Sponsors: Cariboo Regional District
NCLGA Executive Recommendation: No Recommendation
WHEREAS private utilities are required to pay property taxes on properties including rights-of- way for distribution and transmission lines;
AND WHEREAS BC Hydro is authorized by provincial law to pay grants-in-lieu to local governments rather than paying property taxes:
AND WHEREAS this inequity has been an ongoing issue of importance to local governments, especially regional districts where the majority of distribution and transmission lines are located, but for which no property taxes may be collected:
THEREFORE BE IT RESOLVED that the NCLGA and UBCM lobby the Minister of Finance to review the issue of grants-in-lieu paid by BC Hydro with respect to its transmission and distribution assets as promised during the preparation of Budget 2012.
The UBCM membership has consistently endorsed resolutions relating to Crown Corporation assets and the payment of grants in lieu of property taxes, or full property taxes based on assessed property values (2012-B68; 2011-B23; 2009-B44; 2005-B96; 2001-B21; 2001-B24; 1995-A6). Further, UBCM General Policy 1.8 states that “property taxation distribution … should be based on actual value assessments and grants in lieu of taxes paid by other governments and their agencies should be paid on the same basis as the ordinary taxpayer.”