Media Release: Better Control of Taxes
Midlanders receive a lot of services from our Town – everything from fire protection, to policing, to sports programs and indirectly, waste pick-up. These services help make Midland a great place to live.
Midlanders pay a lot of money for these services. Midland has one of the highest residential tax rates in the province. This fact has become a major impediment for residents and businesses wanting to locate to Midland. For example, a family can save $400 a year in taxes by buying their $200,000 home in Collingwood or Barrie instead of Midland. High tax rates are deterring people from coming to Midland.
Equally concerning is that many people are having a tough time finding the money to stay in their homes. Many of Midland’s seniors are on fixed incomes. These incomes are indexed to the inflation rate. Over the last 5 years the taxes paid on the average home in Midland have increased by over 16%, almost double the rate of inflation for the same period. Increased taxes are hitting the elderly hard.
Midland needs good services – that is a given. We also need better ways to control the cost of our services and reduce the tax impact upon residents. As your Mayor I will work with Council to make sure that:
- tax increases are kept to the rate of inflation, or below
- all Town spending is reviewed to ensure cost efficiencies
+++++++++++++++++++++++++++++++++++++++++++++++++++++
Media Release – Background Information
Midland’s residential tax rate is among the highest in the province. It has been among the highest for many years.
Residential Tax Rate (includes Town, County, Waste, School)
Year .........Midland ......Penetanguishene .......Collingwood .........Barrie
2002 .........1.782 ..............1.771 ..........................1.732 ...................1.515
2003 ..........1.742 ..............1.728 .........................1.519 ...................1.436
2004 ..........1.565 ..............1.539 .........................1.361 ..................1.334
2005 ..........1.641 ..............1.629 .........................1.428 ..................1.425
2006 ..........1.518 ..............1.495 .........................1.301 ..................1.325
2007
2008 ..........1.64
2009 ..........1.60
2010 ..........1.565 ..............1.533 ..........................1.38 ....................1.344
A high tax rate puts Midland at a disadvantage when it comes to attracting new people and business to our community. Taxes can be the deciding factor:
...................2010Residential Tax Rate .........Taxes on $200,000 Home
Barrie .................1.344 ...........................................$2,688
Collingwood .......1.380 ...........................................$2,760
Midland .............1.565 ............................................$3,130
And within North Simcoe, the tax disadvantage is even sharper.
...................2010 Residential Tax Rate Taxes on $300,000 Home*
Tiny .....................1.100 (with garbage and water) $3,300
Midland ...............1.565 ..............................................$4,695
( * In Tiny the median home price is about $300,000.)
This tax disadvantage, in part, deters people from moving to Midland. Statistics Canada shows that Midland’s population growth for the period 1996 to 2006 actually declined by 17 people.
Year ...........Midland ..............Ontario
1996 .............16,347 ..............10,753,000
2001 .............16,214 ..............11,410,000
2006 .............16,330 ..............12,160,000
10 yr % increase 0% ..................13%
(Statistics Canada has accounted for boundary changes and has adjusted the 2006 numbers at the Town’s request.)
Using MPAC assessment numbers, the Town identifies the average house price in Midland each year. The Town then calculates the annual tax increase for the average priced house.
Year .............Tax Increase for Average House
2006 ................................2.9%
2007 ................................4.4%
2008 ................................3.5%
2009 ................................2.2%
2010 ................................2.3%
Five year total increase 16.2%
The Bank of Canada five-year change to CPI to July 2010 is 9.0%.
Midlanders receive a lot of services from our Town – everything from fire protection, to policing, to sports programs and indirectly, waste pick-up. These services help make Midland a great place to live.
Midlanders pay a lot of money for these services. Midland has one of the highest residential tax rates in the province. This fact has become a major impediment for residents and businesses wanting to locate to Midland. For example, a family can save $400 a year in taxes by buying their $200,000 home in Collingwood or Barrie instead of Midland. High tax rates are deterring people from coming to Midland.
