Council asked to approve $55 tax hike for average home

Sault Ste. Marie City Council will be presented tomorrow with a budget proposing a three percent increase in local property taxes.

That, City officials say, would mean an average increase of $55 (from $1,790 presently to $1,845) on an average property tax bill for the average home in the Sault.

The following news release was issued by City Hall today:

***************************************************************** Average tax bill to increase just over three percent

(Sault Ste. Marie, ON) - City Council is expected to approve the City of Sault Ste. Marie 2003 Budget in a special Council Meeting on April 23, 2003.

The property reassessment, conducted in conjunction with the Province of Ontario’s Tax Reform Program, is one of the most significant factors impacting the 2003 Budget that shows an increase of just over 3% in the property tax bill for the average home.

With many Northern communities facing substantial increases for average homeowners, the 3% increase for the City of Sault Ste. Marie is a relief to some.

"The City continues to face significant challenges but nonetheless has been able to move forward to maintain and improve our major infrastructure components and to provide a very good level of service to our ratepayers," says Joe Fratesi, Chief Administrative Officer for the Corporation of the City of Sault Ste. Marie.

"The 2003 Budget continues in that direction in what staff believes to be a very responsible manner. This budget is therefore wholeheartedly recommended to City Council for its approval."

City property assessment has declined by over $135,000,000 with nearly $100,000,000 of that in residential assessments.

Nearly 80% of residential taxpayers experienced a decline or no change in their assessment.

The average assessment decline was just over 4.00%.

The average home in Sault Ste. Marie declined in value from $100,000 to $96,000.

The Property Reassessment Program and the declining value of residential homes means the average property tax bill for the average home in Sault Ste. Marie will increase by just over 3% from $1,790 to $1,845 based on the 2003 Budget being presented to City Council.