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Home My WebLink AboutCS 28-04Report Number: CS 28-04 Date: September t, 2004 ~From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: 2004 Final Tax Due Dates for Commercial, Industrial and Multi- Residential Realty Tax Classes and Tax Rates Recommendation: It is recommended that report CS 28-04 of the Director, Corporate Services & Treasurer be received; and that: the Director, Corporate Services & Treasurer be authorized to issue the FINAL 2004 Tax Bills for Commercial, Industrial and Multi-residential properties with a due date of October 15th, 2004; the Director, Corporate Services & Treasurer be authorized to make any changes or undertake any actions necessary, including altering the due dates, in order to ensure the tax billing process is completed and in order to comply with Provincial Regulations; the necessary By-law attached to this report be read three times and approved; and, the appropriate officials of the City of Pickering be given authority to give effect hereto, Executive Summary: Adoption of the above recommendations and passing the attached By-law provides for the final 2004 tax billing for non-residential tax classes (commercial, industrial and multi-residential) and provides for the establishment of the non-residential property tax rates for 2004. Schedule A of the attached By-law also consolidates all of the City's 2004 tax rates and final due dates. -- ,~T. r 200a Tax Due Da',es for .... ,~e~%¢' ~ a,, U;asses and Tax ~ates Financial Implications: The attached By-law is for the FINAL billing of 2004 property taxes for commercial, industrial and multi-residential properties. This billing of final property taxes will raise approximately $23.1 million for the City, Durham Region and School Boards. Tax bills for the Residential tax classes were issued on June 14, 2004 with due dates of July 16th and September 29th. Background: The City of Pickering will soon be in a position to issue the find 2004 property tax bills in accordance with the capping provisions of Bill 140, Continued Protection For Property Taxpayers Act, passed by the Province on December 4, 2000 and implemented through various Regulations. This legislation was put in place to limit assessment reform related increases to 5% per year on commercial, industrial and multi-residential properties. Under this legislation, property owners facing increases due to property assessment reform had their increases "capped" (reduced). Conversely, those properties experiencing decreases were limited to that permitted under the legislation. This meant that taxes have to be "clawed back" from those experiencing decreases to fund the loss of revenue resulting from the capped increases. The funding of the capping protection is "paid for" on a Region wide basis. The Region of Durham acts like a banker in this process. In other words, the total cost of the capping protection for example, the commercial tax class is paid for by the other commercial properties throughout the Region by having a portion of their related property tax decrease withheld (clawed back). As part of the Region wide process, City of Pickering uses a Provincial database program called "Online Property Tax Analysis" or OPTA to' verify non-residential assessment data. Every municipality within Durham Region uses the OPTA system. The OPTA system became operational in mid April and taxation staff worked throughout the spring verifying the data and investigating the discrepancies. Assessment Review Board decisions and Minutes of Settlement were incorporated into the capping calculations up to May 7th, which was the cut-off date for these changes. After this date the area municipalities would have completed their analysis of the assessment and