Township shifts policy on GRCA levy

Centre Wellington’s recently-ratified budget implements a new policy concerning the township’s portion of the GRCA levy.

Officials say the outcome of the policy is a more equitable distribution.

A press release issued by the municipality states the GRCA levy is a charge from another agency, not a municipal service over which the township has any control. Under the old policy, owners of properties connected to either water or sewer services paid for the GRCA levy twice; both through water or sewer rates, and through general taxation.

To provide a more equitable distribution of the GRCA levy, the new policy, starting in 2013, removes that levy from the general tax rate, and apportioned between the environmental services budget (water and sewer services) and non-connected properties based on assessment. The portion for non-connected properties is levied as a special area rate, which will appear on the tax bill as a separate line item (similar to street lighting).

The owner of each property will therefore pay for the GRCA levy once; either through the water or sewer rates if the property is connected to water or sewer services, or through the special area rate if the property is not connected.

The total dollar impact in 2013 is a net shift of $55,074 from properties connected to water or sewer services, to properties not connected.

Going forward, the special area rate will be impacted by changes in future GRCA budgets and growth of the urban centres (as assessment and the number of properties connected to water or sewer services increases in the urban areas, the GRCA levy can be expected to shift proportionately from the rural properties to urban).

The net one-time impact on a residential property with an average 2013 assessment of $301,060 that is not connected to water or sewer services is $14. This is the net of $11 that would have been included in the general tax levy under the old policy, and special area rate of $25.

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