Energy and Mines News:

Clark Drops Self-Sufficiency Power Plans
Premier Christy Clark unravelled a key component of her predecessor's energy plan Friday, dropping a requirement that would have forced BC Hydro to spend significant resources between now and 2016 to plan for a worst-case power generation scenario.

"We will redefine the province's self-sufficiency policy to ensure B.C. is well positioned for power expansion, and that Hydro rates remain affordable for families," Clark said Friday as she unveiled her new energy strategy, one aimed at exploiting the province's natural gas reserves.

Clark said the province is abandoning a requirement introduced by former premier Gordon Campbell that BC Hydro have enough energy on hand domestically by 2016 to meet the worst case scenario of a repeat of the lowest water level on record.

She said she is also cancelling a requirement that had obliged BC Hydro to have an extra insurance margin above and beyond the so-called "critical water" levels – where dams are at their lowest – as had been laid out in the Clean Energy Act. Read more.

Governments Announce Oilsands Monitoring Plan
The federal and Alberta governments have announced a joint $50 million-a-year monitoring strategy for Alberta's oilsands that will greatly increase the amount of testing conducted on land, air and water in the region, ministers from both governments said Friday. The program, which was developed with the input of 100 scientists, is slated to begin this spring. By the time the three-year program is fully implemented in 2015, the number of sampling sites will be significantly increased and cover a larger area, the governments announced in a joint news conference featuring federal Environment Minister Peter Kent and provincial Environment Minister Diana McQueen. View the full article.

Family, Wills & Estates News:

Wills Variation and Modern Canadian Values
In this article, Roman Johal with Clark Wilson LLP highlights certain cases that demonstrate that certain Canadian values are favoured over testamentary freedom when that exercise of freedom is discriminatory. The WVA, and soon the WESA, are used to assist our British Columbian Courts to step in and ensure that the parting wishes of testators are not inconsistent with Canadian values. View the full article.

Legislative and Case Law Update: WESA Highlights
"The Times They Are a-Changin'"
Gordon B. MacRae, QC and Andrea E. Frisby, both of Legacy Tax + Trust Lawyers, Vancouver, BC, wrote the following paper for a recent CLEBC course. This paper discusses key practical changes that solicitors working in wills and succession may expect to encounter in their daily practice once the Wills, Estates and Succession Act ("WESA") comes into force in early 2012, and second, explores the evolution of the law relating to the Fraudulent Conveyance Act and estate planning through the most recent BC Supreme Court decision, Easingwood v. Cockroft, 2011 BCSC 1154. Read the paper here.

BC's Representation Act Distinguished at International Summit
In 2000, British Columbia enacted the Representation Agreement Act, RSBC 1996, c.405, thus leading internationally the way for recognition of the right to support in personal decision- making. The law's flexible definition of capability is one of its main strengths, since it recognizes trust as one of the defining features of support relationships and shifts the burden of proof of incapability to others. The legislation allows for the creation of personal planning tools known as representation agreements, which, unlike most personal planning tools, permit the appointment of an individual to help an adult make decisions. These representation agreements are praised by the disability community as highly successful in providing legal recognition of supported decision-making, significantly preventing guardianship. They are the reason why the number of private guardianships has remained fairly stable during the last years. Click here to view the full article published by the BC Coalition of People with Disabilities.

Forest and Environment News:

Pine Beetle Kill Less Than Projected, Says Chief Forester
B.C.'s chief forester painted a mountain pine beetle picture both good and bad Thursday for silviculturalists gathered in Kamloops.

The good news is the historic infestation that destroyed Interior pine stands through the middle of the last decade wasn't as destructive as first feared.

"In 2006, we were projecting a mountain pine beetle kill of 80 per cent of pine by 2013," Jim Snetsinger told a convention of the Western Silviculture Contractors' Association. "Our 2011 models . . . now tell us mountain pine beetle will kill about 61 per cent of susceptible pine by 2021."

Snetsinger was more guarded in his outlook than Interfor's chief forester, who predicted "a golden era" is at hand. View the full story in the Kamloops Daily News.

Forest Industry Welcomes Renewed Software Lumber Agreement
The Forest Products Association of Canada (FPAC) is pleased that the Minister of International Trade, Ed Fast, has today announced a two-year extension of the Softwood Lumber Agreement along with the US Trade Representative, Ron Kirk.

"The softwood agreement does provide stability and predictability in terms of getting access to our most important market, the United States," says the President and CEO of FPAC, Avrim Lazar. "The industry is of the view that at a time of ongoing market uncertainty, it is a good idea to extend the deal by another two years to provide a degree of certainty in market access to the U.S."

