Port Coquitlam city council set a precedent this week by granting a tax exemption to a non-profit group that is based on private property.
On Tuesday, council gave three readings to a bylaw that would relieve Branch 133 of the Royal Canadian Legion from paying about $33,000 annually in property taxes for three years, starting in 2015.
Under the city's current policy, tax exemptions are only given to non-profit groups located on city-owned land as well as to places of worship and education institutions.
But Mayor Greg Moore said that policy needs to be updated and he looks forward to a review next year to possibly expand tax exemptions for all charities - not just those on city land.
"Many of us volunteer with non-profit organizations in the community," he told council. "There's a big tax burden there. They are fundraising just to keep the doors open."
Moore said if charities are exempt, they would be able to save money for future projects because they wouldn't have to pay for other levies attached to the property tax bill such as school and Metro Vancouver charges.
In the Legion's case, it has fallen on hard financial times recently but it has a new business case to restructure, Coun. Mike Forrest said. The city wants to see the Legion "thrive," he said, especially given its history with the organization that supports war heroes.
A few years ago, the city partnered with the PoCo Legion to help with project management as it built R.J. Kent: The Residences, a seniors' housing complex attached to the Legion building.
Also on Tuesday, council gave three bylaw readings to renew 10-year tax exemptions to four non-profits located on city land. They are: the PoCo Heritage and Cultural Society (2101-2253 Leigh Sq.); Hyde Creek Watershed Society (3636 Coast Meridian Rd.); Kinsmen Club of Port Coquitlam (2175 Coquitlam Ave.); and Tri-City Transitions Society (2420 Mary Hill Rd.). Those groups will be tax exempt until 2024, resulting in a $23,490 "loss" of city revenue annually, according to a staff report.
This year, the city granted $675,973 in property tax relief to 19 organizations, including $159,202 for Archbishop Carney regional secondary, a Catholic school located on Dominion Avenue.
@jwarrenTC
