Wolfville business says no to tax hike
BY WENDY ELLIOTT
Kings County Register
Wolfville set a $6,980,678 budget Monday evening, April 16 - but only after listening to a chamber full of merchants.
Due to pressure from a business lobby of about 35 people, the commercial property rate was reduced to $3.30 per $100 of assessment, worth about $15,000.
Councillors added a proviso the cut not be made on the backs of residential property owners. Town clerk Brian Porter indicated the residential tax rate was going down by five cents to $1.44 per $100 of assessment.
Council had decided to increase the commercial rate, CEO Roy Brideau explained, because net taxes were not going to go up.
He said the provincial plan to phase out the business occupancy tax over seven years would result in a shift of payment from business owner to landlord. The town had intended to increase commercial taxation by $13,000.
Until Monday night.
Wolfville Business Development Corporation president Jim Laceby outlined how rents have been going up faster than any other expense in the last 20 years - in fact, double the cost of oil.
“We need a long term strategy. The message needs to be loud and clear that Wolfville welcomes business.”
Laceby noted commercial taxes in Wolfville are far higher than in Greenwich or Grand Pre.
Tattingstone Inn owner Betsy Harwood told council, in 19 year her taxes, have doubled - and doubled again.
“We watched small businesses fade away that are not replaced by other unique small businesses that had given Wolfville its' reputation.”
Harwood went on to say “tourism hasn't been generating all that well in the last few years. I think everybody knows that.”
She said with the fair trade town launch April 17, maybe it's time to think about being fair to business in Wolfville.
Gift shop owner Karen Harrison called the potential increase a no-win situation for the town of Wolfville.
“You pass it on and make it much more difficult for businesses to make a buck, and the result is we're driven out of town. Smaller properties - the niche operations you seem to be proud of - are finding it very, very hard to make a living.”
Councillor John McKay said he thought the town was doing a lot of good things to bring people to town, from a new bus shelter to the Wireless Wolfville project, to the creation of two new parking lots on the north side tracks.
Harwood said, if businesses were being squeezed out of town, she could do with fewer flowers.
Councillors Hugh Simpson and Bill Zimmerman indicated council is interested in growing the business community, but it can get conflicting demands.
Christine Lynch noted the real question in her mind is, how much spending does it take to run the town?
After the decision to reduce the commercial tax burden for the second year in a row, Laceby thanked council for listening.
“We can and will be engaged,” he said, “if we know how.”
After the lobby group left, Councillor MacKay said it was very disappointing no merchants remained because their area rate was also on the agenda.
Wrye asked why the town collects what amounts to self-taxation for the WBDC. Other towns have stopped collecting it, Brideau noted later, but said the rate is arrived at through negotiations with the business community.
Zimmerman was the only councillor to vote against the motion setting a $109,000 budget for the WBDC.
Last year, the entire town budget was $6.1 million. This year's process was different because, for the first time, Wolfville will receive $402,892 in a provincial grant in lieu because of residences at Acadia University.