Resource Extraction Revenue Sharing



NCLGA Executive Recommendation: No Recommendation | Endorsed by the NCLGA Membership - Amended & Endorsed by the UBCM Membership


WHEREAS resource extraction taxation from northern British Columbia constitutes a large portion of total provincial revenues;


AND WHEREAS communities located near resource projects (such as Mount Milligan Mine) have been and will continue to be economically impacted by the development and operations of such projects;


AND WHEREAS the province has entered into agreements for mining revenue sharing with First Nations and “Fair Share” agreements for oil and gas revenue with certain local governments in the northeast;


THEREFORE BE IT RESOLVED that the NCLGA call on the province to enter into fair agreements with municipalities and regional districts affected by resource development in their region, to appropriately share resource taxation revenues in order to support local infrastructure and programming.

Additional Information

UBCM Comments: UBCM members have sought opportunities for new revenue sources (Financing Local Government Study 1998) and the Communities and Resources Committee recommended in its 1998 policy paper that "a portion of the stumpage revenue must remain in the harvesting area (revenue should start flowing back to the producing communities)."


More recently, UBCM members have supported and requested that the Province share resource revenues (i.e. stumpage, royalties, etc.) with local governments (2012-B20, 2011-B29, 2009-B30, 2004 Resource Revenue Sharing Policy Paper, 2003-B30).