Advocacy Update #5 - December 17, 2024

In this issue:

  • CHBA BC Response to Proposed Federal Vacant Land Tax
  • BC NDP Reach an Agreement with BC Green
  • Last Call: Proposed Building Code Changes Public Review ENDS December 19

CHBA BC Response to Proposed Federal Vacant Land Tax

This week, CHBA BC sent a letter to the provincial Finance Minister and Housing Minister outlining concerns regarding the federal government’s proposed Vacant Land Tax which would be applied to undeveloped land that is vacant, residentially-zoned, serviceable by municipal infrastructure, and physically developable. 

 

The letter highlights the significant cost and regulatory challenges the industry currently faces, which impact the ability of our members to create more housing supply. The layering of government-imposed fees and taxes at all levels of government already presents a significant challenge, and another tax would only make it more difficult to deliver affordable and attainable homes in BC.

BC NDP Reach an Agreement with BC Greens

Last week, Premier Eby announced a new agreement between the BC NDP and BC Greens to collaborate on a specific set of shared priorities aimed at providing greater stability in the government's slim majority. The agreement focuses on key issues including "strengthening healthcare, building affordable housing, creating livable communities, and growing a strong sustainable economy."

 

Our review of the agreement shows a significant focus on non-market housing and climate initiatives, many of which reflect commitments from the Green Party's 2024 provincial election platform. Below is a summary of a few relevant commitments:

  • Actively support non-profits, cooperatives, charitable societies, and local governments to protect, purchase, and build 30,000 units of non-market housing over the mandate, with a 2025 target of 7,500 units.
  • Conduct a joint review of existing funds within the Rental Protection Fund (RPF) in 2025 and plan to re-capitalize the RPF over the course of the mandate to ensure annual needs are covered.
  • Implement frequent, reliable, affordable regional transit on key interregional routes on Vancouver Island, along Highway 16, and along Highway 1, with a focus on Sea to Sky corridor transit in 2025.
  • Initiate and complete a review of CleanBC in 2025 (one year earlier than the scheduled review).
  • Commit to contribute $50M annually toward electric heat pumps for fiscal years 2025 and 2026.
  • End property transfer tax loophole for sale for properties by trusts.

Please note, this agreement does not represent the government's full agenda; further details will become clearer when mandate letters are issued in the new year. However, these commitments are expected to appear in those letters, and we'll monitor them closely as more information emerges.

Last Call: Proposed Building Code Changes Public Review ENDS December 19

The public review of proposed changes to the 2020 editions of the National Model Codes ends December 19, 2024. If approved, the changes will be included in the 2025 editions of the National Model Codes and subsequently adopted (with or without modifications) by B.C. and other provinces and territories.

 

This round of proposed changes includes:

CHBA BC will submit comments informed by our Technical Research Committee. Provide your feedback here or contact CHBA BC staff (pauline@chbabc.org).

Finance Minister Chrystia Freeland and Housing Minister Sean Fraser resign from federal cabinet.

 

BC Hydro has selected nine energy projects through its 2024 call for power that will supply clean, affordable electricity and will provide nearly 5,000 gigawatt hours per year of electricity, enough to power 500,000 new homes, boosting BC Hydro’s current supply by 8%.

 

ZEBx is offering up to $300 for one year of utility data under their data-collection pilot program to gather utility data for new high-performance homes and determine emissions reductions that can be achieved by dual fuel and gas-fired heat pumps.

 

Sooke council rejects provincial Small-Scale Multi-Unit Housing mandate - province plans to step in to enforce compliance.

 

Bank of Canada ends year with big rate cut.

 

A new report from Ontario estimates government-imposed fees and taxes on development make up ~36% of the final purchase price of a unit.

Holiday Office Closure

The CHBA BC office will be closed for the Christmas and holiday season from December 20 and will reopen on January 6. This marks the final Advocacy Update of 2024, with updates resuming in the new year. On behalf of all of us at CHBA BC, we wish you and your families a happy, healthy, and safe holiday season.

If you have any questions or concerns, please don't hesitate to reach out to:

Jenny Scott, Director of Policy and Government Relations at jenny@chbabc.org

Pauline Rupp, Director of Technical and Building Innovation at pauline@chbabc.org

This newsletter is exclusive for CHBA BC members. If there is a colleague in your company or a fellow member who would like to subscribe, please let them know to update their contact information with their local association (all members of local homebuilders' associations are automatically members of CHBA BC).


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