Vancouver city council votes to increase multiple licence fees
Posted September 13, 2023 10:56 am.
Last Updated September 13, 2023 8:07 pm.
City councillors in Vancouver voted to raise fees for individuals and businesses on Wednesday — with short-term rental fees making a significant jump.
Council consider multiple findings from a staff report put together in order to find ways to avoid the city hiking property taxes.
Staff suggested the aforementioned business licence fee increase, raising fees for trades and contractors, and increasing short-term rental licence fees. These hikes, staff say, would result in over $3.9 million in additional revenue.
In the report, staff proposed increasing residential parking permit fees from $65 annually to $131 per year. An expansion of metered on-street parking was also suggested, with both these measures expected to generate an additional $5.5 million in revenue for Vancouver.
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Notable unanimously approved changes on the way a result of council’s vote include:
- Business licence fees increased from $171 to $250.
- Short-term rental licences rose significantly, from $109 to $1,000.
- Ride hailing fees rising from $0.30 to $0.45
Further increases mentioned in the initial staff report covered residential parking permit fees; trades and contractor licence fees, an expansion of on-street parking, commercial vehicle decal fees, and park board fees — among others.
However, these jumps — among others yet to be finalized — aren’t set in stone, as city staff will discuss and plan further before bringing them back to council as part of Vancouver’s 2024 Budget. Council will have the opportunity to make changes or approve the draft operating budget in December 2023.
Staff project this combination of changes, if approved, among others discussed could bring in an extra $15.2 million for the city, making a substantial dent in the money that a major property tax increase would have covered.
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Vancouver’s 2023 budget included a property tax increase of 10.7 per cent — something Mayor Ken Sim vowed to whittle down in the coming years.
“I know increases like this are hard. Frankly, they suck. We completely understand that,” Sim said in February, prior to the budget vote.
“Nobody likes property tax increases. However, leadership and government sometimes mean making incredibly hard choices. Taxpayers expect value for their money, and we all deserve to live in a city that we can be proud of.”
After the $1.97 billion city budget — which included that 10.7 per cent property tax increase — was approved in March, Sim said there had been a “significant under-investment in core services,” and that the city was running a $500 million per year capital deficit.”
“So I would definitely say that Vancouver is at a crossroads right now,” he added.
Council adds the $15.2 million in additional city revenue “represents the equivalent of a 1.4 per cent increase in property tax”
With files from Hana Mae Nassar and Greg Bowman
