(File photo/paNOW Staff)

By Alison Sandstrom

Tax relief

No tax break for P.A. affordable housing building

Jan 14, 2020 | 5:29 PM

It appears Prince Albert city council looks set not to double up on benefits for a new affordable housing building, pending final approval at an upcoming meeting.

The P.A. Community Housing Society asked councillors for a reduced tax rate for its building at 861 River Street West in order to keep rent for their tenants low.

The building, expected to be completed in August, will house women exiting the correctional system and people with acquired brain injuries and mental disabilities.

After a discussion at Monday night’s meeting, the majority of city councillors sided with a staff recommendation not to grant the requested tax relief because the city already contributed $30,000 to help build the apartment complex.

Those funds were accessed through the city’s affordable housing incentive, created last year.

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“The city has already provided funding in one program so providing funding through a taxation exemption would start creating a precedence on property owners using multiple programs offered by the city,” a report by city staff said.

Coun. Terra Lennox-Zepp argued the request for tax relief did not fall under a city program and therefore should not have been viewed as doubling up.

She also took issue with a section of the staff report that said the building did not meet the criteria of providing a “social benefit” to the city.

“I think P.A. Housing Incorporated would say our work really benefits our entire community for many reasons,” she told the meeting. “I think they’d probably talk about the difference between homelessness and affordable housing, etc.”

P.A. Community Housing wanted to keep the property taxes at the new apartments at its base rate of $926.22 for a period of five years.

According to the city report, the estimated annual taxes for a 14-unit apartment building are $15,670, based on 2019 taxation rates.

Editor’s note: This article was amended to make clear that a final decision on the tax relief will be made at an upcoming council meeting.

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alison.sandstrom@jpbg.ca

On Twitter: @alisandstrom