Tax rebates for vacant properties could be scrapped

A tax rebate program for owners of vacant properties could be cancelled right away – not phased out over the next three years, as originally recommended by city staff.

For years, the city has been offering a 30 per cent tax break to owners of vacant industrial or commercial properties. The provincial government has stated it expects it of municipalities.

Not anymore, though: The province now says cities can cancel or phase out the program, if they wish.

Council hasn’t made a decision about whether to scrap the program yet. Earlier this spring, it asked city staff to collect public opinion about the matter.

But not many people had an opinion to share. Two public information meetings were held, with two people at the first and none at the second, and City Hall received just two sets of written comments.

One letter was from the Downtown BIA, suggesting a phase-out of the program over three years.

But the Greater Peterborough Chamber of Commerce urged immediate cancellation of the program; it also suggested council use the saving to give all commercial taxpayers a break.

City staff is in agreement with the chamber: a new report recommends eliminating the program beginning in 2018 for the 2017 tax year and using the annual saving of $300,000 to reduce commercial tax ratios.

The report states that the tax rebate program should be nixed because it encourages property owners to keep their buildings vacant.

On Monday night at City Hall, councillors will discuss the report and vote. They have until July 1 to let the provincial government know what they plan to do. Don’t forget to check The

Examiner’s website on Monday evening for livestreaming, tweets and blogging from the meeting. It begins at 6:30 p.m. at City Hall.

NOTE: See more city council coverage on Page A2.