Thank you, Mr. Chair. We of course conduct property assessment pursuant to the Property Assessment and Taxation Act. The legislation sets out the classifications of properties that are subject to property assessment. One of the areas is recreational cabins. I can certainly appreciate the question from the Member. We have certainly heard that at the department level, of concerns raised by residents who are treaty status, who believe that they were exempt to taxation. Accordingly, we did work with the Department of Justice to seek interpretation of our legislation, and our understanding of the assertion of treaty rights is that, if a cabin is being used for the benefit of the whole community in that it is a community resource for hunting or fishing or sustenance purposes, certainly that would be something that would be exempt. The type of cabins that are being assessed right now are individual property owners' based on recreational leases, so, within the scope of the legislation, they fall within the area that we would assess, and, accordingly, we have continued to apply PATA in that regard. Thank you, Mr. Chair.
Thank you, Mr. Schauerte. Mr. Beaulieu.
Thank you. So non-recreational cabins that are used for harvesting, like hunting, trapping, fishing, and even berry-picking, I am wondering if those cabins are taxed. Thank you, Mr. Chair.
Thank you, Mr. Beaulieu. Minister Cochrane.
Thank you, Mr. Chair. As Mr. Schauerte said, if they are individual cabins, belonging to an individual and used for their purposes, they are assessed; if they are a cabin that is used for the community as a whole, they are currently not assessed. My understanding is that, once the land claims are finished, those issues will be addressed, so I would encourage all of our MLAs around the table to push the governments to actually settle the land claims. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Beaulieu.
Thank you, Mr. Chairman. I think, Mr. Chairman, most governments want to settle the claim in unsettled areas, but I guess my question is very specific. If an individual is using a cabin for non-recreational use; I don't consider somebody going out to hunt bison and has a cabin along the Slave River to be recreational use. Maybe they go there and picnic and that by boat and so on, but I am seeing recreational use as something you may be able to access by a vehicle, by a car. From the cabins that are used for traditional harvesting, are they taxed?
Thank you, Mr. Beaulieu. Minister Cochrane.
Thank you, Mr. Chair. As stated, and I will state it again, if the cabins are used for an individual's family and not shared with the community as a whole, they are currently assessed and taxed. If they are used as a community cabin and all community members are allowed to use that cabin for traditional harvesting and hunting, they are not taxed. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Beaulieu.
Mr. Chairman, I am using the term recreational. Mr. Schauerte used the term recreational. The Minister used the term recreational. I am trying to avoid the term recreational. I am asking if the government would be taxing somebody's trapping cabin. My understanding is that there are cabins on the Slave River near Fort Smith, near Fort Resolution, and cabins on the Taltson River, that are subject to taxing. Individuals are not seeing how that is possible. They went in the bush. They have been trapping there forever. They have replaced their cabins every once in a while, and they trap out of there, and they hunt out of there. Everybody shares cabins. Whether they share it with a community or not shouldn't have any relevance at all if we are using just the rules to assess and then tax. Very specific. I don't want the same answer again, because I got the same answer three times. I clearly understand. If you are sharing cabins with the whole community, it is not taxable. I am asking about an individual who is using a cabin for traditional harvesting, if that cabin is subject to taxation. This is the last time I will ask it.
Thank you, Mr. Beaulieu. Minister Cochrane.
Thank you, Mr. Chair. I am trying not to say the same thing for the fourth time. The answer is yes. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Any further questions on this department? We will go back to this activity. Mr. Thompson.
Sorry. In regard to what Mr. Beaulieu was talking about, the department has a legal opinion from Justice on what is traditional usage and what is recreational, correct? Thank you, Mr. Chair.
Thank you, Mr. Thompson. Minister Sebert.
I just want to say that a legal opinion from Justice would be privileged.
Thank you, Minister Sebert. Minister Cochrane.
Thank you. We should have said legal review versus legal opinion. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Thompson.
Ok, we'll try this again. Minister Sebert.
I think the contents of the opinion, we have shared in a general sense, which has led to the position we have taken. The actual opinion itself, we can't share because it is privileged.
Mr. Thompson.
Thank you to the Minister of Justice and the Minister of MACA on that one. Can that opinion be shared to committee in confidentiality? Thank you.
Thank you Mr. Thompson. Minister Cochrane.
Thank you, Mr. Chair. My understanding is, no, it cannot be shared with committee even in confidentiality. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Thompson.
Thank you, Mr. Chair. I will try this another way: can the department get the lawyer to come in and talk to committee in camera on this issue? Thank you, Mr. Chair.
Thank you, Mr. Thompson. Minister Cochrane.
Thank you, Mr. Chair. My understanding is, no, that a lawyer of the Department of Justice cannot go in even in camera to share that with committee. The other important thing to note is that we are also working with the Department of Executive and Indigenous Affairs on this. It is a pretty sensitive issue. At this point, no, Justice does not share that information. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Thompson.
Thank you, Mr. Chair.
We will turn to our Honourable Premier, Mr. McLeod.
Thank you, Mr. Chair. I don't want to muddy the waters, but as we have said before for those regions or Aboriginal governments that have land claims that have negotiated arrangements where these types of cabins are not fully taxed or they are not taxed, we have been talking at least to the NWT Metis Nation where we are expecting we are very close to having an agreement. We have asked them to quantify the issue and we are going to look at what arrangements can be done. Thank you, Mr. Chair.
Thank you, Premier McLeod. Mr. Thompson.
Thank you. I thank the Premier for that. I think it is getting a little bit more clear for me now. Just to clarify, if it is in unsettled land claims areas, presently we are not taxing these people in traditional cabins. Is that correct? Thank you.
Thank you, Mr. Thompson. Minister Cochrane.
Thank you, Mr. Chair. If it is in areas where Aboriginal governments have land claims and it is negotiated in their agreements, then we are not taxing them. If it is an unsettled land claim area, we are still taxing, as I had defined earlier. If it is for the whole community usage, we are not assessing, because we only assess. If it is for an individual usage for whatever purpose, we are at this point, assessing that property. Thank you, Mr. Chair.
Thank you, Minister Cochrane. Mr. Thompson.
Thank you, Mr. Chair. I thank the Minister for that answer. Is there an appeal mechanism out there? These people who have these cabins, can they appeal the department? Is there an appeal mechanism available? Thank you, Mr. Chair.
Thank you, Mr. Thompson. Mr. Schauerte.
Mr. Chair, the Property Tax and Relief Act includes an opportunity for residents to appeal their assessment notice through the Board of Revision. Thank you, Mr. Chair.
Thank you, Mr. Schauerte. Mr. Thompson.
Thank you, Mr. Chair. In regard to this, how does the department go out and do the assessment on these cabins? How are they able to do this? Thank you, Mr. Chair.
Thank you, Mr. Thompson. Mr. Schauerte.
Thank you, Mr. Chair. The Property Assessment and Taxation Act requires that we assess properties on a 10-year cycle. The department currently averages about every eight years or so. We physically inspect properties for valuation change. We have a team of assessors who are based out of Yellowknife, and a work plan is developed based on a rotational schedule with all of the committees that we need to attend to, and it is through that process that we develop the assessment role on an annual basis. Thank you, Mr. Chair.
Thank you, Mr. Schauerte. Mr. Thompson.
Thank you, Mr. Chair, and I thank Mr. Schauerte for that answer. It clears up a few things for me. I am going on to something a little bit different on this here. The senior citizen and disability personal property tax relief, we seen an increase of almost $300,000. Is this just because of our population has grown towards the seniors and we are seeing a bigger demand for this fund? Thank you, Mr. Chair.
Thank you, Mr. Thompson. Minister Cochrane.
