CARROT RIVER — Council – or the two members of council that don’t have a conflict of interest – is asking residents what they think about giving the Carrot River Inn a tax break.
The inn sent a letter to the town asking if it would be possible to reduce – or even cancel – their civic taxes. The issue was discussed at the June 21 council meeting.
According to the Municipalities Act, a town can do such a thing if they deem it is in the best interest of the community, but there’s one important caveat.
“Council can’t do this without public notice,” said Kevin Trew, the town’s administrator.
During the town’s council meeting Aug. 23, the inn’s board will present their arguments as to why the town should reduce their taxes. Interested members of the public will also be able to address council if they inform the town in advance of the meeting.
Trew said Mike Livermore and Dennis Letendre, the two councillors that are able to vote on the issue, haven’t expressed any preference as to what they want to see.
“They’re taking this seriously and are wanting to have some public input,” Trew said, adding later that they feel it’s a decision they cannot make without that input.
When council has had general discussions on the issue, there’s been two lines of thought expressed.
The first is that if one business receives a tax cut or cancellation, it opens up a slippery slope where other businesses could ask for the same thing.
The second: the town does have a tax abatement program where new businesses don’t pay taxes for the first few years for economic development purposes. There’s also a property in the town, the ambulance garage, that doesn’t pay civic taxes.
