2012 May SCPI Economic Diversification Plan Final

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Sechelt Community Projects Inc. 2012
This is a final plan: No reproduction or distribution without written permission from the Sechelt Community Projects Inc.
+1 (604) 885‐7809 - version dated – May 28
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Forward Looking Statements
The following document is presented for informational purposes only. It is not intended to be, and is not, a
prospectus, offering memorandum or private placement memorandum. The information in this document
may not be complete and may be changed, modified or amended at any time by the owner, and is not
intended to, and does not, constitute representations and warranties of the proposed business.
The information in this document is also inherently forward‐looking information. Among other things, the
information:
(1) discusses the owner’s future expectations;
(2) contains projections of the owner’s future results of operations or of its financial condition; or
(3) states other “forward looking” information.
There may be events in the future that the owner cannot accurately predict or over which the owner has no
control, and the occurrence of such events may cause the owner’s actual results to differ materially from the
expectations described herein.
This document constitutes confidential and proprietary information and may not be copied, faxed,
reproduced or otherwise distributed by you, and the contents of this document may not be disclosed by you,
without the proponent’s express written consent.

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2012 Page 4
Sechelt Community Projects Inc. Resolution
Chronological No.
May 28
th
, 2012
File Reference No.
Economic Development
Committee

That the Board of Directors of the Sechelt Community Projects Inc.

Date of duly convened meeting

Y
2012
M
05
D
28
Province
British Columbia

Whereas the Sechelt Community Projects Inc. engaged in a request for proposals to invest the
proceeds from the harvest of wood from the Sunshine Coast Community Forest into valued
community projects in the Sunshine Coast Regional District in 2011 and received a limited
response;
Whereas the Board of Directors for the Sechelt Community Projects Inc. engaged Patrick Marshall,
Capital EDC Economic Development Company to assess and report on the most likely community
values and deliver a report on the prospects for economic diversification associated with the
investment of the proceeds of the sale of Sunshine Coast Community Forest wood;
Therefore be it resolved that the Board of Directors received the report entitled “Sunshine Coast
Community Forest Economic Diversification Plan 2012”; and;
Be it further resolved that the Board of Directors will take the recommendations under advisement
when the opportunity to invest the proceeds of the sale of wood harvested from the Sunshine
Community Forest arises.

For the Sechelt Community Projects Inc.
Board of Directors

Glen Bonderud, Chair
Board of Directors
For the Sechelt Community Projects Inc.
Management Team

Dave Lasser RPF
General Manager
For Capital EDC
Economic Development Company

Patrick N. Marshall
Consulting Economic Developer

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2012 Page 5
Professional Resume
Capital EDC Economic Development Company
Patrick Nelson Marshall BES SURP | Economic Developer

Experience
Patrick has conducted over 300 business retention, expansion, recruitment, in‐bound investment and operations in two
Provinces in Canada. He has worked on the support of the development of hundreds of thousands of dollar’s worth of
industrial, commercial, residential and government investment, and more than 300 customers projects for local
government and industry associations. Patrick combines his understanding of urban and regional processes with the
pragmatic, and vision for detail required to ensure successful Growth, Planning and Sustainability [GPS] for both private
and public sector organizations.
Past Employment
Patrick’s past work experience includes: Chief Executive Officer, Ocean Industries British Columbia from 2007 to 2009,
Chief Executive Officer and Economic Developer for the Campbell River Economic Development Corporation from 2000 to
2007, Transition Manager, North Central Island Tourism Organization from 1999 to 2000, Manager, Property & Economic
Development for the City of Campbell River from 1989 to 2001, Director of Marketing, Bowman Boulevard Strategic Real
Estate Marketing Ltd. Toronto from 1987 to 1989, Urban Planner for the City of North York, Metropolitan Toronto from
1979 to 1987.
Education
Patrick completed a Bachelor of Environmental Studies Honours Degree from the School of Urban and Regional Planning
SURP at the University of Waterloo in Ontario, Canada in 1983. He was engaged in the Internship Program at the
University and served four terms as an Engineering and Planning Intern with the City of North York, Metropolitan
Toronto, Ontario, Canada. Patrick also attended Year 1 and Year 2 of the University of Waterloo Economic Development
program sponsored by the Economic Developer’s Association of Canada and associated workshop’s. He was inducted as a
Member of the Canadian Institute of Planners MCIP in 1984 and a Member of the Ontario Professional Planners Institute
also in 1984.
Service
Patrick has a strong track record of volunteer service: He currently serves as the Consulting Economic Developer to Ocean
Initiatives British Columbia and the Coastal Community Network; He is the Chairman of the Board of Directors for Small
Business BC and the CANADA BC Business Service Centre Society since 2007; Vice President of the Economic Developer’s
Association of British Columbia 1996 to 1997; President of the Vancouver Island Economic Developers Association 1993‐
1995; Director for the Economic Developers Association of Canada 1987‐1988; and was selected as the Economic
Developer of the Year 2007 by his peers at the Economic Development Association of British Columbia.
Business and Economic Development Services
Review of economic development
committee work | internal audit
Cluster, Supply Chain & Industrial Sector
Development Strategies
Web Site conversion, transition from
static to sales orientation
Local and Regional Economic Scan
Reports
Confidential Business Retention and
Expansion results
Sales Training for Economic
Developers
Recommendations for Economic
Diversification Program Re‐Start
In‐bound Investment and Business
Recruitment processes and training
Head Hunting and Professional
Searches for Public and Private
Review and Assessments of Boards
of Directors
Growth, Planning & Sustainability
Management Plans
Support to Economic Development
Officers
Relationship mending between Local
Government & Boards
Business Meeting Hosting Interest
Matching in Vancouver and Victoria
Retained monthly consulting
Economic Developer
Workforce Strategy Reports Business Introductions to New Markets Local Area Procurement Tools
Familiarization Tour Management International Tour Coordination Sister City Relationship Development

Capital EDC Economic Development
Company
4341 Shelbourne Street
Canada’s Remembrance Road
Victoria, British Columbia
CANADA V8N3G4
Telephone: +1 250 595‐8676
Toll Free: + 1 877 595‐8676
eFacsimile: +1 866 827‐1524
Mailto: patrick.marshall@capitaledc.com
Mobile: www.patrickmarshall.tel
Web: www.capitaledc.com
LinkedIn:
ca.linkedin.com/in/patricknelsonmarshall
Search: patricknelsonmarshall

