19-25 Limits Property Classes COUNTY OF ELGIN
By-Law No. 19-25
"BEING A BY-LAW TO ADOPT OPTIONAL TOOLS FOR THE PURPOSES OF
ADMINISTERING LIMITS FOR THE COMMERCIAL, INDUSTRIAL AND
MULTI-RESIDENTIAL PROPERTY CLASSES"
WHEREAS the County of Elgin (hereinafter called the "Municipality"), in accordance with
Section 329.1 of the Municipal Act, 2001, S.O. 2001, c.25, as amended (hereinafter called
the "Act"), may modify the provisions and limits as set out in Section 329 of the Act, with
respect to the calculation of taxes for municipal and school purposes payable in respect of
property in the commercial, industrial and multi-residential property class;
AND WHEREAS the Municipality must similarly modify the provisions and limits as set out
in Section 332 of the Act with respect to the "tenant cap" calculations;
AND WHEREAS this by-law shall only apply to properties in any of the Commercial,
Industrial and Multi-Residential property classes to which Part IX of the Act applies;
AND WHEREAS for the purposes of this by-law the commercial classes shall be
considered a single property class and the industrial classes shall be deemed to be a
single property class; and
AND WHEREAS "CVA taxes" means, the taxes for municipal and school purposes that
would be levied for the taxation year, but for the application of Part IX of The Act;
AND WHEREAS "capped taxes" means, the taxes for municipal and school purposes that
shall be levied for the taxation year as a result of the application of Part IX of The Act;
AND WHEREAS the Council may pass a by-law to apply any one or any combination of
the following options:
a) Set the annualized tax limit increase to a maximum of 10%; and/or
b) Set an upper limit on annual increases at the greater of the amount
calculated under a) and up to 10% of the previous year's annualized CVA
tax; and/or
c) Establish a capping adjustment threshold of up to $500 for increasing
properties, decreasing properties or both, whereby no capping/claw-back
adjustments less than the threshold amount would be applied; and/or
d) Exclude properties that were at CVA tax in the previous year from the
capping and claw-back calculation in the current year; and/or
e) Exclude properties that would move from being capped in the previous year
to be clawed back in the current year or from being clawed back in the
previous year to be capped in the current year as a result of the changes to
the CVA tax; and/or
f) Exclude Reassessment related increases from the Capping Calculation.
AND WHEREAS a by-law passed to adopt the provisions of Subsection 329.1 paragraphs
1 and 2 of the Act, provides that such provisions shall also apply to Section 332 of the Act
with respect to the "tenant cap" calculations; and
AND WHEREAS the Council has reviewed the provisions of Section 329.1 of the Act and
hereby deems it necessary and appropriate to adopt optional tools for the purpose of
administering limits for the Commercial, Industrial and Multi-Residential property classes.
NOW THEREFORE the Municipal Council of the Corporation of the County of Elgin hereby
enacts as follows:
1. THAT paragraphs 1, 2, and 3, of Subsection 329.1(1) of the Act shall apply to the
Commercial, Industrial and Multi-Residential property classes for 2019.
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2. THAT:
a) In determining the amount of taxes for municipal and school purposes for the
year under Subsection 329(1) and the amount of the tenant's cap under
Subsection 332(5), the greater of the amounts determined under paragraphs i)
and ii) as set out below shall apply in determining the amount to be added
under paragraph 2 of Subsection 329(1), and the increasing amount under
paragraph 2 of Subsection 332(5),
i) The percentage set out in Subsection 329(1) paragraph 2 and in
Subsection 332(5) paragraph 2 shall be ten per cent (10%), and
ii) The amount of the CVA taxes for the previous year multiplied by ten per
cent (10%).
b) The amount of the taxes for municipal and school purposes for a property for a
taxation year shall be the amount of the uncapped taxes for the property for the
year if the amount of the uncapped taxes exceeds the amount of the taxes for
municipal and school purposes for the property for the taxation year as
determined under section 329, as modified under section 329.1 of The Act and
this By-law, by five-hundred dollars ($500.00) or less.
c) The amount of the taxes for municipal and school purposes for a property for a
taxation year shall be the amount of the uncapped taxes for the property for the
year if the amount of the taxes for municipal and school purposes for the
property for the taxation year as determined under section 330, as modified
under section 329.1 of The Act and this By-law exceed the uncapped taxes, by
five-hundred ($500.00) or less.
d) Exclude properties that were at CVA tax in the previous year from the capping
and claw-back calculation in the current year.
e) Exclude properties that would move from being capped in the previous year to
be clawed back in the current year or from being clawed back in the previous
year to be capped in the current year as a result of the changes to the CVA tax.
f) Exclude Reassessment related increases from the Capping Calculation.
g) The industrial capping program be exited.
h) The four-year phase-out of the commercial capping program begin.
3. THAT this By-Law shall come into force and take effect upon its passing.
READ A FIRST, SECOND AND THIRD TIME AND FINALLY PASSED THIS 25th DAY OF
JUNE 2019.
Julie Gonyou, Duncan McPhail,
Chief Administrative Officer. Warden.