Salt Spring Island Housing Policy Paper

The following is a policy paper I have submitted to the Province for consideration.

(PDF available here – https://islandstrust.wordpress.com/wp-content/uploads/2026/09/salt-spring-island-workforce-housing-strategy.pdf )



A PROVINCIAL WORKFORCE HOUSING STRATEGY FOR SALT SPRING ISLAND

Creating a Permanently Affordable Parallel Housing Market Through Strategic Land Designation, Compact Development, Workforce Housing Covenants and Revolving Public Capital

Policy Discussion Paper

Prepared for consideration by the Province of British Columbia

Eric Booth – Former Salt Spring Island Islands Trustee (2002-2005)

September 2026


EXECUTIVE SUMMARY

Salt Spring Island faces a housing problem that is fundamentally different from a temporary shortage of residential units.

The Island has become a highly desirable real-estate market whose residential property values are increasingly disconnected from the incomes generated by the local economy. The result is a structural mismatch: many of the people required to operate the community increasingly cannot afford to live in the community they serve.

At the same time, Salt Spring faces substantial constraints on the creation of new housing. These include the Agricultural Land Reserve (ALR), the Islands Trust land-use framework, limited community water and wastewater infrastructure, environmental constraints, a predominantly rural settlement pattern, and a housing stock overwhelmingly weighted toward detached dwellings.

Current Salt Spring housing planning identifies a requirement for approximately 2,550 additional homes by 2041.

This is not a problem likely to be solved through accessory dwelling units, scattered rezonings, incremental density increases, or a small number of subsidized housing projects.

A structural solution is required.

This paper proposes that the Province establish a Salt Spring Island Workforce Housing Initiative based on eight fundamental principles.

1. Designate strategically located land near Ganges for substantial residential development

A defined set of properties or portions of properties would be identified in Schedule A.

Priority would be given to land adjoining or near Ganges where community services, employment, transportation, water and wastewater infrastructure can most efficiently support compact development.

Some designated lands may presently be within the Agricultural Land Reserve.

2. Permit substantially greater density on designated lands

Rather than consuming large areas of rural land through low-density subdivision, designated lands would accommodate compact forms including four- to six-storey apartment buildings, townhouses, rowhouses, duplexes, live/work housing and other forms appropriate to Salt Spring’s workforce.

3. Require 100% of the additional residential capacity created through the initiative to remain workforce housing permanently

The increased development entitlement would not create ordinary market housing.

Every dwelling created through the special provincial authorization would be subject to permanent workforce-housing restrictions based substantially on the successful Whistler Housing Authority model.

4. Establish a second, parallel housing market

Salt Spring would continue to have its existing unrestricted real-estate market.

Alongside it would exist a permanently restricted workforce market in which rents, occupancy, eligibility and ownership resale prices are controlled so housing remains connected to local workforce economics rather than unrestricted real-estate values.

5. Capture the value created by provincial intervention for the community

The Province would create substantial development value by authorizing residential density where that density does not presently exist.

That development right has significant economic value.

Rather than allowing that publicly created value to be capitalized primarily into land prices, the entitlement would be inseparably connected to permanent workforce restrictions.

The development right itself therefore becomes a major housing subsidy without requiring an equivalent cash expenditure by government.

6. Establish a revolving capital fund

The Province would provide initial seed capital through a Salt Spring Workforce Housing Revolving Capital Fund.

Capital would finance land acquisition and construction.

Ownership units would then be sold to qualified workers.

Construction debt would be repaid and public equity returned to the Fund.

The recovered capital would finance subsequent developments.

Rental developments could similarly recycle a substantial portion of construction capital through permanent mortgage financing once stabilized.

The objective would be a substantially self-replenishing development system, rather than a conventional grant program in which public capital is consumed once.

7. Minimize agricultural land consumption through density

Salt Spring contains approximately 2,943 hectares — approximately 7,272 acres — within the Agricultural Land Reserve.

The initiative should establish a policy ceiling under which no more than approximately 5% of the existing ALR land base could be affected, while explicitly seeking to use substantially less.

At sufficiently high densities, the entire 2,500-unit program could theoretically have a net residential footprint well below 100 acres.

8. Protect food-producing capacity rather than treating mapped acreage as the only agricultural measure

The initiative should prioritize protection of actively farmed and agriculturally valuable land, while recognizing that not every ALR acre has identical agricultural capability or strategic importance.

Agricultural mitigation and reinvestment should accompany development.

A portion of the economic value created by the initiative could be redirected toward improving the productivity and accessibility of the much larger agricultural land base that remains.

The objective should be approximately 2,500 permanently workforce-restricted homes over twenty years, creating a housing inventory on approximately the same scale as Salt Spring’s present workforce.


1. THE PROBLEM IS STRUCTURAL, NOT TEMPORARY

Salt Spring’s housing crisis cannot adequately be understood simply as a shortage of dwelling units.

It is a separation between two economic systems:

the local labour economy, which determines what workers earn; and

the unrestricted real-estate market, which determines what housing costs.

Those systems are no longer sufficiently connected.

Salt Spring property is purchased not only by households earning income on Salt Spring, but by retirees, investors, purchasers arriving with accumulated equity from more expensive markets, and households whose incomes are earned elsewhere.

There is nothing inherently improper about those purchasers participating in Salt Spring’s housing market.

The problem is that a worker earning a Salt Spring wage must compete for the same finite housing stock.

Housing prices can therefore rise to levels supportable by external wealth even when those prices cannot be supported by local wages.

Detached housing prices on Salt Spring are now commonly in the range of approximately $1 million or more, with recent asking-price measures around $1.3 million.

At those prices, conventional market housing cannot reasonably be expected to provide home ownership for a substantial portion of Salt Spring’s workforce.

Building additional unrestricted housing does not necessarily correct this structural problem.

If newly constructed homes are unrestricted, they immediately enter the same regional, provincial, national and potentially international market as the existing housing stock.

Additional supply remains valuable.

But the price of that housing continues to be influenced by the purchasing power of the unrestricted market rather than Salt Spring wages alone.

This is why the problem requires more than additional supply.

It requires:

additional supply with a different economic structure.


2. THE SCALE OF THE HOUSING REQUIREMENT

Current housing planning identifies a requirement for approximately 2,550 additional homes by 2041.

A housing requirement of approximately 2,500 units is not an incremental planning issue.

It represents a fundamental expansion of Salt Spring’s housing stock.

For perspective, at an illustrative average occupancy of:

2.4 persons per dwelling

2,500 dwellings have residential capacity for approximately:

6,000 people.

That figure is striking when compared with Salt Spring’s labour force.

The 2021 Census identified approximately 5,260 employed Salt Spring residents, with broader measures of people working during the reference period approaching 6,000.

This does not mean that each new dwelling corresponds directly to one existing worker household, nor that the official housing requirement was calculated specifically to house today’s workforce.

It does demonstrate the magnitude of the opportunity.

British Columbia could create, over approximately twenty years, a permanently affordable housing inventory whose capacity is broadly comparable to the scale of Salt Spring’s present working population.


3. SALT SPRING’S EXISTING HOUSING MARKET CANNOT PERFORM THIS FUNCTION

The fundamental difficulty with relying exclusively upon conventional market housing is land economics.

Consider two otherwise identical homes.

One is unrestricted and may be sold to any purchaser at market value.

The other may only be sold to a qualified Salt Spring worker and its resale appreciation is controlled.

The unrestricted property’s value reflects what the broadest available market is prepared to pay.

The workforce property’s value reflects the affordability rules governing the restricted market.

They are economically different products even if the physical buildings are identical.

This distinction is critical.

Attempts to create affordable ownership housing while simultaneously allowing unrestricted appreciation contain an inherent contradiction.

If a publicly enabled $450,000 home can subsequently be sold for $900,000, affordability has largely been provided to the first purchaser.

The publicly created benefit becomes private equity and the affordable unit disappears.

Permanent affordability therefore requires permanent restrictions.


4. THE CASE FOR TWO HOUSING MARKETS

This paper proposes explicit recognition of two parallel housing sectors on Salt Spring Island.

Sector One — Existing Market Housing

Existing unrestricted residential properties would continue to operate normally.

Owners could buy and sell at market prices.

Existing property rights would not be converted into workforce restrictions.

Market housing outside the special initiative could continue to be created under otherwise applicable planning rules.

Sector Two — Permanent Workforce Housing

Housing created through the extraordinary development rights established by this initiative would operate under a different system.

Eligibility would be connected to employment, self-employment or qualifying service to the Salt Spring community.

Rental rates would be restricted.

Ownership resale prices would be restricted.

Principal-residence requirements would apply.

Short-term vacation rental use would be prohibited.

Compliance would be monitored.

The housing would remain within the workforce sector permanently.

The objective is not to suppress Salt Spring’s existing real-estate market.

It is to:

stop requiring Salt Spring’s workforce to compete exclusively within it.


5. WHY ALL OF THE EXTRAORDINARY DENSITY SHOULD BE WORKFORCE HOUSING

This is a foundational principle of the proposal.

The Province would potentially be:

authorizing substantial density where it presently does not exist;

overriding or displacing ALR restrictions;

overriding or modifying local land-use restrictions;

facilitating infrastructure; and

creating substantial new residential land value.

Those are extraordinary public actions.

There is therefore no compelling public-policy reason why the principal beneficiary of that newly created value should be unrestricted real-estate development.

If a parcel presently permits very limited residential development and provincial action suddenly permits 200 units, the public decision itself has created much of the economic value associated with that development opportunity.

