UPDATE: Tidal Plant value fluctuates, “Catastrophic” for Annapolis Royal

by Geoffrey Agombar / Spectator / NovaNewsNow.com (Scroll down for link to Inital Report)

As previously reported, Annapolis Royal is facing a critical threat to its operating budget: a massive loss of tax revenue due to a decrease in the value of Nova Scotia Power Inc.’s tidal power plant.

On Friday, Annapolis Royal Mayor Roberts learned the plant’s assessed value would drop 78% from $41.5 million to $9 million.

On Tuesday, town CAO Amery Boyer revealed new numbers had been delivered revising the value back up to $16 million, still down 61% overall.

Despite nearly doubling the assessed value in four days, this loss would strike $580 000 or 28% from the town’s annual revenues – a crushing blow by any measure. “Based on conversations with Service Nova Scotia, I think some information received from [Nova Scotia Power Inc.] contained inaccuracies. As a result the assessors had to revise some of their previous values, which did have an effect for Annapolis Royal,” said Lloyd Hines, President of the Union of Nova Scotia Municipalities Lloyd Hines, to explain Tuesday’s reassessment of the Friday’s reassessment

Hines and Roberts will meet tomorrow (Dec. 11) to discuss the situation. Two other municipalities will send representatives to the meeting, also. Trenton and the District of Queens both stand to lose when the new assessments come into effect.

This meeting will gather information before a Friday meeting of the UNSM executive to discuss options and prepare for later discussions with Service Nova Scotia.

Hines explains that a number of responses are possible, from appeals of the assessment to provincial intervention to buffer the shock during a period of transition. “The province needs to come to the table to help the municipalities who stand to lose big through what is essentially a catastrophic change to their ability to raise taxes and sustain operations,” according to Hines.

The town has yet to comment on whether the reassessment is accurate or not, only that the effect will be dramatic and, if unchanged, drastic cuts and/or assistance will be required. “At this point, we have no bone to pick with anyone. We are still trying to get a handle on how and why this has happened, and we have asked many questions that we are waiting to have answered,” says CAO Boyer.

Boyer also stressed that relations with NSPI are not strained, “NSPI has been very good to us over the years [...] so we certainly have no quarrel with NSPI.” (gagombar@annapolisspectator.ca) * * * * * * * * * *

Other stories on this subject: (Jan. 13) Annapolis Royal working without NSPI information, Link: http://www.novanewsnow.com/article-291544-Annapolis-Royal-working-without-NSPI-information.html (Jan. 13) AR planning for eventualities, Link: http://www.novanewsnow.com/article-291548-AR-planning-for-eventualities.html (Jan. 8) Annapolis Royal citizens laugh in face of adversity, Link: http://www.novanewsnow.com/article-289978-Annapolis-Royal-citizens-laugh-in-face-of-adversity.html (Dec. 18) Municipalities and province disagree on Nova Scotia Power property taxes, Link: http://www.novanewsnow.com/article-284987-Municipalities-and-province-disagree-on-Nova-Scotia-Power-property-taxes.html (Dec. 10) Tidal Plant value fluctuates, “Catastrophic” for Annapolis Royal, Link: http://www.novanewsnow.com/article-282522-UPDATE-Tidal-Plant-value-fluctuates-Catastrophic-for-Annapolis-Royal.html (Dec. 8) Annapolis Royal to lose $735 000 in annual revenues, Link: http://www.novanewsnow.com/article-281434-Update-Annapolis-Royal-to-lose-735-000-in-annual-revenues.html