WHEREAS the Motor Fuel Tax Act provides for a tax to be applied to gasoline and motive fuel purchased within the Victoria Regional Transit Service Area for the raising of revenue for the purposes of the British Columbia Transit Act; AND WHEREAS Transit Service Areas in all parts of the province are in need of additional revenue: THEREFORE BE IT RESOLVED that the provincial government be urged to amend the Motor Fuel Tax Act to expand the ability for a tax on gasoline and motive fuel to be instituted by local governments in all Transit Service Areas in order to raise additional revenue for the purposes of the British Columbia Transit Act.
MINISTRY OF FINANCE The provincial government currently collects an additional gasoline transit tax in two regional districts. The gasoline transit tax collected in the Greater Vancouver Regional District was implemented in 1980 followed by a gasoline transit tax in the Capital Regional District, implemented in 1993. However, the regional transit taxes were accompanied by a reduction in the revenue transferred to the region under the provincial BC Transit cost sharing program. As noted by the Union of British Columbia Municipalities UBCM resolution committee, in Budget 2007, 10 million was provided for expansion of BC Transit services over the next three years and 22 million in capital funding was provided for the purchase of buses, allowing 25 communities to expand public transit services. In addition, the Province of British Columbia Province provided 52.5 million from the federal Public Transit Capital Trust to UBCM in 200607 to help local governments reduce traffic congestion in urban areas, reduce carbon dioxide and other emissions, and invest in public transit infrastructure. Nevertheless, the provincial government will review this proposal in the context of its commitment to reduce greenhouse gas emissions in the Province.