The appropriate bargain is:

the landowner receives a new development opportunity;

the developer receives an opportunity to earn a reasonable development return;

workers receive housing at prices connected to the workforce economy;

the community receives permanent housing supply; and

future generations retain the benefit.

Allowing 70% market housing in exchange for 30% affordable housing would transfer much of the publicly created land-value uplift into private land appreciation.

That is unnecessary.

The development entitlement itself should operate as a principal subsidy.

Accordingly:

100% of the residential capacity created by the extraordinary provincial entitlement should be permanently workforce restricted.


6. THE WHISTLER HOUSING AUTHORITY MODEL

British Columbia does not need to invent the institutional framework from first principles.

The Whistler Housing Authority provides a proven B.C. model for permanently restricted workforce housing.

Whistler employee ownership housing uses title-registered housing agreements and covenants.

Its system includes:

employee eligibility;

principal-residence requirements;

maximum resale prices;

resale-price appreciation formulas;

rights of first refusal and options to purchase;

restrictions on rental;

occupancy restrictions;

annual occupancy declarations;

document verification; and

ongoing enforcement.

Current Whistler ownership covenants generally link permitted resale appreciation to Core Consumer Price Index.

Whistler owners remain subject to eligibility, employment, occupancy, rental and resale requirements throughout ownership.

Owners may be required annually to establish compliance and provide supporting documentation including tenancy agreements, tax returns, identification, utility records, employment contracts and pay statements.

Nightly rentals and home exchanges are prohibited.

Salt Spring should adopt the architecture of this system while adapting eligibility to the Island’s substantially different economy.

Most importantly, Salt Spring should define a:

Qualified Salt Spring Worker

rather than relying exclusively upon conventional employee status.


7. SALT SPRING’S WORKFORCE REQUIRES DIFFERENT HOUSING FORMS

Salt Spring’s Census data demonstrate why an urban apartment-only affordable housing program would be inadequate.

Approximately 39% of classified Salt Spring workers were self-employed in the 2021 Census.

Among employed residents classified by place of work:

approximately 34% worked from home;

approximately 18% had no fixed workplace address;

and fewer than half had a conventional usual workplace.

This has major implications for housing design.

Salt Spring’s workforce includes:

contractors;

carpenters;

electricians;

plumbers;

landscapers;

arborists;

artists;

repair businesses;

home-based professionals;

service businesses; and

other occupations for whom the dwelling may also function partly as economic infrastructure.

A compact apartment may work very well for a bank employee, restaurant worker, retail employee, health-care worker or office employee.

It may work poorly for a self-employed carpenter with a work van, tools and materials.

The program therefore requires diversity of physical form, even though every dwelling remains subject to the same underlying workforce affordability regime.


8. PROPOSED HOUSING MIX

The final mix should be established through detailed demographic and workforce analysis.

An initial planning model for 2,500 units could contemplate approximately:

Housing FormShareUnits
Mid-rise apartments35%875
Family townhouses/rowhouses20%500
Trades/live-work housing25%625
Duplex/fourplex/cottage forms10%250
Accessible/senior/specialized housing10%250
Total100%2,500

Mid-rise apartments would primarily be located close to Ganges and should include a meaningful number of two- and three-bedroom units.

Family housing would provide private or semi-private outdoor space.

Trades/live-work housing could incorporate garage/workshop space, secure tool storage, work-vehicle parking, limited material storage, loading access, home-office space and appropriate low-impact business activity.

The percentages should be planning targets rather than rigid statutory quotas.


9. DENSITY IS A LAND-CONSERVATION TOOL

If Salt Spring requires approximately 2,500 additional dwellings, the important questions are:

where should they occur?

and

how much land should each dwelling consume?

The following simplified comparison demonstrates the importance of density.

Average Net Residential DensityLand Required for 2,500 Homes
2 units/acre1,250 acres
5 units/acre500 acres
10 units/acre250 acres
15 units/acre167 acres
20 units/acre125 acres
25 units/acre100 acres
30 units/acre83 acres
40 units/acre63 acres
50 units/acre50 acres
60 units/acre42 acres
80 units/acre31 acres

These are net residential calculations and do not include every road, park, buffer or infrastructure requirement.

Nevertheless, the relationship is fundamental.

At conventional rural densities, thousands of homes consume enormous amounts of land.

At village densities, the same population can occupy a comparatively small footprint.

Higher density near Ganges is therefore not necessarily inconsistent with preservation of Salt Spring’s rural character.

It may be essential to preserving it.


10. AGRICULTURAL LAND: PROTECTING FOOD-GROWING CAPACITY RATHER THAN SIMPLY ACREAGE

Salt Spring contains approximately:

2,943 hectares — approximately 7,272 acres — of ALR land.

That represents approximately 17% of the Island.

However, ALR designation should not be confused with actual agricultural production.

Agricultural inventories indicate that only a portion of Salt Spring’s ALR is actively farmed, while significant areas contain natural or semi-natural vegetation, wetlands, waterbodies, forest, topographical constraints or other limitations.

The appropriate public-policy objective should therefore be:

protect and enhance Salt Spring’s practical capacity to produce food.

That objective is related to maintaining ALR acreage, but the two are not necessarily identical.


11. THE 95/5 AGRICULTURAL PRINCIPLE

The initiative should establish a clear agricultural safeguard.

No more than approximately 5% of Salt Spring’s existing ALR land base should be available for designation under the extraordinary workforce-housing program.

Five percent of approximately 7,272 acres is:

approximately 364 acres.

That should be understood as a maximum ceiling — not a development target.

Every reasonable effort should be made to use substantially less.

At an average 40 units per net residential acre, 2,500 homes require approximately:

63 acres.

At 50 units per acre:

50 acres.

At 60 units per acre:

42 acres.

Even allowing additional land for lower-density live/work housing, roads, buffers, infrastructure and open space, the program could potentially affect only a small fraction of the existing ALR.

At 50 units per acre, the theoretical net residential footprint represents only approximately:

0.7% of Salt Spring’s existing ALR land base.

The policy should therefore be:

At least 95% of Salt Spring’s present ALR land base will remain unaffected by the initiative, while the program should seek to use materially less than the maximum 5% allowance.


12. NOT ALL ALR LAND HAS EQUAL AGRICULTURAL VALUE

The ALR is a land-preservation system.

It does not mean every acre possesses identical soil capability, agricultural suitability, water availability, economic potential or strategic importance.

Some Salt Spring ALR properties contain productive soils and established agricultural operations.

Those should receive the highest level of protection.

Other areas contain forest, wetlands, topographical constraints, existing institutional or residential development, fragmented parcels, limited water or surrounding non-agricultural uses.

Schedule A should therefore prioritize the least damaging locations rather than treating all ALR acreage as interchangeable.

The objective should be:

the greatest permanent housing benefit from the least strategically important agricultural footprint.


13. AGRICULTURAL ACREAGE VERSUS AGRICULTURAL ECONOMICS

Salt Spring’s agricultural challenge is not simply a shortage of designated agricultural land.

It is also agricultural viability.

The existence of ALR designation protects the possibility of future agricultural use.

It does not itself create:

farmers;

farm income;

affordable farmland;

irrigation;

processing facilities;

distribution;

equipment;

markets; or

economically viable farm businesses.

Salt Spring’s high underlying land values create a particular problem.

Agricultural land can remain legally protected for farming while becoming financially inaccessible to working farmers.

ALR properties may be purchased for rural residential use, privacy, retirement, estate purposes, lifestyle farming or long-term ownership.

Preserving the ALR designation does not necessarily result in commercial agricultural production.

Salt Spring can therefore simultaneously have:

more than 7,000 acres designated for agriculture

and

working farmers who cannot afford to acquire farmland.

This problem cannot be solved merely by maintaining every existing ALR boundary.


14. THE PARTICULAR ECONOMICS OF ISLAND AGRICULTURE

Salt Spring’s geography matters.

The Island has strong natural advantages in local food, farm-gate sales, farmers’ markets, specialty agriculture, market gardening, orchards, vineyards, livestock, value-added food products, restaurant-linked agriculture and regional niche products.

Those sectors should be actively protected.

Salt Spring is less naturally suited to becoming a large-scale commodity agricultural exporter.

Inputs and equipment must generally arrive by ferry, while products destined for large external markets must leave the Island.

The policy objective should therefore focus on the agricultural activities in which Salt Spring has practical long-term advantages and on food security for the Island and surrounding region.

Preserving food-producing capacity does not necessarily require preserving every one of approximately 7,272 currently designated acres.

A carefully selected reduction substantially below 5% need not create a shortage of agricultural land.


15. AGRICULTURAL REINVESTMENT

The workforce initiative should create a direct agricultural benefit.

A portion of the economic value created by Schedule A designation could support a:

Salt Spring Agricultural Land and Food Security Fund.

Potential uses could include farmland acquisition, long-term affordable farm leases, irrigation, water storage, soil improvement, drainage, fencing, farmworker housing, abattoir infrastructure, food processing, food storage, equipment cooperatives, young-farmer access programs and local food distribution.

This creates an important policy exchange:

A small amount of strategically located ALR land is used for compact, permanently affordable workforce housing, while part of the value created by that decision is reinvested into making the much larger remaining agricultural land base more productive and accessible to actual farmers.

Measured by food production rather than simply mapped acreage, agricultural capacity could potentially improve.


16. THE DEVELOPMENT-RIGHT SUBSIDY

The central financial innovation is straightforward.

