There's been a lot of talk from Citizen's in Norfolk County with regards to The Nature Conservancy of Canada's penchant for buying farms, tearing down the buildings and how it affects the tax base of the County. A concerned Citizen has taken it upon themselves to delve a little deeper into the equation and has sent us some much needed information to produce hard results.
The loss of these farms is irreparable to our community. The jobs, production, and family's are gone forever. Money churn cannot be calculated. If it could the results would be staggering.
What we can produce is the money lost on the overall tax base where Citizen's will be left with the bill. We won't get into the nitty gritty details like property value increases and property tax rates. You will get the big picture. Check your tax bill.
Using the information from Municipal Affairs we can see how much property tax farmers paid the County for their agricultural land. Norfolk County is comprised of 163,446 ha's overall. Farm values for taxation purposes according to MPAC have risen just over 8% while the tax base has dropped .6%.
| Year | Farm Taxes Paid | Farm Value | Farm in NC (ha) |
|---|---|---|---|
| 2006 | $2,928,406 | $863,296,523 | 123,004 |
| 2007 | $2,993,947 | $858,011,775 | 123,004 |
| 2008 | $3,090,610 | $862,865,180 | 165,000 |
| 2009 | $2,988,989 | $867,354,099 | 122,943 |
| 2010 | $2,927,985 | $882,162,287 | 122,943 |
| 2011 | $2,945,315 | $909,721,823 | 122,943 |
| 2012 | $2,910,922 | $935,326,073 | 122,943 |
* Yes we see that in 2008 we had more agricultural land than actual land. We don't submit the numbers to MMAH, the County does. As you're likely aware we don't care much for their sloppy math either.
** According to this data only 61 hectares (150 acres) of farmland has been lost. How can this be when NCC now has holdings of over 5000 acres that we know of and from our Citizen's memory some 2,500 acres of arable land have been taken from production. Again, it's a math thing. You can't expect Norfolk County Staff to submit actual numbers at this point. It's like a budget for them. Just a guess.
By using the roll number we are able to take snapshots in time on what taxes were paid in certain years. We won't go thru incremental increases but will compare 2003 to 2013 on the 43 properties that The Nature Conservancy of Canada now owns.
According to the assessed value these properties were worth a total of $7,436,400 in 2003. Moving ahead ten years that assessed value now stands at $8,127,753 and NCC paid a total of $15,929,009 to acquire them.
Did your property appreciate so little in the last ten years? Not likely, keep reading.
Year 2003 - 43 Properties by Year 2013 - Same 43 Properties by
Assessed Value | Taxes Paid. Assessed Value | Taxes Paid.
Residental $2,467,575 | $33,979 $3,614,188 | $44,314
Farm $4,554,360 | $15,679 $2,610,590 | $8,002
Forest $97,310 | $335 $634,100 | $1,944
Exempt $117,855 | $0 $1,199,000 | $0
Total taxes paid in 2003 totalled $49,993 as compared to $54,260 in 2013.
Increase / (Loss)
Residental $10,335
Farm ($7,677)
Forest $1,609
Total increase of $4,267 from 2003 to 2013. Tax Exempt Properties owned by the NCC have decreased the tax base by $1,081,145.
If we assume that by 2023 all of the former farmland has been accepted into the Conservation Land Tax Incentive Program and that the NCC has sold/torn down ONLY HALF of the residential properties, this is what their tax bill will look like. This is without taking annual tax increases or Value increases into account. This is at today's Tax Rate. If they are able to dismantle/sell all of the residential properties, then this tax rate will be a big fat $0 with the exception of the tax that is paid by their head office.
Year 2023 - Same 43 Properties by
Assessed Value | Taxes Paid.
Residental 1,807,094 | 22,156.5
Farm 0 | 0
Forest 0 | 0
Exempt 4,443,690 | 0
TOTAL | $22,156.50
(Further explanation --> Keep Reading)
How can it be that NCC's properties have increased so little in value when yours has been climbing steadily and so have your tax bills? Residental property values have quadrupled in those 10 years. Unfortunately your tax bill has risen accordingly, so why is theirs so little?
