By-law to provide for recoveries
447.69  (1) The council of a municipality, other than a lower-tier municipality, may pass a by-law to establish a percentage by which tax decreases are limited for a taxation year in respect of properties in any property class subject to this Part in order to recover all or part of the revenues foregone as a result of the application of section 447.68 to other properties in the property class. 2000, c. 25, s. 44. Application (2) A by-law under subsection (1) shall apply to all properties in the property class whose taxes for municipal and school purposes for the previous year, as determined under subsection 447.68 (2), exceed their taxes for municipal and school purposes for the taxation year as adjusted in accordance with the regulations in respect of changes in taxes for municipal purposes and changes in taxes for school purposes. 2000, c. 25, s. 44. Single percentage (3) A by-law under subsection (1) shall establish the same percentage for all properties in a property class, but different percentages may be established for different property classes. 2000, c. 25, s. 44. Limitation (4) The percentage established by a by-law under subsection (1) shall be limited as follows: 1. Calculate the total revenues foregone as a result of the application of section 447.68 to properties in the property class. 2. Calculate the total difference between the taxes for municipal and school purposes for all properties in the property class referred to in subsection (2) for the previous year, as determined under subsection 447.68 (2), and the taxes for municipal and school purposes for properties in the same property class for the taxation year as adjusted in accordance with the regulations in respect of changes in taxes for municipal purposes and changes in taxes for school purposes. 3. Calculate the percentage of the amount determined under paragraph 2 that would yield sufficient revenues to recover all of the foregone revenues calculated under paragraph 1. 4. The percentage established under the by-law shall not exceed the percentage determined under paragraph 3 or 100 per cent, whichever is the lesser percentage. 2000, c. 25, s. 44. Single property class (5) For the purposes of this section, the commercial classes shall be deemed to be a single property class and the industrial classes shall be deemed to be a single property class. 2000, c. 25, s. 44. No lower-tier surplus or shortfall (6) The council of an upper-tier municipality shall, in a by-law under subsection (1), provide that adjustments shall be made between the upper-tier municipality and lower-tier municipalities so that no lower-tier municipality has a surplus or shortfall as a result of the application of the by-law. 2000, c. 25, s. 44. Upper-tier shortfall (7) If the upper-tier municipality experiences a shortfall as a result of the application of subsection (6), the by-law made under subsection (1) shall provide that any shortfall shall be shared by the upper-tier municipality and lower-tier municipalities in the same proportion as those municipalities share in the taxes levied on the property class for municipal purposes. 2000, c. 25, s. 44. Taxes for the taxation year (8) The taxes for municipal and school purposes for the taxation year on a property to which a by-law made under this section applies shall be determined as follows: 1. Determine the taxes for municipal and school purposes for the property for the previous year under subsection 447.68 (2). 2. Determine the amount of the difference between the taxes for municipal and school purposes for the property for the previous year, as determined under subsection 447.68 (2) and the taxes for municipal and school purposes for the property for the taxation year, as adjusted in accordance with the regulations, in respect of changes in the taxes for municipal purposes and for school purposes. 3. Multiply the percentage established for the property class the property is in under subsection (1) by the amount determined under paragraph 2. 4. Deduct the amount determined under paragraph 3 from the amount determined under paragraph 2. 5. Deduct the amount determined under paragraph 4 from the amount determined under paragraph 1. 6. The amount determined under paragraph 5 shall be adjusted, in accordance with the regulations, in respect of changes in taxes for municipal purposes and for school purposes. 7. The taxes for municipal and school purposes for the taxation year shall be equal to the amount determined under paragraph 5 and adjusted under paragraph 6, if applicable. 2000, c. 25, s. 44. Regulations (9) The Minister of Finance may make regulations, (a) providing for adjustments under subsection (2), (4) or (8) in respect of changes in taxes for municipal purposes or for school purposes; and (b) governing the determination of the percentage under subsection (1) and the limitation on such percentage under subsection (4). 2000, c. 25, s. 44. General or specific (10) A regulation under subsection (9) may be general or specific and may treat different municipalities differently. 2000, c. 25, s. 44. Taxes for school purposes (11) No by-law made under this section shall affect the amount that a local municipality is required to pay to a school board. 2000, c. 25, s. 44. Supplementary and omitted assessments in the taxation year (12) If an assessment is made under section 33 or 34 of the Assessment Act to a property subject to a by-law under this section that increases the assessment of that property for the taxation year, subsection (8) does not apply to the additional taxes for municipal and school purposes for the year attributable to the assessment. 2000, c. 25, s. 44.