Ontario Ombudsman investigates MPAC

NEWS RELEASES

OMBUDSMAN ONTARIO

ONTARIO PUBLIC SERVICE EMPLOYEES UNION

********************* Ombudsman announces MPAC transparency and integrity investigation TORONTO, ONTARIO - (Oct. 17, 2005) - Ombudsman of Ontario Andre Marin announced an investigation today into whether the Municipal Property Assessment Corporation's (MPAC) process for valuing properties in Ontario is fair and transparent.

Pursuant to the Ombudsman Act, Ombudsman staff served MPAC officials with legal notice of the investigation this morning.

At a press conference held in Ottawa, the Ombudsman said that he has tasked the Special Ombudsman Response Team to investigate the MPAC valuation process as a result of the increasing number of complaints received from members of the public.

The Ottawa City Council and Sarnia Mayor Mike Bradley have publicly called on the Ombudsman to investigate inequities in the property tax system.

In addition, Ottawa Mayor Bob Chiarelli wrote to the Ontario Premier describing the assessment process as "a mess."

"The public outcry on this issue is palpable. There are profound concerns expressed concerning MPAC's operations which has caused me to invoke the mandate of the office," said Mr. Marin.

The Ombudsman's investigation will focus on two main themes: an alleged lack of transparency in the property assessment system and the integrity and efficiency of the decision making process.

"Homeowners in Ontario have complained to us that they are unaware of the criteria their property assessments are based on and the facts relating to their individual assessments," Mr. Marin said.

The Ombudsman noted that he was also troubled by allegations from homeowners that MPAC has refused to recognize past decisions by its own staff and the Assessment Review Board reducing assessments and that property owners are continually forced to go back to the drawing board each year to appeal their assessments.

Mr. Marin is calling on anyone who would like to share their specific concerns about the property assessment process in Ontario to come forward and provide any information they may have about their experience with the system.

Anyone with information who can assist in this investigation can call 1-866-623-SORT (7678) or visit www.ombudsman.on.ca and fill out a SORT Information Form online.

********************* Union welcomes probe of MPAC

TORONTO, Oct. 17 - The union representing 1,500 assessment staff is welcoming an investigation of the Municipal Property Assessment Corporation by provincial ombudsman André Marin. "Despite the cheerful proclamations of MPAC management, many front-line staff are deeply concerned about the quality of the product in this year's assessment," said Leah Casselman, president of the Ontario Public Service Employees Union (OPSEU). "Our members look forward to working with Mr. Marin in any way we can."

Employee concerns began over four years ago when MPAC forced the majority of its staff to apply for new jobs in a re-organized corporation. The re-organization, known as "Futures," had several immediate effects: - MPAC lost local valuation expertise when it centralized the valuation of many property classes

- municipalities lost direct personal relationships with local assessment staff who were intimately familiar with their communities - front-line employee morale plummeted

- MPAC began a massive and very expensive computer system overhaul under the direction of former IT Vice-President Jim Andrew (the system is still not up and running) and - MPAC reduced the staff involved in the collection and analysis of market data and increased its reliance on computer models to create assessments "Computer models are only as good as the information that's fed into them," said Casselman. "The problems we're seeing at MPAC now all spring from the loss of on-the-ground knowledge," she said.

"At a time when customers everywhere want made-to-measure service, MPAC is offering a one-size-fits-all approach." In a recent MPAC survey, employees were asked whether, if given the option, they would invest money in MPAC.

Only four per cent were eager to do so. "We hope Mr. Marin's investigation will be the dawn of a new day for property assessment in Ontario," she said.

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