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Mayor warns of 'scary' tax hike- W0 Z- c8 R" @5 C7 K* K7 c' h7 b
5 T. i4 W4 @1 N+ }6 UThink your property taxes are high now? You ain't seen nothing yet.
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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.
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Mandel 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. 7 N2 u% D1 H4 n2 k- s# U
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. 9 i$ h: c. \6 o4 R2 Y+ _
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
- q/ U9 Y) [2 g- }% ^"Given the amount of it, it's going to be scary," the mayor said.
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/ B7 A3 t4 H9 `/ z" _! v* ]A hike in that range could cost the average homeowner up to $200 a year. * c" P0 N/ R% t7 V( B2 ?3 b* s
8 v* b* m! X) \4 j: g, L3 J"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. & `% L; q. @7 n% I' M. o6 c8 E3 I
, g/ F+ F' ~3 D5 X0 jCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. ) \) E ]5 I/ o) }# Q
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The draft budget does not come out until November. 7 Y w& I5 e1 N. V( V* j. p$ \1 b
& m% z- p( q; z J% q"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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# Y( H: |* ]) y7 y* WMaurer said income from investments and various financial strategies could offset a large hike.
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T6 v; F+ w/ O$ S& b$ XHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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' E# |/ q0 R' T* P, J"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. - i- _9 k' W0 h0 ^
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Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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' W3 R- l5 E7 T! Y0 Y) m( c; Z- m' AHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city.
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& B, S& ]8 c1 w/ G |! C( E# C"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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5 j X8 F% D; v) H+ m"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." . k3 N- b0 _+ R: f
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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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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. 9 K' H2 b( A7 i9 H' O9 q% j9 K
6 Q; H9 \- f* \9 qTax bills will be mailed May 25 and payments are due June 30. |
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