The Wellington Federation of Agriculture (WFA) wants Ontario residents, especially politicians, to know farming is “producing prosperity” in the province.
A delegation led by Wellington North beef farmer Ruby Lennox addressed Mapleton council on Aug. 14 and offered to consult with the municipality on farm-related issues.
“Farming is a major business, a major part of your tax revenue here,” Lennox noted. “What we want to do is work with council because a lot of change is coming forward.”
While farmers face many challenges, including changing technology and global trade issues, Lennox told council, “One of the biggest challenges is the public perception of agriculture … We want to work with the council and residents to try to keep that in balance and try to make sure everybody gets along and you don’t have large fights at your council meetings.”
Mapleton has a diversified agricultural base, with numerous commodities produced locally, meaning the township faces “more issues” than some municipalities, said Lennox.
“Producing Prosperity” is the title the federation has given its messaging to provincial politicians, which includes pointing out Ontario’s agri-food sector is “the leading economic engine for the province,” contributing $13.7 billion to annual gross domestic production and generating $1.4 billion in provincial tax revenues and 158,000 jobs. The federation says $8.1 billion in wages and salaries are supported by Ontario farms.
Despite the impact on employment in the province, Lennox said farmers struggle to attract the skilled workforce needed by today’s farms.
“There’s a real shortage of skilled employees. We need skilled people here,” she stated.
Access to natural gas for farming operations and access to broadband internet in rural areas are other priorities Lennox cited, along with the need to retain small rural schools “so the children aren’t … spending an hour in the morning on the bus and an hour at night to go into the cities and towns.”
Councillor Marlene Ottens asked if the WFA would be willing to help municipalities lobby the province for a return to the previous farm tax rebate system, which spread the cost across the provincial tax base, “so that all residents of Ontario would be subsidizing cheap food, rather than just rural municipalities like Mapleton.”
Under the current system, farmers pay municipal property tax on only 25% of the assessed value of their land (except for a residence and one acre, which is taxed at 100%). Prior to 1998, properties assessed as farmland paid 100% of their assessed tax to the local municipality, then filed an application with the province to receive a 75% rebate, paid directly by the province.
“Actually we’re lobbying to decrease the amount of tax,” Lennox pointed out.
However, she added the federation is also lobbying to increase the amount of grant funding municipalities receive for infrastructure from the province. She encouraged the township to request a letter of support from the federation when approaching the government for grants “to make up for the tax that you’ve lost.”
Mapleton farmer Steve Vogel, another member of the delegation, told council that taxes on his 150-acre farm were $5,280 in 2015, but rose to $7,372 this year.
“Same land. Nothing has been done, no added buildings, nothing,” he stated.
“Has residential increased that much?” he asked. “The whole tax thing needs to be looked at.”
“Did the assessment change on your property,” asked councillor Dennis Craven.
“Yes, our property values have gone up … That only helps us when we sell. That’s not going to pay the taxes … So it’ doesn’t matter if our farm’s assessed at $500,000 or a million and a half … Just because the farm is worth three times as much as it was 20 years ago, that doesn’t mean I can go the bank, or the bank’s giving me any more money to pay my taxes – I still have to pay that back.”
Mayor Neil Driscoll added farmers can lose out if they pay taxes on a higher assessment while farming, but the price of farmland drops when they go to sell.
“The farmers aren’t alone in hating paying taxes,” noted councillor Michael Martin. “I pay $5,300 on an acre and half for a residential property. I know it’s tomato tomato, but I mean, residential taxes have increased as well in the last 40 years.”
Pointing out farm lobby groups are “quite influential” with upper tiers of government, Martin asked if there are other ways the group could assist.
Lennox pointed out farm groups provided lobbying support for the successful push to restore the Connecting Link program to help municipalities maintain portions of provincial highways that pass through their urban areas.
“If it affects the residential people it affects the farming community too. We’re residents too,” she said.
“If you’re looking for grants, or looking at changing bylaws and aren’t sure how it will affect agriculture, we’re willing to come in and look at it with you.”
