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DEPARTMENT OF MUNICIPAL AFFAIRS REPORT for the YEAR ENDED DECEMBER 31 1968 British Columbia. Legislative Assembly 1969

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 PROVINCE OF BRITISH COLUMBIA
DEPARTMENT OF
MUNICIPAL AFFAIRS
REPORT
for the
YEAR ENDED DECEMBER 31
1968
Printed by A. Sutton, Printer to the Queen's Most Excellent Majesty
in right of the Province of British Columbia.
1969
  To Colonel the Honourable John R. Nicholson, P.C., O.B.E., Q.C., LL.D.,
Lieutenant-Governor of the Province of British Columbia.
May it please Your Honour:
I have the honour to transmit herewith the Annual Report of the Department
of Municipal Affairs for the year ended December 31,1968.
D. R. J. CAMPBELL,
Minister of Municipal Affairs.
Victoria, British Columbia.
  Report of the Department of Municipal Affairs
Victoria, British Columbia, January 17, 1969.
The Honourable D. R. J. Campbell,
Minister oj Municipal Affairs.
Sir,—I have the honour to submit the Annual Report of this Department for
the year ended December 31, 1968.
The regional organization of local government has been completed with the
incorporation of three regional districts: Cariboo, Squamish-Lillooet, and Ocean
Falls. In co-operation with the British Columbia Hospital Insurance Service,
regional hospital districts were incorporated concurrently with co-terminus
boundaries. The regional district programme commenced in 1965 and by the end
of that year five regional districts were incorporated. Favourable progress was
made in 1966 when a further six were incorporated and another 14 were added
to the total in 1967. With the addition of the three regional districts incorporated
this year, the current number is 28. As all the areas of the Province, with the
exception of an isolated one, are serviced by the regional district programme, they
may enjoy the benefits normally provided by centralized municipal governments
in those portions that are urbanized and developed, and at the same time those
areas with small pockets of development can be given local services under this
type of administration.
Increasing interest in the regional concept has resulted in the regional districts
undertaking a variety of functions, and the accompanying table shows the number
that have been assigned to date.
As the people have become more aware of the advantages and services that
may be obtained through a regional district, there has been a demand to expand
and broaden the scope of the powers of the administration to include functionally
the provision of such services as sewerage and water and to provide for pest control
and pollution control on a regional basis. Local government financing, both in
regard to regional schemes and as a financing agency of member municipalities,
will tend to become increasingly important now the incorporation of the regional
district structure has been completed.
So the regional district could be more readily identified with its locality by its
incorporated name, the Board of the Regional District of Fraser-Burrard requested
the name be changed to Greater Vancouver Regional District; supplementary
Letters Patent dated June 13, 1968, made the new name effective. One or two
of the regional boards have indicated they may wish to consider a name change
more in keeping with the identity of the geographical area in which the district is
situated, and further requests are expected in 1969.
In an effort to assure that regional districts could be offered as much technical
assistance as the Department could provide, a large number of regional board
meetings were attended by myself and other members of the senior staff. As in
the past few years this has meant a substantial portion of our time has been devoted
to working and travelling throughout the Province.
 X 6 BRITISH COLUMBIA
It seems appropriate to record in a more permanent fashion the fact that early
in July you, in conjunction with the executive of the Union of British Columbia
Municipalities, announced the setting-up of the Joint Study Committee on Provincial-Municipal Finances and issued the following statements:—
PURPOSE OF THE STUDY
To study the taxation and revenue systems of the Province, its municipalities, and
other local units in relation to their functions and expenditure requirements with a view
to assessing whether such taxation and revenue systems and allocation of functions are
equitable, efficient, adequate, and conducive to the sound growth of British Columbia, its
municipalities, and other local units.
PROCEDURES
The study of the financial problems affecting the Province, the municipalities, and
other local units is a joint undertaking of the Union of British Columbia Municipalities
and the Department of Municipal Affairs, and for this purpose the responsibilities for this
study are divided in the following manner:—
(a) The executive of the Union and the Minister of Municipal Affairs have the responsibility for the direction in which the study will proceed and for drawing
final conclusions arising out of the completed study.
(b) A joint committee of officials appointed by the Union of British Columbia Municipalities and the Minister shall, subject to their direction, organize, supervise,
and carry out the programme and shall, from time to time as it proceeds, report
progress and recommend changes in the programme if deemed necessary.
THE PROGRAMME
A. The programme of studies shall attempt among other things to determine
(1) the respective characteristics of various charges and taxes imposed in British
Columbia in relation to
(_) ability to pay;
(6) benefits received;
(c) functions performed; and
(~) other related criteria;
(2) the degree of disparity in costs for the various municipal services as between
municipalities and (or) regions and, where possible, to identify the causes.
B. To achieve the foregoing the study will include—
(1) An outline of the economy of the Province showing
(a) production in terms of the kinds of works or services provided measured in employment and in dollars of output;
(b) consumption of goods and services by kinds and purposes including
capital;
(c) production and the matching money-flow with particular reference to
the amounts diverted through the various levels of government.
(2) Domographic characteristics of population by age, sex, occupation, location, and
income distribution for British Columbia and by regional districts.
(3) Government:
(a) Provincial and municipal revenues by source or type, setting out the
basic characteristics of each together with such Federal revenues as may be applicable to the study;
(b) The incidence of taxation and charges by
(i) types of tax or charge;
(ii) types of taxpayer (i.e., farm, commercial, industrial, personal);
(iii) persons in relation to their income where applicable;
(c) Provincial and municipal expenditures by functions and by objects and
where feasible, by unit costs together with such Federal functional expenditures
as have a bearing on the study;
{d) In respect of local government,
(i) a determination and establishment of the current level of services;
(ii) costs of such services;
(iii) reasons for variability in costs.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS, 1968 X 7
(4) Projections for Provincial and municipal governments to 1980:
(„) Revenues;
(b) Expenditures;
based on such assumptions as are considered reasonable in light of the data
assembled.
As a result of these directives the Joint Committee was established and to date
has held three meetings. The composition of the committee representing the Union
has consisted of the Executive Director of the Union, his consultants, and a representative from the Municipal Officers' Association. Senior members of the Department, assisted by the Director and research officers from the Bureau of Economics
and Statistics of the Department of Industrial Development, Trade, and Commerce,
have represented the Government side. It is anticipated that staff members from
other Departments will join in as the programme develops. Good progress has
been made to date in organizing the material already available within the Department. Much of this has been placed on data-processing equipment to facilitate
the calculations involved. Work is progressing on questionnaires designed to
supplement information on file.
The Commission established under the provisions of the 1967 amendments to
the Municipalities Enabling and Validating Act to report on the desirability of
amalgamation of the City of Trail and District of Tadanac recommended amalgamation by a majority in the affirmative. However, agreement as to an acceptable
tax-sharing formula was not completed until the latter part of the year. As a result
of the agreement, Letters Patent were issued authorizing the amalgamation,
effective January 1, 1969; the name of the new municipality is the City of Trail.
Acting on a petition of Council the membership of the Council of the City
of Port Coquitlam was increased from five to six, exclusive of the Mayor, under
the authority of supplementary Letters Patent.
As an incentive to increasing the turn-out at municipal elections, an annual
shield award, open to all municipalities in three categories, is given by the Minister
of Municipal Affairs. The 1967 December elections resulted in the following
municipalities receiving the awards:—
Per Cent
Cities and towns:  Fernie  74.1
District municipalities:   Port Alice  80.1
Village municipalities:  Port McNeill  80.9
Substantial interest in local government in the newer municipalities has been
indicated by the 1967 returns, as the last two listed are both incorporated under
the legislation providing for the incorporation of " instant" municipalities when
urban development is required in conjunction with a natural resource. Second-
place municipalities were: Cities and towns, Trail, 72.9 per cent; districts, Gold
River, 64.6 per cent; villages, Cumberland, 77.0 per cent. Gold River is also an
" instant" municipality.
Both the annual convention of the Union of British Columbia Municipalities
and the annual conference of the Municipal Officers' Association were attended
by senior members of the Department, who took active parts in the programmes.
Other conferences on government and associated subjects were attended by myself
and senior staff.
