Former Niverville mayor Gordon Daman is simultaneously humbled and honoured at his recent appointment to an esteemed position in the federal government.
“It is likely going to be a pinnacle appointment [for me] professionally, but it is more than that,” says Daman. “It is a culmination of my local service on council in Niverville, which led to my appointment and provincial service on the Manitoba Municipal Board, to now an appointment that leads me to serve at a federal level.”
Daman was selected from among a number of highly qualified applicants to assume the role of chairman of the Payments in Lieu of Taxes Dispute Advisory Panel (PLTDAP). While the title sounds like a mouthful, the panel’s job is relatively straightforward.
The federal government owns property and buildings in municipalities across the country. These might include, for example, properties owned by Crown corporations such as Canada Post or RCMP detachments. According to the Constitution Act of 1867, federal corporations are considered exempt from paying local property taxes or any other tax levies assigned by municipal and provincial governments.
“We make payments in lieu of taxes to recognize the services we receive from municipal governments and to pay our share of the costs to municipalities where our property is located,” reads a statement on the Government of Canada website. “However, in light of our constitutional exemption from taxation, these payments are made at the discretion of the Minister of Public Services and Procurement or the heads of Crown corporations.”1
In other words, because the federal government doesn’t pay taxes to provinces and municipalities, they instead compensate them through direct payments based on fairness, taking into consideration the taxes paid by other property owners in that district.
A branch of the federal government, Public Services and Procurement Canada (PSPC), administers the Payments in Lieu of Taxes Program. Each year, $570 million is distributed across the country to compensate the approximate 22,000 federal properties located in almost 1,200 jurisdictions.
The PLTDA panel, on which Daman will soon sit, is comprised of two members from each province and territory. Occasionally, when disputes arise between taxing authorities and PSPC, the committee’s job is to provide advice to the Minister of Public Services and Procurement, the Honourable Carla Qualtrough, in order to assist in finding a resolution.
Disputes can occur over local property valuation, property dimensions, or rates used to calculate payment in lieu of taxes. Claims for late payment supplements might also funnel through this panel. As well, they will provide advice to upper management of Crown corporations.
“Essentially, this is like a board of revision at a local level, [to] which property owners can appeal the assessment of their home or business,” Daman says. “But, in this case, it is for municipalities wanting to appeal what the federal government has deemed the value to be for buildings the Crown owns throughout Canada.”
Without question, Daman’s many years of work in property appraisal, as president of the Red River Group, makes him uniquely qualified for this position. But his background in municipal politics, he says, also plays a significant role.
He first learned of the position opening through the Appraisal Institute of Canada and his application was submitted in early 2017. Applicants must provide six reference checks and go through the vetting processes of the Canadian Security Intelligence Services, RCMP, and Canada Revenue Agency. Daman was then invited to an interview in Ottawa, which his schedule was unable to permit. He was, however, allowed to conduct a video conference interview with members of the Privy Council, the Prime Minister’s Office, and PSPC staff.
Following the interview, Daman was not only accepted as board member, but also recommended as chairman to the PLTDA panel.
“After numerous discussions with officials in Ottawa to get a firm idea on the time commitment involved and, most importantly, discussions with family and colleagues, I decided to say yes to their recommendation,” Daman says. “I then had to wait a bit longer to see if Cabinet would approve the recommendation from Minister Qualtrough. Based on my understanding, the Governor General released the Order in Council this past Tuesday.”
One of Daman’s few shortcomings throughout the vetting process was, admittedly, the fact that he’s not functionally bilingual.
“That was a concern. However, I was told that as the selection process included a full matrix of skillsets, my other skills outweighed this limitation,” Daman muses. “There are other board members who are bilingual that will be able to act as case managers or chair hearings for the panel.”
Understandably, this new position will require some weaning of other commitments to which he’s been invested over the years. As of July, Daman will be stepping away from his position with the Manitoba Municipal Board. His role on various Heritage Centre boards will also need to be filled by a newly elected board member this summer. Daman says that he will continue to be an active and ongoing supporter of the Heritage Centre and is thankful to the Town of Niverville as a whole.
“Simply put, this is not simply my appointment but an appointment for Niverville on the national scene, as without the support from citizens to allow me to serve on council from 1998 to 2006, I would not have gained the experience necessary to serve in this role,” Daman concludes. “So I am indebted to my home community for this appointment and in particular [to] former mayor Clarence Braun for asking me to consider serving on council.”
