Real Estate Talk LET’S TALK PROPERTY TAXES
Do you know where your tax dollars are going?
By Jay Lough Hayes, Peterborough Realty Inc. 705-772-1025
Years ago, I watched a great movie named ‘Dave’. If you haven’t seen it, take 2 hours and watch
it. A 1993 film starring Kevin Kline, who is the president of the USA. There’s a scene in the movie where Dave has his friend, an accountant, come over for a visit. As they’re going over the budget for America, the accountant looks at Dave and asks, “Geez Dave, who’s doing your books?” We all pay taxes of some kind. For homeowners, when you buy a house, Municipal Property Assessment Corporation (MPAC) assesses the value of all properties in Ontario. Through direction provided by City Council, the City drafts a budget that reflects community priorities, expected service levels and legislated responsibilities. For the most part, the 2020 Budget maintained existing service levels. The 2021 budget includes $292.2 million in spending on municipal services and $70.7 million in capital investments. Where does the City get money? Your property taxes include Municipal and Education taxes and go to both the city and the provincial government: - Tipping fees (city dump fees), - Engineering capital Recoveries, - Transfer from Provincial gas tax reserve, - Conditional grants from the Municipal, Federal and Provincial government, - Casino Revenues (what did we do before the casino moved in 3 years ago?), - Sewer Surcharge portion of your property taxes go to the City for municipal services and infrastructure. Remember flushing your toilet? Water in – water out. - Other fees and service charges, - Transfers from other reserves, - Other corporate revenues, - COPHI dividends (City of Peterborough Holdings Inc.), - Parking, - The education portion goes to the province, - Federal Gas Tax Fund ($4,916,411 in 2020). 38
How does the city spend that money? Your tax dollars go toward City services and infrastructure such as plowing roads, paths & sidewalks in the winter, collecting garbage, maintaining the landfill, picking up and processing recyclable items from your blue boxes, building and operating the sanitary sewer and sewage treatment systems to protect public health and the environment, providing social services, supporting affordable housing, running recreation programs, maintaining playing fields and arenas, Implementing sustainability initiatives, Peterborough Transit, Peterborough County/City Police, fire and paramedics, City council, transfers to organizations, community services, Fairhaven long-term care, Otonabee Conservation, parks and forestry, Peterborough Public Health, Peterborough and the Kawarthas Economic Development, Peterborough Humane Society, Downtown Business Improvement area, Greater Peterborough Innovation Cluster, Arts, Culture & Heritage, Social Services, City Planning, Legal, City Clerk’s office, financial services, Peterborough Airport, Transportation Planning & Traffic Operations, plus half a dozen more that can be found on the City of Peterborough website. Every day, you use community services or infrastructure in some way. Have you tried to find two roads that are not dug up every summer? That’s our infrastructure tax dollars at work. In 2020 the City of Peterborough paid 258 people over $100,000/year to work for you. Some are over $200,000/year+benefits+pension. That falls under Public Sector Salary Disclosure and our tax dollars at work. This is all on the city website.