Equally concerning is that many people are having a tough time finding the money to stay in their homes. Many of Midland’s seniors are on fixed incomes. These incomes are indexed to the inflation rate. Over the last 5 years the taxes paid on the average home in Midland have increased by over 16%, almost double the rate of inflation for the same period. Increased taxes are hitting the elderly hard.
Midland needs good services – that is a given. We also need better ways to control the cost of our services and reduce the tax impact upon residents. As your Mayor I will work with Council to make sure that:
- tax increases are kept to the rate of inflation, or below
- all Town spending is reviewed to ensure cost efficiencies
+++++++++++++++++++++++++++++++++++++++++++++++++++++
Media Release – Background Information
Midland’s residential tax rate is among the highest in the province. It has been among the highest for many years.
Residential Tax Rate (includes Town, County, Waste, School)
Year .........Midland ......Penetanguishene .......Collingwood .........Barrie
2002 .........1.782 ..............1.771 ..........................1.732 ...................1.515
2003 ..........1.742 ..............1.728 .........................1.519 ...................1.436
2004 ..........1.565 ..............1.539 .........................1.361 ..................1.334
2005 ..........1.641 ..............1.629 .........................1.428 ..................1.425
2006 ..........1.518 ..............1.495 .........................1.301 ..................1.325
2007
2008 ..........1.64
2009 ..........1.60
2010 ..........1.565 ..............1.533 ..........................1.38 ....................1.344
A high tax rate puts Midland at a disadvantage when it comes to attracting new people and business to our community. Taxes can be the deciding factor:
...................2010Residential Tax Rate .........Taxes on $200,000 Home
Barrie .................1.344 ...........................................$2,688
Collingwood .......1.380 ...........................................$2,760
Midland .............1.565 ............................................$3,130
And within North Simcoe, the tax disadvantage is even sharper.
...................2010 Residential Tax Rate Taxes on $300,000 Home*
Tiny .....................1.100 (with garbage and water) $3,300
Midland ...............1.565 ..............................................$4,695
( * In Tiny the median home price is about $300,000.)
This tax disadvantage, in part, deters people from moving to Midland. Statistics Canada shows that Midland’s population growth for the period 1996 to 2006 actually declined by 17 people.
Year ...........Midland ..............Ontario
1996 .............16,347 ..............10,753,000
2001 .............16,214 ..............11,410,000
2006 .............16,330 ..............12,160,000
10 yr % increase 0% ..................13%
(Statistics Canada has accounted for boundary changes and has adjusted the 2006 numbers at the Town’s request.)
Using MPAC assessment numbers, the Town identifies the average house price in Midland each year. The Town then calculates the annual tax increase for the average priced house.
Year .............Tax Increase for Average House
2006 ................................2.9%
2007 ................................4.4%
2008 ................................3.5%
2009 ................................2.2%
2010 ................................2.3%
Five year total increase 16.2%
The Bank of Canada five-year change to CPI to July 2010 is 9.0%.
3 comments:
Gord I'm glad to see you making this an issue in the election. I don't ever recall anyone running for mayor talking about tax cuts. Our town finances have been mismanaged and requires a scrutinizing eye to get in there and go over the books and start demanding results for our hard earned money. I can site numerous examples of mismanagement, but the best one was when the walkway lamp in front of my house burned out, I called the town to change the light... I've opened this light before to clean bugs out, it takes 2 screws to open the cover, and it's 3 feet high. Anyone can change it. The town sent 5 guys to change this light, and they sent them immediately. I had guys all over my property with walkie talkies for over 30 minutes. To change a light bulb.
I seriously doubt that 5 guys came to change a light bulb. The town of Midland is not that stupid as your making us sound out to be!
This is a problem at every level of government. Department heads should have incentive to save money and reduce budgets. Instead they are rewarded for their ever growing fiefdoms.
-Cut staff
-Stop competeing with your tax base (conference facilities etc.)
-contract local businesses and services
I hope the first poster is correct, but I do not see where Mr, McKay is talking of cutting taxes. In my memory there hasn't been an extended period of negative inflation. If the last ten years are any indication we should still expect Mr.McKay if elected to hand us a 2% a year (approx yearly inflation in Canada over the last 10 years)increase on an already inflated tax burden.
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