By Pam Wright, Local Journalism Initiative Reporter, Chatham Voice
A bid to increase Chatham-Kent’s farm tax ratio has been shelved once again.
That was the decision reached by C-K council at its March 3 meeting, following a lengthy discussion and several deputations opposing the idea.
And while Wallaceburg Coun. Carmen McGregor was the one who brought the motion to increase the tax ratio forward last year, she said she could no longer support the move due to uncertain economic times.
McGregor’s original motion would have seen the farm tax ratio increase to 23.5 per cent in 2025, followed by an increase to 25 per cent in 2026. However, the new motion she brought forward will see the tax ration remain at 22 per cent until the province’s Municipal Property Assessment Corporation (MPAC) completes its next round of assessments.
“I can longer support the recommendations, even though I was the councillor that brought it back in August,” McGregor told council. “And I hope when I conclude this, you will agree with my thinking.”
Earlier decisions by council to push back improving gravel roads from a three year to four-year cycle, as well as suspend the use of dust suppressant on gravel roads factored into her decision, McGregor explained, noting these decisions were made to decrease Chatham-Kent’s base budget to a 4.99 per cent increase.
MPAC has paused its assessment process for several years, leaving Ontario municipalities working off of assessments made in 2016.
The majority of Ontario municipalities – including nearby Lambton County – have farm tax ratios at 25 per cent.
However, officials remain skeptical of MPAC’s timeline with neither C-K budget chair Brock McGregor or chief financial officer Gord Quinton holding out hope MPAC will re-assess Ontario properties anytime soon.
According to Brock McGregor, the same discussion around farm tax ratios surfaces annually.
“I’m not holding my breath for an MPAC assessment,” the Chatham councillor said. “We talk about it every year. It keeps not showing up.”
Brock McGregor pointed out that other segments of the population carry a greater tax burden – including businesses – which pay nine times the tax rate of rural and farm properties.
He also stressed the issue is a challenge because of what happened at amalgamation in 1998-99.
“Staff maybe politically can’t say it, but I will,” he stated, adding rural Ontario is “financially neglected.
“We need to all put in the same effort to lobby the province to get fair and equitable funding,” he said, adding that “we see massive investments” by government in other sectors and agriculture should be part of that.
In his comments, Quinton said he agreed that the next council should deal with the issue as there is “zero chance” MPAC will complete a new assessment before that time, noting the earliest it could come back is April 2027.
Members of various agricultural lobby groups, including the Kent Federation of Agriculture, were on hand to make deputations against an increase.
A drop in commodity prices, uncertainty around U.S. tariffs and the reduction of services to rural roads were among the concerns expressed.
Pleas to wait until the next MPAC assessments are completed were also made in each deputation.
The motion carried 13 to 3.