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2012 Page 6
Table of Contents
iv. Briefing Note .................................................................................................................................................. 12
1.0 EXECUTIVE SUMMARY .................................................................................................................................. 13
1.1 Environmental Scan ............................................................................................................................. 13
1.2 Plan Objective ...................................................................................................................................... 14
1.3 Assessment of Opportunities ............................................................................................................... 14
Existing Strategies and Operations ............................................................................................................. 14
Stakeholder Interviews ............................................................................................................................... 15
Opportunities Most Relevant to the Sunshine Coast Community Forest .................................................. 15
1.4 Diversification Options ......................................................................................................................... 15
1.5 Recommendations ............................................................................................................................... 16
Short‐term Action ....................................................................................................................................... 16
Long‐term Action ........................................................................................................................................ 17
2.0 INTRODUCTION ............................................................................................................................................ 19
2.1 Purpose of the Project .............................................................................................................................. 19
2.2 Plan Statements include: .......................................................................................................................... 19
Overarching Plan Governance: ................................................................................................................... 19
Plan Vision: ................................................................................................................................................. 19
Our Plan Mission: ....................................................................................................................................... 19
Sunshine Coast Community Forest Market Position Objectives: ............................................................... 20
2.3 Approach and Methodology ..................................................................................................................... 20
Research Stage 1 ........................................................................................................................................ 21
Strategy Stage 2 ......................................................................................................................................... 21
Building Stage 3 .......................................................................................................................................... 21
Implementation Stage 4 ............................................................................................................................. 21
Assessment and Reposition Stage 5 ........................................................................................................... 21
2.4 Assumptions & Limiting Factors ............................................................................................................... 22
3.0 PROJECT CONTEXT ........................................................................................................................................ 23
3.1 Regional Economic Summary ................................................................................................................... 23
3.2 Wood Products and Services ................................................................................................................ 30
3.3 Forest Products and Services ................................................................................................................ 31
3.4 Comparison of Sunshine Coast to other Community Forests .................................................................. 32
3.4.1 Profile of Sunshine Coast Community Forest .................................................................................... 32
3.4.2 Other Community Forest Organizations ............................................................................................ 34
3.4.3 The Provincial Association ................................................................................................................. 34
3.5 Provincial Economic Development Context ......................................................................................... 35
3.6 Regional Economic Development Context ........................................................................................... 36
3.7 Local Sustainability Plan ....................................................................................................................... 37
4.0 ASSESSMENT OF DIVERSIFICATION OPPORTUNITIES ................................................................................... 38
4.1 Retention and Expansion .......................................................................................................................... 38
4.2 Recruitment .............................................................................................................................................. 38
4.3 Stakeholder Contact and Interviews ........................................................................................................ 39
4.4 Stakeholder Opinion ................................................................................................................................. 40
4.4.1 The Sunshine Coast Business Climate Survey Responses .................................................................. 40
4.4.2 Stakeholders Views and Attributes ................................................................................................... 40
4.4.3 The Top Ten List and need for Strategic Focus .................................................................................. 41
4.4.4 Business Activity 2011 Q3 ................................................................................................................. 41
4.4.5 Views on Regional Workforce ........................................................................................................... 42
4.4.6 Regional Change ................................................................................................................................ 43
4.4.7 Technology Talk ................................................................................................................................. 43
4.4.8 Management Team Dynamics ........................................................................................................... 43
4.5 The Sunshine Coast Focus Group Meeting Responses ............................................................................. 44
4.5.1 Physical Infrastructure ....................................................................................................................... 44
4.5.2 Human Capacity Infrastructure ......................................................................................................... 44

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4.5.3 Community Capacity Infrastructure .................................................................................................. 44
4.5.4 Business Infrastructure | 90 day Actions .......................................................................................... 44
4.6 Wood User Stakeholders ...................................................................................................................... 44
4.7 Forest User Stakeholders ..................................................................................................................... 45
4.8 Opportunity Assessment Summary .......................................................................................................... 46
Strengths .................................................................................................................................................... 46
Weaknesses ................................................................................................................................................ 46
Opportunities ............................................................................................................................................. 46
Threats ........................................................................................................................................................ 46
5.0 ASSESSING SUNSHINE COAST COMMUNITY FOREST DIVERSIFICATION OPTIONS ....................................... 48
5.1 Options to be implemented within the Organization .............................................................................. 48
5.2 Options to be contracted by the Organization ......................................................................................... 50
5.3 Options to be partnered with other Organizations .................................................................................. 50
6.0 DIVERSIFICATION STRATEGY ‐ REFINING THE SUNSHINE COAST COMMUNITY FOREST VALUE PROPOSITION
............................................................................................................................................................................ 52
6.1 Diversification Objectives ......................................................................................................................... 52
6.2 Short Term Actions ................................................................................................................................... 52
6.3 Long Term Actions .................................................................................................................................... 53
7.0 IMPLEMENTING THE DIVERSIFICATION RECOMMENDATIONs .................................................................... 54
7.1 Economic Diversification Issues and Opportunities Long List Priorities by the Board of Directors and
Staff ............................................................................................................................................................ 54
7.2 Economic Diversification Issues | Opportunities Short List .................................................................. 54
7.3 Economic Diversification Focus Areas .................................................................................................. 55
7.4 Economic Diversification Strategic Priority Work Program .................................................................. 55
7.4 Blueplanet Sustainability Check Up ...................................................................................................... 57
7.5 Strategic Plan Dashboard for External Purposes .................................................................................. 58
8.0 FINANCIAL ALLOCATIONS FOR DIVERSIFICATION PLANNING PURPOSES .................................................... 60
Appendix I ‐ Stakeholder Survey and Interviews ................................................................................................ 63
Appendix II ‐ Acknowledgments ......................................................................................................................... 67
Appendix III – Discussion Paper .......................................................................................................................... 68
Business Recruitment | Sunshine Coast Community Forest Focusing on Wood and Forest Value ........... 68
2 Market Position Statement ........................................................................................................................... 71
3 Identify Business Wish List ........................................................................................................................... 71
4 Create a Supportive Business Environment ................................................................................................ 73
5 Make the Environment Appealing ............................................................................................................... 73
6 Overcome Barriers to Business Investment in the Area ............................................................................ 74
7 Offer Incentives, not the kind you think ..................................................................................................... 74
8 Assemble the Creative .................................................................................................................................. 75
9 Deliver your story .......................................................................................................................................... 75
10 Assemble the Package ................................................................................................................................. 76
11 Being Site Specific ....................................................................................................................................... 76
12 Generate Leads ............................................................................................................................................ 76
13 Prospecting .................................................................................................................................................. 78
14 Personal Visits .............................................................................................................................................. 78
15 The FAM‐iliarization Tour or the “Quad Cab” ........................................................................................... 79
16 Make the Pitch ............................................................................................................................................. 79
17 Close the Deal .............................................................................................................................................. 79
18 The Move...................................................................................................................................................... 80
19 The Start ....................................................................................................................................................... 80
20 What to expect when you’re expecting .................................................................................................... 80
21 Repeat the Process ...................................................................................................................................... 80
Appendix IV – Survey Results ............................................................................................................................. 81
Appendix V – Focus Group Results ................................................................................................................... 120
Appendix VI – Raw Log Exports Explanation .................................................................................................... 123
Vancouver, September 26, 2011 .............................................................................................................. 123

