so '~A - CivicWeb...affordability and alignment with the four cornerstones of the City's 2015-2018...

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Report No. COR 070-2016

Date: September 27. 2016 File No: 1850-22

To: Mayor and Council From: Randy Millard, Deputy Director, Finance Subject: Permissive Tax Exemption Policy Update and Bylaw

RECOMMENDATIONS

COUNCIL REPORT

EXECUTIVE COMMITTEE

1. THAT the updated Permissive Property Tax Exemption Policy No. C008-05, as referenced iri Report No. COR 070-2016, be approved;

2. THAT Policy No. C008-05 be implemented for the 2017 tax year and phased in over four (4) years;

3. THAT Bylaw No. 2636-2016, "Permissive Tax Exemption Bylaw, 2017", proceed for three readings at the next Regular meeting of Council; and

4. THAT the Mayor and Corporate Officer be authorized to execute all documents related to this matter.

SUMMARY OF THE ISSUE

Permissive exemptions, as referenced in Part 7, Division 7 of the Community Charter, may be provided to qualifying applicants to exempt land or improvements, or both, from property taxes. A permissive exemption bylaw must be adopted by October 31 of the year before which the tax exemption is to apply. The authority to grant permissive exemptions is a policy tool available to Council to assist with promoting or achieving specific goals in the community.

The attached Permissive Property Tax Exemption Policy provides an objective and transparent framework to guide decisions regarding permissive exemptions. The policy has been updated since it was initially approved in September 2015. Such updates were required to better align the stated requirements and eligibility criteria of the policy with the original intention of Council to provide clarity, consistency and certainty to the City, the public and prospective applicants.

BACKGROUND

In 2015, the City undertook a review of the existing Permissive Tax Exemption policy with the goal of balancing Council's desire for fair and consistent practices, while also considering affordability and alignment with the four cornerstones of the City's 2015-2018 Strategic Plan. The new policy approved in Report No. COR 071 -2015 at Executive Committee meeting on September 21 , 2015 was designed specifically to provide objectivity and transparency to the municipality, the public and prospective applicants.

Report No. COR 070 -2016 of 6

In February 2016, application packages were delivered to all organizations previously granted a permissive exemption to notify them of the City's new policy. Application packages were further provided to any new organizations that contacted the City with interest in applying for an exemption. The application package contained a letter from the Director of Finance highlighting eligibility criteria and the timeline for applications, a copy of the Permissive Property Tax Exemption Policy, and a Comprehensive Permissive Tax Exemption Application form.

Permissive exemption applications for both new and existing applicants were due on June 30, 2016. After the deadline, Staff identified a large number of places of worship and a few athletic or service clubs who had not submitted applications. In light of the new policy and application process (which marked a substantial change for places of worship who previously automatically received permissive exemptions without submitting an application), Staff extended the application deadline to July 31, 2016 and completed a rigorous process to notify all remaining organizations that had received a permissive exemption in 2016 but for whom no application had yet been received. This communication process involved both a telephone call and email to each organization, and where contact could not be made by telephone or email, registered mail was sent to the organization's mailing address on file.

Throughout August, the Finance Department reviewed applications received and followed-up with applicants on partial submissions and missing documents.

DISCUSSION

In conducting the review of applications and applying the policy criteria to a range of different applicant scenarios, Staff identified short-comings in the wording of the policy that required amendment in order to achieve Council 's original intent. Other changes were required to address unforeseen issues that came to light after reviewing all of the applications. The key updates to the policy that resulted are summarized below:

• Place of worship parking area: land surrounding a building receiving a statutory exemption as a place for public worship may be exempted up to the greater of 5.0 acres or the amount of land used for parking. This consideration was added to the policy to ensure places of worship with large congregations had sufficient and safe on-site parking available. Staff reviewed whether any places of worship in the City had excessively large land holdings relative to parking requirements stated in the City's zoning bylaws, and found there were no such instances at this time.

• Commercial activity: non-profit organizations must not be in competition with other local business, with the exception of thrift stores. The portion of the property eligible for exemption is limited to that used for non-profit activities. The allowance of thrift stores as a tax-exemptible property use was based on the consideration that the vast majority of thrift stores are of a not-for-profit nature.

• Commercial activity: The restriction on for-profit property use was clarified to relate to instances where improvements are used exclusively for profit-related activities, in order to address concerns expressed by non-profit organizations that occasional facility rentals to for-profit groups would invalidate their tax exempt status.

• Availability of programming: tax exemptions are available only to athletic or service clubs or associations, where similar programs or services are not otherwise widely available within the community. This consideration was updated to prevent those


clubs or associations offering the same services as other for-profit enterprises in the City from receiving unfair assistance in the form of a tax exemption.

• Community benefit: the maximum exemption for non-profit organizations is capped based on the percentage of total services or programs offered at the subject property that are directed towards or received by residents of the City. The maximum exemption is determined based on the following ranges:

Percentage of total Greater than or equal to 75% 100% exemption services or programs Greater than or equal to 25%

50% exemption benefitting residents of and less than 75% the City: Less than 25% No exemption

This consideration was updated from using a specific percentage to one of three possible exemptions (i.e. 100%, 50% or no exemption) in order to provide stability and predictability for both the City and applicants on the estimated dollar value of exemptions to be eligible for approval from year to year. This approach is also deemed appropriate given the somewhat subjective nature of judgements regarding the proportion of benefit accruing to the local community.

• Maximum exemption: The $15,000 cap on tax exemption value for athletic or service clubs or associations has been eliminated. This consideration was updated as the restriction currently impacts only the Fraser Valley Conservancy, and it was determined that such a restriction would not be in the best interests of the City given the significant value provided by the Conservancy to the City.