Government does not necessarily need to purchase land at unrestricted residential prices and then subsidize workers sufficiently to compete for that housing.

Instead, government creates a valuable development entitlement while legally preventing that entitlement from becoming unrestricted market value.

The Province’s principal contribution can therefore be:

the development right itself.

Public action creates density.

Schedule B captures the resulting value differential.

The captured value produces affordability.


17. ILLUSTRATIVE 10-ACRE, 400-UNIT PRO FORMA

Consider a hypothetical 10-acre ALR parcel near Ganges that satisfies the Schedule A selection test.

Assume provincial designation permits:

400 workforce homes

at an average gross density of:

40 units per acre.

An illustrative mix could be:

Housing FormUnitsIllustrative Restricted Price
1-bedroom apartments140$375,000
2-bedroom apartments120$500,000
3-bedroom apartments/townhouses80$625,000
Trades/live-work homes60$750,000
Total400 

The weighted average restricted selling price is approximately:

$519,000 per dwelling.

These figures are illustrative only. Actual prices would require current Salt Spring income, mortgage-qualification, construction-cost and household analysis.


Existing ALR Value

Assume the 10-acre property is worth:

$3 million

under its existing lawful ALR use.

This is not an appraisal.

Actual Schedule A properties would require independent appraisal based on their lawful use before extraordinary workforce-housing designation.

The Province should not compensate owners according to hypothetical unrestricted value created by the Province’s own future legislative decision.


Construction and Development Cost

Assume average all-in development cost excluding land of:

$500,000 per dwelling.

For 400 homes:

$200 million.

This allowance conceptually includes construction, professional fees, site servicing, financing, contingency, landscaping, common facilities and project-management costs.

Actual implementation would require professional quantity surveying and development pro formas.


Unrestricted Rezoning Scenario

Assume the same 400 units could instead be sold unrestricted at an average:

$850,000 per dwelling.

Gross development value:

$340 million.

A simplified residual analysis might be:

ItemAmount
Gross unrestricted sales$340M
Development cost excluding land−$200M
Illustrative developer return/risk allowance−$51M
Theoretical residual$89M

This does not mean the parcel would literally sell for $89 million.

It demonstrates what unrestricted entitlement does economically.

A substantial portion of newly created residential value becomes available to be capitalized into land.


Workforce-Restricted Scenario

Under Schedule B, the same 400 units produce approximately:

140 × $375,000 = $52.5M

120 × $500,000 = $60.0M

80 × $625,000 = $50.0M

60 × $750,000 = $45.0M

Total:

$207.5 million.

The comparison becomes:

Unrestricted theoretical value: $340M

Workforce-restricted value: $207.5M

Difference:

$132.5 million

That difference has not been paid by government.

It represents value that the legal structure has prevented from becoming unrestricted real-estate value.


18. THE AFFORDABILITY DIVIDEND

On a per-unit basis:

Hypothetical unrestricted value:

$850,000

Illustrative restricted value:

approximately $519,000

Difference:

approximately $331,000 per home.

Across 400 homes:

approximately $132.5 million.

This can be described as the project’s:

AFFORDABILITY DIVIDEND

It represents the approximate price separation created between unrestricted and permanently workforce-restricted housing.

The figures are illustrative rather than an appraisal or accounting measure.

Nevertheless, the economic principle is powerful:

Government can create hundreds of thousands of dollars of effective affordability per dwelling through the legal structure of land entitlement without providing an equivalent cash grant.


19. THE 2,500-UNIT IMPLICATION

If similar economics could be achieved across the wider initiative:

Effective Price Differential per Home2,500 Homes
$150,000$375M
$200,000$500M
$250,000$625M
$300,000$750M
$350,000$875M
$400,000$1.0B

These amounts are not proposed government grants.

They demonstrate the potential magnitude of market value that can be prevented from entering the cost of workforce housing.

This is one of the strongest economic reasons that:

100% of extraordinary Schedule A density should remain permanently workforce restricted.

Every unrestricted unit represents leakage from the affordability mechanism.


20. LANDOWNER AND DEVELOPER ECONOMICS

Permanent workforce restrictions do not require confiscatory economics.

The objective should be a system in which:

the landowner receives materially greater value than existing-use value;

the developer earns a commercially reasonable risk-adjusted return;

the worker receives housing substantially below unrestricted market value;

and

the public retains permanent affordability.

Suppose constrained land worth $3 million under its existing use can support a workforce-housing acquisition price of $6 million.

The owner has doubled the property’s value.

The fact that unrestricted rezoning might theoretically have created far greater value does not mean government is required to grant unrestricted rezoning.

The Province creates the entitlement.

It can define the public-interest conditions attached to it.


21. THE SALT SPRING WORKFORCE HOUSING REVOLVING CAPITAL FUND

The Province should establish a:

Salt Spring Workforce Housing Revolving Capital Fund

The Fund would convert the initiative from a series of one-time housing grants into a permanent development financing system.

The cycle is:

Seed Capital → Land/Construction → Workforce Homes → Sales/Refinancing → Capital Returned → Next Project

The same public capital can therefore participate in multiple generations of housing development.


22. LEVERAGING THE SEED CAPITAL

The Fund does not need to provide the entire cost of every project.

Public seed capital can function as project equity and unlock construction debt.

Assume the 400-unit project costs:

$205 million

including $5 million for land.

A conceptual capital structure could be:

FinancingAmount
Revolving Fund equity$50M
Construction financing$155M
Total$205M

The Province’s $50 million therefore helps enable a $205-million development.

That represents more than:

$4 of housing development for each $1 of public seed capital.

As ownership units sell, construction financing is repaid and the remaining proceeds replenish the Fund.


23. PHASED CAPITAL RECYCLING

The 400 homes could be developed in four phases of approximately 100 units.

Assume each phase requires:

$51 million.

A conceptual financing structure might be:

Revolving Fund equity:

$15 million

Construction financing:

$36 million

Total:

$51 million.

Suppose completed restricted sales generate:

$52 million.

Construction lender repayment:

$36 million.

Capital returned to the Fund:

approximately $16 million.

The Fund began the phase with approximately $15 million and potentially ends with approximately $16 million.

Subject to actual costs and financing, the capital has:

helped build 100 homes and substantially returned itself.

It can then finance the next phase.


24. OWNERSHIP HOUSING IS PARTICULARLY SUITED TO CAPITAL RECYCLING

Once an ownership unit is sold to a qualified worker, the Authority does not need to retain the full capital invested in the dwelling.

The worker’s mortgage and equity replace the development capital.

The unit nevertheless remains permanently within the workforce sector because the covenant survives the sale.

When the owner later moves, the home is resold to another qualified worker at the prescribed maximum price.

The Authority administers the resale but does not necessarily have to repurchase the home.

This creates an unusually powerful combination:

private ownership capital

plus

permanent public affordability control.


25. RENTAL HOUSING AND CAPITAL RECYCLING

Rental housing requires a different structure because the Authority retains the asset.

Once a rental building is completed and stabilized, however, its rental income can support permanent mortgage financing.

The sequence becomes:

Construction Capital → Completed Rental Building → Stabilized Rental Income → Long-Term Mortgage → Construction Capital Partly Recycled

The public retains a permanent workforce rental asset while recovering part of the original development capital.

Rental rates could follow a Salt Spring adaptation of the WHA income-linked model, potentially using approximately 30% of gross household income subject to minimum and maximum rents.


26. MIXED OWNERSHIP/RENTAL PROJECTS

A particularly efficient project structure may combine ownership and rental.

For example:

75 ownership units

and

25 rental units

per 100-unit phase.

Suppose the ownership units sell for an average:

$525,000.

Sale proceeds:

$39.4 million.

Suppose the stabilized 25-unit rental component supports:

$7 million

of permanent mortgage financing.

Total recovered capital:

approximately $46.4 million.

Against a hypothetical $51-million project cost, approximately:

$4.6 million

of permanent equity remains invested.

In exchange, the community retains:

25 permanently affordable rental homes.

Meanwhile, the other 75 homes have entered private ownership while remaining permanently workforce restricted.

This represents highly efficient use of public capital.


27. THE WORKFORCE HOUSING CAPITAL MULTIPLIER

Suppose the Province initially capitalizes the Revolving Fund with:

$75 million.

If that capital functions as approximately 25–30% project equity, it could potentially support:

$250–300 million of active development.

As ownership units sell and rental buildings refinance, much of the original capital returns.

If the capital were recycled four times over fifteen or twenty years, the same original seed capital could participate in approximately:

$1 billion or more of cumulative housing development.

This is fundamentally different from a conventional grant program.

Under a grant model:

$75 million is spent once.

Under the revolving model:

$75 million becomes a continuing productive asset of the housing system.

The program should therefore be described as substantially self-replenishing, rather than guaranteed to be entirely self-funding.

Construction overruns, infrastructure, deeply affordable housing and financing costs will sometimes consume permanent capital.


28. THE THREE LAYERS OF PUBLIC SUPPORT

The financial architecture contains three distinct forms of public support.

Layer One — Development Rights

The Province authorizes density.

Potential cash cost:

minimal.

Potential economic value:

very substantial.

Layer Two — Revolving Capital

The Province supplies initial development equity.

Cash requirement:

substantial initially.

But much of the capital is recovered and reused.

Layer Three — Permanent Subsidy

Some lower-income households will be unable to support full construction cost even under the restricted system.

Direct grants should be concentrated on those households and projects.

This is much more efficient than subsidizing every unit equally.


