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Mayor warns of 'scary' tax hike
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Think your property taxes are high now? You ain't seen nothing yet. 1 O0 z) }' i7 E5 I' z
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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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1 `2 m* `- i5 L! g5 b6 i s9 qMandel 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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- e# I8 C' `1 |0 `4 `& M3 h* I"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. ; f8 u/ L. b! [' R& }. K
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
" u ?$ G G4 X"Given the amount of it, it's going to be scary," the mayor said. * D( q0 U1 w- {5 G0 c! K# ^
0 f0 p- {" A! U. o3 lA hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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8 _5 j$ C9 Z) ?5 T0 \4 }Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. + S& e: q$ L5 p$ e
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The draft budget does not come out until November.
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- P" i; m' M+ x. s, e) U3 F, N1 C"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. - _! p5 A# M* E
/ h/ J3 ~9 `+ i# W5 E"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. + S! j* O+ J& r& `, S
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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. - Q# ?# f; x5 T4 Q/ A' E2 a
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"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. % |1 Y2 x# X. x* R! O8 _1 H( Q+ g
x4 e/ h( x5 x+ H. x$ T2 SScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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" F: T% ]0 t C. W& s, H0 nHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. " Q3 {8 s. q/ [
: U I V2 I% m6 w3 O5 s7 f9 C& G"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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) j, g1 }9 H- l/ a"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. ( k& c8 c L W: _' ^( S% c# m& x
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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. 4 i4 g0 Y6 H$ X, b9 q1 A" z0 f
5 d/ g& y" j: dTax bills will be mailed May 25 and payments are due June 30. |
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