REINSTATEMENT OF THE BUSINESS VOTE IN B.C. (2023)
Issue
In B.C., businesses pay a significant portion of municipal property taxes through their lease payments; however, businesses do not have the right to vote in the municipal election process. Businesses have become the silent taxpayers – essentially taxation without representation. This has led to a scenario where B.C.’s business community has little actual recourse when faced with unfair tax burdens, undue regulation, or discouraging zoning and bylaw decisions by local governments.
Background
Today, the B.C. government permits in municipal elections voting by non-resident property owners. When a person lives in one jurisdiction and owns property in one or more other jurisdictions, they may vote once in each of the other jurisdictions where they own property. However, this regulation explicitly prohibits voting on behalf of a corporation which owns property, and does not include leased properties, in which many businesses in a community are located.
If the government can recognize the validity of non-resident residential property owners having a vote in municipal elections which impact their property values, property taxes, and property uses, surely a similar rationale exists for businesses which pay those same taxes via their leases.
Until 1993, a corporate vote existed in British Columbia municipal elections, outside of the City of Vancouver. Under this regime, a corporation could either own or lease property in a jurisdiction order to be eligible to vote there. Restrictions were in place that limited a person to only registering one corporation to vote in a municipality, regardless of how many corporations that person controlled, and the person controlling a corporation could not register it to vote if the individual was already eligible to vote themselves as a local resident. In effect, this allowed sole proprietorships and small businesses to have a say in their local elections, if the owner did not live there.
Until 1993, this provided some mechanism for local businesses -- which contribute so much to the economic and social strength of our communities – to be included in the decision-making in their own community.
Decisions by local governments have significant impacts on businesses. From zoning and land use decisions determining where businesses can operate, to tax policy dictating the taxes businesses must pay, businesses are directly impacted by their local governments. Without any actual vote in the process, local politicians can afford to ignore the needs and wishes of businesses in favour of satisfying the needs of (and currying favour) with residents – the only voters. A business vote would at least incent local governments to fully consider and better reflect the voice of business in their community.
Business owners invest significantly in our communities – acquiring or leasing real property, employing our residents, supporting social causes, and making significant contributions to their communities. It is critical they have the right to vote in the municipalities in which they make significant investments. Without a voice for business at the ballot box, business is at risk of unfriendly regulations, restrictive zoning and land use policies, and higher tax burdens placed on them as opposed to residents.
THE CHAMBER RECOMMENDS
That the Provincial Government:
- Develop and implement a mechanism to permit business voting in municipal elections for businesses which operate and pay property taxes in a municipality where the business owner does not reside as a resident.