29. WHAT THE PROVINCE IS NOT BEING ASKED TO DO

The Province is not necessarily being asked to write a cheque equal to the difference between a million-dollar market home and a $500,000 workforce home.

Instead, it is being asked to:

create the land entitlement;

prevent that entitlement from becoming speculative land value;

provide initial recyclable capital;

facilitate favourable financing;

coordinate infrastructure;

and

provide direct permanent subsidy where genuinely necessary.

This distinction could reduce the public cost of creating 2,500 permanently affordable homes by hundreds of millions of dollars.


30. FORMAL SCHEDULE A PARCEL-SELECTION TEST

Schedule A designation should not be arbitrary.

Every candidate parcel or development envelope should first satisfy mandatory requirements relating to:

proximity to Ganges or another approved service centre;

water feasibility;

wastewater feasibility;

road access;

meaningful housing capacity;

environmental and geotechnical suitability;

archaeological and First Nations considerations; and

compatibility with adjacent agriculture.

Qualifying parcels would then be scored:

CriterionPoints
Housing yield25
Infrastructure efficiency20
Agricultural impact20
Location/transportation15
Environmental impact10
Development readiness5
Agricultural enhancement opportunity5
Total100

An illustrative minimum qualifying score could be:

70/100.


31. DEVELOPMENT ENVELOPES RATHER THAN WHOLE-PARCEL EXCLUSION

Where appropriate, only part of a parcel should receive development entitlement.

A hypothetical:

50-acre ALR parcel

might contain an:

8-acre Workforce Housing Development Envelope

with:

42 acres retained for agriculture.

The eight-acre envelope might accommodate several hundred workforce homes.

The retained land could receive permanent agricultural protection, improved access, irrigation, drainage, soil improvements or long-term agricultural leases.


32. SCHEDULE B — PERMANENT WORKFORCE HOUSING REGIME

Schedule B should establish:

Qualified Salt Spring Worker eligibility;

principal-residence requirements;

ownership restrictions;

controlled initial pricing;

maximum resale formulas;

recognition of approved capital improvements;

Authority right of first refusal;

Authority option to purchase where necessary;

rental restrictions;

prohibition of short-term accommodation;

annual occupancy declarations;

employment/self-employment verification;

retirement protection;

temporary-loss-of-employment provisions;

inheritance rules;

enforcement powers; and

permanent title registration.

A Salt Spring worker should not lose eligibility merely because they eventually retire.

A person who has worked and resided on Salt Spring for a prescribed long-term period should retain eligibility.

Likewise, temporary unemployment, illness, parental leave, education or business interruption should not result in immediate displacement.


33. PROPOSED GOVERNANCE

A Salt Spring Workforce Housing Authority should be established or designated.

A possible board could include:

two provincial representatives;

one CRD representative;

one Islands Trust representative;

appropriate First Nations representation;

one workforce/employer representative;

one affordable-housing or finance professional;

one agricultural representative; and

two Salt Spring community members.

The precise structure should be developed collaboratively, particularly with respect to First Nations participation.

The Authority would administer:

eligibility;

waitlists;

rents;

initial prices;

resales;

covenants;

occupancy;

land acquisition;

development;

developer partnerships;

the Revolving Capital Fund;

the Agricultural Land and Food Security Fund;

and annual public reporting.


34. RESPONSE TO AGRICULTURAL LAND COMMISSION CONCERNS

The concern that residential development of ALR land creates precedent is legitimate.

This initiative should therefore be explicitly distinguished from conventional residential exclusion.

It would:

apply only to specifically designated lands;

establish a maximum ALR impact;

seek to remain materially below that maximum;

prioritize lower-impact locations;

require high housing yield;

require 100% permanent workforce restriction;

require agricultural mitigation;

and provide no entitlement for ordinary market housing.

The precedent would not be:

ALR land may generally be developed for housing.

It would be:

A very small amount of strategically selected land may be authorized for extraordinary, permanently affordable public-purpose housing where exceptional housing yield and agricultural protection are demonstrated.


35. RESPONSE TO ISLANDS TRUST CONCERNS

The Islands Trust preserve-and-protect mandate should not be interpreted as requiring preservation of every existing settlement pattern regardless of changing community needs.

Housing, livelihoods and infrastructure are relevant to functioning island communities.

The relevant question is therefore:

Which settlement pattern best protects Salt Spring as a whole?

Accommodating 2,500 homes through dispersed low-density development could consume hundreds or more than a thousand acres.

Concentrating a substantial portion of those homes around Ganges could protect forests, rural landscapes, agricultural areas, groundwater and habitat elsewhere.

The concept is:

concentrated development for distributed preservation.


36. RESPONSE TO INFRASTRUCTURE CONCERNS

Salt Spring’s water, wastewater and transportation constraints are real.

They are also arguments for concentration.

Dispersed development requires more wells, septic systems, roads, automobile travel and infrastructure per household.

Compact development makes engineered community infrastructure more feasible.

Schedule A designation should therefore be conditional upon infrastructure feasibility.

Housing and infrastructure should be planned as one provincial initiative.


37. RESPONSE TO FIRST NATIONS CONCERNS

First Nations engagement must begin before Schedule A is finalized.

The initiative should provide opportunities for participation in:

land selection;

archaeological and cultural protection;

housing;

development partnerships;

economic participation;

infrastructure;

and governance.

Nothing in the initiative should diminish the Crown’s constitutional obligations.


38. “WHY SHOULD WORKERS GET SPECIAL HOUSING?”

Workers would not be receiving existing market homes at someone else’s expense.

The Province would be creating new residential capacity specifically for a defined public purpose.

Salt Spring requires nurses, teachers, care aides, restaurant workers, retail employees, bank employees, tradespeople, contractors, mechanics, landscapers, emergency personnel, public employees and many other workers.

If they cannot obtain housing, the consequences are experienced by the entire community.

Workforce housing is therefore properly understood as:

economic and community infrastructure.


39. “WHY NOT JUST GIVE WORKERS SUBSIDIES?”

Giving purchasers additional money to compete in an unrestricted market does not address the underlying land-value problem.

Part of the subsidy may simply become capitalized into housing prices.

The proposed system changes the asset itself.

The home cannot escape into the unrestricted market.

The public benefit therefore survives resale.

The proper question is not merely:

How can government help today’s worker buy a home?

It is:

How can the same home remain affordable to a Salt Spring worker fifty years from now?

Permanent restriction answers the second question.


40. PROVINCIAL LEGAL AUTHORITY

The Agricultural Land Commission Act has strong statutory paramountcy.

An ordinary ministry program therefore cannot simply disregard it.

The Legislature, however, can enact an express statutory exception.

British Columbia has used explicit “despite” drafting in land-specific legislation.

The Environment and Land Use Act also provides broad provincial land-use order-making authority and is expressly excepted from ALCA paramountcy.

For an initiative intended to last decades, the clearest approach may be a dedicated:

Salt Spring Island Workforce Housing Act

The Act could:

establish the public purpose;

define designated lands;

override inconsistent ALCA provisions where expressly necessary;

override inconsistent local land-use restrictions where expressly necessary;

establish Schedule B restrictions;

authorize regulations;

establish the Workforce Housing Authority;

establish the Revolving Capital Fund;

and establish agricultural and infrastructure requirements.


41. IMPLEMENTATION TARGET

An illustrative twenty-year delivery schedule could be:

PeriodHomes
Years 1–5600
Years 6–10700
Years 11–15650
Years 16–20550
Total2,500

The program should be reviewed periodically against actual workforce and demographic conditions.


42. PERFORMANCE MEASURES

Annual reporting should include:

workforce units completed;

rental versus ownership units;

housing form;

average rents;

average ownership prices;

housing-cost-to-income ratios;

workers housed;

occupations represented;

employer recruitment and retention;

household sizes;

waitlists;

vacancies;

ALR acres affected;

actively farmed acres affected;

ALR acres protected or improved;

agricultural fund contributions;

water and wastewater performance;

transportation patterns;

capital returned to the Revolving Fund;

capital recycled into subsequent projects;

and covenant compliance.

Two particularly important measures should be:

Permanent Workforce Homes Created per Acre of ALR Affected

and

Permanent Workforce Homes Created per Dollar of Permanent Public Subsidy


43. RECOMMENDED PROVINCIAL ACTIONS

The Province should:

  1. Adopt the approximately 2,550-unit twenty-year housing requirement as the initial planning baseline.
  2. Establish the Salt Spring Workforce Housing Initiative.
  3. Establish the principle that 100% of extraordinary residential capacity created by the initiative will remain permanently workforce restricted.
  4. Establish the 95/5 Agricultural Principle, with 5% functioning as a maximum ceiling rather than a target.
  5. Undertake detailed Schedule A land mapping.
  6. Apply the formal parcel-selection test.
  7. Complete agricultural capability and active-farming analysis.
  8. Complete water and wastewater capacity analysis.
  9. Complete environmental and transportation analysis.
  10. Begin First Nations engagement before final parcel designation.
  11. Establish the Salt Spring Workforce Housing Authority.
  12. Capitalize a Salt Spring Workforce Housing Revolving Capital Fund.
  13. Adapt Whistler’s housing-agreement, resale, right-of-first-refusal, occupancy and compliance architecture.
  14. Establish the Salt Spring Agricultural Land and Food Security Fund.
  15. Develop a Ganges Workforce Housing Infrastructure Plan.
  16. Prepare enabling provincial legislation.
  17. Identify an initial demonstration area capable of producing several hundred homes.
  18. Establish transparent development economics and reasonable developer-return standards.
  19. Develop a professional financial model determining appropriate initial seed capital and leverage.
  20. Review the initiative every five years while preserving permanent covenants already registered.

