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Mayor warns of 'scary' tax hike. G8 H5 G2 Y0 c. R
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Think your property taxes are high now? You ain't seen nothing yet. ' g" X1 ]$ A. Y1 v2 ~* K
& }7 h% M5 s# d0 D# M jEdmontonians 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. 4 p- ^1 M( k3 q) W1 g9 t5 `
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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.
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. ! g# @% G* _3 F& S
. \. m8 M) ~! \; U8 V' DCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
- n8 b y( _6 g4 v* g( R! K"Given the amount of it, it's going to be scary," the mayor said.
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A hike in that range could cost the average homeowner up to $200 a year.
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"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point. ! ~! k0 n0 a7 _4 V
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The draft budget does not come out until November. & \: Q, q+ b( f# }
+ c! \4 q5 a4 |* ["I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said.
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c: D+ ?: g4 n" C1 B"It won't be as bad as some people are making it out."
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1 P( {4 E; k5 w H1 s7 qMaurer said income from investments and various financial strategies could offset a large hike. # v4 @$ Y2 |, Q! k+ v5 x
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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. / r' c" B* `( J/ F+ V. [, o2 L. T E
D. I; l) n$ D6 S"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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Scott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase. & t( s: _5 _0 h* h7 n% @
: x: ~* D2 E- M/ F6 F+ ~& ]He said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. ; V9 R! ]! J& m. ]4 K1 n2 H( s, E; v
& n$ ?8 B9 k; B"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. " t. `/ E* z# `1 s: e1 u! p
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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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* |/ E1 I8 w) B, k* mThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. & z$ X2 ?* j2 U- A
' @; y, o% s! {2 S8 G0 p9 vThe 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. ( V1 @! L' s' J. S8 b
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Tax bills will be mailed May 25 and payments are due June 30. |
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