Local government restructure grants

Restructure grants support the arms length, credible examination of the potential impacts of significant changes to the geography or services of a local government. These grants also cover the transition and implementation costs to reduce barriers to restructuring local governments.

Depending on the nature of the restructure, the circumstances and budget availability, three types of grants may be available to local governments from the B.C. government as part of a restructure process:

Restructure planning grants

Restructure planning grants may be available to support local governments seeking to:

• Assess existing services and community issues
• Study governance options, such as the implications of municipal incorporation or restructure
• Undertake the public consultation process associated with incorporation or restructure

Restructure implementation grants

Restructure implementation grants can help local governments with the one-time costs associated with implementing structure changes. The grants may assist with electing a first municipal council or establishing an interim administration to prepare for creation of the municipality. They may also be used to cover incidental costs; for example, for a newly incorporated municipality taking over a service from a regional district.

Restructure assistance grants

Larger local government restructure decisions may have governance and service benefits in the longer term and financial implications in the shorter term. That financial adjustment may be difficult for taxpayers to absorb in a single year and in those circumstances, the B.C. government may offer financial assistance to moderate the transition to new tax rates and local government responsibilities, typically over five years.

Restructure assistance grants may include per capita funding. They may also defer local responsibility for costly services such as roads, and policing for municipalities with a population over 5,000.