City reaches agreement with Essar Steel on taxes owed

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The Corporation of the City of Sault Ste. Marie wishes to advise that it has reached an agreement in principle with the Court approved SISP proponents concerning ESAI’s pre-petition, post-petition and ongoing municipal tax obligations.

The agreement is subject to the final approval of City Council and the SISP proponents successfully exiting the CCAA process. While the terms of the agreement in principle will remain confidential until the matter is brought before Council in open session, the City can confirm that it is fair to the proponent, respectful of the rest of the community’s taxpayers and allows the City to maintain services at current levels.

6 COMMENTS

  1. The lack of details make me think that the City isn’t getting all they’re owed. That and the $9.1 million allowance for uncollectable taxes in the City’s 2016 financial statements.

  2. The city couldn’t even get the essar name removed from our arena.
    There are far too many ‘ifs, ands, and buts’ remaining to even think this might actually happen. It will be a miracle if they ever negotiate a long term deal to keep the mill running. The lenders are quite happy to let the status quo continue forever, they are getting filthy rich from it.
    There are things going on behind the scenes here that would make your hair curl, that’s why we’re being kept in the dark like mushrooms.

  3. I guess we will see just how respectful towards the community’s taxpayers they are going to be. Not sure why we are reading a story with no details. And as for maintaining services at current levels, there have been so many cuts already, it’s not really a calming statement. How about restoring services to what they were before they chose to not pay their taxes?

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