Vernon City Council Rejects 580 Commonage Development 4-3

June 1, 2026 - In a packed special meeting Monday morning, Vernon City Council voted 4-3 to reject a major proposed hillside neighbourhood at 580 Commonage Road prompting cheers from the packed gallery.

Crowd Cheers as Vernon Council Against Commonage Proposal 4-3

After reviewing an independent Life Cycle Cost Analysis, a long-term financial study that projects the full operating, maintenance, and infrastructure replacement costs of a development versus the tax revenue it will generate over decades, council voted against giving the project second reading.

This means the proposal will not proceed to a public hearing.

The Vote Against (defeating the project):

Mayor Victor Cumming, Councillors Brian Guy, Teresa Durning, and Kelly Fehr

In favour:

Councillors Kari Gares, Akbal Mund, and Brian Quiring

As soon as the result was announced, many in the gallery erupted in loud cheers and applause.

An independent report requested by council and prepared by Christopher Paine of FIT Local Government Consulting concluded that, at full build-out (after the estimated 20-year development period), the roughly 3,500-home development would create an ongoing annual shortfall of approximately $5.45 million for the City of Vernon.

According to the report this gap would likely require a city-wide property tax increase of roughly 7.7% to cover extra costs for policing, fire services, roads, parks, and long-term infrastructure replacement.

Development Cost Charges (DCCs), one-time fees paid by the developer to help cover new roads, water lines, parks, and other growth-related infrastructure, were also discussed.

The developer claims the project would generate about $100 million in DCCs, but the report found these would not fully offset the long-term operating deficit.

Developer Kerkhoff Develop-Build called the decision “unacceptable,” arguing the project should have gone to a public hearing.

In a statement, CEO Leonard Kerkhoff said the financial analysis failed to properly account for the DCCs and that the project would be essentially break-even for taxpayers.

The proposal, which included attainable housing units and significant parkland dedication, had sharply divided the community.

The project is now effectively dead in its current form. The developer may choose to submit a revised application with changes to address the cost concerns, though no immediate next steps have been announced.

Vernon City Council Rejects 580 Commonage Development 4-3