per portion 105% 90% 80% 72% 64% 55% The current nearest rand equivalent per portion is set out in Addendum A, attached, which will be adjusted from time to time The establishment of a development area for a state financed housing project or subsidy scheme includes the following elements : The application for subsidy funding from the Provincial Housing Board or subsidy agent, when this may be necessary. The preparation and finalisation of the layout plan for the proposed development area in accordance with ruling legislation. The preparation and administration of the formal application to the point of approval by the relevant authorities. Public participation and facilitation related to the involvement of interested and affected parties. The nature and extent of this public participation process to be agreed prior to project commencement.
14 10.7 TIME TARIFF The Time Tariff shall be applied in cases where the tariff of fees prescribed in these Rules is not applicable. Where fees for professional services are based on a time scale, the tariff of fees shall be as follows and shall be deemed to include establishment costs and costs of clerical and administrative staff. The time tariff fees set out below relate to four categories that are defined on a similar basis to those approved for other professionals working in the built environment. The distinction between Private Sector and Government work is done away with and the different rates relate to the definitions set out for each of the four categories Category Definition Category A1, in respect of a private consulting practice in town and regional planning shall mean a top practitioner whose expertise is nationally or internationally recognised and who provides advice at a level of specialisation where such advice is recognised as that of an expert; Category A2, in respect of a private consulting practice in town and regional planning shall mean a partner, a sole proprietor, a director, or a member who, jointly or severally with his other partners, co-directors or co-members, bears the risks of the business, takes full responsibility for the liabilities of such practice, performs work of a conceptual nature in town and regional planning design and development, provides strategy guidance in planning and executing a project and/or carries responsibility for quality management pertaining to a project. Category B, in respect of a private consulting practice in town and regional planning, shall mean all salaried senior professional and technical staff performing work of a town and regional planning nature and who carry the direct technical responsibility for one or more specific activities related to a project. A person referred to in Category A may also fall in this category if such person performs work of a town and regional planning nature at this level. Category C, in respect of a private consulting practice in town and regional planning, shall mean all other salaried technical staff performing work of a town and regional planning nature under the direction and control of any person contemplated in Categories A or B Time Tariff Charge Out Rates The time tariff charge for each of the above categories shall be as is set out in Addendum B, attached, which will be adjusted from time to time.
15 Total Annual Cost of Employment Total annual cost of employment as borne by the employer, and as defined in Act 81 of 1968 page 51a, shall mean: (i) (ii) (iii) Basic annual salary Fringe benefits not reflected in basic annual salary, which may include: Normal annual bonus Employer s contribution to medical aid Group life assurance premiums Pension/provident fund contributions All other costs as per letter of appointment Costs payable due to statutory requirements, which may include: Workman s compensation fund contributions Unemployment insurance fund contributions Regional Service Council levies Travelling Time Fees in respect of actual travelling time are levied at a fee equal to 70% of the Time Tariff Increase of Time Tariff The Time Tariff may be increased by 50%: (a) for work which can only be undertaken outside reasonable business hours which shall be between 07:00 and 18:00 or on weekends or public holidays; or (b) (c) where the work requires the preparation for and the attendance of hearings or the giving of expert evidence; or where the town and regional planner is removed from his normal place of work in undertaking his responsibilities TRAVELING AND SUBSISTENCE COSTS Subsistence costs Subsistence costs necessarily incurred in the execution of professional work shall be paid by the client Traveling costs Traveling costs shall be paid by the client at the current Automobile Association rates per kilometer.
16 10.9 GENERAL EXCLUSIONS In addition to the specific exclusions which apply to the categories of work in preceding rules, the tariffs prescribed in these Rules do not include the following and shall be paid by the client, including the time spent by the town and regional planner or his personnel, to which the Time Tariff shall be applied: (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) Expenses necessarily incurred (such as copies of documents and plans, printing, binding, duplication material). Application fees payable to authorities. Professional fees payable to other professional persons required for the execution of the planning work (such as land surveyors, engineers, architects, landscape architects, environmental consultants and attorneys) who were appointed with the approval of the client. The provision of contour plans or the execution of cadastral survey work. Work related to the investigation of soil or subsurface conditions or flood lines. The compilation of base maps and the updating of base maps. Special investigations and surveys. The keeping of a register and the serving of notices. Disproportionate time spent in handling complaints and/or public participation. Value Added Tax has been EXCLUDED from all of the above suggested fee calculations and should be added to the total fee at the currently applicable rate.
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