Nanaimo, B.C., cidery facing possible tax hike following property reclassification

by Rachel Morgan News Editor

The owner of Big Bang Cider in Nanaimo, British Columbia, is contesting a recent property assessment that reclassified approximately 800 metres of his farmland as “light industrial.” This reclassification, issued by B.C. Assessment, a provincial Crown corporation responsible for property valuation, could potentially increase the owner’s property taxes by 300 to 500 per cent.

A Clash of Classifications

Colin Rombough, who has owned the farm since 2019 and began operating the cidery in 2024, argues the new classification is inconsistent with how other government bodies categorize his property. He is currently recognized as a food provider by the Vancouver Island Health Authority and operates under the regulations of the Agricultural Land Commission (ALC). Rombough expressed frustration, stating, “Every single one of those government organizations asks a different thing, and they’re often asking contradictory things, and they’re all not talking to each other.”

Did You Know? B.C. Assessment sends property assessments to owners each year, determining the value of properties across the province.

The core of the dispute centers on a building used for processing apples into cider. B.C. Assessment determined that alcohol production constitutes an excluded use for farm regulations, leading to the land’s reclassification. Rombough contends that the building’s primary function is to wash, sort, crush, juice, and store apples grown on the orchard, and that the fermentation process is a natural one, not industrial in nature. He maintains that these activities are essential to his farm’s operation and are consistent with ALC requirements.

Conflicting Regulations

Rombough highlights the complexities faced by small-scale agricultural businesses navigating a patchwork of regulations. He points out that larger dairy farms with substantial infrastructure are classified as agricultural, while his smaller-scale cider processing facility is deemed industrial. Maurice Primeau, a deputy assessor with B.C. Assessment, stated the agency “relies on the legislation as it is written” and strives for equitable classification. However, Rombough believes the assessment fails to consider the intent of the Assessment Act and the practical realities of operating a farm cidery.

Expert Insight: This case underscores the challenges faced by agricultural businesses operating in a regulatory environment where definitions and classifications can vary significantly across different government agencies. The lack of coordination can create uncertainty and potentially disproportionate financial burdens for smaller operations.

Rombough intends to appeal the assessment, with a deadline of February 2nd.

Frequently Asked Questions

What is B.C. Assessment’s role?

B.C. Assessment is the provincial agency responsible for classifying and valuing properties in British Columbia each year.

Why is the cidery’s building considered “light industrial”?

B.C. Assessment determined that alcohol production falls under excluded uses for farm regulations, leading to the reclassification of the land surrounding the building.

What is Colin Rombough planning to do?

Rombough intends to file an appeal of the property assessment before the February 2nd deadline.

As Rombough prepares his appeal, the outcome of this case could set a precedent for similar agricultural businesses in British Columbia. Will this dispute lead to a reevaluation of how farm operations with on-site processing facilities are classified, or will B.C. Assessment maintain its current approach?

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