Chris Clegg
South Peace News

High Prairie taxpayers will be getting a one-month break on the municipal portion of taxes in 2020.

High Prairie town council unanimously decided at a special meeting May 5 to give the tax relief in lieu of the devastating effect of the COVID-19 pandemic on some, but not all, businesses and residents.

By law, council can only forgive the municipal portion of the tax bill.

The lengthy debate included a good discussion, with opinions changing as information and ideas were brought forward.

Before the vote, Councillor Arlen Quartly questioned if all councillors knew the effect of the pandemic.

“You guys don’t know what it’s like to not pay your bills,” he said. “I don’t see a lot of stressed faces.

“It’s going to get worse,” he predicted.

“We’re a flush town. We have reserves. It’s a small token [tax relief] in a pandemic time.

“You guys don’t know what it’s like to not pay your bills,” Quartly repeated for emphasis.

“I’m serious.”

“Tough one for me,” said Mayor Brian Panasiuk after the vote.

Councillor Debbie Rose was concerned at previous meetings that some people and businesses were doing fine during the pandemic and did not need the relief.

She began the May 5 debate by saying if any relief was not given evenly across the board, how would council determine the level of impact of the pandemic on each. Therefore, she favoured equal treatment for all.

Councillor Brian Gilroy said he spoke to businesses who wanted “flexibility” in their ability to make tax payments.

“No one was asking specifically for funding,” he said.

As a result, he favoured waiting until September to see how much impact the pandemic would have before making a decision regarding tax relief.

“Businesses are suffering, residents are suffering,” said Panasiuk, adding people better be prepared for long-term pain.

“It will be scary for another year – maybe eight months. There are still a lot of unknowns as we move forward.”

He was leery of handing out money as the Town needs money “to keep the services going.”

But where would the money come from?

Council realized they should save some money because some recreation facilities are closed [indoor pool] and library. The museum is allowed to open. Any money not spent in those budgets will show as a surplus as the end of year and likely be placed in reserve accounts.

Also, council is expecting to spend little of the $30,000 set aside for community grants and sponsorships.

Discussion then turned toward the indoor pool. Panasiuk said the facility loses about $600,000 in operating each year, and that so far a savings of about $24,000 had occurred since closure, most on wages and chemicals.

He estimated savings at $12,000 to $15,000 a month.

Councillor Donna Deynaka was dismayed.

“We’re giving money to groups that are closed,” she said, and suggested an immediate 15 per cent cut across-the-board.

“I hate to say it…but we might have to look at closing the pool,” she said. “We have some serious issues we really need to look at.”

Quartly agreed in regard to the pool.

“My thinking is, lock the doors and shut it down,” he said, adding lay off all staff and get them on Unemployment Insurance.

“I’d do the same with the arena, too.

“I think we just lock them up. It will be a long time yet. [Big Lakes County] can’t afford the 50 per cent [to keep it operating].

We can’t afford the 50 per cent. It will be a great savings. I really think we’ve got to look at that. That’s what I’d do. I’d pull the trigger.”

“I agree with Councillor Quartly on that one,” said Deynaka, about the pool and the arena,” she added. “There are so many unknowns we don’t know when they’re going to reopen.

“I know it sounds crass and cruel but it’s a reality.”

“It makes sense to lock it up and cut the costs,” added Quartly.

“The reality is it’s been done in lots of communities,” said Rose.

Councillor Judy Stenhouse agreed with Quartly and Deynaka regarding the cuts.

Panasiuk asked for some final thoughts before the vote.

“We should be doing something,” said Rose.

“Is everybody getting their jobs back? If we support something…it’s straight across-theboard for all residents.”

Originally, Quartly was in favour of using $1 million for tax relief [about three or four months relief] but he said he relented a bit.

“If we can stop the expenses – recreation, the pool, the arena, our expenses will be quite a bit less.

“At the end of the day, I think we still have to dance to our own drum.

[Give all] a break…make a deal on one month. It shows we’re willing to do something for the taxpayers.

Only pay 11 months, not 12. Do that for every taxpayer, residential or non-residential.”

“I agree with what I’m hearing,” said Councillor Michael Long, adding he realized administration was against the idea.

“A month, I think we can handle that. I’m in favour for a month but that’s it.”

Stenhouse wasn’t so sure.

“I don’t think we can do a month. Cut expenses as best we can and watch every penny.”

Deynaka favoured the one-month relief but also wanted to “seriously” look at the operations of the museum and library.

Panasiuk reminded council that spending had already decreased in the 2020 budget.

“I think we’ve met what a lot of businesses expect. I think we’ve done a lot already.”

He reminded council to be concerned and aware of the long-term implications and council’s need for capital projects.

“I do support giving a tax break,” said Rose.

“It will be a $400,000 hit to the Town. It will be business as usual [for the Town]. No one will be hurt.

“We know there’s lots of people who are hurting.

We’re the ones with the broad shoulders. We can carry this,” Rose added.

Stenhouse changed her mind. “Yes, they need the break. I’m for the one-month tax break. Everybody needs it.”

Gilroy alluded to previous comments from Quartly about not being able to pay bills.

“I’m sorry, Arlen, all of us are hit. Even myself. I’m not against the tax break; I think we should wait until September.”

“It’s just a nice little break. In my mind, it’s worth doing” said Quartly.

“I think everyone will appreciate that.”

“Instead of a tax break, look at it as an investment into the town,” said Long. “It’s not like we’re giving away the farm. We’re giving away a month.”