Council revises bylaw on business surcharge
At its public meeting Monday night, Orangeville council revised a resolution it had made as a preamble to a bylaw aimed at making local taxpaying retailers more competitive with non-taxpaying, mobile vendors.
At its Sept. 14 meeting, council resolved that the town's business licence bylaws be amended to incorporate a 20 per cent surcharge for non-resident applicants. The resolution raised the hackles of many who don't reside in Orangeville, but who own and operate local businesses and pay business tax.
Greater Dufferin Area Chamber of Commerce president Ron Munro was on hand at Monday's meeting to voice his concerns.
"As it now stands, this third level of tax, based on where one resides, is unwelcome and sends the wrong message."
Deputy Mayor Warren Maycock, who chaired Monday's meeting in place of the ailing Mayor Rob Adams, explained that the bylaw was still at the discussion stage and had not been passed.
Councillor Gary Kocialek eventually presented a motion that the original resolution be reconsidered.
He followed that with a motion that a 20 per cent surcharge be applied to a business that does not own, rent or lease a permanent building in Orangeville.
"It stops people from bringing in a truckload of goods and having an unfair advantage," said Mr. Kocialek.
Both motions were carried.
Somewhere Else Tearoom proprietor Elaine Downes, one of businesspeople on hand to protest the original resolution, said she was satisfied with the final motion. "I'm glad they amended the resolution, because it seemed confusing," she said.
Mr. Kocialek's motion nearly mirrored an option put forth by Town Clerk Cheryl Johns in an August 10 report to council regarding the increase of fee structures for out-of-town vendors.
I n the report, Ms. Johns presented the option wherein "a surcharge of a determined percentage would apply to (business license) applicants who do not own, rent or lease a permanent building in the Town of Orangeville."
There was no mention in the option of a surcharge to such applicants because they did not live in the municipality.
On the other hand, Ms. Downes would like to see changes in the town's business licence fee system. She opened her business on Broadway last month, but says she had to pay a whole year's fee, which she will have to pay again in January.
Ms. Downes said, in the future, businesses in their first year should have to pay proportionately to the amount of the year they've been operating. For example, a business that opened in June need only pay for six months.
There were also suggestions on Monday night that the town's proposed surcharge was illegal.
Section 11, subsection 3-11 of the Ontario Municipal Act says a lower-tier municipality, which Orangeville is, may pass bylaws in regards to business licensing.
The ball got rolling on this bylaw in the summer when the owners of J Convenience on First Street complained that their sales of fireworks were being compromised by mobile vendors coming in from out of town.
When the bylaw is put into effect, the out-of-town fireworks would have to pay a $25 fee on top of customary $125 business licence fee.
Also hit with the surcharge will be food carts and mobile lunch trucks that operate within town boundaries, not because the owner/operators are from out of town, but because they don't operate in a permanent building.
As a result, their license fees will increase to $600 per year from $500.









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