Catalyst paper must pay its full taxes, the province’s minister of community and rural development told the News Leader Pictorial following a meeting with the boss of the pulp and paper company.

“I clarified to Catalyst that we want them to pay their taxes and that taxpayers don’t have the luxury of deciding which taxes they’re going to pay and which they’re not,” Bill Bennett said Thursday evening, just hours after he met with Catalyst president Richard Garneau.

“The meeting was intended for me to get to know their situation better and for me to clarify the province’s position on the situation,” said Bennett.

“I also clarified for him that the province is not in the position to just cut a cheque to the communities to make up for the tax revenues they aren’t receiving right now.”

Garneau was not immediately available for comment late Thursday, Catalyst paid only about one-quarter of its property taxes in four municipalities: North Cowichan, Campbell River, Port Alberni, and Powell River.

In North Cowichan, a Catalyst employee hand-delivered a $1.5 million cheque to the municipality, a fraction of the approximately $6.5 million it owes.

Catalyst has long argued the municipal tax system is unfair because it pays roughly 35 per cent of the property tax bill, but only consumes six per cent of the services.

Catalyst took the case to the B.C. Supreme Court, looking for relief.

Bennett said during the meeting with Garneau, the paper boss explained his side of the argument.

“From his point of view he clarified for me just how drastic their situation is — and it is very, very drastic,” Bennett said.

“I think the bottom line here is no one wants to see Catalyst leave these communities and it is very dicey right now because they haven’t made money in a long time and they are making efforts to get costs under control; they’re doing lots of restructuring, they’ve done administrative savings and layoffs and so forth.”

Bennett said he’s convinced Catalyst is making an effort to help its own situation.

“Nonetheless,” he said, “they still owe the taxes.”

Bennett said he was unable to get a promise or guarantee from Garneau that the taxes would be paid.

“They did not agree to pay their taxes (and) I have no choice but to let the court case play out,” he said.

“I think we will have a discussion after the court case is over about tax policy and industrial tax rates and so forth, but I can’t comment on that right now.”

Bennett said the meetings would most likely include the four mayors of the affected communities.