In 1971, the Province of British Columbia adopted legislation to allow municipalities to enter into Land Use Contract (LUC) agreements with landowners and developers to address how land would be used and developed. These comprehensive agreements replaced the regulations that had previously governed the use and development of the land. They included regulations similar to those found in zoning bylaws, development permits, subdivision and servicing bylaws. The LUC had to be followed and registered on the Certificate of Title to the land.
The Province has mandated that LUCs be terminated June 30, 2024. The Local Government Act requires municipalities to have "underlying zoning" in place, by June 30, 2022, for those properties currently governed by an LUC. All properties with the City of Vernon have been assigned an underlying zone from Zoning Bylaw #5000, including those properties that are governed by an LUC. Although all properties regulated by an LUC have an underlying zone, this zone has no effect on the land uses, density or building siting until the LUC is terminated or discharged. If a property sits within the boundaries of an LUC, all land use regulations are set out in the LUC. Once the LUC has been discharged or terminated, the underlying zoning for the property automatically comes into effect.