Huron County is looking at phasing out the Vacant Unit Tax Rebate program.
Treasurer Michael Blumhagen explains the program provides a tax rebate of up to thirty per cent to commercial or industrial property owners who have vacant units for 90 days or more. Blumhagen says it has significant impact in Huron County, particularly with empty store fronts on main streets and it reduces the incentive to fill those spaces at a time when communities are trying to promote economic development.
“And that's available to commercial and industrial properties that have some vacant units for greater than 90 days. And there's some eligibility criteria that go along with that, however that's the general nature of the program where they get upwards of thirty per cent off their taxes.”
Blumhagen says it's a problem all over Ontario and the Province has opened up the discussion and given municipalities the option of getting rid of the program. Blumhagen says the county is proposing to phase it out over three years but any changes will have to be approved by the Finance Minister.
“There's a considerable impact to the county and we're looking at trying to create some economic development in the county and we're hoping that changing the program will provide some additional incentive to re-develop vacant industrial and commercial space.”