Some municipalities will lower mill rate to ease tax burden

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Municipalities plan mill rate reduction amidst rising property values
Tashi Farmilo
Local Journalism Initiative

MRC PONTIAC – The municipalities of L’Isle-aux-Allumettes and Chichester have announced plans to reduce the tax mill rate in response to concerns over significantly increased property evaluations for many homeowners, driven by the region’s growing development and desirability. While higher assessments reflect a positive trend for the area, many residents have voiced worries about the financial implications, particularly with regard to municipal taxes.

“We can’t provide exact details just yet,” said Alicia Jones, director general for both municipalities. “The councils are currently in the process of preparing the 2025 budget, which will be adopted in December. The revenues collected through general taxation—based on the tax rate and property evaluations—are allocated to general operations,” she added.

To mitigate the potential burden, both councils are committing to lowering the tax mill rate in their upcoming 2025 budgets. This adjustment is intended to offset the increased property values, ensuring local homeowners do not face undue financial strain. “As assessment values are higher, tax rates will be reduced,” Jones confirmed.

Additionally, Jones noted municipalities can introduce service-based taxes, which would be calculated based on the services provided to residents rather than property assessments. “Each council should decide the best taxation method for their taxpayers,” she explained, noting the need for tailored approaches depending on local circumstances.

Further discussions on the revised tax rate and other potential solutions are expected in the coming weeks, with final decisions to be made during budget meetings in December. Jones encouraged residents to stay informed, review their new property assessments, and be prepared for any potential changes.

Alleyn-et-Cawood’s efforts
Alleyn-et-Cawood has also committed to lowering its mill rate while continuing its battle to have the assessment process overhauled at the provincial level. The municipality’s Property Evaluation Task Force insists that the evaluation process should be made fairer by eliminating the comparative factor from property value calculation and that it shouldn’t fall on municipalities to lower the mill rate to protect ratepayers from large tax hikes.

Director General Isabelle Cardinal confirmed that the municipality’s delegation, including herself, and Councillors Sidney Squitti and Guy Bergeron, attended the annual Congress of the Fédération Québécoise des Municipalités (FQM) last week. During this meeting, they discussed the property evaluation situation with more than 100 elected officials from across Quebec. “It was pretty obvious that this is a province-wide problem.” Cardinal said. “Many municipalities are facing similar evaluation increases.”

Cardinal also mentioned that the delegation met with Bernard Sévigny, a key figure from the Ministry of Municipal Affairs, who was formerly the mayor of Sherbrooke. Sévigny expressed support for Alleyn-et-Cawood’s concerns and agreed to explore legislative changes to address the issue at the provincial level. Cardinal noted that the municipality is making progress and that they will be submitting a detailed proposal to the government soon.

Looking ahead, Alleyn-et-Cawood is preparing for the next Council of Mayors meeting on October 16 and hoping that a new bylaw regarding calculation of municipal shares will be presented. “We’re heading in a very good direction,” Cardinal concluded, optimistic about the steps taken thus far.