• Gifted property: under circumstances where the land or buildings located on City owned property have been gifted to the City, the gifted land and/or buildings may be exempted at 100% in perpetuity. This consideration was updated to provide clarity and consistency in applying this section of the policy, as the original policy was unnecessarily complex in its application of a maximum exemption equal to a 50 year accounting amortization of the building structure.

Impact to Previous Recipients

Implementing the policy on existing permissive exemption recipients for the upcoming 2017 tax year results in decreases to the recommended exemption for the following organizations:

[Note: only the previous exemption recipients who will experience a change in their exemption are listed below. For all other previous exemption recipients, Staff recommends exemptions consistent with prior years.]

2017 Exemption

2016 Policy (Phased Organization Policy Criterion Exemption Exemption Impact) Change Abbotsford Portion of building is used $ 45,500 $ 45,000 $ 45,350 $ (150) Community for for-profit operations Services Abbotsford Non-market lease (rent 12,200 3,700 10, 100 (2, 100) Curling Club $5.00 per year); building

qifted to the City


2017 Exemption

2016 Policy (Phased Organization Policy Criterion Exemption Exemption Impact) Cha nae Abbotsford Non-market lease (rent 7,900 Nil 5,900 (2,000) Downtown $100.00 per year) Business Association BC Muslim No application submitted 1,700 Nil 1,300 (400) Association Emissaries of No application submitted 1,900 Nil 1,400 (500) Divine Light BC Fraser Valley No application submitted 2,900 Nil 2,200 (700) Hindu Cultural Society Jubilee Park Non-market lease (rent 6,400 Nil 4,800 (1,600) Lawn Bowling $10.00 per year) Club Life Spring No application submitted 3,900 Nil 2,900 (1,000) Church Abbotsford Matsqui Hall No application submitted 5,900 Nil 4,400 (1 ,500) Association Mennonite Community benefit 205,200 100,900 179,100 (26, 100) Central reported as less than Committee 75%, and portion of

building used for for-profit operations

Trinity Lutheran No application Submitted 8,200 Nil 6,200 (2,000) Church Total Change $ 301,700 $ 149,600 $ 263,650 $ (38,050)

Changes in maximum exemptions available to previous recipients, as noted above, will be phased-in over a four ( 4) year period. Similarly, for previous recipients from whom no 2017 permissive exemption application has been received, the maximum exemption available to these organizations will be phased-our over a four (4) year period, but may be reinstated in a future year to a full exemption once a comprehensive permissive tax exemption application form is submitted in accordance with the City's policy and annual timelines. For clarity, in this first year of implementing the new permissive exemption policy, any late applications received by the City after the extended due date of July 31, 2016 but prior to this report, have been treated the same as all other applicants and are eligible for exemption in line with the policy guidelines.

Impact to New Applicants

Implementing the policy on new permissive exemption applicants for the upcoming 2017 tax year results in exemptions for the following organizations:

Exemption 2017 Organization Policy Criterion Percentage Exemption Abbotsford Community Portion of building leased to third- 86% $ 31,450 Services party for-profit business


Exemption 2017 Organization Policy Criterion Percentage Exemption Abbotsford Community NIA - full exemption 100% 3,000 Services Big Brothers Big Sisters Portion of building leased to third- 98% 7,500 of Fraser Valley party non-profit organization Canadian Red Cross, Community benefit reported as less 50% 900 BC & Yukon than 75% Jesus House N/A - full exemption 100% 16,700 John Howard Society of Community benefit reported as less 50% 5,150 the Lower Mainland than 75% L. 1. F. E Recovery Community benefit reported as less 50% 2,300 Association than 75% MAC Campus of Care Non-market lease (rent $10.00 per 50%

year); community benefit reported as Improvements 22,500 less than 75% only

Mennonite Museum N/A- full exemption 100% 15,000 Society

Total Change 104,500

The permissive exemption policy, as updated for the items discussed in this report, is attached in its entirety as Attachment A. Staff recommended that this policy be approved and implemented immediately for granting the permissive exemptions detailed in proposed Bylaw No. 2636-2016, "Permissive Tax Exemption Bylaw, 2017".

FINANCIAL PLAN IMPLICATION

Permissive exemptions impact the City's financial plan by reducing the net assessed value of properties subject to taxation. This results in the City recovering the revenue shortfall through property tax increases to other taxpayers. Specifically, the budget impact of the policy and related proposed permissive exemptions are as follows:

Permissive exemptions 2016 1,369,500

Applications not received (6, 100)

Policy impact on existing 2016 recipients (31 ,950)

New applicants 104,500

Proposed permissive exemptions 2017 1,435,950

I Difference 2016-2017 66,450 I

Date reviewed and approved by the Chief Financial Officer: September 19, 2016.


IMPACTS ON COUNCIL POLICIES, STRATEGIC PLAN AND/OR COUNCIL DIRECTION

The recommendations contained herein support the City's strategic goals of Vibrant Economy, Complete Community, and Fiscal Discipline. The policy aims to prevent financial assistance to organizations from harming for-profit entities and provides guidelines for disciplined financial support of organizations that contribute to the spiritual, educational, social, cultural , and physical well-being of the community.

SUBSTANTIATION OF RECOMMENDATION

Permissive exemptions, under Council 's authority, are a way for Council to provide relief from taxation for land or improvements, or both, to organizations within the City that are deemed to provide a community benefit. It is an effective way to promote the public good and serves the interests of both the City and the eligible applicants. The policies and processes considered in this report are transparent and objective and align with Council's vision of fiscal accountability, community development and sustainability.

