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Mayor warns of 'scary' tax hike% O6 [. k& N0 A1 y0 t: M% f
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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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; X% ~$ j! W7 k" f% IMandel 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. 5 y+ C( o9 _$ ]: W$ T' z
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"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers.
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! t V, _" [" uCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
- s" W9 ~" l9 T5 W4 _1 b3 h"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 $200 a year.
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% [9 R* W$ @; u4 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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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.
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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." " m3 g6 D7 O) ?* w+ b& o( `
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Maurer said income from investments and various financial strategies could offset a large hike.
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, Q: I) T+ l( a% SHowever, he said there aren't really any city programs that could be cut in order to save a few bucks.
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- r2 l7 U2 Z' r, ]"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. 2 }% S! S( Z, o7 e/ B, l* }( l4 ~
' J4 ?: b. ~* q, L+ u5 y2 p2 T) jHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. # P8 G- }! |5 U0 ~
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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. 2 H. r/ y- W( x( T. B( `3 H8 ~
' P; y2 G! C( u1 {"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.
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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.
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7 h) r4 ^! Q) dTax bills will be mailed May 25 and payments are due June 30. |
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