A Sustainable Kelowna - 2030 Greening our Future

What will Kelowna be like in 2030? How can we make sure our children will still want to live here when they grow up?
How can we be more sustainable? How can we protect the environment, eliminate gridlock, and enhance the economy, all at the same time? They're important questions, and they're really best answered by you, the people who live here.
As part of the City's new public planning program called Kelowna 2030: Greening Our Future, they are looking for input from a wide range of citizens and groups.

Window PST exemption extended to 2011

t was announced in today's budget that the exemption for energy efficient windows will be extended until 2011.

This correspondence describes how the Ministry interprets the relevant tax provisions for information purposes only. This ruling and interpretation may be impacted by variations in circumstance, subsequent changes to legislation or subsequent court decisions. This ruling and interpretation is provided as an aid to understanding the legislation and is not intended to replace the legislation. The Ministry is not responsible for updating this ruling and interpretation if there are any subsequent changes to the law.

Policy and Legislation Branch (Consumption Tax Team)
Ministry of Finance
http://www.fin.gov.bc.ca/rev.htm
__________________________________________

Certification Requirements for BC House Inspectors

STTBC and BCIPI Respond to Requirement for House Inspectors to be Licensed

The BC Minister of Public Safety John van Dongen announced on Friday January 30, 2009 that effective March 31, 2009 all house inspectors MUST be licensed in BC, a first in Canada. The Regulation provides that those certified by ASTTBC will qualify for a license. CAHPI(BC) and the National Certification Program are also named. House inspectors certified with ASTTBC will be able to apply to the Business Practices and Consumer Protection Authority for a license. The fee will be $100 and will be valid for 3 years. “This is an historic day in BC. I congratulate the Minister for his leadership in getting this done. ASTTBC and BCIPI have been calling for licensing for years so this represents a great step forward,” said ASTTBC’s Executive Director, John Leech. “ASTTBC will prepare full information for its members in the next week or two to make sure ASTTBC-registered house inspectors are able to get licensed without delay once the processes are fully defined.” BCIPI President Noel Murphy added that licensing is a first step to a higher quality of service for all British Columbians seeking house inspection services. “On behalf of BCIPI I am pleased that the Government has acted on their promise to license inspectors. Because of the high standards established by ASTTBC in partnership with BCIPI our members are the best qualified in BC and will most certainly be sought out by consumers to offer services as a house inspector.” For full details please go to http://www.bpcpa.ca

The regulation goes a long way to ensure the public has access to qualified, registered and accountable professionals, but it is not without some challenges going forward. “There are a couple of issues that will need to be addressed as we work together with the BPCPA to ensure the most effective Regulation and professional regulation: (1) there will not be one common standard for licensing; and (2) the complaints and professional regulation framework varies between the organizations identified in the Regulation. We need to move quickly to a level playing field to ensure best practices in this field,” said John Leech. “I have assured the Minister, Ministry staff and the Director of BPCPA that ASTTBC will continue to work cooperatively toward the highest standards of professional regulation in BC. Information will be made available to all ASTTBC-registered House Inspectors as needed to meet the requirements of the Regulation. Information will also be posted to ASTTBC and BCIPI web sites: http://www.asttbc.org/docs/govpressrelease.pdf

Claim 15% Tax Credit on Renovation Projects Kelowna

Homeowners can claim 15% of costs on projects worth $1,000 to $10,000 on top of the grants offered by the Livesmart & ecoenergy programs and local utility providers.

To learn more on unlocking the potential of your home go to www.flywheelbuildingsolutions.com

Madhavi Acharya
Tom Yew
Dana Flavelle
BUSINESS REPORTERS

OTTAWA–Installing a new furnace this year? Building a deck?

The proposed federal budget offers a temporary new tax credit for your home renovations – provided you do them soon.

The Home Renovation Tax Credit (HRTC) is designed to get Canadians spending now to help create jobs in industries typically hurt by an economic downturn.

"These measures to support home construction and renovation will help stimulate our construction and building-supplies industries," Federal Finance Minister Jim Flaherty said in his speech. "This in turn will support forestry and other Canadian industries. It will give an immediate boost to our economy, and help to create jobs."

Effective today through Jan. 31, 2010, homeowners can claim a tax credit for 15 per cent of renovation expenses between $1,000 and $10,000. The maximum tax credit (on $9,000 in renovations) is worth $1,350.

