MPAC slammed in ombudsman report Mr. Marin’s report, Getting It Right, "vindicates everything we’ve been saying all along, way beyond our wildest expectations," Paul Hazell said, but "it doesn’t address the fact that market value assessment is wrong. It doesn't address the fact that tax shifts have already occurred and will occur in the future if they continue to use this system." Mr. Marin said the focus of his investigation "was the administration of the property assessment system by MPAC, not the system itself." The "broader issue" of how property is taxed is for members of the Provincial Parliament to decide, he said. Still, he could not ignore "the tidal wave of criticism that was directed at the legislative framework for property assessment in Ontario" and the many calls for "wholesale reform of the market value assessment system" his office received. Extension for appeals Critics of the system pointed out that "the volatility and unpredictability ... of 'hot' real estate markets result in property owners of modest homes and waterfront properties finding themselves being taxed on substantial unrealized capital gains." "This is particularly challenging for those with little ability to pay," he said. "Some individuals say they may have to sell their homes because of increased taxation." It was the havoc market value assessment was causing property owners that led to the formation of CAFTA in 2004 to be followed, late last year, by the Canadian National Taxpayers Coalition (CNTC). The older group continues to function as the educational wing while its sister organization has taken on the lobbying role. Mr. Hazell said the ombudsman’s report should add thrust to CAFTA's two-year demand for a conference to be held on doing away with market value assessment. The conference would bring together the premier, ministers, MPP's, MPAC officials, municipal representatives, and groups such as CAFTA that have been pushing for change. Municipal politicians "have been hoodwinked by MPAC saying there is nothing wrong with the system," Mr. Hazell said. "Well, the report tells them they’ve been fed a line." Mr. Hazell expressed hope that the results of Mr. Marin’s investigation will lead to more than correcting the many shortcomings he identified but Northumberland MPP Lou Rinaldi squelched any notion his government will consider tossing aside MPAC. “Throwing it out the window and starting from scratch is really not an option,” he said last Saturday. Even the ombudsman recognized “there are ways that we can make it work” within the existing framework. Mr. Marin noted that the Ministry of Finance and MPAC pledged to implement 18 of his recommendations immediately and to consider implementation of the other four after further study. The province has also extended the period for filing appeals by 90 days; the deadline had been March 31. The government made a commitment as well to sit down with the Association of Municipalities of Ontario to "examine more closely" the recommendations that require legislative action, Mr. Rinaldi said. Those discussions will take place over the summer. Minister of Finance Dwight Duncan "made it very clear" that whatever changes are required will take place before the end of the year, Mr. Rinaldi said. Mr. Marin's report was larded with anecdotes of property owners who have had bad experiences with MPAC. "Everything he says I’ve run across," Trent Hills businessman Eric Dickinson said. His report "hit the nail on the head." Mr. Dickinson spent $20,000 fighting MPAC to get his assessment reduced, only to have the value re-inflated for subsequent tax years, necessitating more battles he invariably won. |