CONCLUSION

Salt Spring Island does not simply have a shortage of houses.

It has a shortage of housing whose economics correspond to the incomes of the people required to make the community function.

The distinction is fundamental.

The unrestricted housing market performs an important role and should continue to exist.

But it cannot reasonably be expected, by itself, to provide secure housing for Salt Spring’s workforce when local workers must compete against purchasing power generated outside the local labour economy.

The solution is not to replace the market.

It is to create a second one.

British Columbia possesses the principal tools necessary to accomplish this.

The Province can create development rights.

It can condition those rights.

It can legislate in relation to specifically designated lands.

It can facilitate infrastructure.

It can establish permanent affordability mechanisms.

And it can provide recyclable rather than exclusively consumptive public capital.

The agricultural trade-off can also be kept extraordinarily small.

Salt Spring has approximately 7,272 acres within the ALR.

The initiative should affect no more than 5% and should actively seek to use substantially less.

At compact village densities, the net footprint required for 2,500 homes could potentially amount to roughly 50–100 acres.

The Province could therefore preserve well over 95% of Salt Spring’s existing ALR, protect its most productive agricultural lands, reinvest a portion of development value into farming, and still create a workforce housing inventory of transformative scale.

The financial model further changes the nature of the proposal.

The Province does not necessarily need to permanently subsidize the difference between unrestricted market housing and workforce housing.

Instead:

the Province creates the development entitlement;

the covenant converts that entitlement into affordability;

seed capital builds the housing;

worker mortgages replace development capital as ownership units sell;

rental refinancing recovers part of the capital invested in rental buildings;

and

the recovered public capital finances the next project.

The result is potentially a virtuous cycle:

LAND → DENSITY → HOUSING → SALES/REFINANCING → CAPITAL RECOVERY → MORE HOUSING

The original provincial seed capital can therefore continue working for decades.

At the end of the initial 2,500-unit program, the community could possess not only 2,500 permanently restricted homes, but also a mature housing authority, rental assets, land, financial reserves and a revolving capital fund capable of addressing future housing requirements.

That is fundamentally different from a temporary affordable-housing program.

It creates an institution and a housing market intended to survive permanently.

The proposed bargain is straightforward:

Where the Province creates extraordinary residential development value, that value should create extraordinary and permanent public benefit.

Strategically selected land surrounding Ganges would receive substantial residential capacity.

Density would minimize land consumption.

Infrastructure would be concentrated.

Agricultural impacts would be minimized and mitigated.

Private and nonprofit development capacity would be mobilized.

Workers could rent or own.

Owners could accumulate reasonable equity.

Developers could earn reasonable returns.

Landowners could receive increased value.

But the publicly created development entitlement would never become unrestricted speculative residential value.

Every home created through the extraordinary entitlement would remain part of Salt Spring’s workforce housing inventory.

The objective is therefore not simply to build 2,500 homes.

It is to create a permanent housing system capable of ensuring that the people who build, repair, teach, nurse, serve, cook, landscape, administer, protect and operate Salt Spring Island can continue to live there.

That is not merely a housing policy.

It is an economic sustainability strategy.

It is an agricultural land-conservation strategy.

It is an infrastructure strategy.

It is an environmental strategy.

It is a public-finance strategy.

And ultimately, it is a community-preservation strategy.

The long-term preservation of Salt Spring requires preservation not only of its land, but of the people required to make the community function.


APPENDIX A

ILLUSTRATIVE SALT SPRING ISLAND WORKFORCE HOUSING ACT

Note: The following is conceptual drafting intended to demonstrate how the policy could be translated into legislation. Final legislation would require preparation by British Columbia legislative counsel.

1. Purpose

The purposes of this Act are:

  • to facilitate the development and permanent preservation of affordable workforce housing on Salt Spring Island;
  • to ensure residential development capacity created under this Act benefits persons who work in and contribute to the Salt Spring Island community;
  • to concentrate residential development in locations capable of supporting efficient infrastructure and community services;
  • to minimize the amount of agricultural and rural land required to accommodate long-term housing need;
  • to protect agricultural capability and support economically viable agriculture;
  • to establish a permanent workforce housing inventory separate from the unrestricted residential market; and
  • to establish a revolving capital mechanism capable of financing successive workforce-housing developments.

2. Definitions

In this Act:

“Authority” means the Salt Spring Workforce Housing Authority;

“Designated Land” means land described in Schedule A;

“Qualified Salt Spring Worker” means a person meeting eligibility requirements prescribed in Schedule B or regulation;

“Workforce Housing” means a dwelling subject to occupancy, sale, rental, resale and other restrictions established under Schedule B;

“Workforce Housing Development Envelope” means the portion of a parcel identified in Schedule A upon which development is authorized;

“Fund” means the Salt Spring Workforce Housing Revolving Capital Fund.

3. Designated Land

The lands described in Schedule A are designated for the purposes of this Act.

A designation may apply to all or only a specified portion of a parcel.

The Lieutenant Governor in Council may amend Schedule A where satisfied that prescribed parcel-selection criteria have been met.

4. Agricultural Land Reserve

Despite section 2 of the Agricultural Land Commission Act and despite any provision of that Act or a regulation under that Act, a Workforce Housing Development Envelope identified in Schedule A may be used and subdivided for Workforce Housing and related authorized uses.

Permission of the Agricultural Land Commission is not required for a use or subdivision expressly authorized under this section.

Nothing in this section authorizes development outside the identified Workforce Housing Development Envelope.

5. Maximum Agricultural Land Impact

The total ALR area designated for development under this Act must not exceed 5% of Salt Spring Island’s ALR land base as measured on a prescribed reference date.

The 5% limit is a maximum and must not be interpreted as a target.

The Minister must seek to achieve the purposes of this Act using materially less land wherever reasonably practicable.

6. Local Land-Use Regulations

Despite the Islands Trust Act, Local Government Act, an official community plan, land-use bylaw or other local land-use regulation, Designated Land may be developed to the use and density authorized by this Act and regulation.

This does not exempt development from building-safety, fire-safety, environmental, archaeological or servicing requirements except where expressly provided.

7. Permanent Workforce Restriction

Every dwelling created through residential capacity authorized by this Act must be Workforce Housing.

Before sale or occupancy, required housing agreements, covenants, rights of first refusal, options to purchase and related instruments must be registered.

No dwelling authorized by this Act may be converted to unrestricted market housing except by express amendment to this Act.

8. Occupancy

Workforce Housing may only be occupied as a principal residence by a Qualified Salt Spring Worker, members of that worker’s household, a qualifying retired worker, or another prescribed class.

9. Sale and Resale

A Workforce Housing ownership unit may not be transferred except in accordance with Schedule B.

Maximum permitted resale price must be determined under the prescribed formula.

The formula may provide for inflation adjustment, approved capital improvements, transaction costs and other prescribed adjustments.

10. Rental

A Workforce Housing rental unit may only be rented to an eligible household.

Rent must not exceed the maximum established under Schedule B or regulation.

Short-term vacation accommodation is prohibited.

11. Salt Spring Workforce Housing Authority

The Lieutenant Governor in Council may establish or designate the Salt Spring Workforce Housing Authority.

The Authority may determine eligibility, maintain waitlists, acquire land, develop housing, enter development agreements, administer rentals, administer ownership resales, hold rights of first refusal and purchase options, verify compliance, enforce housing agreements and administer funds established under this Act.

12. Revolving Capital Fund

  • The Salt Spring Workforce Housing Revolving Capital Fund is established.
  • Money in the Fund may be used for:
  • land acquisition;
  • predevelopment costs;
  • construction;
  • project equity;
  • infrastructure;
  • development financing;
  • acquisition of workforce housing;

and

  • other prescribed workforce-housing purposes.
  • Proceeds from sales, refinancing, loan repayments and other recoveries attributable to investments of the Fund must be returned to the Fund except where otherwise prescribed.
  • The Authority must seek to preserve and recycle the capital of the Fund while fulfilling the affordability purposes of this Act.

13. Annual Declaration

An owner or tenant must, when required, provide an occupancy and eligibility declaration and reasonable supporting documentation.

14. Retirement

Regulations must provide reasonable continued eligibility for persons retiring after a prescribed period of qualifying Salt Spring employment or self-employment.

15. Temporary Loss of Eligibility

Regulations must provide reasonable transition provisions for temporary unemployment, illness, parental leave, education, business interruption and other prescribed circumstances.

16. Agricultural Protection and Enhancement

Development agreements may require preservation of agricultural land, agricultural covenants, buffers, fencing, drainage, soil relocation or improvement, agricultural access, agricultural leases and financial contributions to agricultural enhancement.

17. Agricultural Land and Food Security Fund

The Salt Spring Agricultural Land and Food Security Fund is established.

The Fund may support farmland acquisition, affordable agricultural leases, irrigation, water storage, soil improvement, agricultural infrastructure, processing, distribution and other food-security purposes.

18. Infrastructure

The Province may enter agreements respecting water, wastewater, transportation and other infrastructure required to support development under this Act.

19. First Nations

Nothing in this Act abrogates or derogates from Aboriginal and treaty rights recognized and affirmed by section 35 of the Constitution Act, 1982.

20. Reporting

The Authority must publish an annual report respecting housing production, affordability, occupancy, agricultural impacts, infrastructure, Fund performance, capital recycling and compliance.

