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RFD- 3908 Bylaws   Item #   10. h.    
Regular Council Meeting Agenda
Meeting Date: 03/23/2020  
Title:    C-1115-20 - 2020 Business Improvement Area Tax Rate Bylaw - First Reading - Boje
Department: Corporate Services  
Strategic Vision Element: This topic relates to all three of the City’s strategic vision elements contained in Council’s Strategic Plan Related Goal: Spruce Grove has a robust, growing economic base that generates increased revenues to support the City’s high standards for services and programs.

Request for Decision Summary
The purpose of this report is to seek Council's support for first reading of the 2020 Business Improvement Area Tax Rate Bylaw. The 2020 Business Improvement Area Tax Rate Bylaw will authorize the tax rate sufficient to raise the amount approved to be raised through taxation in the recommended City Centre Business Association's budget which was approved by Council. The approved amount to be raised through taxation is first paid to the Association and this cost is recovered by the City through collection of the Business Improvement Area Tax levies.

Proposed Motion
That first reading be given to Bylaw C-1115-20 - 2020 Business Improvement Area Tax Rate Bylaw.
The 2020 approved budget for the Business Improvement Area (BIA) includes $32,000 to be raised through taxation.  Legislation provides for 3 methods of calculating a BIA tax rate, each having their own effect on equity in distribution of the tax burden.
  1. Application of a tax rate to the assessment valuations, as done with property taxes, which would result in levies ranging between $14.64 - $1,706.73.
  2. Multiple tax rates if Council considers that some BIA activities are of greater benefit to businesses in one or more parts of the area. 
  3. A uniform rate throughout the zone, determined by dividing the approved amount to be raised through taxation by the number of taxable businesses as recorded on the Assessment Roll.
In consideration of the inclusive activities of the City Centre Business Association, Administration recommends a uniform rate (method #3) for 2020 as the most equitable approach. The BIA Assessment Roll contains:
  • 204 total roll count; each roll represents individual sites within the BIA.
  • 162 of the 204 are taxable business sites.
  • 27 of the 204 sites are vacant and non taxable sites.
  • 15 of the 204 are occupied sites which are exempt from taxation as explained in the report presented to Council on March 23, 2020 supporting first reading of bylaw C-1114-20 - 2020 Business Improvement Area Tax Bylaw.
Council may direct Administration to prepare a new bylaw in support of either method #1 or #2.  A decision to support method #2 would require the designation of areas based on benefit to businesses.
The City will notify the City Centre Business Association of the date notices will be mailed. Advertising will be done through the Examiner, City website, social media and reader boards.

Combined Assessment and Tax Notices are tentatively scheduled to be issued prior to the end of April and would be due on June 30.
Bylaw C-1115-20

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