Revenue Sharing from Mining Royalities

Year
2011
Category
Finance
NCLGA Ref#
B15
UBCM Ref#
B30

Status

Endorsed by the NCLGA and UBCM Memberships

Details

WHEREAS mineral industry activity involves non renewable resources and creates demand on Local Government infrastructure and services such as community water systems, roads and emergency and protective services;

AND WHEREAS property taxation alone is often inaccessible and insufficient for affected communities within a region to provide needed services and infrastructure:

THEREFORE BE IT RESOLVED that the NCLGA and UBCM call upon the Provincial and Federal Governments to provide revenue sharing from natural resources for Local Governments affected by resource extractions in their regions.

Additional Information

UBCM Comments:

UBCM members have endorsed resolutions and policy papers which have sought a sharing of resource revenues with local governments recognizing that communities should be compensated for the natural resources that are extracted from their regions.

The Communities and Resources Committee recommended in its 1998 policy paper that "a portion of the stumpage revenue must remain in the harvesting area (revenue should start flowing back to the producing communities)."

In 2004, members endorsed the 2004 Resource Revenue Sharing Policy Paper which specifically sought a sharing of resource revenues with local governments (forest stumpage, mining royalties) and prior to that a 2003 resolution, B30, made a similar request.