The Brownfields Property Tax Assistance Program may cancel any increase in municipal property taxes on a brownfield property for up to three years during rehabilitation and redevelopment. Through the municipality—applicants or property owners may also apply to the Province for a matching cancellation of any increase in education property taxes. Under the tax cancellation provision of the Municipal Act (i.e. section 365.1) the program may continue for up to three years while remediation and redevelopment are taking place.

The value of tax cancellation must be offset by eligible costs, which include any action taken to reduce the concentration of contaminants on, in, or under the property to permit a RSC to be filed (e.g. Phase II ESA, Risk Assessment, environmental remediation, placing of clean fill, installing environmental controls, monitoring, environmental insurance premiums, etc.).

To enact the program, Council must pass a tax cancellation by-law and make application to the Ministry of Municipal Affairs and Housing (i.e. on behalf of the applicant or owner) for cancellation of the education portion of the tax levy under the Provincial Brownfield Financial Tax Incentive Program (BFTIP). A tax cancellation agreement between the City, applicant, and owner is also required, which would cause any tax cancellation be repaid should a RSC not be filed. The tax cancellation agreement will be finalized prior to the passing of the tax cancellation by-law.

Brownfield Rehabilitation Grant Program

The Brownfield Rehabilitation Grant Program starts after the Brownfield Property Tax Assistance Program and Provincial BFTIP are complete. The purpose of the program is to encourage the remediation, rehabilitation and adaptive re-use of brownfield sites by providing grants to help pay for remediation costs not fully disbursed by the Brownfield Tax Assistance Program and BFTIP as well as non-environmental rehabilitation costs normally associated with brownfield site redevelopment (e.g. building rehabilitation, development application and building permit fees, and upgrading on-site /off-site infrastructure).

The program offers annual grants funded through the increase in municipal property tax levy created by the investment for up to 10 years to help offset eligible costs. In total the Tax Assistance and Rehabilitation Grant programs may offer up to 13 years of tax-based incentives. The annual grants are based on 70% of the difference between the municipal tax levy at the time of grant issuance and the date of approval to participate in the program. Annual grants are only paid out following the filing of a RSC, reassessment of the property, and the payment of the property taxes for the year in which the grant is to be provided.