3665-2023 Municipal Drain Assessment Policy
BEING A BY-LAW TO ADOPT A MUNICIPAL DRAIN ASSESSMENT POLICY
Passed by Council November 27, 2023
THE CORPORATION OF THE TOWNSHIP OF AUGUSTA
BY-LAW NO. 3665-2023
BEING A BY-LAW TO ADOPT A MUNICIPAL DRAIN ASSESSMENT POLICY
WHEREAS Section 61(1) of the Drainage Act, RSO 1990, requires that a Council that is
required to raise the whole or part of the cost of a drainage works shall impose upon the
lands assessed for the drainage works the assessment with which it is chargeable;
AND WHEREAS Section 61(2), (3), (4), and (5) of the Drainage Act, RSO 1990,
authorizes the manner and means by which the charges may be levied and collected;
AND WHEREAS Section 85 of the Drainage Act, RSO 1990, provides that grants may be
made in respect to assessments made under this Act upon lands used for agricultural
purposes;
WHEREAS application will be made for a grant and grants are subject to available
budget in the Ministry of Agriculture, Food and Rural Affairs;
NOW THEREFORE the Council of the Corporation of the Township of Augusta enacts
as follows:
1. THAT the Municipal Drain Assessment Policy attached hereto as Schedule “A”
shall form part of this By-Law.
2. THAT By-Law 3619-2023 and all other By-Laws inconsistent herewith are hereby
repealed.
3. This By-Law shall be in force and effect on the date of its passage.
Read a first and second time this 27 day of November 2023.
Read a third time and passed this 27th day of November 2023.
Signed by Mayor Jeff Shaver and Clerk Annette Simonian
SCHEDULE “A”
POLICY: Municipal Drain Assessment Billing, Payment & Debenture
Date Issued: February 13, 2022
Pages: 5
Review Date: December 2026
Revision Date: November 27, 2023
1. PURPOSE
To establish a standard for billing, payment, and debentures for outstanding balances on
municipal drain assessments, as described herein.
2. LEGISLATION AFFECTED
I. Drainage Act Section 3(17) for Requisition Drains
II. Drainage Act Section 10(4) for Cost Petition
III. Drainage Act Section 43 – Liability of Original Petitioner
IV. Drainage Act Section 61 — Special Assessment
The assessments and rates imposed under the Drainage Act shall have priority lien
status as described in section 1 of the Municipal Act, 2001.
3. BILLING CYCLE
I. Once the Drainage Superintendent has confirmed that all invoices have been
received and the capital or maintenance work completed on municipal drains,
the Treasurer shall prepare a levy by-law.
II. Section 75(3) of the Drainage Act states a municipality is not required to levy
amounts charged for maintenance or repair more than once every five years if
the total expense doesn’t exceed $5,000.00. To reduce annual general ledger
reconciliation costs, Augusta Township will prioritize to levy and bill all
maintenance and repair jobs as they are completed.
III. Drain assessments will be invoiced and sent to the landowner.
IV. Invoices shall be one instalment due within 60 days of the billing date.
4. PAYMENT PLANS
I. Landowners with cumulative drain assessments owing per drain assessment
schedule with a balance under $300.00 are required to pay the balance owed
within 60 days of billing. Landowners with a balance of $300.00 and over (after
applicable Provincial grants) may opt to pay their balance in full within 60 days of
billing.
II. Landowners with cumulative drain assessments owing per drain assessment
schedule of more than $300 and less than $2,500 (after applicable Provincial
grants) are payable in the first year in which the assessment is imposed. Payments
are to be made monthly and can be made through providing post-dated cheques,
cash, debit, e-transfer, or paying through your financial institution or telephone
banking, with no interest charged (provided the full amount is paid within the 12-
month period). If payment is not received, the property will default to full billing of
the amount owing on the current year’s tax account.
III. Landowners with cumulative drain assessments owing per drain assessment
schedule with a balance of $2,500.00 and over (after applicable Provincial grants)
are eligible for a drain debenture as follows:
• Term of one (1) year with no interest.
• Term of five (5) year interest bearing.
