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Mayor warns of 'scary' tax hike9 T& L# I% F9 ~% T( R @" o% K5 T
4 Z6 h" C& `; m+ l% [8 x- ~9 _Think your property taxes are high now? You ain't seen nothing yet. & W; g) S# @/ V' ~5 |
6 I4 o0 {1 H4 U: v9 T3 BEdmontonians 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. , q5 {, | a; @" q+ O8 s- h- P! G
$ E1 m% T6 I7 a( J6 `8 _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. 9 h9 B( U9 E5 i# k) ]
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City manager Al Maurer confirmed that Mandel's prediction was on the money, based on initial cost estimates
! O5 B8 i4 c+ k"Given the amount of it, it's going to be scary," the mayor said. ( G) e9 B% ?+ q5 T1 o4 X8 u% q/ B2 g
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A hike in that range could cost the average homeowner up to $200 a year.
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: R. `# A \' Y+ `/ x) d# A( b"There's no question costs are going up," said Coun. Michael Phair, who conceded the tax hike "may very well" be in the range predicted by Mandel.
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Coun. Ron Hayter said it's still very early in the process, and he cautioned against getting overly anxious at this point.
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The draft budget does not come out until November.
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0 P: I8 P# e9 I"I'm not looking for a major increase next year, at least not too much more than we've already approved for this year," Hayter said. # h' x) R/ B! X' @* K: C; d2 y
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"It won't be as bad as some people are making it out." % y/ g4 D- e9 k) j
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Maurer said income from investments and various financial strategies could offset a large hike. 5 H A0 b( w% Y( A' r9 v
/ d* M5 k0 A/ P$ w3 HHowever, he said there aren't really any city programs that could be cut in order to save a few bucks. # h& k8 ]3 ]- M% V
! t8 l* O. D- y9 g"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.
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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.
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6 e4 m3 {6 J7 N A7 B' k0 n3 C, p"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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8 `3 u& ^% `9 \0 U# EThe average property tax bill in Edmonton will go up 4.95% this year, the city has said. 7 e$ ]+ x. T$ j; i7 O! P
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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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; G( u& {$ Q' ?5 Z& c( yTax bills will be mailed May 25 and payments are due June 30. |
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