Highland assessment shocks Sanford

Although adamantly opposed to any rezoning of Highland Companies farmland for aggregate extraction, Melancthon resident Dennis Sanford was less than pleased when he learned that the tax assessment on that property had risen by as much as 400 per cent after the purchase by Highland.

The revelation of a tax hike upon the change of ownership came as a question from John Lowndes of Highland, who had simply sought confirmation that his company in the coming year would be paying four times the amount of tax that the previous owners had been paying.

Although not sympathizing with Highland “due to their stated intentions to quarry Melancthon farmland,” Mr. Sanford found it “disturbing, arbitrary and unjust” that a taxes should be hiked because of a change in ownership when there is no apparent change of the use.

It turns out the fault lies with a perhaps littleknown provincial regulation that requires farmland owners to have their property classified as such by the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA).

“The farm tax class includes farmland and associated outbuildings (that are used for farming operations),” says the Municipal Property Assessment Corp. on its Website.

“Although MPAC may assess a property as a farm, it is taxed at the residential rate unless placed in the Farm Property Tax Class by (OMAFRA).”

Township CAO Denise Holmes said that when a farm property changes hands, it automatically reverts to the residential class until the new owner has applied to OMAFRA to have it taxed at the farm rate.

In a second issue of concern, the council was commended for not having signed a memorandum of understanding for the proposed YMCA at Shelburne.

However, Melancthon remains a participant in the funding but the council was concerned about the wording of the memorandum.

And, in other business, the council met behind closed doors with its solicitor last week to discuss issues surrounding the Highland Company’s proposed quarry.

Information was not available from the in camera session but Ms. Holmes did say that the Highland application is expected early in 2010.