Pubdate: Fri, 23 May 2014
Source: Nanaimo Daily News (CN BC)
Copyright: 2014 Nanaimo Daily News
Contact:  http://www.canada.com/nanaimodailynews/
Details: http://www.mapinc.org/media/1608
Page: A6

GROW-OP 'LLAMA LOOPHOLE' MUST BE CLOSED

Medical marijuana might not cause headaches for its users, but it's
continuing to cause headaches for municipal councillors. Ever since
Ottawa changed the laws to switch medical-marijuana production from
home-based grow-ops to large industrial ones, municipal governments
have been dealing with the fallout.

The latest example of collateral damage from the federal decision
could be on local tax bills. Although they don't look any more
agricultural than a typical warehouse, industrial marijuana buildings
are classified as agriculture, according to the Agricultural Land 
Commission.

That means they might have to pay only agricultural tax rates, which
are usually much lower than industrial rates. It could be a hefty hit
for already strained municipal coffers. To say nothing of the obvious
unfairness of taxing similar buildings at such vastly different rates.

Mike Hicks, Juan de Fuca electoral director, is facing the numbers in
his area, where a warehouse in Otter Point is being rezoned for a
grow-op. Under the current zoning, the tax bill would be $7,300 a
year. If it were zoned agricultural, that figure would drop to $172.

It's called the "llama loophole," thanks to a business owner in
Chilliwack, who put some llamas on his land during the assessment
period in 2012 and successfully argued that that made it agricultural
rather than commercial use.

Chilliwack council has been trying to close the llama loophole. It
wants the Union of B.C. Municipalities to ask the province to fix the
problem by preventing reclassification of land that is zoned for
commercial or industrial use.

Under the Chilliwack proposal, owners couldn't argue that industrial
land deserves agricultural classification unless the farm use
"pre-dates the zoning, is the principal use and the lands are
continuously used for farm purposes."

The resolution was passed unanimously by the Lower Mainland Local
Government Association, and councillors hope the UBCM will ask the
provincial government to change the law.

The province should make the change before more business owners make a
mockery of municipal zoning with transparent attempts to sidestep the
zoning rules.

Growing plants for sale certainly falls under most people's definition
of agriculture. If the marijuana stalks were standing in neat rows in
a field, there would be no argument.

As with so many aspects of the new marijuana laws, the federal
government seems to have paid little heed to the effects on
hardpressed local governments. They, and the provincial governments,
are left to put Band-Aids on the resulting wounds.

Putting the grow-ops in industrial areas creates potential
llama-loophole problems, but putting them on agricultural land is
something municipal councillors agree is a travesty.

Industrial areas are clearly the better choice. Many likely buildings
already exist, and security is easier to maintain in an industrial
area.

Municipalities should be able to prohibit grow-ops on agricultural
land, forcing them into industrial areas.

But to avoid penalizing the municipalities, the province must close
the llama loophole so industrial-scale grow-ops are taxed as their
neighbours are.

- - This editorial first appeared in the Times Colonist.
- ---
MAP posted-by: Matt