Pubdate: Thu, 04 Sep 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
Author: Spencer Anderson
Page: A5

MEDICAL POT PRODUCERS DENIED FARM STATUS

Concern Raised by Nanaimo Was That the City's Industrial Tax Base 
Could Potentially Have Been at Risk

The City of Nanaimo welcomes a recent decision by the B.C. government 
to exclude medical marijuana from being eligible for farm 
classification for property tax and assessment purposes, the city's 
Mayor John Ruttan says.

However, officials at city hall say they do not intend undo an 
earlier zoning change from last year that withdrew medical marijuana 
production as an acceptable use under the city's 'I4' industrial 
zones in Duke Point, adding instead that they will consider zoning 
changes for the area on a case-by-case basis.

The city raised the issue of medical marijuana with the province in 
February. Nanaimo was concerned that the commercial production of the 
drug could take place on an industrial level on industrial land, yet 
be taxed as an agricultural operation.

City council voted in January to change the zoning after approving a 
rezoning application from Seattle-based producer Tilray to set up its 
operations on Maughan Road in Duke Point. Tilray also agreed to a 
covenant with the city stating that it would not apply for 'farm 
status' from the province.

The city also spearheaded the issue at the Association of Vancouver 
Island and Coastal Communities, where other municipalities endorsed a 
resolution from the city calling on the province to give local 
governments more authority to regulate medical marijuana production.

The message appears to have gotten through. B.C. Minister of 
Community, Sport and Cultural Development Coralee Oakes and Minister 
of Agriculture Norm Letnick announced in June that marijuana 
producers would be exempt from farm status, and also pledged to help 
municipalities adapt agriculture bylaws ti regulate production on 
Agricultural Land Reserve land.

Ruttan said the marijuana issue affects cities and towns throughout 
B.C. In Nanaimo's case, the concern was that the city's industrial 
tax base could potentially have been at risk.

He said the current zoning allows the municipality to consider future 
projects in industrial areas through a rezoning process.

"You need to be proactive rather than reactive," he said of the zoning issue.

"We would like the opportunity to look at them all individually and 
make a decision."

Nanaimo finance director Brian Clemens said the province's regulatory 
change will not make a difference to the city in the short term, 
since the one medical marijuana facility in the city is not assessed as a farm.

But he said the change makes it clear going forward that medical 
marijuana producers will not be afforded a significant tax advantage 
in the city or in other parts of the province.

"I think it levels the playing field for all municipalities," he said.
- ---
MAP posted-by: Jay Bergstrom