Deliberations on KPMG Management Study

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In order to enhance our own understanding of where Midland stands compared to other Simcoe County municipalities, a colleague and I prepared a series of charts (below) that compare Midland’s tax burden to the rest of the County. The numbers are 2010 financial data contained in FIR reports provided as required by law to the Province by each Municipality. We compared data from 16 municipalities from within Simcoe County. We think you need this material to see Midland in its full context. Indeed Midland has the lowest median household income yet the highest local tax per $100,000 of property value. We suggest that using Wasaga Beach and Collingwood as the only comparators, and not addressing ‘ability to pay’, can only provide a partial context to understanding the issue. These charts show the tax burden on existing residents based on median household incomes and average property values. They also show the challenge high tax levels present to economic growth within Midland’s boundaries. Not shown is that Midland has the highest taxes on new development using a new house costing $300 K as an example. Clearly Midland is the highest taxed locally and yet on a per household income basis is least able to pay.

Midland is blessed with the highest non-residential tax revenue on a household basis but that is slipping as industrial and commercial tax base declines in Midland. If this decline in non-residential tax base continues, MIdland residents will have to pick up an ever increasing share of the burden in their residential taxes. Not a great banner for recruiting new residents or industry! We hope this material is helpful.

George Dixon

2010 Tax per $1000 Median Household Income

2010 Tax per $1000 Median Household Income

2010 Tax per $100 000 Prop. Assess.

2010 Tax per $100 000 Prop. Assess.

 

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