Randy Millard CPA, CMA Deputy Director, Finance

ATTACHMENTS

Attachment "A": Permissive Property Tax Exemption, Policy No. C008-05

Attachment "B": Permissive Tax Exemption Bylaw, 2017, No. 2636-2016

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Permissive Property Tax Exemption

1. POLICY STATEMENT

Attachment "A" to Report No. COR 070-2016

COUNCIL POLICY C008-05

05 - FINANCE

The City recognizes the significant value that volunteers, volunteer groups and agencies contribute to the spiritual, educational, social , cultural, and physical well-being of the community. ·

2. PURPOSE

Provides clarity, consistency and certainty to the City, the public and Applicants.

A permissive property tax exemption is a means for Council to support organizations within the community that align with Council's strategic goals and objectives.

3. SCOPE

Applicable to organizations applying for an Exemption.

4. INTERPRETATION

(a) Schedule "A" contains definitions of terms used in this Policy.

(b) Unless otherwise provided in this Policy, words and phrases used herein have the same meanings as in the Community Charter, SBC, 2003, Local Government Act, RSBC, 2015, and Interpretation Act, RSBC 1996, or as the context and circumstances may require .

(c) A reference to a statute refers to a statute of the Province of British Columbia, and a reference to any statute, regulation or bylaw refers to that enactment, as amended or replaced from time to time.

(d) Words in the singular include the plural and gender specific terms include both genders and corporations.

(e) Headings in this Policy are for convenience only and must not be construed as defining, or in any way limiting the scope or intent of this Policy.

(f) If any part of this Policy is held to be invalid by a court of competent jurisdiction, the invalid part is severed and the remainder continues to be valid .

Final Draft - September 26, 2016 PAGE 1 OF 13

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COUNCIL POLICY C008-05 Permissive Property Jax Exemption

5. PRINCIPLES

1. EXTENT AND CONDITIONS

(a) The extent of Exemptions approved is dependent on the annual budget set by Council. Council, at its discretion, may:

(i) cancel any or all Exemptions within a given year; or

(ii) place a cap on the dollar value and/or pro-rate Exemptions granted on individual properties, in any one (1) category, or all categories.

(b) Council may designate only a portion or none of the land/improvements as exempted, where the following circumstances exist:

(i) a portion of the land/improvements is used by a for-profit Entity and/or the Applicant does not meet Council's Exemption criteria; or

(ii) the Applicant already receives grant-in-kind/aid from the City.

(c) Council may impose conditions on the exempted land/improvement with the Applicant, including but not limited to:

(i) registration of a covenant restricting use of the property;

(ii) an agreement committing the Applicant to continue a specific service or program;

(iii) an agreement committing the Applicant to have fields or facilities open for public use for certain times or a total amount of time;

(iv) an agreement committing the Applicant to offer use of the fields or facilities to certain groups free of charge or at reduced rates; or

(v) an agreement committing the Applicant to immediately disclose any substantial increase in the organization's revenue or anticipated revenue (e.g. receives large operating grant from senior government).

Final Draft - September 26, 2016 REVISED: [Policy Officer to input] PAGE 2 OF 13

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COUNCIL POLICY COOB-05 Permjssjye Property Tax Exemption

(d) Council may impose penalties on an exempted Applicant for knowingly breaching the conditions of the Exemption, including but not limited to:

(i) revoking the Exemption, with notice;

(ii) disqualifying any future Application for an Exemption for a specific time period; or

(iii) requiring repayment of monies equal to the foregone tax revenue.

2. PROCESS

(a) Administration

(i) Council will consider Comprehensive Exemption Applications from:

A. Places of Worship and Independent Schools, for a period of up to ten (10) years and subject to an annual Renewal Application; and

B. Non-Profit Organizations and Athletic or Service Clubs for a period of up to four (4) years and subject to an annual Renewal Application.

(ii) Council will consider Renewal Applications annually. The opportunity to apply for renewal of an Exemption will be advertised in the local newspaper twice in the month of June annually. The Renewal Application is confirmation that ownership and use of property has not changed, and will be reviewed and approved before an Exemption is granted.

(iii) Late Applications will not be accepted. It is the Applicant's responsibility to monitor the City's website for Application due dates and any changes to this Policy.

(iv) The Finance Department will process only complete Applications; and will contact the Applicant where additional information is required. An inter-department review will be conducted to determine eligibility, after which the Finance Department will prepare a report and bylaw for presentation to Council for approval and adoption prior to October 31st annually.


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COUNCIL POLICY C008-05 Permissive Property Tax Exemption

(v) Public notice, in accordance with the Community Charter, will be placed in the local newspaper of the proposed bylaw.

(b) Annual timeline

June 30 Applications due

July - August Internal review of Applications

September - October Council review & public notice

October 31 or earlier Bylaw adoption

(c) Application Cycle

Those Applicants approved for an Exemption, based on completion of a Comprehensive Exemption Application, will be exempt for one (1) year. To be · considered for future years, a Renewal Application must be submitted on or before June 301

h of the preceding year for each year remaining in the application cycle. Following completion of an Application Cycle, the Applicant will again be required to submit a Comprehensive Exemption Application.

(i) Application Cycle length

A. Places of Worship and Independent Schools: ten (10) years; and

B. Non-Profit Organizations and Athletic or Service Clubs: four (4) years.

(ii) New Applications: a Comprehensive Exemption Application must be submitted on or before June 30th in the year preceding the Exemption Year.


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(iii) Renewal Applications: a Renewal Application must be submitted annually on or before June 30th for each subsequent year following an approved Comprehensive Exemption Application, and within the window of the Application Cycle.