The government estimated the total value of the tax credit at about $3 billion, and expects about 4.6 million families to benefit.

The tax credit would apply to a variety of home improvements, such as renovating a kitchen, bathroom or basement, new carpet or hardwood floors, building an addition, deck, or fence, installing a new furnace, painting the inside or outside of a house, or laying new sod.

Expenses such as building permits, professional services, and equipment rentals are also eligible. Routine repairs and maintenance will not qualify for the credit. Nor will the cost of purchasing furniture, appliances, electronics, or construction equipment.

Houses, cottages and condominium units owned for personal use are eligible.

Reel Change Sustainability Film Fest, Kelowna

Ken Kunka of Flywheel Building Solutions will be one of the guest panelists at the first annual Reel Change Sustainability Film Fest hosted by the Fresh Outlook Foundation. This event will take place at the Kelowna Rotary Centre Jan 30 and 31st, 2009.

For more detailed information go to www.freshoutlookfoundaiton.org

Federal Budget to help improve homes

This info was forwarded to me by Westside mortgage expert Philippe Daigle http://www.philippedaigle.com

OTTAWA — The Harper government has been floating the idea of a tax credit for home renovations - an idea that could deliver significant stimulus for Canada's residential construction industry in the Jan. 27 budget.

Deliberations continue as Canada's premiers meet today in Ottawa to put the final touches on a budget request for Prime Minister Stephen Harper - one that sources say will include more cash for employment training, more benefits for the jobless and extra funding for infrastructure.

Finance Minister Jim Flaherty, meanwhile, has been conducting his own consultation on the looming budget, expected to deliver up to $30-billion in stimulus to soften an economic downturn.

During a closed-door session in Montreal last week, Mr. Flaherty asked participants' opinion on a partly refundable tax credit for renovations. Some economists among the more than 20 attendees criticized the proposal while representatives of the building-trades sector lauded it. Tax credits can be used to reduce the amount of taxes a person owes to the government, but refundable tax credits can benefit filers even if they have no taxes to be paid; in that case, they could get a refund based on the credit.

Kelowna Home Show

Flywheel Building Solutions is excited to be part of the Kelowna Home Show running Feb 27th thru to March 01 at Prospera Place. It is gearing up to be one of the largest in years and is consistantly the most attended Home Shows in the valley.

This year the Home Show features some excellent experts ....

Host of DISASTER DIY on HGTV BRYAN BAEUMLER is part of the new breed of contractors who are passionate, dedicated, and have a plan to execute. Bryan's mantra in his own contracting business is ‘Design, Destroy, Rebuild’ and he will bring a fresh vitality to the presentation stage this year. Saturday and Sunday only. Sponsored By Terasen Gas

JANE LOCKHARTcomes straight from her popular TV show on W, ‘Colour Confidential’ to join us at the KELOWNA HOME SHOW for the first time, with great new ideas on colour, decor and style trends for today and tomorrow. Appearances Friday and Saturday only.




DON BURNETT - ‘Going GREEN’is nothing new to Don, who has been dispensing sage advice about keeping our outside environment of trees, schrubs, gardens and landscaping healthy, green and beautiful.


Ken Kunka AScT,BCQ
President
Flywheel Building Solutions
http://www.flywheelbuildingsolutions.com/
250 859 6062

Flywheel - Habitat Set to Build Green in Penticton

The South Okanagan chapter is preparing to build it’s second home this spring in Penticton. Building upon the lessons learned from its first build in 2007, Habitat is looking forward to partnering with Okanagan College this spring. Students from the carpentry program will be bringing the house up to lock-up stage but many volunteers are still needed to complete the building and landscaping. The following Video will explain the next program and family. http://www.habitatsouthokanagan.ca/movies/habitatnew.mov

Unfortunately the modern design proposed by Architect Cal Meiklejohn cannot be used with the building scheme restrictions for the new lot, but Habitat is looking to incorporate sustainable building practices and products as outlined in the “Built Green” program (www.builtgreencanada.ca).

Flywheel Building Solutions is proud to donate $400 towards this build plus assisting in the design and project coordination.

If you would like to learn more about Habitat for Humanity or volunteer please go to http://www.habitatsouthokanagan.ca . Habitat is also looking for gifts-in-kind, particularly towards “green” products.

