Taxation of Brownfields

Year
2016
Number
B104
Sponsor(s)
Terrace

Whereas brownfields have a significant, negative environmental, economic, and social impacts on a community; And whereas brownfields in northern and rural communities in particular often have a negative cash value where there is no economic incentive for the property owner to remediate the property: Therefore be it resolved that UBCM call on the provincial government to create a new tax class for brownfield sites so that local governments can tax these sites accordingly.

Provincial Response

Ministry of Community, Sport and Cultural Development The challenges associated with brownfields and brownfield redevelopment are a province-wide concern for communities throughout B.C. The Province recognizes these challenges but also sees the opportunities that these kinds of sites can represent for economic, environmental and social benefits following redevelopment. One of the biggest hurdles property owners in northern and rural communities commonly face is that the cost of remediation, if required, is often prohibitive and can even exceed the market value of the property. As a result, increasing the rate of taxation for these properties may have unintended consequences and challenges from the outset. It is not clear at this point whether a proposal to increase taxes on negative cash value land would achieve the desired result. As such, Government is not currently considering a separate property class for brownfield sites. However, the Ministry of Environment is reviewing the Provinces first Brownfield Renewal Strategy 2008-2014 to develop potential options for encouraging remediation and redevelopment of brownfield sites in the future. CSCD staff will certainly collaborate where appropriate as this work progresses.

Convention Decision
Endorsed