Terminating
Land Use Contracts:
Don’t Wait
Presented by
Judith Robertson MCIP RPP
Manager Area Planning & Development North
Planning & Development Department
Learning Outcomes
At the conclusion, you should be . . .
1. Aware or reminded of the legislation that enables
LUCs to be terminated without the owner’s consent;
2. Informed about the benefits of moving forward now
with a process of LUC terminations;
3. Apprised of some of the problems that will inevitably
be encountered with LUC terminations; and
4. Better able to address the challenges of terminating
LUCs by learning from Surrey’s experiences.
Short History of LUCs
• When introduced in 1971, LUCs were a
powerful, creative, planning tool that
incorporated zoning, development control
and servicing plans into one legal agreement.
• In 1978, LUC provisions were eliminated and new
provisions were introduced to collect DCCs, designate
DP Areas and vary certain regulations by DVP.
• Today, LUCs are often out-dated and problematic.
LUC Working Group
• Ministry staff established a Working Group in
Spring 2012.
– Local governments with a high volume of LUCs were
invited to participate.
– All discussions were confidential.
– Consensus that LUCs were problematic and should be
eliminated and replaced with conventional land use
controls.
• Over a 2-year period, a plan to eliminate LUCs
was developed.
Bill 17, 2014
• Bill 17, the Miscellaneous Statutes Amendment
Act, 2014 was introduced on March 11, 2014 and
received Royal Assent on May 29, 2014
• Bill 17, 2014, included a number of amendments
intended to:
– Streamline local and provincial government land use
planning and development approvals;
– Modernize outdated legislative tools; and
– Provide greater certainty and transparency for
residents and those who develop and build within
communities.
Bill 17
• On May 29, 2014, the B.C. Government
adopted legislation that:
– Terminates all LUCs on June 30, 2024;
– Requires local governments to establish
underlying zoning for LUC properties, if necessary,
by June 30, 2022;
– Allows local governments to terminate LUCs prior
to June 30, 2024; and
– Allows BoV to grant landowners an extension to
the effective date of the termination bylaw.
Bill 17
• Local governments may terminate LUCs prior to
2024 provided:
– Zoning is in place where LUCs are to be terminated;
– Early termination bylaw comes into force at least one
year after it is adopted;
– A public hearing is held for the termination bylaw;
– Early termination bylaw is adopted on or before June
30, 2022; and
– Land Title Office is notified of early termination bylaw
within 30 days of its adoption.
Surrey’s LUCs
• The first LUC was adopted by Surrey City
Council on August 7, 1972.
• Approximately 370 LUCs were adopted in
Surrey between 1972 and 1979 for a wide
range of uses.
• Approximately 317 LUCs remain in effect,
regulating over 8,000 properties in Surrey.
• More than 7,000 single family lots in Surrey
are regulated by LUCs.
Surrey’s Task . . .
• The City of Surrey is currently proceeding
with terminating all 317 LUCs prior to 2024.
• Each LUC Termination Bylaw will have a 1year grace period.
• The goal is to have all lands in Surrey
regulated by the Zoning Bylaw within the
next few years.
City of Richmond’s LUCs
• On November 24, 2015, Richmond City
Council adopted bylaws that:
– Terminated 93 LUCs regulating ~4,000 single family
lots, effective November 24, 2016
• Some of the 93 LUCs also include other land uses
– Established new zoning to replace the LUCs
• Approximately 40 LUCs remain in Richmond
Surrey’s LUCs
• LUCs for industrial and agricultural purposes, and
duplexes have been terminated first:
– Due to their simplicity; and
– To assist with fine-tuning the process.
• LUCs for townhouses, apartments and mobile home
parks are in process or have been terminated.
• In contrast are the “urban” single family LUCs; these
owners may object to the zoning regulations and,
therefore, these LUCs are near the last to be
terminated.
• LUCs with rezoning required will be the last.
Benefits of Early LUC Termination
• Elimination of the problem of interpreting
LUCs for both staff and the public;
• All properties regulated by the same rules;
• Zoning Bylaw amendments will affect all lands
versus all non-LUC lands;
• More flexibility in commercial and industrial
land uses permitted; and
• New construction should be more consistent
with the community’s vision.
Problems of Early Termination
• Possibility of reducing development potential
for single family lots;
• Possibility of incorrect underlying zoning;
• Creating non-conformity in terms of zoning,
OCP designation, servicing or Building Code
requirements;
• Tracking of the multitude of dates when LUC
terminations come into effect; and
• Committing adequate staff resources.
Estimated Timing
(from June 15, 2015 Report to Surrey Council)
Surrey’s Advantages
• Fortunately, Surrey’s mapping system
(COSMOS) is second to none.
• All lots regulated by a Land Use Contract have
underlying zoning.
• A master list of all LUCs has been prepared,
which documents all discharges and partial
discharges.
Surrey’s Advantages cont’d
• Surrey City Council is supportive of the
undertaking.
• Surrey’s application tracking system
(AMANDA) is able to remind us of tasks
required in the future.
