How Strata Special Levies and Depreciation Reports Work
A depreciation report helps a BC strata understand its long-term maintenance and replacement needs. A special levy collects money from owners for a specified shared expense. The two can inform the same project, but obtaining a report does not itself approve construction or collect the required funds.
For councils in Surrey and across Metro Vancouver, connecting building information, a defined scope and a funding decision makes repair planning easier to explain to owners.
Understand what a depreciation report provides
BC requires strata corporations with five or more lots to obtain depreciation reports on a five-year cycle. The report inventories relevant property and assets and projects maintenance, repair and replacement costs over 30 years. It also includes funding models for consideration.
The report helps identify future work. Its forecasts should be read with their assumptions, including expected service life and costs. They are not a contractor's fixed quotation or an automatic instruction to start every listed project.
Ask the report provider to clarify entries the council does not understand. Keep that clarification with the report so later discussions use the same information.
Understand what a special levy approves
A special levy is money collected from owners for a defined purpose and common expense. BC's guidance says a resolution normally requires a three-quarter vote where contributions follow the usual strata-fee allocation, commonly unit entitlement.
The resolution must identify the purpose, total amount, allocation method, each lot's payment and payment dates. Have the property manager or legal adviser confirm the applicable process and wording, particularly where an exception or different allocation may apply.
Avoid describing a preliminary estimate as an approved levy. Keep the proposal, funding resolution and signed construction contract separate and consistent.
Turn a report recommendation into a project scope
Before asking contractors to price work, identify the component, documented concern and intended outcome. Gather relevant drawings, inspection findings, previous repairs and the report entry. Note any unanswered questions that may need further professional investigation.
Canyon's strata and multi-unit services include site reviews, scope options and scheduling support for councils and managers. That construction support is distinct from providing a regulated depreciation report or legal advice on a levy.
Request written inclusions and exclusions. For example, a renewal scope should make clear whether related access work and finish restoration are included, rather than leaving those costs outside the owner's understanding of the project.
Compare proposals before finalizing the funding request
Check whether competing proposals price the same work. Differences in access, temporary protection, restoration and close-out can change both the budget and schedule.
For a plumbing renewal, review Canyon's repiping services and ask how pipe replacement and drywall restoration are defined in the proposal. Use the contractor's actual scope when preparing project information for owners.
Maintain a decision record showing which assumptions remain open. If the scope changes, ask the appropriate advisers whether the funding resolution or approvals also need review before committing the strata.
Questions about levies and depreciation reports
Does a depreciation report automatically authorize repairs?
No. It supports planning. The strata still needs to confirm the project scope, funding and applicable approval process.
Is a special levy the only funding option?
No. Depreciation reports consider funding models that may include reserve funds, strata fees, levies or borrowing. The appropriate approach requires a review of the strata's circumstances and rules.
Are report forecasts the same as contractor quotes?
No. A forecast is a planning estimate based on report assumptions. A construction proposal prices a defined scope at the time it is prepared.
Can Canyon write the depreciation report or levy resolution?
Canyon's verified services support construction planning and delivery. Use an appropriately qualified report provider and the strata's legal or management advisers for those separate responsibilities.
Bring a clear scope to the next council discussion
Have a repair recommendation but need to understand the construction work? Send the project details to Canyon Property Projects, serving Metro Vancouver and the Fraser Valley. Call 778-652-3300 or email [email protected] with the relevant report excerpt and property information.