Red Deer City Council approved the 2020 Business Improvement Area (BIA) Tax Rate Bylaw today, which confirms the tax levy for businesses in the downtown.
Council passed the 2020 BIA Tax Rate bylaw and provided administration direction to encourage the Downtown Business Association (DBA) to bring in a 2021 budget that provides relief to the businesses with an amount lower than the current 2020 budget.
“We recognize the challenges COVID-19 has posed for our downtown businesses, many of whom were facing financial challenges prior to this pandemic,” said Mayor Tara Veer. “We have extended the 2020 BIA tax payment deadline to ease the financial burden for local businesses, and encourage the Downtown Business Association to do what they can to minimize their 2021 budget to provide further relief to our downtown businesses.”
While BIA taxes are typically due June 30, the 2020 deadline was extended to September 30 in recognition of economic challenges due to the current crisis.
“We have also asked the DBA to use their budget allocated in 2020 that may not be needed as a result of COVID-19 for potential financial incentives, support and relief to downtown businesses,” said Mayor Veer. “This decision is up to the DBA Board, but Council feels it is a critical step in assisting our downtown in their economic recovery.”
The City is required by provincial legislation to collect BIA taxes on behalf of established BIAs. Red Deer has only one BIA, the Downtown Business Association (DBA), whose annual 2020 budget was approved by Council in December 2019. BIA taxes can be used for improving and maintaining property in the area, developing or maintaining public parking, and promoting the area.
Businesses facing challenges due to COVID-19 are encouraged to visit the City website for a list of supports available from the City, provincial and federal governments, and local organizations. This information is available at www.reddeer.ca/COVIDresources.
For more information, please contact:
Communications & Strategic Planning
The City of Red Deer