Vann Struth Consulting Group
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Quesnel

Financial Impact of Rural Annexation

Quesnel

FINANCIAL IMPACT ANALYSIS OF RURAL ANNEXATION

The City of Quesnel had a long-standing policy of gradually expanding its borders into the surrounding rural areas.

As part of of an update to its Official Community Plan (prepared by CitySpaces Consulting), Vann Struth Consulting Group prepared a financial analysis of the impacts to the City of expanding its southern borders in several places.

The analysis required detailed projections of all relevant municipal revenues, operating expenditures, and long-term capital investments and liabilities.

The conclusion was clear - the City of Quesnel would be in a worse financial position by expanding (by virtue of absorbing much higher financial liabilities than they would receive in increased revenues). The City’s policy of rural annexation was removed from the updated Official Community Plan.