COCHRANE— After a contentions battle pushing for the Town of Cochrane to reassess Spray Lake Sawmills property taxes, the complainant has opted to not take the matter before the Court of Queen’s Bench.
Former Cochrane Councillor Andy Marshall called for the tax assessment review for Spray Lake Sawmills after an “overly favourable assessment on the property.”
Marshall filed a complaint against the assessment to the Composite Assessment Review Board in March and a hearing was held on Aug. 10. When the reassessment was denied Marshall had the option to appeal the decision at the Court of Queens Bench.
Marshall said his lawyer Clint Docken looked at case law and what he found was not encouraging in terms of pursuing his complaint.
“Judges are quite reluctant to overturn decisions by quasi-judicial boards like the assessment review board in other cases,” Marshall said. “We felt it would have to be quite narrow grounds.”
The focus now is on public education rather than a legal battle, he said.
In the complaint, Marshall questioned if the property had been fairly assessed, especially in comparison to neighbouring lands. At the time he said he was concerned the Sawmill received a "substantial preferential treatment" from the Town.
The decision released from the Composite Assessment Review Board in August states Spray Lake Sawmills, which sits on 57.35 acres, described the property as, "the most unique property in the Town of Cochrane municipality." The mill facility was constructed in 1974 and has been modified through to 2018. The decision states "The Town of Cochrane has literally grown up around the Sawmill."
The 2020 assessment taxed the site based on two components— Taxable lands and buildings assessed at $10,146,200 and exempt machine and equipment with an identified value of $12,026,900 for a combined value of $22,173,100.
Marshall said he hopes the issue strikes a chord with Cochrane Council and the community who are now aware of the tax issue and the potential impact it could have on the future of the community.
“Here’s this large piece of land in the heart of the community that’s earning very little in the way of property taxes and which could be used for much higher purposes that would create millions of dollars in property tax dollars,” Marshall said.
He is grateful his complaint has sparked a conversation in town and hopes to see the topic gain traction in the community.
He added the legal root may not be particularly helpful, and ultimately what has to happen is the public has to become interested in the issue.
“It could benefit the citizens as a whole ... It’s up to the people of Cochrane," Marshall said. “It’s quite obvious that the community is not getting much revenue from very strategically placed land— There are ways of getting far more, millions of dollars more, in revenue.”
He added that for years Cochrane Council has commented that the industrial tax and residential tax is not properly balanced, and the Spray Lake Sawmills property tax serves as an opportunity to rectify the situation.
Marshall said he appreciates that Spray Lake Sawmills has been an institution in Cochrane for many decades, and this may contribute to people being reluctant to take up the cause.
“The issue I see is not that complicated, but maybe people don’t relate to the issue,” Marshall said. “It affects everyone in that we have a business right in the heart of the community that’s not paying much in taxes.”
The other point to note, he said, is the alleged contamination on the site. At the hearing the Town assessment department and company did not reveal what the contamination is even though they receive a discount on property taxes due to the contamination.
If there is a contamination issue people should be concerned and it should be disclosed to the community and people should be aware of how this impacts Spray Lake Sawmills tax assessment.
“The appeal board allowed the Town to take off a certain amount of value from the land because they say it’s contaminated,” Marshall said. “That’s an issue of transparency.”
The taxation issue is not one that can be solved quickly, he added, and it will take time for the conversation to take root in Cochrane.
“Ultimately it's a public issue and the courts shouldn’t decide it. It’s something the people of Cochrane should voice their opinions about,” Marshall said. “I think this is going to continue to be an issue and more and more people will look at that land and wonder about its current use."
— With files from The Cochrane Eagle
