Debates of March 9, 2018 (day 23)

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Statements

Question 229-18(3): Land Value Assessments

Thank you, Mr. Speaker. Mr. Speaker, there has been a lot of confusion on how lots are assessed in the NWT. People assume it is Lands. We have now been told that this is the Department of Municipal and Community Affairs' responsibility. Can the Minister of Municipal and Community Affairs please explain why the department has been assigned this task? Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Masi. Minister of Municipal and Community Affairs.

Thank you, Mr. Speaker. The Member's question about why we have been assigned this task is a little bit confusing. I don't know the history on why Municipal and Community Affairs was assigned that. My guess would be that we are Municipal and Community Affairs and our job is to make sure that the communities have the supports that they need. Assessing them would be considered one of those supports. Again, though, I wasn't here back in the day when it was originally assigned to Municipal and Community Affairs

I thank the Minister for that answer. I have been hearing other information. It has been good. I will use the Minister's information and my colleagues' information to help understand the history of it. My next question is: I know in Fort Simpson I have heard assessments going up double from the previous years and nothing has been done to the lot. I have asked a number of people why this has come about and why values have increased. I have received different answers. Can the Minister please explain the process of how the department comes up with the value of the lot?

The assessment of the properties is done by the value of the land and any assets that are located on the land as the MLA has stated that he has seen taxes go up without any improvements done. There are two types of property assessments. There is one that is done on an annual basis. That captures changes to the existing property, such as if there are renovations, additions, et cetera. Then there is a general assessment that is completed at least once every 10 years. That updates the value of the land and improvements from the date of the last general assessment.

Like I said, there are two different assessment processes. Some communities just happen to get in that position where the general tax assessment is increased. The City of Yellowknife went through that a couple years ago, I believe.

Just from hearing that answer and hearing the Minister of Lands in previous sittings here, do improvements on the land help or increase the value of the land that is presently there?

Yes, the assessment to land is taking into consideration not only the land, but all infrastructure that is on the land. I will use Yellowknife. If you buy a lot in Yellowknife, you might be looking at a couple of hundred thousand, but once you put a trailer onto that or a unit onto that, it does increase the market value of that property. That is taken into consideration.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Nahendeh.

Thank you very much to the Minister for that answer. I guess my next question is: in regard to Commissioner's land and territorial lands within municipal boundaries, are they taxed with the assessment value? Thank you, Mr. Speaker.

All lands are taxed, except there are some exemptions. So for a complete listing of the properties that are exempt, you would have to go into the PATA, but things such as land claims agreements would impact that, as well. So, there are exemptions to taxable properties, usually by land agreements, Aboriginal government agreements. Thank you, Mr. Speaker.

Speaker: MR. SPEAKER

Masi. Oral questions. Member for Kam Lake.