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Submitted to the Province of British Columbia on behalf of the Truck Loggers Association (TLA)
September 15, 2011 ................................................................................................................................. 123
Log exports: The reality ............................................................................................................................ 123
How do we best apply the existing policy to meet current objectives? ................................................... 124
A Common Problem ................................................................................................................................. 124
Coastal Log Demand ................................................................................................................................. 125
Policy Vision .............................................................................................................................................. 126
To Contact the TLA: .................................................................................................................................. 126
Appendix VII – Remarks by Executive Director Russ Cameron ........................................................................ 127
Professional Resume ............................................................................................................................................ 5
Capital EDC Economic Development Company Patrick Nelson Marshall BES SURP | Economic Developer .... 5

ii. Table of Figures
Figure 1 Triple Bottom Line Approach to Sustainability ..................................................................................... 24
Figure 2 New Zealand Relationship between target dimensions and key indicators......................................... 25
Figure 3 Economic Dependency Changes from 1991 to 2006 – Sunshine Coast ............................................... 28
Figure 4 District of Sechelt Strategic Plan 2012 ‐ 2014 ...................................................................................... 29
Figure 5 Blueplanet Value Management System Trademark ............................................................................. 57

iii. List of Tables
Table 1 International Standard Industrial Classification of All Economic Activities (ISIC) .................................. 31
Table 2 Sechelt Draft Sustainability Plan Section 2 Thriving Economy ............................................................... 37
Table 3 Community Forest Economic Diversification Issues | Opportunities Long List ..................................... 54
Table 4 Community Forest Economic Diversification Issues | Opportunities Short List .................................... 55
Table 5 Community Forest Economic Diversification Focus Areas ..................................................................... 55
Table 6 Community Forest Economic Diversification Strategic Priority Work Program .................................... 56
Table 7 Blueplanet Sustainability Check Up Categories ..................................................................................... 57
Table 8 Community Forest Economic Diversification Strategic Dashboard ....................................................... 58
Table 9 Plan Implementation Draft Budget Estimates ....................................................................................... 60
Table 10 Plan Investments in Community Capacity and Infrastructure Estimated Budgets .............................. 62

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January 21st
, 2011
Glen Bonderud
Chair, Economic Development Committee
Sechelt Community Projects Inc.
Sunshine Coast Community Forest
201 |204 ‐ 5606 Wharf Avenue PO Box 215
Sechelt, British Columbia
CANADA V0N 3A0
Via email
Subject: Sunshine Coast Community Forest Corporation Recruitment Management Plan
Dear Mr. Bonderud:
My understanding of the objectives of this investment program includes the following two
points:
‐ The Community Forest Corporation has established a "Community Forest Economic
Opportunities Fund" to help foster and create economic development opportunities on the
Sunshine Coast;
‐ These funds need to be leveraged by in‐kind and cash contributions by other organizations
to aid in achieving the overarching goal of encouraging the creation of new ventures which
will create economic benefits in the form of new property tax revenue, new employment
opportunities in terms of direct, indirect and induced jobs; and tangible secondary benefits
that are visible to the shareholder, the District of Sechelt and their constituents.
In support of this, Capital EDC Economic Development Company delivered a Decision Paper
entitled “Business Recruitment | Sunshine Coast Community Forest” in which 21 steps to
achieve successful recruitment of investment are outlined. Our initial consultation and
subsequent conversations have made me aware that there are divergent expectations
from a variety of interests in your community and I will be sensitive to those expectations
as we move through the process.
I am also aware of the need to ensure that technology and process built for this plan are
constructed by people who hold a business license in your jurisdiction and are located in
the region in which the wood is sourced. I will do my best to ensure that resident
businesses and qualified suppliers are given every opportunity to fulfill the requirements of
this plan.
The purpose of this letter of engagement is to outline the details of the services to be
provided by our company in facilitating an in‐depth program from identifying prospective
partners through to building the pieces and resources required in each step. This can best
be accomplished by the preparation of a Management Plan that will detail the
requirements of the Community Forest Corporation and others and the scope of detail
required for each stage.
I would also advise that when we have completed the plan, there will be assignments for a
variety of organizations and people. I will also identify which elements of the Plan I can
deliver under a separate agreement for implementation. My role at this point is to review

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resources, conduct interviews, shape the framework and make recommendations to your
committee. Other roles and deliverables may arise as we move through the process.
I have included a work plan that will cover off a six month period. My fee for the attached
is $10,000.00 plus HST. I expect that the majority of the work will be completed by remote
communication and that any travel and accommodation to Sechelt required by the
Committee will be arranged by the Corporation, with the exception of mileage and per
diem expenses which will be submitted for approval. Please also find a copy of references
for your use. I would appreciate a signed copy of this communication sent to my efacsimile
at +1 866 827‐1524 at your earliest convenience. Thank you very much for the opportunity.
Yours truly,

Patrick Nelson Marshall
Economic Developer

As to concurrence:

Accepted this date, January 25, 2011
Glen Bonderud
Chair
Sunshine Coast Community Forest Corporation
Economic Development Committee
Date January 25, 2011

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iv. Briefing Note
DATE: May 2012
PREPARED FOR:   Dave Lasser RPF, General Manager
Topic: Community Forest Economic Diversification Plan
Capital EDC Economic Development Company was engaged to develop an approach to economic development
for the Economic Development Committee of Sechelt Community Projects Inc. with respect to determining the
relevance and feasibility of engaging in continued and coordinated economic development and diversification.
The following report documents the findings of Capital EDC’s Economic Developer.
Issue:    What should the Economic Diversification efforts of the Sechelt Community Projects
Inc. look like?
The report demonstrates that coordinated and effective economic and diversification efforts are possible for
the Sunshine Coast Community Forest Corporation, with some refinements to the process, terms of reference,
relationships and resources at hand. The work completed to‐date is useful to bring forward into more
conventional economic development frameworks. The Board of Directors, elected in November of 2011 will
deliberate on the findings of this assessment and select the next course of action subject to a recommendation
by the President and General Manager.
Background:
The Economic Development Committee engaged Capital EDC Economic Development Company to develop an
economic development strategy at which revenues from Community Forest Operations were to be applied.
Patrick Marshall, Consulting Economic Developer visited the community on a number of occasions in the
spring and summer of 2011 to shop the communities, conduct primary research and to develop what has
become an economic diversification strategy for the Community Forest Corporation.
A decision to defer the delivery of the final plan after local government elections was made and the final
report and plan summary have been presented for review by the Committee and the staff of SCPI.
Discussion:
The financial resources available to the Corporation have been applied to sustaining the organization during a
low revenue period. Time is required to rebuild the financial resources to be deployed in this plan.
RECOMMENDATION:
The recommended option is to proceed with the first stage of the plan and develop the relationships and
communications required in order to proceed with the investment of revenues over time.
PREPARED BY:
Patrick N. Marshall
Economic Developer
DATE: May 2012

APPROVED/ENDORSED BY

DATE:

SIGNED BY:

