B.C.’s New Depreciation Report Rules: Deadlines and Areas Affected

On April 22, 2024, the Government of British Columbia introduced Order in Council No. 204, implementing significant changes to depreciation report regulations under the Strata Property Act. These updates affect all strata corporations, particularly in the Capital Regional District, Fraser Valley Regional District, and Metro Vancouver Regional District, with key deadlines set for July 1, 2026, and beyond.

This blog outlines the updated requirements, compliance deadlines, and their implications for strata corporations in B.C.

Key Highlights of the New Regulations

1. Five-Year Reporting Cycle

   • All strata corporations must now obtain a new depreciation report at least once every 5 years to ensure up-to-date maintenance planning and financial projections.

     
     

2. Compliance Deadlines for Existing Strata Corporations

   For strata corporations established before July 1, 2024:

   • If no depreciation report has been obtained since December 31, 2020, strata corporations must obtain a report by:

     • July 1, 2026 for those located in a specified area:

       • Capital Regional District (excluding islands accessible only by air or boat)

       • Fraser Valley Regional District

       • Metro Vancouver Regional District (excluding islands accessible only by air or boat)

     • July 1, 2027 for those located outside of specified areas.

       
       

3. New Requirements for Recently Established Strata Corporations

   For strata corporations established on or after July 1, 2024:

   • First depreciation report must be obtained no later than 2 years after the first annual general meeting.

   For strata corporations established on or after July 1, 2027:

   • The first depreciation report must be obtained no later than 18 months after the first annual general meeting.

What Do These Changes Mean for Strata Corporations?

1. Proactive Maintenance Planning

   These updates emphasize the importance of regularly updated depreciation reports to ensure strata corporations are equipped to handle maintenance costs and avoid unexpected repairs.

   
   

2. Stricter Compliance Deadlines

   Strata corporations must now budget for compliance and plan ahead to meet the new deadlines. Missing these deadlines may result in penalties and increased financial risks.

   
   

3. Enhanced Financial Transparency

   More frequent and standardized reporting provides greater transparency for current owners and potential buyers, boosting confidence in strata property management.

   
   

Why ENGIPRO is Your Partner for Compliance

Meeting these new regulations is critical for strata corporations, and ENGIPRO is here to make the process seamless. Here’s how we help:

1. Certified Expertise: Our team of P.Eng, CRP, and PRA-certified professionals delivers detailed and compliant depreciation reports tailored to your building’s needs.

2. Fast Turnaround: We ensure your report is completed within 30 days, helping you stay ahead of deadlines.

3. Custom Solutions: We provide clear financial projections, actionable maintenance recommendations, and easy-to-read reports.

4. Affordable Pricing: Use our price calculator to get an instant quote for your property.

Ready to Meet the New Depreciation Report Requirements?

Ensure your strata corporation complies with B.C.’s updated regulations. Request a quote or use our price calculator today to start your depreciation report process with ENGIPRO.

Request Quote

External Links:

1. Order in Council No. 204 - https://www2.gov.bc.ca/assets/gov/housing-and-tenancy/strata-housing/dr-oic-204-2024-apr-22.pdf

2. BC Strata Property Act - https://www.bclaws.gov.bc.ca/civix/document/id/complete/statreg/98043_01