West Hants drops residential tax rate one cent

“At the end of the day, we narrowed it down in a responsible way to reduce the tax rate by a cent to just help people in a tough time ...” Abraham Zebian Mayor, West Hants Regional Municipality

Hantsport and Windsor business owners are in for a small break this year when their property taxes come due thanks to a five-cent commercial tax rate reduction.

West Hants Regional Municipality recently set its tax rate for 2022-23, lowering residential taxes by one cent per $100 of assessed property for all residents, regardless of where they live within the municipality, and cut commercial taxes for Hantsport and Windsor business owners by five cents per $100 of assessed property value. The general West Hants commercial tax rate stayed the same.

Mayor Abraham Zebian said council wanted to bring the commercial tax rates for the former towns more in line with “the already fantastically low rate for West Hants.”

The general commercial rate is 98 cents per $100 of assessed value. When the combined area rate is included, West Hants commercial property owners pay a total $1.78 per $100 of assessed value, followed by $3.75 for Hantsport and $3.85 for Windsor.

With the new rates, owners of a commercial property valued at $250,000 would pay $9,625 in Windsor, $9,375 in Hantsport or $4,450 in other West Hants communities, including Falmouth, Brooklyn and Three Mile Plains.

“We're hoping to continue to spur business,” the mayor said of the tax rate reduction.

“We have a new revitalization happening in both communities' business districts and we believe it's because of the consolidation and the new energy that's coming in from new residents that are opening businesses and entrepreneurs taking that leap of faith,” Zebian said.

“A tax decrease in our business districts, although it's a small amount — it doesn't translate into huge dollars — but it signals the willingness of the municipality to show that it is a priority for our business districts to be healthy and strong and any which way we can support them throughout the entire county, that's what we will do.”

Jennifer Daniels, who operates Daniels Flowers in downtown Windsor, has also seen a positive shift in energy in the downtown business community since she located there in 2006.

“I would say, over the last 10 years, I've seen a substantial difference down here. It's really taken a turn for the better,” she said.

“People are opening up shops; there's less vacant spaces down here. New people are coming into our community — both visiting and coming to live here — and that's really helped revitalize and maintain the businesses that are here. I think it's great.”

The municipal commercial tax break, however, only affects commercial property owners — not those who rent retail space.

“I don't think it's going to make really that great of an impact, economic development wise, for the businesses and services that are down here,” said Daniels.

Commercial property owners are “not going to reduce our rent because we're on contracts. Some people might be monthly; they may be afforded a reduction, but I highly doubt it. Really, to me, it's not going to have any impact in that area.”

She said the municipality can help the entire business district by ensuring service levels — things like timely garbage collection plus salting and snow clearing — remain in place.

“As long as they maintain that, then people will naturally gravitate here because it's a welcoming community and (they will) want to set up shop here.”

RESIDENTIAL IMPACT

When setting the tax rate, Zebian said council was cognizant of inflation and the impact it could have on residents.

“We put in over 50 hours of budget deliberations this year — looking at expenses, revenues, deed transfer, individual line items for various expenses; things that we could live without, things that we can't live without,” said Zebian.

“At the end of the day, we narrowed it down in a responsible way to reduce the tax rate by a cent to just help people in a tough time — COVID and inflation and increased prices on everything. We just felt the onus was on us to do something, even as small as one cent.”

The one-cent reduction in residential taxes likely won't result in savings for property owners if property assessments rise.

All residential property owners pay a general rate (0.467 cents per $100 of assessed value) plus a combined area rate based on where the property is located within the municipality. Based on a residential property with an assessed value of $200,000, Windsor residents would pay $3,740, Hantsport residents would pay $3,300 while county residents, including those in Falmouth, Three

Mile Plains and Brooklyn, would pay $2,044.66.

Municipal tax bills are sent out at the end of July, with taxes due by Sept. 1.