A number of seminars and workshop conferences relating to local government
were also attended by the staff, and earlier in the fall a seminar on regional districts
was held in Cranbrook, which was attended by the chairmen of the Regional
Boards and the secretary-treasurers.   The latter seminar gave everyone an oppor-
 X 8 BRITISH COLUMBIA
tunity to discuss the over-all growth of regional districts and the solutions which
have been devised to overcome some of the difficulties as they have arisen.
During the 1968 Session the Legislature adopted extensive amendments to
the Municipal Act. These amendments were the result of a review of the legislation
with the executive of the Union of British Columbia Municipalities, a convention
of the Union, a series of public meetings, recommendations to the Municipal
Matters Committee, and certain technical refinements developed from the experience of the Department.
The more significant changes simplified procedures for incorporation and
made special provisions for the incorporation of Indian villages. Eligibility to
stand for municipal office was extended to resident and tenant-electors as well
as owner-electors. Provisions were also made so that the terms " Mayor " and
"Aldermen" would apply to the members of Council in all classes of
municipalities.
Modifications in the procedures by which municipalities may incur debt were
broadened by increasing the categories of public works for which no vote is required
unless a petition is submitted against the project, and by separating the borrowing
procedures into two parts—the authorization to borrow and the issuance of the
actual debentures. Amendments to the Municipal Act paralleled with amendments
to the Public Schools Act removed from Municipal Councils the duty to levy for
school taxes, but the responsibility of municipalities to act as the collection agency
remains.
Local improvement procedures were changed considerably and Councils now
establish their own formula for sharing the cost of local improvement works
between the owners and the municipalities, thus providing for greater flexibility and
variation to overcome the various geographic and climatic conditions encountered
by the municipalities. A number of changes were also made in the planning part
of the Act, including a provision under which Council may regulate development
of land use by the issuing of development permits in the areas designated.
A number of procedural changes were made in connection with regional
districts, changes which have grown out of the Department's experience with the
operation of the regional districts; other amendments were made to delete certain
provisions which no longer serve any useful purpose.
Upon completion of my term as Chairman of the Board of Examiners, J. D.
Baird, Assistant Deputy Minister, was appointed to the chairmanship and W. K.
Smith has been appointed Secretary.
It was deemed advisable to appoint W. K. Smith, Director of Finance and
Statistics, and C. H. L. Woodward, Director of Administration, as Assistant Deputy
Inspectors of Municipalities, and this was authorized by Order in Council No. 1832,
dated June 10, 1968. The incorporation of regional districts and the continual
expansion of municipal activities has resulted in a substantial increase in the number
of approvals which made the appointments necessary.
In an effort to ensure that the investment and financial houses in Eastern
Canada are kept informed on the development of regional districts and growth
of municipalities in British Columbia, we have, together with yourself, continued
to maintain contact by personal visits as well as by correspondence. We have
been encouraged by the interest shown in the regional districts entry into the
financing of capital works, both for regional services and municipal undertakings.
While considerable emphasis has been placed both in this report and in the
allotment of staff time to regional districts, this is due solely to the necessity to
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS, 1968
X 9
assist these new organizations in their pioneering moves to deal with the problems
they face. This does not represent any diminution in the importance of the basic
municipal structure and I would expect that the balance will be restored as time
goes on.
May I take this opportunity to express my appreciation for your direction and
leadership and also my appreciation to the Council and Board members and local
government officers throughout the Province, the members and staff of the Union
of British Columbia Municipalities, the executive of the Municipal Officers'
Association, and the departmental heads and staff of departments of government
whose courtesies and assistance extended to myself and the staff have, as always,
been invaluable.
J. E. BROWN, F.C.I.S.,
Deputy Minister.
 X 10
BRITISH COLUMBIA
Regional Districts as at January 15, 1968
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" X " indicates function.
; P " indicates partial function or area.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968 X 11
REPORT OF THE ASSISTANT DEPUTY MINISTER AND
DEPUTY INSPECTOR OF MUNICIPALITIES
Victoria, British Columbia, January 15,1969.
/. E. Brown, Esq.,
Deputy Minister oj Municipal Affairs.
Sir,—There continues to be in evidence the trend that urgent demands for
local services such as sewer and water are constant companions of the population
increases taking place within municipal boundaries. These demands remain a
source of major concern, not only from the standpoint of their priority, but perhaps
more seriously in view of the increasing costs which must be met in undertaking
the actual project construction. Commensurate with this rise in population and the
capital development of service facilities has been the increase in the revenues required to be raised by the municipalities to provide the services. In the five-year
period from 1963 to 1967, municipal revenues, including those of waterworks and
other utilities, have increased by approximately $140,000,000 to $375,000,000.
Debenture debt over the same period has increased to $380,000,000 from
$275,000,000.
The continued expansion and development in the various areas of local
government has added to the complexity of the problems to be solved and placed
additional demands upon all members of our staff. To keep abreast of the latest
developments in the field of local government, members of staff have, of their own
volition, undertaken special courses of study from time to time.
Now that the programme of regional organization of local government has
been completed, attention was focussed during the major portion of the past year
on the granting of additional functions to the various regional districts to enable
them to satisfy the requests for services as advanced by their member areas. The
numerous supplementary Letters Patent issued in this regard and the approvals
given to specified area by-laws give some indication of the very wide range of
local government activities which can be effectively co-ordinated and developed
by the regional type of institution.
It is apparent that the role of regional districts and the benefits accruing from
its application have found widespread acceptance and, on the basis of this favourable reception, we anticipate that there will be a continuing increase in requests
for enlargement of functional activities within the various regions in the coming
year.
As a result of the recommendation of the Federal-Provincial Co-ordinating
Committee on Indian Affairs, legislation was enacted to provide an incorporation
procedure for Indians on Indian reserves. It is now possible for these residents
to administer their affairs through the village concept of local government. One
further meeting of this Committee was held during the year.
A record of major activities of the Department during 1968 would include
the following:—
(1) Four hundred and three visits were made to municipalities, improvement
districts, and regional districts. The number of municipalities, improvement districts, and regional districts actually visited was 151; some received more than one visit.
 X 12
BRITISH COLUMBIA
(2) Three hundred and sixty-four Minutes of Council were prepared and
subsequently approved by the Lieutenant-Governor in Council.
(3) One hundred and six certificates of approval for municipal loan by-laws
were issued.
(4) Forty-eight debenture issues were examined and subsequently certified
by the Inspector of Municipalities, consisting of 8,270 debentures of a
total par value of $12,309,987.
(5) Seven hundred and forty-five by-laws were examined and registered. Of
these, 64 were district by-laws, 199 were town by-laws, 444 were village
by-laws, 30 were regional district by-laws, and 8 were improvement district by-laws. Many of the by-laws required advice and correspondence,
resulting in resubmission in revised form.
(6) Many draft by-laws and similar documents were submitted for review and
comment, involving a considerable amount of correspondence.
(7) Publication of the Annual Report of Municipal Statistics, which includes
some 33 different schedules.
(8) Editing the financial and statistical returns of the municipalities to ensure
conformity with statutory and other requirements. This phase of administration involves considerable correspondence with municipal officials and auditors.
(9) Administration of the Municipal Winter Works Incentive Programme.
(10) Administration of the Municipal Commercial Vehicle Licensing Programme.
(11) By correspondence and by visits to the various municipalities, encouraging
the adoption of good financial, accounting, and administrative procedures.
(12) With the completion of the programme involving the incorporation of
regional districts, the members of staff devoted considerable time and
attention to the furnishing of advice to these districts on appropriate
activities which they could undertake in fulfilment of their role as coordinator and developer.
In co-operation with the Faculty of Commerce and Business Administration
of the University of British Columbia, the four-year correspondence course in
municipal administration sponsored by the Department will be phased out over a
four-year period as follows: Registration for the first year was accepted for the
last time in 1968/69; second year will be 1969/70; third year will be 1970/71;
and fourth year will be 1971/72. In future years, to assure that those persons
wishing to participate in a course in administration may have the opportunity,
arrangements have been made with the Chartered Institute of Secretaries to accept
applications for the Institute's course provided the applicants have adequate
qualifications. For those persons interested in the financial aspects of municipal
government, progress is being made in negotiations with the Certified General
Accountants Association to consider revision of their course for this purpose.
Current student enrolment in the present correspondence course is substantial as the following figures indicate: First year, 42; second year, 34; third
year, 24; and fourth year, 17. In addition the course in property appraisal open
to assessors has a current enrolment of eight students.
