Burnaby council has approved an inter-municipal business licence pilot program with five other cities, in an effort to save small businesses money.
At its Monday night meeting, council approved a program that will allow construction-related businesses to operate in more than one city under a single business licence.
The pilot program was created in conjunction with Delta, New Westminster, Richmond, Surrey and Vancouver.
"The main benefit of an (inter-municipal business licence) program is the promotion of a business-friendly environment and economic development by reducing costs and administration for businesses," said Denise Jorgenson, director of finance, in her report to council. "Improved compliance with business licence requirements and a modest revenue increase are additional expected benefits for the City of Burnaby."
City staff has been working with the other municipalities since last December with the assistance of the province's Ministry of Jobs, Tourism and Skills Training to develop the pilot program.
The main points in the agreement include: $250 annual licence fee; eligible businesses must have
a business licence from the city of their principal business location; a business located outside of the participating cities is not eligible; businesses must comply with the bylaws of the city where they operate; and the pilot program will include a revenue-sharing process.
The pilot program will start on Oct. 1 and end December 2015.
The first pilot year will include a 15-month agreement term, with subsequent years being 12 months.
Burnaby currently generates about $164,000 a year from licence fees for construction-related businesses associated with the pilot program, according to the report.
Jorgenson anticipates the city's revenue will increase by about $13,000 a year during the pilot period.
Council approved staff to further work out an agreement with the involved cities, and to seek public input.
Last June, Paul Holden, Burnaby Board of Trade president and CEO, made a delegation to council and spoke in support of a mobile business licence program.
At the time, council expressed its concerns such as the shared responsibility between municipalities. Councillors wanted to know where the responsibility would lie for enforcing the licences and ensuring businesses didn't negatively take advantage of such a licence.
