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Mayor warns of 'scary' tax hike! {: \2 C \! o9 I# S
( J4 S2 M0 R8 A2 G( v4 ^Think your property taxes are high now? You ain't seen nothing yet.
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* j- B9 R0 A+ ]0 u2 G0 X. M& _( NEdmontonians 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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4 G+ N8 ?% Q- J# j; ~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. 4 \) [2 O# I$ E- G4 T- Y M
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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4 R( B$ Z% @2 u6 x8 nCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
^" K' x) ^% C$ Y! x" m: A( h3 R% Q"Given the amount of it, it's going to be scary," the mayor said.
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5 b! W# H( B( h/ W# \1 z# JA hike in that range could cost the average homeowner up to $200 a year. 1 W' P' D& d. x: h( {8 f4 d) p
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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. $ r) S5 e* R- M# k2 y1 R
7 ` {& r. {2 s F* XCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. ! d4 `, X% K( G; J
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The 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.
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$ \5 e5 l0 c% `( v9 }4 o: x7 E- qHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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8 @ X. f0 B6 X6 l8 L! W"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program.
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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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He 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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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. $ @) G2 Q1 F( l# ^) X
8 |! w" J( x Q4 F"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." 5 t& g- t" d) x
! I4 k4 H) c; B* xThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. 6 z* j1 U4 x* j% _
+ `3 t0 n9 S: b# M/ a" rThe 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. 5 s' |1 X$ P, z2 o% L& T. J6 `# H
: X3 o9 J% ?! c- s$ ?) WTax bills will be mailed May 25 and payments are due June 30. |
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