NEIGHBOURS FUND

Providing Municipal-Like Services to UNA Residents

The annual Services Levy is deposited into the Neighbours’ Fund, which is a separate fund within UBC finances. The UNA Annual Operating Budget receives funds from the Neighbours’ Fund to provide municipal-like services to the residents of the UNA.The Neighbours’ Fund is made up of the annual Services Levies collected from UNA homeowners and the Reserves. The Reserves receive annual contributions from the operating budget as well as surpluses from prior years. There are four Reserve Funds within the Neighbours’ Fund:

  • Infrastructure Replacement (used for streets, water, and lights)
  • Capital (used for replacement of the community centre building and play equipment in UNA parks)
  • Rate Stabilization (to guard against unforeseen changes in the City of Vancouver tax rates)
  • Contingency (to provide for unanticipated annual financial needs)

OPERATING BUDGET

UNA 5 Year Budget Analysis Study 2015 – 2020

As a result of the challenges the UNA faces because of the declining Services Levies since 2012, UBC and the UNA jointly commissioned a 5 Year Budget Analysis Study to inform future financial decisions of the UNA. The study, which was prepared by Vann Struth Consulting Group Inc., is being used by the UNA Board of Directors and staff as a financial planning document.

Services Levy & The UNA’s Operating Budget

The Services Levy residents pay to UBC is administered by the UNA to provide municipal-like services and to maintain municipal-like reserves on residents’ behalf. The UNA Board of Directors prepares its annual operating budget before the Services Levy is collected. Approximately 90% of the collected services levy contributes to the UNA Operating Budget.

The remaining will be allocated to Reserves, and to cover the cost of collecting the Services Levy and administering the Neighbour’s Fund. The UNA also generate revenues from its programs and services.

Taxes

Owners of homes in the UNA pay a Rural Tax to the Province of British Columbia and a Services Levy to UBC. The two added together are comparable to the City of Vancouver municipal tax for a similarly assessed property. The Services Levy is collected by UBC and deposited into the Neighbours’ Fund which funds the UNA Operating Budget. Read the brochure Your Guide to the UBC Services Levy.

Learn more about the Services Levy and Rural Taxes

The UBC Services Levy is a charge collected annually from homeowners at UBC to fund local programs and municipal-like services. The Services Levy is like the municipal portion of property taxes. It is called a levy rather than a tax because UBC is on a unincorporated land and is not a municipality.

The Services Levy is collected by UBC and deposited into the Neighbours’ Fund which funds the University Neighbourhoods Association. The Neighbours’ Fund contributes to the UNA Operating Budget and Reserves.

The Operating Budget is used by the UNA to provide municipal-like services to UNA residents. The annual budget is developed by the UNA Board of Directors and approved after public consultation. Revenue the UNA generates, mostly through fees for activities and programs it provides, also contributes to the Operating Budget.

The Neighbours’ Fund Reserves are held to meet the future needs of the community. Common among municipalities and many other organizations, reserves are required planning for long-term replacement of infrastructure and to guard against surprise costs.

Properties not located in an incorporated city, town, district or village, are taxed under the Provincial Rural Tax program. UBC is unincorporated land and properties on UBC land are taxed under the Provincial Rural Tax program.

The rural tax is paid directly to the BC government. It is to help pay for rural area public services, in particular local road maintenance and policing.

In addition to the rural tax, the BC government collects police and school tax, and it collects taxes on behalf of other organizations, including Translink and Metro Vancouver.

The Services Levy equals the difference between the Provincial Rural Tax Rate and the City of Vancouver Residential Tax Rate. Your invoiced Service Levy amount is based on the value of your property as determined by BC Assessment.

For more information on the assessed value of your property you can contact the BC Assessment Authority at 604-739-8588 or visit www.bcassessment.ca

UBC is required to ensure that the total property taxes paid by UNA home owners is the same as the property taxes of a comparably assessed property in the City of Vancouver. While homeowners in the UNA pay a Rural Tax to the Province of British Columbia and the Services Levy to UBC, the two added together are the same as the City of Vancouver property tax for a property with the same assessed value.

In British Columbia, property owners share the cost of providing services like education and policing. Similarly, the Services Levy is spent on ensuring all UNA residents have equal access to important services that improve the quality of life for the community.

Rental and commercial properties are charged a General Municipal Services Levy that is also deposited to the Neighbours’ Fund and supports the UNA Operating Budget and Reserves.

The UNA Board of Directors prepares an annual Operating Budget. Public consultation on the Operating Budget for the upcoming fiscal year (April 1 to March 31) is held in January and all residents are invited to comment. Visit the current operating budget, audited financial statements from previous years, and future budget consultations.

AUDITORS' REPORTS