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Mayor warns of 'scary' tax hike9 V7 @0 z3 B; a8 w8 q
: i& z3 G6 x, U4 t GThink your property taxes are high now? You ain't seen nothing yet.
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* n- ?( m: c0 C' w0 C! _% vEdmontonians 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. 2 }! B4 P1 j* `
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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. ( q5 o0 G8 v# J3 H9 ^4 f
: |; ?+ g4 ^' a; s) {$ O2 L+ x/ ?"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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6 b5 @* K" T1 m1 s' [City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates1 r, U- B- |2 p% X. l/ G# P
"Given the amount of it, it's going to be scary," the mayor said. ; l" N& M5 A) w: [
3 R5 n1 F5 b+ b' IA hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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5 p9 M( U! {" K+ z8 kCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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The draft budget does not come out until November.
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"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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"It won't be as bad as some people are making it out."
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Maurer said income from investments and various financial strategies could offset a large hike. , V! O0 }: |& r
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However, he said there aren't really any city programs that could be cut in order to save a few bucks. " P; p( w, r+ _% F
7 v4 L% i; b9 j) U- ?& y) K# m6 G"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program.
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Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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& l2 O6 G" \1 HHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city.
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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. . F+ o6 c7 H, W
1 s3 m* h8 H' U+ E" h7 z- x; @"I don't know what some of these members of council are going to be able to say to some pensioner who got a 2% hike in their pension." . P0 N. i8 D$ J0 i" W
; g% T6 p& X T* V2 VThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. ) _* B- ^; T# b6 W1 y# G
* L% Z* P( _( |. M5 fThe 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. # G$ i: V5 B0 L0 p9 r) F
# D2 {- ?. R) ?9 \Tax bills will be mailed May 25 and payments are due June 30. |
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