# Vacant-Home Tax Revenue Screen

**Date:** 2026-09-21
**Status:** central planning estimate included in the working 2027 levy scenario; final revenue remains subject to Council policy and City administration data

## Purpose

This screen estimates whether a vacant-home tax could fund the platform's
proposed 12-week civilian crisis-response pilot. The current Community Safety
plan sets a hard planning cap of approximately **$60,000** and requires a
written safety protocol, dispatch screen, police backup, privacy protections,
and public evaluation before launch.

The tax rate, qualifying-property count, exemptions, collection rate, and
administration cost remain decisions for Council. The working budget uses the
Ottawa-like case as a central planning estimate: approximately **$192,672
gross**, less a **25 percent administration allowance**, or approximately
**$144,504 net estimated revenue**. It allocates **$60,000** to the proposed
civilian crisis-response pilot and **$25,000** for the OSHaRE mobile meal pilot,
leaving approximately **$59,504** for other housing or safety priorities in the
central estimate. These are planning figures, not adopted revenue or guaranteed
collections.

## Vacancy evidence

Observed long-term vacant-unit rates in municipal programs provide a planning
range:

| Comparator | Reported rate | Basis |
| --- | ---: | --- |
| Vancouver, 2024 | 0.49% | Declared, deemed, or determined vacant properties |
| Ottawa, 2023 | 1.2% | Total vacant units after audits |
| Hamilton, 2024 | 2.5% | Declared and deemed vacant units |

Owen Sound had **10,406 total private dwellings** and **9,895 occupied
private dwellings** in the 2021 Census. The difference of 511 is a broad
unoccupied-dwelling measure that can include seasonal, temporarily vacant, and
other units. It is an upper bound for screening, not a count of taxable
long-term vacant homes.

## Assessment proxy and formula

The City's 2025 tax policy lists **$1,605,602,140** of taxable
residential/farm phase-in assessment. Dividing that amount by 9,895 occupied
dwellings gives a rough local assessment proxy of **$162,264 per dwelling**.
Actual qualifying properties would have different assessments, and a future
program would use the applicable MPAC assessment for each property.

The screening formula is:

`estimated qualifying units x average assessment proxy x vacant-home-tax rate = gross revenue`

The central rate used here is **1%**, matching the current first-year rates in
Hamilton and Ottawa. Toronto uses 3%, while Ottawa can increase the rate for
consecutive vacancy and Vancouver currently uses 3%.

## Owen Sound planning cases

| Vacancy case | Rate applied to units | Estimated units | Gross annual revenue at 1% tax | Net illustration after 25% administration | Net after $60,000 crisis pilot and $25,000 meal pilot |
| --- | ---: | ---: | ---: | ---: | ---: |
| Vancouver-like | 0.5% | 49.5 | $80,280 | $60,210 | ($24,790) |
| Ottawa-like | 1.2% | 118.7 | $192,672 | $144,504 | $59,504 |
| Hamilton-like | 2.5% | 247.4 | $401,401 | $301,050 | $216,050 |

The 25% administration line is a sensitivity only. Ottawa's published
program FAQ describes approximately $33 million of gross revenue and $8.2
million of five-year administration costs, which is approximately 25% of
gross revenue. Owen Sound's actual startup, declaration, audit, appeal,
communications, billing, and enforcement costs could differ substantially.

## Budget treatment

The screen supports the following planning conclusion:

> A 1% vacant-home tax could plausibly raise enough gross revenue to cover the
> proposed $60,000 civilian crisis-response pilot and the $25,000 OSHaRE mobile
> meal pilot in the central and higher planning cases. The Vancouver-like case
> would require other funding or a smaller pilot.

The central estimate is now included in the working 2027 scenario. Before
adoption, the City should publish:

- the number of qualifying residential units;
- the proposed rate and vacancy definition;
- exemptions, declaration, audit, appeal, and enforcement rules;
- one-time startup and recurring administration costs; and
- the net amount available for the crisis-response pilot and other priorities.

Returning vacant homes to use is the primary housing result. As homes become
occupied, the recurring tax base can decline, so the crisis pilot should have
a defined funding review and a public results gate rather than relying on
vacant-home-tax revenue indefinitely.

## Sources

- [HelpOS Community Safety and Policing plan](https://helpos.ca/mayor/community-safety#invest-to-save)
- [HelpOS Tax Strategy](https://helpos.ca/mayor/tax#making-existing-homes-available)
- [Hamilton Vacant Unit Tax](https://www.hamilton.ca/home-neighbourhood/property-taxes/vacant-unit-tax)
- [Ottawa Vacant Unit Tax annual report](https://documents.ottawa.ca/sites/default/files/OTTAWA_25-130_Report_E8.pdf)
- [Vancouver Empty Homes Tax annual report](https://vancouver.ca/files/cov/2025-empty-homes-tax-annual-report.pdf)
- [Statistics Canada Owen Sound dwelling counts](https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?geocode=A00033524&pid=9810000401)
- [City of Owen Sound 2025 tax policy by-law](https://www.owensound.ca/media/m5jbyo2a/2025-045-2025-tax-policy-by-law-consolidated.pdf)