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Mayor warns of 'scary' tax hike% U% [0 R" u& R% i4 E' E
8 }2 ~- n& L: y7 \+ I/ UThink your property taxes are high now? You ain't seen nothing yet. / p+ p$ q; b5 b" d
6 V" S! m$ y9 v; ~8 F) `: vEdmontonians 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. & B% t2 @! L- L. t- T( t, k6 g' k
$ o5 p3 f! X1 Z7 V" C"Looking at this we're talking an 8-10% tax increase," Mandel said in council chambers. ; o3 W% h- Q) V; a1 T
) _ l5 a) v" @; d0 n: K2 T2 dCity manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
2 G) g/ c. _1 K"Given the amount of it, it's going to be scary," the mayor said. N# U" _$ ~1 d9 j$ N2 W# o! [
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A hike in that range could cost the average homeowner up to $200 a year. 7 J) P4 W; X$ g0 S0 O& y
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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. 0 b! i5 o' `2 s2 ?! j5 v2 |
$ c9 \) @; l& p* }8 O% c VThe draft budget does not come out until November. 7 ^1 o: R) V* c0 b3 i, M
0 ], O4 G R. k E, }4 I9 R7 e+ Z"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." 0 g- F4 o, ~' u/ H9 H
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Maurer said income from investments and various financial strategies could offset a large hike. . F3 C' B2 {; v( @* R( Y
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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. ' W/ C% K4 T' b+ v7 P/ b+ f& [6 a
1 F8 P/ q8 I! b/ c6 X9 \+ Z"We've certainly got more demands," Maurer said, noting council still has to find money to fund an improved snow-clearing program. * {* u) T4 ^0 x" s& R& T
7 _: E0 j, M s. a* bScott Hennig, with the Canadian Taxpayers Federation, said there's no excuse for a double-digit tax increase.
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% ^* @' A7 C, ~$ N7 a2 gHe said hikes should be limited to inflation, which is pegged at 5% both this year and next, according to the city. 4 H2 m& W, y9 n, u! H% _! B
# ]6 n! p) ~& P- u7 Z"They're going to hear from a lot of angry taxpayers if they're looking at 10%," Hennig said. 7 u% w/ \0 \1 G( o! t
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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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( ^% k& w3 ?4 i5 Q5 k2 n0 VThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. * {+ s& {! n& s$ `9 `! S' `# a
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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. 4 ~1 a, Z: J0 r& A! D8 m
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Tax bills will be mailed May 25 and payments are due June 30. |
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