Results of Provincial Reassessment

1
Results of Provincial Reassessment

• Presentation to Corporate Services Economic
  Development Committee
• October 3, 2005

2
Provincial Reassessment 2005

• Annual reassessment as prescribed by Province
• All properties revalued
• Updated values from June 2003 to January 2005

3
Provincial Reassessment (cont)

• New assessed values determine the share of total
  taxes that each property will bear
• Taxes on every property will either increase or
  decrease based on actual valuation changes

4
Provincial Reassessment (cont)

• Reassessment does not change the total taxes
  collected by the City
• Legislation requires the City to recalculate its
  tax rate based on new assessment values and
  reduce the tax rate so that no new revenue is
  received

5
Assessment Changes by Property Class
Average 12.2
6
Reassessment - Overall by Ward
7
Reassessment - Residential by Ward
8
Reassessment Multi-residential by Ward
9
Reassessment Commercial by Ward
10
Council recommendation May 2005

• That the City request the Minister of Finance to
  pursue permanent changes to property tax policies
  that would give the municipality greater
  flexibility and options in dealing with
  reassessment changes, tax shifts, capping
  requirements and mitigation methods for 2006 and
  future years.

11
Impacts of Provincial Reassessment

• September 30, 2005 , Premier indicated that no
  new legislation coming to alleviate impacts
  (unlike 2004/2005)

12
Provincial Reassessment

• Province controls
• Frequency
• Assessment policy
• Tax legislation
• Flexibility

13
Impacts of Provincial Reassessment

• Multi-residential class restricted to 10 cap on
  reassessment tax impact
• Resulting capping shortfall to be recovered from
  other classes

14
Impacts of Provincial Reassessment

• Commercial class is above provincial threshold
• Legislation requires that no new taxes be levied
  until at or below threshold
• For 2006 and onwards, only residential,
  multi-residential and industrial classes can be
  taxed for budget increases

15
Taxation Changes by Property Class
16
Reassessment - Residential Tax Changes
17
What can a property owner do?

• To see what individual residential impacts are
  estimated to be visit the Property Taxes section
  of the Citys website

18
What can a property owner do?

• If concerned with valuation contact Property
  Assessment Corporation per assessment notice
• If concerned with provincial tax policies contact
  MPP