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1.0 EXECUTIVE SUMMARY
1.1 Environmental Scan
Sechelt Community Projects Inc. [SCPI] was established during a time when local governments were seeking,
as they still do, alternate means of revenue. Local Government proceeded through various stages of
considering Casino’s, Port Development, Airport Development, Economic Development and other means of
receiving revenue than property tax. Another factor in the establishment of a separate and autonomous
community owned corporation was to be able to enter into third‐party development opportunities that are
not considered core services in the local government context and to ensure that these investments would be
free of cronyism, responsible not transparent, and accountable for decisions in the public interest.
Most community Forest organizations in British Columbia are designed to reinvest in the Community Forest,
any proceeds from the sale of wood. Sechelt Community Projects Inc. has taken the step that they wish to
reinvest in the regions Forest based economy with a view to diversifying the region’s economy, in the long
term, from its dependency on transfer payments associated with the social supports from governments
associated with retirement. It is reported that the Sunshine Coast economic base is dependent on more than
93% of local government taxes derived from residential use which places this regional economy amongst the
highest dependent regional economies in Canada.
Public perception of Community Forests gets commandeered by political and partisan interests associated
with the Major Tenure holders in British Columbia, with a focus on the export of raw logs. Industrial and
Trade Union perceptions are changing to recognize that the export of raw logs supports long term
employment objectives for the Forest Sector. This notion, combined with the fundamentals of Community
Forest management revolving around “local” control of provincially held resources, creates great
expectations for locally owned and operated organizations.
In a recent address to delegates at the Union of BC Municipalities, Russ Cameron, CEO of the Independent
Wood Processors Association of British Columbia shared the following view of his organizations current
standing:
“Update on the state of BC’s family owned, non‐tenured wood processors.
“Forty years ago, formed the Independent Wood Processors Association, or IWPA (formerly ILRA)
“We are all family owned, none of us have been given the renewable right to harvest the public’s timber, and
we all buy our wood fibre on the open market at prevailing market prices.
“We are currently working with the Department of Foreign Affairs and International Trade Canada, Natural
Resources Canada, and the Government of British Columbia on the implementation of the European
Economic Union’s Legal Harvest legislation, similar pending legislation in Australia and China, possible
changes to the United States of America’s Lacey Act, the current Australian anti‐dumping investigation, log
export policy, consultations on the CETA, British Columbia Timber Sales, Category 2, Soft Wood Lumber
Agreement extension or expiry, and the British Columbia Interior Softwood Lumber Agreement Arbitration to
name a few of the issues.
“So how are we doing?
“I am sure that you are all aware that we are in serious trouble and no doubt some of you have lost some
family owned businesses in your communities.
“Prior to the Soft Wood Lumber Agreement 2006 with the United States, our association had 120 members
employing over 4000 British Columbians.
“We have now lost 37 companies to bankruptcy or voluntary closure and most of the remaining members are
running between 40% and 50% capacity and are presently hanging on by their finger nails.1


1
Russ Cameron, CEO Independent Wood Processors Association of British Columbia September 27
th
, 2011 Vancouver, British Columbia

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This is not to say that the Forest Industry in British Columbia is dead, just that the expectation that wood
processors are in fact ready to expand their operations in the foreseeable future is not a reasonable
expectation for any regional diversification plan. There are many other constituent myths that blur the
realities of a locally managed resource that are fed by partisan political dogma, however, SCPI continues to
rise above the uninformed and manages to fulfill its relevant mandate for its shareholder, the District of
Sechelt.
In fact, the previous SCPI Manager Mr. Kevin Davies and the Chair of the Board of Directors did visit with a
Vancouver Island based manufacturer and pitched the prospects of opening a second operation in the Hillside
precinct of the Regional District in 2009 at exactly the right time. Unfortunately, the conditions changed and
that opportunity evaporated. This demonstrates that SCPI is exactly the right organization to be prospecting
for new wood and forest related business.
So what does that leave SCPI in terms of demonstrating Value for Money derived from the harvest of local
wood? Essentially, the Corporation can influence the reputation of the region for both Wood use and Forest
Use. Each has a distinct impact on the long term process of reducing the dependency on residential tax base
by growing both the Wood Use and Forest Use sectors of the regional economy.
1.2 Plan Objective
The objective of this plan is to review the current state of the Community Forest values, products and
services, identify key factors influencing related wood and forest use business opportunities and identify the
typical land use and infrastructure required for such businesses. The results of the plan will be used to guide
the further development and strengthen the regional economy.
The Overarching Plan Governance statements for both the organization and the forest are:
Sechelt Community Projects Inc. exists to optimize the value of locally and regionally owned resources, for
taxpayers, residents and constituents of the Sunshine Coast.
The Sunshine Coast Community Forest exists for people who value forests, trees, non‐timber values, woods
and the culture associated with resource management.
1.3 Assessment of Opportunities
The analytical phase of the plan was completed in two parts; initially a review and analysis of existing
economic, demographic, and regional data and plans to identify important characteristics and trends,
including economic development and associated opportunities for wood and forest use business
development; and secondly the Consulting Economic Developer completed a series of stakeholder interviews.
The findings are summarized in the following paragraphs.
Existing Strategies and Operations
Several factors were found to be influencing the ability of SCPI to deliver on its Wood and Forest use
mandates. These include:
1. The public expectation that all wood harvested by SCPI is to be purchased by businesses located in the
region;
2. The reality that the local Community Forest Corporation, SCPI can and does work with purchasers located
in the region to meet their solid wood needs;
3. There are studies, upon studies, of the subject of economic development, value added investment, and
foreign direct investment for the Sunshine Coast. Unfortunately, none of these studies are scalable to be
of relevance to the rapid and instant changes in the economic condition that enables business retention,
expansion or recruitment in diversification opportunities related to wood and forest use;
4. Sechelt Community Projects Inc. does not have the financial or governance capacity to engage their
existing volunteers or staff in full‐time economic diversification activity. In addition, the four principal
local and aboriginal governments have not decided on how to engage in full‐time economic
development.

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Therefore, implementation of the plan will be restricted to Board direction and Executive fulfillment of
decisions implemented by means of either a direct financial investment in leveraged efforts by third‐
parties under Letters of Expectation, or third‐party fulfillment by consultants under the supervision of
the General Manager of the Corporation.
Stakeholder Interviews
Stakeholder interviews indicated that the following topics were the most frequently mentioned factors in
influencing the investment of Economic Diversification fund dollars by SCPI in a targeted manner:
1. A strong desire by the Board of Directors and staff to work with existing local organizations such as the
local and aboriginal governments, Chambers of Commerce, Community Futures, and other initiatives that
promote the Sunshine Coast;
2. The existence of an economic development task force that would be a good place for SCPI to partner in
wood and forest use promotion;
3. Prospects for developing a higher level of wood and forest use awareness through direct partnerships
and investments with individual community organizations such as the Sechelt Groves Society and
Sunshine Coast Bed and Breakfast, Cottage Owners Association, the Greater Vancouver Real Estate Board
Local Brokers, the Sunshine Coast Trails Society, and the Mountain Bike Program at Capilano University
Sechelt Campus;
Opportunities Most Relevant to the Sunshine Coast Community Forest
The results of the analytical analysis and stakeholder interviews indicated that the following opportunities
represented the most promising Initiatives for the SCPI economic diversification mandate:
1. An independent wood and forest use web portal designed to tell the stories of the people that value
wood and forest use to be developed on a contract basis providing access and controls to the individual
groups that SCPI partners with;
2. Small matching capital investment in the Sechelt Groves Society, in addition to upgrading the collateral
materials and tools required for fundraising for the Groves trails and communication efforts;
3. Small matching capital investment in the Sunshine Coast Trails Society initiative to establish a sustainable
operating framework for the development of the outdoor recreation industry opportunities associated
with a regional Trail system, including the addition of the influence iof the Board of Directors of SCPI in
inviting corporate interests to participate in the completion of the regional trail system;
4. Participation in the business retention and expansion operations specifically focused on the wood
industry resident in the region to focus on the “sell local” approach to building the market for Sun Coast
Wood products, services and intellectual property, but not as an isolated effort, only as a partner in a
bigger regional effort;
5. Participation in the foreign direct investment and recruitment of new business to the Sunshine Coast
with a focus on solid wood use and access to public forest lands as a contribution to the regional
Manufacturing and Processing capacity and the Hospitality Industry that exists in the region. Again, as a
partner and not a sole initiator; and;
6. Participation in a region wide effort with peer group community forest organizations in an effort to
create a regional community forest portrait suitable for inclusion in the British Columbia Community
Forests “Bridges” initiative.
1.4 Diversification Options
The 2012 Sun Coast Wood Economic Diversification Plan acknowledges that at the present time the
community forest corporation does not have the necessary infrastructure (sustaining revenue, staff capacity,
or skill sets) in place to implement this plan or any economic diversification strategy outside its forest
management mandate. The result of the stakeholder interviews conducted for this study validated the
importance of partnership and leadership.