taxation data. Schedule A of the attached By-law lists the 2004 tax rates used by the City, School Boards and Region of Durham for the calculation of property taxes. The 2004 residential tax rates were approved by Council on June 7th, 2004 and all of the 2004 tax rates and final due dates are presented in one schedule for presentation and consolidation purposes. For this year, the City of Pickering issued an interim tax bill to these realty property tax classes with two installment dates (February 26th and April 29th). The proposed final installment date of October 15th, provides these tax classes with some additional time to pay their tax bill. Table One below, provides a breakdown of the final billing dates for the non-residential tax classes from 2000 to 2004. ~.,~c.:-¢. .... -~-' 'z Da~e: September 1 200~z ~.,.,~..~..~.~ .... i~,~.~. :2,~64 Finai Tax Due Dates for C~mmerc,ah" ' ~n~us,' " "~,a~ and Viuiti- ?~ge :3 ;Residenq-2i Reait¥ 7ax Ciasses and 7,ax Rates Table One Non-Residential Final Billing Dates Year Number of Date installments 2000 One 2001 One 2002 One 2003 One 2004 One October 13, 2000 October 29, 2001 October 29, 2002 October 15, 2003 October 15, 2004 As Table One indicates, the proposed 2004 final due date closely follows the pattern established during the last four years. The one installment date will assist the City in managing its cash flow due to the fact the total School Board payment of approximately $9.9 million which is required on September 30th. Attachments: 1. By-law to establish the 2004 Tax Rates and Final Installment due date for the Commercial, Industrial and Multi-Residential tax classes. Prepared By: Approved ! Endorsed By: St~"'Karwowski Manager, Finance & Taxation ~i~'~ Director, Corporate Services & Treasurer GAP:vw Attachment Copy: Chief Administrative Officer Recommended for the consideration of Pickering City Council Thomas J. Quinn, Chief Administrative Officer. i-_-szaaiis¢c ':ne £-SO~ ~ax/a~,es /or -~he .}:cremate:al :naus-ma~ sn,:~ ,'~ulti-Residemial Tax Ciasses and :.:o consolidate aii of :he C;?. ,:ax rd[es and to levy the FINAL ;ax bills for 'the Cammerma¢ pdus,:r]a~ and ;wuiti-residentiai taxes Tot the year 200'4. cV;-~EF~EAS ~t s ne.sessan; .'.'or the Council of 'The Comora'[ion of ,:he City c.; ,-~nk~=..'-~}o :x.:muan~ :o :nd ,?lun~c~,Dal AcL 2001r S.O, 2001. c,25 as amended, to ;sass a 8v.-!a,.,v ... svy 3 seDate'ia ,:ax :'aTe on the assessment in each propem/class: anco. WHEREAS the property classes have been prescribed by the Minister of Finance under [ne Assessment Act, R.S.O. 1990, ch.A,31 as amended and its Regulations; and. Cv'HEREAS it is necessary for the Council of The Corporation of the Citv of ?ickefing, sursuam to the Municipal Act, 2001, S.O. 2001, c.25, to levy on the whole ratable properzy according to the last revised assessment roll for The Corporation of the City of Pickering. WHEREAS the Regional Municipality of Durham has passed By-law No. 29-2004 to establish tax ratios and By-law No. 27-2004 to adopt estimates of all sums required by The Regional Municipality of Durham for the purposes of the Regional Corporation and Byqaw No. 30-2004 to set and levy rates of taxation for Regional Solid Waste Management and By-law No. 28-2004 to set and levy rates of taxation for Regional General Purposes and set tax rates on Area Municipalities; and, WHEREAS it is necessary for the Council of The Corporation of the City of Pickering pursuant to the Municipal Act, to levy on the whole ratable property according to the last revised assessment roll for The Corporation of the City of Pickering for the current year; and. WHEREAS an interim levy was made by the Council of The Corporation of the City of Picketing (pursuant to By-law No. 6257/04) before the adoption of the