Example - Application Cycle

Tax Year 201 7 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

Places of Worship and c· R .. R" R" R** R** R'' R*' R" R" c· Independent Schools

Non-Profit Organizations c· R" R" R" c· R" R .. R .. c· R" R"

*Comprehensive Exemption Application

**Renewal Application

(d) Additional information

(i) Council may request a presentation from the Applicant

(ii) The City may request additional information, as deemed necessary

(iii) The City reserves the right to review records and/or property to verify information provided in support of the Application, and to share this information with BC Assessment for the purposes of assigning an Exemption to the property's assessed value

(iv) Successful Applicants will be asked to publicly acknowledge the Exemption

(v) For successfu l Applicants that lease the subject property, and the lease requires payment of property taxes, the City will deliver a letter to the Applicant to inform them of the value of the Exemption granted on the subject property.

Final Draft - September 26, 2016 REVISED: [Po licy Officer to input] PAGE 5 OF 13

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COUNCIL POLICY C008-05 Permjssjye Property Tax Exemption

3. AUTOMATIC EXEMPTIONS

The following organizations will be granted an automatic Exemption. No Application is required.

(a) Veteran services property

Exemptions are granted on those properties used , or occupied, primarily as a clubhouse by persons who served in the armed forces of Her Majesty or a branch thereof (i.e. cadets) or an ally in any war as determined by the City.

(b) Local Authorities

Exemptions will be considered at the time the City enters into an agreement with a third party to provide services, on City property, that the City might otherwise provide itself.

(c) City owned golf courses will receive a full Exemption, except under circumstances where the Province of British Columbia Government exercises their rights under the Community Charter.

(d) City owned property leased to Non-Profit Organizations or Athletic or Services Clubs, where the lease states that the City will be responsible for the property taxes, will receive a full Exemption.

(e) Gifted property

Under circumstances where land or improvements on City owned property have been Gifted to the City, the Applicant will receive a full Exemption in perpetuity for the Gifted land or improvements. Improvements gifted in the context of a land lease will not be exempted under this Section.

4. GENERAL ELIGIBILITY CRITERIA

(a) To be eligible for an Exemption, the Applicant must comply with the eligibility criteria as set out in Subsection (d). The Application and supporting documentation are an integral part of this process.

(b) This section does not apply to Applicants receiving an Automatic Exemption as outlined in Section 3.

(c) There is no obligation on the part of Council to grant Exemptions in any given year.

Final Draft - September 26, 2016 REVISED: [Policy Officer to input) PAGE 6 OF 13

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COUNCIL POLICY COOS-05 Permissive Property Tax Exemption

(d) General:

(i) The Applicant must qualify under the Community Charter, as a:

A. Local authority;

B. Independent School;

C. Place of worship;

D. Charitable, philanthropic or other not for profit organization; or

E. Athletic or service club or association.

(ii) The Applicant's objective must align with Council's strategic goals and objectives.

(iii) The Applicant and registered owner of the subject property, where applicable, must be in compliance with City policies, plans, bylaws, and regulations (i.e. business licensing, zoning).

(iv) The Applicant must own or lease the subject property; and, in the case of a lease, the lease requires payment of property taxes by the Applicant.

(v) Where the Applicant leases City owned property, the lease must be at market value.

(vi) Improvements, or portions thereof, leased and used exclusively by a separate for-profit Entity do not qualify for an Exemption.

5. CATEGORY-SPECIFIC ELIGIBILITY CRITERIA AND LIMITATIONS

An organization may apply for an Exemption under one (1) of the following categories:

(a) Independent School

Council may exempt from taxation land owned by an incorporated institution of learning where the property was partially exempted under the Community Charter, Section 220 (1) (I) [incorporated institution of learning]. This Policy recognizes that land surrounding an institution of learning is also used in support of the organization's operations.


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(i) Eligibility Criteria

A. The property must receive a statutory Exemption (independent schools) for a portion of the land and/or improvements; and

B. The property is zoned either P2 (Parks, Open Space and Schools), or P3 (Assembly) as set out in the City's Zoning Bylaw, 2014.

(ii) Limitations

A. The total Exemption, including the statutory Exemption, is limited to a maximum of 7.0 acres for institutions offering elementary school education, and 15.0 acres for institutions offering secondary school (includes middle school) education.

(b) Place of Worship

Council may exempt from taxation land or improvements where the property was partially exempted under the Community Charter, Section 220 (1) (h) [buildings for public worship].


A. The property must receive a statutory Exemption (buildings for public worship) for a portion of the land and/or improvements; and

B. The Applicant must be either a Registered Charity or ~ociety, and provide proof of good standing.

(ii) Limitations

A. The land surrounding a building rece1v1ng a statutory Exemption may be exempted, up to the greater of 5.0 acres or the area used for the purpose of parking;

B. A hall may be exempted to the extent that Council considers the hall necessary to the exempt building;

C. A residence (manse) located on the same property as the building used for public worship, and the land upon which the residence (manse) stands, is not exempt and will be assessed and taxed as a residential property; and

Final Draft - September 26, 2016 REVISED: [Policy Officer to input] PAGE 8 OF1 3

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COUNCIL POLICY COOB-05 Permjssjye Property Tax Exemption

(c) Non-Profit Organization


A. The Applicant must be either a Registered Charity or Society, and provide proof of good standing; and

B. The Applicant's services or programs must be equally available to all residents of the City. Any restrictions thereto must be within the framework of the Constitution Act, 1982, Canadian Charter of Rights and Freedoms (Canada) .

(i) Limitations

A. The Applicant's services or programs must not be in competition with other local businesses, with the exception of Thrift Stores. Only the portion of the property used for non-profit activities will be considered for an Exemption.

B. The Applicant's services or programs must benefit the residents of the City. In the Application, Applicant's will be asked to identify the percentage of total services and programs offered at the subject property that are used or received by residents of the City. The Finance Department may validate submissions by reviewing an itemized listing of services, programs and/or donations dedicated to activities that build community for the greater good of all residents in the City, as provided by the Registered Charity or society. This review may include reference to the Non-Profit Organization's most recent fiscal year financial statements and/or charity return published prior to June 30th each year. The maximum Exemption amount is determined based on the following ranges:

Percentage of Greater than or equal to

100% Exemption 75%

total services Greater than or equal to

or programs 25% and less than 75%

50% Exemption benefitting residents of Less than 25% No Exemption the City:


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(d) Athletic Club or Association


A. The services or programs offered by the Applicant must not be widely available within the City;

B. The Applicant must be either a Registered Charity or Society, and provide proof of good standing; and

C. The Applicant's services or programs must be equally available to all residents of the City. Any restrictions thereto must be within the framework of the Constitution Act, 1982, Canadian Charter of Rights and Freedoms (Canada).

(e) Service Club or Association

6. EXCLUSIONS


A. The Applicant must be either a Registered Charity or Society, and provide proof of good standing; and

B. The Applicant's services or programs must be equally available to all residents of the City. Any restrictions thereto must be within the framework of the Constitution Act, 1982, Canadian Charter of Rights and Freedoms (Canada).

This Policy does not apply to exemptions for partnering, heritage, riparian, and other special exemption authority, or revitalization tax exemptions.

7. PROHIBITIONS

N/A

8. RELATED PROCEDURES. GUIDELINES AND PUBLICATIONS

N/A


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COUNCIL POLICY C008-05

9. REFERENCES

Polic Owner:

Last Review Date:

[Policy Officer to input and process the below]

APPROVED this

Permissive Property Tax Exemption

day of

Henry Braun Mayor

William Flitton Corporate Officer

I 2016

Final Draft - September 26, 2016 REVISED: [Po licy Officer to input] PAGE 11OF13

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SCHEDULE "A" - DEFINITIONS

In this Policy, unless the context otherwise requires:

"Applicant" means the corporation or organization applying for an Exemption.

"Application" means a Comprehensive Exemption Application or a Renewal Application:

"Application Cycle" means the multi-year timeline Applicants must adhere to when submitting an Application.

"City" means the City of Abbotsford.

"Comprehensive Exemption Application" means the following :

(i) Comprehensive Permissive Tax Exemption Application Places of Worship or Independent Schools; or

(ii) Comprehensive Permissive Tax Exemption Application Charity or Non-Profit Organizations.

"Council" means the Council of the City.

"Entity" means individual applications from the same discrete unit.

"Exemption" means a Permissive property tax Exemption.

"Exemption Year" means the year the Exemption applies.

"Finance Department" means the City's Finance Division of the Finance and Corporate Services Department.

"Gifted" means given willingly as a donation or bequest; an exchange without payment.

"Non-Profit Organization" means a charitable, philanthropic or other society engaged in not-forprofit activities.

"Place of Worship" means "public worship" as referenced in the Community Charter.

"Principal Use of the Property" means the use related directly to the principal purpose of the organization owning or leasing the property.

"Registered Charity" means charitable organizations that use their resources for charitable activities; and have charitable purposes that relieve property, advance education, advance religion , or other purposes that benefit the community.


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SCHEDULE "A" - DEFINITIONS (cont'd)

"Renewal Application" means an Application to renew a Comprehensive Exemption Application.

'Thrift Store" means a store selling donated, secondhand clothes and other household goods to raise funds for a Non-Profit.

Final Draft - September 26, 2016 REVISED: (Policy Officer to input] PAGE 13 OF 13

CITY OF ABBOTSFORD

PERMISSIVE TAX EXEMPTION BYLAW, 2017

Bylaw No. 2636-2016

Attachment "B" to Report No. COR 070-2016

WHEREAS Section 224 of the Community Charter provides that Council may, by Bylaw, exempt land or improvements, or both, referred to therein from taxation under Section 197 (1) (a) [municipal property taxes];

AND WHEREAS the Council deems it expedient to exempt from taxation certain properties to the extent, for the period and subject to the conditions detailed in this Bylaw and the schedules attached to this Bylaw;

NOW THEREFORE the Council of the City of Abbotsford, in open meeting assembled, ENACTS AS FOLLOWS:

1. CITATION

Bylaw No. 2636-2016 may be cited as "Permissive Tax Exemption Bylaw, 2017''.

2. INTERPRETATION

(a) Schedule "A" contains definitions of terms used in this Bylaw.

(b) Unless otherwise provided in this Bylaw, words and phrases used herein have the same meanings as in the Community Charter, SBC, 2003, Local Government Act, RSBC, 2015, and Interpretation Act, RSBC 1996, or as the context and circumstances may require.

(c) A reference to a statute refers to a statute of the Province of British Columbia, and a reference to any statute, regulation or bylaw refers to that enactment, as amended or replaced from time to time.

(d) Words in the singular include the plural and gender specific terms include both genders and corporations.

(e) Headings in this Bylaw are for convenience only and must not be construed as defining, or in any way limiting the scope or intent of this Bylaw.

(f) If any part of this Bylaw is held to be invalid by a court of competent jurisdiction, the invalid part is severed and the remainder continues to be valid.

Final Draft - September 22, 2016

CITY OF ABBOTSFORD


Bylaw No. 2636-2016 Page 2

3. EXEMPTION FROM TAXATION

The extent of exemption from taxation for the properties, as prescribed in the following schedules, attached to and forming part of this Bylaw, will apply for the taxation year 2017:

(a) Local Authority Property ....................................................... Schedule "B";

(b) Not-For-Profit Property ......... ............................. ................... Schedule "C";

(c) Athletic or Service Club Property ... .. .................. .... ............... Schedule "D";

(d) Place of Worship Property .. ... ............................................... Schedule "E"; and

(e) Independent School Property ................. : .... ... .. .................... Schedule "F".

4. REPEAL

Bylaw No. 129-95 Private Schools Property Tax Exemption Bylaw; 130-95, Church Land Tax Exemption Bylaw; 24 77-201 5 Athletic and Service Club Tax Exemption Bylaw, 201 6; 2478-2015 Local Government Tax Exemption Bylaw, 2016; and 2479-201 6 Not-for-Profit Tax Exemption Bylaw, 2016, and any and all amendments, are hereby repealed.


CITY OF ABBOTSFORD


Bylaw No. 2636-2016

5. EFFECTIVE DATE

This bylaw shall take effect January 1, 2017.

READ A FIRST TIME this

READ A SECOND TIME this

READ A THIRD TIME this

NOTICE OF INTENTION TO ADOPT Bylaw published the

NOTICE OF INTENTION TO ADOPT Bylaw published the

ADOPTED this

day of

day of

day of

day of

day of

day of

Henry Braun Mayor

William Flitton Corporate Officer


Page 3

I 2016

I 2016

I 2016

I 2016

I 2016

I 2016

CITY OF ABBOTSFORD


Bylaw No. 2636-2016 Page4

SCHEDULE "A"

DEFINITIONS

In this Bylaw, unless content otherwise requires:

"Athletic or Service Club Property" means land or improvements owned or held by an athletic or service club or association and used as a public park or recreation ground or for public athletic or recreational purposes.

"City" means the City of Abbotsford.

"Council" means the council of the City.

"Independent School" means land or improvements exempt under Section 220 (1) (I) of the Community Charter, any area of land surrounding the exempt land or improvements, to a maximum exemption, including statutory exemption, of seven (7) acres for institutions offering elementary school education and 15 acres for institutions offering secondary school education.

"Local Authority Property" means land or improvements owned or held by a municipality, regional district or other local authority, and that Council considers are used for a purpose of the local authority.

"Not-for-Profit Property" means land or improvements owned or held by a charitable, philanthropic or other not for profit corporation, and that Council considers are used for a purpose directly related to the purposes of that corporation.

"Place of Worship Property" means property exempt under Section 220 (1) (h) of the Community Charter, an area of land surrounding the exempt building to a maximum exemption, excluding statutory exemption, of the greater of: (i) five (5) acres, or (ii) the area used for the purpose of parking.


CITY OF ABBOTSFORD



SCHEDULE "B"

LOCAL AUTHORITY PROPERTIES EXEMPT FROM TAXATION

Occupier of Property Folio Civic Address Extent of Number Exemption

BC Transit 6101072111 1225 Riverside Rd Land & Improvements

Reach Cultural Centre Society 5167027710 32388 Veterans Way Land & lmorovements

Tourism Abbotsford Society 9700002430 1190 Cornell St Land & (Tradex) Improvements Women's Resource Society of the 5168059020 3096 Clearbrook Rd Land & Fraser Valley Improvements


CITY OF ABBOTSFORD



SCHEDULE "C"

NOT-FOR-PROFIT PROPERTIES EXEMPT FROM TAXATION

Owner I Occupier of Property Folio Civic Address Extent of Number Exemption

A.N.A.F Veterans in Canada Unit 2101018706 30346 McNeil Ave Land & #315 Improvements Abbotsford Community Services 5163034310 31949 South Fraser Way Land &

Improvements (except that 1,854 square foot portion of improvements leased to a business)

6223051402 33914 Essendene Ave Land & Improvements

6223057301 2420 Montrose Ave Land & Improvements (except 25% of that 602 square foot portion of improvements used for interpretation & translation services)

6223063811 2539 Montvue Ave Land & Improvements

6223074321 33780 Laurel St Land & Improvements

6223078109 2408 Montvue Ave Land & Improvements

Abbotsford Ravine Park Salmon 950001 6250 2395 Crescent Way Land & Enhancement Society Improvements Big Brothers Big Sisters of the 6223075801 2445 West Railway St, Land & Fraser Valley Unit #200 Improvements

(except that 678 square foot portion of improvements leased to a third-party not-for-profit)

Canadian Red Cross, BC & Yukon 6151045811 34220 South Fraser 50% Improvements, Way, Units #1 and #2 limited to that 3,600

square foot portion of improvements leased by Canadian Red Cross

Governing Council of the Salvation 6151005806 34081 Gladys Ave Land & Army in Canada Improvements Jesus House 6223001721 2518 West Railway St Land &

Improvements John Howard Society of the Lower 5168002710 32160 Tims Ave 50% Land & 50% Mainland of BC Improvements

6223077002 2411 West Railway St 50% Land & 50% Improvements

Final Draft - September 22 , 2016

CITY OF ABBOTSFORD



SCHEDULE "C" (cont.)

NOT-FOR-PROFIT PROPERTIES EXEMPT FROM TAXATION (cont'd)

Owner I Occupier of Property Folio Civic Address Extent of Number Exemption

L.l.F.E Recovery Association 4158048801 32122 Melmar Ave 50% Land & 50% Improvements

5163006605 2693 Braeside St 50% Land & 50% Improvements

Lynnhaven Society 6170092910 33585 Braun Ave Land & Improvements

6170092920 33580 Braun Ave Land & Improvements

MAC Campus of Care 4159012020 32772 Marshall Rd 50% Improvements only

Mennonite Central Committee BC 5163080810 31872 South Fraser Way 87.5% Land & 87.5% Improvements

6223044400 33933 Gladys Ave 87.5% Land & 87.5% Improvements (except 25% of that 2,000 square foot portion of improvements used by Common Place Cafe and 25% of 1,240 square foot portion of improvements used by Ten Thousand Villaqes store)

