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HomeMy WebLinkAboutTR-4-85 4 CORPORATION OF THE TOWN OF NEWCASTLE TREASURY DEPARTMENT K. CAMPBELL, C.A., TREASURER 40 TEMPERANCE STREET TEL.(416) 623-3379 BOWMANVILLE, ONTARIO L1C 3A6 REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING OF JANUARY 21, 1985 REPORT NO. : TR-4-85 SUBJECT: GARBAGE COLLECTION & DISPOSAL CHARGES RESOLUTION #C-779-84 RECOMMENDATION: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council that this report be received for information and consideration. BACKGROUND AND COMMENT: In response to the above noted resolution staff have prepared an analysis of the various means of charging for garbage collection and disposal . The current system levies an individual mill rate for each separate collection area, being Bowmanville , Orono and Newcatle. All properties within the service areas pay for this service based on the assessed value of the property. Based on the proposed 1985 Budget and the 1985 interim assessment figures the following charges on an average residential assessment of $2,900 would result. i i l: -.3(o - 2 - TR-4-85 GARBAGE COLLECTION & DISPOSAL CHARGES RESOLUTION #C-779-84 BACKGROUND AND COMMENT: continued Proposed 1985 Estimated 1985 Estimated Residential Budget Mill Rate Taxes Bowmanville $282,809 R 19.847 $57.56 C 23.349 Orono 27,168 R 21.288 61.74 C 25.045 Newcastle 30$ 70 R 12.487 36.21 C 14.691 An amalgamation of the three areas into a single mill rate would produce the following results: Proposed 1985 Estimated 1985 Estimated Residential Budget Mill Rate Taxes Bowmanville, Orono and $34011347 R 18.952 $54.96 Newcastle C 22.297 An amalgamation of Orono and Newcastle into one mill rate, leaving Bowmanville by itself would produce the following results: Proposed 1985 Estimated 1985 Estimated Residential Budget Mill Rate Taxes Bowmanville $282,809 R 19.847 $57.56 C 23.349 Newcastle and Orono 57,538 R 15.516 $45.00 C 18.254 All of the above mill rates would be handled the same way administratively since the areas are easily identified by property roll number and all properties within a specified area are charged the same mill rate. The charge is assessed against the property owner not the tenant and is based on the available taxable assessment. The only exception to the above - 3 - TR-4-85 GARBAGE COLLECTION & DISPOSAL CHARGES RESOLUTION #C-779-84 BACKGROUND AND COMMENT: continued is farm land in Newcastle which is exempted from the garbage mill rate. Those few properties are separately identified and manual adjustments made to the taxes for the garbage charges. In the normal course of events the Town does not have available the number of residential , commercial and/or industrial properties in any polls. This information is available, however for 1984, because of the Assessment Impact Study which was done. The results of costing the collection and disposal of garbage on a unit basis is provided below: Separate charge for each area: Proposed 1985 Number of Annual Budget Properties Unit Rate Bowmanville $282,809 59039 $56.12 Orono 27,168 473 $57.44 Newcastle 30,370 535 $56.77 Amalgamation of the three areas: Bowmanville, Orono and $340,347 69045 $56.30 Newcastle Amalgamation of Orono and Newcastle with Bowmanville alone: Bowmanville 28211809 55,039 $56.12 Newcastle and Orono 579538 1,008 $57.08 The development of a unit rate is fairly straight forward but the Town does not have the number of properties in each area readily available on an annual basis. This information would TR-4-85 - 4 � �� GARBAGE COLLECTION & DISPOSAL CHARGES RESOLUTION #C-779-84 BACKGROUND AND COMMENT: continued have to be provided by the assessment office and they do not currently compile the information on the basis which we would require. Therefore, the determination of a reasonably accurate number of properties to use in the calculation could be difficult in the years to come. The staff can input a flat charge on the tax bills for predetermined series of property roll numbers. The problem arises with any exclusions ie: farm lands or adjustments ie: multi-residential units. These would have to be manually identified and manual adjustments made to the tax bills each year to ensure they were appropriately charged. This could be a time consuming task and since it is done manually with no verifiable number to balance back to, may be subject to some errors in over or under billing. In reviewing, the results of the above analysis it is difficult in staff' s mind to justify a change from the current method of collecting the taxes from the application of a mill rate to an annual unit charge. There does, however, appear to be merit in amalgamating the three area rates into one mill rate as was done with the streetlighting area rates. Other jurisdictions within the Region charge for garbage collection within the general municipal mill rate, although the mill rate for garbage collection and disposal is separately identified for information purposes. We trust sufficient information is available here to enable Committee to reach a decision. iRespectfully submitted, fl 1awth6t,A. Campbell , C.A. , B.Comm. , Treasurer *gf