Local Journalism Initiative

Should community centres be property tax exempt during the pandemic?

Community centres and event halls across New Brunswick have started receiving their property tax bills, but with revenue streams all but dried up by pandemic restrictions, some are wondering how long they can keep paying. Lise Cormier, president of the Centre-St-Andre-LeBlanc, a community centre in Beaubassin-Est, received a property tax bill for more than $900 this week. The centre is fortunate to have an emergency fund, Cormier said, but if their usual revenue-generating activities have to be cancelled again this year and they receive no tax relief, she believes the centre will run out of money in a year. As non-profit organizations, community halls like this one can’t apply for many of the government programs designed to help businesses during the pandemic, Cormier said. And the wage subsidy doesn’t apply to an organization like theirs, because it’s all volunteers, she said. The centre has done everything it can to lower the bills, from unplugging fridges to turning off hot water tanks, but bills continue even if weddings and Bingo nights do not, Cormier said. If the province would forgive property taxes for this year for community centres, that could make a difference, she said. Laurie McGraw, treasurer of the Centre Culturel et Sportif de Cormier-Village, said this centre, one of the newest in the region, faces a property tax bill of more than $1,600. The centre hasn’t sold a drop of alcohol in a year, a significant revenue source, because it hasn’t had large events, he said, but bills keep coming. The centre is run by volunteers, and he’s hoping they won’t get discouraged during this time. Cormier Village’s community centre has no events generating real income right now, he said; there’s just one karate session a week and some pickleball. McGraw said he knows centres like theirs are not alone in this struggle. He’d like to see more support for organizations coming from government, property tax relief being an option that seems doable. “We recognize there remains a high degree of uncertainty in the outlook,” said Jennifer Vienneau, director of communications for the province’s Finance Treasury Board, “and we will continue to work with stakeholders on a path forward.” The Community Investment Fund, which is available to qualifying non-profit community-based organizations for the 2020-21 fiscal year through the Regional Development Incorporation, may help some organizations, she said. The fund has offered $500 to $10,000 non-repayable funds and supported 148 organizations to date, said Mary-Ann Hurley-Corbyn, spokesperson for the province’s Regional Development Corporation and encourages non-profits struggling to reach out to RDC fo see if the fund might be able to help them. No commitment has been made yet to extend the program into 2021-2022 but the program has been well-received, she said. The fund cannot be used for debt payments, said Hurley-Corbyn. The government’s website indicates it can be used for the purchase of supplies such as sanitizer and COVID signs as well as to cover certain administrative and operating costs such as phone, power or insurance bills or projects related to addressing impacts of COVID-19. Some community centres struggling say this is one of few funding streams they have been able to qualify for and have a long list of bills. Michael Poirier, a manager who has been applying to grant after grant on behalf of Notre-Centre in Grande-Digue, said the rental of the space for the provincial election in the fall was the only significant event revenue for the past several months while fixed expenses amount to $4000 a month for the centre and almost every month of the pandemic the centre has faced a shortfall. Notre-Centre serves people across a wide area, he said, “We have to keep going.” McGraw said the centre in Cormier-Village received a small amount to cover signs and sanitizer, and to have access to some funds, was better than nothing but he and others in similar positions with new property tax bills in their mailboxes are still hoping something can occur on that front. Beaubassin-Est councillor, Jean-Charles Dugas said he has put the topic of property tax relief on the table at the community’s March council meeting and is hoping the municipality might be able to provide some relief if it can cover the equivalent of the municipal portion of the tax for the community centres in Beaubassin-Est of which there are several. Taking no action is not just harmful to the social health of the community, it is a safety risk, said Dugas, noting that if there is an emergency, such as a natural disaster, these community centres are where people would be gathering to safely warm up. He hopes Beabassin-Est can at least ease some of the pain for these organizations, and hopefully, can shake the can and trigger action provincially. Clara Pasieka, Local Journalism Initiative Reporter, Telegraph-Journal

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