Changes to the spatial planning law

The change to the Spatial Planning and Development Act is a part of the National Reconstruction Plan. The reform is expected to improve cooperation between local government units and investors. It assumes simplification of planning procedures, clarification of rules for issuing land development decisions, or replacement of the study of conditions with a general plan. The draft spatial planning reform was presented at the beginning of this year. The amendment to the law is currently under consultation. It is likely to be enacted and come into force in early 2023. The following are some of the significant changes and assumptions that will take effect then.

The National Reconstruction Plan assumes that the amendment aims, among other things, is to adopt general plans for municipalities by mid-2026. The new planning tool, which will be the municipality’s general plan, would replace the existing study of conditioning and the directions of the land use planning. Importantly, the general plan would be enacted to the degree of a local law. It is supposed to be a simple and concise set of rules telling about the development of the municipality’s space. The uncomplicated form of the general plan is to make it easier to read the contents of plans adopted in individual municipalities and to standardize them. There will also be a new act, the Integrated Investment Plan, which is a type of local plan. It is to be enacted by the municipal council giving the opportunity to locate the project taking into account the principles of spatial order. It will be applied to larger developments, not just residential. The municipality and the investor will conclude an urban planning agreement, which will make it possible to clearly define mutual obligations and detailed rules for the implementation of a specific investment.

The project of the law provides for the possibility of establishing in the general plan accessibility standards for social infrastructure – elementary school and public green areas. The draft specifies the distances that should divide a registered plot of land from certain elements of social infrastructure. Consequently, if accessibility standards are established in the municipality, the issuance of a Decision on Land Development and Management Conditions for buildings will be possible if each of the registered parcels of land that are the subject of the project meets infrastructure accessibility standards through access to the facilities, and there are access roads along public roads.

Changes to the law will also apply to the process of issuing development decisions. The amendment provides for linking the decision to the municipality’s general plan, particularly with regard to urban functions and indicators. Decisions on land development will be issued only in areas where this will be permitted in the municipality’s general plan. These assumptions are intended to contribute to stopping and monitoring the uncontrolled spread of development. The change to the law also provides for the introduction of a time limit on the validity of the decision on land development – currently it is issued without a time limit. If the amendments go into effect, the decision will expire 5 years after the date on which the decision became final. After this period, it will not be possible to apply for a building permit based on this decision. Importantly, the amendment is also expected to apply to decisions issued before its enactment.

The proposed law lists additional parameters and indicators that were not previously considered when issuing a regulation on how to determine the requirements for new development and land use in the absence of a local plan. Parameters that have not been listed so far are the maximum and minimum intensity of development, the minimum percentage of biologically active area (land area that is not built on, but is covered with plants and allows natural water retention) in relation to the land area, and the minimum number of parking spaces.

The project act also provides for a change in the system for imposing the planning fee. According to the current legislation, the planning fee is imposed for two reasons: the increase in the value of the property in connection with the enactment of the local plan and the disposal of the property within 5 years from the date of entry into force of the plan, and these conditions must be met at the same time. The law determines that the amount of the fee cannot be higher than 30% of the increase in the value of the property and is charged on a one-time basis. In practice, it happens that owners of a property whose value has increased as a result of the approval of the plan wait 5 years before selling it, and after this period they sell it without paying the planning rent. The proposed paragraph on the fee in connection with the increase in value of the property reads as follows: „If, in connection with the enactment of the local plan or its amendment, the value of the real estate has increased, the mayor, mayor or city president shall charge the owner or perpetual usufructuary of this real estate a fee in the amount of 30% of the increase in the value of the real estate, constituting the municipality’s own income”. This means that the basis for imposing the planning fee will be the fact of the increase in the value of the property as a result of the enactment of the plan, whether or not the property is sold, and the amount of the fee will be 30% of the increase in the value of the property. Similarly, the fee will be charged if the value of the property increases as a result of the issuance of a development decision. This change will eliminate the habit of delaying the sale of real estate for 5 years after the plan is enacted.

One of the innovations expected to come into effect in 2026 is the introduction of the Urban Planning Registry, which is an ICT system. The Registry will be a source of planning and land use planning data, and will contain documents generated during the preparation of planning acts, administrative decisions related to planning, etc. It is to be a free, integral information system available to all interested persons.

The draft law on amendments to the Law on Spatial Planning and Development indicates significant changes affecting the creation of space. The topics listed above are only part of the planned changes to the legislation. The amendment is quite broad in scope, and aims, among other things, to eliminate the problem of incidental and uncontrolled development of areas not covered by local plans. One of the more important changes is the introduction of a general plan, defining the municipality’s spatial policy, to replace the existing study. An important change is the revolution of imposing a planning fee. Which results in increased revenues for municipal budgets. Currently the draft is at the opinion stage, but in all likelihood it will be passed soon. It is worth to follow the next stages of work on this reformation.

Małgorzata Kwiatkowska
Maintenance and Development Junior Specialist