21. Regulations

The Lieutenant Governor in Council may make regulations respecting Schedule A criteria, workforce eligibility, prices, rents, resale formulas, capital improvements, occupancy, retirement eligibility, temporary loss of eligibility, density, agricultural mitigation, development contributions, financing, Fund administration, Authority governance and any other matter necessary to carry out this Act.


SCHEDULE A

DESIGNATED WORKFORCE HOUSING LANDS

Each approved parcel or development envelope would be identified by:

legal description;

PID;

map;

maximum development envelope;

minimum and/or maximum density;

servicing requirements;

agricultural protection area;

and

site-specific environmental conditions.

No private parcel should be added until completion of the prescribed selection process.


SCHEDULE B

PERMANENT WORKFORCE HOUSING CONDITIONS

Every dwelling authorized under this Act must be subject to:

  1. Qualified Salt Spring Worker eligibility;
  2. principal-residence occupancy;
  3. permanent title covenant;
  4. controlled initial pricing where applicable;
  5. maximum resale-price formula;
  6. Authority right of first refusal;
  7. Authority option to purchase where prescribed;
  8. rental restrictions;
  9. prohibition on short-term vacation accommodation;
  10. annual occupancy declaration;
  11. employment or self-employment verification;
  12. reasonable household occupancy standards;
  13. retirement protection for long-term qualifying workers;
  14. transition provisions following temporary loss of eligibility;
  15. inheritance rules preserving workforce restrictions;
  16. approved capital-improvement rules;
  17. compliance and enforcement provisions;

and

  1. perpetual continuation of workforce restrictions through successive ownership.

The conditions in this Schedule run with the land and are intended to preserve every dwelling created under this Act as Workforce Housing in perpetuity.

About the author of this paper:

Eric Booth was born and raised on Salt Spring Island, has been involved in land use on the island for 40 years in the field of development, real estate sales, consulting, and, as an Islands Trust Trustee (2002-2005) charged with making land use decisions. He has been an outspoken advocate of affordable workforce housing since being elected to office in 2002.  He passed rezoning of property for affordable housing in the Ganges area (Murakami Gardens and Norton Road) and appointed a committee to study the housing crisis, including consulting with Whistler Housing Authority representatives on solutions.

A TAD Too Little, Too Late…

With reference to Trustee Patrick’s recent announcement that she will not be seeking re-election.

8 years…and not one rezoning for affordable workforce housing on Salt Spring and no rezoning for accessory dwelling units.

In my three years of being a Trustee (2002-2005) I rezoned the Murakami Gardens affordable housing project and gave the Norton Road affordable housing project rezoning three readings. I created an affordable housing task force which wrote a 75 page recommendation report which was used as the basis for the 2008 OCP Review. Unfortunately Peter 1 and George 1 didn’t take advantage of that report to amend the OCP and make the necessary changes to the land use bylaw. That is now nearly 20 years ago.

Don’t get me wrong. Laura is a very nice person, but, IMO, has not provided the much needed “leadership” during the now over 30 year housing crisis.

The term leadership means getting elected and doing what needs to be done, regardless of how the non-elected masses (your constituents) feel about it. The time for their opinions is at the ballot box, and not a second after their vote has been cast.

When I entered office, I was of the opinion having referendums on major issues would be a great way to get public approval. By the time I was half way through my term I thought it was one of the dumbest ideas I’d ever had. There should be a “b” added to the end of referendum because, and unfortunately, it is virtually impossible to educate the electorate sufficiently to grasp all of the nuances of a major question/issue.

I even tried a well balanced “community assembly” to delve into the Vacation Rental issue. The outcome of that 2 year process resulted in a public meeting where 95% of the 200 electors in the audience were in support of a regulated STVR industry. Shortly thereafter two new trustees were elected and immediately killed the new policy direction which was already in process, and supported by Islands Trust staff.

That is where leadership comes in…You run on a platform of promises, and you fulfill those promises to the best of your ability come what may, and who may be opposed to those promises.

At the last election, Laura ran on the promise of passing Bylaw 530, the accessory dwelling unit bylaw, which had been given 1st reading in early 2022, during her first term.

That promise was broken when she bent to the will of the Tsawout First Nation the following year. I subsequently wrote the article below which was published in the Driftwood, calling for her resignation.

And here we are another 2 1/2 years later and she hasn’t even passed her self-proclaimed, “itty bitty” Bylaw 537.

On the face of it, one could think she had been elected to represent the Tsawout’s interests, not the electors of the Salt Spring Island Trust Area.

Now, adding a small “insult to injury,” the Tsawout have just announced they are creating a a 60 unit temporary accessory dwelling (TAD) development in Fulford…better known as a campground…for paying tourists.

I have no beef with the Tsawout, other than their apparent hypocricy when it comes to being anti-Bylaw 530, while going ahead (without any consultation…lol) with their development plans. I could care less that they have successfully developed a White Spot and a McDonalds on their reserve in Saanich, or their several dozen colourful, highway billboards, or their very nice waterfront RV park, or their large mobile home park, or their plans for residential development of 100 acres of ALR land they have recently acquired, or their OCP plans for the commercial, industrial and residential development along Pat Bay Highway.

If they were not a First Nation, they would simply be viewed as just another successful development company.

And, just to clarify, they do do nice development work. I’ve already publicly stated I think the site chosen for their Salt Spring Island TAD development looks “awesome.”

I just wish our “leaders” had a TAD more vision and fortitude to provide for OUR community, the way the Tsawout’s Chief and council provide for their nation.

Mumbo, Jumbo, Circle Cult…

This week’s Driftwood contained the article below, by Trustee Laura Patrick…Take a minute or two and try to read it, understand it, and then tell me why its an idea worth spending another minute on. My best guess is you will not finish reading it, and/or pick up what she is putting down.

This is textbook bureaucratic theater — expensive, performative, and guaranteed to deliver zero meaningful results.

The article reads like a press release from a committee that exists solely to justify its own existence. Local governments already face real, grinding trade-offs: fix the roads or fund the library? Finish the Ganges boardwalk or keep the ferry running on time? Bylaw enforcement on a few vacation rentals or spend time on affordable housing?

Instead of just making those calls with the money and authority they already have, we’re told the solution is more roundtables, more UN Sustainable Development Goals, more biosphere designations, and more “futuring” sessions.

This is not collaboration. It’s the classic bureaucratic dodge: when you can’t deliver results, you create a new process, invite more stakeholders, print new acronyms, and declare victory before anything concrete happens.Let’s be blunt about what actually occurs in these setups:

  • Endless meetings where everyone agrees the issues are “interconnected” (profound insight).
  • Consultants and facilitators get paid.
  • Nice reports with SDG icons get produced.
  • First Nations, academics, industry reps, and NGOs all get their photo op and a line in the minutes.
  • Then everyone goes home, files the document, and the original local problem remains unsolved.

Nothing of any real import ever emerges from these exercises.

History is littered with them: Agenda 21, the Millennium Development Goals, the SDGs themselves — all sold as urgent global frameworks, all delivering the same outcome: more bureaucracy, more virtue-signaling language, and zero scalable, measurable improvement that couldn’t have been achieved by competent local officials simply doing their jobs.

The Islands Trust already has a clear, legislated mandate to protect the Trust Area. It doesn’t need a UNESCO badge or a Mount Arrowsmith Biosphere Region roundtable to “think more broadly.” It needs to prioritize, say no to low-value initiatives, and execute.

Adding layers of “partnerships” and “shared visions” doesn’t amplify impact — it diffuses responsibility so thoroughly that no one is accountable when, inevitably, nothing changes.

Calling this “essential” is the polite way of saying it’s mumbo-jumbo bureaucratic waste of time and energy. The challenges are not “too interconnected” for any one body to solve. They’re usually too straightforward for any one body to solve if that body is distracted by global goal frameworks and futuring workshops instead of rezoning land for accessory dwelling units or recycling the sewer water we send out into Ganges Harbour.

Partnerships can be useful. But when they become an end in themselves — complete with UN branding, “Goal 17” slogans, and feel-good abstractions about planting seeds for a shared future — they become the problem.

This article is a perfect specimen of the species: lots of warm words about complexity and collective well-being, zero admission that most of this activity is performative theater that produces exactly what it always has: more meetings and more studies and more time and energy down the drain.

There’s a oft used term for all that…which involves a “circle.”

,

Rainwater Math

Just some interesting math about rainwater catchment. Say there are 5,000 homes on Salt Spring with an average 1,000 sf catchment area.

At 3 feet average rainfall annually, if every drop was collected, 15,000,000 cubic feet or 112,000,000 US gallons a year would be caught. Divided by 365 days, then 24 hours, then 60 minutes = 213 US gallons (the standard for measuring well output) per minute.

In other words, 13 – 17 gpm wells would produce the same amount. 213 divided by 5,000 homes = 0.0426 gpm.

Which means a groundwater well that produces just one gallon per minute produces the equivalent of 20, 1,000 sf homes collecting a year’s worth of rainwater.

This illustrates that if (a) we believe we can operate a 1,000 sf home on rainwater catchment, then, (b) we should also believe we can operate 20 homes on 1 gpm, since the math is the same, or (c) 100 homes on 5 gpm, or (d) 1,000 homes on 50 gpm.

All of which raises the question why NSSWD has never followed up on the recommendations of Bob Potter, P.Eng report (see – https://islandstrust.wordpress.com/…/potter-report-1.pdf ) .

