Rimbey developers who agree to build spec homes on their property could receive a tax break for up to a year, once an agreement now being implemented is fine-tuned.
At its regular meeting, Monday, council agreed to work with a lawyer to draft an agreement which will allow residential spec built homes to remain at the bare land tax rate for the duration of one year from the time that construction is complete.
The reduced rate will be available for one year and a minimum of two spec homes and a maximum of five must be competed to participate in the program.
Construction must not take longer than one year.
Interim CAO for the town, Donna Tona said such an agreement, which would align with the municipal government act will help attract additional residential development within the Town of Rimbey.
While council gave the thumbs up to the agreement, Coun. Paul Payson had some concerns.
“Is there any way it is unfair that a spec home should get a tax break?” he questioned. “I’m not saying no, don’t make this happen,” he added.
However, Mayor Rick Pankiw said he did not believe the proposed tax break to be unfair.
Council agreed to direct administration to work with Richard S. Gregory, the town’s lawyer to complete the agreement for the tax relief program.