Mark Hasiuk, Vancouver Courier
Published: Wednesday, May 12, 2010

Vision Vancouver sugar daddy enjoys sweet tax deal in Northeast False Creek

Over the past two weeks, the Courier published several stories about a nine-acre waterfront property in Northeast False Creek, which raise serious questions about honesty and integrity at city hall.

The property, owned by mega-developer Concord Pacific, sits empty and covered in asphalt between Carrall Street and the Telus World of Science. Concord collects big money leasing the land to companies such as Molson and Cirque du Soleil.

For reasons not sufficiently explained, B.C. Assessment, the Crown Corporation charged with assessing properties for taxation purposes, since 2001 assessed the property at $192,000. (Four blocks east of the Concord site, a 7.5-acre property owned by the city was assessed at $18.5 million). Subsequently, Concord paid a paltry $4,347 in taxes on the property in 2009.

I'm no land appraiser, but those numbers seem low. Like 1950s low. And during tough economic times, as city services are slashed and eliminated, those low numbers should raise eyebrows at city hall, which relies largely on property taxes to stock city coffers.

After the Courier broke the story, only one city councillor, COPE's Ellen Woodsworth, cried foul. City staff, she said, should appeal to the Property Assessment Appeal Board, which can investigate and reassess land values. Other councillors hemmed and hawed, claiming ignorance or indifference.

But Mayor Gregor Robertson spoke up, pooh-poohing any notion of an appeal and pointing to potential appeal costs. "For the city," he told the Courier, "the cost of taking this to court would far exceed any additional taxes that might be won through a long expensive legal challenge."

Really? How could Robertson possibly know that? And what court is he talking about?

The Property Assessment Appeal Board conducts hearings in an office in Richmond. For a $30 fee, anyone can appeal a land assessment. While every appeal is different, some cases settle quickly with no need for a hearing. Other appeals take more time and involve lawyers and independent land appraisers--two types of professionals employed by the city. The potential new land value, and subsequent new tax amount owed to the city, is absolutely unknown.

Considering these realities, why would Robertson make reckless claims aimed at silencing calls for an appeal?

In addition to leasing land and building condos, Concord Pacific donates money to all three major civic political parties--COPE, the NPA and Vision Vancouver.

Vision, party of Robertson and his council majority, by far receives the most Concord cash--$140,850 since 2005.

Concord CEO Terry Hui, a mysterious character sometimes glimpsed at Vision events, avoids the public spotlight like a rummaging raccoon. And the land assessment appeal process is invasive by nature.

"We start by getting the parties on the phone, find out what it's all about, try to see whether it can be resolved," said Cheryl Vickers, chair of the appeal board. "And depending on the nature of the appeals, we make some orders for parties to disclose information and that sort of thing."

So who's Robertson looking out for? Vancouver taxpayers or his party's sugar daddy?

When pressed on the issue, Robertson attempted to change the subject, renewing his call for campaign finance reform.

But the issue isn't election spending (Vision spent a record $2 million in 2008). The issue is a potentially undervalued waterfront property owned by one of Vision's largest financial contributors. Robertson's attempted spin represents an unwitting admission--a failed Rorschach test, perhaps revealing a guilty conscience.

Psychologist: Quick, Mr. Mayor, respond without thinking. Concord land in northeast False Creek!

Robertson: Big fat campaign donations!

And one last thing. Last week Robertson said he first heard about the seemingly low Concord land assessment after reading the April 30 edition of the Courier.

But on Nov. 11, 2009, Patsy McMillan, co-chair of the False Creek Residents Association, sent an email to Robertson, city manager Penny Ballem and all 10 city councillors. In that email, McMillan detailed the situation and noted Concord's sweet tax deal in Northeast False Creek.

According to the latest Courier online poll, 82 per cent of respondents want city hall to appeal the Concord land assessment, but they'll have to wait until next January because the deadline for appeals expired last month.

I bet Robertson stands pat, banking on short public memory and deep Concord pockets.

Like the old saying goes, you get what you pay for.

mhasiuk@vancourier.com

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