I wrote the following 10 years ago – “In July 2001, a report was prepared by professional engineer, Robert Potter, which theorized on the groundwater supply in the Maxwell Lake area and gave recommendations as to how to go about testing the theoretical supply of what would be some of the very best water on the island. The estimated cost for the recommended study? About $100,000 in today’s dollars.

Mr. Potter’s estimate was that 200,000 cubic metres of good quality groundwater could be accessed in the rather small 8 sq km Maxwell area alone. 200,000 cm = 4,000,000 gallons…

What has the NSSWD done to follow up on the study’s recommendations? NADA, nothing, zilch…

The Potter Report found the average groundwater yield, per 1,000 feet of drilled wells, in four areas on Salt Spring (Lees Hill, Stewart Road, Reginald Hill and Mt.Belcher Heights) was over 17 gallons per minute. 17 x 60 x 24 = 25,000+ gallons per day, divided by 50 gallons per day per person = enough water for 500 people for every 1,000 feet of well drilled.”

13 wells, at 17 gallons per minute, would produce more water than 5,000 homes collecting every single drop of rainwater.

So, the next time someone who believes in rainwater catchment, says the carrying capacity of Salt Spring’s water supply is severely limited, it is likely ONLY limited because of inaction on the part of NSSWD or others who haven’t done the math of rainwater compared to groundwater.

Time for a Policy to Protect Us

The ongoing public discussion, on the Islands Trust policy changes, highlights the fact that most people don’t understand, or misunderstand, the basic structure of the Islands Trust.

The Islands Trust Act states:

Section 6   (1) For each local trust area, 2 trustees are to be elected to represent the electors of the area.

Clearly the trustees are elected to represent US, and they are not elected to represent the Islands Trust since that would be a conflict of interest of two masters.

However, the trustees ARE elected to represent the people’s interests in the Trust through Trust Council.

The people (the residents of the Trust Area and of BC generally) are the beneficiaries of the Islands Trust Act as stated in the “Object of the Trust”:

3  The object of the trust is….for the benefit of the residents of the trust area and of British Columbia generally…

The interests of the residents of BC “generally” are represented by the Minister of Municipal Affairs. The Minister has veto power over proposed bylaws passed by Trust Council.

The Province has recently made it clear, by amending Section 463 of the Local Government Act, that “the statements and map designations included in an official community plan of the council of a municipality must provide for at least the 20-year total number of housing units required to meet anticipated housing needs…”

That section applies to Local Trust Committees and Local Trust Areas.

Therefore, the beneficiaries of that Section are the residents of the Islands Trust Areas.

As to what kind of housing should be provided for is left to the communities and their representatives.

I have said for over 20 years that non-market housing, ala Whistler Housing Authority’s model, in sufficient numbers to provide for the entire current and future workforce of Salt Spring, is Sine qua non….absolutely essential…for the survival of our community.

I have previously spoken to the magnitude of the challenge, but suffice it to say here, the numbers are the numbers, like them or not. (see – https://islandstrust.wordpress.com/2024/10/18/salt-springs-affordability-challenge/ )

This crisis has been left unchecked and unattended until now. Hopefully, the proposed policy changes will mark the beginning of a new day, and new hope for the young families who will be replacing the baby boomers and taking over their positions in our community.

All in the Family: A Modern Political Argument

(Scene: The Bunker living room in Queens. Archie is in his armchair, beer in hand, watching TV. Meathead (Mike Stivic) bursts in from the kitchen, waving his phone, clearly fired up about politics. Edith is knitting in the background, Gloria is on the couch.)

Meathead: Archie, listen to this! Donald Trump is a con man and a criminal!

Archie: Aw, geez, here we go again. You and your Hollywood pals. Con man? The only con I see is you liberals conning the American people with all your fancy talk. Trump’s out there makin’ deals, buildin’ things – what’s your boy Rob Reiner built lately besides a big mouth?

Meathead: He’s a criminal, Archie! He’s a criminal!

Archie: Criminal? The guy’s president twice over! If he’s a criminal, how come he’s walkin’ free and your Democrat crooks are the ones gettin’ caught left and right? Stifle yourself, Meathead!

Meathead: Donald Trump is a very skillful con man, because he is pushing a narrative about immigrants, about Muslims, about the nature of the country, and too many people want to believe it.

Archie: Immigrants? Muslims? Aw, come on! The man’s just sayin’ what everybody’s thinkin’ but too scared to say ’cause of you pinkos and your political correctness! He’s protectin’ the country from all them people pourin’ in, takin’ jobs from real Americans. You want open borders? Fine – move to Mexico and see how you like it!

Meathead: This is the classic fascist, autocratic way of doing it, to say, ‘The reason your life is no good right now is because of all of those people over there… He stoked that fear and played to that racism.’

Archie: Fascist? Racism? There you go again with them big words from your college books! Trump’s no fascist – he’s a patriot! And racism? The only racists I see are you liberals dividin’ everybody into groups and pittin’ ’em against each other. If you keep gettin’ your way, Meathead, we’re all gonna hear one big loud flush – the sound of America goin’ straight down the toilet!

Meathead: You have one candidate, Trump, who actually tells you he’s going to govern like an authoritarian. He says it. It’s not a mystery.

Archie: Authoritarian? Better than them weak-kneed liberals lettin’ criminals run wild in the streets! Trump’s strong – that’s what we need! Not some mealy-mouthed politician kissin’ up to every special interest group.

Meathead: Do we want fascism or do we want to continue the 248 years of self-rule?

Archie: Fascism? Geez, you sound like one of them commies! We want America first, that’s what we want! Self-rule means votin’ for the guy who puts Americans first, not shippin’ jobs overseas or lettin’ in every Tom, Dick, and illegal Harry.

Meathead: Make no mistake; we have a year before this country becomes a full-on autocracy, and democracy completely leaves us.

Archie: Autocracy? Democracy leavin’? The only thing leavin’ is common sense when you open your yap! Trump’s savin’ democracy from you fruits and nuts tryin’ to turn it into some socialist paradise.

Meathead: The foundation for it all was Christian nationalism, because finally they had found somebody like Donald Trump who they could funnel their ideas through.

Archie: Christian nationalism? Aw, stifle it! America’s a Christian country – always has been! And Trump’s standin’ up for that against all you atheists and God-haters. Good for him!

Edith: (piping up) Oh, Archie – can’t we all just get along?

Archie: Get along? With this Meathead? Not till he admits Trump’s makin’ America great again!

(Fade out on Archie grumbling and Meathead shaking his head.)

Note – All of Meathead’s comments are actual comments from Rob Reiner, RIP.

Perhaps Truth and Reconciliation Should Start at Home

A doctor friend of mine recently shared experiences they’ve had with Pacific Northwest First Nations while doing locums in their villages.

A number of their patients are suffering from severe depression. Through counselling the basis of the depression became stunningly clear. They are descendants of slaves in their tribe, and, are still being shunned and shamed in an ongoing caste system within the First Nations.

I had known slavery was a longstanding institution among many Pacific Northwest Coast First Nations, including the Haida, Tlingit, Nuu-chah-nulth, Kwakwaka’wakw, and Coast Salish groups. It predated European contact by centuries (emerging around 500 BCE–500 CE) and involved the capture of individuals—often women and children—during intertribal raids for warfare, revenge, trade, or prestige. The women were raped, the children raised as slaves, and the husbands most often killed during the raids.

Slaves were hereditary, comprising up to 25% of some populations, and were used for labor, as status symbols, or in rituals (e.g., killed during potlatches or house-raisings). Practices included torture, mutilation, and ritual killings, though some captives were ransomed, adopted, or integrated over time. European abolition efforts (e.g., Britain’s 1833 Slavery Abolition Act) and U.S. treaties (e.g., 1855 Makah Treaty mandating slave freedom) gradually ended formal slavery by the late 1800s, but social stigma and segregation persists in some communities.

Descendants of these slaves, often from raided tribes like the Coast Salish, were sometimes integrated but faced ongoing marginalization within their adoptive tribes. This “internal” dynamic—where descendants lived among their former enslavers—creates a complex legacy, distinct from the Canada-wide Truth and Reconciliation Commission (TRC) focused on residential schools and colonial harms.

Indeed, it is clear that many of the same FN’s who demand “settlers” and “colonists” be damned for injustices incurred in residential schools, are, in fact, blithely ignoring their own, rather damnable, past.

In fact, while murdering, raping, kidnapping, enslaving, and torturing are arguably damnable sins, being called the “S” word today evidently leads to severe, clinical depression and ostracization within the FN’s.

But here we are in the 21st Century effectively being told to focus and concentrate on the sins of the white man, who, quite ironically, put an end to the slavery, murder, kidnapping, raping, and torture inherent in the tribal raids…raids which had likely persisted since time immemorial.

Where are the thousands of unmarked slave “graves?” Likely the bones were scattered across coastal middens, the historical land fills of FN’s.

Enslaved children were frequently removed from their birth nations, forbidden to speak their language, and raised in the captor’s culture. Entire lineages lost songs, stories, clan histories, and spiritual practices.

All of this makes me wonder if and when their own “Truth and Reconciliation” penny will drop…if ever.

Perhaps home would be a good place to start…


Home-Icide – The Cost of Failing To Act

Just before I left office as Islands Trustee, I voted to rezone the Norton Road property for 26 units of affordable housing. Although my fellow Trustee voted against it (primarily due to pressure from the local BANANA (Build Absolutely Nothing Anywhere Near Anyone) crowd, thankfully, the Chair, from Thetis Island, sided with me.

