Tax Assessment

Res #: 3-07M
Number: 3
Year: 2007
Midterm: Yes
Expired: Yes
Responses Received: No
Departments: Saskatchewan Government Relations

Resolution No.  3 -07M
Tax Assessment

WHEREAS under the current assessment system multiple neighborhoods can exist within the residential and seasonal residential classes;

WHEREAS under the market related neighborhood system huge boundary shears can exist with adjacent properties; and

WHEREAS municipal councils are not allowed the tax tools to mitigate the inequities of the assessment and corresponding education property tax;

BE IT RESOLVED that municipalities be allowed the option of either the current multiple neighborhood assessment or a single market adjustment index applied to all properties under that class within the municipality.

Ministry of Municipal Affairs RESPONSE

·         Government’s role in the property assessment system is to ensure there is an appropriate legislative framework and governance model.
·         The Saskatchewan Assessment Management Agency (SAMA) is an independent agency that operates at arms length from the government and is delegated the authority to establish the rules and principles used in determining assessment values in accordance with legislation. 
·         Although we understand that SAMA has decided not to support this resolution as it was passed at the SAMA 2007 annual meeting, Municipal Affairs will be encouraging SAMA to ensure that assessment neighbourhoods have not been over stratified in the 2009 revaluation.
·         The resolution would make property assessments the subject of local councils’ decisions rather than being determined by professional assessment appraisers.
·         Equity issues would be created among ratepayers, as a single market adjustment factor only benefits those above the average – those below are over‑assessed; and among municipalities using different approaches within the same school division.