May 28, 1998
To:Community and Neighbourhood Services Committee
From:H.W.O. Doyle
Subject: Classification of Rooming Houses
Purpose:
This report responds to the request of the Community and Neighbourhood Services Committee for information regarding
the classification of rooming houses for property tax assessment purposes.
Funding Sources, Financial Implications and Impact Statement:
None.
Recommendations:
It is recommended that this report be received for information.
Council Reference/Background/History:
At its meeting of March 26 and 27, 1998, the Community and Neighbourhood Services Committee had before it a
communication dated March 12, 1998, from Councillor Jack Layton, Co-Chair, Advisory Committee on Homeless and
Socially Isolated Persons, which communication contained a recommendation that the City Solicitor report to the
Committee as to whether rooming houses of up to seven units could be classified as single family dwellings.
Comments and/or Discussion and/or Justification:
The Assessment Act does not specifically refer to rooming houses or single family dwellings. Under the Assessment Act as
amended by the Fair Municipal Finance Act, 1997, there are currently seven classes of real property for tax assessment
purposes. The classes which are relevant for the purposes of this report are the residential/farm property class and the
multi-residential property class. These classes are not defined in the Act. However, Bill 149 which is currently being
considered by the Legislature contains proposed regulations under the Act which do include definitions of the various
classes of property.
Under Bill 149, the residential/farm property class would consist of land used for residential purposes as well as certain
specified types of land not used for residential purposes. The multi-residential property class would consist of land used for
residential purposes that has seven or more self-contained units and vacant land principally zoned for multi-residential
development. The multi-residential property class does not include land with is included in the residential/farm property
class which is used for residential purposes.
Neither the Act nor the proposed regulations contain a definition of Aself-contained units@. Based on current case law, it
would appear that a unit would be considered self-contained if it contained bathroom, kitchen and sleeping facilities which
are separate from the bathroom, kitchen and sleeping facilities of other units. Accordingly, a rooming house would be
classified as residential/farm property unless it has seven or more self-contained units.
Conclusions:
The foregoing is provided for the information of the Community and Neighbourhood Services Committee.
Contact Name:
Shirley Mathi392-2989
H.W.O. Doyle
City Solicitor
Legal Services
