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Mayor warns of 'scary' tax hike4 A* _7 {) _: C. {# f" O/ I9 I# s) ~
' N- q/ V. R" E/ G% MThink your property taxes are high now? You ain't seen nothing yet. 3 i+ C+ W; X& S9 ?: _2 R) Z. S
& R8 v' O G) f& T+ s, V3 mEdmontonians 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. - w; \7 j" f( }, _6 k
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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. / N+ v- t; z+ I/ `( I. F5 F
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
* c, L6 Y N N' H4 t"Given the amount of it, it's going to be scary," the mayor said. - j- x7 p) W5 x! l, j1 P# J
W' k& L- i' X) ?# A+ e0 P" gA hike in that range could cost the average homeowner up to $200 a year.
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4 y, t* g1 }& t! G"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. 7 m3 ^2 L/ u( Q
% U% C6 |9 M0 |0 ?$ P3 z5 c+ dCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. 2 c+ W; c( c6 \9 |# V( w6 X
1 }4 i+ I* Z' e4 ^$ R) r! B% S 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. & e# X8 k7 [5 R( J/ u1 t" H
- v J- t7 M$ x& E4 R! o"It won't be as bad as some people are making it out." , E; C- |. n# E& X: t
3 }. o3 j6 f' a' l6 T4 r8 }. @Maurer said income from investments and various financial strategies could offset a large hike.
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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. " _0 n' |' V- A; T: L8 L7 ?
2 s; N6 o2 C# h"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. : ]( f" p5 w2 u
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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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j, w& M [% h- s. N/ xHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. % w. W/ [* Z |( p: J1 i7 r& r3 P
8 R" r9 P- m! M- j; `% J; i"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said.
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"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. 1 Q5 [: s$ n1 \8 _
. U8 u; B4 m$ [1 D0 `- JThe 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.
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\1 G" v4 m5 p5 x- J4 Q D. F1 d8 [9 CTax bills will be mailed May 25 and payments are due June 30. |
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