Flywheel - Economy - Inflation vs Deflation

This information was forwarded to me by Laurie Baird of Okanagan Mortgages.com

Canadians not deflated about economic outlook

Jacqueline Thorpe, Financial Post Deflation may be public enemy number one among central bankers, monetary policy wonks and bond market aficionados, but a survey shows it has not even a blip on the average Canadian's radar screen.

The poll released Wednesday shows 50% of Canadians expect inflation to increase over the next year, versus 21% who expect the current recession to be deflationary.

The finding, contained in Pollara Inc.'s annual financial outlook survey, underscores the grip inflation continues to hold on the Canadian psyche. It could ultimately be a good thing, providing a bulwark against deflation -- a downward spiral in prices caused by consumers delaying purchases in anticipation of cheaper goods in the future. Deflation can become debilitating if it causes companies to cut production and employment, leading to ever-weaker output.

That inflation, rather than deflation, is still the main concern for Canadians could be understandable if the survey were conducted last summer when commodity prices were soaring and gasoline roared across $1 a litre, but the poll of 2,670 people was conducted between Dec. 11 and 15, 2008. That was after gas prices had tumbled, sale signs filled shopping malls, stock markets had tanked, house prices were beginning to fall and constant talk of depression and deflation filled the airwaves.

After decades of worrying about inflation, it could be that Canadians have not yet wrapped their heads around the idea that prices can also materially drop.

It could also be that with the domestic economy in relatively better shape than in the United States, Canadians simply do not see deflation posing as much of a threat as south of the border. There, the U.S. Federal Reserve has pulled out all the stops to try to prevent deflation, including cutting interest rates to nearly zero.

Meanwhile, it is hard for any average consumer to see lower prices as a threat.

"Nobody understands deflation can be bad for them because they don't recognize it could also involve their pay cheque," said Avery Shenfeld, senior economist at CIBC World Markets.

Mr. Shenfeld was among a panel economists who attended the release of the survey at an Economic Club of Toronto outlook on Wednesday.

"The reason prices are falling is usually that the economy is in a mess."

The Bank of Canada could take some heart in the perception that deflation is not considered as big a threat as policymakers or the media do. For deflation to become dangerous it has to seep into the consciousness, causing consumers to curtail purchases.

"Inflation expectations tend to be pretty sticky in both directions which is actually good thing for public policy," Mr. Shenfeld said.

While deflation is no big threat, the survey, with a margin of error of plus or minus two percentage points 19 times out of 20, shows Canadians see many economic demons over the next year: A record high 91% believe the economy is in recession; almost a third believe the recession will last 13 to 18 months; 68% believe employment will worsen while 31% believe either it somewhat likely or very likely someone in their household may lose a job.

Oddly, many Canadians still expect their personal financial situation to be maintained or even improved in 2009, said Michael Marzolini, chairman of Pollara. This could be because the Canadian unemployment rate has not dramatically soared yet.

Canadians are all government interventionists now, survey data show.

"The villains are on Wall Street or in Washington," Mr. Marzolini said of the average perception. "The current solution is direct government intervention, spending on infrastructure job retraining, tax cuts and even bailouts and protectionism.

Flywheel - Budget - American Greenbacks

This information was forwarded to me by Laurie Baird of Okanagan Mortgages.com

The Cupboard is almost bare


For the first time in its history, the U.S. Federal Reserve is effectively giving away money
· TSX +262.28pts (Reuters) TSX index surged more than 3% in a broad rally after the U.S. Federal Reserve cut its target for overnight interest rates to a record low range of zero to 0.25% and said it would do everything it can to chase away the economic gloom.

· DOW +359.61pts

· Dollar +2.02c to $83.21US. as sentiment toward the US dollar darkened with the Fed’s gloomy announcement that it will stop at nothing to flood the financial system with greenbacks

· Oil -$.91 to $44.51US per barrel.

· Gold +$6.30 to $841.70US per ounce
www.bankofcanada.ca/en/rates/bond-look.html Canadian bond prices

The net worth of Canadian households fell by about $191 billion in the third quarter, and it's likely to have gotten worse as stock prices tumbled in the current three-month period. Bank of Montreal economist Doug Porter said that, although people don't tend to adjust their consumer spending in direct relation to their net worth, a decline in net worth will negatively impact the economy as ordinary Canadians tighten their wallets.

