Lobby Activities Behind the Scenes

After repeated high profile failed referendums and alternate approval processes, local government officials have been lobbing in the background for changes to the Community Charter for increased municipal power to spend and or borrow without the need for prior voter assent.

Nanaimo taxpayers voted against borrowing $90 million towards a new public works building and yet it appears that building is proceeding. The failed $30 million debt referendum to partially fund the pool expansion in Oceanside is another example of voters trying to curtail local government spending.

In the meantime local government officials have been lobbing the Province to

make changes to the Community Charter to enable them to borrow more to fulfill their wish lists without needing to obtain prior voter assent.

Apparently the Province was listening. On June 9th of this year the BC government approved an order in council that amended municipal borrowing powers. The provincial news release stated;

"Expanded borrowing powers will help municipalities deliver infrastructure quicker.

Municipalities told us that outdated borrowing thresholds were slowing down their ability to deliver the infrastructure that people count on. We have responded by expanding the borrowing powers for municipalities so they can act faster, reduce costs and deliver the services that support growing communities. These changes reflect today’s economic realities.

The Province has amended the municipal liabilities regulation and the short-term capital borrowing regulation to give municipalities more flexibility to plan and finance infrastructure projects that support population growth and housing development. Municipalities can now borrow up to 10% of their annual revenue, without having to hold a public vote, saving time and costs. These changes will help municipalities deliver a wider range of essential infrastructure more efficiently."

At the time, little was made of the fact that this change was effectively reducing voter rights.

While the cost of infrastructure has increased significantly, voters input and/or assent should still be in the forefront when there are no parameters or controls around the purpose of this increasing debt. Consider the RDN's recent purchase of the Hamilton Marsh which will require over $21 million in debt financing. In my opinion, what is missing are the safe guards that insure the borrowed money without voter assent must be used for critical infrastructure. Voters assent insures that voters have a say in how high their taxes will be by choosing to forgo those expenditures they feel are il timed and/or extravagant.

Local governments are providing more public services in areas of provincial responsibility without a corresponding growth in revenue. Local governments have limited options to raise revenue to pay for new pressures and responsibilities. There is an over-reliance on property taxation that never contemplated funding the service delivery and infrastructure gaps that are linked to provincial mandates. These cost pressures are pushing local governments to raise taxes unsustainably, while also relying heavily on provincial grants for critical infrastructure renewal. Consider the amount of downloading that we have seen right here in Oceanside; Airports, Libraries, 911 service, transit, local healthcare facilities, hospital and long term care capital costs, water quality, pollution control, highway 19A, marine search and rescue, land search and rescue, subsidized housing, mental health supports, land conservation. Local governments clearly need to prioritize their spending while focusing on needed services and critical infrastructure.

One wonders, if the reason the Province is allowing municipalities to incur more debt without voter assent is to move the debt that more appropriately belongs at the Provincial and Federal level. I understand both Provincial and Federal debt levels are at all time highs, but that is no reason to move the debt to the municipal level.

Next week most if not all of our elected officials along with some of our key staff will be attending the 2025 Union of BC Municipalities (UBCM) annual convention. This is when local government officials throughout the province vote on the issues they collectively want the UBCM to lobby the provincial government to effect change. This convention is also an opportunity to interact with individual ministers and their key staff.

Qualicum Beach has submitted two resolutions for UBCM members to vote upon ;

Resolution NR59 Sharing Fentanyl Precursors with Law Enforcement

Resolution NR103 Traffic Controls at inactive rail crossings

While irritants to the town they are hardly life changing to the residents.

I would like to see our local government officials tackle some of the downloading and make it clear to our provincial partners that small towns cannot afford to fill in the gaps to cover provincial mandates. Property owners are over taxed and feel the the equity in their homes also known as the "great wealth transfer" will not be to their beneficiaries, but rather to the government through excessive taxation and unnecessary spending. Those who defer their taxes worry the remaining equity will not cover care costs in their later years. I guess in order for local government officials to pass on our message they first have to hear us.

Marie Noel

September 18th 2025

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More Info

Full list of resolutions UBCM Resolution Book 2025