Loading...
HomeMy WebLinkAboutAdmin 09-84U _ (d) CORPORATION OF THE TOWN OF NEWCASTLE 40 TEMPERANCE STREET BOWMANVILLE, ONTARIO L1C3A6 TELEPHONE 623-3379 REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING HELD JANUARY 16 1984 ADMIN. 84 - 9 SUBJECT: CORRESPONDENCE FROM THE TOWNSHIP OF GEORGIAN BAY CONCERNING RECREATIONAL TRAILER PARKS RECOMMENDATIONS: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. That this report be received; 2. That the municipality support the Township of Georgian Bay's request by writing to the Minister of Municipal Affairs and Housing encouraging a change in the Trailer Licensing Provisions of the Municipal Act;. 3. That a copy of the letter be sent to the Township of Georgian Bay and to the local M.P.P. BACKGROUND AND COMMENT: Section 232 (15)b subscript iii) provides that a Municipality may pass a by-law prescribing fees for the licensing of each lot in a trailer amp. The Municipal Act further provides that the maximum fee is $20.00 per month payable in advance. However, this licensing fee does not apply to lots made available for temporary occupancy by persons who continue to maintain elsewhere a usual or normal place of residence. Similarly, the provision does not apply to the occupancy of a trailer that is assessed under the Assessment Act. Under these two noted circumstances no fees may be charged. It is the position of the Township of Georgian Bay that this creates an unfair situation for other ratepayers who live in the municipality. The concerns expressed by the Township of Georgian Bay with respect to the inability to 11 ADMIN. 84 - 9 -2- license Tourist Trailer Parks is shared by a great many Municipalties in the resort areas. In the mid-1970s, the Municipal Act was amended to remove the ability of Municipalities to charge lot licenses for Tourist Trailer Parks. This was in part a response by the Provincial Legislature to attempts by local municipalities to prohibit tent and trailer parks by charging an exorbitant fee for the licensing of individual sites. A second means of generating revenue identified by the Township of .eorgian Bay is to allow for the assessment of each site. While certainly this option would restore some equality to the system it has the potential to create an inordinate amount of administrative difficulties. Aside from the administrative matters it should be noted that any licensing fees collected by a municipality would not have to be shared with either Regional Government or with the Boards of Education. Any fees collected through an assessment and general taxation would be split in accordance with the general levies. It would seem reasonable for the legislature to consider changing the Municipal Act to provide for the licensing of seasonal Tent and Trailer Parks provided that any licence fees reasonably relate to the costs .ssociated with the site's existence. The Ministry of Municipal Affairs and Housing may be more inclined to contemplate a change to The Municipal Act with respect to this licensing issue if the legislation provides for an appeal mechanism to the Ontario Municipal Board where Tent and Trailer Park operators feel that they are paying licensing fees that do not reasonably relate to the municipal costs of providing services to such camps. Respectfully submitted, David S.. hnstson, M.C.I.P. Chief Administsrative Officer DSJ:nof C0111111unicatioils Direction Area Municipality of the R.R I. PORT SEVERN ONTARIO LOK ISO rOOWNSH OOF F(i)R(�I�'� District of Muskoka TO ALL MUNICIPALITES IN THE PROVINCE OF ONTARIO: TELEPHONE (7051538-2337 Port Severn, Ontario October 31, 1983 For some time now, the Council of the Township of Georgian Bay has been attempting to address the issue of long-term occupancy of trailers within recreational campgrounds. Our concern relates to what we perceive as an inequity between tax -paying cottagers and long-term trailer occupants who pay practically no taxes yet create similar impacts on services. While it is recognized that these campgrounds make a valuable contribution to the Township's tourist based economy, we also realize that trailers sited on a seasonal basis are receiving all of the benefits that the area has to offer, while paying few of the costs. Council is committed to correcting this imparity. The essence of our problem lies in the interpretation of the licensing power under Section 232, Paragraph 15(b) (iii) of the Municipal Act. Under this section, municipalities are able to generate revenue on a per lot basis through licence fees except where a lot is made available only for temporary occupancy by persons who continue to maintain a permanent residence elsewhere. The Township of Georgian Bay attempted to utilize this power when it enacted a Trailer Park Regulatory By-law in October of 1981. The licensing provision of this By-law was designed to reflect the fact that, with few exceptions, trailer sites in the Township are occupied over a long-term time -frame. Indicia of permanence such as decks, storage sheds and ornamental landscaping are the norm in the Township and a number of trailer sites are actually leased for a period of up to 21 years. Moreover, a large number of trailer park residents presented themselves as electors in recent municipal elections. Since they were neither enumerated nor assessed, they were obliged to sign a Statutory Declaration confirming their status as electors. By taking these factors into consideration, Council established a figure of $10.00 per annum per lot as compensation in lieu of taxes. We estimate that the average seasonal camper pays roughly less than 5 percent (through the trailer parks commercial assessment) of what an average cottager pays in annual taxes. The proposed licence fee would still only bring the camper up to approximately 12.25 percent of the cottagers' contribution on a per lot basis but Council viewed this as an acceptable compromise. In April of this year, the licence fee provision of By-law 81-554 was challenged and heard in the Supreme Court of Ontario. Their decision was as follows: Although there is some legal merit and common sense in the interpretation of the enabling legislation suggested by Mr. Symons [solicitor for the Township), we are all satisfied that the legislation intended to make it clear that occupancy by persons who continue