"As the stock market continued to weaken, it became obvious that it would have an effect, not just on consumer behaviour but also on business behaviour,'' Porter said in an interview. "I do think it was the intense financial market turmoil we saw over the fall that really played a big role in tipping the global economy into a full-fledged recession.''

Fed tries to steer economy out of long recession

Alia McMullen, National Post For the first time in its history, the U.S. Federal Reserve is effectively giving away money.

The central bank took the unprecedented step yesterday of slashing its benchmark interest rate to an extraordinarily low range of zero to a quarter per cent on Tuesday in an attempt to prevent the world's largest economy from suffering a long and painful recession.

"This is an historic move and it will go down in the annals of Fed history as the most aggressive attempt ever to reverse a deep recession, prevent deflation and spur financial-market re-normalization," said Sherry Cooper, the chief economist at BMO Capital Markets.

Stock indexes surged on the Fed action, with the Dow Jones industrial average up 4.2% to 8,924.14 and the S&P500 up 5.1% at 913.18. This helped to boost the S&P/TSX Composite Index 3.1% to 8,724.11.

The move had immediate benefits for fixed mortgage rates, with the long-term bond rates on which they are set tumbling on the Fed's signal that it would keep interest rates at an exceptionally low level for some time.

The Fed cut the Federal Funds Rate, at which the banks lend to each other, from 1% to a range of 0% to 0.25%. The reduction surpasses the previous low of half a per cent set during the Second World War, a sign of just how serious the current U.S. recession is.

"With every layoff announcement and stock market decline, consumer confidence drops," Ms. Cooper said. "It will take a mighty effort by central banks and government authorities to drag the global economy out of this ditch, but with the stimulus we are likely to see in coming months [from central banks and governments], the economy will hopefully bottom around midyear 2009 followed by a sluggish recovery in the second half and moderate growth in 2010."

But with no more room to cut rates, the Fed will embark on a new strategy to stimulate the economy by pulling "all available tools" out of its box. For the first time in its 95-year history, the Fed plans to buy debt from mortgage insurers Fannie Mae and Freddie Mac as well as mortgage-backed securities to help reduce mortgage rates. It also plans to provide additional funds for households, homeowners and small businesses.

For now, the Fed's efforts appear to be working. Yields on Fannie Mae and Freddie Mac 30-year fixed mortgage bonds as well as government 10-year and 30-year Treasuries -- which have a direct impact on fixed mortgage rates -- declined to record lows on Tuesday. These rates had been surging, despite official interest rate cuts, because investors had been looking for a safe haven to park their money and ride out the financial crisis.

Michael Englund, the chief economist at Action Economics in Boulder, Colo., said the Fed's plan to purchase mortgage-backed securities and possibly government Treasuries as well as their pledge to keep interest rates low would continue to put downward pressure on fixed mortgage rates and eventually help to stimulate the U.S. housing market.

However, problems in the U.S. economy stretch further than the deep housing slump. Economists expect the Fed to also begin to print money in an effort to prevent consumer prices from falling into a dangerous downward spiral. This alternative method of boosting the flow of money in the economy is known as quantitative easing, a strategy developed by the Bank of Japan during its lost decade of zero interest rates and price deflation.

Joshua Shapiro, chief U.S. economist at MFR in New York, said the Fed was clearly trying to fight off deflation, which is a persistent decline in consumer prices that comes hand in hand with job losses, wage cuts and a devaluation of money.

"The action taken [Tuesday] and the quantitative easing moves to come speak volumes about just how petrified policymakers are that the economy is in danger of sliding into a deflationary spiral that would be disastrous considering the highly leveraged condition of the economy," said.

The risk of deflation was evident just hours before the Fed's announcement. The Bureau of Labor Statistics reported that consumer prices for November fell a record 1.7% from the previous month, taking the annual rate to the 43-year low of 1.1% equalled in 1986 and 2002.

Mr. Shapiro expects the Fed to ultimately beat inflation, but he had a very pessimistic outlook for the U.S. economy. He predicted the economy to remain in a recession that could possibly extend past 2010.

Laurie Baird

(250)469-1611

1405 A Richter St, Kelowna, BC, V1Y 2L9

mtggal@telus.net

Flywheel - Built Green

Ken Kunka of Flywheel Building Solutions has just passed the Built Green Training Course and looks forward to working towards certification as a Certified Energy Advisor this November.

For more information on Built Green Canada go to http://www.builtgreencanada.ca