The Tidal Power Generating Station - a flagship facility for the generation of green power, an international draw, and a great asset to Nova Scotia Power, the community and for Nova Scotia. Yet this facility is now at the centre of a controversy that threatens the very existence of our tiny little town, the World's Most Liveable Small Town.
For those who aren't familiar with the problem, one of the best explanations is available through the following article written by a local reporter:
In short: in a sudden, unannounced and so far undocumented move, the Town of Annapolis Royal stands to lose more than 25% of its annual operating budget in one fell swoop. This drastic cut is associated with Nova Scotia Power - and the redistribution, by the Province of NS, of a large "grant in lieu of taxes" that NSP pays each year.
I have huge issues with many aspects of this whole issue. I was Deputy Mayor at the time the Town finally succeeded in negotiating some form of tax revenue for the Tidal Power facility. At that time we fought for fairness, and it appears this community is once again having to fight for fairness. For a little more on how this all came about, read the following letter written by then-Mayor John Kinsella: http://www.novanewsnow.com/article-288098-Kinsella-baffled-concerned-over-new-NSPI-assessments.html
To me, the root problem in all of this is the fact that the Province of Nova Scotia has been continuously meddling in the issue of property taxes for one single company, Nova Scotia Power. It is normal practice for a property owner to pay property taxes, and these taxes are paid directly to the municipality in which the property is assessed. In the case of government-owned properties, said government pays the municipality what is called a "grant-in-lieu" rather than commercial taxes. But in every case, the municipality directly deals with the property owner in collection of taxes. So why, in this one case, is the Province collecting the "grant-in-lieu" instead of it going straight to the municipalities? What business does the Provincial Government have negotiating property tax payments? This is not the practice with other businesses in Nova Scotia, nor should it be with NS Power.
And to add insult to injury, only 1/3 of the "grant in lieu of taxes" that the Province collects is actually distributed to the municipalities in which these properties are assessed! How is that fair?
The Town is seeking answers, but so far none are forthcoming... no doubt there are many more chapters yet to be written in this story.
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