(file photo/battlefordsNOW staff)

By Angela Brown

Disincentive tax rate

Vacant commercial property bylaw encourages owners to move idle buildings

Jun 28, 2022 | 6:12 PM

The City of North Battleford passed a new vacant commercial property tax bylaw as a way to encourage owners not to leave their buildings idle.

The bylaw involves the levying of a tax rate for vacant commercial properties within North Battleford’s key commercial corridor.

City Finance Director Brent Nadon brought forward the issue at this week’s council meeting.

“Essentially, any property within our key commercial corridor that has not maintained a business licence for the past two years or an active utility hook-up is subject to a penalty,” he said. “The penalty is up to three times the current commercial mill rate for commercial class buildings.”

He said the purpose of the bylaw is to encourage owners of properties to operate their business, make improvements and “not let things sit idle” in the priority commercial area.

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“As far as what impact it has had when we compared this list this year to last year, you’ll see we actually have the same number of properties on the list in both years,” Nadon said. “It is not exactly the same list – some properties have left, two properties have gone on.”

He said he believes the reason the number of properties on the list is actually about the same likely is a reflection of the type of year the community experienced last year due to the pandemic.

“Really it is was about survival last year,” Nadon said. “We’re hopeful for the year going forward with the removal of restrictions related to Covid that it will have a reduction on our list for next year.”

According to the proposed bylaw, vacant commercial properties with buildings in the city’s key commercial corridor will be set at a mill rate three times the annual commercial class mill rate.

The revenue raised through the levies on these vacant properties will be used for the city’s future economic development initiatives recommended by administration and approved by council.

As well, prior to May 1 of each year, the city’s Planning and Development dept. will inspect all commercial properties on the list to determine if they will be included on the next year’s list of vacant properties for council to approve.

Council gave three readings to Bylaw # 2122, which is now in effect.

“This is a new bylaw but we have this approved every year,” Mayor David Gillan said. “The previous bylaw is not being requested to repeal, because we do have some outstanding taxes yet to collect.”

Administration confirmed that last year’s bylaw will still remain active for a couple of years until it is no longer relevant. Then, it will be repealed at that time.

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Angela.Brown@pattisonmedia.com

On Twitter: @battlefordsNOW