Sosetewent binitations and Tyo Yoll Systent i 7 = eet ES and Tyo 3011 systen: ary) Sear the end of tue last year inforustion vas presented to Counell out>” linking the problem involved in She 10% id«itattons on assessnent increases deposed by che Frovirctal Governzent, The main probles resulting from the 102 limitation iz, of course, that intetnal equity cannot be watotaired in Our Assesstent roll and Council asked the f€ to review any alternatives with a view to restoring equity within the wunicipaliry, The sost obvious alternative to use ig the return to two separate sszesszent rolls, one for achool Furposes and ene for gereral taxation Purposes. The 102 Minitstion applies to assessrent for school purposes and by dividing the roll, that is, having a scparate assesscect roll for school taxation and gencral caxation, “The problen of inequity is et leest reduced by one-balf. Equity can be restored io the As sessaent Koll for general Purposes and any inequitica that recain én the school sssesstent roll vould have to be elinfnated by cautiously applying increases to the areas vhere assesstents are low and by “ithholding increases oa areas thet ere sescased at higher than average. Tor atucy revealed that while under Jegislation cur assessed values should be at approxinately 503 of narket value, they do in fact, range free abour 192 to 37% of market. This Fatio {8 not oaly peculiar ke our own Bunicipalicy but is the case in most surictpalities chat have ex- Fertenced large {ocreases in Rarket value. The restrictions fmposed on ass- essaect increases for the past five yeats have nade it ippossible te increase assesscents to keep pace vith market values, The noat obvious atea of the doequity is in the vacaac land and a x wasre valuea kun at IyX of market. This is a @irect result of Lsnl speculation where dand ie purchased for a low value and 1a turned over again in « telatively sheze tire for a great ProEic, Market values sky rocket and assesseents cannet be facreased in each yeaz Co keep pace with the market increase. Our study then centred around the aetablishzent of a tvo roll eyaten in order to put at least half of the taxation cn an equitable basta, be found that i+ was possible &6 produce two rolls with existing equipceat in the Aaseaszent Departuent, hovever, some new equipment vill be Tequired in the accounting ~achine operation in order to Laadle the Production of tax notices on @ tuo roll ms, Our Present eqripnent kas not got che capacity, In this regard ve vere contea- + plating the scquisttion of nev equipment in any event a0 thet it vould have been possible to suing over ¢o a tvs roll systea for 1972, we did not 20 into an analysis of the costs favolved in fuplemeating the system as there 28 one legal complication witch wakes It decidedly to our adyantace to stay vith our preacnt tem in spite of sur inequities. Thie has to do with proviacied gvanta thst vallable for severage treataeat plante, in 1969 the Provincial Cevernoen: passed lecletetion that they would pay a grant to monicipslites towards che cost or frovicicg severace tveatcent facilities, The grant azote to acy cest fa excess of a 2 aitt Wy and the value of the eill for the Puczose of legtslatica ts the valor of the ai}2 for cgeacral purposes. Cearing fa aing that a trecsfer to tae twe coll system would being wur aseeszoent tered wp to LOLS of marsat, er in other vords, increase the value of our sill ty roughly three tines, The folloving exazple will illustrate the effect cf the tvo roll eystes on the Brente Chat we are lladte co recovers Sever Debt Ciarzes & Recovertes fron Provirce (Anticipated that crasts vill apply starting = 1979) EXSOLE FuS The YEAR 1973 —— Present Assesszcent 2 Kotz Systeu Syren 2305 fer Rereral sirceses _——— Debt Retireaent (1973) $177,00, $177,083, Lesa Value of 2 HALL Levy-ly73 130,059, Salance Payable by Province 37,00. Estimated that recoveries vill smoot Co 3628,000. ever 2S year period ££ Present assecsnent syste raicteise2. In view of the foregoing, 2¢ vould be SY recommendation that we oray with che present basis of asseseuents and atieryt to elintnite inequities fy th. best vay possible, that ds, by cactiously applying facteases to assrseed values vhere they are needed to restore equity an] by vithholdicg trereases Viere assessed valucs near average level relative to sarket.