Lazar notes that Canadian forest companies have gone through an economically challenging time with mill closures and the job loss in the face of the global recession and the changing marketplace. The sector has had significant success in diversifying their markets especially in Asia. Wood exports to China have increased by 46 times since 2000 and the sector is now the largest Canadian exporting industry to both India and China. However, the U.S. still accounts for about two-thirds of the exports of Canadian forest products. Click here to view the press release.

Health News:

Meat Inspection Review Ensures BC has Safe Meat Supply
The Province has completed a comprehensive review of options for provincially operated meat inspection services at Class A and B licensed abattoirs.

This ensures that B.C. continues to provide the most effective, safe meat inspection system possible when the Canadian Food Inspection Agency (CFIA) steps back from this role. The Report on the B.C. Abattoir System Inspection Review can be found online at www.health.gov.bc.ca/protect/meat-regulation. View the government news release.

BC Government Launches its First Mobile App,
which Uses GPS to Find Health Care Services
Looking for health services in British Columbia? There's an app for that. Billed as the first official British Columbia government mobile application, the BC Health Services Locator launched Monday on Apple's iTunes app store. A mobile version of information that can also be found on HealthLink BC's website, the Health Services Locator uses GPS to give users information on services in their area. Read more.

Labour, Company and Finance News:

CPP Changes in Effect January 1, 2012
On January 1, 2012, previously announced changes to Canada Pension Plan (CPP) came into force. Prior to this year, employers had to stop deducting CPP contributions from an employee's pensionable earnings when the employee was 60 to 70 years of age if the employee was already collecting CPP payments. Now an employer must deduct CPP contributions for pensionable earnings for individuals in that category. View the full article by Nicole Byres with Clark Wilson LLP.

Potentially Adverse Tax Results for Incorporated Employees
Davis LLP Taxation Alert
On October 31, 2011, the Department of Finance proposed changes to the Income Tax Act that effectively put an end to the potentially advantageous tax planning strategy of having an employee agree to provide their services to their employer through a corporate entity (a "Personal Services Business"). The proposed legislation creates a potential significant tax cost to taxpayers who are currently in this structure.

Up until these proposed changes were announced, Personal Services Businesses that earned service fees which would otherwise have been paid to an individual employee were subject to a 25% corporate tax rate. Compare this with the top marginal rate for individual taxpayers (in BC 43.7%), and one can see the tax deferral opportunity this structure created. In addition to a tax deferral, there was the opportunity for a taxpayer to use the Personal Services Business as a mechanism to income split with low income family members. Click here to view the article.

Teacher's Job Hunt Illustrates Tight BC Labour Market
Moving to Vancouver was a dream come true for Amanda Pullishy. The 24-year-old teacher from Edmonton, Alberta had a university degree and two years full-time work experience under her belt when she came West last summer and, after doing some preliminary research on the local job scene, was optimistic that would be enough to land her a professional position in her new home.

Six months and hundreds of mainly unanswered resumes later, however, she's been forced to admit current British Columbia's labour market isn't as welcoming as she'd hoped.

"I have a lot of really good qualifications and skills, but I am just not finding the work out there that is a good match," Pullishy said.

Pullishy's job-hunting experience is in keeping with newly released employment figures from Statistics Canada that found B.C.'s labour market shrunk by 2,200 jobs in January, compared to the previous month.

B.C.'s labour force also decreased last month by 3,400 people, bringing the province's unemployment rate down slightly from seven per cent in December to 6.9 per cent, the agency said. Full-time positions took the biggest monthly hit. After gaining 2,600 new full-time jobs in December, B.C. lost 7,400 full-time positions last month. That loss outpaced growth in part-time employment, which climbed by 5,300 positions in January. Read more.

Local Government News:

Catalyst Appeal Dismissed – 2008 Tax Revolt Ends
The Supreme Court of Canada (the "SCC"), in a unanimous judgment, has dismissed Catalyst Paper Corporation's appeal in Catalyst Paper Corp. v. North Cowichan (District), 2012 SCC 2 ("Catalyst"), thus putting an end to the tax revolt of 2008 that saw Catalyst bring court challenges to a number of municipal property tax bylaws on the basis that they were unreasonable, because they placed an unfair tax burden on industrial property owners.

At every level of court, from trial, through the B.C. Court of Appeal, to the SCC, Catalyst pressed the argument that tax rates must bear a reasonable relation to the amount of services consumed by the taxpayer. The argument was rejected at all levels. For more information, read the Stewart McDannold Stuart Client Bulletin.

