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“Affordable housing is a crisis and it’s our responsibility as government to act on that.”

The Union of B.C. Municipalities, whose members voted in September to demand an opt-out provision, expressed disappointment.

“It seems the premier heard many of our local governments, but went in a little bit of a different direction,” said Chilliwack Mayor Sharon Gaetz, UBCM’s second vice-president.

“I know the issue is not going to go away. I’m really hoping it will be carefully monitored and may be an opportunity to look at it again in the short future.”

James did extend an olive branch to the development community by exempting companies holding multiple properties for new housing development if they can show they are moving forward on a regular permitting, consultation, financing and construction project schedule “without undue delay.”

Urban Development Institute president Anne McMullin said her organization was “pleased” with that exemption.

“In the midst of a housing crisis, we applaud the government’s recognition that taxes on development lands will increase costs on the delivery of all types of new housing,” she said in a statement.

“We encourage government to also act in budget 2019 to apply similar exemptions for the new school tax and other new property taxes that are passed on to eventual homebuyers and renters.”

James said those exemptions are not planned.

The speculation tax will apply to those who own multiple properties in Metro Vancouver, the Capital Regional District (excluding the Gulf Islands and the Strait of Juan de Fuca), Kelowna, West Kelowna, Nanaimo-Lantzville, Abbotsford, Chilliwack and Mission.