Gravel pits and their assessment value will make a difference to places such as Puslinch.
On July 17, councillors here reviewed two county reports – one regarding changes to the supplementary and weighted assessments, and another report on Puslinch gravel pit assessment appeals.
Mayor Dennis Lever told councillors that he’d asked both reports be brought forward to the local council level.
“They both contain information regarding Puslinch,” Lever said.
This report provides an update on the status of supplementary and omitted assessments processed by the Municipal Property Assessment Corporation (MPAC) since the last roll return.
The report by county treasurer Ken DeHart notes that gravel pit property appeals remain outstanding with test cases being heard later this year and into 2014.
“Municipalities have been advised to expect significant tax class and value changes with rebates spanning several years.”
DeHart noted that county finance staff have made a $1.39 million provision at 2012 year end for potential gravel pit tax write-offs
The report also states that industrial assessment reductions in Puslinch can be attributed to a few gravel pits that have been inspected and revalued based on actual type of land and area used
As expected, very few commercial or industrial properties have been inspected and added to the assessment base. More complex properties take longer to value and are typically added to the rolls during the latter part of the year.
MPAC also provided a list of the top 10 outstanding appeals based on assessment value at risk.
Of these, seven are in Puslinch and include five gravel pit appeals.
The most recent Municipal Status Report released by MPAC dated March 31, 2013 continues to show a significant number of building permits remain outstanding within Wellington County.
Councillor Wayne Stokley said it seemed most of the appeals in Puslinch dated from 2009 to the current taxation year.
The second report focussed on gravel pit appeals within Puslinch.
DeHart’s report noted that as previously reported in February, the Ontario Stone Sand and Gravel Association (OSSGA) has launched province-wide appeals against Gravel Pit assessment values and tax classification partitioning.
The appeals are based on issues concerning industrial land acreage rates as applied by the Municipal Property Assessment Corporation (MPAC). Legal counsel for OSGGRA and MPAC have recommended that 10 test case appeals be heard by the Assessment Review Board of which three are located in the Township of Puslinch.
Upon determination reached by the ARB, that methodology will then be applied to all other gravel pit properties in the province.
Wellington County has 81 gravel pits or farms with gravel pit properties of which 16 are in the current 2009 appeal stream.
Since the new base year reassessment returned Jan. 1, 2013, an additional five properties have also filed appeals.
DeHart noted that Wellington County staff have received correspondence addressed to Mayor Dennis Lever as Chair of the Top Aggregate Producing Municipalities of Ontario, from the Mayor of Caledon, Marolyn Morrison, containing a staff report and letter requesting support in defending the test case appeals.
Council for the Town of Caledon has committed financial resources to defend both test case appeals in their municipality by retaining the services of MTE Paralegal Professional Corporation (MTE).
Upon review of the correspondence, county staff held discussions with MTE to determine whether it would be in our best interest to retain MTE to represent our interest in the Puslinch appeals.
DeHart stated gravel pits are complex properties to value. MTE has extensive expertise and experience with this type of property spanning two decades. The firm represented Puslinch township during the previous round of gravel pit appeals initiated in 1998 and is familiar with the properties currently in the test case stream.
