Whereas section 272w of the University Act empowers the University Board of Governors to pay to a municipality a grant in a year not exceeding the lesser of the amount that would be payable as general municipal taxes in the year on property of the university within the municipality if the property were not exempt from these taxes or the amount specified by the minister or calculated in the manner specified by the minister; And whereas the payments to communities on behalf of universities has declined sharply over the last decade: Therefore be it resolved that UBCM request that the Province amend the University Act to require that the university grants-in-lieu-of-taxes formula better reflect forgone municipal taxes and that rates paid by universities be in keeping with payment-in-lieu-of-taxes paid by the Government of Canada for federal properties.
Ministry of Advanced Education The allocation by the Ministry of Advanced Education of grants-in-lieu-of-taxes has remained unchanged at approximately 520,000 for the last 12 years. Payments have not declined. Under Section 54 of the University Act, property vested in a university and held or used by, or on behalf of, a university for university purposes is exempt from taxation. Requesting universities to increase the grants paid to municipalities would place additional financial pressure on the limited resources of the Ministry of Advanced Education, public universities and students. The Ministry of Advanced Education is committed to ensuring a high-quality, competitive public post-secondary education system that is affordable and accessible. This involves the prudent allocation of limited financial resources to maximize the benefits to students in British Columbia. Grants-in-lieu-of-taxes provided to British Columbia municipalities needs to be balanced with the cultural, social and economic benefits that accrue to communities where public post-secondary institutions are located.