Brenda O’Farrell
The Advocate

In what may very well be a first in Quebec, the city of Laval is poised to impose a surtax – or royalty – beginning next year on farmland that is not used for agricultural purposes.

The message to land speculators is clear, according to Laval Mayor Stéphane Boyer: If you are holding on to farmland with the hope it will be rezoned and you will make a profit, it’s not going to happen.

“Land in an agricultural zone will remain in an agricultural zone,” Boyer told LaPresse last month. “So there’s no point in hanging on to your piece of land hoping to make money one day.”

According to the move approved by Laval council in August, a fee will be charged to non-farmers who own farm land that is not in agricultural production. The fee will not be imposed on farmers who farm their land.

This means that, for example, the owner of plot of farmland that is about 1.2 acres in area  – or 5,000 square metres – will have to pay an annual royalty of $1,250 in addition to the existing property tax and the current $200 annual farmland surtax. The royalty rate being applied is 10 cents per square metre.

Rate increases for smaller lots

Smaller lots will be subject to an even higher royalty fee rate, however, according to the city’s plan. Lots that are a quarter of an acre or smaller – 1,000 square metres or less –  will be slapped with a 50-cent-per-square-metre charge. So, for a lot that is 1,000 square metres – or a quarter of an acre – will be subject to a $500 royalty.

Laval estimates the move will raise $1.1 million in additional revenue in 2025. These revenues will be funnelled into a new fund the city will create that will be used to acquire farmland that is not in production with the aim to restore it into agricultural use.

“There is no point in protecting agricultural land if we are not able to cultivate it,” Boyer reportedly said. “So what can we do today with the powers we have in the law?”

“Once we become the owner again, the idea is to put it back into a large lot and resell this large lot to a farmer,” the mayor added. “It could be large farmers already present or small plots of land that we could rent to an up-and-coming farmer. We are going to be really flexible.”

About a third of island is farmland

Laval, which is the third largest city in Quebec, has 29 per cent of its territory – or about 17,420 acres – zoned agricultural, but only about half of that land is actively farmed today.

Much of the agriculturally zoned land that is not farmed is owned by non-farmers, Laval officials say.

The city claims that throughout the 1970s and ’80s much of this land was divided into what officials say are thousands of lots. The Commission de protection du territoire agricole only came into existence in 1978.

The result is that there are now thousands of small plots of land zoned for agricultural use that are lying fallow, with owners who are waiting for the day to develop these lots.

City officials predict this new taxing scheme will see about 2,700 acres of unused farmland put back into production.

In an interview with The Advocate, Martin Caron, president of the Union des producteurs agricoles, says he welcomes the new taxing plan put forward by Laval, explaining that it is not just about money.

Agricultural land left unused by speculators waiting to cash in with the hope of developing it for other purposes is a big problem, Caron said.

Quebec has the lowest ratio of cultivated land per resident in North America, Caron said, with only 0.24 hectares – or 0.59 acres – per resident.

“All tools are welcome,” he added. “We must protect these lands and ensure that they are cultivated.”

Cutline:

Much of the farmland in Laval – which accounts for almost a third of the island’s territory – is in the east end of the island.

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