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Mayor warns of 'scary' tax hike+ H" N5 E6 ~# e# o" e8 O8 _( m
, x x- o, \( p2 J/ f8 K: [4 pThink your property taxes are high now? You ain't seen nothing yet. ( p9 }- p: h! q) P" L7 I
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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. % r, |: d( h- R% R/ ~0 T# v, S
% p- N3 b5 l2 n0 v% p: @ e0 sMandel 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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, k2 R% v# S. d% C0 P- t8 i"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. # z& ^6 V U( }6 f, |8 f- \/ r0 ]
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates2 ?2 X/ H9 _' U5 T
"Given the amount of it, it's going to be scary," the mayor said. x: y2 [* p4 e+ a4 h, s) E
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A hike in that range could cost the average homeowner up to $200 a year. / K) }8 z, P1 }' G, q4 f# T
1 J2 p8 T+ r3 _1 t"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel. 1 d. ^+ `2 w! i* W9 U
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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The draft budget does not come out until November. + J8 g0 z# Q9 b: v2 c& n+ L
' e& I' @9 R2 }5 K( m- w"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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: O! s' p1 o: ]& L"It won't be as bad as some people are making it out."
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" s% \* r$ V6 _" A C. FMaurer said income from investments and various financial strategies could offset a large hike.
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8 N% I. d1 u/ i0 L' RHowever, he said there aren't really any city programs that could be cut in order to save a few bucks. " R$ F# E8 T3 C8 C8 _1 I H1 X
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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. 6 d& a8 h( X7 O
' H r o4 m/ c5 q) N9 x! C7 Q$ |# pScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. % v# Q# M8 r7 O% x1 ^
6 O5 t! ^- ?: KHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 4 A9 I2 F. a4 h! }) w
* I1 h% v# O% A! ]) J"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. ( y/ A( a# i6 W
8 q) T; t7 V! b. m"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. 0 d" @6 L+ Z7 e5 }: I$ e6 ^
. Q$ f. k& H @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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3 G/ Q1 p7 i; D* _Tax bills will be mailed May 25 and payments are due June 30. |
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