It's easy. Tear down the houses, buildings and have them removed from the residential rate. If you let your farms grow fallow, scatter a few tree seeds you can now classify your AG land to Managed Forest. This gets you into the Managed Forest Tax Incentive Program (MFTIP). Your tax rate will be the same as farmland but wait, it gets better.
After ten years you can apply for the Conservation Land Tax Incentive Program (CLTIP) and have your property 100% tax exempt. Sure there's the usual red tape to go through but it sure beats paying taxes! If you dig around enough we're sure you'll find a grant or donation somewhere to line your pockets. NCC has already managed to remove $1,081,145 of land from the tax base over the past 10 year period hence the overall in crease of only $4,267 from 2003 to 2013. We are sure that there are individual farms in Norfolk County that have had larger increases on their individual properties.
In time, The Nature Conservancy of Canada will reclassify all of these former family farms and will not pay a penny in taxes. Even the $54k that they paid last year will be gone. You will be expected to foot the bill and won't even get a charitable tax receipt. Nice neighbours. Remember the article in the Port Rowan Good News that Betty Chanyi wrote stating that NCC pays the same taxes as the former farmer did?
Why don't you give her a call and ask her to explain that math for you using the real data?
She can be contacted here. If she loves them so much she could always just pick up the tab for us. What's a few million bucks for your life's legacy anyway? NCC could donate it back to her via her pet project, The Long Point Basin Land Trust and claim the donation as a write off!
Here's the data showing how the various properties are being rezoned to remove them from the high end tax base. If you see a value in the 2013 column that looks really low for a residential property you may want to contact MPAC to have a reassessment done. They likely haven't seen it in a while and would appreciate the tip so that they could bring it up to par like the rest of our homes.
Tax Code Legend :
FT - Farm Tax
RT - Residental Tax
TT - Managed Forest
EN - Exempt
| Roll Number | Tax Code | Assessment - 2003 | Tax Code | Assessment - 2013 |
|---|---|---|---|---|
| 543.020.08300 | FT | $112,000 | EN | $99,750 |
| 543.020.07701 | FT | $134,000 | EN | $51,625 |
| 543.020.07701 | TT | $45,875 | ||
| 543.010.05500 | FT | $339,000 | EN | $126,175 |
| 543.010.05500 | RT | $52,000 | RT | $173,075 |
| 543.010.02600 | RT | $150,000 | RT | $84,463 |
| 543.010.02600 | TT | $62,300 | ||
| 543.010.06300 | FT | $142,500 | EN | $1,600 |
| 543.010.06300 | RT | $47,500 | FT | $131,725 |
| 543.010.06300 | RT | $87,400 | ||
| 543.010.02500 | RT | $50,000 | TT | $67,000 |
| 493.040.22200 | EN | $12,190 | EN | $64,225 |
| 493.040.22200 | TT | $42,810 | TT | $95,775 |
| 543.010.01000 | FT | $88,000 | FT | $62,575 |
| 543.010.01000 | RT | $91,000 | RT | $91,500 |
| 542.030.24100 | FT | $325,000 | EN | $400 |
| 542.030.24100 | RT | $88,000 | FT | $275,150 |
| 542.030.24100 | RT | $242,800 | ||
| 542.030.24000 | FT | $144,000 | EN | $800 |
| 542.030.24000 | RT | $59,000 | FT | $119,825 |
