After a lengthy discussion at Chatham-Kent council, only one area rated tax charge will be eliminated in the municipality.
On Monday night, council voted in favour of keeping the area rating charge in place for policing and streetlights and voted in favour of eliminating it for horticulture. That means the property tax burden for the municipality's horticultural services will be evenly spread among taxpayers across Chatham-Kent while the costs for policing and streetlights will still be determined by where a specific property is located.
The area rating charges are intended to account for either significant differences in service levels or costs of providing services to various different parts of Chatham-Kent.
Staff were recommending that all three charges be eliminated in order to allow for a more streamlined and simplified approach towards property tax calculations. This would have resulted in all property owners in Chatham-Kent paying equally for the three services through the base levy, regardless of how frequently the service is used in their community.
However, the idea quickly grew criticism from residents, specifically those in rural areas who said it would be unfair for them to pay for services that are more visible in urban areas.
Staff maintained that all taxpayers in Chatham-Kent benefit from the access of these services.
"With streetlights and horticulture, when you drive into Blenheim for example, the streets are lit up for all residents, both rural and urban ones that are driving through the town, to be able to see their way and see pedestrians. Normally, that's not required in rural roads for urban or rural residents when they travel down that rural road," said Chief Financial Officer Gord Quinton.
A presentation was made by Chatham-Kent Police Chief Gary Conn, who clarified that level of police service is the same in rural areas as it is in urban areas.
"It's the same level of service," said Conn. "It's not dependent upon area rating. The level of service is dependent upon a totality of variables that are taken into consideration, primarily the nature of the call and the urgency. The level of service does not change whether you reside within a rural area or an urban area."
However, many councillors asserted that the level of proactive policing service simply wasn't the same for rural areas
"In an urban setting, your chances of seeing a police car is 20 times greater than seeing one out in the rural areas...Yes, if someone calls 9-1-1, you quickly send an officer as fast as you can there. If there's a suspicious vehicle [in Bothwell or Tilbury East], the response time for that call is a lot different than if you see a suspicious vehicle in Chatham...Patroling streets is also a service, it's a deterrent," said Councillor Amy Finn. "It's more prevalent inside of an urban area."
Council spent around an hour and a half debating the topic. In an effort to make it easier on taxpayers, Councillor Melissa Harrigan put forward an amendment that if the recommendations pass, they are phased in over three years.
Ultimately, council voted against getting rid of the area rating for policing and streetlights but voted 56 per cent to 44 per cent in favour of eliminating it for horticulture.
Eliminating the horticulture area rating will result in an increase of around $3 per $100,000 assessment for rural property taxes and a savings of $3 per $100,000 assessment for taxpayers in urban areas.