KEY POINTS:
North Shore City Council is still haggling with major property companies over their bill for a controversial growth levies policy nearly six months after a High Court judge said it was unfair.
Six developers sought a judicial review of principles of the policy the council brought in three
years ago.
They argued that contributions, such as those for building the future Northern Busway, were passed on to buyers and put up section prices.
It resulted in Justice Judith Potter finding that the council made errors of law in the policy.
The council agreed to review it and negotiate a refund with the developers.
North Shore Mayor George Wood said yesterday that the policy had not been thrown out.
"It's still intact and the process now is to negotiate with these particular developers to get some resolution on the issues they raised."
However, the Property Council, which encouraged the case, said the council had suffered a further blow, which it had kept quiet in the sensitive lead-up to the October local body elections.
Last month, the judge had made an interim ruling which would affect how much the council should pay to the developers for their costs for legal work and calling expert witnesses.
Property Council chief executive Connal Townsend said the judge ruled the developers should get 90 per cent of costs based on the highest scale, or category three proceedings.
Justice Potter said category three was appropriate because the proceedings were both complex and significant and had implications for councils nationally.
They were important in the interpretation of the Local Government Act, which allowed development contributions.
Lawyers were left to settle the amount of costs, which would be on top of the council's own case costs.
Council development contributions manager Patrick Cleaver said the council was trying to cut down the amount from 90 per cent of the $320,000 maximum payable under the category three scale.
He said there was a "healthy dialogue" with developers on the policy dispute. "Once we have a result, the council has to go through any amendments to the policy and a new policy will be adopted. At that time we will be in a position to advise of any refunds.
"I can't pick a number."
Mr Wood said the council was in the vanguard of the councils demanding development contributions.
"Because of the amount of development on the North Shore, it's important to pursue it with vigour."
Mr Wood said he did not think any policy review or refund would have a big impact on the council's ability to carry out its 10-year plan to spend $1.7 billion in capital works.
"Importantly, developers' contributions to reserves are not affected."
The contributions policy has so far brought in more than $40 million.
The companies in the court case are Neil Construction, Cornerstone Group, Landco, Universal Homes, Symphony Projects and Bayswater Apartments.