Council voted on December 10, 2024, to pause the implementation of By-law 2024-033, which had introduced significant increases in business licensing fees earlier this year. The motion, introduced by Mayor Justin Towndale and seconded by Councilor Sarah Good, aims to provide relief to businesses while the by-law undergoes review.
Councilor Dean Hollingsworth, acting as chair for this portion of the meeting, facilitated the discussion as Mayor Towndale debated the motion. The proposed pause stems from concerns raised by local businesses, including fee increases of up to 1,000% and the elimination of simplified renewal processes.
Mayor Towndale emphasized the importance of revisiting the by-law, citing letters from the Canadian Federation of Independent Business (CFIB) and the Cornwall Chamber of Commerce. “Some businesses saw a 1,000% increase in their licensing fees. Comparative cities like Kingston maintain fees 42% lower than Cornwall. This pause allows us to complete a thorough review and address these disparities,” he stated.
Councilor Fred Ngoundjo supported the motion, adding, “Sometimes we need to admit we were wrong. Stepping back to find the right solution is the smart choice.” Councilor Good also stressed the need for better communication, noting, “Decisions of this magnitude require full information to ensure council can make informed choices.”
Councilor Claude McIntosh admitted regret for approving the initial by-law without fully understanding its implications, stating, “I was really embarrassed when I was at my favorite coffee shop one morning, and the owner started asking me questions about this. I said, ‘What?’ He replied, ‘I thought you were a city councilor.’ Well, I thought I was one, too. He filled me in on the paperwork. He wasn’t opposed to an increase, but being blindsided by the size of it really disappointed him.”
“You talk about a pause—it’s more like a ceasefire. We blew it. We weren’t paying attention, and we passed it. Nobody voted against it. The four lines in the agenda didn’t reflect what was really happening behind the scenes. I hope nobody did that intentionally to make it pass more easily. I’membarrassed to say I voted for this without properly investigating or taking a hard look at it,” McIntosh added.
Towndale concluded by clarifying the intent of the motion.”We shouldn’t view licensing as a revenue source. Businesses already pay taxes and additional fees in some areas. Licensing should remain an administrative function, not a financial burden,” Towndale concluded.
Council unanimously approved the motion, temporarily halting By-law 2024-033’s implementation until a comprehensive review is completed in February 2025. Refunds for affected businesses will be addressed after the review’s findings are presented.