The Board of Examiners, on which the Department is represented, granted 35
certificates of proficiency during the year. The following table illustrates classifications of certificates issued during 1968, and the number and classification issued
to date:—
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 13
Certificates
Junior	
Senior Administration     15
Senior Finance 	
Property Appraisal	
Totals      3 5
1968
To Date
6
59
15
80
11
85
3
43
267
In view of the importance of the annual edition of Municipal Statistics to
investment houses, financial institutions, and others, every effort is made to ensure
that it is available for distribution as early in the year as possible, and that the
financial and other information contained in this publication is accurate and on a
comparable basis with prior years.
Interest in the Municipal Commercial Vehicle Licensing Programme, administered by the Department on behalf of the municipalities, has not diminished
in that 115 municipalities participated in the programme during the 1967/68
licence-year, an increase of four over the previous year. The revenue derived from
licence sales during the 1967/68 licence year was $625,231, which, after payment
of incidental expenses, was distributed to the participating municipalities on a per
capita basis. In all, 55,652 municipal commercial-vehicle plates and 40,649 exempt
plates were issued.
After a period of 10 consecutive years, the Government of Canada has discontinued the Municipal Winter Works Incentive Programme. Rather than review
the provisions of the programme as it previously existed, there are presented below
tabulations compiled from office records of the extent of participation by municipalities within British Columbia during the last year of the programme, which
covered the period November 1, 1967, to March 31, 1968:—
Number of men hired  3,850
Man-days work provided  227,680
Total cost of projects   $16,607,344
Total direct payroll cost  $5,960,192
Federal share of direct payroll cost  $2,976,957
Provincial share of direct payroll cost  $666,301
Municipal share of direct payroll cost  $2,316,934
Nature and Total Cost oj Projects
Waterworks      $2
Sewers 	
Drainage
Roads 	
Sidewalks
Buildings
Parks 	
Other __._
,987,371
,669,632
748,217
,221,948
635,262
,615,775
,710,515
,018,624
Municipalities Participating
Cities   21
Districts   22
Towns     6
Villages  21
Other   19
Number oj Accepted Projects
Cities  118
Districts  101
Towns  20
Villages  44
Other   23
Total
89
Total  306
 X 14 BRITISH COLUMBIA
While we have not been able to fully resume the policy of having a senior
staff member visit each municipality at least once during the year, due to the
work load encountered in assisting the newly incorporated regional districts through
their first stage of development, certain inroads were made in assisting the smaller
municipalities through staff visits. It is hoped that this area of Departmental
activity will receive enlarged coverage in the coming year.
I would again express appreciation of the loyalty and devotion to duty which
all members of the staff have shown during the past year. For senior members
this has meant many week-ends of work in the field, curtailed holidays, or taking
holidays in piecemeal fashion.   All in all, it has been a job well done.
J. D. Baird, F.C.I.S.,
Assistant Deputy Minister and Deputy Inspector
oj Municipalities.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 15
REPORT OF THE DIRECTOR OF THE FINANCE
AND STATISTICS DIVISION
Victoria, British Columbia, January 15, 1969.
/. E. Brown, Esq.,
Deputy Minister oj Municipal Affairs.
Sir,—The major source of revenue of municipalities in British Columbia continues to be the real-property tax. Revenue from this source of taxation in 1967
totalled $224,840,545. Of this amount $117,198,956 represented taxation for
general municipal purposes and $107,641,589 represented taxation for school purposes. The growth in assessed values of real property and revenue from taxation
of these properties over the past 10 years is portrayed in the following table:—
Growth in Combined Assessed Values and Taxes in Municipalities
of British Columbia
Gross Assessed Values
Assessed Values Actually Taxed
Tax
Revenues
Year
All Properties
Taxable
Properties
School
Municipal
1959.. 	
1960	
$3,327,118,937
3,569,240,135
3,717,472,643
4,032,288,772
4,062,459,644
4,188,389,878
4,460,354,467
4,808,126,631
5,291,753,788
5,796,518,8461
7,477,117,6252
$2,805,547,214
3,015,844,390
3,142,969,534
3,407,538,034
3,433,937,080
3,534,097,291
3,770,938,012
4,070,798,825
4,507,176,416
4,885,094,7111
4,958,045,8612
$2,248,145,499
2,417,467,198
2,508,401,082
2,770,194,168
2,795,430,982
2,878,206,746
3,072,204,132
3,315,334,666
3.653.180.275
$1,721,746,794
1,843,967,404
1,920,101,216
2,182,411,559
2,224,805,763
2,294,697,747
2,365,897,598
2,549,447,799
2.779.766.130
$104,819,992
116,857,478
1961	
122,272,311
1962                   	
128,865,831
1963                   	
141,020,672
1964   .             	
154,074,236
1965   	
1966                    	
172,163,583
192,056,108
1967                      '
224,840,545
1968                "
3.949.911.069     I    4.371.582.098
255,000,0003
i School values.
2 Municipal values.
3 Estimated.
The increase in assessed values actually taxed for general municipal purposes
from $2,781,601,367 in 1967 to $4,371,582,098 in 1968 was principally due to
a change in policy by the Cities of Vancouver and Penticton and the Districts of
Burnaby, Peachland, Summerland, and West Vancouver. These municipalities
have elected to utilize a separate assessment roll for general municipal purposes in
which land and improvements are assessed at their actual value, as permitted by
the provisions of the Municipal Act, rather than to adopt the assessed values of land
and improvements, as determined pursuant to the Assessment Equalization Act.
Under the Assessment Equalization Act assessed values for taxation purposes under
the Public Schools Act are 50 per cent of actual value.
It is anticipated that proceeds from real-property taxation for school and general municipal purposes in 1968 will reach $255,000,000, which would represent
an increase of approximately 66 per cent over the revenue of five years ago. The
total assessed values actually taxed for school purposes in the Province in 1968
amounted to $5,194,966,489, an increase of approximately $400,000,000 over
1967. Of this amount $3,949,911,069, or approximately 76 per cent, represented
assessment values in city, district, town, and village municipalities.
 X 16
BRITISH COLUMBIA
During the year 1967, the last year for which audited financial statements of
municipalities are available, municipal revenues, including those of waterworks and
other utilities, were in excess of $375,000,000, an increase of $53,000,000 over
the previous year. Revenue from taxation for school purposes, which is collected
by the municipalities and remitted to the school boards, amounted to $108,000,000.
Provincial Home-owner Grant payments remitted to municipalities by the Province
for the same period to apply on school taxes and general municipal taxes amounted
to $36,000,000.
There was a slight decrease in capital projects undertaken by municipalities
and regional districts in 1967 over the previous year. The value of these projects
undertaken amounted to $117,000,000, with works amounting to $102,000,000
being completed during that fiscal year, leaving a balance of works in progress of
$15,000,000 at the year-end. Of the $117,000,000 expended during the year on
works of a capital nature, municipalities were able to provide $29,000,000 out of
current general revenue and utility revenue funds, $6,000,000 from reserve funds,
and approximately $6,000,000 was obtained from grants-in-aid from the Provincial
and Federal Governments. It is gratifying to note that Municipal Councils are continuing in their efforts to finance larger portions of annual capital programmes out
of current general revenue funds, thereby decreasing the amount of debenture borrowings required in connection with these projects. Figures in the following table
indicate the activity in the capital works programmes over the past five years. The
balance between the costs of the projects undertaken and the amounts shown in
the " Source of Funds " column was financed through debenture loans, temporary
bank loans, and other methods of financing.
Projects
Undertaken
Works
Completed
Works in
Progress
Source of Funds
Year
Revenue
Reserve
Funds
Grants
1963	
1964     ._.
$80,000,000
80,000,000
103,000,000
118,000,000
117,000,000
$62,000,000
62,000,000
87,000,000
99,000,000
102,000,000
$18,000,000
18,000,000
16,000,000
19.000.000
$12,000,000
15,000,000
16,000,000
21.000.000
$3,000,000
5,000,000
5,000,000
5,000,000
6,000,000
$5,000,000
5,000,000
1965
7,000,000
1966	
8,000,000
1967
15.000.000    1    29.000.000
6,000,000
Authorized term-borrowing trends over the past seven years is indicated in
the table below. The increased debenture borrowing between the years 1963 to
1964 has been attributed to the municipal development and loan fund financing
scheme. However, the increase in term borrowings since that time reflects the continued demand for services, principally sewerage and water, brought about by the
rapid development of urban communities within the Province. The marked increase in authorized borrowings between 1967 and 1968 is due to increased borrowing for sewer programmes.
