20 YEARS OF CONSTRUCTIVE PRESENCE WITH THE GOVERNMENT AND MUNICIPALITIES

Tax credit on vacant spaces in Montreal (2006-2007)

In 2003, the City of Montreal decided to put an end to the business tax still in existence in 10 of the former municipalities on the Island. A significant tax burden related to vacant spaces in commercial buildings was thus transferred to building owners. In order to alleviate the impact of this tax increase, UDI Quebec is coming back to city hall each year requesting that the City provide a tax credit on vacant spaces.

Water rates in Montreal (2006-2007)

Feelers have been sent before. The City of Montreal needs huge amounts of money to improve water services generally and repair the sewer and water supply systems in particular. Based on a study commissioned by the City in 2002, net financing requirements are estimated at $4 billion over the next 20 years or $200 million annually in additional expenses. The 2004 Budget announced the establishment of a Water Fund, with an initial capital of $20 million, 70% financed by non residential taxpayers through a special tax equal to 4 cents per $100 in valuation. UDI Quebec fears that municipal authorities intend to make non residential taxpayers shoulder the better part of the required investments. As it is, the commercial real estate sector, based on internal research, already accounts for close to 75% of all municipal tax revenues associated with water. In addition to the surtax on water in force since 2003, the City of Montreal seems bent on increasing taxation on water consumption by installing water meters in industries, stores and offices.

New general plans in Montreal and Quebec City (2005)

In both Montreal and Quebec City, the mergers have resulted in a renewed urban planning exercise. UDI Quebec got seriously involved in the processes conducted by both the cities of Montreal and Quebec through meetings with the professionals responsible for the exercise, by studying the proposals and by preparing two well-received detailed briefs.

Moratorium on superstores in Quebec City (2003)

Following the creation of the merged Quebec City in 2002, municipal authorities decided to slow the development of superstores through the adoption of an interim control regulation limiting the areas where such superstores could be located as well as their floor surface. UDI Quebec intervened in this issue to soften up the impact of the regulation by requesting additional locations and larger surfaces.

Government grants for new economy businesses (1998-2001)

Between 1998 and 2001, the Government of Quebec implemented a series of grant programs directed at the new economy. These programs required targeted businesses to locate in specific buildings (Multimedia City and E Commerce Place in Montreal) or specific sectors (the Centre national des nouvelles technologies de Québec). The certifiable competitive advantage thus created for these buildings or areas had the result that businesses from the new economy moved in drove, resulting in an unfair imbalance in the commercial real estate market in Montreal and Quebec City. While UDI Quebec recognized the importance of supporting the new economy to position the province in this emerging sector, the association felt that the grant programs should have been applied to the larger downtown core in both cities. In 2000, UDI Quebec finally convinced the Quebec provincial government to create the E-Commerce Zone covering the whole of downtown Montreal.

Municipal taxation reform (1999-2000)

In 1999, the Government of Quebec launched a major public consultation on the review of the municipal financial and taxation framework. UDI Quebec conducted an in-depth review of the municipal taxation issues regarding commercial real estate. The reflection resulted in a well-researched brief proposing a number of meaningful solutions. The National commission of municipal and local taxation gave a very positive reception to the brief and in particular went along with its main proposal by recommending a distinct taxation regime for the commercial real estate sector.

Municipal restructuring (2000-2002)

In 2000, the Government of Quebec launched its Municipal Restructuring program, an ambitious merger project for major urban centres in the province.

Publication of commercial leases (1998)

Following up on a recommendation made by UDI Quebec in cooperation with the International Council of Shopping Centers, the Government of Quebec amended the Civil Code (1994) to authorize the publication of commercial lease summaries. We remind you that the new Civil Code that came into force in 1994 made it mandatory for building owners to publish the full text of their commercial leases, thereby infringing on healthy competition among building owners.

Consecutive freezes in the taxation roll in Montreal (1997-2000)

Between 1997 and 2000, the Government of Quebec, on three separate occasions, authorized the Montreal Urban Community to freeze its triennial taxation roll in order to artificially maintain the taxation base. UDI Quebec has always believed that this decision, coming on the heels of a severe real estate crisis, was deeply unfair to commercial real estate owners and introduced a major distortion in the Montreal real estate market. The Government of Quebec and the MUC finally heeded the representations of UDI Quebec in 2000.

Commercial signage in Sainte-Foy (1995-1998)

Between 1995 and 1998, the former City of Sainte-Foy decided to exert stricter control over commercial signage on its territory. Elected officials therefore reviewed the signage regulations with a view to make them more restrictive. UDI Quebec believed the new provisions were much too restrictive and could severely hinder the conduct of business for building owners and their tenants. In cooperation with the Chambre de commerce de Sainte-Foy, UDI Quebec led a constructive approach to secure an easing of the regulations. The regulation was finally adapted to the satisfaction of UDI Quebec.

Surtax on non residential buildings (1991-1993)

Against the background of the Ryan reform of 1991, UDI Quebec managed to convince the Government of Quebec not to introduce a tax of parking spaces and to maintain the tax credit for vacant lots. However, the government gave municipalities permission to establish a surtax on non residential buildings, thereby formalizing the double taxation assessed on commercial taxpayers in Quebec.

Master plan for downtown Montreal (1987-1989)

First issue confronted by UDI Quebec and the one that gave birth to the organization, the Master plan for downtown Montreal led commercial building owners to organize and develop a common position on the planning and development directions for downtown Montreal. At the time, the City of Montreal recognized the brief submitted by UDI Quebec as a visionary yet realist document that could provide a positive contribution to the development of the downtown core.