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2012 Page 16
However, constituents and residents of the Sunshine Coasts vast and diverse groups of neighbuorhood’s need
to be understand that the mere existence of a community forest tenure does not lead to instant investment
in the form of wood manufacturers and processors in the short‐run.  The provision of limited dollars
generated by the sale of local wood to retention and recruitment efforts alone is insufficient to attract new
business to the community because the forest and solid wood sector is still recovering from the full effects of
the waves of economic recession. The Sunshine Coast is competing with existing manufacturing‐processing
and hospitality infrastructure where existing capacity can be used more intensely, expanded more quickly, or
at a cheaper cost than providing new services on the Sunshine Cast.
Two main areas were identified regarding ways to address diversification risks. They involve consideration of
the following factors:
1. How much the Community Forest organization can implement on its own;
2. How much the Community Forest Corporation can initiate with the participation of other organizations.
The results of the review of existing operations and consultation with stakeholders clearly indicate that a
broader range of partnered initiatives would improve the success of diversification efforts. The uses to
consider include ‘wood use manufacturing and processing’ and ‘forest use’ businesses.
1.5 Recommendations
To address the opportunities profiled in this time and space, this plan makes recommendations in the
following areas:
1. Short‐term actions include (a) new communications tools to define wood and forest use awareness
created by the Community Forest, (b) the broadcast of stories by residents and newcomers that share
the same values, (c) establishing Letters of Understanding with the Sechelt Groves Society and the
Sunshine Coast Trails Society; and;
2. Long‐term actions include the negotiation of Memoranda of Understanding with each of the four local
and aboriginal governments, economic development task force, community organizations and
independent businesses with respect to wood and forest use strategies designed to diversify the regional
economy.
Short‐term Action
(a) New communications tools to define wood and forest use awareness created by the
Community Forest through the creation of a stand‐alone web site for the Sun Coast Wood
and Forest Initiative
‐ Complete a branding strategy. Suitable organizations would include the local and regional societies
surveyed, Capilano University and an open call to residents and business owners in the region. The
maintenance of the web site will be sustained by low cost subscription fees whereby, the users are given
full managed access to the resource section, blogs and most wanted sections with current information
and contact details for opportunities relevant to the wood and forest use in the region.
‐ Work with the other Community Forests in the Eco Region to build the profile for the BC Community
Forest Association Bridges project.
‐ Work with local and regional partners to identify 1 quarterly event to coat tail efforts to inform, educate
and train the residents of the coast in the value of wood and community forests.
(b) The broadcast of stories by residents and newcomers that share the same values
‐ Work with existing community media and interest groups to provide opportunities to enumerate stories
related to wood culture and forest use.
‐ Determine who the local champions are for each subject area and determine who the subject matter
experts are.
‐ Develop broadcast media including digital video, audio, print for unique distribution using local
producers.

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2012 Page 17
‐ Partner with all regional media outlets to determine how best to grow the product.
‐ Train the trainers in understanding the vocabulary and culture of solid wood use and forest uses.
(c) Establishing Letters of Understanding with the Sechelt Groves Society and the Sunshine
Coast Trails Society
‐ Develop separate Letters of Understanding that address the values of partnering with both local
organizations
‐ Both organizations speak to forest use values. Use this experience to build the wood use value
experience.
Long‐term Action
‐ Bring forward the longer term subjects upon the completion of the short term in 2012.

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2.0 INTRODUCTION
2.1 Purpose of the Project
The Sechelt Community Projects Inc. [SCPI] Economic Diversification Committee is undertaking work to
establish an economic diversification plan for the Sunshine Coast Community Forest as part of its objectives
for community fulfillment.   This will examine the factors that drive the community values associated with the
forest, the trees, the harvest, non‐timber values and ultimately, the values derived from wood harvested
sustainably in the forests. We will also define how values are derived in order to assist the public and private
sectors in better understanding the value of Community Forests.
This plan will review the current state of the Community Forest values, products and services identify key
factors influencing related business market opportunities and identify the typical land use and infrastructure
required for such businesses. The results of the plan will be used to guide the further development and
strengthen the regional economy.
The success of this project will depend on the input and participation of the many residents, stakeholders,
government representatives and aboriginal government representatives affected by this community and
region wide opportunity.  Your cooperation in helping us carry out this work will enable us to make this plan a
success.
2.2 Plan Statements include:
Overarching Plan Governance:
Plans have a direct relationship to the Board of Directors and senior staff person that adopt them. In order for
people outside the process to understand what a plan is about, they are expressed as statements. In this
case, there is a plan statement for the organization and one for the Community Forest:
“Sechelt Community Projects Inc. exists to optimize the value of locally and regionally owned
forest and wood resources, for taxpayers, residents and constituents of the Sunshine Coast.”

“The Sunshine Coast Community Forest exists for people who value forests, trees, non‐timber
values, woods and the culture associated with resource management.”
Plan Vision:
The vision for this plan is to work on a regional level to amplify all community forest efforts for the benefit of
all.  Suitable plan vision to describe the value of this plan would be:
“In the next thirty six months, The Sunshine Coast will be recognized nationally for redefining how
people see and use wood from Community Forests, will have a partnership consisting of 3 of 4
prospective Community Forest Corporations from the same coastal eco‐zone profile and will and
hold supplier, producer and buyer events twice annually.”
Our Plan Mission:
The Plan only has one mission. However, to understand the Plan mission, the organization and community
forest mission’s must be stated so that third‐party’s can see how they link:
“The economic diversification plan exists to optimize the value of trees and wood harvested from
Community Forests on the Sunshine Coast, increasing the return on investment, value for money
and will benefit tax payers and shareholders by demonstrating the value of community.”
“Sechelt Community Projects Inc. was founded to help people understand the value of Community
owned and operated resource management.”
“The core business of this community corporation is to profitably manage public tenures, exceeding
Government of British Columbia objectives and standards, and to provide harvested wood products
and services to the market.”