Year Amount
1962  $14,006,884
1963  14,581,981
1964  25,231,663
1965  27,499,789
Year Amount
1966  $24,663,388
1967  30,756,706
1968  50,967,479
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 17
Total debenture debt as at December 31, 1967, of all municipalities, including the City of Vancouver, is shown by the following table. The debenture debt of
the Greater Vancouver Sewerage and Drainage District and the Greater Vancouver
Water District is not included.
Sold
Unissued
and Unsold
Total
Cities 	
Districts   	
$64,475,012
79,621,307
8,204,810
5,961,730
177,000
1
$17,848,456
25,797,858
1,612,959
1,606,000
2,628,500
$82,323,468
105,419,165
9,817,769
7,567,730
2,805,500
$158,439,859
171.055.297
$49,493,773
900.000
$207,933,632
171,955,297
Totals	
$329,495,156      !      $50,393,773
$379,888,929
Debenture sales for all municipalities (excluding Vancouver) amounted to
$15,687,782 for the year 1967. This resulted in an increase of $6,784,451 to the
outstanding debenture debt of all municipalities (excluding Vancouver) for 1967.
Interest rates on municipal debentures have risen slightly over the past year
and it appears that the current rates may increase still further. Municipalities are
continuing to face problems in the marketing of municipal debentures, most of which
are attributable to the lack of investor funds available for this purpose. We have
continued with our programme developed over the past few years of meeting with
bond dealers, bankers, institutional buyers, and others to acquaint them with the
financial position of municipalities in British Columbia and to determine the buyers'
requirements both in the style of debenture which is most attractive to the market
and also the information required by them to successfully measure the financial
worth of a municipality. While it appeared that a return to the sinking fund type
of debenture, particularly for larger issues, would have been more attractive to the
market than the present serial type of debenture, no new sinking fund debentures
have been marketed to date. Regional districts have not yet entered the market
for large-scale borrowings on their own behalf or on behalf of member municipalities.
However, it is expected that they will do so in 1969 and the style of debenture offered
will depend on the requirements of the market at that time.
The percentage of current revenue needed to service debenture debt, excluding
utilities, in the various classes of municipalities in 1967 declined slightly over the
previous year. Figures for 1967 are shown below along with the 1966 figures in
parentheses:—
Per Cent
Cities (excluding Vancouver)   8.4 (9.0)
Districts   7.4 (7.9)
Towns  7.5 (8.0)
ViUages  5.1(5.6)
Debenture debt of utilities is serviced almost entirely by revenues derived from
user charges paid by the consumer and by frontage taxes.
Table 1 and Chart 1 indicate the trends in various financial aspects of local
government compared to population and municipal income. The increase in total
revenue during the period under review resulted mainly from increases in revenue
from general municipal taxation of $10,000,000, $22,000,000 from school taxation,
and $8,000,000 in Provincial Government grants paid to municipalities.    The
2
 X 18 BRITISH COLUMBIA
increase in school tax was offset to some extent, in so far as the residential homeowners were concerned, by an increase of $6,000,000 in the Provincial Home-owner
Grant paid to municipalities on their behalf.
Reserve-fund balances of the municipalities at the end of 1967, which are held
for a variety of purposes, amounted to $32,000,000, an increase of $2,000,000 or
6.2 per cent over the previous year, after giving effect to the fact that during the
year 1967 approximately $6,000,000 from reserve funds was expended on capital
works projects. The total of reserves and surplus held in all accounts of the municipalities was $84,544,833. This amounts to 33 per cent of the total annual revenue,
excluding school taxes, of the municipalities. Reserve funds are held in liquid form
or in investments authorized by Statute. However, a portion of the surplus referred
to is represented in arrears of taxes and other receivables.
Tax collections by municipalities continue to improve to the point where the
collection of current taxes in cities and districts now exceeds 96 per cent of the levy,
villages collected in excess of 95 per cent, while the town category was slightly less
with 93 per cent. The collection of current taxes in British Columbia municipalities
continues to be the highest among the Provinces in Canada, while the percentage of
arrears of taxes is the lowest, as an examination of 1966 published statistics indicates.
British Columbia— Percent
Collection of current taxes  96.2
Arrears on adjusted levy  5.3
Alberta—
Collection of current taxes  86.4
Arrears on adjusted levy  23.3
Saskatchewan—
Collection of current taxes  91.3
Arrears on adjusted levy  14.7
Ontario—
Collection of current taxes  92.7
Arrears on adjusted levy  9.5
Nova Scotia—
Collection of current taxes  86.1
Arrears on adjusted levy  25.7
Chart 2 shows the percentage of tax collections for the period 1957 to 1967,
inclusive, and Table 2 reveals further information relative to tax collections in British
Columbia municipalities for the years shown.
British Columbia municipalities have enjoyed a favourable financial position
for some years, and examination of the current financial and statistical information
available indicates that this position is continuing to improve. Municipal administrators, treasurers, and other officials are progressively developing techniques which
are proving to be successful in the areas of budgetary control and tax collection,
and have contributed substantially to the establishment of our municipalities' favourable position.
Chart 3 indicates the per capita and percentage of revenues of municipalities
by major source for the 1967 fiscal year. Chart 4 reflects the expenditures by
major function of these funds on a per capita basis and as a percentage of total
expenditure.
In keeping with the proposal mentioned in last year's report, the 1967 edition
of the publication of Municipal Statistics was presented to reflect the pertinent infor-
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968 X 19
mation for municipalities on a regional district basis rather than by class of municipality as in the past. A summary was provided to record totals by class of municipalities. Early indications are that this style of presentation is being well received
by other areas of government and by financial institutions.
The initial reporting of financial and other statistical information concerning
the operation of regional districts is included in the annual report of Municipal
Statistics. As this concept of local government continues to expand and as further
experience is gained in this field there will likely be modifications of reporting in
future years.
A major revision of the Municipal Finance Reporting Manual is under way.
The present manual, which was published in 1960 by the Dominion Bureau of Statistics in conjunction with the Departments of Municipal Affairs of the various Provinces, has been used by the municipalities as a guide in the preparation of financial
statements, accounting terminology, and general statistical reports. It has been our
view that any new or revised manual should provide guides in all phases of financial
administration, from the preparation of budgets and the general accounting records
through to the preparation of the annual financial statements of the municipality,
and this principle is being followed in the new manual. The new coding system
being developed is oriented toward electronic data processing so that further changes
to accounting systems will not be required as municipalities and regional districts
move into the use of computer systems. A number of meetings have been held with
the Departments of Municipal Affairs of the other Provinces and the Dominion
Bureau of Statistics in connection with the proposed changes, and it is hoped that
this project may be completed in 1969.
It has been apparent for some time that with the continuing growth of the
municipalities and the need by Councils and others of up-to-date and accurate information that the use of electronic data-processing equipment on some sort of joint
basis would be most desirable in the public interest. With this in mind, meetings
have been held on Vancouver Island and in the Okanagan and Kootenay areas with
senior administrators of the municipalities and regional districts to discuss the pros
and cons. Committees have been set up and feasibility studies begun to determine
the extent which the use of computers could contribute toward the improvement of
local government administration, and what economies may be expected to result.
We intend to participate in similar studies in the northern part of the Province as
soon as possible. Members of Council and senior administrators who have been
involved are keenly interested in the project and are anxious to receive the conclusions resulting from the studies undertaken.
The staff of the Division have been hard pressed at times to keep abreast of the
expansion and changes in the field of local government finance administration, and
to do so has meant many hours of extra work and study for them. One of the principal functions of the Division is the continued review of the financial position and
administrative practices of the municipalities, regional districts, and other areas of
local government. This phase of the work assumes greater importance as the problems of taxation and finance become more complex.
The close liaison established with financial institutions and the Dominion
Bureau of Statistics has been maintained throughout the year through an exchange
of visits and by correspondence. We have received the highest degree of co-operation from both elected and appointed municipal and local government officials
throughout the year.
W. K. Smith, F.C.I.S.,
Director, Finance and Statistics Division.
