UNA | Neighbours Fund - Draft Page

Neighbours Fund

The Neighbours Fund is a set of accounts in UBC’s financial records. It is not actually a fund (i.e., a separate pool of assets). The following amounts are added to the Neighbours Fund and constitute its revenue:

The services levy, which is payable by residents under their leases with UBC.
The general municipal services levy (GMSL). This GMSL is analogous to the services levy. It is payable by UBC Properties Trust in respect of its buildings in the neighbourhoods and also by a few other owners of buildings.
Interest on amounts in the Neighbours Fund, based on interest earned by UBC on its short-term cash.

The services levy and the GMSL are together referred to as the Neighbours Levy or the Neighbourhood Levy.

A portion of the Neighbours Fund revenue is set aside in reserves. These reserves are described below.

UBC applies part of the Neighbours Fund revenue for the following purposes:

The fire protection charge, which is payable to the province.
Residents contributions towards UBC’s recreational and cultural facilities.
Storm water costs attributable to the neighbourhoods.
Costs of administering the Neighbours Fund, including collection of the services levy.

UBC pays the remainder of the Neighbours Fund revenue to the UNA to fund the provision of municipal-like services for the neighbourhoods and as GST on the payments to the UNA.

The following diagram illustrates the above description of the Neighbours Fund:

Neighbours Fund Reserves

Five reserves have been established in the Neighbours Fund. These reserves are amounts set aside from the Neighbours Fund revenue for specific purposes. The reserves are:

Infrastructure Replacement Reserve: used to fund major repairs and the replacement infrastructure in the neighbourhoods.

Capital Reserve: used to fund the cost of repairs and replacement of facilities and amenities such as components of the community centres and playground equipment..

Rate Stabilization Reserve: provides a cushion in the event that the services levy decreases from one year to the next.

Contingency Reserve: used to fund expenditures for matters that require urgent attention and for which provision has not been made in the UNA’s operating budget.

Community Field Replacement Reserve: used to fund the replacement of the Wesbrook Place turf field.

Financial Statements