to maintain elsewhere a usual or normal place of residence is to be regarded as temporary occupancy. Despite having the sympathy of the Court with respect to the Township's position, the wording of the legislation left little room for interpretation. Clearly, there is a loop -hole in this portion of the (More ... Reverse Side) J. TO ALL MUNICIPALITES IN THE PROVINCE OF ONTARIO: TELEPHONE (7051538-2337 Port Severn, Ontario October 31, 1983 For some time now, the Council of the Township of Georgian Bay has been attempting to address the issue of long-term occupancy of trailers within recreational campgrounds. Our concern relates to what we perceive as an inequity between tax -paying cottagers and long-term trailer occupants who pay practically no taxes yet create similar impacts on services. While it is recognized that these campgrounds make a valuable contribution to the Township's tourist based economy, we also realize that trailers sited on a seasonal basis are receiving all of the benefits that the area has to offer, while paying few of the costs. Council is committed to correcting this imparity. The essence of our problem lies in the interpretation of the licensing power under Section 232, Paragraph 15(b) (iii) of the Municipal Act. Under this section, municipalities are able to generate revenue on a per lot basis through licence fees except where a lot is made available only for temporary occupancy by persons who continue to maintain a permanent residence elsewhere. The Township of Georgian Bay attempted to utilize this power when it enacted a Trailer Park Regulatory By-law in October of 1981. The licensing provision of this By-law was designed to reflect the fact that, with few exceptions, trailer sites in the Township are occupied over a long-term time -frame. Indicia of permanence such as decks, storage sheds and ornamental landscaping are the norm in the Township and a number of trailer sites are actually leased for a period of up to 21 years. Moreover, a large number of trailer park residents presented themselves as electors in recent municipal elections. Since they were neither enumerated nor assessed, they were obliged to sign a Statutory Declaration confirming their status as electors. By taking these factors into consideration, Council established a figure of $10.00 per annum per lot as compensation in lieu of taxes. We estimate that the average seasonal camper pays roughly less than 5 percent (through the trailer parks commercial assessment) of what an average cottager pays in annual taxes. The proposed licence fee would still only bring the camper up to approximately 12.25 percent of the cottagers' contribution on a per lot basis but Council viewed this as an acceptable compromise. In April of this year, the licence fee provision of By-law 81-554 was challenged and heard in the Supreme Court of Ontario. Their decision was as follows: Although there is some legal merit and common sense in the interpretation of the enabling legislation suggested by Mr. Symons [solicitor for the Township), we are all satisfied that the legislation intended to make it clear that occupancy by persons who continue to maintain elsewhere a usual or normal place of residence is to be regarded as temporary occupancy. Despite having the sympathy of the Court with respect to the Township's position, the wording of the legislation left little room for interpretation. Clearly, there is a loop -hole in this portion of the (More ... Reverse Side) Municipal Act, in that it refers to occupancy by people and not by trailers or the manner in which trailers occupy the lot. The effect is discriminatory, allowing only trailer owners with a permanent residence - elsewhere to avoid paying their fair share of the tax load while all others are forced to subsidize the trailer residents' use of Township services. In response to this decision, which effectively closed the only revenue -raising avenue open to municipalities, Council passed the following resolution: Moved and seconded that the Council of the Township of Georgian Bay request Mr. Bob Veitch, Comissioner from the Muskoka Assessment Office, to carry out an investigation in regards to the possibility of assessing trailers located in trailer parks and if necessary to ask the Ministry of Revenue to take action as required to permit assessment of trailers which are there on permanent basis, [which do not carry a current licence for a trailer for highway travel] and who pay an annual lee for rental o1 sites and are connected to sewer, water and hydro. While assessing trailers under the Assessment Act may prove to be a viable alternative, it is not necessarily the most attractive from our point of view. In question is the ability to satisfy tests relating to whether things that may be chattels in one context, can also be assessable as land in another. This method also appears to present a number of transitional problems that will generate uncertainty for campers, park owners, assessment officials, and municipalities alike. As a result, we are faced with two remaining options. It is apparent from the reaction of the Supreme Court of Ontario to our position that there is probably a sound basis for an approach to the Ontario Legislature. A private bill could be designed to resolve the inequities in this case but it could also prove to be costly and offers no assurance of success. Furthermore, it is simply a patchwork solution to a concern that we believe is shared by a number of municipalities. Therefore, it is our opinion that a change in legislation is the most logical approach to be taken. The Ministry of Municipal Affairs and Housing has recently been contemplating an amendment to the trailer licensing provision of the Municipal Act and now Is the time to ensure that municipal concerns are expressed. This letter is a call for support from all municipalities for our position on this matter. We request that you write a letter to this department and your member of Parliament outlining your views and providing any input that may help strengthen our submission to the Provincial Government. By doing so, you will be protecting your own ability to direct and administer the affairs of your municipality in an equitable and just manner. Yours very truly, J. S. JACQ U ES MAYOR 171A 1591111111161r, I i