 X 20
BRITISH COLUMBIA
Table 1.—Trends in Financial Aspects of Municipal Government
Compared to Population and Income Expressed as Indexes
Year
Population
Total Revenue
(Excluding
Utilities)
Building
Permits
Debenture
Debt
Maximum
Values
Taxable
Total B.C.
Personal
Income
1956	
1957 	
1958	
1959. .	
100.00
107.47
110.91
115.24
118.72
118.24
124.05
126.75
130.90
135.53
137.92
144.78
100.00
116.34
134.68
152.68
165.07
176.25
186.74
199.73
214.34
244.39
276.05
318.86
100.00
99.81
107.24
103.49
79.20
84.00
95.96
109.60
145.87
170.99
173.74
211.90
100.00
107.36
109.77
121.81
127.89
129.67
130.61
139.67
142.13
148.23
162.15
165.32
100.00
113.99
126.31
138.13
148.51
154.66
170.17
171.72
176.81
188.72
203.66
224.44
100.00
108.36
112.04
119.29
1960 	
1961	
1962	
1963	
1964	
1965  	
1966 -	
1967  	
124.39
'126.37
134.86
142.23
154.97
174.95
194.63
215.35
Census years:   1956,1961, 1966.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 21
Table 2.—Percentage Tax Collections
Percentage of
Current Levy
Collected
Total Collections
as a Percentage
of Current Levy
Outstanding Taxes
as a Percentage
of Current Levy
Cities (Except Vancouver)
1939       -- ...	
81.10
94.13
95.12
95.42
95.82
95.92
96.28
96.61
91.00
95.74
94.65
94.95
95.11
95.66
96.03
96.36
77.60
92.32
95.12
95.27
95.52
96.05
96.51
96.69
89.55
88.69
91.36
90.80
91.88
92.87
92.81
93.21
76.50
92.45
94.73
95.21
95.09
96.04
95.21
95.64           j
99.10
100.46
100.17
100.32
100.45
100.01
100.40
100.30
103.10
100.57
99.56
99.92
99.78
100.39
100.20
100.15
95.80
99.28
99.94
100.16
100.10
100.31
100.67
100.17
97.06
98.00
101.00
97.87
100.25
99.93
98.90
99.75
98.30
99.90
101.53
100.53
99.99
100.31
99.08
100.07
!             40.16
1946	
7.85
1962
6.75
1963                    - 	
6.30
1964              -
5.70
1965.             	
5.49
1966                 -	
5.12
1967                -	
4.57
Vancouver
1939               	
30.06
1946 -	
5.90
1962 :	
7.83
1963    	
7.50
1964                - - 	
7.34
1965
6.45
1966                        --	
5.80
1967                	
5.04
Districts
1939  --	
1946                -
34.81
9.45
1962	
6.47
1963                —
6.28
1964	
6.03
1965               	
5.33
1966               	
4.64
1967  	
Towns
1958   	
4.22
13.62
1959	
15.18
1962 -	
11 58
1963 .   .                     .
12.71
1964    	
11.47
1965 	
9.94
1966 	
1016
1967... 	
Villages
1939	
9.84
38 71
1946   -	
11 90
1962 	
7.32
1963  	
1964.	
1965  	
6.28
5 52
1966	
6 48
1967
6 16
 X 22
BRITISH COLUMBIA
TRENDS    IN     FINANCIAL   ASPECTS   OF   MUNICIPAL   GOVERNMENT
COMPARED     TO    POPULATION    AND      INCOME
CHART 1
LEGEND
-*————- Population  in   millions •»••• Maximum values taxable in
 Total  revenue   in   millions   of  dollars hundreds of millions of dollars
  Building   permits   in   millions of dollars      Personal   income in hundreds
 Debenture   debt    in     millions   of    dollars of millions of dollars
600
400
____——-;
^ .HHH "
. — — "'"
H.-*-"
200
. — '
/;-S--
-""^
.,.---
--""
90
80
70
60
50
40
30
20
10
9
8
7
6
5
4
3
2
	
	
	
957
SB
?
iO
M
62
63
64
65
66      .967
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 23
PERCENTAGE      TAX       COLLECTIONS
CHART 2
LEGEND
 Cities Villages
Districts  Vancouver
••••••••♦Towns
PERCENTAGE OF CURRENT LEVY COLLECTED
OUTSTANDING TAXES AS A PERCENTAGE OF CURRENT LEVY
1957 58 59 60 61 62 63 64
Note: The    classification   of    Towns     was   established   in   1S58
66 1967
 X 24 BRITISH COLUMBIA
MUNICIPAL    REVENUES    BY     MAJOR     SOURCE,      1967
CHART 3
,.;olto   »t-'U,
CITIES
(EXCLUDING    VANCOUVER)
POPULATION   371,887.
Other
1.26%    S2.88
SlW£9  Jjonvj
-Other
.73%    $1.49
5  DISTRICTS
j     POPULATION   646,541.
NOTE: Population, 1966  census  with boundary  extensions  and   new incorporations  to
December 31,1967.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS, 1968
X 25
UNICIPAL    REVENUES    BY     MAJOR      SOURCE,      1967
CHART 3
yer_J_-*tn     $1Z2£f
TOWNS
POPULATION   48,544
VILLAGES
POPULATION    54,646.
Other
1.88%    $2.53
-Utilities
.80%      $1.08
$15.85
NOTE:   Population,   1966   census   with   boundary   extensions   and   new    incorporations  to
December  31,  1967.
 X 26 BRITISH COLUMBIA
REVENUE   EXPENDITURES   BY   MAJOR   FUNCTION,    1967
CHART 4
Other
11.17% $25.35
Capital     Expenditure
from Revenue
8.14%  $18.49
Debt  Charges (Net)
8.99%  $20.43
Education
29.34%   $66.66
Other
13.03% $26.18
Capital  Expenditure
from Revenue
6.63%  $13.33
Debt Charges(Net)
7.74%    $15.56
CITIES
(EXCLUDING VANCOUVER)
POPULATION   371,887
Education
36.73% $73.84
DISTRICTS
POPULATION    646,541
General Government
6.34%   $14.42
Fire
4.50% $10.22
Administration  of
Justice 6.26% $14.23
Other Protections
1.91% $4.35
Public Works
7.35% $16.69
Sanitation & Waste
Removal 4.10% $9.32
Social Welfare
11.227. $25.48
General Government
5.97% 5U.99
Fire
3.40%   $6.83
Administration of
Justice 4.89% $9.84
Other Protections
1.65% $3.32
Public Works
8.18% $16.45
Sanitation -Waste
Removal 2.68%$5.38
Health
0.53% $1.04
Social Welfare
8.57% $17.24
NOTE:    Population,    1966   census   with   boundary   extensions   and   new    incorporations   to
December   31,  1967.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS, 1968 X 27
REVENUE   EXPENDITURES   BY  MAJOR   FUNCTION,    1967
CHART 4
Other
9.53%  $16.66
Capital Expenditure
from Revenue
14.09%   $24.64
Debt Charges (Net)
8.80%  $15.39
General  Government
8.49%    $14.84
Fire
1.63%   $2.85
Other  Protections
2.94%   $5.15
Public Works
8.38%    $14.64
Sanitation & Waste
Removal   4.34%   $7.58
Social   Welfare
9.67%    $16.90
Education
32.13%  $56.17
TOWNS
POPULATION   48,544
Other
11.53% $15.10
Capital Expenditure
from Revenue
12.53%  $16.35
Debt Charges (Net)
6.20%  $8.09
Education
39.29% $51.23
VILLAGES
POPULATION    54,646
General Government
11.58%    $15.10
Fire
2.27%    $2.94
Other   Protections
2.83%   $3.69
Public Works
9.51%   $12.41
Sanitation & Waste
Removal 4.26%   $5.55
NOTE:   Population.    1966   census   with   boundary   extensions   and   new   incorporations to
December  31.  1967.
 X 28
BRITISH COLUMBIA
REPORT OF THE DIRECTOR, ADMINISTRATION DIVISION
Victoria, British Columbia, January 15, 1969.
/. E. Brown, Esq.,
Deputy Minister oj Municipal Affairs.
Sir,—Ninety-seven term borrowing by-laws of regional districts and municipalities were recommended for the approval of the Inspector of Municipalities
during 1968. Of these by-laws, 90 were subsequently adopted upon the initiative
of the Council following statutory advertising procedures, or where necessary, the
assent of the owner-electors.
