After more than 35 years, the Morrisburg Business Improvement Area is no more. South Dundas council voted to disband the organization, which is an arm of the municipality, at their June 24 meeting. The end for the BIA has been a long time coming, as interest in the organization waned during and after the pandemic. BIAs can be an important part of a business community, and Morrisburg’s was started during the time of the first renewal of the Village Plaza.
BIAs exist thanks to provincial legislation, the will of those business owners in an area, and the host municipality. A municipality collects a special levy on business property tax bills from businesses within a BIA catchment area. Those funds are used to promote that area, operate events that draw in people to that area, and for beautification. Morrisburg’s BIA operated with much success up until the COVID-19 pandemic. Then things went off the rails. Two years of restrictions, a lack of events, and the need for business owners to focus more on their own businesses ultimately sunk the BIA. Many were supportive of the work the local BIA can do, but could not commit to volunteer their time to move forward. The end of the BIA is a reflection of the changing reality of business in Eastern Ontario, and the restrictions placed on a BIA.
When the BIA was begun, the Village Plaza consisted of mostly retail businesses and restaurants; now it is a 50/50 mix of retail and service-based businesses. One-third of the businesses currently in the plaza are a regional or national franchise or are corporately owned. Those brands already have their own marketing, so adding to a local marketing effort is redundant. It is a reflection of how retail has changed nationally. BIAs also have restrictions on what, and how, money received can be spent, and that is why it may be a blessing that the local BIA has ended.
The Morrisburg Village Plaza, and its Iroquois counterpart, needs millions in repairs. From the dilapidated centre courtyard clock tower to heaving sidewalks and non-existent painted markings on a shabby-looking parking lot. South Dundas has been considering a special area levy for businesses in both plazas to fund these capital repairs. BIAs are prohibited under the provincial legislation from using its levy on capital. Had the BIA not ended, Morrisburg Plaza businesses may have faced a disproportionately higher tax bill than their counterparts. This would disadvantage many of the small business owners in Morrisburg’s plaza, possibly to the point of relocation or closure. In eliminating the BIA, the tax burden on Morrisburg plaza businesses will be less, and the funds paid could be used for capital improvements.
It is extremely clear that both plazas are in need of significant repairs. How many people have been injured on the Morrisburg plaza sidewalks alone? Simplifying the tax levy structure and allowing capital repairs to take place is the best course of action for all parties involved. It is hoped it will not take years of study to move forward on the next steps.
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