The brief debate on a new real estate tax

Burnaby Heights housing reduced

On July 25 British Columbia took a step into the unknown. The government introduced a bill to impose a 15 per cent additional tax on sales of residential property — but only within Metro Vancouver, and only “where the transferee or purchaser is a foreign national, as well as certain corporations or trusts that involve foreign nationals.”

B.C. Finance Minister Mike de Jong (CBC News)

B.C. Finance Minister Mike de Jong (CBC News)

In calling a rare summer meeting of the Legislature to approve this measure, the BC Liberal government was responding to rising public anxiety around the housing market. One-year price increases for detached homes were approaching 50 per cent in parts of Metro Vancouver. The Liberals had linked this price inflation to a shortage of housing supply; this site predicted in March 2016 that they would not take dramatic action to restrain demand. The opposition New Democrats called this special legislative session “the flip-flop session.” Continue reading

The working poor in Metro Vancouver

Walmart

The Canadian Centre for Policy Alternatives, a left-leaning research centre, has published a report on the incidence of poverty among working people in Metro Vancouver.

The 35-page study by CCPA economist Iglika Ivanovna has major flaws as an advocacy piece, but it delivers the useful reminder that “having a job is not a guaranteed path out of poverty.” Continue reading

Cool concepts in road pricing for Metro Vancouver

From the 2014 funding plan of the TransLink mayors

Photo from the 2014 funding plan of the TransLink mayors

In his first news conference this month as British Columbia’s minister for Metro  transportation, Peter Fassbender said road pricing deserves a “serious and concerted look” as a possible way to fund transit and regional roads. Mr. Fassbender is a former City of Langley mayor, now a provincial legislator, with a close knowledge of the issues. A sales tax proposal was defeated in a recent referendum; the 17-year-long search for a transit funding formula will now resume.

The road pricing mention matters to the region’s road users, especially long-distance commuters like me. We would face increased costs in return (supposedly) for quicker trips, because some motorists would choose other transportation modes or stay home. And reduced congestion would (supposedly) benefit all taxpayers by reducing the demand for new highway construction. Continue reading

3 vaguely cheerful thoughts on Metro Vancouver’s transit vote

Slide from 2010 planning presentation (South Coast British Columbia Transportation Authority)

Slide from 2010 planning presentation (South Coast British Columbia Transportation Authority)

Elections BC advised us on July 2 that Metro Vancouver residents have rejected a 10-year transit plan, which was to have been funded from a sales tax hike. The political gridlock around transit funding, already 17 years old, will continue.

It’s sad for most of us that Western Canada’s largest urban area can’t figure out how to run a bus service. Most of us — because a minority, I’m guessing 15 per cent, would prefer to see public transit privatized or abolished. Continue reading