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2012 Page 20
Sunshine Coast Community Forest Market Position Objectives:
The following are objectives derived from the list of Sunshine Coast Community Forest Objectives that the
economic diversification plan will address. They include:
Support and increase local jobs
This plan approaches job retention, expansion and recruitment in all five industrial sectors. It will also link and
demonstrate how these five categories work in tandem at any given time. This Plan does not pick winning
sectors, but rather, assists the Corporation and community in moving forward in tandem.
Community Involvement
Community Involvement at this level is interpreted to mean community organizations that choose to partner
with SCPI in developing an economic diversification plan.
Promote community participation
The economic diversification plan will track and report out on all units of values measured in the Plan from
Forest, Timber, Non‐Timber Value to Wood uses.
Promote recreation within the Community Forest
The Plan will communicate, market and advocate recreational uses in the Forest, as well as connections to a
regional system of trails, botanical inventories and recorded animal sightings.
Educate community about forest resources
The education program at this level requires connecting public schools to post‐secondary programs and
designing a system where residents have opportunities to receive training and education in Forest work force
occupations and retain the opportunity to work in the region.
Communications program
The economic diversification plan communications program will focus on real people through testimonials
and story‐telling.
Economic Development
In this context, tactics from community development, community economic development and pure economic
development will be deployed on a number of levels to optimize and energize the economic diversification
plan.
Promote value‐added manufacturing
The day for value added manufacturing in the commodity market based huge planer mills and mega lumber
mills has passed. The volume of wood required to support such an investment is more than 500,000 m3,
when the local available is pegged currently at 20,000 m3. However, this economic diversification plan will
demonstrate wood use on multiple levels, driven by industry and commercial examples.
Support non‐timber product activities
Taking a page from the Botanical Gardens Society recent success in building community support, the
economic diversification plan will engage a variety of organizations, some resident, and others regional, to
build a wider community of people that value the non‐timber opportunities offered by Community Forests.
2.3 Approach and Methodology
The Plan is divided into 5 basic stages which commenced in July 2011:

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2012 Page 21
Research Stage 1
Stage 1 involved the surveying of people to inform the strategy. Surveys of a number of small groups took place before
the Plan could be set. The results of these conversations inform the Plan and aid the Committee in being certain about
the course of work.
Strategy Stage 2
Each interview and survey provided a unique insight into what is and what is not possible. Members of the Committee
have initiated this process by inviting the owner of one of the companies they do business with to Sechelt from
Vancouver to take a look at a number of opportunities and provide his insight to the Committee.
Each of the functions defined in the Glossary of Terms requires evaluation as to the feasibility of application in Sechelt.
This is done by process of elimination in discussion with the people interviewed in stage 1. The purpose of this stage is to
focus on 3 or 4 key functions that will become targets for the Plan. The list is maintained in its entirety in the Appendix so
that as the plan rolls forward and targets are fulfilled, they can be replaced with other functions from the list in an orderly
fashion.
Building Stage 3
This stage may be started prior to the completion of the previous stage. Each stage may be concurrent as opposed to
sequential. Web Sites, communications plans, engagements strategies and other functional tools get deployed from the
day that the Plan hits the Committee table.
Narratives, testimonials and referrals are all a part of stages 1 and 2, but their real usefulness is in Building the look and
feel of the Plan. The qualities that make up the Sechelt Brand are derived from the conversations taking place at all levels.
By engaging someone from outside the community, the Committee stands a better chance of hearing the unique features
of the Forest, the Wood and the people that value both.
Implementation Stage 4
For this Plan, implementation will be concurrent and mapped out along with budgets and resource requirements. Some
elements may not be implemented for lack of resources. Others will move ahead due to the availability of volunteered
and in‐kind contributions.
Assessment and Reposition Stage 5
The Plan is designed to be assessed quarterly and metrics will need to be designated so that the Plan is SMARTER:
Letter   Major Term   Minor Terms
S   Specific   Significant, Stretching, Simple
M   Measurable   Meaningful, Motivational, Manageable
A   Attainable   Appropriate, Achievable, Agreed, Assignable, Actionable, Action‐ oriented,
Ambitious, Aligned
R   Relevant    Realistic, Results/Results‐focused/Results‐oriented, Resourced, Rewarding
T   Time‐bound   Time‐oriented, Time framed, Timed, Time‐based, Time boxed, Timely, Time‐Specific,
Timetabled, Time limited, Track able, Tangible
E   Evaluate     Ethical, Excitable, Enjoyable, Engaging, Ecological
R   Re‐evaluate   Rewarded, Reassess, Revisit, Recordable, Rewarding, Reaching
To identify appropriate targets for repositioning of the plan (social, economic, environmental & governance) for this
community, the Committee needs to first analyze deficits (or opportunities) by specific category. Those categories that
make market sense are then analyzed to make sure they fit into the niche, space utilization (specifically clustering) and
marketing (specifically target market). The Network will use the following criteria in finalizing our wish list:
 Is there appropriate space in the area for this type of activity?
 Will it complement existing activities?
 Will it serve targeted segments of the community?
 Does it fill an important gap in the social, economic, environmental and governance mix?
 Will the activity strengthen an existing cluster of community interests?
 Was this activity category identified as important in local and sub area research?
 Does demand and supply data support the need for this type of activity?

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 Does the activity fit it with the market position and vision statements?
A short term assessment will be required prior to setting terms for the Value Management Plan
2.4 Assumptions & Limiting Factors
There are many physical, legal, public and market constraints that govern the Sun Coast Wood Economic
Diversification Plan and impact the plan recommendations. As the development of the community forest
proceeds, the impact of these constraints should shape and influence the effectiveness of the plan tactics.
Changes in development tactics should be expected over the longer term.
Development and land use at the community forest is impacted by federal, provincial and local government
legislation, regulations and bylaws, but not limited to:
a. Federal: Canadian Environmental Assessment Act.
b. Provincial: Agricultural Land Commission, Environmental Management Act, Land Title Act,
Local Government Act.
c. Local: District of Sechelt Official Community Plan and the Sunshine Coast Regional District
Official Community Plan.
This report does not contain a financial analysis describing the impact of the plan on the cost of Community
Forest operations, or customer service levels. Rather, the intent of the plan is directional in nature. It puts
forward specific measures that could be taken should policy makers decide to pursue various tactics for
increasing diversification activity and further Wood and Forest use development. An assessment of the
benefits of implementing any of the plan measures will need to be balanced with the willingness and ability
of Wood and Forest beneficiaries to share in costs that may be associated with development, or
improvements. It is also important to note that financial resources available to apply to the plan will change
over time. Thus, the Sechelt Community Projects Inc. Board of Directors will need to be mindful of such
changes before initiating any plan efforts.
The report needs to be considered in its entirety; information in individual sections should be considered in
the context of the scope of work and the purpose of this plan. The information contained in the various
sections may or may not be suitable for reproduction as a stand‐alone document. If, for any reason, should
major changes occur, the findings and recommendations contained in the plan team’s analysis should be
reviewed.

