(File photo/paNOW)

By Susan McNeil

2024 municipal taxes

Tax bylaws lead to testy P.A. council debate

Mar 19, 2024 | 7:00 AM

A testy exchange between Prince Albert city councillors at the Monday executive committee meeting preceded a vote on 2024 tax bylaws.

Counc. Terra Lennox Zepp called for a ruling on whether comments by Coun. Dennis Ogrodnick were offensive, which was ruled as such but then overturned by a vote of council.

Ogrodnick said those voting against a proposal to reduce some of the 2024 city tax bills for commercial properties are anti-business.

After some debate over how the procedural bylaw would apply, Tony Head, who as deputy mayor sits in the chair for executive committee meetings, ruled the comment as offensive.

Head was then overruled himself by a council vote that saw all of council except Lennox-Zepp and Coun. Charlene Miller agree.

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One part of this year’s tax bylaws would see commercial properties facing a large increase of 10 per cent or more equal to more than $1,000 get part of their city levy forgiven.

The abatement is for 2024 only and precedes an assessment year in 2025, where how properties are assessed is to be re-calculated.

Virtually all municipalities in Saskatchewan have their assessments done by SAMA, the Saskatchewan Assessment Management Agency.

Councillors in favour of the abatement said they’re trying to provide stability to businesses before another significant change.

“We need to send a message loud and clear that we are open for business in Prince Albert,” said Coun. Darren Solomon.

Lennox-Zepp and Miller had spoken up earlier in the discussion saying that a minimum tax of $800 levied on every property regardless of assessed value was regressive.

Coun. Blake Edwards pointed out that he also disagreed with the $800 minimum tax as it should be at least $1,800.

Minimum taxes are used by municipalities to account for the cost of fire and police services that are available to all properties. Once that is applied, the municipality uses other ways to adjust taxes by assessed value, such as the mill rate.

The 2024 mill rate is set to increase by four per cent. When council first started budget discussions, the rate would have been closer to 14 per cent, which dropped to eight per cent after council eliminated much of the increase.

READ MORE: City council concludes budget discussions

City staff said that because of changes to commercial assessment, the eight per cent was reduced to four per cent and the average resident will see around a 2.4 per cent increase.

The final vote on the 2024 tax bylaws will happen at an upcoming regular council meeting.

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susan.mcneil@pattisonmedia.com