Prince George council joins regional push to convince province to reverse Northern Homeowners Grant decision before 2027 tax year

“The Homeowner Grant is a Provincial program that reduces the amount of property tax residents pay each year on their principal residence,” the report states. “Currently, the grant amount is $200 more for communities that are outside of the Capital, Metro Vancouver, and Fraser Valley Regional Districts. Effective for the 2027 and 10 subsequent taxation years, the additional $200 Northern and Rural Homeowner Benefit will be repealed.”

While the report notes the change will not directly impact the City of Prince George’s finances, it says the loss of the grant “would have an impact of over $4 million per year to the residents of our community.”

That prospect has Prince George city councillors sounding the alarm.

Coun. Ron Polillo has emerged as one of the decision’s strongest critics, arguing the elimination of the benefit fails to recognize the unique financial realities faced by northern residents.

“This is a $200 credit that the province gives to residents in northern rural areas, like us,” said Polillo. “That means an extra $200 that every single property owner in Prince George will have to pay next tax year if we can’t get this reversed.”

While $200 may not seem significant in the context of overall property taxes, Polillo says it can make a substantial difference for many households, particularly seniors and those living on fixed incomes.

“Even though it has been mentioned that the consumer carbon tax has been repealed, we still have much higher expenses up here,” he said. “To take something away once you have it makes it tough for a lot of people.”

“There are many, many people, not just here but all over northern B.C., who are on fixed incomes, seniors and others. An extra $200 for them is an extra $200 that makes a big difference.”

The concerns being raised in Prince George are being echoed by municipal leaders throughout northern British Columbia.

The District of Kitimat has formally endorsed a resolution calling on the provincial government to reconsider the decision.

In a letter of support sent to Prince George, Kitimat Mayor Phil Germuth and council expressed concerns about the impact the change would have on northern and rural communities.

“As a co-sponsor of your NCLGA and UBCM resolution, the District of Kitimat Council is pleased to support your resolution for consideration at the 2026 Union of BC Municipalities Convention,” the letter states.

The letter argues that eliminating the benefit would impose an additional burden on residents who already face higher costs due to geography and distance.

“Greater transportation expenses, longer supply chains, increased heating costs, and limited access to services create challenges that differ significantly from those experienced in larger urban centres,” council wrote.

“Recognizing these regional differences within provincial programs is essential to ensuring equitable treatment and maintaining affordability for northern and rural communities.”

That argument has become a central theme among municipalities opposing the change.

Northern communities have long argued they shoulder higher costs for necessities ranging from groceries and fuel to housing maintenance and utility bills. Longer transportation routes, colder winters and distances from major distribution centres often translate into higher prices for goods and services.

Municipal leaders say the homeowner benefit was designed to acknowledge those realities and provide a modest form of relief.

Now, they fear removing the grant sends the opposite message.

Prince George council has responded by approving a resolution that will be debated at the upcoming Union of BC Municipalities convention in September.

The city is hoping support from other local governments can build pressure on the province to reconsider.

“We have put a motion forward to the UBCM, so that will hit the UBCM floor in just over three weeks,” said Polillo.

He added that the North Central Local Government Association is also preparing to advocate against the change.

“Our association is going to advocate strongly, and that’s representing all municipalities and local governments from 100 Mile House all the way up.”

The campaign represents a coordinated effort by local governments across northern B.C. to present a united front. Municipal officials are hoping the combined voices of dozens of communities will carry weight when delegates gather for the annual UBCM convention.

Still, there is no guarantee the province will reverse course.

Asked to rate the chances of success on a scale of one to 10, Polillo acknowledged the challenge facing local governments.

“It’s going to be tough,” he said.

The provincial government continues to face broader fiscal pressures, making any reversal potentially difficult despite regional concerns.

Kitimat Mayor Phil Germuth struck a similarly cautious tone.

“We always do realize that we’re such a small percentage of the population up here,” he said.

“It’s much easier for the province to do things for the Lower Mainland, where the votes are. But we’re going to ask, and we’re going to try, and we’ll see where it goes.”

For now, the battle appears set to move to the convention floor when delegates from communities across British Columbia gather for the Union of BC Municipalities annual meeting during the third week of September.

There, northern leaders will make the case that while the homeowner benefit may represent only $200 per household, its loss will be felt far beyond individual tax bills.

For thousands of residents already struggling with rising costs, they argue, every dollar matters.

by Cheryl Jahn

Prince George council joins regional push to convince province to reverse Northern Homeowners Grant decision before 2027 tax year

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