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Quebec government signs fiscal pact with municipalities

QUEBEC CITY – The provincial government signed a fiscal pact with its municipalities Tuesday heralding what they claim is the beginning of a new era of fiscal responsibility for taxpayers.

The government plans to launch a long list of new legislation to give municipalities more power and more responsibility.

This includes:

  • Giving Montreal official status as a metropolis
  • Giving Quebec City special status as the provincial capital
  • Increasing revenue for municipalities through natural resources
  • Increasing responsibility for negotiating with municipal sector workers
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Ultimately, the government said it hopes the changes will allow municipalities to reduce their salary charge and reduce property taxes.

“The principle of the protocol that we’re signing is that we have a government that respects us as a level of government ourselves,” said Denis Coderre, Montreal’s mayor.

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“[They] understand that what’s going on on our territory regarding our employees, that we will have better tools to have a better balance in the way that we’re managing our taxpayer money and that’s the bottom line.”

Nevertheless, CAQ leader François Legault insisted any new legislation will only come into effect in 2016, so some municipalities may still have to increase their taxes next year.

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