| 542.030.24000 | RT | $55,100 | ||
| 542.040.20200 | EN | $5,605 | EN | $30,100 |
| 542.040.20200 | RT | $23,395 | RT | $29,025 |
| 542.040.18620 | FT | $6,700 | RT | $56,250 |
| 542.040.18900 | FT | $308,500 | FT | $178,650 |
| 542.040.18900 | RT | $30,500 | RT | $266,350 |
| 542.040.18610 | FT | $8,300 | EN | $11,750 |
| 542.040.18610 | RT | $50,250 | ||
| 543.010.01100 | FT | $349,000 | FT | $181,119 |
| 543.010.01100 | RT | $54,000 | RT | $145,300 |
| 543.020.18200 | FT | $318,000 | EN | $3,875 |
| 543.020.18200 | RT | $169,125 | ||
| 543.020.09400 | FT | $225,000 | RT | $299,050 |
| 543.020.09400 | RT | $100,000 | TT | $91,700 |
| 543.020.15700 | RT | $49,500 | EN | $56,500 |
| 543.020.15700 | TT | $54,500 | RT | $93,400 |
| 543.020.15700 | TT | $19,100 | ||
| 543.030.16175 | EN | $44,325 | ||
| 543.030.16175 | RT | $16,675 | ||
| 543.010.23600 | FT | $213,500 | EN | $9,150 |
| 543.010.23600 | RT | $21,500 | FT | $305,150 |
| 543.010.23600 | RT | $29,200 | ||
| 543.010.23500 | FT | $188,000 | EN | $37,225 |
| 543.010.23500 | RT | $59,000 | FT | $233,850 |
| RT | $68,175 | |||
| 543.010.23400 | FT | $186,000 | EN | $6,900 |
| 543.010.23400 | RT | $110,000 | FT | $245,550 |
| 543.010.23400 | RT | $162,050 | ||
| 543.010.18800 | RT | $150,000 | EN | $34,100 |
| 543.010.18800 | FT | $92,825 | ||
| 543.010.18800 | TT | $114,325 | ||
| 543.010.20300 | FT | $66,000 | EN | $44,400 |
| 543.010.20300 | FT | $85,550 | ||
| 543.010.20300 | RT | $23,000 | ||
| 543.020.25300 | RT | $106,000 | EN | $40,500 |
| 543.020.25300 | RT | $49,750 | ||
| 543.020.25200 | FT | $219,000 | EN | $3,000 |
| 543.020.25200 | RT | $103,000 | FT | $204,200 |
| 543.020.25200 | RT | $120,600 | ||
| 543.010.18000 | RT | $2,500 | EN | $50,500 |
| 543.010.18100 | EN | $68,000 | EN | $40,600 |
| 543.010.18100 | RT | $31,650 | ||
| 543.020.24510 | FT | $145,000 | EN | $14,700 |
| 543.020.24510 | FT | $175,775 | ||
| 543.010.14000 | EN | $13,300 | EN | $103,675 |
| 543.010.14000 | RT | $1,600 | ||
| 543.020.18300 | EN | $9,000 | EN | $43,625 |
| 543.020.16301 | FT | $55,000 | EN | $82,500 |
| 543.020.16300 | FT | $33,500 | EN | $52,225 |
| 543.020.16300 | RT | $57,000 | RT | $198,775 |
| 543.020.16400 | FT | $1,100 | RT | $47,500 |
| 543.010.08100 | FT | $351,000 | EN | $2,475 |
| 543.010.08100 | RT | $107,000 | RT | $232,400 |
| 543.010.08100 | TT | $111,100 | ||
| 543.020.09250 | RT | $46,000 | EN | $82,750 |
| 543.020.09200 | RT | $42,000 | EN | $88,000 |
| 543.020.05000 | RT | $343,000 | FT | $361,500 |
| 542.030.24700 | FT | $176,000 | EN | $500 |
| 542.030.24700 | RT | $75,000 | FT | $88,871 |
| 542.030.24700 | RT | $5,500 | ||
| 543.010.13800 | EN | $23,060 | EN | $90,425 |
| 543.010.13800 | RT | $150,940 | RT | $182,325 |
| 543.010.12900 | FT | $23,060 | EN | $28,650 |
| 543.010.12900 | RT | $150,940 | RT | $61,100 |
| 543.010.12900 | TT | $19,150 | ||
| 543.010.12200 | FT | $364,000 | EN | $28,650 |
| 543.010.12200 | RT | $59,000 | RT | $61,100 |
| 543.010.12200 | TT | $19,150 | ||
| 543.010.12300 | FT | $219,200 | EN | $27,200 |
| 543.010.12300 | RT | $89,800 | RT | $118,200 |
| 543.010.12300 | TT | $84,400 |
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