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Mayor warns of 'scary' tax hike
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- @( L- Z+ L- bThink your property taxes are high now? You ain't seen nothing yet.
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7 g; t3 [# ^" Z8 ]Edmontonians could face a "scary" tax hike of up to 10% next year, Mayor Stephen Mandel said. That would be the highest property tax increase since the 1980s. * f6 t9 y! ^+ t7 u8 o7 Z% o% [% s; n. _
( Z/ p" V# B: A4 D5 ^+ VMandel tossed out the figure yesterday following a presentation by administration that outlined the intense economic pressures the city is facing as a result of Alberta's economic boom.
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; a* x i- z2 ^" j"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. ) Z7 F: u) W* I, V
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
) `1 |8 K9 C/ T; }% {* `. B: T! _& N"Given the amount of it, it's going to be scary," the mayor said. 2 n) g. G8 V- Q2 ~4 K
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A hike in that range could cost the average homeowner up to $200 a year. 4 v* T( M5 J& F) X% |+ W; J
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. ( k8 l4 @# k2 e. ~- M- g6 ^
' h! ] @/ u0 [; S% P: Z' cThe draft budget does not come out until November.
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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"It won't be as bad as some people are making it out."
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Maurer said income from investments and various financial strategies could offset a large hike. ! e) `' A0 W+ N4 Y8 k3 s
% j, J! b5 t7 v5 w2 k! LHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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: H# `. g# r$ K( O"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. , b+ ~7 ~: j6 }& x, b1 g/ u' `, {
0 ?8 z% J' T! J) a& ]2 P# n3 Q2 wScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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& r" q( l, w" K1 G+ vHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. + v& R+ @- @1 z, S3 s; k3 F
, T; x: W: J8 |" G: j"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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9 l1 ^. y1 k/ y: D/ b"I don't know what some of these members of council are going to be able to say to some pensioner who got a 2% hike in their pension."
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The average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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2 P8 G. H6 L% W, B. o4 n, @The tax on homes will go up higher than average - about 7%. The figures include both municipal tax and the provincial education tax, which the city collects. ( S5 P+ r6 ]# p
7 ^; C. X4 H" P: gTax bills will be mailed May 25 and payments are due June 30. |
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