The St. Albert Housing Society is going to court to argue for a better deal on property taxes.
The housing society has a partial ownership at 12 Nevada Place, part of Big Lake Pointe, an affordable housing complex. The City of St. Albert assesses the units at 12 Nevada Place using market rental rates, even though the units are rented below market price.
The society and City of St. Albert are heading to the Court of Queen’s Bench over the issue on Feb. 25.
Neither the housing society nor the city were available for interviews since the matter is before the court, but the city did provide the legal briefs from both sides on the issue and the housing society provided a news release.
The brief from the housing society’s lawyer, who, according to the news release from the society is providing counsel on a pro bono basis, said the issue is with the taxes charged in 2014 and 2015.
In 2014 the property was assessed as having a market value of $13.6-million and the taxes were set at $140,084. The amount was appealed but the city’s composite assessment review board affirmed the city assessment.
In 2015, the building was assessed as having a market value of $15.5 million, though that was lowered to $14.4 million for a resulting tax levy of $146,057. The issue also went before the assessment review board.
The legal brief from the housing society’s lawyer says the hope is to have the 2014 assessed value lowered to $9.49 million and the 2015 value lowered to $8.6 million.
“Other municipalities, including Edmonton, employ different practices for assessing housing equitably,” says a January news release from the housing society. “The housing society is seeking a ruling to allow an alternative formula be applied to affordable rental properties that are bound to provincial rental rate caps and based on actual rent collected.”
The brief filed for the city and for the city’s review board notes the housing society has appealed its assessment three times and an application to the Court of Queen’s Bench over the 2013 assessment was dismissed.
The brief, dated Feb. 12, argues that the composite assessment review board did not err in its rulings. The relief requested by the city is for the applications for both tax years be dismissed with costs.
