HomeMy WebLinkAboutTR-94-96 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT #5
REPORT
Meeting: COUNCIL MEETING File#
Date: December 9, 1996 Res. #
By-Law#
Report#: TR 96-AFi File #:
Subject: FEE FOR SUPPLEMENTARY ASSESSMENT - RECOVERY FROM
SCHOOL BOARDS
Recommendations:
It is respectfully recommended to Council the following:
1. THAT Report TR-94-96 be received;
2. THAT beginning with the 1997 budget year, the Peterborough Victoria
Clarington Northumberland Roman Catholic School Board and the
Northumberland Clarington School Board of Education be invoiced, under
Bill 26, for recovery of their proportional share of the 1997 budget
expenditure for fees paid by the Municipality for supplementary
assessment;
3. THAT the respective Boards be reimbursed for any difference between
actual charges and the invoiced amount, based on budget;
4. THAT staff be authorized to investigate and charge back if allowable and
administratively reasonable, each property giving rise to the fee for
supplementary assessment;
5. THAT if the charge back to the property owner is a reasonable and
allowable option, the Region and School Boards be reimbursed their
proportional share upon collection from the ratepayer;
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6. THAT the attached By-Law imposing the fees or charges be approved; and
7. THAT the Region and the Peterborough Victoria Clarington
Northumberland Roman Catholic School Board Chairman and the
Northumberland Clarington School Board Chairman be advised of
Council's decision.
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P CYCLED AP ER
PAPER ECYCLE
THLS 6 PRIPEDC RECYCLED PAPER
TR-94-96 Page 2
BACKGROUND:
1.0 Fee for Supplementary Assessment
1.1 In 1994, the Province began charging municipalities for transactions related to
assessments coming on stream after the current year assessment roll has been
struck (supplementary assessments).
1.2 The Province did not implement these charges through legislative amendment.
Consequently there was no legal channel for the fees to be passed along to the
Region or the School Boards.
1.3 In 1995, the Region of Durham, as requested by Council, voluntarily included
their proportional share of the fees. The School Board did not respond positively
to the same request.
2.0 Bill 26
2.1 Bill 26 introduced in 1996, allows under Schedule M, Section 220, municipalities
to charge user fees. The Ministry of Municipal Affairs has advised verbally that
invoicing and cost recovery under this method is appropriate.
2.2 It is recommended that the two Clarington Boards of Education be invoiced in
1997 based on the budgeted expenditure. Once actual costs are determined,
adjustments can be made by invoicing or refunding any difference.
3.0 Charge Backs
3.1 Preliminary discussions with the Ministry of Municipal Affairs suggest that
properties giving rise to the charges can be billed directly for the fee that is
subsequently charged to the Municipality. Staff will continue discussions and if
eligible will consider the best way to recover the charge, possibly by invoicing or
by adding directly to the tax bill as an additional or special charge. Because the
fee was not introduced as a tax, although it is directly linked to realty taxes, the
municipality may not be able to add the charge to the tax bill and collect it "as
taxes", it may be that if it is allowed it would be collected "in the manner' and as
such it does not have the same priority or status as taxes. This may significant
reduce the potential for recovery.
TR-94-96 page 3
3.2 As this point staff have a concern that the administrative process to recover
directly from the taxpayer and reimburse on an individual basis may be extremely
onerous and time consuming to process.
3.3 Any fees recovered will be proportionately shared and reimbursed as appropriate
to the Region and the School Boards.
3.4 However, staff feel it is worth investigating the potential for recovery and following
through, if possible.
4.0 Notification
4.1 The Boards of Education were verbally advised of the proposed fee recovery at a
joint Municipal/Board meeting held by the Mayor in October 1996.
Respectf ll<y submitted, Reviewed by,
/X�A c _. r
'e X Marano, H.BSc., A.M.C.T., W.H. Stockwell,
Treasurer. Chief Administrative Officer.
MM/hjl
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
BY-LAW NUMBER 96-
Being a By-Law to Impose Fees or Charges
on the Boards of Education in the Municipality of Clarington.
WHEREAS, Bill 26, Section 220, provides for a municipality to pass by-laws imposing fees or
charges on any class of persons, the Council of the Corporation of the Municipality hereby enacts as
follows:
1. THAT effective for the 1997 budget year and each year thereafter, the Municipality of
Clarington will recover the costs payable to the Province relating to supplementary
assessments by way of a fee or charge imposed on the Boards of Education having
jurisdiction in the Municipality;
2. THAT the fee or charge will be levied based on the current year budget estimate of
charges payable to the Province; and
3. THAT if the fee charged is in excess of/or deficient compared to that paid to the
Province in any given year, the Municipality will adjust the final or subsequent tax
levy payments to the Boards of Education.
By-Law read a first and second time this 9th day of December 1996.
By-Law read a third time and finally passed this 9th day of December 1996.
Mayor
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Clerk
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