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3.0 PROJECT CONTEXT
3.1 Regional Economic Summary
When this work was commissioned in January of 2011, there was an expectation that the result would take
the form of an economic development plan or strategy. Through extensive consultation it was decided by the
Economic Development Committee that a focus plan be prepared that incorporates interests in wood and
forest values.
A review of documents predating this work revealed a number of interests in pursing the diversification of
the wood and forest uses in the region.
“Diversification
Diversification has become a critical objective as the traditional resource base of the economy
changes. Residents of the Sunshine Coast desire an economy that is stable, sustainable, competitive
and provides opportunities for all. Importantly, diversification can occur within as well as across
sectors. Opportunities are available in growing sectors such as tourism and high‐tech, but
diversification can also occur in traditional sectors like forestry.

“Sustainable Development
The Sunshine Coast recognizes the value of the natural environment as an asset in the continued
sustainable development of the community. Sustainable development will attach limits to
production and consumption so that the choices of the next generation are not impaired. If we
overharvest or over‐pollute, we are eroding the foundation of our future economic opportunities.
Sustainable development can also include community heritage, local arts and cultural resources,
indigenous crafts and skills, and folklore, all of which contribute to the quality of life gained from
social and cultural diversity.” 2

For the purposes of this plan, the following graphic will represent the definition of sustainability:

2
Community Economic Development Strategic Plan Lower Sunshine Coast, Lions Gate Consulting Inc., Vancouver, British Columbia,
CANADA September 2002 pp. 10

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2012 Page 24
Figure 1 Triple Bottom Line Approach to Sustainability
3

Unfortunately, this graphic excludes the fourth pillar known as “Governance”. This is a key element in the
fundamental advantage of a local Community Forest Corporation: Local Control of Resources. The
opportunity to influence decision making on growth, harvest and the investment of proceeds locally is one of
the key advantages to Community Forests to any local or regional community. Understanding the scope of
sustainability in this context is also important.
In 2008, the Government of New Zealand revisited some of its definitions and produced the following graph.

3
http://www.gcbl.org/economy

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2012 Page 25
Figure 2 New Zealand Relationship between target dimensions and key indicators
4

The details identified in the 2002 Regional Strategy included:
 Supporting a proposed Wood Innovation Centre
 Investigate opportunities associated with International Forests operations; and;
 Develop a value added land use zone and provide supportive infrastructure.
By 2011, the outlook for value added manufacturing and development has declined to the state described by
Russ Cameron, Executive Director of the Independent Wood Processors Association of British Columbia
address to the Mayors at UBCM 2011. This means that short term expectations for investment in wood
manufacturing and business infrastructure on the Sunshine Coast should be positioned as a long term goal.
Defining the regional economic scan for this region was facilitated by recent presentations.
There was a transfer of responsibility from the Government of Canada to the Government of British Columbia
in 2009 which resulted in a gap in workforce and human resource development information for many areas in
British Columbia. Fortunately, local organizations such as the Sunshine Coast Credit Union and the Sunshine
Coast Community Foundation steeped up to ensure that business case information is available in the interim.
Vital Signs is a review of socio‐economic factors released October 4th
2011 by the Sunshine Coast Community
Foundation. It reports on the key areas defined by the Community Foundation for its key areas of interest. It
is part of a National Strategy which is highly collaborative inside the community. It is important to note that
the report makes no assertions as to the negative or positive nature of the information. It is not a critical
review of core information required to make business decisions regarding investment in the region.
Highlights from this report pertinent to this plan include5
:

4
http://www.stats.govt.nz/browse_for_stats/environment/sustainable_development/key‐findings/further‐discussion‐on‐sustainable‐
development.aspx

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2012 Page 26
 “Most pervasive theme is the aging of the population impacts life on the coast;
 Demographics impact on the choices available to deal with challenges in the region;
 Steady growth in population not by birth, but by immigration of 55‐65 increasing 20% in ten
years;
 Trend is greater on the Sunshine Coast than in the lower mainland and in Canada;
 Decline in the number of students in the school system;
 Capilano University is the destination of choice for local graduates;
 Higher rate of alcohol and drug use in school students than the provincial average;
 Challenges for young adults in their twenties and out migration of young adults;
 VOICE survey indicates lack of entertainment and education facilities causes of migration;
 Living wage the same as metro Vancouver and slightly higher than metro Victoria;
 Affordable and special needs housing is a concern.”6

One of the many local initiatives facilitated by the Community Foundation was the establishment of a Task
Group focused on the plight of young adults on the Coast, one of those challenges identified in the Vital Signs
Report 2011.
“On May 14, 2010, the Foundation organized a workshop with over 50 participants representing all
segments of our community. The workshop expressed significant support for moving forward with a
community plan and partnership model to address the problem. A task force was identified and
appointed to work on the plan and partnerships, and to deliver this community plan as a result.”7

The Task Group is working on several actions which may coincide with some of the actions identified in the
Sun Coast Wood plan. The VOICE actions include8
:
1.   Develop a young adult branding strategy to be broadly accepted and integrated within an
overall Coast‐wide brand, including:
 High community potential and interest for post‐secondary expansion*;
 Sustainability/outdoor lifestyle*;
 Alternative educational options for children, including early years;
 Home‐based/ Information Technology/ telecommunications innovation;
 Labour market development for employment opportunities*;
 Inclusion/welcome of young adults and families in local strategic plans*;
 Entertainment and activities for young adults/”nightlife.”
2.   Establish a user‐generated Sunshine Coast social media website to engage residents, attract
non‐residents, and to act as an interactive and influential branding platform*.
3.   Develop VOICE (focus group of young people for this initiative) into an Advisory Council for
sustained leadership, and “leadership pool” for further community input and engagement.
4.   Listen and learn about the strengths and opportunities of young adults living on the Coast*.
5. Promote and encourage a vibrant nightlife for the younger generation.
6.   Promote and expand succession planning that is occurring on the coast*.
7.   Endorse a regional (Coast‐wide) economic development function.
8.   Support employment clusters “of excellence” such as Intelligence Services*.
9.   Form an integrated‐community Apprenticeships program*.
* Subjects of intersection

5
  http://sccfoundation.com/vitalsigns/
6
Katherine Esson remarks at Sunshine Coast Credit Union breifing
7
http://www.voiceonthecoast.com/#b0f/custom_plain
8
http://dl.dropbox.com/u/2399326/Community%20Plan%20July%2015%202011.pdf

