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Mayor warns of 'scary' tax hike9 w" j- m4 x) S3 n8 Q4 S
% A" \( Q% z4 E+ W: LThink 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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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. ! R5 L) m" ^9 x% Y, P% W( S: v2 `
+ c/ V3 ^. P8 T- O$ k+ v7 J$ D"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. 4 f5 F" v" q/ @
4 h+ s3 ?* d' ` `5 _City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates# }2 r5 t* h8 }3 ~
"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. $ x5 X+ p" x% x, d ~; w
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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.
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; f9 T" z. p. N8 [5 i5 iThe draft budget does not come out until November.
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, h) Y& y1 j* ~( H"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." , S3 B9 o9 a9 Y( T/ I" b# K! A
# d2 x& O- R4 SMaurer said income from investments and various financial strategies could offset a large hike.
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$ E1 C- |0 q, D, j) nHowever, he said there aren't really any city programs that could be cut in order to save a few bucks. 1 r% E- j7 V4 g* |; c: t
6 p5 I9 e: g- Q"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. 2 H8 K- t: P& t/ t! B+ X1 g$ ?
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Scott 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.
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"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. " [1 A+ C j7 X
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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." ; ]: N6 E- v4 Z3 ] Z; x
4 ^) i) G$ q1 c5 f9 eThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. 3 m2 ~ e! `& A5 ]% A: N
4 E/ G k5 h% o/ Q" H/ PThe 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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' A* J k; }, N$ MTax bills will be mailed May 25 and payments are due June 30. |
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