Cr Matthews advocated for more than $70,000 of Section 94 Contributions fees to be waived for Rhino Lodge at the November Ordinary Meeting of Dubbo City Council.

The fees were originally going to cost Rhino Lodge more than $193,000 but were renounced completely in an effort to see Camp Road developed.

Cr Matthews said when it came to Camp Road, council needed to do whatever they could.

"As a council we have been holding things back because we haven't had our eye on the ball. We hold businesses up because we charge them for traffic that just isn't there," Cr Mathews said.

"I have actually got a set against Section 94 charges based on the fact that I've spent a lot of time reading it and understanding it and I think that we're at fault."

Deputy mayor Ben Shields agreed.

"The reality is we are hitting businesses too hard. We are essentially driving businesses out of town and away from Dubbo with these extravagant fees."

If another Camp Road development application came before council, Cr Matthews said he would waive the Section 94 fees again.

"I also have no problems looking at a set of different circumstances and saying 'no I won't waive that one because the circumstances are different'."

Section 94 Contributions Plan- Roads, Traffic Management and Car Parking was established to fund the construction of new roads and significant traffic infrastructure in the city.

The amount charged in fees is calculated on the number of daily vehicle trips a development is expected to have.

However, traffic studies by council and traffic studies by the developers frequently produce conflicting results leading to fee reductions.

At the meeting a childcare centre planning to build on Wellington Road had it's Section 94 Contributions reduced from $167,907 to $123,736.

Councillor Tina Reynolds said wiping the fees from one development could led to other businesses arguing against paying Section 94.

"We all say we should wipe the fees because we need development on camp road but 12 months ago we had councillors in here jumping up and down about childcare centres closing down and not having enough facilities here in Dubbo," she said.

"I wouldn't be surprised if we have the childcare centre come back at us next week and say 'contributions were completely wiped for Camp Road, a childcare centre is really needed here in Dubbo, why can't you wipe my contribution fees as well?'"

Cr Matthews said he would be a lot more comfortable when a review of the plan was done and a foolproof system could be implemented for calculating the charges.

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