The by-laws that were adopted resulted in new borrowing authority in the
amount of $50,967,479 for the various categories of projects shown in the table
appearing below. The table summarizes 1968 term borrowing by issuing authorities.
Included is borrowing under the short-term capital borrowing provisions of the
Municipal Act in the amount of $1,212,840, all of which was financed by bank
loans; the majority of the remainder of the new borrowing authority reported in
the table is proposed to be financed by either individual municipal debenture issues
or through the fiscal services of the regional districts.
The borrowing of the regional districts shown in the table reflects borrowing
authorizations for specific projects undertaken by the regional districts and does not
include projects which are to be financed on behalf of municipalities.
Borrowing Authorization,
1968
Purpose
Regional
Districts
Cities
Districts
Towns
Villages
Total
i
$200,000      S2.353.500
$34,749,000
$282,000
$1,935,000
$38,519,500
2,260,000
210,000
41,250
2,050,000
904,000
163,000
113,000
24,000
146,770
2,789,000
1,574,000
1,755,527
100,000
84,294
162,725
460,000
70,068
175,000
50,900
3,896,975
344,800
2,782,800
1,938,595
109,000
4,145
408,000
Equipment (including fire protec-
76,500
40,000
362,609
40,000
Totals	
$567,750  1  $5,754,270
$41,051,821
$1,200,693
$2,392,945
$50,967,479
Borrowing by the City of Vancouver and by the metropolitan water and sewer
boards is not subject to the approval of the Inspector of Municipalities, and therefore is not included in the above table.
While fewer loan authorization by-laws were approved in 1968 than in the
preceding year, there was an increase of $20,210,773 in the amount of authorized
borrowing over that for 1967. The primary reason for the increase in new borrowing authority was the initiation by several of the larger district municipalities of
multi-million-dollar water and sewer improvement programmes; these long-term
developments represent some $30,000,000 or approximately three-quarters of the
new borrowing shown for district municipalities. As financing and actual debt
commitment will be spread over a number of years, the amount of the borrowing
authority shown is a telescoping of borrowing requirements of several years.
In addition to new loan authorization by-laws, 34 security issuing by-laws were
approved; these by-laws specify the details of debenture issues which previously
had been approved in principle only.   A number of these by-laws were amended
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 29
to keep pace with the rapidly changing demands of the market and to take advantage of the revised borrowing procedures introduced at the 1968 Session of the
Legislature.
The borrowing provisions of the Municipal Act have been improved to streamline procedures and reduce time lapses between authentication of a security-issuing
by-law and the marketing of the debenture issue. To assist municipalities and
regional districts in adjusting to the new borrowing procedures, several sample bylaws were prepared and distributed together with an outline of new methods. This
was in addition to specific assistance extended to smaller municipalities and those
borrowing for the first time.
Preliminary approval of borrowing in the amount of $6,684,800 was granted
for a variety of proposed municipal local improvement projects. The financing
arrangements for many of these projects have yet to be made, awaiting the completion of construction and the preparation of security-issuing by-laws. The projects
that were financed during the year are included by issuing authority in the above
table.
Trends in borrowing authorization during the past five years, including 1968,
are indicated by the following table:—
Trends in Borrowing Authorization, 1964-68
Year
Regional
Districts
Cities
Districts
Towns
Villages
Total
1964.
1965.
1966..
1967_
1968..
I
$2,345,500
567,750
I
$10,590,529
10,122,759
12,601,600
4,440,914
5,754,270
I
$11,064,131
13,532,776
10,206,513
21,315,016
41,051,821
$1,250,540
2,010,500
771,500
1,136,381
1,200,693
$2,326,463
1,833,754
1,083,775
1,518,895
2,392,945
$25,231,663
27,499,789
24,663.388
30,756,706
50,967,479
It is anticipated that a considerable amount of the new borrowing authorized
in 1968 will be financed through the various regional districts. A large offering by
the Greater Vancouver Regional District is being assembled from a number of
loan-authorization by-laws of several member municipalities. It is expected that
municipalities throughout the Province will be turning to their respective regional
districts for marketing assistance. Using the regional district as the borrowing
agency provides a wider credit base for the individual municipalities and should
result in a generally more favourable market reaction. A much greater degree of
flexibility in the types of security that can be offered is a further attractive aspect
of marketing through the services of the regional district.
Closely linked with the approval of new borrowing proposals is the review
of supporting utility and sewer rates by-laws. During 1968 a large number of
these by-laws were recommended for the approval of the Lieutenant-Governor in
Council. The examination of these supporting rates by-laws is an aspect of the
financial analysis that is made of all borrowing proposals. The review of utility
and sewer rates by-laws is a part of the general examination that is made of all
by-laws of towns, villages, and improvement districts before acceptance for registration in the office of the Inspector of Municipalities, as required by the Municipal
Act.
Several municipalities exercised their privilege under the provisions of the
Municipalities Assistance Act of applying to the Province for a guarantee of the
payment of principal and interest on new water and sewer debenture issues.
Provincial guarantees in the total amount of $1,798,000 were approved last year.
 X 30
BRITISH COLUMBIA
A summary of the amount of debentures guaranteed by the Province under
the Municipalities Assistance Act and the Village Municipalities Assistance Act
outstanding as at December 31, 1968, is indicated below:—
Outstanding Debentures Guaranteed
Village
Municipalities
Assistance Act
Municipalities
Assistance
Act
Total
i
S751.400         1         SI 3.810.500
$14,561,900
496,500
1,530,000
604,500
12,989,613
2,120,700
3,747,000
13,486,113
3,650,700
4,351,500
Totals
$3,382,400
$32,667,813
12,287,000
701,000
1,772,000
89,000
19,334,000
$36,050,213
12,287,000
Greater Victoria Water District	
701,000
Greater Nanaimo Sewer and Drainage District	
1,772,000
	
89,000
Greater Vancouver Water District	
19,334,000
$3,382,400
$66,850,813
$70,233,213
In addition to the debentures debt reported above, there was also outstanding
under the Greater Vancouver Sewerage and Drainage District Act Provincially
guaranteed debenture debt totalling $24,000,000.
During the past year the Inspector of Municipalities granted 11 subsisting or
provisional certificates of self-liquidation in respect of water and sewerage systems
to eight municipalities, of which six were for waterworks systems and five for
sewerage systems. Only a few municipal waterworks and sewerage systems are
not certified as self-liquidating.
The following provides a brief review of municipal incorporation, extensions of
boundaries, and other changes in structure.
The Village of South Fort George was incorporated, effective January 1, 1968,
after a successful vote held in 1967; the vote at South Fort George was on the
question of a change of status from an improvement district to a village municipality
and was initiated by the trustees of the former improvement district.
The Village of Sayward was incorporated on June 27, 1968, as an " instant"
municipality.
Under the direction of the Division, a plebiscite was conducted at Okanagan
Falls on the question of village status. The proposal failed to receive the required
three-fifths majority of votes in the affirmative.
As a result of active interest taken in local government in an area with one of
the largest populations of any non-municipal area in the Province, a vote will be
held in the communities of Langford, Colwood, and Metchosin on February 1, 1969,
on the question of incorporation as a district municipality. Two other communities
are studying the advantages of municipal incorporation and are being provided with
assistance in developing information pertinent to municipal status. Indications are
that one of those communities will vote in the spring of 1969.
Thirty-five hospital improvement districts were transferred from the jurisdiction
of the Water Rights Branch of the Department of Lands, Forests, and Water Resources to this Department. In addition, the Campbell River Fire Protection District,
the Ponderosa Heights Waterworks District, the Shawnigan Improvement District,
and the View Royal Fire Protection District were also transferred. The Campbell
River and District Hospital Improvement District was dissolved and its ambulance
operation assigned as a function of the Regional District of Comox-Strathcona. The
Cortes Island Improvement District, incorporated in 1967 to bring electric light and
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 31
power to Cortes Island, was dissolved and the electoral area in which it is situated
declared a specified-service area of the Regional District of Comox-Strathcona.
Dissolution of the Ponderosa Heights Waterworks District was authorized at the
time of its inclusion in an extension of the area of the Village of Lytton.
The Village of Stewart, together with additional lands, was changed in status
to a district municipality effective June 27, 1968. As and from January 1, 1969,
the status of the Village of Golden, because of growth in population, was changed
to a town municipality.
