Appeal to Ontario Municipal Board - Equalization Factors

by Former City of Toronto

The Strategic Policies and Priorities Committee recommends the adoption of the following report (October 15, 1998) from the City Solicitor:

Purpose:

To seek City Council's approval to withdraw the application of the former City of Toronto at the Ontario Municipal Board for a review of the Equalized Assessments and Equalization Factors for Metropolitan Toronto as published in the Ontario Gazette in July 1993.

Funding Sources, Financial Implications and Impact Statement:

None.

Recommendation:

That the application to the Ontario Municipal Board made by the former City of Toronto for a review of the Equalized Assessments and Equalization Factors for Metropolitan Toronto as published in the Ontario Gazette in July, 1993 be withdrawn, and that staff be authorized to take any necessary action to implement this.

Council Reference/Background/History:

The Council of the former City of Toronto, at its meeting held on October 12 and 15, 1993 adopted Clause No. 58 of Executive Committee Report No. 19 and in so doing directed the City Solicitor to file an application to the Ontario Municipal Board in respect of the equalization factors for Metropolitan Toronto which were published in the Ontario Gazette in July, 1993. At that time, Council also authorized the retention of the law firm Poole Milligan, specialist in assessment law, to undertake the hearing before the Ontario Municipal Board on behalf of the City.

Comments and/or Discussion and/or Justification:

Following the instruction of the former City Council, an application was filed with the Ontario Municipal Board in 1993 pursuant to section 51 of the Assessment Act. However, the Board was asked to hold the application in abeyance until discussions with the Regional Assessment Commissioner and other affected municipalities were completed. At the time that the application was filed, the issue was solely one of tax apportionment of levies among the various municipalities in Metropolitan Toronto whose interest at the time were not necessarily the same as the City of Toronto's. The provincial government in 1993 decided not to permit a tax apportionment in Metro based on equalized assessment and as a result the issue became less critical. However, the issue of education grants remained relevant. Counsel appeared at the Ontario Municipal Board on a motion to narrow the issues in this appeal on August 2, 1996 and at that time the matter was adjourned sine die pending receipt of the 1997 Equalization Factors. At that time, the Metropolitan Separate School Board, which was also a party to this application, withdrew from this matter, leaving the City as the sole applicant.

The Ontario Municipal Board has now set this matter down for November 13, 1998 at which time the Board is requesting that the City advise whether or not it wishes to continue with its application.

Staff in the Department of Finance and the Department of Economic Development, Culture and Tourism have been consulted and have determined that there is very little, if any, value in pursuing this appeal since the amalgamation of the former municipalities within Metro into the new City of Toronto. As a result of amalgamation, the equalization factors do not affect any grants or grant allocations for the City and consequently there is no benefit to the City in pursuing this matter. The purpose of this report therefore is to request City Council's authority to withdraw this application.

Conclusions:

This report recommends that the application to the Ontario Municipal Board by the former City of Toronto for a review of the Equalized Assessments and Equalization Factors for Metropolitan Toronto as published in the Ontario Gazette in July, 1993 be withdrawn as this application is of no benefit in light of the amalgamation of the old municipalities into the new City of Toronto.

Contact Name:

Mary Ellen Bench, 392-7245.