Commercial ratepayers in Fort Frances will see a decrease in their tax rates for a second consecutive year after town council passed a bylaw Monday night to drop the ratio down to 2.99 from 3.09 in 1999.
That means for every one dollar a residential ratepayer would pay, a commercial ratepayer will pay $2.99.
But council stressed the $25,000 this decrease will cost isn’t being shifted on to residential ratepayers as a similar cut was this year. Instead, the savings will be found through internal efficiencies.
Coun. Struchan Gilson voted against the drop, noting the town operated without a tax increase for years, which he felt indicated it already found efficiencies.
“Efficiency means to me that somewhere down the line, we’re going to start affecting services,” he told councillors, adding once the rate came down, it couldn’t be put back up.
And he questioned what it would mean further down the road.
While there would be a vote each year as part of the budget process, CAO Bill Naturkach noted council gave further direction during the ’98 budget process to gradually bring down the commercial tax rates again in 2000 and 2001–with the direction that the cost not be shifted to the residential ratepayers but found through internal efficiencies.
Coun. Sharon Tibbs said the issue of gradually reducing commercial tax rates, which came as a recommendation from the Administration and Finance, was discussed at great lengths and supported by the majority of council.
Coun. Gilson also was the lone councillor to oppose a bylaw that excluded similar to charitable organizations from a rebate, noting this was a way to solve some requests from organizations for tax relief.
Other bylaws passed Monday regarding the ’99 budget included:
•establishing various tax classes (as was done in ’98);
•taxing commercial vacant units/excess land and commercial vacant land at 70 percent of the commercial occupied rate, and industrial vacant units/excess land and industrial vacant land at 65 percent the rate for industrial occupied; and
•authorizing landlords with gross leases to pass on a portion of their realty tax onto tenants in commercial or industrial properties.
Also Monday night, council:
•approved the $44,000 November payment to the Northwestern Health Unit;
•referred a request from the Northern Action Group (NAG) for a commitment on the handi-van bus service to the Community Services executive committee; and
•approved the $951,000 municipality and school board repayment, pending confirmation from the town treasurer on the figure.
Fort Frances Times
Local News from Across the Rainy River District
