Town of Hanna council sets sale date for unpaid tax properties

Stu Salkeld

The Town of Hanna council set the sale date and reserve bid for three properties in the municipality with unpaid tax bills. The resolutions were passed at the June 10 regular meeting of council.

 

Chief Administrative Officer (CAO) Matthew Norburn presented a report to councillors regarding three properties with unpaid tax bills that have hit the three year point; that is, the Municipal Government Act (MGA) allows the municipality to auction the properties in question and pay off the property taxes owing from the proceeds at that stage.

 

Norburn’s report noted the three properties in question included Lots 5-6, Block 42, Plan 6133AW, Lot 17, Block 2, Plan 6133AW and Lot 18, Block 25, Plan 6133AW.

 

It was noted in the CAO’s report that the first property currently owes $9,283.49 and is assessed at $130,570, the second property currently owes $3,982.94 and is assessed at $58,690 and the third property currently owes $8,151.50 and is currently assessed at $72,830.

 

Coun. Angie Warwick observed that one of the properties has a history of unpaid property taxes and the Town of Hanna has to deal with this issue every year. “When does that end?” Warwick asked.

 

The CAO stated that the town office works with property owners to get unpaid tax bills cleared up, sometimes through a payment plan. However, if the payment plan isn’t followed, the town goes back to the MGA route of public auction.

 

Norburn noted that in the case Warwick was referring to, that’s what happened.

 

During discussion councillors asked how many of these properties have reoccurring unpaid property tax bills, with staff responding one for certain and possibly others.

 

Mayor Danny Povaschuk stated it’s always best in a small community to work with property owners to get the bills paid off rather than going through the tax recovery sale process.

 

Readers should note the MGA requires a municipality to go through a three year process of formal notifications to the property owner about their unpaid tax bill; after the three year threshold has been reached an auction can be held to sell the property with the unpaid tax bill and the bill in question be paid out of the proceeds. Any funds over and above the debt owing are returned to the original property owner.

 

The property owner has right up until the minute the auction starts to settle the unpaid property tax bill. If the properties don’t sell at public auction, the municipality can begin a process to take ownership of the property.

 

Councillors unanimously approved reserving the date of Sept. 8 at 2 p.m. for a tax recovery auction for the three properties in question.

 

Councillors also unanimously set reserve bids for those three properties equal to each parcel’s assessed value.