14 On 26 May the Commission responded to the Council's inquiry by providing some general information about local government planning and development responsibilities under the Act, and possible recriminations if a council was found to be in breach of those responsibilities.
15 On 26 April, the operators wrote to the Council the following letter in support of their development application:
"We believe that any requirement that we provide disabled access to the cinemas as a condition of the above application would cause the owners unjustifiable hardship.
Our investigations into the provision of access for wheelchair patrons have shown that [it] is physically impossible to provide either a lift or 'stair riser' in the Cinema Centre. There are too many levels that need access for a lift to be utilised, and no suitable position in the building to permit lift access to all the levels; 'stair risers' have an [extension] to their guide rails in order to allow level loading at each bottom level, and these rails would obstruct either the fire sprinkler valve room, the egress passageways at the foyer stairs, or the entry to the toilets.
The cost of 'stair risers' is also prohibitive. If it were physically possible to install the units without causing obstructions, four units plus level tracks would be needed, for a total installed cost of over $100,000. This is as much as the total cost of constructing the third cinema.
An application for five new cinemas has been approved for the Pacific Boulevard site, [the proposed new cinema complex the Council was considering] and this will have an extremely detrimental effect on our trading. Our costs need to be contained as much as possible, whilst increasing our cinema's appeal, and doubling the cost of the addition of an extra cinema would make it an uneconomical proposition.
With the opening of the new cinemas in Bray Street later this year, an excellent facility for the disabled will be in place… far superior to any that could be provided at our site. The Bray Street cinemas will have dedicated disabled parking near the entry, and access to all cinemas and foyer facilities will be ramped in accordance with the current codes. At the Vernon Street cinemas, the nearest dedicated parking is at the Palm Centre car park, and access to the cinemas would be gained by using up to four separate mechanical devices. As the Bray Street cinemas will be showing all the films we have simultaneously, plus others that we cannot accommodate, any facility at the Vernon Street cinemas would not be used, in preference to the ease of access to the Bray Street cinemas. I am not one to wish my business go elsewhere, but the economics of the situation coupled with the inconvenience to the disabled at Vernon Street are clear."
16 On 11 May 1995 the Council prepared a report recommending the approval of the development application. That report included:
"Issues:
The issue of access for people with disabilities to this public building is an important consideration in the determination of this application. Section 90(1)(s) of the Environmental Planning and Assessment Act requires Council to consider access for disabled people in the determination of a Development Application.
The original cinema development was approved without access for disabled people. This was permissible under the building regulations in force at the time. Council's current policy requires access and facilities for the disabled to be provided to all existing buildings, where practicable, when a building is redeveloped. A new cinema complex would require access and facilities for disabled.
The application before Council, however, is for the refurbishment of an existing building and, due to the complexity of the current and proposed floor plan layout, it is maintained by the applicant that compliance is not possible and, further, the applicant believes that any requirement by Council to provide disabled access would cause the owners unjustifiable hardship.
Separate to Council policy on access and statutory requirements for access under the Building Code of Australia are the provisions of the Commonwealth Disability Discrimination Act, 1992 (DDA) which makes it against the law for public places to be inaccessible to people with a disability. Access under this legislation applied to existing places as well as new developments. This Act required modification of existing places to be accessible except where this would involve 'unjustifiable hardship'.
The issue for resolution by Council is that whether to require the provision of access would cause the owners unjustifiable hardship. In making this determination, Council must be aware that is a complaint was lodged under the DDA against the developer of a building because of its lack of access, and the Council had approved the development of that building, the developer could either join the Council in the action under the DDA or, if it was found to have breached the DDA, sue the Council for negligent misrepresentation.
Advice from the Policy Unit of the DDA confirms that claims under this Act have been largely untried and, accordingly, there is an absence of precedent to assist the determination of the current proposal.
It is considered that the applicant has a fair claim for unjustifiable hardship in the particular circumstances. The existing complex is accessed by three separate stair flights and a fourth set of stairs will access the new theatre. The installation of a lift to service each level is impracticable and the installation cost, if proposed, would be disproportionate to the cost of the building works. Stair inclinator chairs are not a viable option due to the floor layout and cost."
17 A motion was subsequently passed to grant the development application and development consent was issued to the operators on 19 May, subject to the condition that a building application was made and granted by the Council. That building application was approved on 23 June. Work on the cinema commenced in August 1995.
Proceedings before the Commission - (1) the cinema operators
18 On 7 August 1995 the applicant, Mr Cooper, on behalf of a rights group called North Coast Disability, Information, Advocacy and Lifestyle ("D.I.A.L."), lodged a complaint with the Commission against both the cinema operators and the Council, on the basis that, among other things, the Council had approved the construction of the new cinema with the knowledge that it would be inaccessible to wheelchair users. The applicant sought an interim determination to prevent the continuation of the construction until adequate provision for wheelchair access was incorporated into the plans for redevelopment. The President of the Commission declined to make that interim determination.
19 In June 1997 the case against the operators was heard by Commissioner Keim. For reasons given on 29 August, the Commissioner found that the cinema operators had unlawfully discriminated against the applicant and others in breach of s 23 of the Act by requiring them to use the stairways to gain access. As a matter of fact, the Commissioner found that the cost of the renovations was quite substantially more than that which had been represented to the Council at the time of the development application. In his reasons, the Commissioner stated:
"At the term of the interim application before Sir Ronald Wilson, it appeared that the approximate cost of installing the platform stairlifts then argued to be $130,0000.00 was quite massive in contrast to the expenditure on the building which was then represented as being $100,000.00.
The true comparisons are significantly different to what was represented before the President. By the time the cost of refurbishment including new carpeting and new seating was taken into account, the cost of work was in the region of $400,000.00. The expenditure that would be needed to install platform stairlifts seems not quite so massive in comparison."
20 In the circumstances, the Commissioner found it appropriate to order that suitable access be provided by the cinema operators in the form of wheelchair platform stair lifts by September 2002.
(2) Proceedings in respect of the Council
21 The complaint against the Council came before Commissioner Nettlefold on 3 December 1997. It was agreed between the parties that, among other things, the matter in dispute to be determined by the Commission was:
"Whether pursuant to Section 122 of the DDA the respondent has aided or permitted an act that is unlawful under Section 23 of the DDA [being the act of discrimination found against the Cinema] by:
(a) Approving Development Application No. 88/95 on 11 May 1995 without imposing a condition that [the Cinema] provide access to persons with disabilities to the premises.
(b) Issuing a Building Notice of Approval to [the Cinema] on or about 23 June 1997 in respect of Building Application No. 529/95 without imposing any conditions requiring [the Cinema] to provide access to persons with disabilities to the premises.
(c) Permitting [the Cinema] to operate the premises from about May, 1995 without a licence to operate as a place of Public Entertainment."
22 The Commission gave its reasons for decision on 18 May 1998. In those reasons, the Commission rejected the Council's argument that it had a valid defence under s 47(3) of the Act in that it had made its decision about disabled access "in direct compliance with" the requirements of s 90 of the Environmental Planing and Assessment Act. The Council had argued that, among other things, it was beyond its power to impose a condition to provide access for persons with disabilities, because that would, in effect, import into the assessment process factors that were beyond the scope of that Act. The Commission rejected that argument on the basis that such an issue was both a matter of "public interest", and constituted a relevant "circumstance of the case". As such the Council was authorised to consider wheelchair access under s 90. Furthermore, the Council had in fact taken provisions of the Act into account.
23 The Commission went on to consider whether the Council had acted unlawfully under s 122 of the Act. Relevantly to this review, the Commission held: