BILL 17

An Act to Amend the
Assessment Act

Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:

1Subsection 4(1) of the Assessment Act, chapter A-14 of the Revised Statutes, 1973, is amended by adding after paragraph (h) the following:

(h.1)land and a building, or that portion of land and a building, that is an arena containing an ice rink used for such sports as hockey and figure skating, but a curling club is not exempt from taxation under this paragraph;

2The Act is amended by adding after section 7 the following:

ASSESSMENT REDUCTIONS

7.1(1)A charitable organization, not-for-profit organization or municipality may apply to the Director, on a form provided by the Director, for a reduction of the assessment of real property or a portion of real property as provided for in this section.

7.1(2)An application under subsection (1) for a reduction of assessment for any year must be made in the preceding year on or before the date prescribed by regulation.

7.1(3)Notwithstanding subsection (2), the deadline for an application under subsection (1) for a reduction of an assessment for 1998 is December 31, 1998.

7.1(4)Upon receipt of an application under subsection (1), the Director may, in his or her discretion, reduce by

(a)one hundred per cent, the assessment in respect of 1998 or any succeeding year of real property, or that portion of real property, that is owned and occupied by an applicant prescribed by regulation and that meets the conditions in accordance with the regulations,

(b)ninety per cent, the assessment in respect of 1998 or any succeeding year of real property, or that portion of real property, that is owned and occupied by an applicant prescribed by regulation and that meets the conditions in accordance with the regulations,

(c)sixty-five per cent, the assessment in respect of 1998 or any succeeding year of real property, or that portion of real property, that is owned and occupied by an applicant prescribed by regulation and that meets the conditions in accordance with the regulations, or

(d)thirty-five per cent, the assessment in respect of 1998 or any succeeding year of real property, or that portion of real property, that is owned and occupied by an applicant prescribed by regulation and that meets the conditions in accordance with the regulations.

7.1(5)A decision of the Director to reduce an assessment under subsection (4) has effect from January 1 of the year for which the assessment is reduced, and any changes required to be made in the assessment and tax roll as a result of the decision shall be made as soon as possible after the decision is made.

7.1(6)A decision of the Director to reduce an assessment under subsection (4) has effect until and including December 31 of the year in which the real property or portion of the real property is no longer owned and occupied by the charitable organization, not-for-profit organization or municipality, as the case may be, or no longer meets the conditions in accordance with paragraph (4)(a), (b), (c) or (d), as the case may be.

7.1(7)An application under subsection (1) shall be decided on the basis of written information provided by the applicant and such other information as the Director requires.

7.1(8)The decision of the Director as to whether a charitable organization, not-for-profit organization or municipality is entitled to a reduction of an assessment under this section, the amount of the reduction of an assessment and the portion of real property for which the reduction of an assessment may be granted is final and may not be questioned or reviewed in any court, and sections 25, 27 and 37 do not apply with respect to real property or portions of real property under this section.

7.1(9)A person who knowingly makes a false statement or knowingly provides wrong information in the course of making an application under subsection (1) commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category F offence.

7.2(1)A person in whose name real property is assessed may apply to the Director, on a form provided by the Director, for a reduction of the assessment of real property or a portion of real property as provided for in this section.

7.2(2)An application under subsection (1) for a reduction of assessment for any year must be made in the preceding year on or before the date prescribed by regulation.

7.2(3)Notwithstanding subsection (2), the deadline for an application under subsection (1) for a reduction of assessment for 1998 is December 31, 1998.

7.2(4)Upon receipt of an application under subsection (1), the Director may, in his or her discretion, reduce by ninety per cent the assessment in respect of 1998 or any succeeding year of real property, or that portion of real property, that is occupied by an agricultural fair association, racing association or other group and is used as a horse racetrack, raceway or racecourse.

7.2(5)A decision of the Director to reduce an assessment under subsection (4) has effect from January 1 of the year for which the assessment is reduced, and any changes required to be made in the assessment and tax roll as a result of the decision shall be made as soon as possible after the decision is made.

7.2(6)A decision of the Director to reduce an assessment under subsection (4) has effect until and including December 31 of the year in which the real property or portion of the real property is no longer occupied by an agricultural fair association, racing association or other group or is no longer used as a horse racetrack, raceway or racecourse.

7.2(7)An application under subsection (1) shall be decided on the basis of written information provided by the applicant and such other information as the Director requires.

7.2(8)The decision of the Director as to whether a person is entitled to a reduction of an assessment under this section and the portion of real property for which the reduction of an assessment may be granted is final and may not be questioned or reviewed in any court, and sections 25, 27 and 37 do not apply with respect to real property or portions of real property under this section.

7.2(9)A person who knowingly makes a false statement or knowingly provides wrong information in the course of making an application under subsection (1) commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category F offence.

3Section 15 of the Act is amended by striking out "17, 17.1 and 17.2" and substituting "17 and 17.1".

4Section 17.2 of the Act is repealed.

5Section 40 of the Act is amended

(a)in subsection (1) by adding after paragraph (e.5) the following:

(e.6)prescribing applicants for the purposes of paragraphs 7.1(4)(a) to (d);

(e.7)respecting the conditions of eligibility or ineligibility for the purposes of paragraphs 7.1(4)(a) to (d);

(b)in subsection (1.1) by adding ", (e.6) or (e.7)" after "paragraph (1)(e.5)".

6This Act comes into force on January 1, 1998.

EXPLANATORY NOTES

Section 1

The new provision exempts arenas from taxation.

Section 2

Provisions are added respecting the reduction of the assessment of certain real property or portions of real property.

Section 3

The amendment is consequential on the amendment made in section 4 of this amending Act. The existing provision is as follows:

15Notwithstanding any other public or private Act or any tax agreement, but subject to sections 15.1, 16, 17, 17.1 and 17.2, all real property shall be assessed at its real and true value as of January 1 of the year for which the assessment is made.

Section 4

The existing provision is as follows:

17.2(1)The following types of real property shall be assessed at their value in present use:

(a)real property owned and occupied by a charitable organization or a not-for-profit organization;

(b)real property occupied by an agricultural fair association, a racing association or other group that is used as a horse racetrack, raceway or racecourse.

17.2(2)The Director shall determine whether a particular property is real property as described in paragraphs (1)(a) or (b).

Section 5

(a)The amendment is consequential on the amendment made in section 2 of this amending Act. Regulation-making authority is added.

(b)Power to make retroactive regulations is added.

Section 6

Commencement provision.

Chapter Outline Update

Section 1

No change required.

Section 2

Add after section 7 the following:

ASSESSMENT REDUCTIONS

Real property owned and occupied by a
charitable organization, not-for-profit organization
or municipality 7.1

Horse racetracks, raceways and racecourses 7.2

Section 3

No change required.

Section 4

Delete the entry for s.17.2 and substitute the following:

Repealed 17.2

Sections 5 and 6

No change required.

Endorse: Hon. Edmond P. Blanchard, Q.C.


Last Modified: 12:12pm , December 16, 1997