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2012 Page 27
Central 1 Credit Union was engaged by the Sunshine Coast Credit Union to prepare a report on “The Future
Business Environment of the Sunshine Coast: A 10‐Year Forecast.” Mr. Helmut Pasterick, Chief Economist for
this organization that leads Credit Unions in both British Columbia and Ontario, reported his findings on
October 21st
, 2011 to an audience hosted and sponsored by the Sunshine Coast Credit Union9
. The Credit
Union identifies the role of educating the public about factors influencing their local and regional economy as
being a key responsibility of the organization.
Key messages from this presentation included:
“Economic summary:
 Economy less dependent on natural resources, more service industry‐oriented economic base
 Businesses are smaller sized, reflecting a smaller market
 Long‐term decline in primary industry jobs; mainly forestry, fishing;
 Port Mellon mill largest employer
 A significant number of workers commute or have no fixed workplace address
 Some concentration in primary resources, mining, construction
 Services industry concentration limited to retail trade and arts, entertainment, and recreation
 Economy largely dependent on external factors for growth with some lift from local growth
conditions
 Construction and real estate at cyclical high in 2006; accounts for much of measured regional
shift or local growth advantage
 Large local growth advantage in retail trade
 Local growth conditions positive for IC (information and cultural), ASW (administrative / support
/ waste management), and PST (professional/technical/scientific) industries
 Accommodation‐food services a growth laggard – measurement issues or underlying
shortcomings?
 Relatively high dependence on non‐employment income (pensions, dividends/interest, annuities,
etc.) and transfer payments (CPP, OAS, GIS, EI, etc.)
 Higher growth phases associated with higher in‐migration, expansion in real estate activity, and
more construction to meet higher residential and non‐residential space demands
 Local economy currently in low‐growth phase”
This economic dependency slide from Mr. Pasterick’s presentation illustrates one of the single most
important messages to residents who may or may not be owners of small businesses on the coast, or, for the
most part, are, or have been employees and may not understand how the local economy works. It shows that
the Forest economy is as important to the sustainability of the region as Financial Transfers from
Governments to constituents in the form of EI and other social supports, and those transfer related to
retirement, pensions and other incomes.
This is not a positive indication for the future in that Government Transfers and Pension transfers do no
generate dollars for the region, they consume dollars. The only sector generating incom3 by means of exports
is the Forest Sector. Do not confuse this with the concerns over the export of raw logs. The ability of residents
to generate income for the future is restricted to a declining number of individuals carrying the burden of
supporting the rest of the citizens. This is not sustainable in the near future.

9
https://www.sunshineccu.com/Personal/AboutUs/WhatsNew/News/FutureBusinessEnvironment/

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2012 Page 28
Figure 3 Economic Dependency Changes from 1991 to 2006 – Sunshine Coast
10

It was also significant that Tourism or the Food Service and Hospitality segment of the retail economy does
not support the region economically. This is not to say that this segment cannot be grown over time,
however, significant infrastructure investments will be required to establish this segment as a supporter of
the region.
“Residential summary:
 Housing sales and construction activity highly cyclical Large non‐local ownership of residential
properties;
 Generates large seasonal increase in population
 Majority of non‐local owners from lower mainland
 Non‐local ownership highest (80%) in SCRD
 Within incorporated areas, non‐local ownership highest in District of Sechelt
 Current housing market conditions ‐ sales sliding lower, large number of listings on the market,
price weakness, low construction volume”
It was startling to hear that fifty percent of the ownership of single family homes is by absentee owners. The
percent is higher in rural electoral areas of the regional district. This typically results in a biased perception of
a vision for the community that conflicts with what the resident owners desire. This may account for some of
the rural urban differences in expectations for industrial versus no industrial maintenance or growth that
have been experiences in the region, such as the perceived anti‐forest harvest and anti‐fish framing lobby
from a few of the rural residents.

10
The Future Business Environment of the Sunshine Coast, Central 1 Credit Union in association with the Sunshine Coast Credit Union
October 21st, 2011 power point presentation H. Pasterick

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2012 Page 29
“Forecast Summary to 2021:
 Higher growth largely depends on stronger economy and housing markets in Metro Vancouver
and B.C. leading to more in‐migration and non‐local ownership activity
 U.S. economy in sub‐par growth phase for another two or more years;
 intensifying sovereign debt problems in Europe;
 External growth outlook improves in medium and longer term but business cycle timing
uncertain;
 Economy improves in second half of ten‐year forecast;
 Local economy faces weak to modest growth in 2011 and 2012;
 improves later in forecast period;
 Higher in‐migration and population growth drives real estate, construction, and retail
employment.”
Mr. Pasterick recommends a number of economic development initiatives for the region:
1. Grow your Exports;
2. Encourage import substitution; and;
3. Promote and market the region.
Figure 4 District of Sechelt Strategic Plan 2012 ‐ 2014

The local government strategy is supported by this diversification plan as it works for the Vision, Mission and
the following Very Short Term Goals:
7. Contributes to the development of a business development process; and
11. Encourages the increased use of all venues such as the Hidden Grove and Trails.
High Impact – Short Term Goals:

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2012 Page 30
1. Fostering Partnerships;
4. Supports outdoor recreational amenities | venues;
6. Promotes the Vision for Sechelt; and;
7. Fosters productive, accountable, effective and efficient local government.
3.2 Wood Products and Services
The recent report authored by Central 1 Credit Union acknowledged that there is sufficient business to
support a solid wood segment of the Forest industry in the region.
“According to the Ministry of Forest and Range, seven mills operated in the SCRD in 2010 producing
pulp and paper, wood chips, and log homes. Since the 2002 permanent closure of the Bayside
Sawmills Ltd. in Port Mellon, the number of mills operating in the SCRD has remained constant.”11

In a report commission by Sechelt Community Partners Inc. in 2008, a researcher concluded that the wood
industry was comprised of a significant number of businesses which would attract the definition of a wood
cluster.
“The numbers of wood‐related business on the Sunshine Coast are estimated at 38 value‐recovery
businesses (including giftware, furniture, cabinetry, recyclers and others); 27 contractors (includes
new home builders and renovators); 5 lumber wholesale/retailers; and 12 architectural and
engineering firms.  All are currently extremely busy.  Many contractors have building commitments
that extend for from one to several years.”12

The report further concluded that the 100 mile market is in effect in this region. Like the 100 mile diet, the
market analogy describes the relationship between harvesters and manufacturers located in the region.
“Most purchase their wood supply dry and often milled. They also purchase locally whenever
possible.  With the production from the SCCF and from the log sorts located in Howe Sound, we have
available the raw logs necessary to meet all of their softwood and local hardwood needs.  However,
we currently do not have production scaled sawmills, kilns and milling machinery to produce the
materials they require.”13

The report fell short of realistic fulfillment of prospects. It was a platform to make the case for the Sechelt
Community Projects Inc. to spend more money on more consulting with no guarantee of a result. The report
speculated at manufacturing opportunities related to proximity to the resource.
“Short and long term phases for the development and enhancement of our value‐recovery wood
businesses are presented.  Businesses must consider larger markets than here.  Quality, pricing and
delivery must be competitive with off‐coast businesses. A feasibility assessment for this phase,
accompanied by the development of a business case is recommended.
The following should comprise the 2‐year short term phase
 Supplying logs, Particularly cedar and fir, to sawyers;
 establishing commercial scale dry kilns;
 a truss plant;
 a planer mill with related capabilities

11
   The Future Business Environment of the Sunshine Coast, Central 1 Credit Union in association with the Sunshine Coast Credit Union
Vancouver, British Columbia, CANADA, October 21st, 2011 page 15
12

Pre‐feasibility Study for Value Recovery Business Opportunities on the Sunshine Coast, D.J. Gillis, Roberts Creek, British Columbia,
CANADA, March 2008 pp. 27
13
  Pre‐feasibility Study for Value Recovery Business Opportunities on the Sunshine Coast, D.J. Gillis, Roberts Creek, British Columbia,
CANADA, March 2008 pp. 27

2012 May SCPI Economic Diversification Plan Final

2012 May SCPI Economic Diversification Plan Final

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2012 May SCPI Economic Diversification Plan Final