Mennonite Museum Society 4159092810 1818 Clearbrook Rd Land & Improvements

4159095604 1834 Clearbrook Rd Land & Improvements

Northview Community Church 6170059606 2616 Ware St Land & (Cyrus Centre) Improvements Royal Canadian Legion Branch No. 6223068811 2513 West Railway St Land & 015 Improvements


CITY OF ABBOTSFORD



SCHEDULE "D"

ATHLETIC OR SERVICE CLUB PROPERTIES EXEMPT FROM TAXATION

Owner of Property Folio Civic Address Extent of Number Exemption

861 Silverfox Sponsoring 9500013980 32470 Haida Dr Land & Committee Improvements Abbotsford & District Curling Club 6233053231 2555 McMillan Rd 75% Land & 100%

Improvements Abbotsford Downtown Business 6223042500 33660 South Fraser Way 75% Land & 75% Association Improvements

6223042101 South Fraser Way 75% Land & 75% Improvements

Abbotsford Fish & Game Club 9332020911 4161 Lakemount Rd Land & Improvements

Abbotsford Horseshoe Club 3156041609 2308 Adanac St Land & Improvements

Abbotsford Judo Club 5165048000 31410 Maclure Rd Land & Improvements

Abbotsford Seniors' Association 6223029707 33889 Essendene Ave Land & Improvements

Abbotsford Social Activity 6223031501 2631 Cyril St Land & Association Improvements Bradner Community Club 9500005906 28780 Myrtle Ave Land &

Improvements 9500006108 5305 Bradner Rd Land &

Improvements 9500006303 5227 Bradner Rd Land &

Improvements Clayburn Village Community Society 7207062000 4315 Wright St Land &

Improvements 9500006819 4304 Wright St Land &

Improvements 9500015109 34819 Clayburn Rd Land &

Improvements Elks Rec. Children's Camp Society 1013055810 27865 0 Ave Land &

Improvements Fraser Valley Antique Farm 9500013100 32470 Haida Dr Land & Machinery Association Improvements Fraser Valley Conservancy 1052028820 South Fraser Way Land &

Improvements 7180040420 LT 2 SEC 25 TWP 16 Land &

PL BCP52011 NWD Improvements 7187058120 33350 Industrial Ave Land &

Improvements Girl Guides of Canada 9500007307 5315 Willet Rd Land &

Improvements Jubilee Park Lawn Bowling Club 6223042510 33660 South Fraser Way 75% Land & 75%

Improvements


CITY OF ABBOTSFORD



SCHEDULE "D" (cont.)

ATHLETIC OR SERVICE CLUB PROPERTIES EXEMPT FROM TAXATION (cont'd)


Kiwanis Family Housing Society 9500013990 32470 Haida Dr Land & Improvements

Ledgeview Golf & Country Club 7180060008 35997 McKee Rd Land & Improvements

7180060020 LT B SEC 36 TWP 16 Land & PL LMP5803 NWD Improvements

9304030101 36039 McKee Rd Land & Improvements

Matsqui Hall Association 9500004501 5783 Wallace St 75% Land & 75% Improvements

9500006901 33676 St Olaf Ave 75% Land & 75% Improvements

Mount Lehman Community 9500006601 Mt Lehman Rd Land & Association Improvements

9500007009 6418 Mt Lehman Rd Land & Improvements

Ridgedale Rod & Gun Club 8213060000 35655 Harris Rd Land & Improvements

9500004707 35606 Harris Rd Land & Improvements

Scout Properties (BC/Yukon) 0002422050 SEC 6 TWP 20 NWD Land & MER E Improvements

Straiton Community Club 9324004207 4698 Sumas Mountain Land & Rd Improvements

(except Class 2 Land and Improvements used for Utilities)

Twisters Gymnastics Club 9500013970 32470 Haida Dr Land & Improvements


CITY OF ABBOTSFORD



SCHEDULE "E"

PLACE OF WORSHIP PROPERTIES EXEMPT FROM TAXATION

Owner of Property Folio Civic Address Extent of Number Exemotion

Abbotsford Baptist Church 6154037701 33651 Busby Rd Land

Abbotsford City Fellowship Society 9500003405 2413 McCallum Rd Land

Abbotsford Evangelical Free Church 3154096510 33218 Marshall Rd Land

Abbotsford Gospel Society 6223021011 33868 Pine St Land

9323000103 4390 Sumas Mountain Land Rd

Abbotsford Korean Presbyterian 9500003300 2597 Bourquin Cr E Land Church Abbotsford Pentecostal Assembly 9500002770 3145 Gladwin Rd Land

Aldergrove Fellowship Baptist 1044021007 28163 Swensson Ave Land Church BC Conference of Mennonite 4162052207 2311 Clearbrook Rd Land Brethren Churches

4162052402 31980 Oak Ave Land

4162052608 31966 Oak Ave Land

4162066607 2231 Clearbrook Rd Land

4162066610 2228 Holly St Land

4162067302 2244 Holly St Land

7175063600 3130 McMillan Rd Land

9032003604 310 Arnold Rd Land

9500000410 3160 Ross Rd Land

9500001310 32454 Huntingdon Rd Land



BC Muslim Associa tion 6153026308 1980 Salton Rd 75% Land

Catholic Independent Schools of 1051085901 2747 Townline Rd Land Vancouver Archdiocese (St. James Parish) Central Heights Church 3155040220 1661 McCallum Rd Land

Christian & Missionary Alliance 1055034110 3440 Mt Lehman Rd Land (Canadian Pacific District)

5166040650 2575 Gladwin Rd Land

Central Valley Baptist Church 9500003508 33393 Old Yale Rd Land

Church of God in Christ (Mennonite) 9500000710 29623 Downes Rd Land

Church of Jesus Christ of Latter-Day 1055048406 30635 Blueridge Rd Land Saints in Canada


CITY OF ABBOTSFORD



SCHEDULE "E" (cont.)