Municipalities Urge Federal Government
to Support Rental Housing Market
Municipalities across Canada are calling on the federal government to support the construction and renovation of rental housing. The Federation of Canadian Municipalities said Tuesday that such action would help provide more affordable housing options, which have been hurt by a lack of new rental construction in recent years. It would also create construction jobs to replace those lost in the recent slowdown of the new-housing market, the group said.

"Canada must jump-start its rental-housing market," said Berry Vrbanovic, president of the federation and a councillor for Kitchener, Ont. "One-third of Canadians are renters, but for the past decade, new rental housing accounted for just 10 per cent of all residential construction." Read more.

Search Begins for Audit Council Members
The search is on for Audit Council members, bringing the Province one step closer to fulfilling Premier Christy Clark's commitment to establish an Office of the Auditor General for Local Government.

The Board Resourcing and Development Office (BRDO) is posting the position on its website today, in anticipation of the passage of Bill 20 (Auditor General for Local Government Act) this spring. Consultations are also underway between the Province, the Union of British Columbia Municipalities and other organizations regarding potential candidates, announced Minister of Community, Sport and Cultural Development Ida Chong.

The Province introduced Bill 20 in November 2011. Under the proposed legislation, the primary purpose of the AGLG would be to help local governments find efficiencies in spending and improve program effectiveness by providing neutral, non-binding advice. View the full news release.

Miscellaneous News:

Verdict on Court Backlogs in BC: Delays are Getting Worse
When the B.C. government unveils a new budget later this month, many will be looking to see what it does to address the deepening crisis in the court system. A day doesn't go by now that a judge or veteran lawyer isn't issuing apocalyptic warnings about its imminent collapse as a result of a lack of funding. Read the full article in the Globe and Mail.

West Coast LEAF Highlights Equality Problems in Review of B.C. Laws
A women's rights group is shining a spotlight on provincial legislation and policy that may have an unfair impact on vulnerable members of society in B.C. West Coast LEAF has created three new research papers intended to help gauge how key pieces of legislation have affected women, children, low-income individuals, and others. The so-called equality impact statements focus on the Carbon Tax Act, the Residential Tenancy Act, and legislation and policy related to home heating. Click here to view the article.

Motor Vehicle News:

Changes to BC Winter Tire Laws?
An RCMP traffic expert is looking to the province of B.C. to change the laws that govern winter road equipment.

"I think it's enough of a safety issue that I can't in good conscience drop it," said Staff Sgt. Steve Frayne. Frayne says the accident north of Kamloops Wednesday that claimed a family of four is evidence more can be done to save lives on B.C. roads. Read it on Global News.

CVSE Makes Changes to ABS and Slack Adjuster Requirements
As they committed they would do, on December 31st, Commercial Vehicle Safety and Enforcement (CVSE) released two circulars – one regarding Anti-Lock Braking Systems and the other regarding Air Brake Slack Adjusters.

Circular #08-11 changes Motor Vehicle Inspection criteria such that vehicles that have Anti-Lock Brake components that do not meet inspection criteria or do not function as OEM AND that are operated primarily on industrial roads of forest service roads may pass the provincial Commercial Vehicle Inspection (CVIP).

Circular #07-11 amends a previous circular (#03-10), and allows that air brake equipped vehicles that operate primarily on industrial roads or forest service roads may pass the provincial mechanical inspection with manual slack adjusters. In both cases, it's up to the Designated Inspection Facility Operator and the Authorized Inspector to determine the primary use of the vehicle. These favorable developments are the result of considerable dialogue between BC log haulers and CVSE, and should ease the burdens of wrenching time and maintenance dollars that truckers have had to spend to maintain equipment that seemed inadequate to keep up with the demands of rugged BC logging roads. Source: Rumblings: (BC Forest Safety Council).

Real Estate & Builders Lien News:

BC Allows Personal Real Estate Corporations
British Columbia is the first Canadian province to allow individual real estate licencees to form personal real estate corporations (PREC). Under the Real Estate Services Act and the Real Estate Services Regulation, Realtors can take advantage of the benefits of incorporation in a manner similar to dentists, accountants and lawyers. View full article by Daniel L. Kiselbach and Cheryl Teron from REM Online.

Municipalities Urge Federal Government to Support Rental Housing Market
Municipalities across Canada are calling on the federal government to support the construction and renovation of rental housing. The Federation of Canadian Municipalities said Tuesday that such action would help provide more affordable housing options, which have been hurt by a lack of new rental construction in recent years. It would also create construction jobs to replace those lost in the recent slowdown of the new-housing market, the group said. "Canada must jump-start its rental-housing market," said Berry Vrbanovic, president of the federation and a councillor for Kitchener, Ont. "One-third of Canadians are renters, but for the past decade, new rental housing accounted for just 10 per cent of all residential construction." Read more.