estimates for the current year; and, WHEREAS sub section 342 (2) of the Municipal Act, 2001, S.O. 2001, c.25 as amended, permits the ~ssuance of separate tax bills for separate classes of real property for year 2004. NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF PICKERING HEREBY ENACTS AS FOLLOWS: FOr the year 2004, The Corporation of the City of Pickering (the "City") shall levy upon all Property Classes ( Residential, Commercial, Industrial and Multi-. residential) as set out in By-law No. 6364/04 of Schedule A, the rates of taxation, for the City of Pickering, the Region of Durham and for Education purposes on the current value assessment as also set out in Schedule A of By-iow No. 6364/04. Where applicable, taxes shall be adjusted in accordance with Bill t40, as amended and its Regulations. The levy provided for shall be reduced by the amount of the interim levy for 2004. 'The 2004 finai tax caicuiad0ns for the industrial, commercial and muiti-,;esidendai Fealty tax classes is based on the "cut-off" date as of May 7, 2004. ..-he decrease retained percentage for the realty class is outtined beiow: Muiti residentia¢ 94.5265% Commerciaf 41.759t % !ndustriai 27.3679% ¸7. ~- ~ssessmem 'em .... rote o~ any installment or pa~ ~hereo¥ ..... n~ :n :~qe u's~ day of defauit and on the first day of each calendar month n -f~n~c,:: suc~ defadt continues pursuant to subsections 345 ('~), (2) and :ne' ~u~ic~a~ ,.qci _~no~,, S.O.c.25 as amended. The %, ,~u,~,' .... .~,i c.:)i~ec'~ :iistress or othenCzise under the provs ohs of the appiicabie statutes ;~.i~ sue'; ...... ~ :~ssessments, rents, rates or ~nstailments or parts thereof ,~s ~*~ave been paid on or before tt~e several dates named as aforesaid, ~ogether with ~,*e said percentage charges as they are ',ncurred pursuant to sections 349, 350 and 35'i of the Munic(aalAct200t, S.Q.C.25as amended. if any section or portion of this By-law is found by a cour~ of competent iurisdiction to be invalid, it is the intent of Council for The Corporation of the Cih/ of Pickering that all remaining sections and portions of this By-taw continue in force and effect. 'Faxes shall be payable to the Treasurer, City of Pickering. Schedule A of this By-law shall supersede Schedule A of By-law 6341/04, passed by Council on June 7, 2004. 10. This By-law comes into force on the date of its final passing. BY-LAW read a first, second and third time and finally passed this 20th day of September, 2004. David Ryan, Mayor Bruce TaYlor, Clerk 2004 City Tax Rate Property Class Residential 8,924,776,696 0.00347988 Farm 66,843,070 0.00086997 Managed Forest 4,420,500 0.00086997 Pipelines 22,782,000 0.00427816 Multi-Residential 58,859,890 0~00740310 Commercial 533,201,827 0.00504583 Commercial - Excess Land 9,643,380 0.00353208 Commercial Vacant Land 8,787,000 0.00353208 Shopping Centres 259,713,865 0.00504583 Shopping Centres Excess Land 245,000 0.00353208 Office Building 19,696,220 0.00504583 Office Building Excess Land 0.00353208 Industdal 135,284,965 0.00786383 Industdal Excess Land 3,140,125 0.00511149 Industrial Vacant Land 35,882,967 0.00511149 Large Industrial 26,581,805 0.00956967 Large Industrial - Excess Land 643,195 0.00622029 Parking Lot Full 0.00504583 Parking Lots Excess Land 0.00353208 Total 8,110,502,505 Payments in Lieu Properties Residential 88,954,340 0.00347988 Residential - Tax Tenant 64,856,320 0.00347988 Residential - General 42,569,140 0.00347988 Farm 44,595,600 0.00086997 Farm - Tax Tenant 10,542,800 0.00086997 Commercial Full 42,755,695 0.00504583 Commercial Full -Shared PIL 31,413,655 0.00504583 Commercial Futl- Tax. Tenant 2,488,640 0.00504583 Commercial General 9,278,090 0.00504583 Commercial Full - Excess Land 8,883,625 0.00353208 Commercial General Excess Land 447,500 0.00353208 