Sarnia councillors were told this week that a proposed property tax exemption for businesses would cost the city $10 million.
Councillor Margaret Bird called for all independent businesses and service providers to be tax exempt until the end of the pandemic or until all businesses are "continuously fully open."
Her motion was rejected by an 8-1 vote, but council did pass a resolution not to introduce any new local taxes for the remainder of its term which runs until late 2022.
Bird said the ripple effect from businesses being closed or partially closed is devastating to the whole community.
"In view of the fact that all the current restrictions have been government-imposed upon everyone and that there has been no municipal support so far for ending lockdowns, we must continue to fight and support all the independent businesses, the heart and soul of Sarnia, in every way that we can, but especially financially," said Bird. "Over the course of the past year, many businesses have put thousands of additional dollars into their businesses by adding plastic screen walls and shields, distancing of equipment, counters, tables and chairs at restaurants, sanitization, along with other measures to protect their customers. What was the point of investing in all of this extra financial outlay, if it didn't help at all, and if businesses still weren't allowed to fully open?"
Bird said she doesn't understand the government's rationale for determining what is essential and what's not.
"It would appear that logic was not included in the mix. You can buy alcohol and marijuana, but you can not maintain a part of your personal hygiene, by going to the hair salon or barbers. During stressful times, people need something to make them feel better, they need hope."
Bird argued that not having property taxes flow in from local businesses would be a motivator for the premier to end the lockdowns sooner rather than later.
Councillor Terry Burrell said the city isn't legally able to grant that type of exemption.
"We have no right, or ability, to say you can pay, you don't pay, you can pay, you don't pay, we have no ability to do that," said Burrell. "Second problem is, many, many businesses, don't own their own property, they rent, and the property tax is not paid by that business it's paid by the landlord."
Councillor Nathan Colquhoun said while he appreciated the spirit of the motion, he noted the Ontario government released a property tax grant months ago that small businesses can apply for.
Councillor Bill Dennis said he resented the notion that Sarnia council has the power to end lockdowns.
"That is just ludicrous, that a city of 75,000 has that type of clout, that's just absurd," said Dennis. "This isn't tax relief, this is a tax shift."
Sarnia's Chief Administrative Officer Chris Carter estimated the cost of such a tax exemption would be $10 million.