On 8 June 2023 (last Thursday), the final report of the independent review into the role of developers in Queensland’s building and construction industry was tabled in parliament.
The report follows amendments to the QBCC Act in July 2020 which provided for the appointment of an expert panel to conduct a review into the role of developers.
The full report can be accessed here.
The report makes a number of recommendations, including:
- requiring developers to nominate ‘persons of influence’ who must meet a ‘fit and proper’ threshold in addition to minimum education (initial and ongoing) requirements
- introducing a code of conduct for developers
- introducing mandatory disclosure obligations to head contractors and the regulator prior to entry into contracts which are subject to the project trust accounting regime, including that:
- all persons of influence over the SPV are fit and proper if the developer is utilising an SPV
- the developer has appropriate finance to complete the contract
- the developer’s accreditation is current
- establishing a public register of accredited developers and registered development activity (including registration of each development activity with relevant identifying information e.g. its real property description, development application number etc.)
- establishing minimum educational requirements for developers, including CPD, as part of the accreditation framework
- amending the QBCC Act to clarify that developers are:
- included in the chain of responsibility for non-conforming building products (such as combustible cladding)
- subject to the ‘fairness in contracting’ provisions (see ss 67GA and 67GB of the QBCC Act which enable mandatory and prohibited building contract conditions to be prescribed by regulation)
- implementing a centralised and digital tool for capturing building and construction related information including tracking variations from an original design, tracing the age and origin of building products, planning and finding efficiencies in asset maintenance
Of particular interest to developers will be the recommendations around an accreditation framework for developers including personnel / financial requirements.
It is unclear at this stage if the recommendations will be accepted and legislated by the Queensland government in full or in part, and any timeline for any such implementation. As to timing, the report recommends a 12 month implementation period after legislation is enacted to develop a code of conduct and for education and training of developers.
