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Mayor warns of 'scary' tax hike& _/ x, H9 j# c/ n; w
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Think 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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6 I3 r! A; c+ O2 PMandel 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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4 D; M- {3 u% ~# L5 @6 p7 ^6 I"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. 5 n1 S& O$ t8 F+ b- i: p1 `7 w
! w3 w; K. |& j" F7 ACity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
8 F7 i8 N$ f* [! e+ `"Given the amount of it, it's going to be scary," the mayor said. ; ^: c! E u1 }. t( ~% `& ~" k
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A hike in that range could cost the average homeowner up to $200 a year. 3 Q8 d, z) j8 u/ Z% h7 u2 p/ Y
% ?3 b- G* r# I9 V"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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/ q9 d& T$ z* s, g" UCoun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. $ n) F6 j' B1 r. |! {
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The draft budget does not come out until November. * x3 f3 }" Y* X6 |9 i3 z
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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." $ K5 ]% H" Y# _" y/ y
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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.
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G4 j( I+ u' i1 M; D( ?( J& N9 a"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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" s7 z. \: T/ K5 Q' EScott 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. % i+ M; L: M4 u- I
3 e, |8 G8 K5 j9 h1 S"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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7 w1 [/ c( r5 G$ v) n- G: {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. ( x+ J1 Q c& P8 `
& `4 i. R9 H1 Z1 h, vTax bills will be mailed May 25 and payments are due June 30. |
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