Town considers paying businesses to upgrade properties

Posted Jan 26, 2012 By Derek Dunn

EMC News - During upcoming budget liberations Arnprior councillors will consider putting money into programs to encourage private business landowners to improve rundown properties.

The programs will see owners receive grants or reduced tax levels as an incentive to fix up their properties, improving the town's appearance to visitors and resulting in higher tax assessments in future.

Council will control which programs get the money, and how much is put into each. The amount is expected to reflect council's budget priorities, which in turn are usually based on election commitments and knowledge gained on the job

According to a staff report by Robin Smith, other municipalities contribute a wide range of funding, from $20,000 to over $500,000 each year. Even small municipalities, similar to Arnprior, provide anywhere from $20,000 to $200,000.

"However, $20,000 to $30,000 is a typical annual incentive fund budget for small municipalities," Smith wrote, adding consultant MMM Group suggested a minimum of $35,000 in the first year, on a first-come, first-serve basis.

The money would go to the following financial incentives programs:

- façade and property improvement program,

- heritage property improvement program,

- downtown housing improvement program,

- application and permit fees refund program,

- tax increase-based equivalent rebate program,

- Brownfields financial tax incentive program.

Reeve Walter Stack pointed to businesses that have already renovated their buildings before the programs are in place.

He also said the focus on improving downtown businesses will "disadvantage" those along Madawaska Boulevard, Daniel Street and elsewhere.

"I'm still going to have a problem with supporting this in general," Stack said.

Smith agreed the focus will be on the downtown, but also at gateways to town.

Stack said the business improvement area (BIA) should contribute to the programs, and offer consistent shopping hours - a criticism he's heard repeatedly.

Mayor David Reid said he is "somewhat in favour" of the program, especially the tax increase-based equivalent rebate program, because it doesn't cost the town any money.

"I look at it as an investment," Reid said.

The community improvement and tourism advisory committee, chaired by Coun. Lynn Grinstead, will recommend which applicants should be forwarded to council for consideration.

All councillors, with the exception of an absent Lyle Anderson, voted in favour of discussing the proposal at budget time.

derek.dunn@metroland.com