• Interest rate consistent with the Township’s prior year’s rate of return on
investments with respect to landowners who participate in the Ministry’s tile
drainage loan program. It is acknowledged that this rate will fluctuate on a
loan-by-loan basis.
• Annual payments are added to the property tax roll.
• Agreement with the above terms must be signed by the landowner
(attached as Schedule “B” and Schedule “C”).
• The Treasurer of the Township of Augusta has the authority to administer
this policy.
IV. If payment of the drain assessment has not been received after 60 days of the
billing date, or if qualifying landowners choosing to debenture their assessment
have not entered into a debenture agreement with The Township of Augusta after
60 days of the billing date, the balance owed will automatically default to be paid
on the next semi-annual tax installment. The amount added to taxes will include
penalty charged at 1.25% per month (15% annually), calculated from the date the
assessment was due to the next semi-annual tax installment. Landowners with an
outstanding assessment may pay the balance owed, plus calculated penalty, in
one lump sum at any time during regular business hours. In this situation, penalty
will be calculated from the date the assessment was due to the date of payment.
5. METHODS OF ENFORCEMENT
Tax Sale Registration — Municipal Act Part Xl regulates the sale of land for tax arrears.
6. RESPONSIBILITIES
Council is responsible for the adoption and application of this policy.
Where appropriate, the Clerk (or designate) shall be responsible for the administration of
and applicable procedures of this policy.
7. POLICY ADMINISTRATION AND REVIEW
This policy will be reviewed every four years or as required based on revisions to
corporate practices or Provincial legislation.
SCHEDULE “B”
The Township Augusta Payment Agreement – Municipal Drain Assessment
Debenture
This agreement made in duplicate as of the _____ day of ________________ 2
BETWEEN: THE TOWNSHIP OF AUGUSTA
(Hereinafter referred to as The Township)
AND _________________________
(Hereinafter referred to as The Property Owner)
WHEREAS Property located at _____________________________________ under
Property Assessment Roll #______________________________ has drainage assessment
owing under the __________________________________ Municipal Drain billed under
invoice number ______________________ .
AND WHEREAS The Township will offer a payment agreement for municipal drain
assessment on capital or maintenance work with a balance owing of more than $2500.00
after application of any Provincial Grants.
AND WHEREAS The Township is desirous of entering into an agreement with the
Property Owner to pay for such drainage assessment.
AND WHEREAS The Township has determined a fair rate of interest shall be consistent
with the Township’s prior year’s rate of return on investments with respect to landowners
who participate in the Ministry’s tile drainage loan program, currently _________ % per annum.
NOW THEREFORE the Property Owner agrees to the following terms:
i. Equal annual payments shall be added to the above noted property
tax roll for a term of FIVE (5) years. Payments for this debenture will
start on the interim tax billing levy for the year
ii. The Repayment Schedule shall be provided to the landowner by The
Township and attached to this agreement.
___________________________
The Township of Augusta
Per Mark McDonald, Treasurer
___________________________
Property Owner
SCHEDULE “C”
The Township Augusta Payment Agreement – Municipal Drain Assessment
Debenture
This agreement made in duplicate as of the _____ day of ________________, 2____.
BETWEEN: THE TOWNSHIP OF AUGUSTA
(Hereinafter referred to as The Township)
AND
___________________________
(Hereinafter referred to as The Property Owner)
WHEREAS Property located at
_____________________________________
under
Property Assessment Rofl #_______________________________ has drainage assessment
owing under the
_________________________________________
Municipal Drain billed under
invoice number
______________________
AND WHEREAS The Township will offer a payment agreement for municipal drain
assessment on capital or maintenance work with a balance owing of more than $2,500.00
after application of any Provincial Grants.
AND WHEREAS The Township is desirous of entering into an agreement with the
Property Owner to pay for such drainage assessment.
AND WHEREAS The Township has determined that no interest will be accumulated to
the balance outstanding provided it is paid within 1 calendar year from the date of the
invoice.
NOW THEREFORE the Property Owner agrees to the following terms:
iii. A payment shall be added to the above noted property tax roll for a
term of ONE (1) year. The payment for this debenture will be added
to the interim tax billing levy for the year
______________
The Township of Augusta
Per Mark McDonald, Treasurer
______________
Property Owner