Commercial Gan - Vacant Land 2,425,000 0.00353208 Commercial Vacant Land Full 0.00353208 Office Building Full -Shared PIL 7,844,960 0.00504583 Parking Lot 75,000 0.00504583 Industdal Full 1,102,350 0.00786383 Industdai General 0.00786383 Industrial Full- Shared PIL 6,808,730 0.00786383 lndustdal Full- Tax Tenant 112,830 0.00786383 Ind. Excess Land - Shared PIL 7,382,125 0.00511149 Ind. Excess Land Tax Tenant PIL 133,170 0.00511149 Industrial Excess Land Gas 1,365,215 0.00511149 Industrial Vacant Land Full 0.00511 t49 Industrial Vacant Land Gan 0.00511149 Industrial Vacant Land Shared PIL 2.152.500 0,00511149 Large Industrial Full - Shared PIL 78,399,710 0.00956967 Large Ind. Excess Land -Shared PIL 823,320 0.00622029 Total PILS 455,410,316 ~y-Law No.~364/04 Schedule A 2004 Tax Rates Region Education Tax Rste Tax Rate 0.00682179 0,00296000 0.00170545 0.00074000 0.00170545 0,00074000 0.00838670 0.01596771 0.01451268 0.00296000 0.00989160 0.01645136 0.00692412 0.01151595 0.00692412 0.01151595 0.00989160 0.01645136 0.00692412 0.01151595 0.00989160 0.01645136 0.00692412 0,01151595 0,01541589 0.02015898 0.01002053 0.01310333 0.01002053 0,01310333 0.01875992 0.02453190 0.01219395 0.01594573 0.00989160 0.01645136 0,00692412 0,01151595 0,00682179 0.00296000 0.00682179 0.00296000 0.00682179 0.00000000 0.00170545 0.00074000 0.00170545 0,00074000 0.00989160 0,01645136 0.00989160 0.01645136 0.00989160 0.01645136 0.00989160 0.00000000 0.00692412 0.01151595 0.00692412 0.00O00000 0.00692412 0.00000000 0,00692412 0.01151595 0,00989160 0.01645136 0,00989160 0,01645136 0.01541589 0.02015898 0.01541589 0.00000000 0.01541589 0.02015898 0.01541589 0.02015898 0.01002053 0.01310333 0,01002053 0.01310333 0.01002083 0.00000000 0,01002053 0.01310333 0.01002053 0.00000000 0.01002053 0.01310333 0.01875992 0.02483190 0.01219395 0,01594573 Please note: Assessment for the CHN, DHN, LHN, LKN classifications have been adjusted to reflect proposed OPG settlement. Total Picketing Region ~-ducation TOTAL Tax Rate Billinq Biillnq Billinq BILLING 0.01326167 0.00331542 0.00331542 0.02863257 0.02487578 0.O3138879 0.02197215 0.02197215 0.03138879 0.02197215 0.03138879 0.02197215 0.04343870 0.02823535 0.02823535 0.05286149 0.03435997 0.03138879 0.02197215 0.01326167 0.01326167 0.01030167 0.00331542 0.00331542 0.03138879 0.03138879 0.03138879 8.01493743 0.02197215 0.01045620 0.01045620 0.02197215 0.03138879 0.03138879 0.04343870 0.02327972 0.04343870 E04343870 0.02823535 0.02823535 0.01513202 0.02823535 0.01513202 0.02823535 0.05286149 0.03435997 24,097,392 47,239,372 20,497,339 91,834,103 58,151 !13,998 49,464 221,613 3,846 7,539 3,271 14,656 97,465 191,066 363,776 652,307 435,746 854,215 174,225 1,464,186 2,690,446 5,274,219 8,771,895 16,736,560 34,061 66,772 111,053 211,886 31,036 60,842 101,191 193,069 1,310,472 2,568,986 4,272,646 8,152,104 865 1,696 2,821 5,383 99,384 194,827 324,030 618,241 1,063,858 2,085,538 2,727,207 5,876,603 16,051 31,466 41,146 88,663 183,415 359,566 470,186 1,013,168 254,379 498,673 652,102 1,405,154 4,001 7,843 10,256 22,100 $ 30,380,568 $ 59,556,618 $ 38,572,609 $ 128,509,795 309,550 606,828 263,305 1,179,683 225,692 442,436 191,975 860,103 148,135 290,398 438,533 38,797 76,056 33,001 147,853 9,172 17,980 7,802 34,954 215,738 422,922 703,389 1,342,050 158,508 310,731 516,797 986,037 12,557 24,617 40,942 78,115 46,816 91,775 138,591 31,378 61,511 102,303 195,192 1,581 3,099 4,679 8,565 16,791 25,356 39,584 77,599 129,060 246,244 378 742 1,234 2,354 8,669 16,994 22,222 47,885 53,543 104,963 137,257 295,762 887 1,739 2,275 4,901 37,734 73,973 96,730 208,437 681 1,334 1,745 3,760 6,978 13,680 20,658 11,002 21,569 28,205 60,777 759,259 1,470,772 1,923,294 4,144~325 5,121 10,040 13,128 28,289 $ 2,121,327 $ 4,t58,549 $ 4,214,664 $ 10,494,540