Amalgamation of neighbouring municipalities was the subject of a vote in three
areas. Two of the plebiscites were successful. The Village of Aennofield joined
with the Town of Fort St. John, effective April 30, 1968; while the City of Kimberley, together with the Villages of Chapman Camp, Marysville, and other non-
municipal land, largely industrial, were amalgamated on November 1, 1968. The
amalgamation vote conducted in the City of North Vancouver and the District of
North Vancouver, while receiving the required three-fifths majority in the affirmative
in the District, did not succeed in the City. Under the provisions of the Municipalities Enabling and Validating Act, the City of Trail and the District of Tadanac
amalgamated, effective January 1, 1969.
Twenty-one municipal boundary extensions were authorized by the issue of
supplementary Letters Patent for the following municipalities:—
Municipal Boundary Extensions, 1968
Municipality
Area (Acres)
Before
Added
After
Population
Before
Added
After
Cities
Courtenay_
Fernie	
Kimberley (first)	
Kimberley (second).
Prince George	
Vernon	
Districts
Esquimau..
Kent	
Port Hardy	
Stewart	
Towns
Castlegar..
Comox	
Fort St. John..
Villages
Chetwynd-
Fruitvale_
Lake Cowichan..
Lytton..
100 Mile House..
Osoyoos	
Parksville	
Ucluelet	
1,553.00
562.50
1,126.00
8,005.20
6,123.00
2,132.50
1,499.00
45,600.00
8,550.00
880.00
1,880.50
1,149.00
3,087.60
957.97
525.00
720.90
100.00
220.70
387.00
1,245.00
1,010.00
327.50
644.00
15.30
225.70
112.70
984.90
2,250.00
501.00
114,140.10
52.80
128.80
16.50
14.60
40.20
16.00
437.20
8.50
64.50
426.90
29.72
1,180.50
1,206.50
1,141.30
8,005.20
6,348.70
2,245.20
2,483.90
47,850.00
9,051.00
115,020.10
1,933.30
1,277.80
3,104.10
972.57
565.20
736.90
537.20
229.20
451.50
1,671.90
1,039.72
5,271
2,715
5,901
7,691
24,536
11,532
12,891
2,642
1,262
522
3,457
2,679
7,738
1,368
1,203
2,353
414
829
1,166
1,466
1,054
590
66
Nil
40
449
C1)
289
Nil
(!)
463
7
154
Nil
Nil
51
Nil
64
66
20
154
C1)
5,861
2,781
5,901
7,731
24,985
13,180
2,642
985
3,464
2,833
7,738
1,368
1,254
2,353
478
895
1,186
1,620
i Population in extended area not available.
Adjustments in areas as well as the alterations in population are shown in the
table. Local count determines the additional population of the extension areas and
the primary populations are those established by the 1966 census.
At the direction of the Minister six boundary expansion proposals were submitted for the assent of the owners of land within the extension areas;  only three
 X 32 BRITISH COLUMBIA
received the required three-fifths majority in the affirmative and supplementary
Letters Patent were issued extending the boundaries of the municipalities concerned.
Because of the increasing value of land, greater interest is being taken in dedicated but unused road allowances. Petitions from Councils under the provisions of
the Municipal Act to have portions of highway abandoned and title to the land
vested in either the name of adjoining owners or the municipality resulted in the
preparation of 74 Minutes of Council during 1968.
A large number of Minutes of Council were prepared appointing members
to various Boards of Variance and Boards of Commissioners of Police.
As expected there has been increased involvement of regional districts in the
field of providing elementary local government services for the smaller non-
municipal communities. A number of specified service areas and benefiting areas
were established in 1967 and several more covering a wide range of activities were
formed during the year; this increase has largely been due to the announced policy
that wherever practical the regional districts are to be the medium by which local
government services may be provided the smaller unincorporated community. In
previous years improvement districts incorporated under the Water Act have been
the primary means of extending services to communities lacking sufficient population to warrant municipal status. It is anticipated for the future that nearly all local
government services, other than waterworks, will be provided in the non-municipal
areas of the Province through the facilities of the various regional districts. The
establishment of the specified-service area in all cases first must be approved by
the taxpayers who are to benefit.
C. H. L. Woodward, F.C.I.S.,
Director, Administration Division.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968 X 33
REPORT OF THE DIRECTOR, REGIONAL
PLANNING DIVISION
Victoria, British Columbia, January 15, 1969.
J. E. Brown, Esq.,
Deputy Minister oj Municipal Affairs.
Sir,—Twenty-eight regional districts have now been formed in the Province,
and 20 of these have planning as one of their functions. Of these 20, eight have
operating planning offices, six are served in the planning function by the older
established regional planning boards, and the remainder either use consultants or
seek the guidance of the Division until such time that they can have their own
planning offices.
The Thompson Valley Regional Planning Board, formed in 1964, has been
absorbed into the Thompson-Nicola Regional District.
The Lower Mainland Regional Planning Area, formed in 1949, is in the
process of being reconstituted in the four Regional Districts of Greater Vancouver,
Dewdney-Alouette, Central Fraser Valley, and Fraser-Cheam. The Executive
Committee of the former Regional Planning Board is providing continuity until
March 31st of this year, when the affairs of the Lower Mainland Regional Planning Board can be wound up. The Official Regional Plan, passed in 1966, will
be transferred to the four regional districts. To provide continuity of the plan, a
review panel, comprised of the chairman and one other director from each of the
regional districts and assisted by the senior planning officer of each regional
district, has been established. Before any amendment or alteration of the Official
Regional Plan is made, this panel will review and report on the effects of the
proposed amendment or alteration on the planning concept of the whole Lower
Mainland Planning Area.
Discussions are continuing with the Central Okanagan and the Capital Region
Planning Boards on the phasing-out of these Boards with a view to the respective
regional districts taking on the planning function.
The Technical Planning Committees of many of the regional districts are now
active and are advising the Regional Boards on planning problems and the institution of planning programmes.
Because of the chronic shortage of professional planners, the Division has
done whatever it could to help Regional Boards get on with their planning programmes. We prepared a regional land-use plan for the Sunshine Coast Regional
District, which has been approved in principle by the Board. The Division, in
helping the Board sell the idea of planning, put on a public display of background
material and the land-use plan at three locations. Approximately 500 people
viewed the proposals and Department staff were on hand to answer questions.
Subdivision and zoning by-laws have been prepared pursuant to this land-use plan.
They have been discussed with the Technical Planning Committee and the Regional
Board, and now are under review by the Board.
In the Regional District of Fraser-Fort George the staff, at the request of the
Board, undertook a planning study of the south-east portion of the regional district
and prepared integrated land-use plans for Electoral Area H, the Villages of
McBride and Valemount, and the highway junction of Tete Jaune.
 X 34 BRITISH COLUMBIA
In the Regional District of Mount Waddington we assisted the Board by giving
a planning student guidance in the collection of basic planning material for the
Regional Board.
A special Northern Vancouver Island working committee has been formed
comprised of senior Provincial Government staff, the forest product companies
operating there, and others in the area to report on the more effective use of access
roads for communication and recreation.
The Division has continued to give advice to municipalities, and to this end
the Village of Cache Creek received a brief planning study which resulted in the
adoption of a zoning by-law by the Council. The Village of Sayward was
incorporated as an " instant town " and we assisted in the preparation of an official
community plan and a zoning by-law which were adopted in the Letters Patent
establishing the village. In the District of Port Alice we undertook land-use surveys
for review of the official community plan. For the Village of Port McNeill we did
land-use surveys and mapping for the implementation of a zoning by-law. Our
work with the Village of Masset has continued throughout the year. We represent
the village and Provincial interests in co-operation with the Department of National
Defence in helping to create an integrated military-civilian complex within the
village.
The Division participated in two projects for improving waterfront at Campbell
River.
In order to get the idea of planning across to the public we participated
wherever we could in workshops, seminars, preparing public information, and
giving talks.
The National Conference of the Community Planning Association of Canada
was held in Victoria in the first week of October. The Division participated in the
preparation of the Conference in providing assistance in the way of staff wherever
it could.   About 450 people from across Canada attended.
The Legislature passed the Highways (Scenic Improvement) Act, 1968, last
year and a study is being made to ensure that effective implementation of the Act
can be put into operation.