Surrey’s Challenges
• Heavy workload with near record
number of land development
applications submitted in 2015
Year
Applications
2015
916
2014
772
2013
694
2012
816
2011
754
2010
730
1,000
2009
583
800
2008
683
600
2007
900
2006
1,152
2005
886
– 916 including 24 LUC Terminations
1,400
1,200
400
200
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
Surrey’s Challenges cont’d
• The busy trend in Q1 of
2016 is escalating
– Number of development
applications submitted in
the first quarter of 2016 is
near record-breaking
– 95 more applications in
2016 than Q1 in 2015
Year
Q1
Appl’ns
Total
Appl’ns
2016
286
2015
191 (21%)
916
2014
166 (21.5%)
772
2013
165 (24%)
694
2012
174 (21%)
816
2011
156 (21%)
754
2010
178 (24%)
730
2009
127 (22%)
583
2008
226 (33%)
683
2007
209 (23%)
900
2006
314 (27%)
1,152
2005
207 (23%)
886
Surrey’s Challenges cont’d
• Staffing resources are stretched
– Workload is already high
• Of the 286 land development applications received in
Q1 of 2016, 23 (8%) are LUC Terminations
– Vacancies resulting from 5 parental leaves
Surrey’s Challenges cont’d
• Identifying LUCs and affected lots has been
labourious
– Surrey comprises 126 square miles (326 km2) and
LUCs affect lands throughout the City.
– Surrey has over 96,000 lots (excluding strata lots).
– Over 8,000 lots are regulated by an LUC.
– Over 300 LUCs remain in effect.
LUCs identified
manually from maps
generated with LUC
and specific underlying
zoning
Surrey’s Challenges cont’d
• Prior to proceeding with the termination, each
LUC must be researched to determine if any
partial LUC discharges have taken place.
– Depending on the number of lots regulated by the
LUC, this task can be time-consuming.
– Attention to details is important.
Surrey’s Challenges cont’d
• The underlying
zoning may not
reflect the actual
use
– Termination and
rezoning may be
required.
– New zone may
need to be site
specific (i.e., CD).
Area covered by LUC 371
Is outlined in blue
Underlying zoning for LUC 371 is Single Family “RF”
on both the single family and townhouse lots!
Surrey’s Challenges cont’d
• Slow acceptance by other departments on
imposing no conditions (e.g. road widenings,
“parks pressure” contributions) that are
typical for owner-initiated LUC discharge or
rezoning applications.
• Errors in mapping.
• Some LUC notations on title are missing,
which has caused confusion.
Surrey’s Challenges cont’d
• Owners and tenants are not aware of their
LUC being terminated until they receive the
Public Hearing notice by mail.
Addressing Difficulties
• This has been an on-going, learning
experience which requires good cooperation
between working groups.
• A list of helpful hints has been developed and
the list continues to grow.
Helpful Hint #1
Create a spreadsheet master list of all LUCs and
discharges and track terminations.
Helpful Hint #2
Provide training and additional
information for applicable staff.
LUCs expire in
2024 and
we’re not waiting
Helpful Hint #3
Develop a report template to streamline report
preparation and review time.
Helpful Hint #4
To fine-tune the process, start the termination
process with the “simple ones”:
• Land uses that are likely to benefit by standard
zoning (e.g. industrial and institutional).
• LUCs involving a small number of lots.
Helpful Hint #5
Apprise specific stakeholders of the LUC
termination process and rationale (e.g.
applicable Manufactured Home Owners
Association, Board of Trade, Chambers of
Commerce).
Helpful Hint #6
Provide information on the website with an
explanation of the process and answers to FAQs
(surrey.ca/city-services)
Helpful Hint #7
Work closely with the City Clerk in fulfilling the
legislative requirements:
• Confirming all previous LUC discharges
have been taken into account
• Sending notices (letters and newspaper)
for the Public Hearing to terminate LUC
• Notifying LTO within 30 days of
Termination Bylaw receiving Final
Adoption
(Note: MOTI approval is not required)
Helpful Hint #8
Terminate similar land uses (especially single
family) in batches and by geographic area.
– To address expected concerns regarding being
disadvantaged if one or some LUCs terminate
before other like LUCs; and
– To simplify Public Hearing notifications by avoiding
multiple notifications to land owners within the
notification area.
Helpful Hint #9
Provide a script for the Mayor to say prior to the
Public Hearing for LUC Termination Bylaws,
which explains:
• This is a City-initiated endeavor to have all
lands regulated by the Zoning Bylaw.
• Eliminating the LUC is not intended to force
people to undertake building renovations.
• The underlying zoning is the closest equivalent
zone to the LUC, in terms of use and density.
Helpful Hint #10
Differentiate, on zoning maps, LUCs that are in
the 1-year grace period versus those yet to
undergo the LUC termination process
Instream
Yes (red)
No (blue)
Helpful Hint #11
Determine follow-up procedures after the
minimum 1-year grace period.
– Surrey’s application tracking system (AMANDA)
will add a task on the “To Do” list of specific staff,
which will read:
LUC Termination Bylaw No. XXXXX was granted Final
Adoption on XXX XX, 201X. The 1-year grace period has
expired and the bylaw is now in effect. Please complete
the necessary steps (i.e. update zoning map) to finish the
LUC Termination process.
Helpful Hint #12
Hardship?
Apprise Board of Variance of the 6-month
appeal process after LUC Termination Bylaw is
adopted.
• Hardship pertains to timing only.
• The decision does not run with the land but
only with the owner who applied.
• Extensions cannot go beyond June 30, 2024.
Helpful Hint #13
Maintain momentum.
Summary
1. Bill 17 has enabled local governments to terminate
LUCs without the owner’s consent;
2. Consider the benefits of moving forward now with a
process of LUC terminations
–
–
–
Consistency in interpretation;
Reduced legal bureaucracy; and
Developments more in line with your community’s vision;
3. Problems can be minimized but not avoided; and
4. Learn from Surrey’s experiences to better able
address the challenges of terminating LUCs.
Last Words . . .
Don’t wait; don’t
leave the problems
to be tackled after
June 30, 2024 when
all LUCs terminate.
Important
DATE!
Thank You
Questions or Comments?
Judith Robertson MCIP RPP
Manager Area Planning & Development North
Planning & Development Department