Sarnia City Hall. (BlackburnNews file photo)Sarnia City Hall. (BlackburnNews file photo)
Sarnia

Sarnia councillors reverse course, axe tax on industry

Sarnia council has terminated a $500,000 levy imposed on industrial and commercial companies earlier this year to raise revenue for the replacement of Donohue Bridge.

Council reconsidered its January 20 decision, and reversed it in a 6-3 recorded vote Monday, after hearing from members of the Sarnia Construction Association.

Kel-Gor Limited Director Matt Gordon asked council to repeal the yearly tax, meant to help reduce capital replacement costs for the vital link to Sarnia's industry.

The special rate area impacted 117 properties south of the CN Rail tracks.

Gordon said it should have been spread across the entire tax base and claimed some businesses neighbouring his weren't required to pay it.

Councillor Brian White, who originally supported the levy, had a change of heart and voted to axe it.

"I'm struggling on this one, because my understanding was that there would be reasonable consultation to help define what this area would be, and I'm hearing it's not exactly what happened," said White.

Councillor Terry Burrell remained in favour of the levy and said the only blowback he'd heard was from the construction association.

"I would assume by far, most of this tax is being paid by the industrial companies in the Valley," said Burrell. "This was discussed last fall by council, council adopted it, it formed part of our tax levy and since all of the tax bills have gone out, I'm assuming people who pay their taxes on time it's all been paid."

He admitted he didn't know how much members of the construction association were paying compared to larger companies in the Valley.

"If it's $50,000 out of the $500,000, why are we talking of dismissing a $500,000 tax for a relatively small portion of it?," asked Burrell.

Mike Stark and Nathan Colquhoun also voted against terminating the levy.

Council has directed staff to refund the first levy payment which was due at the end of August.

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