The city is drafting a letter of support for a local condominium board’s concerns about municipal services and property taxation.
Scott Maclagan, the chairman of the Orillia CEC Committee, outlined numerous concerns about the infrastructure maintenance and services condo owners are expected to maintain without municipal support in a letter considered by council at Monday’s meeting.
When common element condominium (CEC) and horizontally built standard condominium (HBSC) developments are purchased, owners of the units are required to pay fees to maintain the development’s private roadways and underground infrastructure, Maclagan’s letter explained.
Some of Maclagan’s concerns are as follows:
- That HBSC and CEC owners pay the same rate of property taxes without receiving full municipal services, which has created “two classes of property owners;”
- That the Municipal Property Assessment Corporation (MPAC) is unable to provide differing assessments for the different levels of services received in such condo developments;
- That municipalities are unable to change property tax levels for such developments, despite reduced levels of municipal service, “but have no problem in utilizing the excess CEC and HBSC taxes to subsidize other property owners in the ‘residential class’;
- That municipalities have “no apparent concern” for private roadways and infrastructure intersecting with municipal facilities;
- That condo corporations have the potential to face bankruptcy for the infrastructure they are required to maintain, among other concerns.
Maclagan requested council to draft a letter of support to assist in securing meetings with the ministers of municipal affairs and finance.
Council approved the request, and directed the mayor’s office to draft a letter of support.
