Editorial

Tee up this unpaid bill

The Ottawa Citizen

January 13, 2004

The fact that a company with which Ottawa Mayor Bob Chiarelli is associated owes $127,000 in unpaid property taxes is not a scandal, but it is an embarrassing situation that the mayor should resolve as quickly as possible.

The tax bill applies to the Cedarhill Golf and Country Club north of Barrhaven. The company that until recently operated the club, Cedarhill Golf Enterprises Inc., boasts Mr. Chiarelli as a director, and his two brothers as president and secretary. While that makes the company different than other businesses in Ottawa, Cedarhill Golf Enterprises' unpaid tax bill is hardly extraordinary. Many troubled companies hold back on property taxes in times of cash-flow problems, knowing they will eventually have to pay more because of interest on the unpaid bill. Indeed, the city is owed about $53 million in unpaid taxes on thousands of properties.

There's no suggestion the city won't get its tax money from Cedarhill Golf Enterprises Inc., but it's important the company receive no special treatment -- neither to its benefit nor to its detriment -- while the debt is owing.

It's normal that Mr. Chiarelli, who comes from a large family that's been around Ottawa for a long time, would have links to businesses in the city.

But it is awkward optics that the mayor of a cash-strapped city is the director of a company owing back taxes. Still, provided he recuses himself from any discussions at city hall that could touch on a personal interest, this debt is no different than any other owing to the city.

© The Ottawa Citizen 2004