One of the crucial early tasks of every home build is gaining an Asset Protection Permit; so important, that your major building works simply cannot begin without this documentation. But what is it, why is it necessary and how do you get it ticked off so you can kick on with construction?
What is an Asset Protection Permit?
An Asset Protection Permit is the documentation that city councils across Australia require every property owner or builder to obtain before construction work commences. The permit helps to protect council assets and infrastructure, such as footpaths, crossovers, kerb and channels, roads, drains, stormwater pits, nature strips, signs and trees, by making applicants aware that the council will not be held liable for any damage to the assets. If damage does occur to any council assets during the build, the permit ensures that any repair costs do not fall on ratepayers.
If you are building a new home, you will need a permit before you can start clearing the block, demolition or building on the property, and also before construction materials and equipment can be delivered to the property. An Asset Protection Permit also may be required if you are constructing a major outdoor structure, such as a swimming pool, on your property. Fines will be issued if this permit is not approved before the construction commences.
Are there different types of permits?
Yes, most councils have different permits required depending on the risk to the council asset. For example, a council may request you obtain a specific permit to cover ‘hoarding or storage on public land’ or if equipment such as cherry pickers or scissor lifts are being used. Your council will advise you of the options according to their specific guidelines. If you are undergoing a knockdown and rebuild project, depending on the council, you can apply for an asset protection permit for demolition and it can roll over to cover the construction of your new home too.
How do I apply for a permit?
An Asset Protection Permit can be applied through the local council, either online or in person by your builder or in some instances, you may need to apply for this. Depending on the council, a permit may be required seven days before construction work commences so plan ahead and be organised with your paperwork.
What pre-existing damage should be documented?
Councils require an accurate record of the pre-existing council structures before commencing the build. For your own records, get your camera ready and take your time walking around your property to identify and photograph any damage to council assets. Your builder will also undertake this task and the council will have a template list of the issues to look out for such as:
· cracks in the footpaths or raised sections between the footpath bays
· cracks in the kerb or crossover
· the nature strip’s grass in a poor state or with ruts
· damage to street trees
· cracked asphalt seal in reserve roads
· broken stormwater pit lids or concrete cracks in the surrounding road
Your council and builder will also check adjacent property assets particularly footpaths, kerbs and crossovers to note any pre-existing damage to neighbouring blocks if any.
What paperwork should be submitted?
Depending on your council, you may need to submit the following to apply for the permit:
· High-resolution colour photographs as well as details of any pre-existing damage to the council assets on your property
· The council property number (issued after the title has been released)
· Proof of public liability insurance (check the minimum amount required)
· Payment of relevant fees, including a security bond, to complete your application
· Acceptance of the relevant terms and conditions that apply to your permit application
Who pays for the permit?
As the property owner, you will always pay the asset protection permit either directly to the council or it will be priced into your tender and your builder will apply on your behalf. It is only after construction has finished that the council will complete an inspection and then your builder will work with you to determine who is liable for any damage.
How long does the approval take?
Each council will have their timeline for approving an Asset Protection Permit. For example, some may require up to 28 days, so it’s best to stay on the front foot and discover this information as a priority when you are preparing to build your home.
When does the permit expire?
The permit will be valid for a specific period, for example 24 months. Make sure that you are aware of the validity timeline and that it suits your build schedule. If you do need to renew your permit, you’ll be pleased to learn that most councils won’t make you start the approval process all over again. You should be able to simply submit a request for renewal and pay the renewal fee.
What happens after the paperwork is submitted for the permit?
Once you submit the documentation and pay the fees for the permit, the council will begin their part of the process. This may involve a council representative visiting to inspect the property and cross-check the documentation you have provided. The council representatives will also randomly visit to inspect council assets during the build journey. Once construction is complete, the council will conduct a final inspection and discussions can be had with regards to rectification works required if applicable.
What happens once the build is finished?
Before you request a security bond refund on your Asset Protection Permit, your builder must ensure the council assets are cleaned, cleared and repaired to their original, pre-construction standard. For example:
All building materials and debris, including the skip bins, must be cleared from the council assets such as footpaths, the road reserve, the nature strip and vehicle crossings.
Mud and dirt must be cleared off all council structures and assets.
If the nature strip was damaged during the build, it must be restored, for example with topsoil and grass seed.
How do I get my security bond back?
When you are ready for the property to be inspected, a council representative will visit to check the status of the council assets. If there is no damage to the assets, you will receive your security bond in full. If there is damage, the structures will be repaired to the council’s satisfaction, and you will receive any remaining bond funds. As noted above, if you are keen to have the option to repair any damage with your builder, rather than have the council manage the repairs, investigate this option early in the application process. Reach out to [email protected] to discuss this option.
Does the permit require any other certification in the final stage of the build?
Your council may also ask you to submit certain certificates to prove the build is completed to standards, such as a Certificate of Occupancy, Final Inspection Certificate or Statement of Completion. Find this out early in the process so that you can have all your paperwork ready.