At the time, construction costs were about $100 per square foot. A 1200 sf home would cost about $120,000.

Norm Elliot, the owner of the property, was a wealthy businessman with a heart of gold. His intention in rezoning the property wasn’t to make money, but, to improve the community he lived in and loved.

For me, this was a slam dunk decision. I had already rezoned the Murakami fish plant, which paved the way for Murakami Gardens apartment to be built, and I saw the Elliot proposal was a way to address the need for affordable, single family homes for workers, close to Ganges.

That was in the fall of 2005. I left office feeling pretty good…two affordable housing projects ready to proceed.

However, the BANANAists had just elected two of their favourite sons, George Ehring and Peter Lamb. Under their term (2005-2008) they, and Islands Trust staff, argued with Elliot over the terms and conditions of how the affordable project would be structured. Subsequently during Ehring’s second term (2008-2011) he and Trustee Christine Torgrimson failed to come to an agreement with Elliot.

Finally, in January 2015, ten years after I had approved the proposal, the Islands Trust and Elliot came to an agreement. Cost per sf in 2015 was about $150.00. Estimated increase per proposed home – $60,000.00.

However, in the Summer of 2015, North Salt Spring Waterworks District imposed a temporary moratorium, (which became permanent in 2016) on all new development, putting an end to Elliot’s plans. That moratorium should never have been put into effect, as I have previously exposed through historical NSSWD data, and which has only this year been lifted, using the same data.

Norm passed away on December 14, 2022, his vision unfulfilled.

Now, in 2025, IWAV is proposing to purchase the property and build 26 units in 2026-27.

Cost of construction per square foot in 2026-7? Likely about $400 sf.

In other words, the 20 year delay has ADDED about $360,000.00 to the cost of each 1200 square foot “affordable” home.

This particular death of affordability is attributable to the bumbling of our local bureaucrats and politicians and the BANANAists who have elected and supported their nonfeasance…nonfeasance which has become a hallmark of Islands Trust land use policies.






Grace Islet – Location of graves, or a murdered victims scene?

Came across this fascinating eye witness account of the 1860 Ganges Massacre.

Begs the question – Which small island in Ganges Harbour, and where are the graves? The only identified graves I am aware of are on Grace Islet, which is also the closest island to the head of the harbour where the massacre took place.

Gold Standard and XRP – The Potential for a New Financial System?

Below is a scenario where the United States adopts a gold standard and purchases the existing balance of XRP held in escrow by Ripple in exchange for Treasury Notes, set in the near future (circa 2030).


Scenario: U.S. Adopts Gold Standard and Acquires Ripple’s XRP Escrow via Treasury Notes

Background Context (2025-2030):
By 2030, the U.S. faces mounting economic pressures: inflation remains high, the national debt surpasses $40 trillion, and de-dollarization efforts by BRICS nations threaten the dollar’s global dominance. Blockchain technology has matured, with XRP, backed by Ripple, becoming a cornerstone of cross-border payments due to its speed (3-5 second settlement), low cost (fractions of a cent), and widespread adoption in RippleNet by over 500 financial institutions globally. A financial crisis in 2028, triggered by a collapse in emerging market debt, accelerates calls for monetary reform. A bipartisan coalition, supported by a crypto-friendly Treasury, proposes a gold standard to restore fiscal discipline and designates XRP as a strategic reserve asset, acquired through a unique deal with Ripple.

Trigger Event:
In 2029, the U.S. dollar faces a sharp decline in global confidence as foreign central banks reduce holdings of U.S. Treasuries. To counter this, the U.S. government enacts the Monetary Stability and Digital Reserve Act of 2030, which reinstates a gold standard and authorizes the Treasury to acquire Ripple’s entire XRP escrow balance (approximately 40 billion XRP as of 2025, assuming gradual releases) in exchange for U.S. Treasury Notes. This move aims to stabilize the dollar and position the U.S. as a leader in digital finance.Policy Implementation (2030):

  • Gold Standard Adoption:
    • The Monetary Stability Act pegs the U.S. dollar to gold at $10,000 per ounce, reflecting inflation-adjusted valuations. The Federal Reserve ensures dollar convertibility to gold for international settlements, using the U.S.’s 8,133-ton gold reserve (valued at ~$80 trillion at the pegged rate).
    • A hybrid gold standard is implemented: foreign central banks can redeem dollars for gold, while domestic circulation uses a mix of fiat and gold-backed digital dollars to avoid deflationary pressures.
    • A Gold Redemption Fund is established to manage convertibility, ensuring market stability and rebuilding trust in the dollar.
  • Acquisition of Ripple’s XRP Escrow:
    • The Treasury negotiates a landmark deal with Ripple to purchase the entire XRP escrow balance (estimated at 40 billion XRP in 2030, valued at ~$200 billion at $5 per XRP). In exchange, Ripple receives 30-year U.S. Treasury Notes yielding 3%, providing Ripple with a stable, long-term income stream while transferring ownership of the XRP to the U.S. government.
    • The transaction is structured to avoid market disruption: the Treasury acquires the XRP off-market, and the escrow is transferred directly to a Strategic Digital Reserve managed by the Treasury Department. The deal is ratified under the Digital Reserve Act, which formalizes XRP’s role as a reserve asset.
    • The Treasury integrates XRP into its financial infrastructure, using it as a bridge currency for cross-border settlements and central bank digital currency (CBDC) transactions with allied nations. XRP’s efficiency in RippleNet makes it a natural choice for real-time global payments, outpacing SWIFT and competing CBDCs like China’s digital yuan.

Economic and Geopolitical Implications:

  • Domestic Impact:
    • The gold standard enforces fiscal discipline, reducing inflationary spending but causing short-term economic contraction. The Treasury uses XRP reserves to provide liquidity for trade financing, supporting businesses engaged in international commerce and easing the transition.
    • The issuance of Treasury Notes to Ripple increases the national debt marginally but is offset by XRP’s appreciation potential and its role in facilitating trade. Ripple, now holding a significant portfolio of Treasury Notes, becomes a quasi-sovereign entity, strengthening U.S.-Ripple collaboration.
  • Global Impact:
    • The U.S.’s acquisition of 40 billion XRP signals confidence in digital assets, boosting XRP’s global adoption. Allied nations, including the EU, Canada, and Singapore, integrate XRP into their payment systems, aligning with the U.S. to counter China’s digital yuan.
    • The gold standard and XRP reserve create a hybrid monetary system, blending traditional and digital assets. This strengthens the dollar’s position as the world’s reserve currency, with XRP facilitating 60% of global trade settlements by 2035.
  • Market Dynamics:
    • Gold prices stabilize at the $10,000 peg, while XRP’s value rises to $8-$10 per token by 2032 due to its reserve status and reduced circulating supply (as the Treasury holds 40 billion XRP off-market).
    • The Treasury’s acquisition prevents speculative dumps of escrow XRP, stabilizing its price. However, crypto exchanges face stricter regulations to curb manipulation, ensuring XRP’s reliability as a reserve asset.

Challenges and Risks:

  • Gold Standard Limitations: The fixed gold peg restricts monetary policy, complicating recession responses. The Treasury mitigates this by leveraging XRP reserves for targeted liquidity injections in trade sectors.
  • XRP Acquisition Costs: Exchanging Treasury Notes for XRP increases U.S. debt obligations, drawing criticism from fiscal hawks. The Treasury counters that XRP’s long-term appreciation and utility outweigh the costs.
  • Geopolitical Tensions: China and Russia accelerate their CBDC initiatives, accusing the U.S. of weaponizing XRP to maintain dollar hegemony. The U.S. responds by promoting XRP adoption among G7 and emerging markets, creating a dollar-XRP-gold bloc.
  • Ripple’s Role: Ripple’s receipt of Treasury Notes raises concerns about its influence over U.S. policy. To address this, the Treasury imposes strict oversight on Ripple’s financial activities, ensuring alignment with national interests.

Public and Political Reception:

  • Sound money advocates applaud the gold standard, while crypto supporters celebrate XRP’s strategic role. Critics, including traditional economists, argue the gold peg risks economic stagnation, and some blockchain purists criticize XRP’s centralized origins and the Treasury’s control over 40 billion tokens.
  • The Treasury launches a public campaign, “Gold and Digital: The Future of Money,” to explain the stability of gold and the efficiency of XRP, gradually building public trust.

Long-Term Outcome (2035):
By 2035, the U.S. dollar, backed by gold and bolstered by the Treasury’s 40 billion XRP reserve, reasserts its dominance as the world’s reserve currency. XRP powers over 70% of global cross-border transactions via RippleNet, outcompeting SWIFT and rival CBDCs. The Treasury’s strategic reserve appreciates to $400 billion (at $10 per XRP), providing a buffer against economic shocks. The hybrid gold-XRP system positions the U.S. as a leader in the evolving global financial landscape, balancing tradition with innovation.


Key Assumptions:

  • Ripple’s XRP escrow (originally 55 billion XRP in 2017) is reduced to ~40 billion by 2030 due to scheduled releases, consistent with Ripple’s historical distribution pace.
  • The SEC lawsuit against Ripple is resolved by 2025, clearing regulatory hurdles for XRP’s adoption.
  • The U.S. has sufficient fiscal capacity to issue Treasury Notes for the $200 billion XRP purchase without destabilizing markets.
  • XRP’s technological infrastructure remains scalable and secure, supporting its role as a reserve asset.
  • Political support for monetary reform persists, driven by economic crises and public demand for stability.