PLACE OF WORSHIP PROPERTIES EXEMPT FROM TAXATION (cont'd)

Ow ner of Property Folio Civic Address Extent of Number Exemption

Church of the Nazarene (Canada 6141000321 2390 McMillan Rd Land Pacific District) Community Baptist Bible Church of 9500004100 5525 Gladwin Rd Land Fraser Valley Conference of Mennonites in BC 4161068900 2051 Windsor St Land

Conference of United Mennonite 9500003004 32027 Peardonvi lle Rd Land Churches of BC Congregation of the Prairie Chapel 9133040611 1929 lnterprovincial Hwy Land

Emissaries of Divine Light BC 1072028001 4330 Bradner Rd 75% Land

Emmanuel Free Reformed Church 1055008680 3366 Mt Lehman Rd Land

Fountainhead Christian Society 9500000106 29394 Huntingdon Rd Land

Fraser Valley Buddhist Temple 9500000908 28941 Haverman Rd Land

Fraser Valley Hindu Cultural Society 3148009204 31545 Walmsley Ave 75% Land

Gateway Community Christian 9500009100 2884 Gladys Ave Land Reformed Church Grace Communities Corp 6142039207 35190 Delair Rd Land

Grace Evangelical Bible Church 6144048901 2087 McMillan Rd Land Society Grace Tabernacle 9500001408 721 Gladwin Rd Land

Gurdwara Baba Banda Singh 5163046830 31631 South Fraser Way Land Bahadar Sikh Society Immanuel Covenant Reformed 9500022001 35063 Page Rd Land Church Immanuel Fellowship Baptist 1053052820 2950 Blue Jay St Land Church Kalgidhar Darbar Sahib Society Inc. 1055026410 3348 Siskin Dr Land

Khalsa Diwan Society of Abbotsford 6171050601 33117 Mill Lake Rd Land

6171050702 33094 South Fraser Way Land

6171061001 33089 South Fraser Way Land

Life Spring Church Abbotsford 6154003000 2393 West Railway St 75% Land

Maranatha Baptist Church 7190043010 3580 Clearbrook Rd Land

Matsqui Evangelical Lutheran 9500004306 5781 Riverside St Land Church Mennonite Church BC 7192056090 3471 Clearbrook Rd Land

New Apostolic Church Canada 6232067605 2480 McMillan Rd Land

New Life Christian Reformed 6142053611 35270 Delair Rd Land Church New Life Pentecostal Church 6154039104 33668 McDougall Ave Land


CITY OF ABBOTSFORD



SCHEDULE "E" (cont.)

PLACE OF WORSHIP PROPERTIES EXEMPT FROM TAXATION (cont'd)


Northview Community Church 7191035510 32064 Downes Rd Land, as set out in the attached Aooendix "1"

Olivet Church Abbotsford 5167065910 2630 Langdon St Land

Parish of St Matthew Abbotsford 6144048401 2010 Guilford Dr Land

Peace (Ev.) Lutheran Church 9500002210 2029 Ware St Land

Pentecostal Assemblies of Canada 7211072700 35131 Straiton Rd Land

Roman Catholic Archbishop of 3157024401 33333 Mayfair Ave Land Vancouver Second Christian Reformed Church 7182099706 3461 1 Old Clayburn Rd Land of Abbotsford, BC Seventh-Day Adventist Church (BC 6143033201 1921 Griffiths Rd Land Conference) Society of Bethel Reformed Church 7186073200 3260 Gladwin Rd Land of Abbotsford Solid Rock Christian Fellowship 6032038611 34371 4th Ave Land World Outreach Trinity Christian Reformed Church 7189086100 3215 Trethewey St Land

Trinity Lutheran Church 7191075030 3845 Gladwin Rd 75% Land

Trustees of Abbotsford Centre 61 50009101 1672 Salton Rd Land Congregation of Jehovah's Witnesses Trustees of Bradner Congregation 9500001007 5275 Bradner Rd Land of Presbyterian Church in Canada Trustees of Congregation (Calvin 7186022509 33911 Hazelwood Ave Land Presbyterian Church of Abbotsford) Trustees of Congregation of 9500002905 2464 Parkview St Land Abbotsford Gospel Hall Trustees of Congregation of 6150015002 3394 7 King Rd Land Canadian Reformed Church Trustees of Congregation of King 3150082800 32068 King Rd Land Road Mennonite Brethren Church Trustees of Congregation of Level 9500001512 31216 King Rd Land Ground Mennonite Church Trustees of Gladwin Heights 7186060010 3474 Gladwin Rd Land Pastoral Charqe of United Church Trustees of Mount Lehman 9500001202 6256 Mt Lehman Rd Land Congregation of United Church Trustees of Mt. Lehman 1053041030 31165 Gardner Ave Land Congregation of Jehovah's Witnesses Trustees of Trinity Memorial 6223011003 33737 George Ferguson Land Congreqation of United Church Way Zion Christian Reformed Church 6142034507 35199 Delair Rd Land Abbotsford


CITY OF ABBOTSFORD



SCHEDULE "F"

INDEPENDENT SCHOOL PROPERTIES EXEMPT FROM TAXATION


Mennonite Educational Inst Society 7194047210 31638 Downes Rd Land (maximum land area exemption limit to be calculated with adjacent folio #7195028400)


I .. I

~~.6 ABBOTSFORD

CITY OF ABBOTSFORD


Bylaw No. 2636-2016

APPENDIX "1"

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Place of'M:>rship Property- Northvie.Y Community Church , folio #7191035510, address 32064 Downes Rd. Pennissive Exemption (shaded in grey): 7.61 acres


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