In previous years, Administration has modelled the lowering and/or the collapse of the  optional tax classes within the commercial and industrial broad class. Where reductions were recommended it was done so as to leverage additional education tax reductions for the class. There is no such ability to leverage the amount levied for education purposes on any tax class. Any further reductions in tax ratio for these classes would have a spill over effect onto other tax class, largely residential. Once ratios for a tax class are lowered, there is limited ability to increase the ratio in future years. Given the uncertainty of the changes in assessment value next year, a change to the tax ratios this year is not recommended.

Given the factors noted above which support a status quo position for 2020 tax policy  setting and since tax ratio modelling is very complex and requires the use of external consultants. It is administration’s view that incurring such costs at this time to develop various tax scenarios is not warranted.

As a result of using the 2020 Starting Ratios, the following chart illustrates the resulting 2020 Municipal Tax Rates. It is this rate, when combined with the 2020 Education tax rate that forms the Final 2020 Property Tax Rate for each class.

2020 Municipal Tax Rates

Tax Class	2020 Ratio	2020 Tax Rate
Residential	1.000000	0.01622679
Farmland	0.250000	0.00405670
New Multi-Residential	1.000000	0.01622679
Multi-Residential	2.000000	0.03245358
Commercial	2.017813	0.03274263
Office Building	2.017813	0.03274263
Shopping Centre	2.017813	0.03274263
Parking Lot	1.016719	0.01649809