MidCoast Council has endorsed a variation to the regulations for a caravan park on The Lakes Way, south of Forster.
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Changes will enable the construction of manufactured homes within the park.
Consent for the development of a caravan park containing manufactured homes on the Follyfoot Farm site was granted by the Land and Environment Court in 2017.
The proposed 290-permanent-site 'caravan park', would also include a manager's residence, movable houses and associated community buildings.
We would not have to clean up this mess if we stood up to the State government.
- Kathryn Bell
The project would be constructed over 10 stages.
The development was brought up for discussion at last month's July ordinary meeting following an application for an exemption from several requirements of the Regulation - Local Government (manufactured home estates, caravan parks, camping and moveable dwellings) Regulation 2005, including the requirement to provide laundry facilities and fire hose reels.
The applicant was also seeking an exemption from another clause that if granted would allow for the construction of the manufactured homes on-site, to eliminate the need for transporting the constructed homes.
Council supported the exemption of the laundry facilities and the ability for the homes to be built on-site, but did not support the removal of the fire hose reel requirements.
The matter will now be sent to the Departmental Chief Executive, Office of Local Government, for consideration.
Should concurrence be granted by the chief executive, the application will be determined by council accordingly.
"It is an approved development that goes back a couple of years, and I support it," deputy mayor, Katheryn Smith said.
However, Kathryn Bell was against the development.
"We would not have to clean up this mess if we stood up to the State government," Cr Bell said.
"What defines it as a caravan park is what they want to make it exempt.
"Everyone should be cranky about this."