The Canadian Automotive Museum (CAM) in Oshawa has been provided with a grant of $5,000 for 2022, according to a member of the Oshawa City Council.
Some residents have been campaigning for increased city support for CAM, saying it pays around $20,000 in property taxes yearly and receives $5,000 in support.
However, Oshawa Councillor Rick Kerr, said there are some misconceptions regarding the taxes levied on CAM.
The city‘s own portion of the annual tax on CAM is not $20,000, but a little over the $5,000 grant it is receiving from the city. Kerr pointed out that the city also collects tax for regional governments and school boards.
He explained CAM is a private facility that owns assets like the building, and therefore, must pay property taxes.
Kerr did not disclose the property tax as it pertained to an institution, but said CAM receives a provincial rebate of 40 per cent on the original amount of tax. Of the balance, 40 per cent goes to the region, another 20 per cent is for school boards, and the balance 40 per cent goes to the city.
“The city’s portion of the tax is just a little over the grant amount of $5,000 because the property tax has gone up this year,” said Councillor Kerr.
He pointed out that the Region of Durham and school boards do not have a community grant process, and because of this, their portions of the tax cannot be refunded.
Asked if the residents’ campaign for increased support would have an impact on next year’s grant, Kerr pointed out that this is election year, and the budget for 2023 would be approved by the new council.
“We support the Canadian Automotive Museum every year. I have personally donated to their fund raising. We have extended the Kars on King event to include the museum. We will continue to support CAM in every way,” added Kerr.
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Councillor Kerr’s–Article to CAM is interesting, they pay over $25,000 in taxes. So the break down is $10,000 to the region, $5,000 to school Board and $10,000 to city minus $5,000 grant. He states that CAM’s taxes have also risen again this year 2022. How do they plan for the future, if they want to expand? The $5,000 grant will not even help them through any planning process for permits. The real question to answer is How can the City help them to survive and support the rich automotive history of Oshawa. Their second highest expense currently is Taxes, heading upward to soon become one of their largest expenses.