City Council rejects two requests for Permissive Property Tax Exemptions

Mayor Lee Brain and the rest of Prince Rupert Council turned down a request
for two permissive property tax exemptions on Monday evening

Prince Rupert City Council delivered some disappointing news for a pair of Prince Rupert organizations on Monday evening, with Council members following the lead of Mayor Lee Brain in turning down applications for inclusion on the City's permissive property tax exemption list in 2019.

The two applications came from the Friendship House and from Prince Rupert Indigenous Housing Society, with the Friendship House seeking an exemption through its operation of the Pioneer Inn which it acquired last year. It was estimated that an exemption would have seen the municipality forgo roughly $8,400 in taxes.

The Prince Rupert Indigenous Housing Society is preparing to operate affordable housing for Prince Rupert's marginalized population at the complex in the old Anchor Inn location. The organization would have realized a further exemption on $15,250 in taxes collected for all municipal services.

Council members were provided with a Report on the topic (see below) from the City's Chief Financial Officer Corinne Bomben, which provided background on the two organizations and the impact to the city that would come in from the requested exemption.

You can review the letters of application for the exemptions from the Agenda package for Monday's Council session, found on pages 50 to 64.

The list of those organizations that are currently granted permissive property tax exemptions can be reviewed here.

As part of their review of the report and the request for exemption, the Mayor first called for any additional comments from staff, though no additional information was offered up for consideration of Council by City Manager Robert Long.

Mr. Brain then outlined that in his opinion, the City should not approve the request for exemption.

"I was reviewing it and just in terms of fairness that we treat other property owners I think that my recommendation would be that we don't grant the permissive taxes ... so I would move that we give staff direction not to grant the permissive grant applications" -- Mayor Lee Brain speaking Monday night on applications for permissive tax exemptions.

The remaining Council members offered no further discussion on the topic, prior to voting in favour of the Mayor's recommendation not to approve the request for exemptions.

You can review the work of Council on the topic from the City's Video Archive, starting at the eighteen minute mark.




The topic of the permissive tax process has made for some past debates at City Council

Confusion over Parking lots sends Permissive Tax Bylaw back for further study
Council's Permissive Tax Exemptions give Community Groups and other organizations more financial room to work with


For more items related to the City's Tax programs see our archive page here.

More background on Monday's City Council session can be reviewed here and here.

While a wider overview of City Council Discussion topics is available here.

Cross posted from the North Coast Review.