The Municipality of Chatham-Kent has voted to waive late payment charges on all property tax classes for the current tax year.
Councillors voted unanimously Monday night to waive the late payment penalties until August 3, 2021. The municipality said the move will result in the waiving of interest for four months with an estimated impact of $200,000 in lost revenue. Director of Financial Services Matt Torrance said recommendations on how this should be funded will be made once the 2021 operating surplus/deficit has been determined as part of the 2021 budget.
President and CEO of the Chatham-Kent Chamber of Commerce Gail Hundt wrote a letter to councillors, urging them to pass the motion. She called the move a silver lining to provide local businesses with flexibility and added it would be a breath of fresh air if adopted.
"While we all hoped to have this crisis behind us, sadly it continues to put a burden on all," said Hundt. "We do not have to tell you the countless challenges put on our community time and time again. The adoption of the recommendation would be a silver lining."
The Chamber represents 350 businesses in Chatham-Kent.
With another state of emergency and stay at home order issued in Ontario, the Municipality of Chatham-Kent has been looking at ways to soften the negative impact of COVID-19 restrictions on local small businesses.
On April 12, Councillor Michael Bondy put forward an amendment that the relief of late payment charges also be provided to residential tax arrears.
Property owners who are currently enrolled in the Pre Authorized Payment (PAP) programs will be required to submit a cancellation form no later than the end of business on April 26, 2021 to have their next payment cancelled.
Property owners enrolled in the monthly PAP program can submit a request up to the end of the business day on May 10, 2021. The cancellation form can be found on the Municipality of Chatham-Kent website and can be submitted by email to the specified address at the bottom of the form.
Property owners who have previously submitted post dated cheques for future tax payments can send a request in writing by email to CKAccountsReceivable@chatham-kent.ca to have their post dated cheque pulled from the vault and not be processed on May 3, 2021.
Cheques that are removed from processing will be shredded and not returned to property owners. Requests should be submitted no later than end of business on April 27, 2021.