THE REGIONAL MUNICIPALITY OF PEEL
 
BY-LAW NUMBER 50-2004
 
A by-law to establish percentages by which tax decreases are limited for 2004 for properties in the Commercial, Industrial and Multi-residential property classes in order to fund the Five Per Cent Cap in those classes and to delegate to the Treasurer and Commissioner of Finance the function of calculating and determining the numerical value of such percentages.


WHEREAS subsection 330(1) of the Municipal Act, 2001 (the "Act") provides that a municipality, other than a lower-tier municipality, may pass a by-law to establish a percentage by which tax decreases are limited for a taxation year in respect of properties in any property class subject to Part IX of the Act in order to recover all or part of the revenues foregone as a result of the application of section 329 to other properties in the property class; and

AND WHEREAS subsection 330(2) of the Act provides that such a by-law must apply to all properties in the property class whose taxes for municipal and school purposes for the previous year, as determined under subsection 329(2) exceed their taxes for municipal and school purposes for the taxation year as adjusted in accordance with the regulations in respect of changes in taxes for municipal purposes and changes in taxes for school purposes: and
AND WHEREAS subsection 330(3) of the Act provides that such a by-law must establish the same percentage for all properties in a property class, but may establish different percentages for different property classes; and

AND WHEREAS subsection 330(4) of the Act requires that a tax decrease limitation percentage for a property for a year shall be determined in accordance with paragraphs 1 through 4 of the subsection: and
AND WHEREAS subsection 327(4) of the Act provides that Part IX of the Act applies to the commercial, industrial and multi-residential property classes;
AND WHEREAS subsection 330(6) of the Act requires that a by-law made under subsection 330(1) to establish a tax decrease limitation percentage shall also require that adjustments shall be made between the upper-tier municipality and lower-tier municipalities so that no lower-tier municipality has a surplus or shortfall as a result of the application of the by-law;

AND WHEREAS subsection 330(7) of the Act provides that if the upper-tier municipality experiences a shortfall as a result of the application of subsection 330(6) the by-law made under subsection 330(1) shall provide that any shortfall shall be shared by the upper-tier municipality and the lower-tier municipalities in the same proportion as those municipalities share in the taxes levied on the property class for municipal purposes;
AND WHEREAS the area municipalities have been delayed in setting local tax ratios as a result of the additional time required to review the optional tool introduced by the Minister of Finance on March 15, 2004 to neutralize the effects of this year's reassessment on the residential property class, and the time required to obtain and apply local tax ratios required to establish tax rates and resultant requirements;
AND WHEREAS it is unlikely that the processing of a report recommending the clawback factors would be completed prior to Regional Council's meeting on July 8, 2004 thereby causing delays in the issuance of the final tax bills for the capped property classes and resultant financial impacts on the area municipalities and the Region of Peel;

NOW THEREFORE, The Council of the Regional Corporation enacts as follows:

1. That percentages are hereby established to limit tax decreases for the 2004 taxation year in respect of properties in the Regional Municipality of Peel in the property classes referred to in Column I in order to recover all of the revenues foregone as a result of the application of section 329 of the Act to other properties in the property class.

  Column I
(Property Class)
  Commercial
  Industrial
  Multi-residential

2. That the authority to calculate and determine the numerical value of the percentages established by section 1 of this by-law be delegated to the Treasurer and Commissioner of Finance.

3. That the numerical value of the percentages calculated and determined by the Treasurer and Commissioner of Finance pursuant to section 2 of this by-law shall be deemed to be established pursuant to section 1 of this by-law without a requirement of further enactment or ratification by the Council of the Regional Corporation.

4. Adjustments shall be made between the Regional Municipality of Peel and its lower-tier municipalities so that no lower-tier municipality has a surplus or shortfall as a result of the application of this by-law.

5. If the Regional Municipality of Peel experiences a shortfall as a result of the adjustments made in order to eliminate any surplus or shortfall at each of its lower-tier municipalities, the shortfall shall be shared by the Regional Municipality of Peel and its lower-tier municipalities in the same proportion as those municipalities share in the taxes levied on the property class for municipal purposes.


READ THREE TIMES AND FINALLY PASSED IN OPEN COUNCIL this 24th day of June, 2004.

C. Gravlev
________________________

Regional Clerk

E. Kolb
______________________

Regional Chair