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Mayor warns of 'scary' tax hike' j1 u4 Q2 h O9 y1 p7 F: S
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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. * e" G, \; j( j
3 k0 F2 t, E4 c, t+ R: _$ F( 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.
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. $ H7 y# I% A$ m5 `
' ` A* \' c/ @4 B) ~4 w. A$ f2 qCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates) Y6 y$ t1 \ L8 |: l
"Given the amount of it, it's going to be scary," the mayor said. $ K/ s' a0 O* u H7 ^9 M8 C; c
6 K4 K' Q1 y6 \6 A& a( ]6 ~- \A hike in that range could cost the average homeowner up to $200 a year. ' d8 z6 q. X4 u3 Z- G
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. ( t: x$ L) B% E+ E
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. - P4 Q" ~3 W0 }0 E }- o: [5 V
; k3 K" b; o8 K0 w& I" v. DThe draft budget does not come out until November. 7 p( J: [( N" O4 v
6 P' s. d1 j8 I! G7 L5 b"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. $ Z5 r7 \: Q& `# b. u
1 V) Y/ x; w% P; q: O' I$ w1 d"It won't be as bad as some people are making it out."
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1 l! y3 l7 v, G- J& G- FMaurer said income from investments and various financial strategies could offset a large hike. " \+ O! q7 ~; H9 e. ~+ t1 L5 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.
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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.
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6 @' _; K1 v4 ?) U% d4 VScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. : V; ?: p" z, L: M- g# u3 g
- e4 Y' K- _" ^3 Y$ g$ m* F8 ~3 L* i4 WHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 6 Y: I+ w) |# W# N/ f
, x8 [# J% g0 l* T4 K0 b"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. 1 m. ]% e7 Q. l" `# I/ i; J
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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." ?% C7 w, E1 [; e- @
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The average property tax bill in Edmonton will go up 4.95% this year, the city has said.
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; k: L; K$ b* N" `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.
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Tax bills will be mailed May 25 and payments are due June 30. |
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