The plaintiffs brought a motion for partial summary judgment seeking a determination that a municipal by-law imposing permit fees for the importation of fill material constituted an indirect tax and was therefore ultra vires under s. 142 of the Municipal Act, 2001.
The court held that the evidentiary record filed by the municipality was insufficient to determine whether a nexus existed between the fee charged and the cost of the regulatory scheme.
Without evidence demonstrating the methodology, cost analysis, or calculations supporting the fee structure, the court could not determine whether the charge was a valid regulatory fee or an impermissible tax.
Invoking the fact‑finding powers under Rule 20 of the Rules of Civil Procedure and the guidance in Hryniak v. Mauldin, the court ordered the municipality to file further supplemental materials addressing the nexus between the fees and administrative costs.
The motion was not finally determined and further evidence was required before adjudicating the legality of the by‑law.