  In the on-shell formulation of $D=5 $, N=2 supergravity, compactified on
$S^1/Z_2$, we extend the results of Mirabelli and Peskin describing the
interaction of the bulk fields with matter which is assumed to be confined on
the brane. The novel characteristics of this approach are : Propagation of both
gravity and gauge fields in the bulk, which offers an alternative for a unified
description of models in extra dimensions and use of the on-shell formulation
avoiding the complexity of off-shell schemes which involve numerous auxiliary
fields. We also allow for nontrivial superpotential interactions of the chiral
matter fields. The method we employ uses the N{\" o}ther procedure and our
findings are useful for building models advocating propagation of the gauge
degrees of freedom in the bulk, in addition to gravity.
