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BC Assessment
& Managed Forest
Presented by
Tina Ireland
Director, Property Owners
June 4, 2015
Established in 1974 under the Assessment Authority Act in
response to the need for a fair, independent organization that
valued all property in the province.
History of BC Assessment
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A provincial Crown corporation, independent of taxing authorities.
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BC Assessment
6 10 Geographic
Regions
15 Field Offices
Head Office in Victoria
632 Full-Time
Employees
> 345 Appraisers
Our Product•Annual list of property values
provides stable, predictable base for real property taxation in BC.
•Represents over 1.97 million properties with total value of $1.2 trillion.
•Identifies ownership, value, classification and exemptions for each property.
•Provides stable base for local governments and taxing authorities to raise over $6.97 billion annually in property taxes for schools and important local services.
The Assessment
Roll
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Assessments
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Market Value • Residential• Industrial• Commercial• Institutional• Most Land Values
Assessments
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Legislated Values • Major Industrial• Electrical Power• Linear Improvements• Statutory Land• Farm Land• Managed Forest Land• Designated Ski Hills
Property Class
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Assessed Value by Property Class
Property Class 2015 Assessed Value % of Total
01 - Residential $912,653,565,545 76%
02 - Utilities $25,576,138,472 2%
03 - Supportive Housing $473 0%
04 - Major Industry $7,715,981,231 1%
05 - Light Industry $17,725,276,695 1%
06 - Business & Other $202,956,764,908 17%
07 - Managed Forest Lands $989,530,264 0%
08 – Recreation/Non Profit $37,270,896,716 3%
09 - Farm $1,263,934,473 0%
Total Assessed Value $1,206,152,088,777
BC Assessment Key Dates
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December 31Assessment rolls and totals produced, notices mailed
JanuaryInquiry Period – Contact Us First
January 31Property Assessment Review Panel
request for review deadline
February 1 to March 15
Property Assessment Review Panels
April 30Property Assessment Appeal Board
July 1 Valuation Date
October 31 Physical Condition
November 30 Land Titles
December 31 Liability for taxation
2015 Assessment Roll Highlights
Total Properties
in B.C. 1,974,120
.98% increase
from 2014
Total Value of Roll $1.2 trillion
5.84% increase
from 2014
Total Non-market Change (new construction)
$18.69 billion
6.54% increase
from 2014
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2015 Assessment Roll Highlights
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Roll Year Folios Appealed % of Total Folios
2004 21,533 1.27%
2005 27,209 1.58%
2006 38,388 2.20%
2007 36,761 2.06%
2008 28,966 1.59%
2009 18,978 1.02%
2010 27,598 1.47%
2011 31,296 1.64%
2012 23,438 1.22%
2013 23,847 1.23%
2014 17,951 0.92%
2015 21,613 1.09%
Managed Forest Land
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Managed Forest Facts
2015 Assessment Roll:
333 Managed Forests Number of related folios was 4,102 Total area covered was 836,749 hectares Total assessed value was $989 million
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Managed Forest Land
Managed Forest Land is privately owned land on which the owners have made a commitment to grow and harvest timber in a manner that promotes the public interest.
It includes land used for the production and harvesting of timber that is managed under:
The Private Managed Forest Land Act and the regulations under that Act
or The Forest and Range Practices Act and the
regulations under that Act
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Managed Forest Class – Application Process
1. Application under the Private Managed Forest Land Act :
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Application is made to the Managed Forest Council
Applicant must file a Management Commitment that signifies their commitment to use the property for the production and harvesting of timber and associated forest management activities.
Managed Forest Class – Application Process
1. Application under the Private Managed Forest Land Act:
The Managed Forest Council (MFC) reviews the management commitment to ensure that it complies with the requirements of the Private Managed Forest Land Act and regulations.
If the requirements are met, the MFC sends the applicant a letter to advise that the management commitment has been accepted and forwarded to BC Assessment.
BC Assessment determines whether the property qualifies as managed forest land under the Assessment Act and regulations.
BC Assessment contacts the applicant to advise of the decision.
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Managed Forest Class – Application Process
2. Application under the Forest and Range Practices Act:
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Private managed forest land that is in a tree farm license area, woodlot license area, or community forest agreement area.
Applicant must have an approved management plan under the Forest Act.
Owner then makes application is directly to BC Assessment.
BC Assessment determines whether the property qualifies as managed forest land under the Assessment Act and regulations.
BC Assessment contacts the applicant to advise of the decision.
Managed Forest Class – BCA Requirements
Under the Assessment Act and regulations, to qualify as Managed Forest the land must meet minimum size and productivity requirements.
Minimum size is 25 hectares May consist of more than one parcel provided the parcels are
contiguous If the land is 50 hectares or less, at least 70% of the land must be
productive; If the land is more than 50 hectares, at least 50% of the land must
be productive.
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Managed Forest – Assessed Value
Land that meets the requirements of Managed Forest class is valued using Regulated Rates.
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Assessed Land Value = Bare Land Value + Cut Timber
Rates developed annually in accordance with the Managed Forest Land And Cut Timber Values Regulation (B.C. Reg. 90/2000)
Managed Forest – Bare Land Rates
Bare Land Value represents the value the land has for the purpose of growing and harvesting trees.
It does not include the value of the trees on the property.
Bare Land Rates are calculated using the following inputs:StumpageTopographyAccessibility Market MultiplierSoil Quality
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Bare Land Rate Calculations
261 Bare Land Rates
Bare Land Rates applied to managed forest land is dependent on:
• location,
• accessibility,
• topography, and
• soil capability of the land
2015 Bare Land Rates changed from -2% to +12%
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Bare Land Rates Sample
Managed Forest Land And Cut Timber Values Regulation
(B.C. Reg. 90/2000)
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Cut Timber Rates
The value of trees harvested in any year is added two years later to the property’s assessed land value.
For example, the value of cut timber harvested in 2014 will be included in the 2016 assessed value.
Cut timber rates reflect the location of the species and grade of the trees cut, as well as their accessibility.
This information is obtained from the owner through an annual request for harvesting data.
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Managed Forest Land - Cut Timber Rates
Greater than 1,200 Cut Timber Rates
Cut Timber Rate applied to managed forest land is dependent on
• the valuation area,
• the species of tree cut,
• the grade of tree cut,
• and the accessibility of the forest it is removed from
Cut Timber Rates are determined in 2 separate manners
• one for coastal cut timber
• one for interior cut timber
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Managed Forest Land - Cut Timber Rates
Coastal Cut Timber
• based on prices from the domestic Vancouver log market
• based on the average price per cubic metre by species and letter grade over the past 12 months
• adjusted by average costs for hauling, sorting and booming in Howe Sound
2015 Coastal Cut Timber Rates average increase of $4.09 per m3
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Coastal Cut Timber Rate Sample
Managed Forest Land And Cut Timber Values Regulation
(B.C. Reg. 90/2000)
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Interior Cut Timber Rates Calculation
There is no log market in the interior
Interior Cut Timber rates are determined with the following inputs:
Lumber Selling PricesLumber Recovery factorsChip Selling PriceMilling CostsAccess
2015 Interior Cut Timber Rates an average increase of $6.29 per m3
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Interior Cut Timber Rates Sample
Managed Forest Land And Cut Timber Values Regulation
(B.C. Reg. 90/2000)
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Contact Us
By Phone:
1-866-valueBC
(1-866-825-8322) Ext. 00225
By Email:
Fact Sheets on Website:
www.bcassessment.ca
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Questions?
