By GREG NIKKEL of the Weyburn Review
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A proposal to introduce a base tax for the City of Weyburn was criticized as being hurtful to the city's poor, treating them as "ballast" to be tossed overboard, at an information meeting held Wednesday evening to explain the concept to taxpayers. The purpose of the proposed tax is to charge all property taxpayers equally for certain essential services, including fire protection, police and transportation (which takes in snow removal, road and sidewalk repairs, gravelling, grading, traffic and city street lights, storm sewers and street sweeping). In information presented by city manager Bob Smith, the current cost of these essential services would be $435 per property, which would pay for 50.8 per cent of the city's total budget. The balance of the budget would be made up of municipal taxes charged in the same way they are now, according to their taxable property assessment. The effect of having the base tax (proposed at this point to be $400 per property) would be to increase the taxes paid by lower-valued properties, and decreasing the taxes paid by higher-valued ones. The zero-point, where there would be no change in taxes at all, would be for properties with a taxable assessment around $50,000. For a home with an assessment of $20,000, the increase would be about 35 per cent, while for a home worth $150,000, there would be a decrease in taxes of about 15 per cent. "So you're penalizing the lower income families who are trying to survive in this community?" asked Fred Sandeski, director of the Community Low Income Centre (CLIC) headquartered in the Canadian Mental Health Association building in Weyburn. "I know I can't afford to live in Estevan; am I going to have to move because I can't afford to live here?" "That is a compelling argument against base tax, because it affects the poor," admitted Coun. Ray Hamm, who pointed out council also has to balance out that properties worth more are also paying the majority of the taxes. One graph shown by the city shows that 28 per cent of the homes in Weyburn pay 50 per cent of the taxes, with 72 per cent paying the other half. The higher-valued properties in this graph are those worth an assessed value over $65,000. In another breakdown of who would be affected by the base tax, approximately 1,440 properties would see an increase, while 1,525 would see a decrease. Business property owner Howard Van Dusen asked if the city would be applying the base tax to commercial properties as well. Coun. Rob Stephanson, one of the proponents of a base tax, said the meeting's intent was to get the info out about residential properties, and they would take a look at commercial properties later. "As I see it, it's like squeezing the cloth; the ones on the lower end are going to get squeezed. My question is this; are the $20,000 ones just ballast to throw off the ship to save those who have to have $200,000 homes?" asked audience member Ray Mazer, adding he was incredulous that Coun. Stephanson believes the value of a home does not indicate the level of one's ability to pay or one's income. "Do you really think people in older homes are sitting at home counting their gold bars? Come on," said Mazer. "We aren't given the ability to find out what the income is for anybody living in any house. There are people who are living in lower-assessed houses who have as much money as those in higher-valued houses, but the system doesn't allow us to figure that out," answered Coun. Stephanson. Mayor Don Schlosser added that regardless of the value of a home, it costs the city the same amount per property to provide the services of the police and fire departments, and the various services under transportation. A former councillor, George Kalman, asked about properties that are exempt from paying taxes, or those which receive tax concessions and asked if those situations were fair, as they are costing other taxpayers more. "I don't see what's not fair about it," responded Coun. Hamm. Audience member Gerald Borrowman, also from CLIC, urged the council to consider that many people have told him they want to live in this community and someday own a home and raise a family. Hamm pointed out that no decision has yet been made by council about whether they will be going ahead with this tax or not, as they want to gauge public opinion from this meeting, and from a second meeting to be held in mid-September. Other communities that have a base tax or minimum tax in place include Humboldt ($200), Estevan ($500), Melfort ($480), Melville ($425), North Battleford ($434), Swift Current ($400) and Yorkton ($705). Moose Jaw and Prince Albert, along with Weyburn, do not have a base tax as yet. Mayor Schlosser pointed out one of the smallest communities with a base tax is Vibank, which started out at $350 three years ago, increased it to $550 and this year it went to $800. "They feel this year even with the $800 tax they're going to have a bigger building boom in houses than they've ever had before," he said. City officials said they would try to have information other types of properties for the fall meeting, including commercial properties, condos and apartment buildings. |
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