Burnaby politicians are taking aim at the provincial government and how it spends some of the carbon tax revenue, in light of rising property values in the city and region.
On Monday, city council passed a resolution calling on the provincial government to review the homeowner grant program and come up with a more “equitable” distribution of the grant across B.C.
Specifically, the politicians have taken issue with the northern and rural home owner benefit of $200, which comes out of carbon tax revenue and is available for homeowners outside the Greater Vancouver, Capital and Fraser Valley regional districts.
Council argued the northern and rural grant is unfair, suggesting taxpayers in places like Burnaby are subsidizing homeowners in other parts of B.C.
“The whole thing about property tax fairness is a real eye opener,” said Coun. Colleen Jordan. “If you’re going to have a tax policy, it should apply to the whole province.”
She noted there are 400,000 homeowners who qualify for the northern and rural benefit, including in cities like Whistler, Kelowna and Prince George.
According to a staff report, property owners living within Metro Vancouver, the Capital Region and Fraser Valley are entitled to claim a basic grant of $570, and $845 for seniors aged 65 or older. The report noted the grant amounts have not changed since 2006 and are less than those provided in northern and rural areas of the province.
Eligible property owners within northern and rural areas are entitled to claim a basic grant of $770 with seniors entitled to claim a grant of $1,045. Both grants were increased by $200 in 2011.
Why this matters, in the eyes of the city, is the number of people in Burnaby who are losing their homeowner grants because of the skyrocketing property values and assessments.
While the province increased the granthreshold to $1.2 million this year, the number of Burnaby homeowners eligible for the grant has steadily declined in recent years to 78 per cent in 2016, from 92.5 per cent in 2012, according to the city’s numbers. The provincial target is 91 per cent. Some 4,000 Burnaby homeowners who were eligible for a grant in 2015, will not be in 2016.
Mayor Derek Corrigan blasted the provincial government, suggesting the Liberals are using the carbon tax to buy votes in other parts of the province.
“If this doesn’t outrage people, what will?” he asked.
The mayor also argued much of the economy is generated in the Lower Mainland, and that it is a myth this region depends on industries in rural and Northern B.C.
“I don’t really care if people in northern and rural B.C. don’t like this report. It’s unfair and what they [the provincial government] are doing is unfair,” Corrigan said.
The city is also asking the Union of B.C. Municipalities to petition the finance minister to review the grant program.