We continue to administer 18 community planning areas. A zoning study
and implementation of the results was done in the southern part of Community
Planning Area Number 9, south of the Town of Quesnel, at the request of the
people living in the area. One hundred and seventy applications for change of
zoning were received during the year, a continuing increase over the previous year,
when we received 147 applications. A great deal of time was necessary to study
these applications fully so that complete technical advice could be given to the
Minister.
During the year numerous projects have been undertaken in the field of mapping. At the beginning of the year a complete atlas was compiled showing all
regional districts and incorporated municipalities. The main purpose of this atlas
is for the information of other departments of Government—Federal, Provincial,
and municipal—as well as for distribution to investment houses in Montreal,
Toronto, and Vancouver.
A uniform system of mapping was developed for the use of the regional
districts. This was done in order to establish a standard of mapping undertaken
by the regional districts and to eliminate costly duplication. Numerous regional
districts are mapping to this system. Presentation mapping was prepared for
planning reports and zoning by-laws drafted by the Department for both munici-
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS,  1968
X 35
palities and regional districts. Continuous redrafting has taken place of the legal
boundaries for all forms of incorporation under the Municipal Act, as well as the
updating of plans relating to them.
The Division has been active in providing assistance to municipalities and
regional districts in building code and building by-law work. Seven regional
districts have now instituted inspection programmes using by-laws drafted by this
Division. The aim of Regional District Boards is to provide an educational building service using the minimum standards of the Short Form of the National Building Code. Uniformity in building standards has now been achieved throughout
British Columbia by the widespread adoption of the National Building Code by
municipal authorities.
The Department has representation on a newly formed Canadian Standards
Association Council to prepare material standards and approve materials and
fittings used in plumbing installations. This is resulting in an upgrading of
materials on a uniform national basis. This Council is also participating in a major
revision of the National Plumbing Code, to be issued by the National Research
Council in 1970. The objective is to produce a plumbing code that will be
acceptable and provide a uniform standard in all parts of the country.
In the community planning areas there was a slight increase in the over-all
number of dwelling units constructed, with a decrease in the total value of all
construction. In the areas around Kelowna and Vernon there was a 30-per-cent
increase in the number of dwelling units constructed. Details are shown on the
following table:—
Community Planning Areas
Dwelling
Dwelling
Total Value
Units
Units Built
of All
Built,
since Areas
Construction,
1968
Established
1968
653
3,329
$9,474,325
120
885
1,922,196
7
592
127,944
254
1,042
3,985,756
371
3,785
5,620,991
130
2,013
2,430,130
250
2,305
4,739,156
21
296
339,590
4
43
61,200
14
272
270,550
14
86
158,373
120
1,093
1,632,714
40
342
931,560
21
68
285,517
17
122
539,500
15
9,348
11
50
235,653
7
33
239,568
7
960
178,592
2,062
17,331
$33,182,663
Community Planning Area Number 1 (around Kelowna)	
Community Planning Area Number 2 (around Vernon)	
Community Planning Area Number 3 (View Royal) 	
Community Planning Area Number 4 (Langford-Metchosin)	
Community Planning Area Number 6 (Nanaimo)	
Community Planning Area Number 7 (Prince George)	
Community Planning Area Number 8 (around Kamloops)	
Community Planning Area Number 9 (around Quesnel)	
Community Planning Area Number 11 (around Alberni)	
Community Planning Area Number 12 (around Dawson Creek)	
Community Planning Area Number 13 (Woodhaven, near loco)	
Community Planning Area Number 14 (north of Campbell River
to south of Courtenay)  	
Community Planning Area Number 15 (around Fort St. John)-	
Community Planning Area 16 (Sicamous)  	
Community Planning Area Number 17 (Fort Nelson)	
Community Planning Area Number 20 (Crooked River, 60 miles
north of Prince George) 	
Community Planning Area Number 22 (Chase)	
Community Planning Area Number 23 (Shawnigan) 	
Community  planning  areas  now  part  of  a  municipality  or  a
regional district  	
Totals  	
Don South, M.T.P.I.C,
Director, Regional Planning Division.
 X 36
BRITISH COLUMBIA
REPORT OF THE DIRECTOR, HOUSING AND
URRAN RENEWAL DIVISION
Victoria, British Columbia, January 15, 1969.
J. E. Brown, Esq.,
Deputy Minister oj Municipal Affairs.
Sir,—In 1968 the Division of Housing and Urban Renewal has been active
in the generation of new developments and the consolidation and completion of
previous programmes.
In the field of public housing, approval has been given for the development
of 509 additional units of accommodation. Nearly half of this amount will be
built in the City of Vancouver, but other communities as well have recognized the
need to provide adequate accommodation.
With the previously built or authorized units of accommodation, the total has
now reached 3,069.    Table 1 shows the consolidated position:—
Table
1.—Public Housing Projects
Completed or Approved
Municipality
Units of Accommodation
To Dec, 1967
Added, 1968
Total
90
50
60
60
249
90
50
60
150
140
2,399
180
150
80
2.150
Victoria... „_
180          1
Totals ...    	
9.560                          S0Q                          3 OfiQ
During 1968 several municipalities have proposed action on the subject of
urban renewal, with the intent of rejuvenation and providing an environment for
new development. The greatest activity in the past has been in the City of Vancouver, with lesser programmes in other communities. Although only three new
working projects have been commenced in 1968, other proposals to conduct a
formal study or to prepare a full-blown scheme for action have received approval.
In the latter part of the year the Federal Government became concerned over
the direction being taken by urban renewal projects across Canada, and has deferred
approval of any additional proposals until report is made by the Housing Task
Force.
 REPORT OF DEPARTMENT OF MUNICIPAL AFFAIRS, 1968 X 37
The activity in urban renewal programmes is summarized in Table 2:—
Table 2.—Urban Renewal Programmes, Approved
Municipality
To Dec, 1967
Added, 1968
Active
Programme
Study
Scheme
Project
Study
Scheme
Project
Alert Bay	
1
....
1
1
1
1
1
1
1
1
1
1
1
1
1
21
21
1
1
0
1
Chilliwack   _ _ __
Delta  ,	
1 R
Nakusp	
1 R
1 R
Surrey  	
Trail 	
1 R
Vernon- 	
:: 1 :::
Total    	
_    j    ....    !    ....
[            1
....      |      _      |    23
1                1
1 Project completed, each city.
R=Project recommended.
Considerable interest has been shown by municipalities in the programme of
acquisition of blocks of land both for future development and for servicing for
current use. The general purposes of this programme are to avoid undue rising
land costs, promote orderly community growth, and to generate residential construction through provision of serviced land.
Projects approved during 19*68 will add 835 acres with a development potential of 2,279 residential lots. The previous developments provided 1,316 lots, for
a total of 3,595 lots in the current and future programme, as shown in Table 3:—
Table 3.-
—Land Assembly Programme, Completed
or Approved
Municipality
Residential Lots
To Dec, 1967
Added. 1968
Total
Courtenav 	
135
157
50
.........
177
185
132
..
480
.........
93
2,000
.........
	
186
135
Duncan  	
157
50
93
2,0001
177
185
132
186
Trail	
480
Totals                             	
1,316
2,279
3,595
i Potential.
Additionally, two land-assembly proposals are reaching finalization. A
proposal for Fernie will augment municipal action by adding 250 residential lots.
An outstanding project for the District of Surrey encompasses the development of
over 1,200 acres, with a probable potential of 3,500 lots.
 X 38 BRITISH COLUMBIA
The generation of housing for sale or for rent requires the combined efforts
of all elements of both the private and public sectors. The attention of governments
at all levels has been directed toward the plight of citizens in the low-income
category. It has been apparent that many organizations, municipalities, and private
citizens were not aware of the several programmes of aid provided in existing
legislation. A brochure was prepared which describes these programmes, and it
was distributed to the Legislature, Provincial Departments, municipalities, community and professional organizations, credit unions, and construction industry
associations. The interest shown by recipients gives hope that accommodation
may be provided by means other than the simple erection of heavily subsidized
groups of housing units.
J. T. Williams,
Director, Housing and Urban Renewal Division.
Printed by A. Sutton, Printer to the Queen's Most Excellent Majesty
in right of the Province of British Columbia.
1969
1,530-269-1558
  

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